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
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Date of Report (Date of earliest event reported): July 18, 2000
(July 18, 2000)
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TrustCo Bank Corp NY
(Exact name of registrant as specified in its charter)
New York
(State or other jurisdiction of incorporation)
0-10592 14-1630287
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(Commission File Number) (IRS Employer Identification No.)
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192 Erie Boulevard, Schenectady, New York 12305
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (518) 377-3311
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TrustCo Bank Corp NY
Item 5. Other Events
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Two press releases were issued on July 18, 2000, discussing
second quarter results for 2000. Attached are the press
releases labeled as exhibit 99(a) and 99(b).
Item 7 (c) Exhibits
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Reg S-K Exhibit No. Description
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99(a) One page press release
dated July 18, 2000, with
second quarter 2000 results.
99(b) Press release dated July
18, 2000, with second
quarter 2000 results.
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SIGNATURES
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.
Dated: July 18, 2000
TrustCo Bank Corp NY
(Registrant)
By:/s/ Robert T. Cushing
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Robert T. Cushing
Vice President and
Chief Financial Officer
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Exhibits Index
The following exhibits are filed herewith:
Reg S-K Exhibit No. Description Page
__________________ ______________________________ ________
99(a) One page press release dated July 18,
2000, highlighting second quarter 2000
results. 5
99(b) Press release dated July 18, 2000,
highlighting second quarter 2000 results. 6
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Exhibit 99(a)
TRUSTCO
Bank Corp NY News Release
___________________________________________________________________________
192 Erie Boulevard, Schenectady, New York, 12305
(518) 377-3311 Fax: (518) 381-3668
Subsidiary: Trustco Bank NASDAQ -- TRST
Contact: William F. Terry
Senior Vice President and Secretary
518-381-3611
FOR IMMEDIATE RELEASE: Schenectady, New York -- July 18, 2000
TrustCo Bank Corp NY
(dollars in thousands, except per share data)
6/00 6/99
Three Months Ended June 30:
Net Income $ 10,497 9,492
Provision for Loan Losses 800 1,500
Average Equivalent Shares Outstanding:
Basic 53,467,000 53,776,000
Diluted 55,146,000 55,928,000
Net Income per Share:
Basic $ 0.196 0.177
Diluted 0.190 0.170
Six Months Ended June 30:
Net Income $ 20,767 18,815
Provision for Loan Losses 1,650 3,013
Average Equivalent Shares Outstanding:
Basic 53,456,000 53,761,000
Diluted 55,168,000 55,956,000
Net Income per Share:
Basic $ 0.388 0.350
Diluted 0.376 0.336
Period End:
Total Assets 2,367,107 2,409,016
Total Nonperforming Loans 11,762 11,468
Total Nonperforming Assets 13,106 13,986
Allowance for Loan Losses 55,389 55,656
Allowance as a Percentage
of Total Loans 4.03% 4.20%
All share and per share data is adjusted for the 2 for 1 stock split declared
August, 1999.
# # #
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Exhibit 99(b)
TRUSTCO
Bank Corp NY News Release
___________________________________________________________________________
192 Erie Boulevard, Schenectady, New York, 12305
(518) 377-3311 Fax: (518) 381-3668
Subsidiary: Trustco Bank NASDAQ -- TRST
Contact: William F. Terry
Senior Vice President and Secretary
518-381-3611
FOR IMMEDIATE RELEASE:
TRUSTCO ANNOUNCES RECORD HIGH
SECOND QUARTER AND YEAR TO DATE 2000 RESULTS
Schenectady, New York July 18, 2000
TrustCo Bank Corp NY (TrustCo, NASDAQ: TRST) announced that it achieved record
quarterly results for the second quarter of 2000 and for the first six months of
the year. The 2000 results reflect strong performance with respect to net
interest income, net interest margin, recurring noninterest income, and
operating efficiencies. The performance for the first half of 2000 resulted in
TrustCo attaining a return on average equity of 24.3% in 2000. Making the
announcement was Robert A. McCormick, President and Chief Executive Officer.
