Exhibit 99.1
Alabama National BanCorporation Announces Third Quarter 2006 Earnings and Declares Fourth Quarter Dividend
FOR IMMEDIATE RELEASE – Birmingham, Alabama (October 18, 2006) –Alabama National BanCorporation (“ANB”) (Nasdaq Global Select: ALAB) today announced earnings for the quarter ended September 30, 2006 and declared a quarterly cash dividend of $0.375 per share.
For the 2006 third quarter, ANB reported earnings of $20.1 million, up 17.7% from the 2005 third quarter. Diluted earnings per share of $1.06 were up 7.8% from the year ago quarter. Diluted cash earnings per share were $1.10, up 9.2% from the 2005 third quarter. Total revenue grew to $77.9 million in the 2006 third quarter, up 12.2% from $69.5 million in the year ago third quarter. ANB’s taxable equivalent net interest margin was 3.81% for the 2006 third quarter, down 13 basis points from the 2005 third quarter and down 16 basis points from the second quarter of 2006.
“Our employees delivered solid results in a banking environment challenged with a flat yield curve and a slowing economy,” said John H. Holcomb, III, Chairman and CEO. “While we faced these challenges, our company reported a record quarter for net income and diluted earnings per share. Also, we are pleased with our continued favorable asset quality results.”
“We look forward to the fourth quarter, which will be the first period in which The Peachtree Bank will be included in our results. We are excited about having this great bank and its great group of employees as contributing members of our team.”
Year-to-date earnings for the first nine months of 2006 were $57.3 million, an increase of 17.5% over the $48.8 million in earnings reported for the same period in 2005. Diluted earnings per share for the first nine months of 2006 were $3.09, up 10.4% from the $2.80 earned in the first nine months of 2005. For the first nine months of 2006, ANB recorded cash earnings per diluted share of $3.22, up 11.2% over 2005 levels.
Total assets at September 30, 2006 were $6.9 billion. Loans (excluding loans held for sale) grew to $4.87 billion, with ending deposits totaling $4.79 billion. Quarter-end share owners’ equity was $706.1 million, or $37.86 per share, and tangible book value per share was $25.56.
During the 2006 third quarter, ANB recognized $515 thousand in net charge-offs, or an annualized rate of 0.04% of average loans. Combined with 2006 first and second quarter net charge-offs, ANB’s year-to-date loss of $833 thousand represents a rate of 0.02% in net losses to average loans and leases. Quarter-end nonperforming assets were 0.18% of period end loans and other real estate. The allowance for loan losses covered nonperforming loans 735%.
The Board of Directors of Alabama National today announced a quarterly cash dividend of $0.375 per share. The dividend is payable January 3, 2007, to stockholders of record at the close of business on December 15, 2006.
ANB is a bank holding company operating 99 banking locations through twelve bank subsidiaries in Alabama, Florida and Georgia. Alabama subsidiaries include: First American Bank in north central Alabama; Alabama Exchange Bank in Tuskegee; and Bank of Dadeville. Florida subsidiaries are: Indian River National Bank in Vero Beach; First Gulf Bank, N.A. in Escambia County, Florida and Baldwin County, Alabama; Florida Choice Bank in Central Florida; Community Bank of Naples, N.A.; Public Bank in metropolitan Orlando; CypressCoquina Bank in Ormond Beach; and Millennium Bank in Gainesville. ANB has two subsidiaries in Georgia: Georgia State Bank and The Peachtree Bank, both in metropolitan Atlanta. ANB provides full banking services to individuals and businesses. Commercial mortgage services, including the origination of permanent commercial real estate mortgage loans for various lenders, are provided by Byars and Company, a division of First American Bank. Brokerage services are provided to customers through First American Bank’s wholly owned subsidiary, NBC Securities, Inc. Investments are not bank guaranteed, not FDIC insured and may lose value. Insurance services are provided through ANB Insurance Services, Inc., a wholly owned subsidiary of First American Bank.
Alabama National BanCorporation common stock is traded on the NASDAQ Global Select Market under the symbol “ALAB.”
Conference Call Instructions:
Alabama National will discuss financial results for the third quarter completed September 30, 2006 as well as its goals and general outlook for the remainder of 2006 in a conference call to be held Thursday, October 19, 2006 at 9:00 a.m. Central Time. A listen-only simulcast and replay of Alabama National’s conference call will be available on-line at the following Internet links:
www.alabamanational.com, under “In The News,”
or
www.viavid.net/dce.aspx?sid=000035EB,
on October 19, beginning at 9:00 a.m. Central Time. The on-line replay will follow immediately and continue for 30 days.
For live interactive access to the teleconference, please dial 1-800-474-8920 at 9:00 a.m. Central Time on October 19 and enter Conference ID number 1941993. For those without Internet access, a telephonic replay will be available through November 19, 2006 by dialing 1-800-203-1112 and entering Conference ID number 1941993.
Many of the comparisons of financial data from period to period presented in the narrative of this release have been rounded from actual values reported in the attached selected unaudited financial tables. The percentage changes presented above are based on a comparison of the actual values recorded in the attached tables, not the rounded values.
