Exhibit 99.1
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BankAtlantic Bancorp Reports Financial Results
For the Fourth Quarter and Full Year, 2009
For the Fourth Quarter and Full Year, 2009
FORT LAUDERDALE, FL — January 28, 2010 — BankAtlantic Bancorp, Inc. (NYSE: BBX) today reported financial results for the fourth quarter and full year ending December 31, 2009.
Fourth Quarter 2009
BankAtlantic Bancorp, Inc. (the “Company”) today reported a net loss from continuing operations of ($48.0) million, or ($0.97) per diluted share, for the quarter ended December 31, 2009, compared to a net loss from continuing operations of ($164.3) million, or ($10.89) per diluted share, for the quarter ended December 31, 2008, and a net loss from continuing operations of ($52.1) million, or ($3.45) per diluted share, for the quarter ended September 30, 2009.
Full Year 2009
BankAtlantic Bancorp reported a net loss from continuing operations of ($185.0) million, or ($7.83) per diluted share, for the year ended December 31, 2009, compared to a net loss from continuing operations of ($219.2) million, or ($14.54) per diluted share, for the year ended December 31, 2008.
BankAtlantic Bancorp’s Chairman and Chief Executive Officer, Alan B. Levan, commented, “Both the current quarter and full year 2009 results continue to reflect losses associated with our real estate related loan portfolios, especially in the commercial real estate sector. The decreased losses in both the fourth quarter 2009 and full year 2009 compared to the corresponding periods in 2008 resulted primarily from accounting for income taxes resulting in a net benefit of $31.7 million for the fourth quarter and full year 2009 versus a net provision in 2008 (described more fully in this release) and higher goodwill impairment charges in 2008 compared to 2009; partially offset by higher loan loss provisions in the 2009 fourth quarter and full year.
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“As disclosed last week in a Form 8-K filed with the SEC on January 21, 2010, BankAtlantic Bancorp has commenced cash offers to purchase $285.4 million of its outstanding trust preferred securities (TruPS) at a price of $200 per $1,000 principal amount outstanding, or $57.1 million for all of the outstanding series of TruPS. The completion of these offers is subject to numerous conditions, risks and uncertainties, including our ability to consummate a financing transaction sufficient to fund the purchase of the TruPS tendered in response to the offers and acceptance of a sufficient number of the offers by holders of a requisite amount of each series of TruPS.”
Highlights of the BankAtlantic Operating Segment:
BankAtlantic Performance:
Deposits and Liquidity—BankAtlantic’s Chief Executive Officer, Jarett S. Levan, commented, “Core(1) and total deposits at December 31, 2009 were $2.6 billion and $4.0 billion, respectively, with the following characteristics:
• | Non-CD balances represented approximately 75.8% of total deposits; | ||
• | The average cost of core deposits and total deposits for the fourth quarter of 2009 was 0.38% and 0.79%, respectively; and | ||
• | Brokered deposit balances represented 1.5% of assets. |
• | “During the fourth quarter of 2009: |
• | Core deposits increased $175.3 million, at an average cost of deposits of 0.66%. | ||
• | Total deposits increased by $10.2 million, as core deposit growth was partially offset by decreases in brokered deposits of $83.1 million and decreases in other non-core deposit categories of $82.0 million. |
• | “For the full year 2009: |
• | Core deposits increased approximately $495.1 million, at an average cost of deposits of 0.99%. | ||
• | Total deposits increased approximately $43.3 million as the growth in core deposits offset net declines in non-core accounts. |
• | “BankAtlantic continued to reduce its borrowings, resulting in total borrowings of $345.4 million, or 7.3% of total assets, at December 31, 2009. |
(1) | Core deposits is a term that we use to refer to Demand, NOW and Savings accounts. A reconciliation of core deposits to total deposits is included in BankAtlantic Bancorp’s Fourth Quarter and Full Year, 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the “Investor Relations” section and click on the “Quarterly Financials or Supplemental Financials” navigation links. |
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• | During the fourth quarter of 2009, borrowings were reduced by $71.2 million, or 17.1%. Since December 31, 2008, borrowings have been reduced by $955.6 million, or 73.5%. | ||
• | “BankAtlantic’s ratio of total borrowings to deposits plus borrowings was 8.0% at December 31, 2009 compared to 9.52% at September 30, 2009 and 24.9% at December 31, 2008. |
Net Income —“BankAtlantic’s net loss was ($44.1) million for the fourth quarter of 2009, compared to a net loss of ($35.3) million for the third quarter of 2009 and a net loss of ($133.0) million for the fourth quarter of 2008.
• | “Pretax core operating earnings(2) for the fourth quarter of 2009 was $10.6 million compared to $23.9 million in the third quarter of 2009, and $9.6 million in the fourth quarter of 2008. Loan loss and tax certificate provisions, debt redemption costs, and impairment, restructuring and exit activity expenses, which are not included in pre-tax core operating earnings, were ($86.4) million for the fourth quarter of 2009, ($59.2) million for the third quarter of 2009, and ($88.6) million for the fourth quarter of 2008. |
“BankAtlantic’s net loss was ($144.2) million for the full year 2009, compared to a net loss of ($166.1) million for the full year 2008.
• | “Pretax core operating earnings for the full year 2009 was $69.6 million compared to $67.2 million for the full year 2008. Loan loss and tax certificate provisions, debt redemption costs, FDIC special assessments, and impairment, restructuring and exit activity expenses, which are not included in pre-tax core operating earnings, were ($245.5) million for the full year 2009 and ($202.2) million for the full year 2008. |
Net Interest Margin— “Net interest income for the fourth quarter of 2009 was $40.0 million compared to $41.5 million during the third quarter of 2009 and $44.5 million for the fourth quarter of 2008. Net interest income for the full year 2009 was $163.3 million compared to $193.6 million for the full year 2008.
(2) | Pre-tax core operating earnings is a non-GAAP measure that we use to refer to pre-tax earnings before provision for loan losses, tax certificate provisions, debt redemption costs, FDIC special assessments and impairment, restructuring and exit activities. A reconciliation of loss from bank operations before income taxes to pre-tax core operating earnings is included in BankAtlantic Bancorp’s Fourth Quarter and Full Year, 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the “Investor Relations” section and click on the “Quarterly Financials or Supplemental Financials” navigation links. |
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• | “Net interest margin during the fourth quarter of 2009 was 3.62%, a three basis point improvement from 3.59% during the third quarter of 2009, and a 33 basis point improvement from 3.29% during the fourth quarter of 2008. | ||
• | “Net interest spread during the fourth quarter of 2009 was 3.38%, improved by five basis points from 3.33% during the third quarter of 2009, and improved by 46 basis points from 2.92% during the fourth quarter of 2008. |
“Quarterly net interest margin and spread improved slightly compared to the third quarter of 2009; the significant improvement in both the margin and spread compared to the fourth quarter of 2008 was largely the result of changes in the funding mix associated with growth in core deposits and the repayment of FHLB advances during 2009.
“The decline in net interest income from the fourth quarter and full year of 2009, however, was primarily due to the impact of the decline in average earning assets and increase in non-performing assets during 2009, which offset the margin improvements. Average earning assets have declined by $208.7 million from the third quarter 2009 and by $1.0 billion from the fourth quarter 2008. Additionally, while non-performing asset levels decreased by $4.5 million since September 30, 2009, they have increased by $95.7 million since December 31, 2008.
Non-interest income —“Total non-interest income for the fourth quarter of 2009 was $28.2 million compared to $35.5 million for the third quarter of 2009, and $31.1 million for the fourth quarter of 2008.
• | “Excluding securities gains of $4.8 million and $0.1 million in the third quarter of 2009 and fourth quarter of 2008, respectively, non-interest income would have been $28.2 million for the fourth quarter of 2009 compared to $30.7 million in the third quarter of 2009 and $31.0 million during the fourth quarter of 2008. |
“Total non-interest income for the full year 2009 was $129.3 million compared to $137.3 million for the full year 2008.
• | “Excluding securities gains of $11.2 million in 2009 and $2.4 million in 2008, non-interest income would have been $118.1 million for 2009 compared to $134.9 million for 2008, with the decline primarily due to lower service charges on deposits. |
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• | “Service charges on deposits declined from the comparative quarters and from the prior year reflecting changes in customer behavior as well as changes in our customer mix as a result of our relationship focused deposit gathering strategies. |
Non-interest expense—“Total non-interest expenses were $66.0 million in the fourth quarter of 2009 compared to $60.0 million in the third quarter of 2009, and $122.9 million in the fourth quarter of 2008.
• | “Core expenses(3) were $57.6 million in the fourth quarter of 2009, an increase from $53.1 million in the third quarter of 2009, but an improvement of $8.5 million, or 12.8%, over core expenses of $66.1 million in the fourth quarter of 2008. The increase from the third to fourth quarter of 2009 was primarily due to a $2.3 million increase in employee compensation and benefits, and a $1.8 million increase in professional fees (primarily legal costs). |
“Total non-interest expense in 2009 was $258.8 million compared to $330.6 million in 2008.
• | “Core expenses for the full year 2009 were $223.1 million compared to $263.8 million in 2008, reflecting an improvement of $40.7 million, or 15.4%. The year-over-year expense improvement included decreases of $22.6 million in employee compensation and benefits; $7.7 million in advertising and business promotion; $6.2 million in occupancy and equipment; and $4.6 million in check losses (related to the decline in deposit service charges discussed above). |
“Expenses not included in core expenses consisted of the following:
• | “Impairment, restructuring and exit chargesof $7.7 million in the fourth quarter of 2009, $1.7 million in the third quarter of 2009 and $3.6 million in the fourth quarter of 2008; and $13.3 million and $10.0 million for the full years 2009 and 2008, respectively. The charges in the fourth quarter of 2009 were primarily associated with impairments related to lower real estate values of property held for sale ($2.7 million), real estate owned ($3.4 million) and leaseholds held for sale ($1.6 million). |
(3) | Core expense is a non-GAAP measure that we use to refer to total non-interest expenses excluding tax certificate provisions, debt redemption costs, FDIC special assessments, impairments, restructuring and exit activities. A reconciliation of total expense to core expense is included in BankAtlantic Bancorp’s Fourth Quarter and Full Year, 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the “Investor Relations” section and click on the “Quarterly Financials or Supplemental Financials” navigation links. |
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• | “Tax certificate provisionof $0.7 million in the fourth quarter of 2009 compared to $(0.2) million net reversal of prior provisions in the third quarter of 2009 and $3.6 million expense in the fourth quarter of 2008; and $3.4 million and $7.3 million for the full years 2009 and 2008, respectively. The decline in 2009 is due primarily to higher provisions in 2008 associated with certain out-of-state markets where we are no longer active in the tax certificate market. | ||
• | “Costs associated with debt redemptionof $0 in the fourth quarter of 2009, $5.4 million in the third quarter of 2009 and $1.2 million in the fourth quarter of 2008; and $7.5 million and $1.2 million for the full years 2009 and 2008, respectively. These costs were associated with the prepayment of certain FHLB borrowings as part of our balance sheet de-leveraging efforts throughout 2009. | ||
• | “Goodwill impairmentof $0 in the fourth and third quarters of 2009 compared to a charge of $48.3 million in the fourth quarter of 2008; and $9.1 million and $48.3 million for the full years 2009 and 2008, respectively. | ||
• | “FDIC special assessmentof $2.4 million and $0 for the full years 2009 and 2008, respectively. |
Income Taxes— “During the fourth quarter of 2009, legislation was enacted related to tax net operating losses (NOLs) which extended the period available for the carry back of NOLs from two years to five years. Due specifically to this change in the tax law, BankAtlantic recorded a benefit for income taxes of $31.7 million during the fourth quarter of 2009. Excluding the impact of this newly enacted legislation, BankAtlantic would not have recorded a net provision or benefit for income taxes during the fourth quarter of 2009 relating to its loss as it continues to provide for a full deferred tax asset valuation allowance. During the fourth quarter of 2008, BankAtlantic recorded an income tax provision expense of ($54.0) million as a result of the recording of a full deferred tax asset valuation allowance during that quarter. For the full year 2009, BankAtlantic recorded an income tax benefit of $31.7 million compared to an income tax provision of ($31.1) million for the full year 2008.