Net income for the second quarter of 2000 was $10.5 million, or $0.190 diluted
earnings per share, compared to $9.5 million, or $0.170 diluted earnings per
share for the second quarter of 1999. The second quarter results reflect an
increase of 11% in net income and 12% in diluted earnings per share over the
comparable period in 1999.
Year to date results reflect significant increases in both net income and
diluted earnings per share between 1999 and 2000. For the six months ended June
30, 2000, net income was $20.8 million and diluted earnings per share were
$0.376, compared to net income of $18.8 million and diluted earnings per share
of $0.336 for the comparable six month period in 1999. The six-month results
reflect an increase of 10% in net income and 12% in diluted earnings per share
for 2000 compared to the six-month period in 1999.
Commenting on the results for 2000, Mr. McCormick stated " It is gratifying to
continue what has been in excess of a 15 year trend of record earnings growth.
The current
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quarter and the year to date 2000 results are tremendous, and set the stage for
continued growth into the second half of this year. These record results are the
product of executing several initiatives at TrustCo to increase interest income,
strengthen asset quality, and reduce operating expenses."
For the quarter, the taxable equivalent net interest income increased from $24.0
million in 1999 to $25.9 million in 2000, an increase of 8%. Likewise, the net
interest margin increased from 4.07% in 1999 to 4.53% in 2000. The six month
results for taxable equivalent net interest income and net interest margin are
$47.4 million and 4.01% in 1999 compared to $51.4 million and 4.50% in 2000. Mr.
McCormick noted "The growth in the net interest income is significant because it
is the single greatest contributor to the growth in net income. We have worked
hard at identifying opportunities to expand net interest income through
increases in our loan and securities portfolios, while at the same time
controlling the cost of our deposits and borrowings. I believe that our record
2000 results reflect the success that we have had to date in this area."
For 2000, TrustCo has an operating efficiency ratio of 37.4% for the quarter and
37.8% for the six-month results. This compares to the operating efficiency ratio
for 1999's second quarter of 38.3% and the six-month results of 39.8%. "A
consistent element of our strategy is to expand the value of the TrustCo
franchise while at the same time maintaining our operating costs at levels that
place us among the most efficient banking operations in the nation. In the June
2000 issue of the ABA Banking Journal was an article titled " Banking's Top
Performers" which identified TrustCo as the fifth most efficient bank in the
country and the twelfth strongest bank with respect to return on equity for
1999. It's nice to get that type of recognition from such a nationally respected
publication " noted McCormick.
The most critical measure of the overall performance of a banking entity is the
return on equity. The second quarter return on equity was 24.4% for 2000
compared to 22.5% for 1999. The six-month return on equity was 24.3% for 2000
compared to 22.5% for 1999. The target return on equity for 2000 is 23%, and Mr.
McCormick noted "we are heading into the second half of this year with
tremendous momentum".
Also during the second quarter, TrustCo paid common stock cash dividends of
0.150 per share in 2000 compared to $0.138 in 1999. For the six months of 2000,
TrustCo has paid $0.300 per share in common stock cash dividends compared to
$0.275 per share in 1999. The year to date cash dividends paid to common stock
shareholders represents a dividend payout of 77% of net income in 2000.
With respect to the Landmark Financial Corp. acquisition, Mr. McCormick said "
we are anxious to complete this transaction and to have the staff fully
integrated into the
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TrustCo organization. With the expanded services and products that TrustCo
offers, we think we can service this community well." The Landmark shareholder
vote on the TrustCo acquisition is scheduled for July 27, 2000 with the actual
merger occurring shortly thereafter.
TrustCo Bank Corp NY is a $2.4 billion bank holding company which serves the
financial needs of customers through its banking subsidiary, Trustco Bank,
National Association. Trustco Bank operates 53 bank offices, in Albany,
Columbia, Greene, Rensselaer, Saratoga, Schenectady, Schoharie, Warren and
Washington Counties. In addition, Trustco Bank operates a full service Trust
Department with $1.34 billion of assets under management.
