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
Date of Report (Date of earliest event reported): January 15, 2002
(January 15, 2002)
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
(Commission File Number) (IRS Employer Identification No.)
5 Sarnowski Drive, Glenville, New York 12302
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (518) 377-3311
1
TrustCo Bank Corp NY
Item 5. Other Events
On January 15, 2002, TrustCo Bank Corp NY ("TrustCo") issued
two press releases with year to date and fourth quarter
results for the period ending December 31, 2001. Attached is a
copy of each press release labeled as Exhibits 99(a) and
99(b).
Item 7 (c) Exhibits
Reg S-K Exhibit No. Description
99(a) Highlights Press Release of January
15, 2002, for the period ending
December 31, 2001, regarding year
to date and fourth quarter results.
99(b) Press Release of January 15, 2002,
for the period ending December 31,
2001, regarding year to date and
fourth quarter results.
2
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: January 15, 2002
TrustCo Bank Corp NY
(Registrant)
By:/s/ Robert T. Cushing
Robert T. Cushing
Vice President and
Chief Financial Officer
3
Exhibits Index
The following exhibits are filed herewith:
Reg S-K Exhibit No. Description Page
------------------ ---------------------------- ----------
99(a) Highlights Press Release 5
of January 15, 2002, for the
period ending December 31, 2001,
regarding year to date and
fourth quarter results.
99(b) Press Release of January 15,
2002, for the period ending
December 31, 2001, regarding
year to date and fourth
quarter results.
4
TRUSTCO Exhibit 99(a)
Bank Corp NY News Release
- ----------------------------------------------------------------
5 Sarnowski Drive, Glenville, New York, 12302
(518) 377-3311 Fax: (518) 381-3668
Robert Leonard
Vice President
518-381-3693
FOR IMMEDIATE RELEASE: Glenville, New York - January 15, 2002
TrustCo Bank Corp NY
(dollars in thousands, except per share data)
12/01 12/00
Three Months Ended December 31:
Net Income $ 10,949 10,174
Provision for Loan Losses 1,575 1,554
Average Equivalent Shares Outstanding:
Basic 71,288,000 70,625,000
Diluted 73,877,000 73,140,000
Net Income per Share:
Basic $ 0.154 0.144
Diluted 0.148 0.139
Twelve Months Ended December 31:
Net Income $ 45,510 41,702
Provision for Loan Losses 4,940 4,114
Average Equivalent Shares Outstanding:
Basic 71,154,000 70,693,000
Diluted 73,673,000 73,043,000
Net Income per Share:
Basic $ 0.640 0.590
Diluted 0.618 0.571
Period End:
Total Assets 2,578,621 2,456,198
Total Nonperforming Loans 7,050 11,661
Total Nonperforming Assets 7,653 13,572
Allowance for Loan Losses 57,203 56,298
Allowance as a Percentage
of Total Loans 3.67% 3.82%
Note: All share and per share information is adjusted for the 15% stock split
declared August, 2001.
5
TRUSTCO Exhibit 99(b)
Bank Corp NY News Release
- ----------------------------------------------------------------
5 Sarnowski Drive, Glenville, New York, 12302
(518) 377-3311 Fax: (518) 381-3668
Subsidiaries: Trustco Bank
Trustco Savings
Robert M. Leonard
Vice President
518-381-3693
FOR IMMEDIATE RELEASE:
TrustCo Announces Full Year and Fourth Quarter 2001 Results
Glenville, New York - January 15, 2002
TrustCo Bank Corp NY (TrustCo, NASDAQ: TRST) today announced record results
for 2001. Net income for the full year 2001 was $45.5 million, an increase
of $ 3.8 million or 9.1% over net income of $41.7 million for 2000.
Diluted earnings per share were $0.618 for 2001; an increase of 8.2 %
compared to the $0.571 diluted earnings per share in 2000. Return on average
equity and return on average assets were 25.31 % and 1.83% respectively
for 2001 and 24.07 % and 1.76 % respectively for 2000.
Net income for the fourth quarter of 2001 was $10.9 million, an increase
of 7.6% from the $10.2 million reported in the fourth quarter of 2000.
Diluted earnings per share were $0.148 for the quarter, or 6.5 % greater
than the $0.139 per share reported in 2000's fourth quarter.
Return on average equity and return on average assets for the fourth quarter
were 23.81 % and 1.72 % respectively for 2001, compared to 23.38 % and 1.69%
respectively for the fourth quarter of 2000.
All per share results have been adjusted for the 15% stock split declared in
2001.
Highlights
Robert A. McCormick, TrustCo's Chairman, President, and Chief Executive
Officer commented on the strong results for the quarter and full year of 2001.