Credit Risk Management:
• | “The provision for loan losses in the fourth quarter of 2009 was $78.0 million compared to $52.2 million in the third quarter of 2009 and $31.8 million in the fourth quarter of |
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2008. The increased provision in the fourth quarter of 2009 reflects continued elevated levels of delinquencies, charge-offs and non-accrual loans. For the full year 2009, the provision for loan losses was $209.7 million compared to $135.4 million for the full year 2008. | |||
• | “BankAtlantic’s allowance for loan losses was $169.1 million at December 31, 2009. The reserve represented 4.41% of total loans at December 31, 2009, compared to 4.18% at September 30, 2009 and 2.87% at December 31, 2008. | ||
• | “The provision for loan losses in the fourth quarter of 2009 primarily related to our Commercial Real Estate ($57.2 million provision), Consumer ($8.8 million provision) and Residential Real Estate ($10.8 million provision) loan portfolios. In particular, the Commercial Real Estate portfolio continues to be adversely affected by declining collateral values and general economic conditions. | ||
• | “Net charge-offs were $74.9 million in the fourth quarter 2009, compared to net charge-offs of $43.1 million in the third quarter of 2009, and net charge-offs of $12.6 million in the fourth quarter of 2008. The increase in net charge-offs was due primarily to continued declines in the value of the collateral for our non-accrual loans. |
• | “Fourth quarter 2009 net charge-offs included $58.2 million in the Commercial Real Estate loan portfolio (of which approximately 81% of the net charge-offs were related to loans that were placed on non-accrual prior to the fourth quarter of 2009), $8.1 million in the Consumer Loan portfolio, $7.5 million in the Residential Real Estate loan portfolio and $1.6 million in the Small Business loan portfolio. |
• | “Total non-accrual loans were $286.1 million at December 31, 2009, reflecting a decrease of $8.7 million from September 30, 2009, but reflecting an increase of $78.0 million from December 31, 2008. The decrease in non-accrual loans during the fourth quarter of 2009 included a net decrease in Commercial Real Estate non-accrual loans of $21.9 million offset by a net increase of $3.1 million in Consumer non-accrual loans and a net increase of $10.0 million related to one Commercial business non-accrual loan. Residential real estate and Small business non-accrual loan balances remained essentially unchanged quarter to quarter. The decline in Commercial Real Estate non-accrual loans was the result of the increased charge-offs discussed above. |
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• | “Total non-performing assets were $324.2 million at December 31, 2009, a decrease of $4.5 million from September 30, 2009, but an increase of $95.7 million from December 31, 2008. |
“Other credit information for BankAtlantic’s three largest loan portfolios is further detailed below.
Commercial Real Estate Loans —“We continue to experience losses in our $1.1 billion Commercial Real Estate portfolio as the economic environment continues to impact our borrowers and the values of the underlying collateral.
• | “Net charge-offs increased for the fourth quarter of 2009 to $58.2 million, compared to net charge-offs of $21.5 million in the third quarter of 2009 and $0 in the fourth quarter of 2008. For the full year 2009, net charge-offs in this portfolio were $95.6 million compared to $60.1 million for the full year 2008. | ||
• | “Delinquencies, excluding non-accrual loans and loans in the process of renewal, increased to $25.5 million, or 2.28% of total loans, at December 31, 2009, compared to $12.5 million, or 1.07% of total loans, at September 30, 2009, and $16.3 million, or 1.34% of total loans, at December 31, 2008. | ||
• | “Commercial Real Estate non-accrual loans decreased by $21.9 million from the prior quarter to $167.9 million at December 31, 2009, with increases in non-accrual loan balances more than offset primarily by net charge-offs of $58.2 million during the fourth quarter of 2009. | ||
• | “The allowance coverage for Commercial Real Estate loans increased from the prior quarter to 7.81% of the related portfolio at December 31, 2009, compared to 7.56% at September 30, 2009. |
At December 31, 2009, BankAtlantic’s Commercial Real Estate loan portfolio included the following:
• | “Commercial residential land acquisition, development and construction loans consisting of: |
• | Builder land bank loans:Consisting of 7 loans aggregating $43.7 million, including 6 loans aggregating $42.6 million on non-accrual at December 31, 2009. |
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• | Land acquisition and development loans:Consisting of 27 loans aggregating $171.9 million, including 10 loans aggregating $60.2 million on non-accrual at December 31, 2009. | ||
• | Land acquisition, development and construction loans:Consisting of 6 loans aggregating $11.3 million, including 1 loan aggregating $3.8 million on non-accrual at December 31, 2009. |
• | “Commercial land loans: Consisting of 30 loans aggregating $88.5 million, including 7 loans aggregating $32.2 million on non-accrual at December 31, 2009. | ||
• | “All other Commercial real estate loans: Portfolio of $800.6 million, including 14 loans aggregating $29.1 million on non-accrual at December 31, 2009. |
Residential Real Estate Loans—“Our Residential real estate loan portfolio was $1.5 billion at December 31, 2009, representing 40.6% of the Bank’s total loans. The purchased residential loan portfolio (representing 95% of the total residential loan portfolio) consists of approximately 5,200 first mortgage loans secured by properties throughout the United States. The weighted average FICO score of borrowers in this portfolio was 740 at the time of origination and the original back-end debt ratio, which we calculate as the ratio of total debt payments (inclusive of the fully amortizing residential loan) to income, was a weighted average of 33.8%. Standard products in this portfolio have never included subprime, negative amortizing, option-arm or ‘pick-a-payment’ loans.
• | “Net charge-offs increased for the fourth quarter of 2009 to $7.5 million, compared to net charge-offs in the third quarter of 2009 of $7.0 million and $2.0 million in the fourth quarter of 2008. For the full year 2009, net charge-offs in this portfolio were $22.4 million compared to $4.4 million for the full year 2008. | ||
• | “Delinquencies, excluding non-accrual loans, increased to $26.7 million (compared to $24.9 million at September 30, 2009 and $20.2 million at December 31, 2008); which represented 1.72% of the portfolio at December 31, 2009, compared to 1.52% of the portfolio at September 30, 2009 and 1.04% of the portfolio at December 31, 2008. | ||
• | “Non-accrual loan balances remained relatively unchanged during the fourth quarter of 2009, increasing $0.4 million from September 30, 2009 to $76.4 million at December 31, 2009. |
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• | “The allowance coverage for Residential loans increased during the fourth quarter of 2009 to 1.74% of the portfolio, compared to 1.45% at September 30, 2009. |
“We continue to expect that the delinquency levels and loss trends in the Residential loan portfolio will continue to mirror the broader economy and unemployment trends.
Consumer Loans —“Our Consumer Loan portfolio had an outstanding balance of $681.4 million at December 31, 2009. BankAtlantic does not have a credit card portfolio. Home equity loans represent 98% of the Consumer Loan portfolio. All of our home equity loans were originated by us in our local markets with central underwriting. Approximately 24% of the loans in this portfolio are secured by first mortgages.
• | “Non-accrual balances increased during the fourth quarter of 2009 by $3.1 million to $14.5 million at December 31, 2009. | ||
• | “Delinquencies, excluding non-accrual loans, increased to $15.2 million, or 2.23% of the portfolio, at December 31, 2009, compared to $13.7 million, or 1.97% of the portfolio, at September 30, 2009 and $11.7 million, or 1.60% of the portfolio, at December 31, 2008. | ||
• | “Net charge-offs decreased in the fourth quarter of 2009 to $8.1 million, compared to net charge-offs in the third quarter of 2009 of $12.3 million and $9.0 million in the fourth quarter of 2008. For the full year 2009, net charge-offs in this portfolio were $39.7 million compared to $28.5 million for the full year 2008. | ||
• | “The allowance coverage for Consumer loans increased during the fourth quarter of 2009 to 6.22% of the portfolio, compared to 6.02% at September 30, 2009. |
Capital Levels
“Capital ratios at December 31, 2009 were:
• | Core capital 7.66%. | ||
• | Tier 1 risk-based capital 10.75%. | ||
• | Total risk-based capital 12.68%. | ||
• | Tangible capital/tangible assets 7.75%.” |
BankAtlantic Bancorp (Parent Company level):
Alan B. Levan further commented, “As noted previously, BankAtlantic Bancorp has commenced cash offers to purchase its outstanding TruPS at a discount to par. Additionally, as originally announced in the first quarter 2009, we continue to defer the regularly scheduled
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interest payments on the outstanding junior subordinated debentures relating to these TruPS, which is permitted under the terms of the securities for up to 20 consecutive quarterly periods.
“BankAtlantic Bancorp’s net loss at the parent only level was ($3.8) million for the fourth quarter of 2009, compared to a net loss of ($16.8) million for the third quarter of 2009 and a net loss of ($31.3) million for the fourth quarter of 2008. The reduced loss in the 2009 fourth quarter was primarily due to a reversal of prior provisions for loan losses of $1.2 million in the fourth quarter of 2009, compared to loan loss provisions of ($11.3) million and ($6.7) million in the third quarter of 2009 and fourth quarter of 2008, respectively.
“BankAtlantic Bancorp’s net loss at the parent only level was ($40.8) million for the full year 2009, compared to a net loss of ($53.1) million for the full year 2008 due primarily to a decline of $4.9 million in net interest expense (reflecting declining LIBOR rates impacting the variable rate junior subordinated debentures) and a decline of $6.0 million in loan loss provisions.
Asset Workout Subsidiary— “As previously discussed, during the first quarter of 2008, Bancorp formed a wholly-owned asset workout subsidiary and purchased certain non-accrual loans from BankAtlantic. These assets are no longer held by BankAtlantic, and any gain or loss associated with these assets has no impact on BankAtlantic’s operations or capital, but will be included in Bancorp’s consolidated results. These assets, as with all other assets and liabilities of Bancorp, should not be combined with those of BankAtlantic when evaluating and comparing metrics for BankAtlantic as the insured financial institution.
“The loans held by the workout subsidiary totaled $48.0 million with specific loan reserves of $13.6 million at December 31, 2009. During the fourth quarter of 2009, these loans were written-down by $3.8 million and two loans totaling $4.3 million were transferred to Real Estate Owned. Net charge-offs for the full year 2009 were $16.5 million compared to $19.2 million for the full year 2008.
“The breakdown of the non-accrual loans held by the Company’s asset workout subsidiary at December 31, 2009 was as follows:
• | “Builder land bank loans:Consisting of 2 loans aggregating $14.1 million. | ||
• | “Land acquisition and development loans:Consisting of 3 loans aggregating $10.4 million. | ||
• | “Land acquisition, development and construction loans:Consisting of 7 loans aggregating $14.9 million. |
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• | “Commercial business loans:Consisting of 3 loans aggregating $5.6 million.” |
Additional detailed financial data for BankAtlantic (bank only), the Parent- BankAtlantic Bancorp, and consolidated BankAtlantic Bancorp are available atwww.BankAtlanticBancorp.com.
To view the financial data, access the “Investor Relations” section and click on the “Quarterly Financials or Supplemental Financials” navigation links. Additionally, BankAtlantic’s financial information is provided quarterly to the OTS through Thrift Financial Reports, available to the public through the OTS and FDIC websites.
Additionally, copies of BankAtlantic Bancorp’s fourth quarter 2009 financial results press releaseand financial data are available upon request via fax, email, or postal service mail. To request a copy, contact BankAtlantic Bancorp’s Investor Relations department using the contact information listed below.
BankAtlantic Bancorp willnot be hosting an investor and media teleconference call related to its Financial Results for the Fourth Quarter and Full Year, 2009 due to the timing of this release and the currently outstanding offers to purchase the TruPS as disclosed on a Form 8-K filed with the SEC on January 21, 2010.
About BankAtlantic Bancorp:
BankAtlantic Bancorp (NYSE: BBX) is a bank holding company and the parent company of BankAtlantic.
About BankAtlantic:
BankAtlantic, Florida’s Most Convenient Bank, is one of the largest financial institutions headquartered in Florida. Via its broad network of community branches, online banking division — BankAtlantic.com , and conveniently located ATMs, BankAtlantic provides a full line of personal, small business and commercial banking products and services. BankAtlantic is open 7 days a week with extended weekday hours, Free Online Banking & Bill Pay, a 7-Day Customer Service Center and Change Exchange coin counters.
