UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
Current Report
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
April 11, 2001
Date of Report (Date of earliest event reported)
BB&T Corporation
(Exact name of registrant as specified in its charter)
Commission file number : 1-10853
North Carolina 56-0939887
(State of incorporation) (I.R.S. Employer Identification No.)
200 West Second Street
Winston-Salem, North Carolina 27101
(Address of principal executive offices) (Zip Code)
(336) 733-2000
(Registrant's telephone number, including area code)
This Form 8-K has 12 pages.
ITEM 5. OTHER EVENTS
The purpose of this Current Report on Form 8-K is to file BB&T Corporation's Quarterly Performance Summary for the first quarter of 2001.
EXHIBIT INDEX
Exhibit 99.1 Quarterly Performance Summary issued April 11, 2001
April 11, 2001 FOR IMMEDIATE RELEASEContacts:
ANALYSTS MEDIA
Tom A. Nicholson Scott E. Reed Bob Denham
Senior Vice President Sr. Exec. Vice President Senior Vice President
Investor Relations Chief Financial Officer Public Relations
(336) 733-3058 (336) 733-3088 (336) 733-1002
WINSTON-SALEM, N.C. -- BB&T Corporation (NYSE:BBT) reported today first quarter 2001 earnings totaling $243.3 million, or $.59 per diluted share, excluding $24.9 million in after-tax nonrecurring items. Net income, excluding nonrecurring items, increased 16.1% in the first quarter of 2001 and diluted earnings per share increased 15.7% compared to 2000 recurring results.
The nonrecurring charges, which totaled $99.6 million on a pretax basis, include costs associated with the first quarter acquisition and systems conversion of FCNB Corp. of Frederick, Md., and certain other special charges, the largest of which was a $41.5 million writedown in the value of BB&T’s capitalized mortgage servicing rights because of the falling interest rate environment. Also, BB&T recorded a $63.0 million pretax nonrecurring gain on an investment in an electronic transaction processing company during the first quarter.
BB&T’s first quarter 2001 results, excluding nonrecurring items, generated an annualized return on average assets of 1.61% and an annualized return on average shareholders’ equity of 20.03%, compared to prior year ratios of 1.54% and 20.05%, respectively.
Including the nonrecurring items, net income for the first quarter of 2001 totaled $218.4 million, an increase of 15.0% compared to $189.8 million earned in the first quarter of 2000. On a diluted per share basis, net income for the quarter was $.53, an increase of 15.2% compared to $.46 earned in 2000.
BB&T’s “cash basis” operating results, which exclude the effects of intangible assets and the related amortization expenses, improved in the first quarter of 2001 compared to 2000. Recurring cash basis earnings totaled $259.7 million for the first quarter of 2001, or $.63 per diluted share, increases of 15.7% and 16.7%, respectively, compared to prior year results. Cash basis earnings for the quarter generated an annualized return on average tangible assets of 1.74% and an annualized return on average tangible shareholders’ equity of 25.36%.
“We are very pleased to report strong first quarter earnings,” said Chairman and Chief Executive Officer John A. Allison. “In spite of the slowing national economy, our company has maintained its healthy earnings momentum. We continue to enjoy robust growth in average loans, which are up 12.4% compared to the firstquarter last year. Our recurring noninterest income grew 20.7% in the first quarter and the quality of our loan portfolios remains outstanding, with net charge-offs of only .25% of average loans and leases.”
On Jan. 8, BB&T completed its merger with FCNB Corp. of Frederick, Md. The acquisition of FCNB, which has $1.6 billion in assets, was accounted for as a pooling of interests and gives BB&T the No. 1 market share in central Maryland.
On Jan. 24, BB&T announced plans to acquire F&M National Corporation of Winchester, Va. ("F&M"). With approximately $4.0 billion in assets, F&M operates 163 banking offices, 13 mortgage banking offices, three trust offices, and six insurance offices. Upon completion of the F&M transaction, BB&T will hold the No. 5 market share position in the Washington, D.C., metropolitan statistical area and the fourth largest deposit market share in Virginia.
On Jan. 24, BB&T announced plans to acquire Virginia Capital Bancshares of Fredericksburg, Va. ("VCAP"). VCAP has approximately $532.7 million i n assets and operates four banking offices. Upon completion of the VCAP transaction, BB&T will attain the No. 1 deposit market share in the emerging high-tech center of Fredericksburg, which is one of the fastest growing areas in the country and part of the economically vibrant Washington-Baltimore combined metropolitan statistical area.
