Exhibit 99.2
United National Bancorp
Consolidated Financial Highlights
September 30, 2003
(Dollars in Thousands, Except Share Data)
Three Months Ended Nine Months Ended
------------------------------------ ----------------------
September 30, June 30, September 30, September 30,
2003 2003 2002 2003 2002
----------- ------- --------- --------- ---------
Results of Operations:
Net Income $ 3,216 $ 7,619 $ 5,701 $ 18,402 $ 12,679
Net Income per Common Share:
Basic 0.17 0.40 0.34 0.97 0.83
Diluted 0.17 0.40 0.34 0.96 0.82
Dividends Declared per Common Share 0.20 0.20 0.20 0.60 0.60
Financial Ratios:
Return on Average Assets 0.41% 1.02% 0.96% 0.82% 0.80%
Return on Average Stockholders' Equity 4.85% 11.40% 10.95% 9.24% 9.76%
Net Interest Margin (Taxable Equivalent Basis) 3.80% 3.92% 3.97% 3.86% 4.03%
Efficiency Ratio (1) 59.32% 59.71% 60.77% 62.19% 62.21%
Financial Ratios - Adjusted: (2)
Net Income, GAAP Basis $ 3,216 $ 7,619 $ 5,701 $ 18,402 $ 12,679
Adjustment for Merger Charges, net of taxes 4,612 - 632 4,612 1,093
----------- --------- -------- --------- ---------
Net Income, Adjusted 7,828 7,619 6,333 23,014 13,772
Net Income per Common Share, Adjusted:
Basic 0.42 0.40 0.38 1.22 0.90
Diluted 0.41 0.40 0.38 1.21 0.89
Return on Average Assets, Adjusted 1.00% 1.02% 1.07% 1.03% 0.87%
Return on Average Stockholders' Equity, Adjusted 11.80% 11.40% 12.16% 11.55% 10.61%
Cash-Based Profitability: (3)
Net Income $ 3,676 $ 8,086 $ 5,994 $ 19,797 $ 13,410
Earnings per Diluted Share 0.19 0.42 0.36 1.04 0.87
Return on Average Tangible Assets 0.49% 1.12% 1.03% 0.91% 0.85%
Return on Average Tangible Stockholders' Equity 8.47% 18.39% 14.24% 15.15% 11.42%
(1) The Company's efficiency ratio measures total non-interest expense as a
percentage of net interest income plus non-interest income, adjusted for
certain income and expense items, as shown below.
Total Non-Interest Expense $ 28,013 $ 21,021 $ 17,650 $ 70,108 $ 48,878
Less:
Foreclosed Property Expense (Recovery) 20 (5) (13) (52) 62
Employment Termination Costs - 884 - 884 -
Proxy Solicitation Costs - 367 - 367 -
Prepayment Penalty - Borrowings 970 - - 970 -
Merger Charges related to PNC Acquisition 6,824 - - 6,824 -
Integration Expenses related to Vista Acquisition - - 1,068 - 1,847
----------- --------- -------- --------- ----------
Total Adjusted Non-Interest Expense 20,199 19,775 16,595 61,115 46,969
----------- --------- -------- --------- ----------
Total Net Interest Income 25,384 25,175 20,433 74,186 56,301
Plus:
Tax Equivalent Adjustment on Tax Exempt Assets 1,084 1,058 891 3,255 2,502
----------- --------- --------- --------- ----------
Total Adjusted Net Interest Income 26,468 26,233 21,324 77,441 58,803
----------- --------- --------- --------- ----------
Total Non-Interest Income 8,033 7,527 5,324 24,098 17,000
Plus:
Tax Equivalent Adjustment on Life Insurance Income 655 655 794 1,980 1,940
Less:
Net Gains from Securities Transactions 1,106 1,297 134 5,252 154
Gain on Disposition of Credit Card Portfolio - - - - 920
Recovery on Dissolution of Data Processing Joint Venture - - - - 1,171
----------- --------- --------- --------- ----------
Total Adjusted Non-Interest Income $ 7,582 $ 6,885 $ 5,984 $ 20,826 $ 16,695
----------- --------- --------- --------- ----------
Efficiency Ratio = 59.32% 59.71% 60.77% 62.19% 62.21%
=========== ========= ========= ========= ==========
(2) Merger charges related to the PNC acquisition in 2003 and the Vista
acquisition in 2002 are not indicative of normal operating expenses.