For further information, please visit our websites:
www.BankAtlanticBancorp.com
www.BankAtlantic.com
www.BankAtlantic.com
To receive future BankAtlantic Bancorp news releases or announcements directly via Email, please click on the Email Broadcast Sign Up button on our website:
www.BankAtlanticBancorp.com.
BankAtlantic Bancorp Contact Info:
Leo Hinkley, Investor and Media Relations Officer
Telephone: (954) 940-5300
Email: InvestorRelations@BankAtlanticBancorp.com
Telephone: (954) 940-5300
Email: InvestorRelations@BankAtlanticBancorp.com
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BankAtlantic, “Florida’s Most Convenient Bank,” Contact Info:
Media Relations:
Sharon Lyn, Vice President
Telephone: 954-940-6383, Fax: 954-940-5320
Email: CorpComm@BankAtlanticBancorp.com
Telephone: 954-940-6383, Fax: 954-940-5320
Email: CorpComm@BankAtlanticBancorp.com
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Except for historical information contained herein, the matters discussed in this press release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), that involve substantial risks and uncertainties. Actual results, performance, or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of BankAtlantic Bancorp, Inc. (“the Company”) and are subject to a number of risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company’s control. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, products and services, including the impact of the changing regulatory environment, a continued or deepening recession, decreases in real estate values, and increased unemployment on our business generally, our regulatory capital ratios and the ability of our borrowers to service their obligations and of our customers to maintain account balances; credit risks and loan losses, and the related sufficiency of the allowance for loan losses, including the impact on the credit quality of our loans (including those held in the asset workout subsidiary of the Company) of a sustained downturn in the economy and in the real estate market and other changes in the real estate markets in our trade area, and where our collateral is located; the quality of our real estate based loans including our residential land acquisition and development loans (including Builder land bank loans, Land acquisition and development loans and Land acquisition, development and construction loans) as well as Commercial land loans, other Commercial real estate loans, Residential loans and Consumer loans, and conditions specifically in those market sectors; the quality of our Commercial business loans and conditions specifically in that market sector; the risks of additional charge-offs, impairments and required increases in our allowance for loan losses; changes in interest rates and the effects of, and changes in, trade, monetary and fiscal policies and laws including their impact on the bank’s net interest margin; adverse conditions in the stock market, the public debt market and other financial and credit markets and the impact of such conditions on our activities, the value of our assets and on the ability of our borrowers to service their debt obligations and maintain account balances; BankAtlantic’s seven-day banking initiatives and other initiatives not resulting in continued growth of core deposits or increasing average balances of new deposit accounts or producing results which do not justify their costs; the success of our expense reduction initiatives and the ability to achieve additional cost savings; and the impact of periodic valuation testing of goodwill, deferred tax assets and other assets. Past performance, actual or estimated new account openings and growth may not be indicative of future results. Forward-looking statements in this press release relating to the Company’s cash offers to purchase the outstanding TruPS are subject to the risk that a sufficient number of offers are not accepted by the requisite holders of the particular series of TruPS to which each offer relates and that we are not able to obtain financing upon
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acceptable terms, in amounts sufficient to complete the offers, if at all. In addition to the risks and f actors identified above, reference is also made to other risks and factors detailed in reports filed by the Company with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2008. The Company cautions that the foregoing factors are not exclusive.
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BankAtlantic Bancorp, Inc. and Subsidiaries
Summary of Selected Financial Data (unaudited)
Summary of Selected Financial Data (unaudited)
For the | ||||||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | ||||||||||||||||||||||||||
Earnings (in thousands): | ||||||||||||||||||||||||||||||||
Net loss from continuing operations | $ | (47,964 | ) | (52,089 | ) | (38,356 | ) | (46,611 | ) | (164,335 | ) | (185,020 | ) | (219,244 | ) | |||||||||||||||||
Net loss | $ | (47,964 | ) | (52,589 | ) | (38,356 | ) | (42,410 | ) | (153,770 | ) | (181,319 | ) | (202,639 | ) | |||||||||||||||||
Pre-tax core operating earnings — Non-GAAP | (note 1) | $ | 5,501 | 18,463 | 12,238 | 10,953 | (2,111 | ) | 47,155 | 39,883 | ||||||||||||||||||||||
Average Common Shares Outstanding (in thousands): | ||||||||||||||||||||||||||||||||
Basic | 49,220 | 15,096 | 15,093 | 15,090 | 15,087 | 23,625 | 15,079 | |||||||||||||||||||||||||
Diluted | 49,220 | 15,096 | 15,093 | 15,090 | 15,087 | 23,625 | 15,079 | |||||||||||||||||||||||||
Key Performance Ratios | ||||||||||||||||||||||||||||||||
Diluted loss per share from continuing operations | (note 2) | $ | (0.97 | ) | (3.45 | ) | (2.54 | ) | (3.09 | ) | (10.89 | ) | (7.83 | ) | (14.54 | ) | ||||||||||||||||
Diluted loss per share | (note 2) | $ | (0.97 | ) | (3.48 | ) | (2.54 | ) | (2.81 | ) | (10.19 | ) | (7.67 | ) | (13.44 | ) | ||||||||||||||||
Non-GAAP Key Performance Ratios | ||||||||||||||||||||||||||||||||
Return on average tangible assets from continuing operations | (note 3) | % | (3.93 | ) | (4.14 | ) | (2.88 | ) | (3.24 | ) | (10.96 | ) | (3.53 | ) | (3.54 | ) | ||||||||||||||||
Return on average tangible equity from continuing operations | (note 3) | % | (101.15 | ) | (132.56 | ) | (80.39 | ) | (81.46 | ) | (192.00 | ) | (96.65 | ) | (61.49 | ) | ||||||||||||||||
Average Balance Sheet Data (in millions): | ||||||||||||||||||||||||||||||||
Assets | $ | 4,894 | 5,046 | 5,351 | 5,775 | 6,073 | 5,263 | 6,264 | ||||||||||||||||||||||||
Tangible assets — Non-GAAP | (note 3) | $ | 4,878 | 5,030 | 5,334 | 5,749 | 5,999 | 5,245 | 6,188 | |||||||||||||||||||||||
Loans, gross | $ | 3,991 | 4,134 | 4,302 | 4,435 | 4,482 | 4,214 | 4,560 | ||||||||||||||||||||||||
Investments | $ | 497 | 575 | 705 | 947 | 1,054 | 679 | 1,182 | ||||||||||||||||||||||||
Deposits and escrows | $ | 3,988 | 4,046 | 4,089 | 3,986 | 3,917 | 4,027 | 3,927 | ||||||||||||||||||||||||
Stockholders’ equity | $ | 201 | 166 | 205 | 250 | 410 | 205 | 430 | ||||||||||||||||||||||||
Tangible stockholders’ equity — Non-GAAP | (note 3) | $ | 190 | 157 | 191 | 229 | 342 | 191 | 357 | |||||||||||||||||||||||
Period End ($ in thousands) | ||||||||||||||||||||||||||||||||
Total loans, net | $ | 3,698,826 | 3,845,837 | 4,036,754 | 4,212,536 | 4,326,651 | ||||||||||||||||||||||||||
Total assets | $ | 4,820,117 | 4,941,189 | 5,261,025 | 5,570,760 | 5,814,557 | ||||||||||||||||||||||||||
Total stockholders’ equity | $ | 146,071 | 189,442 | 166,567 | 207,015 | 243,968 | ||||||||||||||||||||||||||
Class A common shares outstanding | 48,245,042 | 48,245,042 | 10,264,106 | 10,259,344 | 10,258,057 | |||||||||||||||||||||||||||
Class B common shares outstanding | 975,225 | 975,225 | 975,225 | 975,225 | 975,225 | |||||||||||||||||||||||||||
Book value per share | $ | 2.97 | 3.85 | 14.82 | 18.43 | 21.72 | ||||||||||||||||||||||||||
Tangible book value per share — Non-GAAP | (note 4) | $ | 2.69 | 3.64 | 13.85 | 17.18 | 20.08 | |||||||||||||||||||||||||
High stock price for the quarter | $ | 2.96 | 6.68 | 4.75 | 5.67 | 11.82 | ||||||||||||||||||||||||||
Low stock price for the quarter | $ | 1.20 | 2.60 | 1.99 | 0.66 | 2.25 | ||||||||||||||||||||||||||
Closing stock price | $ | 1.30 | 2.90 | 3.86 | 2.01 | 5.80 |
Notes: | ||
(1) | Pre-tax core operating earnings excludes provision for loan losses, cost associated with debt redemption, provision for tax certificates FDIC special assessment and impairments, restructuring and exit activities. Pre-tax core operating earnings is a non-GAAP measure. See page 7 for a reconciliation of non-GAAP measures to GAAP financial measures. | |
(2) | Diluted and basic loss per share are the same for all periods presented. | |
(3) | Average tangible assets is defined as average total assets less average goodwill and core deposit intangibles. Average tangible equity is defined as average total stockholders’ equity less average goodwill, core deposit intangibles and other comprehensive income. Average tangible assets and average tangible equity are non-GAAP measures. See page 7 for a reconciliation of non-GAAP measures to GAAP financial measures. | |
(4) | Tangible book value per share is defined as stockholders’ equity less goodwill and core deposit intangibles divided by the number of common shares outstanding. Tangible book value per share is a non-GAAP measure. See page 7 for a reconciliation of non-GAAP measures to GAAP financial measures. |
2
BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Statements of Financial Condition (unaudited)
Consolidated Statements of Financial Condition (unaudited)
December 31, | December 31, | |||||||
(in thousands) | 2009 | 2008 | ||||||
ASSETS | ||||||||
Cash and cash equivalents | $ | 234,797 | 158,957 | |||||
Securities available for sale (at fair value) | 320,327 | 701,845 | ||||||
Investment securities (approximate fair value: $1,500 and $2,503) | 1,500 | 2,036 | ||||||
Tax certificates, net of allowance of $6,781 and $6,064 | 110,991 | 213,534 | ||||||