BB&T also has a pending merger with Century South Banks, Inc., of Alpharetta, Ga. With $1.6 billion in assets and 40 banking offices, this transaction will expand BB&T’s Georgia franchise in metropolitan Atlanta, and the Savannah, Macon and north Georgia areas.
On March 2, BB&T completed its acquisition of FirstSpartan Financial Corp., a $591 million financial institution based in Spartanburg, S.C. FirstSpartan operates 11 banking offices in South Carolina’s rapidly-growing Upstate region.
“We have been very successful identifying merger partners that fit well with BB&T economically and culturally, and have effectively integrated the operations of these companies,” said Allison. “We could not have achieved the rapid growth of our business or the efficiencies we have realized without our focus on strategic mergers and acquisitions. We are excited about the transactions we have completed this year and those pending with Century South, Virginia Capital and F&M.”
At March 31, BB&T had $62.1 billion in assets and 893 banking offices in the Carolinas, Virginia, West Virginia, Kentucky, Georgia, Maryland, Tennessee and Washington, D.C. BB&T’s common stock is traded on the New York Stock Exchange under the trading symbol BBT. The closing price of BB&T’s common stock on April 10 was $34.97 per share.
This press release contains forward-looking statements as defined by federal securities laws. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. Actual results could differ materially from current projections. Please refer to BB&T’s filings with the Securities and Exchange Commission for a summary of important factors that could affect BB&T’s forward-looking statements. BB&T undertakes no obligation to revise these statements following the date of this press release.
BB&T’s news releases are available at no charge through PR Newswire’s Company News On-Call facsimile service. For a menu of BB&T’s news releases or to retrieve a specific release call 800-758-5804, extension 809325.
QUARTERLY PERFORMANCE SUMMARY Tom A. Nicholson
BB&T Corporation (NYSE:BBT) Senior Vice President (336) 733-3058
Page 3 Investor Relations FAX(336) 733-3132
For the Three Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 3/31/01 3/31/00 $ %
INCOME STATEMENT EXCLUDING NONRECURRING ITEMS
Interest income - taxable equivalent $ 1,208,776 $ 1,070,345 $ 138,431 12.9 %
Interest expense 637,778 530,967 106,811 20.1
Net interest income - taxable equivalent 570,998 539,378 31,620 5.9
Less: Taxable equivalent adjustment 48,412 24,204 24,208 100.0
Net interest income 522,586 515,174 7,412 1.4
Provision for loan & lease losses 30,000 25,267 4,733 18.7
Net interest income after provision for loan & lease losses 492,586 489,907 2,679 .5
Noninterest income (3) 289,463 239,853 49,610 20.7
Noninterest expense (4) 436,236 418,056 18,180 4.3
Income before income taxes 345,813 311,704 34,109 10.9
Provision for income taxes 102,507 102,086 421 .4
Income excluding nonrecurring items 243,306 209,618 33,688 16.1
Nonrecurring items, net of tax 24,945 19,783 5,162 NM
Net income $ 218,361 $ 189,835 $ 28,526 15.0 %
PER SHARE DATA EXCLUDING NONRECURRING ITEMS
Basic earnings $ .59 $ .51 $ .08 15.7 %
Diluted earnings .59 .51 .08 15.7
Weighted average shares - Basic 409,201,404 407,978,573
Diluted 415,546,150 412,608,438
Dividends paid on common shares $ .23 $ .20 $ .03 15.0 %
PERFORMANCE RATIOS EXCLUDING NONRECURRING ITEMS
Return on average assets 1.61 % 1.54 %
Return on average equity 20.03 20.05
Net yield on earning assets (taxable equivalent) 4.08 4.22
Efficiency (taxable equivalent) (1) 50.8 53.5
CASH BASIS PERFORMANCE EXCLUDING NONRECURRING ITEMS (2)