This press release, including the attached selected unaudited financial tables which are a part of this release, contains financial information determined by methods other than in accordance with generally accepted accounting principles (“GAAP”). These “non-GAAP” financial measures are “cash earnings” (cash earnings per share), “tangible book value” (tangible book value per share), “return on average tangible equity” and “return on average tangible assets.” ANB’s management uses these non-GAAP measures in its analysis of ANB’s performance. Cash earnings is defined as net income plus amortization expense (net of tax) applicable to intangible assets that do not qualify as regulatory capital. Cash earnings per basic and diluted share is defined as cash earnings divided by basic and diluted common shares outstanding. ANB’s management includes cash earnings measures to compare the company’s earnings exclusive of non-cash amortization expense and because it is a measure used by many investors as part of their analysis of ANB’s performance. Tangible book value is defined as total equity reduced by recorded intangible assets. Tangible book value per share is defined as tangible book value divided by total common shares outstanding. This measure is important to many investors in the marketplace that are interested in changes from period to period in book value per share exclusive of changes in intangible assets. Goodwill, an intangible asset that is recorded in a purchase business combination, has the effect of increasing total book value while not increasing the tangible assets of the company. For companies such as Alabama National that have engaged in multiple business combinations, purchase accounting requires the recording of significant amounts of goodwill related to such transactions. Return on average tangible equity is defined as earnings for the period (annualized for the quarterly or year-to-date period, as applicable) divided by average equity reduced by average goodwill and other intangible assets. Return on average tangible assets is defined as earnings for the period (annualized for the quarterly or year-to-date period, as applicable) divided by average assets reduced by average goodwill and other intangible assets. ANB’s management includes these measures because it believes that they are important when measuring the company’s performance exclusive of the effects of goodwill and other intangibles recorded in recent acquisitions, and these measures are used by many investors as part of their analysis of ANB. These disclosures should not be viewed as a substitute for results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures which may be presented by other companies. Refer to the “Reconciliation Table” in the attached unaudited financial tables for a more detailed analysis of these non-GAAP performance measures and the most directly comparable GAAP measures.
This press release contains forward-looking statements as defined by federal securities laws. Statements contained in this press release which are not historical facts are forward-looking statements. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. ANB undertakes no obligation to update these statements following the date of this press release. In addition, ANB, through its senior management, may make from time to time forward-looking public statements concerning the matters described herein. Such forward-looking statements are necessarily estimates reflecting the best judgment of ANB’s senior management based upon current information and involve a number of risks and uncertainties. Certain factors which could affect the accuracy of such forward-looking statements are identified in the public filings made by ANB with the Securities and Exchange Commission, and forward looking statements contained in this press release or in other public statements of ANB or its senior management should be considered in light of those factors. There can be no assurance that such factors or other factors will not affect the accuracy of such forward-looking statements.
Contacts: |
| |
Alabama National BanCorporation |
| |
|
|
|
John H. Holcomb III | William E. Matthews, V |
|
Chairman of the Board and | Executive Vice President and |
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Chief Executive Officer | Chief Financial Officer |
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(205) 583-3648 | (205) 583-3650 |
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ALABAMA NATIONAL BANCORPORATION