"The results for the fourth quarter and for all of 2001 are right on target
with our plans for the year, and establish a strong foundation to move
forward into the year 2002. We achieved a return on average equity of
25.31 %, an increase in our net income of 9.1 % and an efficiency ratio of
38.96 %. These results are the product of executing several initiatives
at TrustCo to enhance net interest income, strengthen asset quality, and
improve operating measurements."
6
Full Year 2001 Results
Net income for 2001 was $45.5 million, an increase of 9.1 % over the net
income of $41.7 million in 2000. The increase in net income combined with
TrustCo's capital management process resulted in a return on average
equity of 25.31% for 2001.
TrustCo's efficiency ratio for 2001 was 38.96%. Commenting on those results
McCormick noted, "The delivery of high quality banking services at the lowest
cost possible is the hallmark of this Company. Year after year we are rated
among the most efficient bank's in the country. The results for 2001 are
world-class."
During 2001, TrustCo paid 84.58% of its net income to shareholders in the
form of cash dividends. As Mr. McCormick noted, TrustCo's operating
philosophy "is to return to our owners any excess capital that cannot be
effectively utilized by the Company while at the same time maintaining
adequate capital to qualify as a well-capitalized institution for regulatory
purposes."
Asset quality remains strong at TrustCo. The allowance for loan losses at
December 31, 2001 was $57.2 million and represents 3.67% of loans outstanding.
Non-performing assets were $7.7 million at year end 2001.
Fourth Quarter Results
Net income of $10.9 million for the fourth quarter of 2001 was 7.6% greater
than the $10.2 million for the same period in 2000.Return on average equity
for the fourth quarter was 23.81% for 2001, compared to 23.38% for 2000.
The efficiency ratio for the quarter was 37.37% in 2001 compared to 39.63%
in 2000. During the fourth quarter the provision for loan losses was $1.6
for both 2001 and 2000.
7
TrustCo is a $2.6 billion bank holding company and through its subsidiaries,
Trustco Bank, National Association, and Trustco Savings Bank, operates 56
bank offices in Albany, Columbia, Greene, Montgomery, Rensselaer, Saratoga,
Schenectady, Schoharie, Warren, and Washington counties. In addition, the
bank operates a full service Trust Department with $1.23 billion in assets
under management. The common shares of TrustCo are traded on the Nasdaq
National Market tier of the Nasdaq Stock Market under the symbol TRST.
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 undo 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.
8
TRUSTCO BANK CORP NY
SCHENECTADY, NY
(dollars in thousands, except per share data)
Three Months Ended
12/31/2001 09/30/2001 12/31/2000
Summary of operations
Net interest income (TE) $26,578 $25,422 $25,255
Provision for loan losses 1,575 750 1,554
Net securities transactions 612 696 28
Noninterest income 5,375 5,312 5,514
Noninterest expense 13,749 12,363 12,666
Net income 10,949 11,591 10,174
Per common share (1) Net income per share:
- Basic 0.154 0.163 0.144
- Diluted 0.148 0.157 0.139
Cash dividends 0.150 0.130 0.130
Tangible Book value at period end 2.88 2.87 2.77
Market price at period end 12.57 11.95 10.60
At period end
Full time equivalent employees 465 479 474
Full service banking offices 56 57 55
Performance ratios
Return on average assets 1.72 % 1.83 1.69
Return on average equity (2) 23.81 25.44 23.38
Efficiency (3) 37.37 39.03 39.63
Net interest spread (TE) 4.00 3.81 3.83
Net interest margin (TE) 4.41 4.27 4.39
Dividend payout ratio 97.63% 80.16% 90.63
Capital ratios at period end (4)
Total equity to assets 7.20 7.28 7.20
Tier 1 risk adjusted capital 13.58 13.45 14.03
Total risk adjusted capital 14.86 14.74 15.32
Asset quality analysis at period end
Nonperforming loans to total loans 0.45% 0.49% 0.79
Nonperforming assets to total assets 0.30 0.34 0.55
Allowance for loan losses to total loans 3.67 3.65 3.82
Coverage ratio (5) 8.1 X 7.5 X 4.8 X
(1) All share and per share information has been adjusted for the 15% stock split declared August, 2001.
(2) Average equity excludes the effect of the market value adjustment for securities
available for sale.
(3) Calculated as noninterest expense (excluding ORE income/expense,goodwill
amortization and any nonrecurring charges) divided by taxable equivalent
net interest income plus
noninterest income (excluding 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.