Net Income $ 259,740 $ 224,548 $ 35,192 15.7 %
Diluted earnings per share .63 .54 .09 16.7
Return on average tangible assets 1.74 % 1.67 %
Return on average tangible equity 25.36 25.81
Efficiency ratio (taxable equivalent) (1) 48.9 51.5
For the Three Months Ended Increase (Decrease)
(Dollars in thousands, except per share data) 3/31/01 3/31/00 $ %
INCOME STATEMENT
Interest income - taxable equivalent $ 1,208,776 $ 1,070,345 $ 138,431 12.9 %
Interest expense 637,778 530,967 106,811 20.1
Net interest income - taxable equivalent 570,998 539,378 31,620 5.9
Less: Taxable equivalent adjustment 48,412 24,204 24,208 100.0
Net interest income 522,586 515,174 7,412 1.4
Provision for loan & lease losses 38,850 26,767 12,083 45.1
Net interest income after provision for loan & lease losses 483,736 488,407 (4,671) (1.0)
Noninterest income 315,593 239,572 76,021 31.7
Noninterest expense 490,092 448,686 41,406 9.2
Income before income taxes 309,237 279,293 29,944 10.7
Provision for income taxes 90,876 89,458 1,418 1.6
Net income $ 218,361 $ 189,835 $ 28,526 15.0 %
PER SHARE DATA
Basic earnings $ .53 $ .47 $ .06 12.8 %
Diluted earnings .53 .46 .07 15.2
Weighted average shares - Basic 409,201,404 407,978,573
Diluted 415,546,150 412,608,438
Dividends paid on common shares $ .23 $ .20 $ .03 15.0 %
PERFORMANCE RATIOS
Return on average assets 1.45 % 1.40 %
Return on average equity 17.97 18.16
Net yield on earning assets (taxable equivalent) 4.08 4.22
Efficiency (taxable equivalent) (1) 50.8 53.5
NOTES: Applicable ratios are annualized.
(1) Excludes securities gains (losses), foreclosed property expense and nonrecurring items for all periods.
(2) Cash basis operating results exclude the effect on earnings of amortization expense applicable to intangible assets that do not qualify as regulatory capital. Cash
basis performance ratios exclude the amortization of nonqualifying intangible assets from earnings and the unamortized balances of nonqualifying intangibles
from assets and equity.
(3) Excluding purchase accounting transactions, noninterest income would have increased 14.0% for the quarter compared to the same period
in 2000.
(4) Excluding purchase accounting transactions, noninterest expense would have decreased .5% for the quarter compared to the same
period in 2000.
NM - not meaningful.
QUARTERLY PERFORMANCE SUMMARY Tom A. Nicholson
BB&T Corporation (NYSE:BBT) Senior Vice President (336) 733-3058
Page 4 Investor Relations FAX(336) 733-3132
As of / For the Three Months Ended Increase (Decrease)
(Dollars in thousands) 3/31/01 3/31/00 $ %
SELECTED BALANCE SHEET DATA
End of period balances
Securities, at carrying value (1) $ 14,485,128 $ 13,436,735 $ 1,048,393 7.8 %
Commercial loans & leases 22,588,213 19,497,132 3,091,081 15.9
Consumer loans 10,341,689 9,620,454 721,235 7.5
Revolving credit loans 843,101 694,994 148,107 21.3
Mortgage loans (1) 8,774,075 7,641,835 1,132,240 14.8
Total loans & leases (1) 42,547,078 37,454,415 5,092,663 13.6
Allowance for loan & lease losses 555,532 494,043 61,489 12.4
Other earning assets 246,885 465,501 (218,616) (47.0)
Total earning assets 56,890,092 51,902,481 4,987,611 9.6
Total assets 62,120,304 55,535,642 6,584,662 11.9
Noninterest-bearing deposits 5,191,963 5,319,485 (127,522) (2.4)
Savings & interest checking 2,135,908 3,106,566 (970,658) (31.2)
Money rate savings 11,908,702 9,901,683 2,007,019 20.3
Time deposits 18,333,806 16,394,504 1,939,302 11.8
Other deposits 1,475,421 1,267,815 207,606 16.4
Total deposits 39,045,800 35,990,053 3,055,747 8.5
Short-term borrowed funds 5,737,235 7,555,722 (1,818,487) (24.1)
Long-term debt 10,912,207 7,012,889 3,899,318 55.6