Loans receivable, net of allowance for loan losses of $182,718 and $137,257 | 3,698,826 | 4,326,651 | ||||||
Federal Home Loan Bank stock, at cost which approximates fair value | 48,751 | 54,607 | ||||||
Real estate held for development and sale | 13,694 | 18,383 | ||||||
Real estate owned | 46,477 | 19,045 | ||||||
Office properties and equipment, net | 201,686 | 216,978 | ||||||
Goodwill and other intangible assets | 15,817 | 26,244 | ||||||
Other assets | 127,251 | 76,277 | ||||||
Total assets | $ | 4,820,117 | 5,814,557 | |||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
Liabilities: | ||||||||
Deposits | ||||||||
Demand | $ | 827,580 | 741,691 | |||||
Savings | 412,360 | 419,494 | ||||||
NOW | 1,409,138 | 992,762 | ||||||
Money market | 360,043 | 427,762 | ||||||
Certificates of deposit | 960,559 | 1,344,659 | ||||||
Total deposits | 3,969,680 | 3,926,368 | ||||||
Advances from FHLB | 282,012 | 967,028 | ||||||
Securities sold under agreements to repurchase | 24,468 | 46,084 | ||||||
Federal funds purchased and other short term borrowings | 2,803 | 238,339 | ||||||
Subordinated debentures and bonds payable | 22,697 | 22,864 | ||||||
Junior subordinated debentures | 308,334 | 294,195 | ||||||
Other liabilities | 64,052 | 75,711 | ||||||
Total liabilities | 4,674,046 | 5,570,589 | ||||||
Stockholders’ equity: | ||||||||
Common stock | 493 | 113 | ||||||
Additional paid-in capital | 296,438 | 218,974 | ||||||
Retained (deficit) earnings | (148,934 | ) | 32,667 | |||||
Total stockholders’ equity before accumulated other comprehensive loss | 147,997 | 251,754 | ||||||
Accumulated other comprehensive loss | (1,926 | ) | (7,786 | ) | ||||
Total stockholders’ equity | 146,071 | 243,968 | ||||||
Total liabilities and stockholders’ equity | $ | 4,820,117 | 5,814,557 | |||||
3
BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Statements of Operations (unaudited)
Consolidated Statements of Operations (unaudited)
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
INTEREST INCOME: | ||||||||||||||||||||||||||||
Interest and fees on loans | $ | 43,056 | 45,028 | 47,747 | 49,678 | 56,660 | 185,509 | 247,222 | ||||||||||||||||||||
Interest on securities available for sale | 3,889 | 4,766 | 6,328 | 8,559 | 9,434 | 23,542 | 40,443 | |||||||||||||||||||||
Interest on tax certificates | 2,975 | 3,793 | 3,061 | 4,193 | 4,769 | 14,022 | 22,153 | |||||||||||||||||||||
Interest and dividends on investments | 136 | 161 | 44 | 179 | 250 | 520 | 4,698 | |||||||||||||||||||||
Total interest income | 50,056 | 53,748 | 57,180 | 62,609 | 71,113 | 223,593 | 314,516 | |||||||||||||||||||||
INTEREST EXPENSE: | ||||||||||||||||||||||||||||
Interest on deposits | 7,950 | 9,420 | 11,527 | 12,987 | 15,610 | 41,884 | 64,263 | |||||||||||||||||||||
Interest on advances from FHLB | 1,783 | 2,494 | 5,082 | 7,164 | 10,162 | 16,523 | 50,942 | |||||||||||||||||||||
Interest on short-term borrowed funds | 9 | 9 | 19 | 172 | 151 | 209 | 2,485 | |||||||||||||||||||||
Interest on long-term debt | 3,824 | 3,973 | 4,280 | 4,538 | 6,008 | 16,615 | 22,995 | |||||||||||||||||||||
Total interest expense | 13,566 | 15,896 | 20,908 | 24,861 | 31,931 | 75,231 | 140,685 | |||||||||||||||||||||
NET INTEREST INCOME | 36,490 | 37,852 | 36,272 | 37,748 | 39,182 | 148,362 | 173,831 | |||||||||||||||||||||
Provision for loan losses | 76,801 | 63,586 | 43,494 | 44,277 | 38,452 | 228,158 | 159,801 | |||||||||||||||||||||
NET INTEREST INCOME AFTER PROVISION | (40,311 | ) | (25,734 | ) | (7,222 | ) | (6,529 | ) | 730 | (79,796 | ) | 14,030 | ||||||||||||||||
NON-INTEREST INCOME: | ||||||||||||||||||||||||||||
Service charges on deposits | 17,940 | 19,767 | 19,347 | 18,685 | 21,501 | 75,739 | 93,905 | |||||||||||||||||||||
Other service charges and fees | 7,103 | 7,355 | 8,059 | 7,025 | 7,096 | 29,542 | 28,959 | |||||||||||||||||||||
Securities activities, net | 1,273 | 4,774 | 693 | 4,440 | (3,320 | ) | 11,180 | 2,039 | ||||||||||||||||||||
Other | 3,267 | 3,711 | 3,423 | 2,959 | 2,576 | 13,360 | 12,661 | |||||||||||||||||||||
Total non-interest income | 29,583 | 35,607 | 31,522 | 33,109 | 27,853 | 129,821 | 137,564 | |||||||||||||||||||||
NON-INTEREST EXPENSE: | ||||||||||||||||||||||||||||
Employee compensation and benefits | 28,628 | 24,876 | 25,935 | 28,806 | 28,882 | 108,245 | 128,897 | |||||||||||||||||||||
Occupancy and equipment | 14,270 | 14,553 | 14,842 | 14,911 | 16,228 | 58,576 | 64,782 | |||||||||||||||||||||
Advertising and business promotion | 2,286 | 1,549 | 1,979 | 2,832 | 4,348 | 8,646 | 16,335 | |||||||||||||||||||||
Professional fees | 5,138 | 3,470 | 2,695 | 3,326 | 4,622 | 14,629 | 12,761 | |||||||||||||||||||||
Check losses | 1,207 | 1,146 | 991 | 844 | 1,854 | 4,188 | 8,767 | |||||||||||||||||||||
Supplies and postage | 1,135 | 1,035 | 999 | 1,004 | 1,294 | 4,173 | 4,662 | |||||||||||||||||||||
Telecommunication | 844 | 353 | 586 | 698 | 866 | 2,481 | 4,452 | |||||||||||||||||||||
Cost associated with debt redemption | — | 5,431 | 1,441 | 591 | 1,236 | 7,463 | 1,238 | |||||||||||||||||||||
Provision for tax certificates | 686 | (198 | ) | 1,414 | 1,486 | 3,641 | 3,388 | 7,286 | ||||||||||||||||||||
Impairment of goodwill | — | — | — | 9,124 | 48,284 | 9,124 | 48,284 | |||||||||||||||||||||
Impairment, restructuring and exit activities | 7,700 | 1,730 | 1,817 | 2,086 | 3,620 | 13,333 | 10,029 | |||||||||||||||||||||
FDIC special assessment | — | — | 2,428 | — | — | 2,428 | — | |||||||||||||||||||||
Other | 7,064 | 8,014 | 7,529 | 7,483 | 11,052 | 30,090 | 30,856 | |||||||||||||||||||||
Total non-interest expense | 68,958 | 61,959 | 62,656 | 73,191 | 125,927 | 266,764 | 338,349 | |||||||||||||||||||||
Loss from continuing operations before income taxes | (79,686 | ) | (52,086 | ) | (38,356 | ) | (46,611 | ) | (97,344 | ) | (216,739 | ) | (186,755 | ) | ||||||||||||||
Provision (benefit) for income taxes | (31,722 | ) | 3 | — | — | 66,991 | (31,719 | ) | 32,489 | |||||||||||||||||||
Loss from continuing operations | (47,964 | ) | (52,089 | ) | (38,356 | ) | (46,611 | ) | (164,335 | ) | (185,020 | ) | (219,244 | ) | ||||||||||||||
Discontinued operations | — | (500 | ) | — | 4,201 | 10,565 | 3,701 | 16,605 | ||||||||||||||||||||
Net loss | $ | (47,964 | ) | (52,589 | ) | (38,356 | ) | (42,410 | ) | (153,770 | ) | (181,319 | ) | (202,639 | ) | |||||||||||||
4
BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Average Balance Sheet (unaudited)
Consolidated Average Balance Sheet (unaudited)
For the Three Months Ended | ||||||||||||||||||||||||
(in thousands except percentages and per share data) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||||||
Loans: | ||||||||||||||||||||||||
Residential real estate | $ | 1,600,027 | 1,698,715 | 1,821,553 | 1,916,589 | 1,956,429 | ||||||||||||||||||
Commercial real estate | 1,228,250 | 1,262,163 | 1,291,536 | 1,305,809 | 1,309,670 | |||||||||||||||||||
Consumer | 700,254 | 717,473 | 730,988 | 744,371 | 754,709 | |||||||||||||||||||
Commercial business | 150,467 | 140,621 | 141,254 | 146,703 | 138,598 | |||||||||||||||||||
Small business | 312,485 | 314,672 | 316,287 | 321,991 | 322,417 | |||||||||||||||||||
Total Loans | 3,991,483 | 4,133,644 | 4,301,618 | 4,435,463 | 4,481,823 | |||||||||||||||||||
Investments | 496,510 | 575,183 | 704,874 | 947,219 | 1,054,126 | |||||||||||||||||||
Total interest earning assets | 4,487,993 | 4,708,827 | 5,006,492 | 5,382,682 | 5,535,949 | |||||||||||||||||||
Goodwill and core deposit intangibles | 15,973 | 16,297 | 16,618 | 25,971 | 74,166 | |||||||||||||||||||
Other non-interest earning assets | 389,874 | 321,070 | 327,876 | 365,847 | 462,813 | |||||||||||||||||||
Total assets | $ | 4,893,840 | 5,046,194 | 5,350,986 | 5,774,500 | 6,072,928 | ||||||||||||||||||
Tangible assets — Non-GAAP | (note 3) | $ | 4,877,867 | 5,029,897 | 5,334,368 | 5,748,529 | 5,998,762 | |||||||||||||||||
Deposits: | ||||||||||||||||||||||||
Demand deposits | $ | 844,052 | 808,817 | 810,006 | 775,982 | 770,152 | ||||||||||||||||||
Savings | 421,032 | 431,516 | 451,122 | 441,278 | 425,256 | |||||||||||||||||||
NOW | 1,312,073 | 1,237,459 | 1,159,531 | 1,047,116 | 958,389 | |||||||||||||||||||
Money market | 372,081 | 392,344 | 412,065 | 421,883 | 461,253 | |||||||||||||||||||
Certificates of deposit | 1,038,920 | 1,175,821 | 1,256,299 | 1,300,056 | 1,301,953 | |||||||||||||||||||
Total deposits | 3,988,158 | 4,045,957 | 4,089,023 | 3,986,315 | 3,917,003 | |||||||||||||||||||
Short-term borrowed funds | 30,812 | 31,905 | 45,433 | 253,317 | 110,080 | |||||||||||||||||||
FHLB advances | 282,015 | 410,628 | 625,254 | 903,077 | 1,258,944 | |||||||||||||||||||
Long-term debt | 328,222 | 324,729 | 320,945 | 317,184 | 319,400 | |||||||||||||||||||
Total borrowings | 641,049 | 767,262 | 991,632 | 1,473,578 | 1,688,424 | |||||||||||||||||||
Other liabilities | 63,979 | 66,855 | 65,599 | 65,092 | 57,852 | |||||||||||||||||||
Total liabilities | 4,693,186 | 4,880,074 | 5,146,254 | 5,524,985 | 5,663,279 | |||||||||||||||||||
Stockholders’ equity | 200,654 | 166,120 | 204,732 | 249,515 | 409,649 | |||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 4,893,840 | 5,046,194 | 5,350,986 | 5,774,500 | 6,072,928 | ||||||||||||||||||
Other comprehensive (loss) income in stockholders’ equity | (4,999 | ) | (7,356 | ) | (2,729 | ) | (5,347 | ) | (6,874 | ) | ||||||||||||||
Tangible stockholders’ equity — Non-GAAP | (note 3) | $ | 189,680 | 157,179 | 190,843 | 228,891 | 342,357 | |||||||||||||||||
Net Interest Margin | 3.26 | % | 3.23 | % | 2.89 | % | 2.78 | % | 2.85 | % | ||||||||||||||
5
Consolidated BankAtlantic Bancorp and Subsidiaries
Nonperforming Assets and Credit Quality Statistics
Nonperforming Assets and Credit Quality Statistics
As of | ||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||
BankAtlantic | $ | 286,120 | 294,865 | 295,448 | 271,444 | 208,088 | ||||||||||||||
Parent- Work out Sub | 44,897 | 53,520 | 64,558 | 74,321 | 79,327 | |||||||||||||||