(Unaudited Financial Highlights)
(in thousands, except per share amounts and percentages)
|
| Three Months Ended |
|
|
| |||||
|
|
| Percentage |
| ||||||
|
| 2006 |
| 2005 |
| Change (b) |
| |||
|
|
|
|
| ||||||
Net interest income |
| $ | 58,196 |
| $ | 51,359 |
|
| 13.3 | % |
Noninterest income |
|
| 19,709 |
|
| 18,098 |
|
| 8.9 |
|
Total revenue |
|
| 77,905 |
|
| 69,457 |
|
| 12.2 |
|
Provision for loan and lease losses |
|
| 1,130 |
|
| 2,440 |
|
| (53.7 | ) |
Noninterest expense |
|
| 46,187 |
|
| 40,990 |
|
| 12.7 |
|
Net income before income taxes |
|
| 30,588 |
|
| 26,027 |
|
| 17.5 |
|
Income taxes |
|
| 10,475 |
|
| 8,944 |
|
| 17.1 |
|
Net income |
| $ | 20,113 |
| $ | 17,083 |
|
| 17.7 |
|
Weighted average common and common equivalent shares outstanding |
|
|
|
|
|
|
|
|
|
|
Basic |
|
| 18,834 |
|
| 17,198 |
|
| 9.5 | % |
Diluted |
|
| 19,012 |
|
| 17,412 |
|
| 9.2 |
|
Net income per common share |
|
|
|
|
|
|
|
|
|
|
Basic |
| $ | 1.07 |
| $ | .99 |
|
| 7.5 | % |
Diluted |
|
| 1.06 |
|
| .98 |
|
| 7.8 |
|
Cash earnings (a) |
|
|
|
|
|
|
|
|
|
|
Total |
| $ | 20,988 |
| $ | 17,603 |
|
| 19.2 | % |
Basic |
|
| 1.11 |
|
| 1.02 |
|
| 8.9 |
|
Diluted |
|
| 1.10 |
|
| 1.01 |
|
| 9.2 |
|
Cash dividends declared on common stock |
| $ | .375 |
| $ | .3375 |
|
|
|
|
Return on average assets |
|
| 1.18 | % |
| 1.18 | % |
|
|
|
Return on average tangible assets |
|
| 1.22 |
|
| 1.22 |
|
|
|
|
Return on average equity |
|
| 11.41 |
|
| 12.20 |
|
|
|
|
Return on average tangible equity |
|
| 17.00 |
|
| 16.94 |
|
|
|
|
|
| |||||||||
Noninterest Income |
| |||||||||
Service charge income |
| $ | 4,042 |
| $ | 4,181 |
|
| (3.3 | )% |
Investment services income |
|
| 1,292 |
|
| 1,086 |
|
| 19.0 |
|
Wealth management income |
|
| 5,371 |
|
| 4,641 |
|
| 15.7 |
|
Gain on sale of mortgages |
|
| 2,774 |
|
| 3,565 |
|
| (22.2 | ) |
Commercial mortgage banking income |
|
| 518 |
|
| — |
|
| NM |
|
Gain (loss) on disposal of assets |
|
| 13 |
|
| (21 | ) |
| NM |
|
Bank owned life insurance |
|
| 988 |
|
| 737 |
|
| 34.1 |
|
Insurance commissions |
|
| 963 |
|
| 825 |
|
| 16.7 |
|
Other |
|
| 3,748 |
|
| 3,084 |
|
| 21.5 |
|
|
|
|
|
|
|
| ||||
Total noninterest income |
| $ | 19,709 |
| $ | 18,098 |
|
| 8.9 |
|
|
|
|
|
|
|
|
(a) | Cash basis earnings exclude the effect on earnings of amortization expense applicable to intangible assets that do not qualify as regulatory capital. |
(b) | Percentage change based on actual not rounded values. |
NM - Not meaningful |
|
| Nine Months Ended |
|
|
| |||||
|
|
| Percentage |
| ||||||
|
| 2006 |
| 2005 |
| Change (b) |
| |||
|
|
|
|
| ||||||
Net interest income |
| $ | 169,714 |
| $ | 147,351 |
|
| 15.2 | % |
Noninterest income |
|
| 57,448 |
|
| 53,110 |
|
| 8.2 |
|
Total revenue |
|
| 227,162 |
|
| 200,461 |
|
| 13.3 |
|
Provision for loan and lease losses |
|
| 4,293 |
|
| 5,975 |
|
| (28.2 | ) |
Noninterest expense |
|
| 135,435 |
|
| 120,366 |
|
| 12.5 |
|
Income before taxes and cumulative effect of accounting change |
|
| 87,434 |
|
| 74,120 |
|
| 18.0 |
|
Income taxes |
|
| 30,179 |
|
| 25,362 |
|
| 19.0 |
|
Net income before cumulative effect of accounting change |
|
| 57,255 |
|
| 48,758 |
|
| 17.4 |
|
Cumulative effect of accounting change (net of tax) |
|
| 48 |
|
| — |
|
| NM |
|
Net income |
| $ | 57,303 |
| $ | 48,758 |
|
| 17.5 |
|
Weighted average common and common equivalent shares outstanding |
|
|
|
|
|
|
|
|
|
|
Basic |
|
| 18,336 |
|
| 17,185 |
|
| 6.7 | % |
Diluted |
|
| 18,521 |
|
| 17,404 |
|
| 6.4 |
|
Net income per common share |
|
|
|
|
|
|
|
|
|
|
Basic |
| $ | 3.13 |
| $ | 2.84 |
|
| 10.1 | % |
Diluted |
|
| 3.09 |
|
| 2.80 |
|
| 10.4 |
|
Cash earnings (a) |
|
|
|
|
|
|
|
|
|
|
Total |
| $ | 59,604 |
| $ | 50,359 |
|
| 18.4 | % |
Basic |
|
| 3.25 |
|
| 2.93 |
|
| 10.9 |
|
Diluted |
|
| 3.22 |
|
| 2.89 |
|
| 11.2 |
|
Cash dividends declared on common stock |
| $ | 1.13 |
| $ | 1.0125 |
|
|
|
|
Return on average assets |
|
| 1.18 | % |
| 1.17 | % |
|
|
|
Return on average tangible assets |
|
| 1.22 |
|
| 1.21 |
|
|
|
|
Return on average equity |
|
| 11.71 |
|
| 11.96 |
|
|
|
|
Return on average tangible equity |
|
| 17.08 |
|
| 16.71 |
|
|
|
|
Noninterest Income |
| |||||||||
Service charge income |
| $ | 11,753 |
| $ | 12,265 |
|
| (4.2 | )% |
Investment services income |
|
| 3,122 |
|
| 3,089 |
|
| 1.1 |
|
Wealth management income |
|
| 16,102 |
|
| 14,082 |
|
| 14.3 |
|
Gain on sale of mortgages |
|
| 8,046 |
|
| 9,652 |
|
| (16.6 | ) |