Total interest-bearing liabilities 50,503,279 45,239,179 5,264,100 11.6
Total shareholders' equity $ 5,046,881 $ 4,253,540 $ 793,341 18.7 %
Average balances
Securities, at amortized cost (1) $ 14,259,500 $ 13,720,864 $ 538,636 3.9 %
Commercial loans & leases (1) 22,366,710 19,364,373 3,002,337 15.5
Consumer loans (1) 10,315,477 9,528,233 787,244 8.3
Revolving credit loans (1) 836,770 695,687 141,083 20.3
Mortgage loans (1) 8,183,889 7,508,156 675,733 9.0
Total loans & leases (1) 41,702,846 37,096,449 4,606,397 12.4
Other earning assets 311,455 413,112 (101,657) (24.6)
Total earning assets 56,273,801 51,230,425 5,043,376 9.8
Total assets 61,263,551 54,690,887 6,572,664 12.0
Noninterest-bearing deposits (2) 4,957,727 4,939,181 18,546 .4
Savings & interest checking (2) 2,401,054 3,232,821 (831,767) (25.7)
Money rate savings (2) 11,233,334 9,538,760 1,694,574 17.8
Time deposits (2) 18,255,308 16,655,381 1,599,927 9.6
Other deposits (2) 1,456,002 1,639,417 (183,415) (11.2)
Total deposits (2) 38,303,425 36,005,560 2,297,865 6.4
Short-term borrowed funds 6,391,458 7,360,496 (969,038) (13.2)
Long-term debt 10,337,017 6,348,433 3,988,584 62.8
Total interest-bearing liabilities 50,074,173 44,775,308 5,298,865 11.8
Total shareholders' equity $ 4,927,083 $ 4,204,515 $ 722,568 17.2 %
As of / For the Three Months Ended
(Dollars in thousands) 3/31/01 12/31/00 9/30/00 6/30/00 3/31/00
MISCELLANEOUS INFORMATION
Unrealized appreciation (depreciation) on securities
available for sale, net of tax $ 234,395 $ 99,343 $ (137,907) $ (311,465) $ (340,720)
Derivatives (notional value) 234,767 725,878 1,752,086 2,354,529 2,145,951
Unrealized (loss) gain on derivatives portfolio 1,309 267 5,864 (2,889) 3,306
Common stock prices (daily close): High 37.88 38.25 30.44 31.75 29.19
Low 31.42 27.38 24.06 23.88 22.00
End of period 35.17 37.31 30.13 23.88 28.06
Weighted average shares - Basic 409,201,404 405,562,749 408,307,944 408,413,094 407,978,573
Diluted 415,546,150 411,452,294 413,163,854 413,526,334 412,608,438
End of period shares outstanding 409,668,557 410,352,471 406,473,698 408,550,341 408,288,999
End of period banking offices 893 854 823 830 831
NOTES: All items referring to loans and leases include loans held for sale and are net of unearned income.
(1) Balances reflect the securitization of $984.5 million of loans during 2000. Excluding the impact of the securitizations and purchase accounting transactions,
YTD average loans would have increased as follows:
Commercial loans and leases 12.9 % Mortgage loans 19.7 %
Consumer loans 6.3 Total loans 12.7
Revolving credit loans 19.1
(2) Excluding the effects of purchase accounting and the reduction in noninterest-bearing deposits resulting from outsourcing the issuance of official checks,
YTD average deposits would have increased as follows:
Noninterest-bearing deposits .4 % Time and other deposits 5.4 %
Other transaction accounts 4.8 Total deposits 4.5
QUARTERLY PERFORMANCE SUMMARY Tom A. Nicholson
BB&T Corporation (NYSE:BBT) Senior Vice President (336) 733-3058
Page 5 Investor Relations FAX(336) 733-3132
As of / For the Quarter Ended
(Dollars in thousands, except per share data) 3/31/01 12/31/00 9/30/00 6/30/00 3/31/00
INCOME STATEMENTS EXCLUDING
NONRECURRING ITEMS
Interest income - taxable equivalent
Interest & fees on loans & leases $ 943,416 $ 956,491 $ 923,239 $ 882,046 $ 836,104
Interest & dividends on securities 260,868 255,613 251,701 231,606 228,329
Interest on short-term investments 4,492 5,881 5,438 5,815 5,912
Total interest income - taxable equivalent 1,208,776 1,217,985 1,180,378 1,119,467 1,070,345
Interest expense