(3) Cash-based data excludes the after-tax impact of goodwill and other
intangible assets, primarily core deposit premiums:
Net Income $ 3,216 $ 7,619 $ 5,701 $ 18,402 $ 12,679
Amortization of Intangible Assets, net of tax 460 467 293 1,395 731
-------- ------- ------- --------- --------
Cash Earnings $ 3,676 $ 8,086 $ 5,994 $ 19,797 $ 13,410
======== ======= ======= ========= ========
Average Tangible Assets & Equity exclusion, net of tax $90,994 $91,630 $39,553 $ 91,635 $ 16,553
United National Bancorp
Consolidated Financial Highlights - Continued
September 30, 2003
(Dollars in Thousands)
Three Months Ended Nine Months Ended
----------------------------------------- September 30,
September 30 June 30, September 30, ----------------------
2003 2003 2002 2003 2002
----------- --------- --------- --------- ----------
Financial Condition:
Period End:
Securities, net $ 878,887 $ 836,684 $ 820,798
Total Loans 1,985,431 1,901,891 1,649,966
Allowance for Loan Losses 22,981 22,090 20,765
Total Assets 3,149,528 3,031,851 2,888,997
Deposits 2,221,235 2,211,602 2,172,478
Total Stockholders' Equity 262,004 267,143 273,938
Book Value per Share 13.90 14.20 14.22
Common Shares Outstanding 18,855,607 18,811,333 19,263,725
Capital Adequacy:
Tier I Leverage Ratio 6.98% 7.28% 7.73%
Tier I Capital to Risk-Weighted Assets 9.42% 9.77% 10.42%
Tier I & Tier II Capital to Risk-Weighted Assets 10.45% 10.78% 11.31%
Equity To Assets 8.32% 8.81% 9.48%
Asset Quality:
Non-Accrual Loans $ 11,983 $ 12,541 $ 15,352
Loans Past Due 90 Days but Still Accruing 4,874 2,842 1,673
Assets Acquired in Foreclosure 1,519 1,627 630
----------- ------------ -------------
Total Non-Performing Assets $ 18,376 $ 17,010 $ 17,655
----------- ------------ -------------
Non-Performing Assets to Total Loans and
Assets Acquired in Foreclosure 0.92% 0.89% 1.07%
Allowance for Loan Losses:
Beginning of Period $ 22,090 $ 21,484 $ 15,051 $ 20,407 $ 12,478
Net Charge-Offs:
Charge-Offs (903) (1,182) (1,558) (2,565) (8,263)
Less: Recoveries 114 183 148 384 476
----------- ------------ ------------- ----------- -----------
Net Charge-Offs (789) (999) (1,410) (2,181) (7,787)
Provision for Loan Losses 1,680 1,605 1,000 4,755 9,950
Addition related to Vista Acquisition - - 6,124 - 6,124
----------- ------------ ------------- ----------- -----------
End of Period $ 22,981 $ 22,090 $ 20,765 $ 22,981 $ 20,765
=========== ============ ============= =========== ===========
Allowance for Loan Losses to Total Loans 1.16% 1.16% 1.26%
Allowance for Loan Losses to Non-Performing Loans 136.33% 143.60% 121.97%
Allowance for Loan Losses to Non-Performing Assets 125.06% 129.86% 117.62%
Stockholders' Equity:
Beginning of Period $ 267,143 $ 265,844 $ 158,376 $264,680 $ 156,636
Net Income 3,216 7,619 5,701 18,402 12,679
Net Change in Unrealized Gains on Securities
Available For Sale (5,443) 1,161 4,270 (5,631) 11,393
Cash dividends declared (3,782) (3,747) (3,847) (11,286) (9,683)
Exercise of Stock Options 899 766 - 1,850 364
Stock Issued - Vista Acquisition - - 109,685 - 109,685
Treasury Stock purchased (142) (4,622) (366) (6,368) (7,480)
Stock-based compensation 111 122 119 355 320
Restricted Stock Activity 2 - - 2 24
----------- ------------ ------------- ----------- -----------
End of Period $ 262,004 $ 267,143 $ 273,938 $262,004 $ 273,938
=========== ============ ============= =========== ===========
The quarter and year to date periods ending September 30, 2002 have been
restated to reflect the expensing of stock options in accordance with Statement
of Financial Accounting Standards ("SFAS") No. 123, "Accounting for Stock-Based
Compensation," as amended by SFAS No. 148.