Except for historical information contained herein, the matters discussed in
this news release and other information contained in TrustCo's Securities and
Exchange Commission filings may express "forward looking statements". Those
"forward looking statements" may involve risk and uncertainties, including
statements concerning future events or performance and assumptions and other
statements that are other than statements of historical facts. TrustCo wishes to
caution readers not to place undue reliance on any forward looking statements,
which speak only as of the date made. Readers are advised that various risk
factors, including but not limited to: (1) credit risk, (2) interest rate risk,
(3) competition, (4) changes in the regulatory environment, and (5) changes in
general business and economic trends, could cause the actual results or
circumstances for future periods to differ materially from those anticipated or
projected.
TrustCo does not undertake, and specifically disclaims any obligation, to
publicly release the results of any revisions that may be made to any forward
looking statements to reflect the occurrence of unanticipated events or
circumstances after the date of such statement.
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TRUSTCO BANK CORP NY
SCHENECTADY, NY
(dollars in thousands, except per share data)
Three Months Ended
06/30/2000 03/31/2000 06/30/99
Summary of operations
Net interest income (TE) $25,899 25,480 23,983
Provision for loan losses 800 850 1,500
Net securities transactions (2,320) (1,049) (657)
Noninterest income 5,375 4,851 4,907
Noninterest expense 11,432 11,922 11,353
Net income 10,497 10,270 9,492
Per common share (1)
Net income per share:
- Basic 0.196 0.192 0.177
- Diluted 0.190 0.186 0.170
Cash dividends 0.150 0.150 0.138
Book value at period end 3.30 3.19 3.29
Market price at period end 12.50 11.69 13.44
At period end
Full time equivalent employees 467 458 465
Full service banking offices 53 53 53
Performance ratios
Return on average assets 1.79 % 1.76 1.56 %
Return on average equity (2) 24.36 24.24 22.48
Efficiency (3) 37.38 38.31 38.33
Net interest spread (TE) 4.03 4.00 3.60
Net interest margin (TE) 4.53 4.47 4.07
Dividend payout ratio 76.33 78.07 77.83
Capital ratios at period end (4)
Total equity to assets 7.31 7.24 7.02
Tier 1 risk adjusted capital 13.86 13.66 13.08
Total risk adjusted capital 15.15 14.95 14.37
Asset quality analysis at period end
Nonperforming loans to total loans 0.86 0.75 0.87
Nonperforming assets to total assets 0.55 0.50 0.58
Allowance for loan losses to total loans 4.03 4.11 4.20
Coverage ratio (5) 4.7 X 5.5 X 4.9 X
(1) All share and per share information is adjusted for the 2 for 1 stock split declared August, 1999.
(2) Average equity excludes the effect of the market value adjustment for securities
available for sale.
(3) Calculated as noninterest expense (excluding ORE expense and any nonrecurring
charges) divided by taxable equivalent net interest income plus noninterest
income (excluding ORE income and net securities transactions).
(4) Capital ratios exclude the effect of the market value adustment for securities
available for sale.
(5) Calculated as allowance for loan losses divided by total nonperforming loans.
TE = Taxable equivalent.