Interest on deposits 403,219 413,851 403,953 364,049 339,796
Interest on short-term borrowed funds 86,562 108,018 92,423 105,137 100,174
Interest on long-term debt 147,997 132,707 132,212 104,841 90,997
Total interest expense 637,778 654,576 628,588 574,027 530,967
Net interest income - taxable equivalent 570,998 563,409 551,790 545,440 539,378
Less: Taxable equivalent adjustment 48,412 53,144 28,376 24,645 24,204
Net interest income 522,586 510,265 523,414 520,795 515,174
Provision for loan & lease losses 30,000 35,300 24,450 24,664 25,267
Net interest income after provision for
loan & lease losses 492,586 474,965 498,964 496,131 489,907
Noninterest income
Service charges on deposits 73,419 71,580 69,655 66,271 61,801
Mortgage banking income 40,224 26,553 24,302 25,141 27,369
Investment banking & brokerage fees & commissions 43,202 38,749 36,631 41,407 45,711
Trust revenue 24,143 17,828 20,477 19,639 18,746
Agency insurance commissions 39,458 37,367 36,267 32,572 31,531
Other insurance commissions 2,634 3,724 3,684 3,649 3,189
Other nondeposit fees & commissions 41,076 43,788 39,199 36,479 32,918
Securities gains (losses), net 2,920 5,242 526 (304) 177
Other income 22,387 20,595 26,363 26,190 18,411
Total noninterest income 289,463 265,426 257,104 251,044 239,853
Noninterest expense
Personnel expense 246,228 227,739 226,262 227,245 230,417
Occupancy & equipment expense 67,929 63,156 64,891 63,213 63,500
Foreclosed property expense 225 1,933 546 949 1,037
Amortization of intangibles 17,019 15,631 15,354 15,563 15,047
Other noninterest expense 104,835 101,238 110,664 119,723 108,055
Total noninterest expense 436,236 409,697 417,717 426,693 418,056
Income before income taxes 345,813 330,694 338,351 320,482 311,704
Provision for income taxes 102,507 98,817 109,232 105,526 102,086
Income excluding nonrecurring items $ 243,306 $ 231,877 $ 229,119 $ 214,956 $ 209,618
PER SHARE DATA EXCLUDING
NONRECURRING ITEMS
Basic earnings $ .59 $ .57 $ .56 $ .53 $ .51
Diluted earnings .59 .56 .55 .52 .51
Dividends paid on common shares .23 .23 .23 .20 .20
Book value per common share $ 12.32 $ 11.88 $ 10.90 $ 10.68 $ 10.42
RATIOS EXCLUDING
NONRECURRING ITEMS
Return on average assets 1.61 % 1.58 % 1.59 % 1.55 % 1.54 %
Return on average equity 20.03 20.29 20.22 20.05 20.05
Net yield on earning assets (taxable equivalent) 4.08 4.15 4.14 4.19 4.22
Efficiency (taxable equivalent) (1) 50.8 49.5 51.6 53.4 53.5
Noninterest income as a percentage of
total income (taxable equivalent) (1) 33.4 31.6 31.7 31.5 30.8
Equity as a percentage of total assets
end of period 8.1 8.0 7.6 7.7 7.7
Average earning assets as a percentage of
average total assets 91.9 92.9 93.1 93.5 93.7
Average loans & leases as a percentage of
average deposits 108.9 106.4 103.9 103.6 103.0
CASH BASIS PERFORMANCE (2)
Cash basis earnings excluding nonrecurring items $ 259,740 $ 247,099 $ 243,912 $ 230,327 $ 224,548
Diluted cash basis earnings per share .63 .60 .59 .56 .54
Return on average tangible assets 1.74 % 1.74 % 1.75 % 1.69 % 1.67 %
Return on average tangible equity 25.36 26.08 25.91 25.77 25.81
Efficiency ratio (taxable equivalent) (1) 48.9 47.6 49.7 51.4 51.5
NOTES: Applicable ratios are annualized.
(1) Excludes securities gains (losses), foreclosed property expense and nonrecurring items for all periods.
(2) Cash basis operating results exclude the effect on earnings of amortization expense applicable to intangible assets that do not qualify as regulatory capital. Cash
basis performance ratios exclude the amortization of nonqualifying intangible assets from earnings and the unamortized balances of nonqualifying intangibles
from assets and equity.