Consolidated nonaccrual loans | $ | 331,017 | 348,385 | 360,006 | 345,765 | 287,415 | ||||||||||||||
Net Charge-offs: | ||||||||||||||||||||
BankAtlantic | $ | (74,910 | ) | (43,092 | ) | (25,773 | ) | (22,453 | ) | (12,633 | ) | |||||||||
Parent- Work out Sub | (3,836 | ) | (8,051 | ) | (3,898 | ) | (684 | ) | (2,699 | ) | ||||||||||
Consolidated charge-offs | $ | (78,746 | ) | (51,143 | ) | (29,671 | ) | (23,137 | ) | (15,332 | ) | |||||||||
Loan Provision: | ||||||||||||||||||||
BankAtlantic | $ | 78,023 | 52,246 | 35,955 | 43,520 | 31,770 | ||||||||||||||
Parent- Work out Sub | (1,222 | ) | 11,340 | 7,539 | 757 | 6,682 | ||||||||||||||
Consolidated loan provision | $ | 76,801 | 63,586 | 43,494 | 44,277 | 38,452 | ||||||||||||||
Allowance for Loan Loss: | ||||||||||||||||||||
BankAtlantic | $ | 169,088 | 165,975 | 156,821 | 146,639 | 125,572 | ||||||||||||||
Parent- Work out Sub | 13,630 | 18,688 | 15,399 | 11,758 | 11,685 | |||||||||||||||
Consolidated allowance for loan loss | $ | 182,718 | 184,663 | 172,220 | 158,397 | 137,257 | ||||||||||||||
Nonperforming Assets: | ||||||||||||||||||||
BankAtlantic | $ | 324,226 | 328,685 | 328,775 | 294,505 | 228,574 | ||||||||||||||
Parent- Work out Sub | 55,429 | 59,787 | 68,640 | 74,321 | 79,327 | |||||||||||||||
Consolidated nonperforming assets | $ | 379,655 | 388,472 | 397,415 | 368,826 | 307,901 | ||||||||||||||
Consolidated Credit Quality Statistics | ||||||||||||||||||||
Allowance for loan losses to total loans | % | 4.71 | 4.58 | 4.09 | 3.62 | 3.07 | ||||||||||||||
Allowance to nonaccrual loans | % | 55.20 | 53.01 | 47.84 | 45.81 | 47.76 | ||||||||||||||
Provision to average loans | % | 7.70 | 6.15 | 4.04 | 3.99 | 3.43 | ||||||||||||||
Nonperforming loans, gross to total loans | % | 8.53 | 8.64 | 8.55 | 7.91 | 6.44 | ||||||||||||||
Nonperforming assets, gross to total loans and other assets | % | 9.38 | 9.22 | 8.97 | 8.07 | 6.55 |
6
BankAtlantic Bancorp, Inc. and Subsidiaries
Reconciliation of GAAP Financial Measures to Non-GAAP Measures
Reconciliation of GAAP Financial Measures to Non-GAAP Measures
Management uses non-GAAP financial measures to supplement its GAAP financial information and to provide additional useful measures in the evaluation of the Company’s operating results and any related trends that may be affecting the Company’s business. Management uses pre-tax core operating earnings to measure the Company’s ongoing financial performance excluding items that are not currently controllable by management. Management uses book value per share and tangible book value per share to enable investors to compare these measures to the quoted market price of the Company’s Class A common stock and to other companies in the industry. The return on average tangible equity and average tangible assets is used by management to measure the Company’s effectiveness in its use of capital and assets, respectively, and to allow for comparison to other companies in the industry. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Reconciliation of loss from continuing operations before income taxes to pre-tax core operating earnings
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Loss from continuing operations before income taxes | $ | (79,686 | ) | (52,086 | ) | (38,356 | ) | (46,611 | ) | (97,344 | ) | (216,739 | ) | (186,755 | ) | |||||||||||||
Costs associated with debt redemption | — | 5,431 | 1,441 | 591 | 1,236 | 7,463 | 1,238 | |||||||||||||||||||||
Provision for tax certificates | 686 | (198 | ) | 1,414 | 1,486 | 3,641 | 3,388 | 7,286 | ||||||||||||||||||||
Impairment of goodwill | — | — | — | 9,124 | 48,284 | 9,124 | 48,284 | |||||||||||||||||||||
Impairment, restructuring and exit activities | 7,700 | 1,730 | 1,817 | 2,086 | 3,620 | 13,333 | 10,029 | |||||||||||||||||||||
FDIC special assessment | — | — | 2,428 | — | — | 2,428 | — | |||||||||||||||||||||
Provision for loan losses | 76,801 | 63,586 | 43,494 | 44,277 | 38,452 | 228,158 | 159,801 | |||||||||||||||||||||
Non-GAAP pre-tax core operating earnings | $ | 5,501 | 18,463 | 12,238 | 10,953 | (2,111 | ) | 47,155 | 39,883 | |||||||||||||||||||
Reconciliation of stockholders’ equity to tangible book value per share
For the Three Months Ended | ||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
Stockholders’ equity | $ | 146,071 | 189,442 | 166,567 | 207,015 | 243,968 | ||||||||||||||
Goodwill and core deposit intangibles | (15,817 | ) | (16,139 | ) | (16,461 | ) | (16,784 | ) | (26,244 | ) | ||||||||||
Other comprehensive loss | 1,926 | 5,836 | 5,540 | 2,750 | 7,786 | |||||||||||||||
Tangible book value | $ | 132,180 | 179,139 | 155,646 | 192,981 | 225,510 | ||||||||||||||
Common shares outstanding, period end | 49,220,267 | 49,220,267 | 11,239,331 | 11,234,569 | 11,233,282 | |||||||||||||||
Book value per share | $ | 2.97 | 3.85 | 14.82 | 18.43 | 21.72 | ||||||||||||||
Tangible book value per share — Non-GAAP | $ | 2.69 | 3.64 | 13.85 | 17.18 | 20.08 | ||||||||||||||
Reconciliation of return on average assets and average equity to return on average tangible assets and average tangible equity
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Net loss from continuing operations | $ | (47,964 | ) | (52,089 | ) | (38,356 | ) | (46,611 | ) | (164,335 | ) | (185,020 | ) | (219,244 | ) | |||||||||||||
Average total assets | 4,893,840 | 5,046,194 | 5,350,986 | 5,774,500 | 6,072,928 | 5,263,364 | 6,263,500 | |||||||||||||||||||||
Average goodwill and core deposit intangibles | (15,973 | ) | (16,297 | ) | (16,618 | ) | (25,971 | ) | (74,166 | ) | (18,681 | ) | (75,076 | ) | ||||||||||||||
Average tangible assets | 4,877,867 | 5,029,897 | 5,334,368 | 5,748,529 | 5,998,762 | 5,244,683 | 6,188,424 | |||||||||||||||||||||
Average stockholders’ equity | 200,654 | 166,120 | 204,732 | 249,515 | 409,649 | 204,995 | 429,613 | |||||||||||||||||||||
Average goodwill and core deposit intangibles | (15,973 | ) | (16,297 | ) | (16,618 | ) | (25,971 | ) | (74,166 | ) | (18,681 | ) | (75,076 | ) | ||||||||||||||
Other comprehensive loss | 4,999 | 7,356 | 2,729 | 5,347 | 6,874 | 5,113 | 1,990 | |||||||||||||||||||||
Average tangible stockholders’ equity | $ | 189,680 | 157,179 | 190,843 | 228,891 | 342,357 | 191,427 | 356,527 | ||||||||||||||||||||
Return on average assets from continuing operations | -3.92 | % | -4.13 | % | -2.87 | % | -3.23 | % | -10.82 | % | -3.52 | % | -3.50 | % | ||||||||||||||
Return on average tangible assets from continuing operations — Non-GAAP | -3.93 | % | -4.14 | % | -2.88 | % | -3.24 | % | -10.96 | % | -3.53 | % | -3.54 | % | ||||||||||||||
Return on average stockholders’ equity from continuing operations | -95.62 | % | -125.42 | % | -74.94 | % | -74.72 | % | -160.46 | % | -90.26 | % | -51.03 | % | ||||||||||||||
Return on average stockholders’ equity continuing operations — Non-GAAP | -101.15 | % | -132.56 | % | -80.39 | % | -81.46 | % | -192.00 | % | -96.65 | % | -61.49 | % | ||||||||||||||
7
BankAtlantic (Bank Operations Business Segment)
Summary of Selected Financial Data (unaudited)
Summary of Selected Financial Data (unaudited)
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands except percentages) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Statistics: | ||||||||||||||||||||||||||||
Average interest earning assets | $ | 4,432,275 | 4,640,967 | 4,929,849 | 5,291,754 | 5,436,572 | 4,820,856 | 5,611,453 | ||||||||||||||||||||
Average interest bearing liabilities | $ | 3,494,040 | 3,717,691 | 3,992,654 | 4,414,439 | 4,571,084 | 3,901,672 | 4,683,489 | ||||||||||||||||||||
Period end borrowings to deposits and borrowings | % | 8.00 | 9.52 | 14.12 | 19.12 | 24.89 | 8.00 | 24.89 | ||||||||||||||||||||
Efficiency ratio | % | 96.82 | 77.99 | 83.83 | 96.07 | 162.43 | 88.44 | 99.90 | ||||||||||||||||||||
Yield on interest earning assets | % | 4.51 | 4.63 | 4.62 | 4.72 | 5.22 | 4.63 | 5.58 | ||||||||||||||||||||
Cost of interest-bearing liabilities | % | 1.13 | 1.30 | 1.70 | 1.90 | 2.30 | 1.53 | 2.55 | ||||||||||||||||||||
Interest spread | % | 3.38 | 3.33 | 2.92 | 2.82 | 2.92 | 3.10 | 3.03 | ||||||||||||||||||||
Net interest margin | % | 3.62 | 3.59 | 3.24 | 3.14 | 3.29 | 3.39 | 3.45 | ||||||||||||||||||||
Non-GAAP Measures (Note 1) | ||||||||||||||||||||||||||||
Average tangible assets | $ | 4,819,572 | 4,959,000 | 5,254,284 | 5,648,268 | 5,881,742 | 5,167,432 | 6,039,405 | ||||||||||||||||||||
Average tangible equity | $ | 425,344 | 376,006 | 391,404 | 401,665 | 492,366 | 398,607 | 478,304 | ||||||||||||||||||||
Pre-tax core operating earnings | $ | 10,550 | 23,908 | 18,877 | 16,218 | 9,561 | 69,553 | 67,170 | ||||||||||||||||||||
Core operating efficiency ratio | % | 84.52 | 68.94 | 74.09 | 78.27 | 87.36 | 76.23 | 79.70 | ||||||||||||||||||||
Return on average tangible assets | % | (3.66 | ) | (2.85 | ) | (1.84 | ) | (2.87 | ) | (9.05 | ) | (2.79 | ) | (2.75 | ) | |||||||||||||
Return on average tangible equity | % | (41.51 | ) | (37.56 | ) | (24.71 | ) | (40.42 | ) | (108.06 | ) | (36.18 | ) | (34.74 | ) | |||||||||||||
Tangible capital to tangible assets | % | 7.75 | 8.37 | 7.09 | 7.10 | 6.83 | ||||||||||||||||||||||
Earning assets repricing at period end: | ||||||||||||||||||||||||||||
Percent of earning assets that have fixed rates | % | 48 | 49 | 51 | 50 | 49 | ||||||||||||||||||||||
Percent of earning assets that have variable rates | % | 52 | 51 | 49 | 50 | 51 | ||||||||||||||||||||||
Regulatory capital ratios and statistics at period end | ||||||||||||||||||||||||||||
Total risk-based capital | % | 12.68 | 13.51 | 11.81 | 11.86 | 11.63 | ||||||||||||||||||||||
Tier I risk-based capital | % | 10.75 | 11.60 | 9.93 | 10.01 | 9.80 | ||||||||||||||||||||||
Core capital | % | 7.66 | 8.31 | 7.01 | 6.97 | 6.80 | ||||||||||||||||||||||
Risk-weighted assets | 3,369,218 | 3,470,256 | 3,636,582 | 3,789,181 | 3,929,233 | |||||||||||||||||||||||
Adjusted total assets | 4,725,417 | 4,843,459 | 5,148,806 | 5,444,708 | 5,661,952 |
Note 1
See page 15 for a reconciliation of non-GAAP measures to GAAP financial measures.