Commercial mortgage banking income |
|
| 1,534 |
|
| — |
|
| NM |
|
Gain on disposal of assets |
|
| 552 |
|
| 690 |
|
| (20.0 | ) |
Securities (losses) gains |
|
| (1,250 | ) |
| 72 |
|
| NM |
|
Bank owned life insurance |
|
| 2,528 |
|
| 2,136 |
|
| 18.4 |
|
Insurance commissions |
|
| 2,873 |
|
| 2,453 |
|
| 17.1 |
|
Other |
|
| 12,188 |
|
| 8,671 |
|
| 40.6 |
|
|
|
|
|
|
|
| ||||
Total noninterest income |
| $ | 57,448 |
| $ | 53,110 |
|
| 8.2 |
|
|
|
|
|
|
|
|
(a) | Cash basis earnings exclude the effect on earnings of amortization expense applicable to intangible assets that do not qualify as regulatory capital. |
(b) | Percentage change based on actual not rounded values. |
NM - Not meaningful |
|
| September 30, |
| December 31, |
| Percentage |
| |||
|
|
|
|
| ||||||
Total assets |
| $ | 6,870,818 |
| $ | 5,931,673 |
|
| 15.8 | % |
Earning assets |
|
| 6,183,706 |
|
| 5,385,824 |
|
| 14.8 |
|
Securities (a) |
|
| 1,207,919 |
|
| 1,136,487 |
|
| 6.3 |
|
Loans held for sale |
|
| 24,184 |
|
| 14,940 |
|
| 61.9 |
|
Loans and leases, net of unearned income |
|
| 4,874,244 |
|
| 4,144,095 |
|
| 17.6 |
|
Allowance for loan and lease losses |
|
| 61,354 |
|
| 52,815 |
|
| 16.2 |
|
Deposits |
|
| 4,790,982 |
|
| 4,343,264 |
|
| 10.3 |
|
Short-term borrowings |
|
| 229,635 |
|
| 34,700 |
|
| 561.8 |
|
Long-term debt |
|
| 378,569 |
|
| 369,246 |
|
| 2.5 |
|
Stockholders’ equity |
|
| 706,113 |
|
| 571,879 |
|
| 23.5 |
|
(a) Excludes trading securities |
ASSET QUALITY ANALYSIS
(in thousands, except percentages)
|
| As of / For the Three Months Ended |
| |||||||
|
|
| ||||||||
|
| Sept 30, 2006 |
| June 30, 2006 |
| Sept 30, 2005 |
| |||
|
|
|
|
| ||||||
Nonaccrual loans |
| $ | 8,344 |
| $ | 5,625 |
| $ | 7,411 |
|
Restructured loans |
|
| — |
|
| — |
|
| — |
|
Loans past due 90 days or more and still accruing |
|
| -0- |
|
| -0- |
|
| -0- |
|
Total nonperforming loans |
|
| 8,344 |
|
| 5,625 |
|
| 7,411 |
|
Other real estate owned |
|
| 381 |
|
| 401 |
|
| 668 |
|
Total nonperforming assets |
|
| 8,725 |
|
| 6,026 |
|
| 8,079 |
|
Total non performing assets as a percentage of period-end loans and other real estate (a) |
|
| 0.18 | % |
| 0.13 | % |
| 0.20 | % |
Allowance for loan and lease losses |
| $ | 61,354 |
| $ | 60,739 |
| $ | 51,679 |
|
Provision for loan and lease losses |
|
| 1,130 |
|
| 1,920 |
|
| 2,440 |
|
Loans charged off |
|
| 848 |
|
| 513 |
|
| 791 |
|
Loan recoveries |
|
| 333 |
|
| 405 |
|
| 393 |
|
Net loan and lease losses |
|
| 515 |
|
| 108 |
|
| 398 |
|
Allowance for loan and lease losses as a percentage of period-end loans and leases (a) |
|
| 1.26 | % |
| 1.26 | % |
| 1.27 | % |
Allowance for loan and lease losses as a percentage of period-end nonperforming loans |
|
| 735.31 |
|
| 1,079.80 |
|
| 697.33 |
|
Net losses to average loans and leases (annualized) |
|
| 0.04 |
|
| 0.01 |
|
| 0.04 |
|
|
| For the Nine Months Ended |
|
|
|
| ||||
|
|
| Percentage |
| ||||||
|
| 2006 |
| 2005 |
| Change |
| |||
|
|
|
|
| ||||||
Provision for loan and lease losses |
| $ | 4,293 |
| $ | 5,975 |
|
| (28.2 | )% |
Loans charged off |
|
| 1,866 |
|
| 1,809 |
|
| 3.15 |
|
Loan recoveries |
|
| 1,033 |
|
| 929 |
|
| 11.2 |
|
Net loan and lease losses |
|
| 833 |
|
| 880 |
|
| (5.3 | ) |
Net losses to average loans and leases (annualized) |
|
| 0.02 | % |
| 0.03 | % |
|
|
|
(a) Excludes loans held for sale |
TAXABLE EQUIVALENT YIELDS/RATES
|
| Three Months Ended |
| |||||||
|
|
| ||||||||
|
| Sept 30, 2006 |
| June 30, 2006 |
| Sept 30, 2005 |
| |||
|
|
|
|
| ||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans |
|
| 7.95 | % |
| 7.75 | % |
| 6.78 | % |
Interest on securities: |
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 4.46 |
|
| 4.45 |
|
| 4.15 |
|
Non-taxable |
|
| 6.38 |
|
| 6.41 |
|
| 6.87 |
|
Total interest earning assets |
|
| 7.27 |
|
| 7.10 |
|
| 6.18 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
| 3.72 | % |
| 3.38 | % |
| 2.39 | % |
Interest on short-term borrowing |
|
| 5.62 |
|
| 4.63 |
|
| 4.14 |
|
Interest on long-term debt |
|
| 5.22 |
|
| 5.00 |
|
| 4.29 |
|
Total interest bearing liabilities |
|
| 4.03 |
|
| 3.67 |
|
| 2.66 |
|
Net interest spread |
|
| 3.24 |
|
| 3.43 |
|
| 3.52 |
|
Net interest margin |
|
| 3.81 |
|
| 3.97 |
|
| 3.94 |
|
|
| Nine Months Ended |
| ||||
|
|
| |||||
|
| 2006 |
| 2005 |
| ||
|
|
|
| ||||
Interest income: |
|
|
|
|
|
|
|
Interest and fees on loans |
|
| 7.72 | % |
| 6.51 | % |
Interest on securities: |
|
|
|
|
|
|
|
Taxable |
|
| 4.43 |
|
| 4.17 |
|
Non-taxable |
|