QUARTERLY PERFORMANCE SUMMARY Tom A. Nicholson
BB&T Corporation (NYSE:BBT) Senior Vice President (336) 733-3058
Page 6 Investor Relations FAX(336) 733-3132
As of / For the Quarter Ended
(Dollars in thousands) 3/31/01 12/31/00 9/30/00 6/30/00 3/31/00
SELECTED BALANCE SHEET DATA
End of period balances
Securities, at carrying value $14,485,128 $ 14,386,863 $ 13,775,884 $13,338,709 $ 13,436,735
Commercial loans & leases 22,588,213 22,051,436 20,603,934 20,221,060 19,497,132
Consumer loans 10,341,689 10,392,041 10,197,344 9,976,145 9,620,454
Revolving credit loans 843,101 844,178 795,082 709,581 694,994
Mortgage loans 8,774,075 8,006,244 7,820,964 7,763,791 7,641,835
Total loans & leases 42,547,078 41,293,899 39,417,324 38,670,577 37,454,415
Allowance for loan & lease losses 555,532 532,203 514,754 498,358 494,043
Other earning assets 246,885 313,685 378,806 421,702 465,501
Total earning assets 56,890,092 55,826,421 53,786,136 52,927,236 51,902,481
Total assets 62,120,304 60,930,318 58,275,998 56,635,773 55,535,642
Noninterest-bearing deposits 5,191,963 5,312,128 5,090,211 5,321,673 5,319,485
Savings & interest checking 2,135,908 2,301,042 2,468,684 2,802,123 3,106,566
Money rate savings 11,908,702 11,318,362 10,367,769 9,939,344 9,901,683
Time deposits 18,333,806 17,855,928 17,433,985 18,421,961 16,394,504
Other deposits 1,475,421 2,388,938 1,806,834 1,047,057 1,267,815
Total deposits 39,045,800 39,176,398 37,167,483 37,532,158 35,990,053
Short-term borrowed funds 5,737,235 7,012,313 6,747,943 6,355,391 7,555,722
Long-term debt 10,912,207 8,625,074 8,653,759 7,628,298 7,012,889
Total interest-bearing liabilities 50,503,279 49,501,657 47,478,974 46,194,174 45,239,179
Total shareholders' equity 5,046,881 4,876,090 4,431,101 4,363,469 4,253,540
Goodwill 778,174 750,824 679,287 666,856 673,144
Core deposit & other intangibles 15,082 15,940 16,867 19,255 18,648
Total intangibles 793,256 766,764 696,154 686,111 691,792
Mortgage servicing rights 237,826 237,890 217,686 192,707 189,724
Negative goodwill $ 12,704 $ 14,264 $ 15,825 $ 17,385 $ 18,946
Average balances
Securities, at amortized cost $14,259,500 $ 13,931,823 $ 13,935,804 $13,792,839 $ 13,720,864
Commercial loans & leases 22,366,710 21,068,720 20,521,166 20,023,209 19,364,373
Consumer loans 10,315,477 10,110,928 9,948,941 9,768,999 9,528,233
Revolving credit loans 836,770 783,501 744,332 711,365 695,687
Mortgage loans 8,183,889 8,003,737 7,753,842 7,587,780 7,508,156
Total loans & leases 41,702,846 39,966,886 38,968,281 38,091,353 37,096,449
Other earning assets 311,455 307,449 298,810 351,088 413,112
Total earning assets 56,273,801 54,206,158 53,202,895 52,235,280 51,230,425
Total assets 61,263,551 58,346,940 57,174,136 55,865,917 54,690,887
Noninterest-bearing deposits 4,957,727 5,000,855 5,126,667 5,203,425 4,939,181
Savings & interest checking 2,401,054 2,463,097 2,689,847 3,016,763 3,232,821
Money rate savings 11,233,334 10,637,856 9,972,330 9,798,644 9,538,760
Time deposits 18,255,308 17,573,695 17,789,512 17,019,410 16,655,381
Other deposits 1,456,002 1,882,889 1,913,184 1,719,644 1,639,417
Total deposits 38,303,425 37,558,392 37,491,540 36,757,886 36,005,560
Short-term borrowed funds 6,391,458 6,767,210 5,830,818 7,071,840 7,360,496
Long-term debt 10,337,017 8,573,078 8,524,415 6,943,631 6,348,433
Total interest-bearing liabilities 50,074,173 47,897,825 46,720,106 45,569,932 44,775,308
Total shareholders' equity $ 4,927,083 $ 4,545,324 $ 4,508,114 $ 4,312,344 $ 4,204,515
RISK-BASED CAPITAL
Risk-based capital:
Tier 1 $ 4,111,577 $ 4,095,132 $ 3,928,813 $ 4,040,651 $ 3,956,604
Total 5,301,646 5,262,187 5,078,672 5,174,040 5,205,608
Risk-based capital ratios:
Tier 1 9.2 % 9.4 % 9.4 % 10.0 % 10.1 %
Total 11.8 12.0 12.2 12.8 13.3
Leverage capital ratio 6.8 7.1 6.9 7.3 7.3
NOTES: All items referring to loans and leases include loans held for sale and are net of unearned income.