8
BankAtlantic (Bank Operations Business Segment)
Condensed Statements of Operations (unaudited)
Condensed Statements of Operations (unaudited)
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Net interest income | $ | 39,992 | 41,485 | 40,078 | 41,769 | 44,525 | 163,324 | 193,648 | ||||||||||||||||||||
Provision for loan losses | 78,023 | 52,246 | 35,955 | 43,520 | 31,770 | 209,744 | 135,383 | |||||||||||||||||||||
Net interest income after provision for loan losses | (38,031 | ) | (10,761 | ) | 4,123 | (1,751 | ) | 12,755 | (46,420 | ) | 58,265 | |||||||||||||||||
Non-interest income | ||||||||||||||||||||||||||||
Service charges on deposits | 17,940 | 19,767 | 19,347 | 18,685 | 21,501 | 75,739 | 93,905 | |||||||||||||||||||||
Other service charges and fees | 7,103 | 7,355 | 8,059 | 7,025 | 7,096 | 29,542 | 28,959 | |||||||||||||||||||||
Securities activities, net | — | 4,774 | 2,067 | 4,320 | 93 | 11,161 | 2,395 | |||||||||||||||||||||
Other non-interest income | 3,116 | 3,596 | 3,303 | 2,835 | 2,419 | 12,850 | 12,049 | |||||||||||||||||||||
Total non-interest income | 28,159 | 35,492 | 32,776 | 32,865 | 31,109 | 129,292 | 137,308 | |||||||||||||||||||||
Non-interest expense | ||||||||||||||||||||||||||||
Employee compensation and benefits | 26,229 | 23,917 | 24,985 | 28,078 | 29,137 | 103,209 | 125,851 | |||||||||||||||||||||
Occupancy and equipment | 14,269 | 14,553 | 14,842 | 14,910 | 16,227 | 58,574 | 64,774 | |||||||||||||||||||||
Advertising and business promotion | 2,254 | 1,514 | 1,846 | 2,781 | 4,243 | 8,395 | 16,056 | |||||||||||||||||||||
Professional fees | 4,542 | 2,752 | 2,336 | 2,944 | 4,019 | 12,574 | 10,979 | |||||||||||||||||||||
Check losses | 1,207 | 1,146 | 991 | 844 | 1,854 | 4,188 | 8,767 | |||||||||||||||||||||
Supplies and postage | 1,106 | 987 | 991 | 1,000 | 1,220 | 4,084 | 4,580 | |||||||||||||||||||||
Telecommunication | 842 | 348 | 580 | 694 | 860 | 2,464 | 4,430 | |||||||||||||||||||||
Cost associated with debt redemption | — | 5,431 | 1,441 | 591 | 1,236 | 7,463 | 1,238 | |||||||||||||||||||||
Provision for tax certificates | 686 | (198 | ) | 1,414 | 1,486 | 3,641 | 3,388 | 7,286 | ||||||||||||||||||||
Impairment of goodwill | — | — | — | 9,124 | 48,284 | 9,124 | 48,284 | |||||||||||||||||||||
Impairment, restructuring and exit activities | 7,700 | 1,730 | 1,817 | 2,086 | 3,620 | 13,333 | 10,029 | |||||||||||||||||||||
FDIC special assessment | — | — | 2,428 | — | — | 2,428 | — | |||||||||||||||||||||
Other | 7,152 | 7,852 | 7,406 | 7,165 | 8,513 | 29,575 | 28,349 | |||||||||||||||||||||
Total non-interest expense | 65,987 | 60,032 | 61,077 | 71,703 | 122,854 | 258,799 | 330,623 | |||||||||||||||||||||
Loss from bank operations business segment before income taxes | (75,859 | ) | (35,301 | ) | (24,178 | ) | (40,589 | ) | (78,990 | ) | (175,927 | ) | (135,050 | ) | ||||||||||||||
Provision (benefit) for income taxes | (31,722 | ) | 3 | — | — | 54,022 | (31,719 | ) | 31,094 | |||||||||||||||||||
Net loss from bank operations business segment | $ | (44,137 | ) | (35,304 | ) | (24,178 | ) | (40,589 | ) | (133,012 | ) | (144,208 | ) | (166,144 | ) | |||||||||||||
9
BankAtlantic (Bank Operations Business Segment)
Condensed Statements of Financial Condition (unaudited)
Condensed Statements of Financial Condition (unaudited)
As of | ||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
ASSETS | ||||||||||||||||||||
Loans receivable, net | $ | 3,664,443 | 3,807,800 | 3,984,305 | 4,147,713 | 4,256,741 | ||||||||||||||
Investment securities | 159,742 | 187,152 | 227,861 | 221,392 | 268,141 | |||||||||||||||
Available for sale securities | 320,322 | 355,340 | 431,762 | 518,871 | 700,250 | |||||||||||||||
Goodwill | 13,081 | 13,081 | 13,081 | 13,081 | 22,205 | |||||||||||||||
Core deposit intangible asset | 2,736 | 3,058 | 3,380 | 3,703 | 4,039 | |||||||||||||||
Other assets | 599,298 | 515,954 | 529,322 | 583,843 | 462,314 | |||||||||||||||
Total assets | $ | 4,759,622 | 4,882,385 | 5,189,711 | 5,488,603 | 5,713,690 | ||||||||||||||
LIABILITIES AND STOCKHOLDER’S EQUITY | ||||||||||||||||||||
Deposits | ||||||||||||||||||||
Demand | $ | 827,580 | 809,749 | 802,446 | 798,687 | 741,691 | ||||||||||||||
Savings | 412,360 | 425,508 | 438,127 | 457,991 | 419,494 | |||||||||||||||
NOW | 1,409,138 | 1,238,542 | 1,187,742 | 1,084,744 | 992,762 | |||||||||||||||
Money market | 360,043 | 372,442 | 395,903 | 413,777 | 427,762 | |||||||||||||||
Certificates of deposit | 960,559 | 1,113,238 | 1,230,829 | 1,298,114 | 1,344,659 | |||||||||||||||
Total deposits | 3,969,680 | 3,959,479 | 4,055,047 | 4,053,313 | 3,926,368 | |||||||||||||||
Advances from Federal Home Loan Bank | 282,012 | 342,016 | 597,020 | 817,024 | 967,028 | |||||||||||||||
Short term borrowings | 40,657 | 51,825 | 47,039 | 118,077 | 311,074 | |||||||||||||||
Long term debt | 22,697 | 22,738 | 22,781 | 22,822 | 22,864 | |||||||||||||||
Other liabilities | 61,175 | 83,085 | 84,454 | 72,279 | 71,643 | |||||||||||||||
Total liabilities | 4,376,221 | 4,459,143 | 4,806,341 | 5,083,515 | 5,298,977 | |||||||||||||||
Stockholder’s equity | 383,401 | 423,242 | 383,370 | 405,088 | 414,713 | |||||||||||||||
Total liabilities and stockholder’s equity | $ | 4,759,622 | 4,882,385 | 5,189,711 | 5,488,603 | 5,713,690 | ||||||||||||||
10
BankAtlantic (Bank Operations Business Segment)
Average Balance Sheet — Yield / Rate Analysis
Average Balance Sheet — Yield / Rate Analysis
For the Three Months Ended | ||||||||||||||||||||||||
December 31, 2009 | December 31, 2008 | |||||||||||||||||||||||
Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | |||||||||||||||||||
(in thousands) | Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||
Residential real estate | $ | 1,600,027 | 20,100 | 5.02 | % | $ | 1,956,429 | 26,295 | 5.38 | % | ||||||||||||||
Commercial real estate | 1,174,201 | 10,944 | 3.73 | 1,227,137 | 15,480 | 5.05 | ||||||||||||||||||
Consumer | 700,254 | 5,158 | 2.95 | 754,709 | 7,171 | 3.80 | ||||||||||||||||||
Commercial business | 148,931 | 1,806 | 4.85 | 137,062 | 2,339 | 6.83 | ||||||||||||||||||
Small business | 312,485 | 4,989 | 6.39 | 322,417 | 5,289 | 6.56 | ||||||||||||||||||
Total loans | 3,935,898 | 42,997 | 4.37 | 4,397,754 | 56,574 | 5.15 | ||||||||||||||||||
Investments | 496,377 | 6,982 | 5.63 | 1,038,818 | 14,327 | 5.52 | ||||||||||||||||||
Total interest earning assets | 4,432,275 | 49,979 | 4.51 | % | 5,436,572 | 70,901 | 5.22 | % | ||||||||||||||||
Goodwill and core deposit intangibles | 15,973 | 74,166 | ||||||||||||||||||||||
Other non-interest earning assets | 387,297 | 445,170 | ||||||||||||||||||||||
Total Assets | $ | 4,835,545 | $ | 5,955,908 | ||||||||||||||||||||
Deposits: | ||||||||||||||||||||||||
Savings | $ | 421,033 | 354 | 0.33 | % | $ | 425,256 | 729 | 0.68 | % | ||||||||||||||
NOW | 1,312,073 | 2,093 | 0.63 | 958,389 | 1,954 | 0.81 | ||||||||||||||||||
Money market | 372,080 | 624 | 0.67 | 461,253 | 1,319 | 1.14 | ||||||||||||||||||
Certificates of deposit | 1,038,920 | 4,879 | 1.86 | 1,301,953 | 11,607 | 3.55 | ||||||||||||||||||
Total interest bearing deposits | 3,144,106 | 7,950 | 1.00 | 3,146,851 | 15,609 | 1.97 | ||||||||||||||||||
Short-term borrowed funds | 45,225 | 14 | 0.12 | 140,083 | 209 | 0.59 | ||||||||||||||||||
Advances from FHLB | 282,015 | 1,782 | 2.51 | 1,258,944 | 10,162 | 3.21 | ||||||||||||||||||
Long-term debt | 22,694 | 241 | 4.21 | 25,206 | 396 | 6.25 | ||||||||||||||||||
Total interest bearing liabilities | 3,494,040 | 9,987 | 1.13 | 4,571,084 | 26,376 | 2.30 | ||||||||||||||||||
Demand deposits | 844,053 | 770,059 | ||||||||||||||||||||||
Non-interest bearing other liabilities | 61,130 | 54,383 | ||||||||||||||||||||||
Total Liabilities | 4,399,223 | 5,395,526 | ||||||||||||||||||||||
Stockholder’s equity | 436,322 | 560,382 | ||||||||||||||||||||||
Total liabilities and stockholder’s equity | $ | 4,835,545 | $ | 5,955,908 | ||||||||||||||||||||
Net interest income/ net interest spread | 39,992 | 3.38 | % | 44,525 | 2.92 | % | ||||||||||||||||||
Margin | ||||||||||||||||||||||||
Interest income/interest earning assets | 4.51 | % | 5.22 | % | ||||||||||||||||||||
Interest expense/interest earning assets | 0.89 | 1.93 | ||||||||||||||||||||||
Net interest margin | 3.62 | % | 3.29 | % | ||||||||||||||||||||
11
BankAtlantic (Bank Operations Business Segment)
Average Balance Sheet — Yield / Rate Analysis
Average Balance Sheet — Yield / Rate Analysis
For the Years Ended | ||||||||||||||||||||||||
December 31, 2009 | December 31, 2008 | |||||||||||||||||||||||
Average | Revenue/ | Yield/ | Average | Revenue/ | Yield/ | |||||||||||||||||||
(in thousands) | Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||
Residential real estate | $ | 1,758,188 | 89,836 | 5.11 | % | $ | 2,053,645 | 111,691 | 5.44 | % | ||||||||||||||
Commercial real estate | 1,204,005 | 46,746 | 3.88 | 1,238,307 | 69,642 | 5.62 | ||||||||||||||||||
Consumer | 723,135 | 21,104 | 2.92 | 743,863 | 33,950 | 4.56 | ||||||||||||||||||
Commercial business | 143,224 | 7,461 | 5.21 | 132,565 | 9,516 | 7.18 | ||||||||||||||||||
Small business | 316,328 | 20,010 | 6.33 | 320,853 | 22,162 | 6.91 | ||||||||||||||||||
Total loans | 4,144,880 | 185,157 | 4.47 | 4,489,233 | 246,961 | 5.50 | ||||||||||||||||||
Investments | 675,976 | 37,890 | 5.61 | 1,122,220 | 66,324 | 5.91 | ||||||||||||||||||
Total interest earning assets | 4,820,856 | 223,047 | 4.63 | % | 5,611,453 | 313,285 | 5.58 | % | ||||||||||||||||
Goodwill and core deposit intangibles | 18,681 | 75,076 | ||||||||||||||||||||||
Other non-interest earning assets | 346,576 | 427,952 | ||||||||||||||||||||||
Total Assets | $ | 5,186,113 | $ | 6,114,481 | ||||||||||||||||||||
Deposits: | ||||||||||||||||||||||||
Savings | $ | 436,169 | 1,612 | 0.37 | % | $ | 503,464 | 4,994 | 0.99 | % | ||||||||||||||
NOW | 1,189,903 | 7,248 | 0.61 | 945,594 | 8,791 | 0.93 | ||||||||||||||||||
Money market | 399,437 | 2,713 | 0.68 | 560,885 | 8,993 | 1.60 | ||||||||||||||||||
