UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Exchange Act of 1934
Date of Report (Date of earliest event reported) October 19, 2000
SIMMONS FIRST NATIONAL CORPORATION
(Exact name of registrant as specified in its charter)
Arkansas 0-6253 71-0407808
(State or other jurisdiction of (Commission (I.R.S. employer
incorporation or organization) file number) identification No.)
501 Main Street, Pine Bluff, Arkansas 71601
(Address of principal executive offices) (Zip Code)
(870)541-1000
(Registrant's telephone number, including area code)
ITEM: 5
The following is the text of a press release issued by the registrant at 3:00
P.M. Central Standard Time on October 19, 2000.
FOR IMMEDIATE RELEASE: October 19, 2000
SIMMONS FIRST ANNOUNCES THIRD QUARTER OPERATING EARNINGS
Pine Bluff, Arkansas - Simmons First National Corporation today announced
operating earnings (net income excluding merger-related expenses) of $4,965,000,
or $0.67 diluted earnings per share for the third quarter of 2000. This
represents a $165,000 or 3.4% increase in the 2000 operating earnings over the
1999 operating earnings. Operating return on average assets and operating return
on average stockholders' equity for the three-month period ended September 30,
2000, was 1.08% and 11.77%, compared to 1.15% and 12.06%, respectively, for the
same period in 1999. In connection with a merger during the third quarter of
1999, merger-related expenses totaled $987,000, or $0.13 per share after tax.
"This was a very solid quarter for our Company, especially in light of
pressure on net interest margins experienced throughout the industry. As
mentioned in previous reports, these financial results were made possible from
the continued growth in our loan portfolio," said J. Thomas May, Chairman,
President, and Chief Executive Officer.
Operating earnings for the nine-month period ended September 30, 2000, were
$13,902,000, or an increase of $430,000 over the September 30, 1999 earnings of
$13,472,000. Diluted operating earnings per share increased $0.06 to $1.89 for
the nine-month period ended September 30, 2000. Operating return on average
assets and operating return on average stockholders' equity for the nine-month
period ended September 30, 2000, was 1.05% and 11.25%, compared to 1.08% and
11.51%, respectively, for the same period in 1999. In connection with mergers
during the nine-month period ended September 30, 1999, after tax merger-related
expenses totaled $1,382,000 or $0.19 per share.
Because of the Corporation's cash acquisitions, cash operating earnings
(net income excluding amortization of intangibles and merger-related expenses)
are an integral component of earnings. Diluted cash operating earnings for the
third quarter of 2000 were $0.75 per share compared with $0.71 for the third
quarter of 1999. Year-to-date diluted cash operating earnings, on a per share
basis as of September 30, 2000 was $2.08 compared to $1.99 at September 30,
1999. Cash return on average assets was 1.17% and cash return on
average stockholders' equity was 12.44% for the nine-month period ended
September 30, 2000, compared with 1.20% and 12.71%, respectively, for the same
period in 1999.
Total assets for the Corporation at September 30, 2000, were $1.865
billion, an increase of $180 million, or 10.7%, over the same figure at
September 30, 1999. Stockholders' equity at the end of the third quarter of 2000
was $169.5 million, a $12.0 million, or 7.6%, increase from September 30, 1999.
Asset quality remains strong with the allowance for loan losses as a
percent of total loans at 1.63% as of September 30, 2000. As of September 30,
2000, non-performing loans equaled 0.97% of total loans, while the allowance for
loan losses equaled 169% of non-performing loans.
As previously announced, the Company has adopted a stock repurchase
program. This program authorizes the repurchase of up to 200,000 shares, or
approximately 2.7 percent of the outstanding shares. As of September 30, 2000
the Company has repurchased 63,627 shares of stock with a weighted average
repurchase price of $21.35 per share.
Simmons First National Corporation is a financial holding company, with
community banks in Pine Bluff, Jonesboro, Lake Village, Dumas, Rogers,
Russellville, Searcy and El Dorado, Arkansas. The Company's eight banks are
conducting financial operations from 63 offices in 33 communities.