QUARTERLY PERFORMANCE SUMMARY Tom A. Nicholson
BB&T Corporation (NYSE:BBT) Senior Vice President (336) 733-3058
Page 7 Investor Relations FAX(336) 733-3132
As of / For the Quarter Ended
(Dollars in thousands) 3/31/01 12/31/00 9/30/00 6/30/00 3/31/00
ASSET QUALITY ANALYSIS
Allowance For Loan & Lease Losses
Beginning balance $ 532,203 $ 514,754 $ 498,358 $ 494,043 $ 487,339
Allowance for acquired loans 10,084 12,934 - - -
Provision for loan & lease losses 38,850 43,300 38,650 28,414 26,767
Charge-offs (36,738) (49,620) (29,760) (32,295) (29,473)
Recoveries 11,133 10,835 7,506 8,196 9,410
Net charge-offs (25,605) (38,785) (22,254) (24,099) (20,063)
Ending balance $ 555,532 $ 532,203 $ 514,754 $ 498,358 $ 494,043
Nonperforming Assets
Nonaccrual loans & leases $ 182,021 $ 156,342 $ 131,390 $ 129,280 $ 126,293
Foreclosed real estate 29,035 27,461 21,209 17,532 18,502
Other foreclosed property 22,681 16,903 16,042 13,694 16,105
Restructured loans 2,261 492 445 501 1,471
Nonperforming assets $ 235,998 $ 201,198 $ 169,086 $ 161,007 $ 162,371
Loans 90 days or more past due
& still accruing $ 76,685 $ 73,699 $ 76,006 $ 63,771 $ 50,681
Loans 90 days or more past due & still accruing
as a percentage of total loans and leases .18 % .18 % .19 % .16 % .14 %
Asset Quality Ratios
Nonaccrual and restructured loans & leases
as a percentage of total loans & leases .43 % .38 % .33 % .34 % .34 %
Nonperforming assets as a percentage of:
Total assets .38 .33 .29 .28 .29
Loans & leases plus
foreclosed property .55 .49 .43 .42 .43
Net charge-offs as a percentage of
average loans & leases .25 .39 .23 .25 .22
Allowance for loan & lease losses as
a percentage of loans & leases 1.31 1.29 1.31 1.29 1.32
Ratio of allowance for loan & lease losses to:
Net charge-offs 5.35 x 3.45 x 5.81 x 5.14 x 6.12 x
Nonaccrual and restructured loans & leases 3.01 3.39 3.90 3.84 3.87
For the Quarter Ended
3/31/01 12/31/00 9/30/00 6/30/00 3/31/00
ANNUALIZED INTEREST YIELDS / RATES (1)
Interest income:
Securities & other 7.29 % 7.34 % 7.22 % 6.72 % 6.63 %
Loans & leases 9.15 9.53 9.43 9.30 9.06
Total earning assets 8.67 8.96 8.84 8.60 8.39
Interest expense:
Interest-bearing deposits 4.90 5.06 4.97 4.64 4.40
Short-term borrowed funds 5.49 6.35 6.31 5.98 5.47
Long-term debt 5.79 6.17 6.18 6.06 5.75
Total interest-bearing liabilities 5.16 5.44 5.35 5.06 4.77
Net yield on earning assets 4.08 % 4.15 % 4.14 % 4.19 % 4.22 %
NOTES: All items referring to loans and leases include loans held for sale and are net of unearned income.
(1) Fully taxable equivalent yields. Securities yields calculated based on amortized cost.
S I G N A T U R E
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
BB&T CORPORATION
(Registrant)
By: /S/ SHERRY A. KELLETT
Sherry A. Kellett
Senior Executive Vice President and Controller
(Principal Accounting Officer)
Date: April 11, 2001