Certificates of deposit | 1,192,012 | 30,311 | 2.54 | 1,088,170 | 41,485 | 3.81 | ||||||||||||||||||
Total deposits | 3,217,521 | 41,884 | 1.30 | 3,098,113 | 64,263 | 2.07 | ||||||||||||||||||
Short-term borrowed funds | 108,248 | 237 | 0.22 | 141,654 | 2,699 | 1.91 | ||||||||||||||||||
Advances from FHLB | 553,146 | 16,522 | 2.99 | 1,417,718 | 50,942 | 3.59 | ||||||||||||||||||
Long-term debt | 22,757 | 1,080 | 4.75 | 26,004 | 1,733 | 6.66 | ||||||||||||||||||
Total interest bearing liabilities | 3,901,672 | 59,723 | 1.53 | 4,683,489 | 119,637 | 2.55 | ||||||||||||||||||
Demand deposits | 809,900 | 828,825 | ||||||||||||||||||||||
Non-interest bearing other liabilities | 62,343 | 50,584 | ||||||||||||||||||||||
Total Liabilities | 4,773,915 | 5,562,898 | ||||||||||||||||||||||
Stockholder’s equity | 412,198 | 551,583 | ||||||||||||||||||||||
Total liabilities and stockholder’s equity | $ | 5,186,113 | $ | 6,114,481 | ||||||||||||||||||||
Net interest income/net interest spread | 163,324 | 3.10 | % | 193,648 | 3.03 | % | ||||||||||||||||||
Margin | ||||||||||||||||||||||||
Interest income/interest earning assets | 4.63 | % | 5.58 | % | ||||||||||||||||||||
Interest expense/interest earning assets | 1.24 | 2.13 | ||||||||||||||||||||||
Net interest margin | 3.39 | % | 3.45 | % | ||||||||||||||||||||
12
BankAtlantic (Bank Operations Business Segment)
Allowance for Loan Loss and Credit Quality
Allowance for Loan Loss and Credit Quality
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Allowance for Loan Losses | ||||||||||||||||||||||||||||
Beginning balance | $ | 165,975 | 156,821 | 146,639 | 125,572 | 106,435 | 125,572 | 94,020 | ||||||||||||||||||||
Charge-offs: | ||||||||||||||||||||||||||||
Residential real estate | (7,579 | ) | (7,174 | ) | (3,923 | ) | (4,588 | ) | (2,088 | ) | (23,264 | ) | (4,816 | ) | ||||||||||||||
Commercial real estate | (58,664 | ) | (21,541 | ) | (10,530 | ) | (5,565 | ) | — | (96,300 | ) | (60,057 | ) | |||||||||||||||
Commercial business | — | — | (516 | ) | — | — | (516 | ) | — | |||||||||||||||||||
Consumer | (8,307 | ) | (12,490 | ) | (9,118 | ) | (10,321 | ) | (9,197 | ) | (40,236 | ) | (28,942 | ) | ||||||||||||||
Small business | (1,738 | ) | (2,249 | ) | (2,347 | ) | (2,771 | ) | (1,755 | ) | (9,105 | ) | (4,886 | ) | ||||||||||||||
Total charge-offs | (76,288 | ) | (43,454 | ) | (26,434 | ) | (23,245 | ) | (13,040 | ) | (169,421 | ) | (98,701 | ) | ||||||||||||||
Recoveries: | ||||||||||||||||||||||||||||
Residential real estate | 96 | 133 | 360 | 323 | 130 | 912 | 397 | |||||||||||||||||||||
Commercial real estate | 422 | — | — | 278 | — | 700 | — | |||||||||||||||||||||
Commercial business | 494 | — | 5 | 1 | 3 | 500 | 41 | |||||||||||||||||||||
Consumer | 205 | 157 | 130 | 95 | 163 | 587 | 444 | |||||||||||||||||||||
Small business | 161 | 72 | 166 | 95 | 111 | 494 | 428 | |||||||||||||||||||||
Total recoveries | 1,378 | 362 | 661 | 792 | 407 | 3,193 | 1,310 | |||||||||||||||||||||
Net charge-offs | (74,910 | ) | (43,092 | ) | (25,773 | ) | (22,453 | ) | (12,633 | ) | (166,228 | ) | (97,391 | ) | ||||||||||||||
Transfer specific reserves to Parent | — | — | — | — | — | — | (6,440 | ) | ||||||||||||||||||||
Provision for loan losses | 78,023 | 52,246 | 35,955 | 43,520 | 31,770 | 209,744 | 135,383 | |||||||||||||||||||||
Ending balance | $ | 169,088 | 165,975 | 156,821 | 146,639 | 125,572 | 169,088 | 125,572 | ||||||||||||||||||||
As of | ||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | ||||||||||||||||
Credit Quality | ||||||||||||||||||||
Nonaccrual loans | ||||||||||||||||||||
Commercial real estate | $ | 167,867 | 189,720 | 204,104 | 204,560 | 161,947 | ||||||||||||||
Consumer | 14,451 | 11,336 | 11,821 | 7,984 | 6,763 | |||||||||||||||
Small business | 9,338 | 9,693 | 8,916 | 7,383 | 4,644 | |||||||||||||||
Residential real estate | 76,401 | 76,022 | 64,720 | 45,630 | 34,734 | |||||||||||||||
Commercial business | 18,063 | 8,094 | 5,887 | 5,887 | — | |||||||||||||||
Total Nonaccrual loans | 286,120 | 294,865 | 295,448 | 271,444 | 208,088 | |||||||||||||||
Nonaccrual tax certificates | 2,161 | 3,011 | 3,091 | 1,298 | 1,441 | |||||||||||||||
Real estate owned | 35,935 | 30,796 | 30,213 | 21,763 | 19,045 | |||||||||||||||
Other repossessed assets | 10 | 13 | 23 | — | — | |||||||||||||||
Total nonperforming assets | $ | 324,226 | 328,685 | 328,775 | 294,505 | 228,574 | ||||||||||||||
Allowance for loan losses to total loans | % | 4.41 | 4.18 | 3.79 | 3.41 | 2.87 | ||||||||||||||
Allowance to nonaccrual loans | % | 59.10 | 56.29 | 53.08 | 54.02 | 60.35 | ||||||||||||||
Provision to average loans | % | 7.93 | 5.14 | 3.40 | 4.00 | 2.89 | ||||||||||||||
Annualized net charge-offs to average loans | % | 7.61 | 4.24 | 2.44 | 2.06 | 1.15 | ||||||||||||||
Nonperforming loans to total loans | % | 7.46 | 7.42 | 7.13 | 6.32 | 4.75 | ||||||||||||||
Nonperforming assets to total loans and other assets | % | 8.13 | 7.92 | 7.54 | 6.55 | 4.95 |
13
BankAtlantic (Bank Operations Business Segment)
Delinquencies, Excluding Non-Accrual Loans, at Period-End
Delinquencies, Excluding Non-Accrual Loans, at Period-End
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | ||||||||||||||||
Commercial real estate | % | 2.28 | * | 1.07 | * | 0.72 | * | 2.39 | * | 1.34 | ||||||||||
Consumer | % | 2.23 | 1.97 | 1.40 | 1.71 | 1.60 | ||||||||||||||
Small business | % | 0.87 | 1.25 | 1.12 | 2.11 | 1.31 | ||||||||||||||
Residential real estate | % | 1.72 | ** | 1.52 | ** | 1.39 | ** | 1.46 | ** | 1.04 | ||||||||||
Commercial business | % | 1.80 | 3.27 | — | 0.13 | — | ||||||||||||||
Total BankAtlantic | % | 1.91 | * | 1.51 | * | 1.13 | * | 1.77 | * | 1.20 | ||||||||||
* | Excludes $8.7 million, $0, $14.3 million, $15.7 million, and $58.5 million of Commercial Real Estate loans at December 31,2009, September 30, 2009, June 30, 2009, March 31, 2009 and December 31, 2008, respectively, which had matured and had been approved for renewal or forbearance but were not fully documented at period end. Including these loans, Commercial Real Estate delinquencies were 3.07%,1.90%, 3.68%,6.12% and 2.52% and total BankAtlantic delinquencies would have been 2.14%, 1.50%, 2.14% and 2.54% at December 31, 2009, June 30, 2009, March 31, 2009 and December 31, 2008, respectively. | |
** | Includes $1.5 billion, $1.6 billion, $1.7 billion and $1.8 billion of purchased residential loans with delinquencies excluding non-accrual loans of 1.59%, 1.44%, 1.38%, 1.38% as of December 31, 2009, September 30, 2009, June 30, 2009 and March 31, 2009, respectively. |
BankAtlantic (Bank Operations Business Segment)
Loan Provision & Allowance for Loan Losses
Loan Provision & Allowance for Loan Losses
Allowance | % of Reserves | |||||||||||
4Q 2009 | for Loan | to Total | ||||||||||
($ in thousands) | Loan Provision | Losses | Loans | |||||||||
Commercial real estate | $ | 57,236 | 87,158 | 7.81 | % | |||||||
Consumer | 8,784 | 42,417 | 6.22 | |||||||||
Small business | 397 | 7,998 | 2.55 | |||||||||
Residential real estate | 10,759 | 27,000 | 1.74 | |||||||||
Commercial business | 847 | 4,515 | 2.89 | |||||||||
Total BankAtlantic | $ | 78,023 | 169,088 | 4.41 | % | |||||||
14
BankAtlantic (Bank Operations Business Segment)
Reconciliation of GAAP Financial Measures to Non-GAAP Measures
Reconciliation of GAAP Financial Measures to Non-GAAP Measures
Management uses non-GAAP financial measures to supplement its GAAP financial information and to provide additional useful measures in the evaluation of BankAtlantic’s operating results and any related trends that may be affecting BankAtlantic’s business. Management uses pre-tax core operating earnings to measure BankAtlantic’s ongoing financial performance excluding items that are not currently controllable by management. Management u ses core expenses to measure expense reduction trends excluding items that are not currently controllable by management. The core operating efficiency ratio is used by management to measure the costs expended to generate a dollar of revenues excluding items that are not currently controllable by management. The return on average tangible equity and average tangible assets is used by management to measure BankAtlantic’s effectiveness in its use of capital and assets, respectively, and to allow for comparison to other companies in the industry. The tangible equity to tangible asset ratio is used by management to evaluate capital adequacy trends and to allow for comparison to other companies in the industry. Management uses the core deposit measure to assess trends relating to its lower cost deposit categories, which management believes may generally be more indicative of relationship deposits. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Reconciliation of loss from bank operations business segment before income taxes to pre-tax core operating earnings
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | ||||||||||||||||||||||
Loss from bank operations business segment before income taxes | $ | (75,859 | ) | (35,301 | ) | (24,178 | ) | (40,589 | ) | (78,990 | ) | (175,927 | ) | (135,050 | ) | |||||||||||||
Costs associated with debt redemption | — | 5,431 | 1,441 | 591 | 1,236 | 7,463 | 1,238 | |||||||||||||||||||||
Provision for tax certificates | 686 | (198 | ) | 1,414 | 1,486 | 3,641 | 3,388 | 7,286 | ||||||||||||||||||||
Impairment of goodwill | — | — | — | 9,124 | 48,284 | 9,124 | 48,284 | |||||||||||||||||||||
Impairment, restructuring and exit activities | 7,700 | 1,730 | 1,817 | 2,086 | 3,620 | 13,333 | 10,029 | |||||||||||||||||||||
FDIC special assessment | — | — | 2,428 | — | — | 2,428 | — | |||||||||||||||||||||
Provision for loan losses | 78,023 | 52,246 | 35,955 | 43,520 | 31,770 | 209,744 | 135,383 | |||||||||||||||||||||
Non-GAAP pre-tax core operating earnings | $ | 10,550 | 23,908 | 18,877 | 16,218 | 9,561 | 69,553 | 67,170 | ||||||||||||||||||||
Reconciliation of non-interest expense to core expenses and calculation of core operating efficiency ratio