####
FOR MORE INFORMATION CONTACT:
BARRY L. CROW
Executive Vice President and Chief Financial Officer
Simmons First National Corporation
(870) 541-1350
Ticker symbol: SFNCA
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Statements in this press release that are not historical facts should be
considered forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements of this
type speak only as of the date of this news release. By nature, forward-looking
statements involve inherent risk and uncertainties. Various factors, including,
but not limited to, economic conditions, credit quality, interest rates, loan
demand and changes in the assumptions used in making the forward-looking
statements, could cause actual results to differ materially from those
contemplated by the forward-looking statements. Additional information on
factors that might affect Simmons First National Corporation's financial results
is included in its Form 10-K filing with the Securities and Exchange Commission.
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Simmons First National Corporation SFNCA
Corporate Financial Highlights
September 30, 2000 and 1999
(Dollar amounts in thousands, except per share data) 2000 1999
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For the Nine Months Ended
Net income $ 13,902 $ 12,090
Operating net income 13,902 13,472
Operating return on average stockholders' equity 11.25% 11.51%
Cash operating return on average stockholders' equity 12.44% 12.71%
Operating return on average assets 1.05% 1.08%
Cash operating return on average assets 1.17% 1.20%
Net interest margin (FTE) 4.25% 4.40%
Average shares outstanding 7,319,655 7,303,991
For the Three Months Ended
Net income $ 4,965 $ 3,813
Operating net income 4,965 4,800
Operating return on average stockholders' equity 11.77% 12.06%
Cash operating return on average stockholders' equity 13.08% 13.24%
Operating return on average assets 1.08% 1.15%
Cash operating return on average assets 1.21% 1.27%
Net interest margin (FTE) 4.18% 4.46%
Average shares outstanding 7,304,226 7,312,568
Per Share Data
Diluted earnings per share for the nine months ended $ 1.89 $ 1.64
Diluted operating earnings per share for the nine months ended 1.89 1.83
Diluted cash operating earnings per share for the nine months ended 2.08 1.99
Dividends per common share for the nine months ended 0.59 0.53
Diluted earnings per share for the quarter ended 0.67 0.52
Diluted operating earnings per share for the quarter ended 0.67 0.65
Diluted cash operating earnings per share for the quarter ended 0.75 0.71
Dividends per common share for the quarter ended 0.20 0.18
Book value (end of period) 23.31 21.53
Selected Balance Sheet Items - End of Period Balances
Total assets $ 1,865,208 $ 1,685,153
Investment securities 401,735 424,026
Total loans 1,268,931 1,096,671
Total deposits 1,538,418 1,365,918
Stockholders' equity 169,546 157,492
Intangible assets, net 35,664 27,849
Selected Balance Sheet Items - Quarter to Date Balances
Total assets $ 1,835,898 $ 1,659,777
Investment securities 398,074 425,452
Total loans 1,249,524 1,069,599
Total deposits 1,519,958 1,369,563
Stockholders' equity 167,851 157,887
Selected Ratios
Total stockholders' equity to assets 9.09% 9.35%
Leverage 8.47% 9.07%
Tier 1 capital 12.06% 13.24%
Total risk-based capital 13.33% 14.54%
Allowance for possible loan losses to total loans 1.63% 1.60%
Allowance for loan losses to non-performing loans 168.69% 162.34%
Allowance for loan losses to non-performing assets 152.24% 144.04%
Non-performing loans to total loans 0.97% 0.99%
Simmons First National Corporation SFNCA
Consolidated Balance Sheets
September 30, 2000 and 1999
(In thousands, except share data) 2000 1999
-----------------------------------
ASSETS
Cash and non interest bearing balances due from banks $ 56,705 $ 46,765
Interest bearing balances due from banks 19,218 4,415
Federal funds sold and securities purchased
under agreements to resell 5,650 16,540
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Cash and cash equivalents 81,573 67,720
Investment securities 401,735 424,026
Mortgage loans held for sale 12,177 9,969
Assets held in trading accounts 734 1,245
Loans 1,268,931 1,096,671
Allowance for loan losses (20,691) (17,580)
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Net loans 1,248,240 1,079,091
Premises and equipment 46,370 40,004
Foreclosed assets held for sale, net 1,226 1,210
Interest receivable 18,961 16,541
Intangible assets, net 35,664 27,849
Other assets 18,528 17,498
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TOTAL ASSETS $ 1,865,208 $ 1,685,153