| 6.43 |
|
| 6.54 |
|
Total interest earning assets |
|
| 7.06 |
|
| 5.93 |
|
Interest expense: |
|
|
|
|
|
|
|
Interest on deposits |
|
| 3.39 | % |
| 2.12 | % |
Interest on short-term borrowing |
|
| 5.25 |
|
| 3.74 |
|
Interest on long-term debt |
|
| 4.98 |
|
| 3.99 |
|
Total interest bearing liabilities |
|
| 3.68 |
|
| 2.37 |
|
Net interest spread |
|
| 3.38 |
|
| 3.56 |
|
Net interest margin |
|
| 3.91 |
|
| 3.94 |
|
STOCKHOLDERS’ EQUITY AND CAPITAL RATIOS
|
| Sept 30, |
| December 31, |
| ||
|
|
|
| ||||
Stockholders’ Equity: |
|
|
|
|
|
|
|
Equity to assets |
|
| 10.28 | % |
| 9.64 | % |
Leverage ratio |
|
| 8.23 |
|
| 8.29 |
|
Book value per common share (a) |
| $ | 37.86 |
| $ | 33.40 |
|
Tangible book value per common share (a)(b) |
|
| 25.56 |
|
| 24.20 |
|
Ending shares outstanding |
|
| 18,650 |
|
| 17,124 |
|
(a) | Includes a cumulative mark to market adjustment to equity of $(0.44) and $(0.52) per share at September 30, 2006 and December 31, 2005, respectively. |
(b) | Total equity reduced by intangible assets divided by common shares outstanding. |
RECONCILIATION TABLE
(in thousands, except per share amounts and percentages)
|
| Three Months Ended |
| Nine Months Ended |
| ||||||||
|
|
|
| ||||||||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
| ||||
|
|
|
|
|
| ||||||||
Net income |
| $ | 20,113 |
| $ | 17,083 |
| $ | 57,303 |
| $ | 48,758 |
|
Amortization of intangibles, net of tax |
|
| 875 |
|
| 520 |
|
| 2,301 |
|
| 1,601 |
|
Cash earnings |
| $ | 20,988 |
| $ | 17,603 |
| $ | 59,604 |
| $ | 50,359 |
|
Net income per common share - basic |
| $ | 1.07 |
| $ | 0.99 |
| $ | 3.13 |
| $ | 2.84 |
|
Effect of amortization of intangibles per share |
|
| 0.04 |
|
| 0.03 |
|
| 0.12 |
|
| 0.09 |
|
Cash earnings per common share - basic |
| $ | 1.11 |
| $ | 1.02 |
| $ | 3.25 |
| $ | 2.93 |
|
Net income per common share - diluted |
| $ | 1.06 |
| $ | 0.98 |
| $ | 3.09 |
| $ | 2.80 |
|
Effect of amortization of intangibles per share |
|
| 0.04 |
|
| 0.03 |
|
| 0.13 |
|
| 0.09 |
|
Cash earnings per diluted share |
| $ | 1.10 |
| $ | 1.01 |
| $ | 3.22 |
| $ | 2.89 |
|
Average assets |
| $ | 6,752,745 |
| $ | 5,731,482 |
| $ | 6,470,383 |
| $ | 5,556,994 |
|
Average intangible assets |
|
| (230,011 | ) |
| (155,349 | ) |
| (205,795 | ) |
| (155,157 | ) |
Average tangible assets |
| $ | 6,522,734 |
| $ | 5,576,133 |
| $ | 6,264,588 |
| $ | 5,401,837 |
|
Return on average assets |
|
| 1.18 | % |
| 1.18 | % |
| 1.18 | % |
| 1.17 | % |
Effect of average intangible assets |
|
| 0.04 |
|
| 0.04 |
|
| 0.04 |
|
| 0.04 |
|
Return on average tangible assets |
|
| 1.22 | % |
| 1.22 | % |
| 1.22 | % |
| 1.21 | % |
Average equity |
| $ | 699,333 |
| $ | 555,335 |
| $ | 654,280 |
| $ | 545,185 |
|
Average intangible assets |
|
| (230,011 | ) |
| (155,349 | ) |
| (205,795 | ) |
| (155,157 | ) |
Average tangible equity |
| $ | 469,322 |
| $ | 399,986 |
| $ | 448,485 |
| $ | 390,028 |
|
Return on average equity |
|
| 11.41 | % |
| 12.20 | % |
| 11.71 | % |
| 11.96 | % |
Effect of average intangible assets |
|
| 5.59 |
|
| 4.74 |
|
| 5.37 |
|
| 4.75 |
|
Return on average tangible equity |
|
| 17.00 | % |
| 16.94 | % |
| 17.08 | % |
| 16.71 | % |
|
| As of |
| ||||
|
|
| |||||
|
| September 30, |
| December 31, |
| ||
|
|
|
| ||||
Book value |
| $ | 706,113 |
| $ | 571,879 |
|
Intangible assets |
|
| (229,372 | ) |
| (157,429 | ) |
Tangible book value |
| $ | 476,741 |
| $ | 414,450 |
|
Book value per common share |
| $ | 37.86 |
| $ | 33.40 |
|
Effect of intangible assets per share |
|
| (12.30 | ) |
| (9.20 | ) |
Tangible book value per common share |
| $ | 25.56 |
| $ | 24.20 |
|
Alabama National BanCorporation and Subsidiaries
Consolidated Statements of Financial Condition (Unaudited)
(In thousands, except share amounts)
|
| September 30, |
| December 31, |
| ||
|
|
|
| ||||
Assets |
|
|
|
|
|
|
|
Cash and due from banks |
| $ | 195,474 |
| $ | 189,256 |
|
Interest-bearing deposits in other banks |
|
| 11,669 |
|
| 19,428 |
|
Federal funds sold and securities purchased under resell agreements |
|
| 64,395 |
|
| 70,472 |
|
Trading securities, at fair value |
|
| 1,295 |
|
| 402 |
|
Investment securities (fair values of $682,025 and $576,424) |
|
| 697,574 |
|
| 591,153 |
|
Securities available for sale, at fair value |
|
| 510,345 |
|
| 545,334 |
|
Loans held for sale |
|
| 24,184 |
|
| 14,940 |
|
Loans and leases |
|
| 4,878,945 |
|
| 4,147,739 |
|
Unearned income |
|
| (4,701 | ) |
| (3,644 | ) |
|
|
|
| ||||
Loans and leases, net of unearned income |