United National Bancorp
Consolidated Balance Sheets
September 30, June 30, September 30,
----------------------------------------------------
(In Thousands, Except Per Share Data) 2003 2003 2002
- ----------------------------------------------------------------------------------------------------------------------
ASSETS
Cash and Due from Banks $ 61,437 $ 72,506 $ 75,219
- ---------------------------------------------------------
Short-Term Investments - - 111,800
- ---------------------------------------------------------
Securities Available for Sale, at Market Value 820,118 773,945 770,100
- ---------------------------------------------------------
Securities Held to Maturity 58,769 62,739 50,698
- ---------------------------------------------------------
Loans, Net of Unearned Income 1,985,431 1,901,891 1,649,966
- ---------------------------------------------------------
Less: Allowance for Loan Losses 22,981 22,090 20,765
- --------------------------------------------------------- ----------- ----------- -----------
Loans, Net 1,962,450 1,879,801 1,629,201
- ---------------------------------------------------------
Premises and Equipment, Net 32,510 33,389 33,660
- ---------------------------------------------------------
Other Real Estate, Net 1,463 1,543 546
- ---------------------------------------------------------
Goodwill 79,663 79,663 79,591
- ---------------------------------------------------------
Intangible Assets, Primarily Core Deposit Premiums 16,354 17,132 18,867
- ---------------------------------------------------------
Cash Surrender Value on Life Insurance 79,516 78,568 75,605
- ---------------------------------------------------------
Other Assets 37,248 32,565 43,710
- --------------------------------------------------------- ----------- ----------- -----------
TOTAL ASSETS $3,149,528 $ 3,031,851 $ 2,888,997
- --------------------------------------------------------- =========== =========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Demand Deposits $ 373,636 $ 387,569 $ 351,516
- ---------------------------------------------------------
NOW Accounts 272,717 287,802 257,360
- ---------------------------------------------------------
Money Market Accounts 327,162 175,881 161,606
- ---------------------------------------------------------
Savings Deposits 501,989 521,760 525,019
- ---------------------------------------------------------
Time Deposits 745,731 838,590 876,977
- --------------------------------------------------------- ----------- ----------- -----------
Total Deposits 2,221,235 2,211,602 2,172,478
- ---------------------------------------------------------
Short-Term Borrowings 206,583 157,951 38,242
- ---------------------------------------------------------
Other Borrowings 431,631 360,286 363,489
- ---------------------------------------------------------
Other Liabilities 28,075 34,869 40,850
- --------------------------------------------------------- ----------- ----------- -----------
TOTAL LIABILITIES 2,887,524 2,764,708 2,615,059
- --------------------------------------------------------- ----------- ----------- -----------
STOCKHOLDERS' EQUITY
Common Stock ($1.25 Par Value Per Share) 26,295 26,240 26,162
- ---------------------------------------------------------
Additional Paid-In Capital 239,175 238,129 236,774
- ---------------------------------------------------------
Retained Earnings 43,546 44,112 32,506
- ---------------------------------------------------------
Treasury Stock (46,112) (45,881) (33,421)
- ---------------------------------------------------------
Accumulated Other Comprehensive (Loss) Income (900) 4,543 11,917
- --------------------------------------------------------- ----------- ----------- -----------
TOTAL STOCKHOLDERS' EQUITY 262,004 267,143 273,938
- --------------------------------------------------------- ----------- ----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $3,149,528 $ 3,031,851 $ 2,888,997
- --------------------------------------------------------- =========== =========== ===========
September 30, 2002 has been restated to reflect the expensing of stock options
in accordance with Statement of Financial Accounting Standards ("SFAS") No. 123,
"Accounting for Stock-Based Compensation," as amended by SFAS No. 148.