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FINANCIAL HIGHLIGHTS, Continued
Six Months Ended
06/30/2000 06/30/99
Summary of operations
Net interest income (TE) $51,379 47,370
Provision for loan losses 1,650 3,013
Net securities transactions (3,369) (1,077)
Noninterest income 10,226 10,747
Noninterest expense 23,354 23,555
Net income 20,767 18,815
Per common share (1)
Net income per share:
- Basic 0.388 0.350
- Diluted 0.376 0.336
Cash dividends 0.300 0.275
Book value at period end 3.30 3.29
Market price at period end 12.50 13.44
Performance ratios
Return on average assets 1.78 % 1.56
Return on average equity (2) 24.30 22.47
Efficiency (3) 37.84 39.79
Net interest spread (TE) 4.02 3.54
Net interest margin (TE) 4.50 4.01
Dividend payout ratio 77.19 78.62
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CONSOLIDATED BALANCE SHEETS
(dollars in thousands)
06/30/2000 12/31/99 06/30/99
ASSETS
Loans, net $1,319,680 1,293,989 1,269,893
Securities available for sale 661,478 640,830 713,174
Other short-term investments 7,902 9,970 0
Federal funds sold 243,000 266,000 293,000
Total earning assets 2,232,060 2,210,789 2,276,067
Cash and due from banks 36,325 54,542 42,230
Bank premises and equipment 16,104 16,209 15,775
Other assets 82,618 82,482 74,944
Total assets $2,367,107 2,364,022 2,409,016
LIABILITIES
Deposits:
Demand $167,425 155,313 151,142
Interest-bearing checking 270,710 272,384 257,300
Savings 630,278 641,650 672,855
Money Market 56,180 58,557 60,613
Certificates of deposit > $100 thou 119,340 115,636 115,277
Other time deposits 735,211 751,369 787,544
Total deposits 1,979,144 1,994,909 2,044,731
Short-term borrowings 162,109 152,782 142,178
Other liabilities 49,722 49,975 45,579
Total liabilities 2,190,975 2,197,666 2,232,488
SHAREHOLDERS' EQUITY 176,132 166,356 176,528
Total liabilities and
shareholders' equity $2,367,107 2,364,022 2,409,016
Number of common shares
outstanding, in thousands 53,444 53,408 53,671
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CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands, except per share data)
Three Months Ended
06/30/2000 03/31/2000 06/30/99
Interest income
Loans $27,779 27,432 26,466
Investments 11,373 11,225 10,950
Federal funds sold 3,880 3,587 4,182
Total interest income 43,032 42,244 41,598
Interest expense
Deposits 16,190 16,055 17,132
Borrowings 2,035 1,746 1,481
Total interest expense 18,225 17,801 18,613
Net interest income 24,807 24,443 22,985
Provision for loan losses 800 850 1,500
Net interest income after
provision for loan losses 24,007 23,593 21,485
Net securities transactions (2,320) (1,049) (657)
Noninterest income 5,375 4,851 4,907
Noninterest expense 11,432 11,922 11,353
Income before income taxes 15,630 15,473 14,382
Income tax expense 5,133 5,203 4,890
Net income $10,497 10,270 9,492
Net income per share:
- Basic $0.196 0.192 0.177
- Diluted 0.190 0.186 0.170
Avg equivalent shares outstanding, in thousands:
- Basic 53,467 53,444 53,776
- Diluted 55,146 55,189 55,928
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CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands, except per share data)
Six Months Ended
06/30/2000 06/30/99
Interest income
Loans $55,211 53,026
Investments 22,598 21,840
Federal funds sold 7,467 8,398
Total interest income 85,276 83,264
Interest expense
Deposits 32,245 34,923
Borrowings 3,781 2,929
Total interest expense 36,026 37,852
Net interest income 49,250 45,412
Provision for loan losses 1,650 3,013
Net interest income after
provision for loan losses 47,600 42,399
Net securities transactions (3,369) (1,077)
Noninterest income 10,226 10,747
Noninterest expense 23,354 23,555
Income before income taxes 31,103 28,514
Income tax expense 10,336 9,699
Net income $20,767 18,815
Net income per share:
- Basic $0.388 0.350
- Diluted 0.376 0.336
Avg equivalent shares outstanding, in thousands:
- Basic 53,456 53,761
- Diluted 55,168 55,956
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CONSOLIDATED AVERAGE BALANCE SHEETS
(in thousands)
Three Months Ended
06/30/2000 03/31/2000 06/30/99
Total assets $2,357,061 2,347,207 2,433,144
Shareholders' equity 172,073 165,477 184,460
Total loans 1,361,820 1,353,172 1,324,286
Interest earning assets 2,283,669 2,274,660 2,356,714
Interest-bearing liabilities 1,976,384 1,978,639 2,058,334
Six Months Ended
06/30/2000 06/30/99
Total assets $2,352,134 2,437,974
Shareholders' equity 168,775 185,506
Total loans 1,357,496 1,321,662
Interest earning assets 2,279,164 2,356,806
Interest-bearing liabilities 1,977,511 2,063,802
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