|
| 4,874,244 |
|
| 4,144,095 |
|
Allowance for loan and lease losses |
|
| (61,354 | ) |
| (52,815 | ) |
|
|
|
| ||||
Net loans and leases |
|
| 4,812,890 |
|
| 4,091,280 |
|
Property, equipment and leasehold improvements, net |
|
| 143,603 |
|
| 114,159 |
|
Goodwill |
|
| 214,151 |
|
| 148,071 |
|
Other intangible assets, net |
|
| 15,221 |
|
| 9,358 |
|
Cash surrender value of life insurance |
|
| 99,502 |
|
| 74,593 |
|
Receivable from investment division customers |
|
| 4,628 |
|
| 7,166 |
|
Other assets |
|
| 75,887 |
|
| 56,061 |
|
|
|
|
| ||||
Totals |
| $ | 6,870,818 |
| $ | 5,931,673 |
|
|
|
|
| ||||
Liabilities and Stockholders’ Equity |
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
Noninterest bearing |
| $ | 743,150 |
| $ | 729,045 |
|
Interest bearing |
|
| 4,047,832 |
|
| 3,614,219 |
|
|
|
|
| ||||
Total deposits |
|
| 4,790,982 |
|
| 4,343,264 |
|
Federal funds purchased and securities sold under repurchase agreements |
|
| 711,258 |
|
| 545,337 |
|
Accrued expenses and other liabilities |
|
| 48,338 |
|
| 61,361 |
|
Payable for securities purchased for investment division customers |
|
| 5,923 |
|
| 5,886 |
|
Short-term borrowings |
|
| 229,635 |
|
| 34,700 |
|
Long-term debt |
|
| 378,569 |
|
| 369,246 |
|
|
|
|
| ||||
Total liabilities |
|
| 6,164,705 |
|
| 5,359,794 |
|
Common stock, $1 par; 50,000,000 shares authorized; 18,650,179 and 17,124,316 shares issued at September 30, 2006 and December 31, 2005, respectively |
|
| 18,650 |
|
| 17,124 |
|
Additional paid-in capital |
|
| 443,134 |
|
| 347,434 |
|
Retained earnings |
|
| 252,447 |
|
| 216,144 |
|
Accumulated other comprehensive loss, net of tax |
|
| (8,118 | ) |
| (8,823 | ) |
|
|
|
| ||||
Total stockholders’ equity |
|
| 706,113 |
|
| 571,879 |
|
|
|
|
| ||||
Totals |
| $ | 6,870,818 |
| $ | 5,931,673 |
|
|
|
|
|
Alabama National BanCorporation and Subsidiaries
Consolidated Statements of Income (Unaudited)
(In thousands, except per share data)
|
| For the three months |
| For the nine months |
| ||||||||
|
|
|
| ||||||||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
| ||||
|
|
|
|
|
| ||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans and leases |
| $ | 97,279 |
| $ | 67,831 |
| $ | 266,374 |
| $ | 184,051 |
|
Interest on securities |
|
| 13,275 |
|
| 11,985 |
|
| 38,329 |
|
| 36,311 |
|
Interest on deposits in other banks |
|
| 225 |
|
| 66 |
|
| 450 |
|
| 191 |
|
Interest on trading securities |
|
| 15 |
|
| 7 |
|
| 34 |
|
| 16 |
|
Interest on federal funds sold and securities purchased under resell agreements |
|
| 806 |
|
| 798 |
|
| 2,531 |
|
| 2,035 |
|
|
|
|
|
|
| ||||||||
Total interest income |
|
| 111,600 |
|
| 80,687 |
|
| 307,718 |
|
| 222,604 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
| 38,019 |
|
| 20,690 |
|
| 99,059 |
|
| 53,085 |
|
Interest on federal funds purchased and securities sold under repurchase agreements |
|
| 8,142 |
|
| 4,519 |
|
| 21,207 |
|
| 10,148 |
|
Interest on short-term borrowings |
|
| 2,117 |
|
| 754 |
|
| 3,238 |
|
| 2,030 |
|
Interest on long-term debt |
|
| 5,126 |
|
| 3,365 |
|
| 14,500 |
|
| 9,990 |
|
|
|
|
|
|
| ||||||||
Total interest expense |
|
| 53,404 |
|
| 29,328 |
|
| 138,004 |
|
| 75,253 |
|
|
|
|
|
|
| ||||||||
Net interest income |
|
| 58,196 |
|
| 51,359 |
|
| 169,714 |
|
| 147,351 |
|
Provision for loan and lease losses |
|
| 1,130 |
|
| 2,440 |
|
| 4,293 |
|
| 5,975 |
|
|
|
|
|
|
| ||||||||
Net interest income after provision for loan and lease losses |
|
| 57,066 |
|
| 48,919 |
|
| 165,421 |
|
| 141,376 |
|
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities (losses) gains |
|
| — |
|
| — |
|
| (1,250 | ) |
| 72 |
|
Gain (loss) on disposition of assets |
|
| 13 |
|
| (21 | ) |
| 552 |
|
| 690 |
|
Service charges on deposit accounts |
|
| 4,042 |
|
| 4,181 |
|
| 11,753 |
|
| 12,265 |
|
Investment services income |
|
| 1,292 |
|
| 1,086 |
|
| 3,122 |
|
| 3,089 |
|
Wealth management income |
|
| 5,371 |
|
| 4,641 |
|
| 16,102 |
|
| 14,082 |
|
Gain on sale of mortgages |
|
| 2,774 |
|
| 3,565 |
|
| 8,046 |
|
| 9,652 |
|
Commercial mortgage banking income |
|
| 518 |
|
| — |
|
| 1,534 |
|
| — |
|
Bank owned life insurance |
|
| 988 |
|
| 737 |
|
| 2,528 |
|
| 2,136 |
|
Insurance commissions |
|
| 963 |
|
| 825 |
|
| 2,873 |
|
| 2,453 |
|
Other |
|
| 3,748 |
|
| 3,084 |
|
| 12,188 |
|
| 8,671 |
|
|
|
|
|
|
| ||||||||
Total noninterest income |
|
| 19,709 |
|
| 18,098 |
|
| 57,448 |
|
| 53,110 |
|
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