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | ||||||||||||||||||||||
Non-interest expense | $ | 65,987 | 60,032 | 61,077 | 71,703 | 122,854 | 258,799 | 330,623 | ||||||||||||||||||||
Costs associated with debt redemption | — | (5,431 | ) | (1,441 | ) | (591 | ) | (1,236 | ) | (7,463 | ) | (1,238 | ) | |||||||||||||||
Provision for tax certificates | (686 | ) | 198 | (1,414 | ) | (1,486 | ) | (3,641 | ) | (3,388 | ) | (7,286 | ) | |||||||||||||||
Impairment of goodwill | — | — | — | (9,124 | ) | (48,284 | ) | (9,124 | ) | (48,284 | ) | |||||||||||||||||
Impairment, restructuring and exit activities | (7,700 | ) | (1,730 | ) | (1,817 | ) | (2,086 | ) | (3,620 | ) | (13,333 | ) | (10,029 | ) | ||||||||||||||
FDIC special assessment | — | — | (2,428 | ) | — | — | (2,428 | ) | — | |||||||||||||||||||
Core expenses | $ | 57,601 | 53,069 | 53,977 | 58,416 | 66,073 | 223,063 | 263,786 | ||||||||||||||||||||
Net interest income | 39,992 | 41,485 | 40,078 | 41,769 | 44,525 | 163,324 | 193,648 | |||||||||||||||||||||
Non-interest income | 28,159 | 35,492 | 32,776 | 32,865 | 31,109 | 129,292 | 137,308 | |||||||||||||||||||||
Total revenues | $ | 68,151 | 76,977 | 72,854 | 74,634 | 75,634 | 292,616 | 330,956 | ||||||||||||||||||||
Non-GAAP core operating efficiency ratio | 84.52 | % | 68.94 | % | 74.09 | % | 78.27 | % | 87.36 | % | 76.23 | % | 79.70 | % | ||||||||||||||
Reconciliation of return on average assets and average equity to return on average tangible assets and average tangible equity
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
($ in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Net loss from bank operations business segment | $ | (44,137 | ) | (35,304 | ) | (24,178 | ) | (40,589 | ) | (133,012 | ) | (144,208 | ) | (166,144 | ) | |||||||||||||
Average total assets | 4,835,545 | 4,975,297 | 5,270,902 | 5,674,239 | 5,955,908 | 5,186,113 | 6,114,481 | |||||||||||||||||||||
Average goodwill and core deposit intangibles | (15,973 | ) | (16,297 | ) | (16,618 | ) | (25,825 | ) | (74,166 | ) | (18,681 | ) | (75,076 | ) | ||||||||||||||
Average tangible assets | 4,819,572 | 4,959,000 | 5,254,284 | 5,648,414 | 5,881,742 | 5,167,432 | 6,039,405 | |||||||||||||||||||||
Average stockholders’ equity | 436,322 | 384,934 | 405,382 | 422,154 | 560,382 | 412,198 | 551,583 | |||||||||||||||||||||
Average goodwill and core deposit intangibles | (15,973 | ) | (16,297 | ) | (16,618 | ) | (25,825 | ) | (74,166 | ) | (18,681 | ) | (75,076 | ) | ||||||||||||||
Other comprehensive loss | 4,995 | 7,369 | 2,640 | 5,336 | 6,150 | 5,090 | 1,797 | |||||||||||||||||||||
Average tangible stockholder’s equity | $ | 425,344 | 376,006 | 391,404 | 401,665 | 492,366 | 398,607 | 478,304 | ||||||||||||||||||||
Return on average assets from continuing operations | -3.65 | % | -2.84 | % | -1.83 | % | -2.86 | % | -8.93 | % | -2.78 | % | -2.72 | % | ||||||||||||||
Return on average tangible assets from continuing operations — Non-GAAP | -3.66 | % | -2.85 | % | -1.84 | % | -2.87 | % | -9.05 | % | -2.79 | % | -2.75 | % | ||||||||||||||
Return on average stockholders’ equity from continuing operations | -40.46 | % | -36.69 | % | -23.86 | % | -38.46 | % | -94.94 | % | -34.99 | % | -30.12 | % | ||||||||||||||
Return on average stockholders’ equity continuing operations — Non-GAAP | -41.51 | % | -37.56 | % | -24.71 | % | -40.42 | % | -108.06 | % | -36.18 | % | -34.74 | % | ||||||||||||||
Reconciliation of stockholder’s equity to total tangible capital; Total assets to total tangible assets; The calculation of tangible capital to tangible assets
For the Three Months Ended | ||||||||||||||||||||
($ in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
Stockholder’s equity | $ | 383,401 | 423,242 | 383,370 | 405,088 | 414,713 | ||||||||||||||
Goodwill and core deposit intangibles | (15,817 | ) | (16,139 | ) | (16,461 | ) | (16,784 | ) | (26,244 | ) | ||||||||||
Total tangible capital | 367,584 | 407,103 | 366,909 | 388,304 | 388,469 | |||||||||||||||
Total assets | 4,759,622 | 4,882,385 | 5,189,711 | 5,488,603 | 5,713,690 | |||||||||||||||
Goodwill and core deposit intangibles | (15,817 | ) | (16,139 | ) | (16,461 | ) | (16,784 | ) | (26,244 | ) | ||||||||||
Total tangible assets | $ | 4,743,805 | $ | 4,866,246 | $ | 5,173,250 | $ | 5,471,819 | $ | 5,687,446 | ||||||||||
Non-GAAP tangible capital to tangible assets | 7.75 | % | 8.37 | % | 7.09 | % | 7.10 | % | 6.83 | % | ||||||||||
Reconciliation of total deposits to core deposits
For the Three Months Ended | ||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
Total deposits | $ | 3,969,680 | 3,959,479 | 4,055,047 | 4,053,313 | 3,926,368 | ||||||||||||||
Money market | (360,043 | ) | (372,442 | ) | (395,903 | ) | (413,777 | ) | (427,762 | ) | ||||||||||
Certificates of deposit | (960,559 | ) | (1,113,238 | ) | (1,230,829 | ) | (1,298,114 | ) | (1,344,659 | ) | ||||||||||
Core deposits | 2,649,078 | 2,473,799 | 2,428,315 | 2,341,422 | 2,153,947 | |||||||||||||||
15
Parent Company Business Segment
Condensed Statements of Operations (unaudited)
Condensed Statements of Operations (unaudited)
For the | ||||||||||||||||||||||||||||
For the Three Months Ended | Years Ended | |||||||||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | |||||||||||||||||||||
Net interest expense | $ | (3,501 | ) | (3,633 | ) | (3,807 | ) | (4,021 | ) | (5,343 | ) | (14,962 | ) | (19,819 | ) | |||||||||||||
(Recovery)/provision for loan losses | (1,222 | ) | 11,340 | 7,539 | 757 | 6,682 | 18,414 | 24,418 | ||||||||||||||||||||
Net interest income after provision for loan losses | (2,279 | ) | (14,973 | ) | (11,346 | ) | (4,778 | ) | (12,025 | ) | (33,376 | ) | (44,237 | ) | ||||||||||||||
Non-interest income | ||||||||||||||||||||||||||||
Income from unconsolidated subsidiaries | 145 | 109 | 115 | 118 | 155 | 487 | 600 | |||||||||||||||||||||
Securities activities, net | 1,274 | — | (1,375 | ) | 120 | (3,413 | ) | 19 | (356 | ) | ||||||||||||||||||
Other | 294 | 255 | 287 | 222 | 287 | 1,058 | 1,029 | |||||||||||||||||||||
Non-interest income | 1,713 | 364 | (973 | ) | 460 | (2,971 | ) | 1,564 | 1,273 | |||||||||||||||||||
Non-interest expense | ||||||||||||||||||||||||||||
Employee compensation and benefits | 2,399 | 959 | 950 | 728 | (255 | ) | 5,036 | 3,046 | ||||||||||||||||||||
Advertising and business promotion | 31 | 35 | 134 | 51 | 105 | 251 | 279 | |||||||||||||||||||||
Professional fees | 596 | 718 | 359 | 382 | 603 | 2,055 | 1,782 | |||||||||||||||||||||
Other | 235 | 464 | 416 | 543 | 2,905 | 1,658 | 3,634 | |||||||||||||||||||||
Non-interest expense | 3,261 | 2,176 | 1,859 | 1,704 | 3,358 | 9,000 | 8,741 | |||||||||||||||||||||
Loss from parent company activities before income taxes | (3,827 | ) | (16,785 | ) | (14,178 | ) | (6,022 | ) | (18,354 | ) | (40,812 | ) | (51,705 | ) | ||||||||||||||
Provision for income taxes | — | — | — | — | 12,969 | — | 1,395 | |||||||||||||||||||||
Net loss from parent company | ||||||||||||||||||||||||||||
business segment | $ | (3,827 | ) | (16,785 | ) | (14,178 | ) | (6,022 | ) | (31,323 | ) | (40,812 | ) | (53,100 | ) | |||||||||||||
Parent Company Business Segment
Condensed Statements of Financial Condition — Unaudited
Condensed Statements of Financial Condition — Unaudited
As of | ||||||||||||||||||||
(in thousands) | 12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash | $ | 14,002 | 16,105 | 16,122 | 19,860 | 37,116 | ||||||||||||||
Securities | 1,505 | 2,207 | 2,250 | 3,289 | 3,631 | |||||||||||||||
Investment in subsidiaries | 428,029 | 466,671 | 439,090 | 472,272 | 484,723 | |||||||||||||||
Investment in unconsolidated subsidiaries | 9,307 | 9,161 | 9,052 | 8,937 | 8,820 | |||||||||||||||
Other assets | 4,017 | 2,630 | 3,019 | 2,353 | 7,943 | |||||||||||||||
Total assets | $ | 456,860 | 496,774 | 469,533 | 506,711 | 542,233 | ||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Subordinated debentures and notes payable | $ | 308,334 | 304,944 | 301,353 | 297,519 | 294,195 | ||||||||||||||
Other liabilities | 2,455 | 2,388 | 1,613 | 2,177 | 4,070 | |||||||||||||||
Total liabilities | 310,789 | 307,332 | 302,966 | 299,696 | 298,265 | |||||||||||||||
Stockholders’ equity | 146,071 | 189,442 | 166,567 | 207,015 | 243,968 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 456,860 | 496,774 | 469,533 | 506,711 | 542,233 | ||||||||||||||
Parent Company Business Segment
Allowance for Loan Loss and Credit Quality
Allowance for Loan Loss and Credit Quality
Parent Company and Work-out Subsidiary
For the | ||||||||||||||||||||||||||||
(in thousands) | For the Three Months Ended | Years Ended | ||||||||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | 12/31/2009 | 12/31/2008 | ||||||||||||||||||||||
Allowance for Loan Losses | ||||||||||||||||||||||||||||
Beginning balance | $ | 18,688 | 15,399 | 11,758 | 11,685 | 7,702 | 11,685 | — | ||||||||||||||||||||
Charge-offs | (3,836 | ) | (8,051 | ) | (3,898 | ) | (684 | ) | (2,699 | ) | (16,469 | ) | (19,173 | ) | ||||||||||||||
Specific reserves transfer from BankAtlantic | — | — | — | — | — | — | 6,440 | |||||||||||||||||||||
Provision for loan losses | (1,222 | ) | 11,340 | 7,539 | 757 | 6,682 | 18,414 | 24,418 | ||||||||||||||||||||
Ending balance | $ | 13,630 | 18,688 | 15,399 | 11,758 | 11,685 | 13,630 | 11,685 | ||||||||||||||||||||
As of | ||||||||||||||||||||
12/31/2009 | 9/30/2009 | 6/30/2009 | 3/31/2009 | 12/31/2008 | ||||||||||||||||
Credit Quality | ||||||||||||||||||||
Total Loans — gross | $ | 48,012 | 56,783 | 67,910 | 76,641 | 81,657 | ||||||||||||||
Nonaccrual loans | $ | 44,897 | 53,520 | 64,558 | 74,321 | 79,327 | ||||||||||||||
Specific reserves | (13,630 | ) | (18,680 | ) | (15,367 | ) | (11,758 | ) | (11,685 | ) | ||||||||||
Nonaccrual loans, net | $ | 31,267 | 34,840 | 49,191 | 62,563 | 67,642 | ||||||||||||||
Real estate owned | 10,532 | 6,267 | 4,082 | — | — | |||||||||||||||
Total nonperforming assets | $ | 41,799 | 41,107 | 53,273 | 62,563 | 67,642 | ||||||||||||||
16