F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
2003 2002
First Fourth Third Second First
STATEMENT OF EARNINGS Quarter Quarter Quarter Quarter Quarter
Interest income - taxable
equivalent basis $105,796 $108,278 $109,036 $107,688 $107,507
Interest income $104,510 $106,884 $107,596 $106,261 $106,043
Interest expense 31,373 34,476 35,592 37,065 38,538
-------- -------- -------- -------- --------
Net interest income 73,137 72,408 72,004 69,196 67,505
Provision for loan losses 5,859 5,566 4,835 4,502 4,191
-------- -------- -------- -------- --------
Net interest income after
provision 67,278 66,842 67,169 64,694 63,314
Service charges 12,424 12,478 12,178 11,663 10,622
Insurance commissions and fees 8,463 8,289 7,949 8,448 9,472
Securities commissions and fees 1,904 1,195 1,736 2,303 1,383
Trust income 2,392 2,272 2,323 2,342 2,397
Gain on sale of securities 693 275 1,001 465 175
Other 6,160 8,270 4,900 4,842 3,895
-------- ------- ------- ------- --------
Total non-interest income 32,036 32,779 30,087 30,063 27,944
Salaries and employee benefits 36,767 34,881 34,181 33,011 33,142
Occupancy and equipment 10,507 10,565 10,132 9,410 9,405
Amortization of intangibles 821 396 953 932 837
Merger expenses 1,014 510 0 0 41,855
Other 16,429 18,642 16,973 16,628 16,991
-------- ------- ------- -------- --------
Total non-interest expense 65,538 64,994 62,239 59,981 102,230
Income before income taxes 33,776 34,627 35,017 34,776 (10,972)
Income taxes 10,448 10,489 10,886 10,827 (2,089)
-------- -------- -------- -------- --------
Net income (loss) $23,328 $24,138 $24,131 $23,949 ($8,883)
________ ________ ________ ________ ________
Net income excluding
merger expenses $23,987 $24,469 $24,131 $23,949 $21,329
________ ________ ________ ________ ________
Average basic shares
outstanding 43,848,398 43,742,911 43,804,464 43,957,743 43,771,337
Average diluted shares
outstanding 44,668,335 44,595,242 44,758,758 45,100,672 44,808,130
Earnings per common share
Basic earnings per share 0.53 0.55 0.55 0.54 (0.20)
Diluted earnings per share 0.52 0.54 0.54 0.53 (0.20)
Earnings excluding merger
expenses per common share
Basic earnings per share 0.55 0.56 0.55 0.54 0.49
Diluted earnings per share 0.54 0.55 0.54 0.53 0.48
Cash dividend per common share 0.22 0.22 0.22 0.22 0.19
PERFORMANCE RATIOS (net income excluding merger expenses)
Return on average shareholders'
equity 16.02% 16.40% 16.55% 17.13% 14.94%
Return on average assets 1.37% 1.39% 1.40% 1.43% 1.31%
Net interest margin (FTE) 4.70% 4.67% 4.76% 4.70% 4.68%
Yield on earning assets (FTE) 6.68% 6.85% 7.06% 7.16% 7.29%
Efficiency ratio (FTE) 60.61% 60.50% 60.12% 59.57% 62.30%
For the Three Months
Ended March 31,
Percent
STATEMENT OF EARNINGS 2003 2002 Variance
Interest income - taxable
equivalent basis $105,796 $107,507 -1.6
Interest income $104,510 $106,043 -1.4
Interest expense 31,373 38,538 -18.6
-------- --------
Net interest income 73,137 67,505 8.3
Provision for loan losses 5,859 4,191 39.8
-------- -------
Net interest income after
provision 67,278 63,314 6.3
Service charges 12,424 10,622 17.0
Insurance commissions and fees 8,463 9,472 -10.7
Securities commissions and fees 1,904 1,383 37.7
Trust income 2,392 2,397 -0.2
Gain on sale of securities 693 175 296.0
Other 6,160 3,895 58.2
-------- -------
Total non-interest income 32,036 27,944 14.6
Salaries and employee benefits 36,767 33,142 10.9
Occupancy and equipment 10,507 9,405 11.7
Amortization of intangibles 821 837 -1.9
Merger expenses 1,014 41,855 -97.6
Other 16,429 16,991 -3.3
-------- --------
Total non-interest expense 65,538 102,230 -35.9
Income before income taxes 33,776 (10,972) *
Income taxes 10,448 (2,089) *
------- -------
Net income (loss) $23,328 ($8,883) *
_______ _______
Net income excluding
merger expenses $23,987 $21,329 12.5
_______ _______
Average basic shares
outstanding 43,848,398 43,771,337 0.2
Average diluted shares
outstanding 44,668,335 44,808,130 -0.3
Earnings per common share
Basic earnings per share 0.53 (0.20) *
Diluted earnings per share 0.52 (0.20) *
Earnings excluding merger
expenses per common share
Basic earnings per share 0.55 0.49 12.2
Diluted earnings per share 0.54 0.48 12.5
Cash dividend per common share 0.22 0.19 15.8
Book value per common share 13.82 12.45 11.0
Tangible book value per common 8.98 10.01 -10.3
PERFORMANCE RATIOS (net income excluding merger expenses)
Return on average shareholders'
equity 16.02% 14.94%
Return on average assets 1.37% 1.31%
Net interest margin (FTE) 4.70% 4.68%