| 24,262 |
|
| 21,680 |
|
| 71,038 |
|
| 63,086 |
|
Commission based compensation |
|
| 4,586 |
|
| 4,051 |
|
| 13,143 |
|
| 11,556 |
|
Occupancy and equipment expenses |
|
| 5,264 |
|
| 4,540 |
|
| 15,154 |
|
| 13,021 |
|
Amortization of intangibles |
|
| 1,306 |
|
| 766 |
|
| 3,422 |
|
| 2,360 |
|
Other |
|
| 10,769 |
|
| 9,953 |
|
| 32,678 |
|
| 30,343 |
|
|
|
|
|
|
| ||||||||
Total noninterest expense |
|
| 46,187 |
|
| 40,990 |
|
| 135,435 |
|
| 120,366 |
|
|
|
|
|
|
| ||||||||
Income before provision for income taxes and cumulative effect of accounting change |
|
| 30,588 |
|
| 26,027 |
|
| 87,434 |
|
| 74,120 |
|
Provision for income taxes |
|
| 10,475 |
|
| 8,944 |
|
| 30,179 |
|
| 25,362 |
|
|
|
|
|
|
| ||||||||
Net income before cumulative effect of accounting change |
|
| 20,113 |
|
| 17,083 |
|
| 57,255 |
|
| 48,758 |
|
Cumulative effect of accounting change (net of tax) |
|
| — |
|
| — |
|
| 48 |
|
| — |
|
|
|
|
|
|
| ||||||||
Net income |
| $ | 20,113 |
| $ | 17,083 |
| $ | 57,303 |
| $ | 48,758 |
|
|
|
|
|
|
| ||||||||
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
| 18,834 |
|
| 17,198 |
|
| 18,336 |
|
| 17,185 |
|
|
|
|
|
|
| ||||||||
Diluted |
|
| 19,012 |
|
| 17,412 |
|
| 18,521 |
|
| 17,404 |
|
|
|
|
|
|
| ||||||||
Earnings per common share before cumulative effect of accounting change: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
| $ | 1.07 |
| $ | 0.99 |
| $ | 3.12 |
| $ | 2.84 |
|
|
|
|
|
|
| ||||||||
Diluted |
| $ | 1.06 |
| $ | 0.98 |
| $ | 3.09 |
| $ | 2.80 |
|
|
|
|
|
|
| ||||||||
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
| $ | 1.07 |
| $ | 0.99 |
| $ | 3.13 |
| $ | 2.84 |
|
|
|
|
|
|
| ||||||||
Diluted |
| $ | 1.06 |
| $ | 0.98 |
| $ | 3.09 |
| $ | 2.80 |
|
|
|
|
|
|
|
AVERAGE BALANCES, INCOME AND EXPENSES AND RATES
(Amounts in thousands, except yields and rates)
|
| Three Months 09/30/06 |
| Three Months 09/30/05 |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Average |
| Income/ |
| Yield/ |
| Average |
| Income/ |
| Yield/ |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases (1) |
| $ | 4,861,167 |
| $ | 97,415 |
|
| 7.95 | % | $ | 3,977,186 |
| $ | 67,971 |
|
| 6.78 | % |
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 1,095,864 |
|
| 12,312 |
|
| 4.46 |
|
| 1,089,857 |
|
| 11,412 |
|
| 4.15 |
|
Tax exempt |
|
| 90,761 |
|
| 1,459 |
|
| 6.38 |
|
| 50,167 |
|
| 868 |
|
| 6.87 |
|
Cash balances in other banks |
|
| 17,796 |
|
| 225 |
|
| 5.02 |
|
| 7,703 |
|
| 66 |
|
| 3.40 |
|
Funds sold |
|
| 57,876 |
|
| 806 |
|
| 5.53 |
|
| 85,872 |
|
| 798 |
|
| 3.69 |
|
Trading account securities |
|
| 1,245 |
|
| 15 |
|
| 4.78 |
|
| 713 |
|
| 7 |
|
| 3.90 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total earning assets (2) |
|
| 6,124,709 |
|
| 112,232 |
|
| 7.27 |
|
| 5,211,498 |
|
| 81,122 |
|
| 6.18 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Cash and due from banks |
|
| 168,449 |
|
|
|
|
|
|
|
| 171,248 |
|
|
|
|
|
|
|
Premises and equipment |
|
| 139,617 |
|
|
|
|
|
|
|
| 101,588 |
|
|
|
|
|
|
|
Other assets |
|
| 381,126 |
|
|
|
|
|
|
|
| 297,664 |
|
|
|
|
|
|
|
Allowance for loan and lease losses |
|
| (61,156 | ) |
|
|
|
|
|
|
| (50,516 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
| $ | 6,752,745 |
|
|
|
|
|
|
| $ | 5,731,482 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction accounts |
| $ | 1,114,186 |
| $ | 8,135 |
|
| 2.90 | % | $ | 901,391 |
| $ | 3,602 |
|
| 1.59 | % |
Savings deposits |
|
| 955,355 |
|
| 7,217 |
|
| 3.00 |
|
| 911,046 |
|
| 3,908 |
|
| 1.70 |
|
Time deposits |
|
| 1,987,488 |
|
| 22,667 |
|
| 4.52 |
|
| 1,622,181 |
|
| 13,180 |
|
| 3.22 |
|
Funds purchased |
|
| 657,506 |
|
| 8,142 |
|
| 4.91 |
|
| 563,345 |
|
| 4,519 |
|
| 3.18 |
|
Other short-term borrowings |
|
| 149,362 |
|
| 2,117 |
|
| 5.62 |
|
| 72,343 |
|
| 754 |
|
| 4.14 |
|
Long-term debt |
|
| 389,516 |
|
| 5,126 |
|
| 5.22 |
|
| 311,469 |
|
| 3,365 |
|
| 4.29 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total interest-bearing liabilities |
|
| 5,253,413 |
|
| 53,404 |
|
| 4.03 |
|
| 4,381,775 |
|
| 29,328 |
|
| 2.66 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Demand deposits |
|
| 748,435 |
|
|
|
|
|
|
|
| 729,220 |
|
|
|
|
|
|
|
Accrued interest and other liabilities |
|
| 51,564 |
|
|
|
|
|
|
|
| 65,152 |
|
|
|
|
|
|
|
Stockholders’ equity |
|
| 699,333 |
|
|
|
|
|
|
|
| 555,335 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities and stockholders’ equity |
| $ | 6,752,745 |
|
|
|
|
|
|