9
FINANCIAL HIGHLIGHTS, Continued
Twelve Months Ended
12/31/2001 12/31/2000
Summary of operations
Net interest income (TE) $102,416 $102,526
Provision for loan losses 4,940 4,114
Net securities transactions 4,517 (4,985)
Noninterest income 21,285 21,351
Noninterest expense 51,313 47,767
Net income 45,510 41,702
Per common share (1) Net income per share:
- Basic 0.640 0.590
- Diluted 0.618 0.571
Cash dividends 0.541 0.471
Tangible Book value at period end 2.88 2.77
Market price at period end 12.57 10.60
Performance ratios
Return on average assets 1.83 % 1.76
Return on average equity (2) 25.31 24.07
Efficiency (3) 38.96 38.06
Net interest spread (TE) 3.83 3.95
Net interest margin (TE) 4.31 4.47
Dividend payout ratio 84.58% 79.78
10
CONSOLIDATED BALANCE SHEETS
(dollars in thousands)
12/31/2001 12/31/2000
ASSETS
Loans, net $1,499,483 1,418,750
Securities available for sale 587,100 605,284
Federal funds sold and other short-term investments 338,452 299,490
--------------------------------------------
Total earning assets 2,425,035 2,323,524
Cash and due from banks 60,121 45,956
Bank premises and equipment 18,312 17,416
Other assets 75,153 69,302
--------------------------------------------
Total assets $2,578,621 2,456,198
============================================
LIABILITIES
Deposits:
Demand $195,390 191,260
Interest-bearing checking 295,514 277,543
Savings 649,081 588,595
Money Market 75,620 56,917
Certificates of deposit > $100 thou 128,129 123,211
Other time deposits 749,172 773,465
--------------------------------------------
Total deposits 2,092,906 2,010,991
Short-term borrowings 218,219 192,898
Long-term debt 624 911
Other liabilities 61,045 55,555
--------------------------------------------
Total liabilities 2,372,794 2,260,355
SHAREHOLDERS' EQUITY 205,827 195,843
--------------------------------------------
Total liabilities and
shareholders' equity $2,578,621 2,456,198
============================================
Number of common shares
outstanding, in thousands 71,306 70,577
11
CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands, except per share data)
Three Months Ended
12/31/2001 09/30/2001 12/31/2000
Interest income
Loans $29,618 29,963 29,904
Investments 9,787 9,181 10,734
Federal funds sold and other short-term investments 1,315 2,510 3,690
-------------------------------------------------------------
Total interest income 40,720 41,654 44,328
Interest expense
Deposits 15,089 16,572 17,679
Borrowings 935 1,476 2,570
-------------------------------------------------------------
Total interest expense 16,024 18,048 20,249
-------------------------------------------------------------
Net interest income 24,696 23,606 24,079
Provision for loan losses 1,575 750 1,554
-------------------------------------------------------------
Net interest income after
provision for loan losses 23,121 22,856 22,525
Net securities transactions 612 696 28
Noninterest income 5,375 5,312 5,514
Noninterest expense 13,749 12,363 12,666
-------------------------------------------------------------
Income before income taxes 15,359 16,501 15,401
Income tax expense 4,410 4,910 5,227
-------------------------------------------------------------
Net income $10,949 11,591 10,174
=============================================================
Net income per share:
- Basic $0.154 0.163 0.144
- Diluted $0.148 0.157 0.139
Avg equivalent shares outstanding, in thousands:
- Basic 71,288 71,164 70,625
- Diluted 73,877 73,659 73,140
=============================================================
12
CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands, except per share data)
Twelve Months Ended
12/31/2001 12/31/2000
Interest income
Loans $119,370 114,068
Investments 38,441 44,631
Federal funds sold and other short-term investments 10,849 15,003
----------------------------------------
Total interest income 168,660 173,702
Interest expense
Deposits 66,063 66,946
Borrowings 6,700 8,702
----------------------------------------
Total interest expense 72,763 75,648
----------------------------------------
Net interest income 95,897 98,054
Provision for loan losses 4,940 4,114
----------------------------------------
Net interest income after
provision for loan losses 90,957 93,940
Net securities transactions 4,517 (4,985)
Noninterest income 21,285 21,351
Noninterest expense 51,313 47,767
----------------------------------------
Income before income taxes 65,446 62,539
Income tax expense 19,936 20,837
----------------------------------------
Net income $45,510 41,702
========================================
Net income per share:
- Basic $0.640 0.590
- Diluted $0.618 0.571
Avg equivalent shares outstanding, in thousands:
- Basic 71,154 70,693
- Diluted 73,673 73,043
========================================
13
CONSOLIDATED AVERAGE BALANCE SHEETS
(in thousands)
Three Months Ended
12/31/2001 09/30/2001 12/31/2000
Total assets $2,532,314 2,508,747 2,398,221
Shareholders' equity 207,002 205,455 184,754
Total loans 1,556,180 1,532,377 1,455,688
Interest earning assets 2,420,064 2,389,472 2,305,494
Interest-bearing liabilities 2,083,476 2,072,348 1,982,662
Twelve Months Ended
12/31/2001 12/31/2000
Total assets $2,488,169 2,372,926
Shareholders' equity 202,848 175,973
Total loans 1,518,768 1,395,414
Interest earning assets 2,376,359 2,292,094
Interest-bearing liabilities 2,053,100 1,981,369
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