Yield on earning assets (FTE) 6.68% 7.29%
Efficiency ratio (FTE) 60.61% 62.30%
*Percent variance not meaningful
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands) 2003 2002
First Fourth Third Second First
AVERAGE BALANCES Quarter Quarter Quarter Quarter Quarter
Total assets 7,125,930 6,983,409 6,814,530 6,725,939 6,622,785
Earning assets 6,424,201 6,271,320 6,123,991 6,031,545 5,980,336
Securities 1,140,562 994,783 945,839 926,718 934,283
Loans, net of unearned 5,269,672 5,221,184 5,143,131 4,982,294 4,889,134
Allowance for loan losses 69,408 69,614 69,562 68,030 66,804
Intangibles 110,012 107,478 104,352 106,607 89,097
Non-interest bearing deposits 924,765 910,269 878,131 883,338 839,563
Interest bearing deposits 4,531,765 4,481,532 4,441,940 4,438,455 4,368,108
Total deposits 5,456,530 5,391,801 5,320,071 5,321,793 5,207,671
Short-term borrowings 493,898 421,096 408,184 397,176 403,050
Long-term debt 467,936 466,917 393,832 337,371 342,220
Shareholders' equity 607,358 591,775 578,300 560,815 578,987
ASSET QUALITY DATA
Non-accrual loans $26,301 $22,294 $23,119 $20,982 $22,357
Restructured loans 5,975 5,915 5,188 6,168 6,248
------- ------- ------- ------- -------
Non-performing loans 32,276 28,209 28,307 27,150 28,605
Other real estate owned 3,995 4,729 5,236 5,192 4,803
------- ------- ------- ------- -------
Non-performing assets $36,271 $32,938 $33,543 $32,342 $33,408
_______ _______ _______ _______ _______
Net loan charge-offs $5,571 $5,524 $4,270 $2,984 $4,358
Allowance for loan losses 71,200 68,406 68,365 67,799 66,281
Non-performing loans/total loans 0.60% 0.54% 0.54% 0.53% 0.58%
Non-performing assets/total assets 0.45% 0.46% 0.48% 0.48% 0.50%
Allowance for loan losses/total
loans 1.31% 1.31% 1.31% 1.33% 1.35%
Allowance for loan losses/
non-performing loans 220.60% 242.50% 241.51% 249.72% 231.71%
Net loan charge-offs (annualized)
/average loans 0.43% 0.42% 0.33% 0.24% 0.36%
BALANCES AT PERIOD END
Total assets 8,078,010 7,090,232 6,981,396 6,749,232 6,731,501
Earning assets 7,163,641 6,332,623 6,224,091 6,031,096 6,045,782
Securities 1,721,512 1,075,183 1,004,839 910,745 926,572
Mortgage loans held for sale 18,761 24,177 8,009 2,860 2,873
Loans, net of unearned 5,419,135 5,220,504 5,201,140 5,093,416 4,915,438
Non-interest bearing deposits 1,027,742 924,090 $ 899,962 906,065 901,175
Interest bearing deposits 5,039,351 4,502,067 4,449,347 4,424,259 4,416,589
Total deposits 6,067,093 5,426,157 5,349,309 5,330,324 5,317,764
Short-term borrowings 552,895 515,780 476,526 407,157 421,925
Long-term debt 628,419 450,647 466,108 332,675 342,581
Trust preferred securities 125,009 0 0 0 0
Shareholders' equity 608,641 598,596 583,650 570,934 548,639
F.N.B. CORPORATION
(Unaudited) For the Three Months
(Dollars in thousands) Ended March 31,
Percent
AVERAGE BALANCES 2003 2002 Variance
Total assets 7,125,930 6,622,785 7.6
Earning assets 6,424,201 5,980,336 7.4
Securities 1,140,562 934,283 22.1
Loans, net of unearned 5,269,672 4,889,134 7.8
Allowance for loan losses 69,408 66,804 3.9
Intangibles 110,012 89,097 23.5
Non-interest bearing deposits 924,765 839,563 10.1
Interest bearing deposits 4,531,765 4,368,108 3.7
Total deposits 5,456,530 5,207,671 4.8
Short-term borrowings 493,898 403,050 22.5
Long-term debt 467,936 342,220 36.7
Shareholders' equity 607,358 578,987 4.9
ASSET QUALITY DATA
Non-accrual loans $26,301 $22,357 17.6
Restructured loans 5,975 6,248 -4.4
------- -------
Non-performing loans 32,276 28,605 12.8
Other real estate owned 3,995 4,803 -16.8
------- -------
Non-performing assets $36,271 $33,408 8.6
_______ _______
Net loan charge-offs $5,571 $4,358 27.8
Allowance for loan losses 71,200 66,281 7.4
Non-performing loans/total loans 0.60% 0.58%
Non-performing assets/total assets 0.45% 0.50%
Allowance for loan losses/total
loans 1.31% 1.35%
Allowance for loan losses/
non-performing loans 220.60% 231.71%
Net loan charge-offs (annualized
/average loans 0.43% 0.36%
BALANCES AT PERIOD END
Total assets 8,078,010 6,731,501 20.0
Earning assets 7,163,641 6,045,782 18.5
Securities 1,721,512 926,572 85.8
Mortgage loans held for sale 18,761 2,873 553.0
Loans, net of unearned 5,419,135 4,915,438 10.2
Non-interest bearing deposits 1,027,742 901,175 14.0
Interest bearing deposits 5,039,351 4,416,589 14.1
Total deposits 6,067,093 5,317,764 14.1
Short-term borrowings 552,895 421,925 31.0
Long-term debt 628,419 342,581 83.4
Trust preferred securities 125,009 0 *
Shareholders' equity 608,641 548,639 10.9
*Percent variance not meaningful