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LIABILITIES
Non interest bearing transaction accounts $ 195,678 $ 170,249
Interest bearing transaction accounts and savings deposits 445,513 432,722
Time deposits 897,227 762,947
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Total deposits 1,538,418 1,365,918
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Federal funds purchased and securities
sold under agreements to repurchase 87,767 89,239
Short-term debt 9,524 8,450
Long-term debt 41,907 47,416
Accrued interest and other liabilities 18,046 16,638
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TOTAL LIABILITIES 1,695,662 1,527,661
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STOCKHOLDERS' EQUITY
Capital stock
Class A, common, par value $1 a share,
authorized 30,000,000 shares,
7,271,692 issued and outstanding
at 2000 and 7,313,775 at 1999 7,272 7,314
Surplus 49,713 50,748
Undivided profits 114,772 101,497
Accumulated other comprehensive income
Unrealized depreciation on available-for-sale securities,
net of income tax credit of $1,327 at 2000 and $1,240 at 1999 (2,211) (2,067)
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TOTAL STOCKHOLDERS' EQUITY 169,546 157,492
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 1,865,208 $ 1,685,153
============= ==============
Simmons First National Corporation SFNCA
Consolidated Statements of Income
September 30, 2000 and 1999
Three Months Nine Months
Ended Ended
September 30, September 30,
(In thousands, except per share data) 2000 1999 2000 1999
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INTEREST INCOME
Loans $ 28,952 $ 23,992 $ 79,697 $ 69,818
Federal funds sold and securities purchased
under agreements to resell 332 150 1,249 1,542
Investment securities 5,864 5,958 17,737 17,818
Mortgage loans held for sale, net of unrealized gains (losses) 143 182 382 559
Assets held in trading accounts 5 15 88 48
Interest bearing balances due from banks 234 106 614 450
------------ ------------ ------------- -------------
TOTAL INTEREST INCOME 35,530 30,403 99,767 90,235
------------ ------------ ------------- -------------
INTEREST EXPENSE
Deposits 16,250 12,250 44,582 37,029
Federal funds purchased and securities
sold under agreements to repurchase 1,276 739 2,610 2,112
Short-term debt 163 74 411 116
Long-term debt 855 943 2,630 2,872
------------ ------------ ------------- -------------
TOTAL INTEREST EXPENSE 18,544 14,006 50,233 42,129
------------ ------------ ------------- -------------
NET INTEREST INCOME 16,986 16,397 49,534 48,106
Provision for loan losses 1,892 1,619 5,537 4,962
------------ ------------ ------------- -------------
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES 15,094 14,778 43,997 43,144
------------ ------------ ------------- -------------
NON-INTEREST INCOME
Trust income 1,496 1,239 4,000 3,491
Service charges on deposit accounts 2,176 1,749 5,808 5,208
Other service charges and fees 392 407 1,406 1,383
Income on sale of mortgage loans, net of commissions 521 533 1,277 1,591
Income on investment banking, net of commissions 13 34 188 274
Credit card fees 2,712 2,704 7,671 7,402
Other income 817 790 2,250 1,759
Gain on sale of securities, net 0 0 0 0
------------ ------------ ------------- -------------
TOTAL NON-INTEREST INCOME 8,127 7,456 22,600 21,108
------------ ------------ ------------- -------------
NON-INTEREST EXPENSE
Salaries and employee benefits 8,591 8,177 25,282 24,369
Occupancy expense, net 1,035 946 2,830 2,683
Furniture & equipment expense 1,336 1,294 3,891 3,712
Loss on foreclosed assets 66 117 194 297
Merger-related 0 1,448 0 1,843
Other operating expenses 4,947 4,839 14,308 14,127
------------ ------------ ------------- -------------
TOTAL NON-INTEREST EXPENSE 15,975 16,821 46,505 47,031
------------ ------------ ------------- -------------
NET INCOME BEFORE INCOME TAXES 7,246 5,413 20,092 17,221
Provision for income taxes 2,281 1,600 6,190 5,131
------------ ------------ ------------- -------------
NET INCOME $ 4,965 $ 3,813 $ 13,902 $ 12,090
============ ============ ============= =============
BASIC EARNINGS PER SHARE $ 0.68 $ 0.53 $ 1.90 $ 1.66
============ ============ ============= =============
DILUTED EARNINGS PER SHARE $ 0.67 $ 0.52 $ 1.89 $ 1.64
============ ============ ============= =============
SIGNATURE
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, thereunto duly authorized.
SIMMONS FIRST NATIONAL CORPORATION
Date: October 19, 2000 /s/ Barry L. Crow
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Barry L. Crow, Executive Vice President
and Chief Financial Officer