| $ | 5,731,482 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest spread |
|
|
|
|
|
|
|
| 3.24 | % |
|
|
|
|
|
|
| 3.52 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest income/margin on a taxable equivalent basis |
|
|
|
|
| 58,828 |
|
| 3.81 | % |
|
|
|
| 51,794 |
|
| 3.94 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Tax equivalent adjustment (2) |
|
|
|
|
| 632 |
|
|
|
|
|
|
|
| 435 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest income/margin |
|
|
|
| $ | 58,196 |
|
| 3.77 | % |
|
|
| $ | 51,359 |
|
| 3.91 | % |
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Average loans include nonaccrual loans. All loans and deposits are domestic. |
(2) | Tax equivalent adjustments are based on the assumed rate of 34%, and do not give effect to the disallowance for Federal income tax purposes of interest expense related to certain tax-exempt assets. |
AVERAGE BALANCES, INCOME AND EXPENSES AND RATES
(Amounts in thousands, except yields and rates)
|
| Nine Months 09/30/06 |
| Nine Months 09/30/05 |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Average |
| Income/ |
| Yield/ |
| Average |
| Income/ |
| Yield/ |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases (1) |
| $ | 4,617,531 |
| $ | 266,759 |
|
| 7.72 | % | $ | 3,787,438 |
| $ | 184,451 |
|
| 6.51 | % |
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 1,084,872 |
|
| 35,939 |
|
| 4.43 |
|
| 1,110,353 |
|
| 34,592 |
|
| 4.17 |
|
Tax exempt |
|
| 75,278 |
|
| 3,621 |
|
| 6.43 |
|
| 53,227 |
|
| 2,605 |
|
| 6.54 |
|
Cash balances in other banks |
|
| 12,718 |
|
| 450 |
|
| 4.73 |
|
| 8,980 |
|
| 191 |
|
| 2.84 |
|
Funds sold |
|
| 65,844 |
|
| 2,531 |
|
| 5.14 |
|
| 87,086 |
|
| 2,035 |
|
| 3.12 |
|
Trading account securities |
|
| 1,019 |
|
| 34 |
|
| 4.46 |
|
| 469 |
|
| 16 |
|
| 4.56 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total earning assets (2) |
|
| 5,857,262 |
|
| 309,334 |
|
| 7.06 |
|
| 5,047,553 |
|
| 223,890 |
|
| 5.93 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Cash and due from banks |
|
| 179,982 |
|
|
|
|
|
|
|
| 167,836 |
|
|
|
|
|
|
|
Premises and equipment |
|
| 128,875 |
|
|
|
|
|
|
|
| 103,573 |
|
|
|
|
|
|
|
Other assets |
|
| 362,587 |
|
|
|
|
|
|
|
| 286,779 |
|
|
|
|
|
|
|
Allowance for loan and lease losses |
|
| (58,323 | ) |
|
|
|
|
|
|
| (48,747 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
| $ | 6,470,383 |
|
|
|
|
|
|
| $ | 5,556,994 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction accounts |
| $ | 1,096,629 |
| $ | 21,580 |
|
| 2.63 | % | $ | 897,545 |
| $ | 9,393 |
|
| 1.40 | % |
Savings deposits |
|
| 930,326 |
|
| 18,391 |
|
| 2.64 |
|
| 899,689 |
|
| 9,713 |
|
| 1.44 |
|
Time deposits |
|
| 1,885,467 |
|
| 59,088 |
|
| 4.19 |
|
| 1,549,789 |
|
| 33,979 |
|
| 2.93 |
|
Funds purchased |
|
| 624,763 |
|
| 21,207 |
|
| 4.54 |
|
| 491,318 |
|
| 10,148 |
|
| 2.76 |
|
Other short-term borrowings |
|
| 82,390 |
|
| 3,238 |
|
| 5.25 |
|
| 72,560 |
|
| 2,030 |
|
| 3.74 |
|
Long-term debt |
|
| 388,959 |
|
| 14,500 |
|
| 4.98 |
|
| 334,501 |
|
| 9,990 |
|
| 3.99 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total interest-bearing liabilities |
|
| 5,008,534 |
|
| 138,004 |
|
| 3.68 |
|
| 4,245,402 |
|
| 75,253 |
|
| 2.37 |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Demand deposits |
|
| 736,438 |
|
|
|
|
|
|
|
| 708,320 |
|
|
|
|
|
|
|
Accrued interest and other liabilities |
|
| 71,131 |
|
|
|
|
|
|
|
| 58,087 |
|
|
|
|
|
|
|
Stockholders’ equity |
|
| 654,280 |
|
|
|
|
|
|
|
| 545,185 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities and stockholders’ equity |
| $ | 6,470,383 |
|
|
|
|
|
|
| $ | 5,556,994 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest spread |
|
|
|
|
|
|
|
| 3.38 | % |
|
|
|
|
|
|
| 3.56 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest income/margin on a taxable equivalent basis |
|
|
|
|
| 171,330 |
|
| 3.91 | % |
|
|
|
| 148,637 |
|
| 3.94 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Tax equivalent adjustment (2) |
|
|
|
|
| 1,616 |
|
|
|
|
|
|
|
| 1,286 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net interest income/margin |
|
|
|
| $ | 169,714 |
|
| 3.87 | % |
|
|
| $ | 147,351 |
|
| 3.90 | % |
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Average loans include nonaccrual loans. All loans and deposits are domestic. |
(2) | Tax equivalent adjustments are based on the assumed rate of 34%, and do not give effect to the disallowance for Federal income tax purposes of interest expense related to certain tax-exempt assets. |