United National Bancorp
Consolidated Statements of Income
Three Months Ended Nine Months Ended
---------------------------------------- September 30,
September 30, June 30, September 30, --------------------
(In Thousands, Except Per Share Data) 2003 2003 2002 2003 2002
---------------------------------------- ------------ -----------
INTEREST INCOME
Interest and Fees on Loans $ 27,777 $27,362 $23,556 $ 81,870 $ 65,147
- ---------------------------------------------------------
Interest and Dividends on Securities Available for Sale:
Taxable 6,909 8,456 8,223 23,983 23,113
- ---------------------------------------------------------
Tax-Exempt 1,377 1,291 1,244 4,036 3,459
- ---------------------------------------------------------
Interest and Dividends on Securities Held to Maturity:
Taxable 338 179 78 569 206
- ---------------------------------------------------------
Tax-Exempt 251 271 351 833 1,037
- ---------------------------------------------------------
Interest on Short-Term Investments 3 2 173 159 183
- ------------------------------------------------------------------------------------------------- ------------------------
TOTAL INTEREST INCOME 36,655 37,561 33,625 111,450 93,145
- ------------------------------------------------------------------------------------------------- ------------------------
INTEREST EXPENSE
Interest on Savings Deposits 1,622 1,899 2,480 5,528 5,552
- ---------------------------------------------------------
Interest on Time Deposits 5,060 6,021 6,012 18,016 16,900
- ---------------------------------------------------------
Interest on Short-Term Borrowings 538 451 277 1,116 1,275
- ---------------------------------------------------------
Interest on Other Borrowings 4,051 4,015 4,423 12,604 13,117
- ------------------------------------------------------------------------------------------------- ------------------------
TOTAL INTEREST EXPENSE 11,271 12,386 13,192 37,264 36,844
- ------------------------------------------------------------------------------------------------- ------------------------
Net Interest Income 25,384 25,175 20,433 74,186 56,301
- ---------------------------------------------------------
Provision for Loan Losses 1,680 1,605 1,000 4,755 9,950
- ------------------------------------------------------------------------------------------------- ------------------------
Net Interest Income After Provision for Loan Losses 23,704 23,570 19,433 69,431 46,351
- ------------------------------------------------------------------------------------------------- ------------------------
NON-INTEREST INCOME
Trust Income 1,398 1,569 1,362 4,525 4,332
- ---------------------------------------------------------
Service Charges on Deposit Accounts 2,109 1,868 1,183 5,474 3,143
- ---------------------------------------------------------
Other Service Charges, Commissions and Fees 1,009 1,140 763 3,203 2,542
- ---------------------------------------------------------
Net Gains from Securities Transactions 1,106 1,297 134 5,252 154
- ---------------------------------------------------------
Income on Life Insurance 948 948 1,150 2,867 2,809
- ---------------------------------------------------------
Dissolution of Joint Venture - - - - 1,171
- ---------------------------------------------------------
Gain on Disposition of Credit Card Portfolio - - - - 920
- ---------------------------------------------------------
Other Income 1,463 705 732 2,777 1,929
- ------------------------------------------------------------------------------------------------- ------------------------
TOTAL NON-INTEREST INCOME 8,033 7,527 5,324 24,098 17,000
- ------------------------------------------------------------------------------------------------- ------------------------
NON-INTEREST EXPENSE
Salaries, Wages and Employee Benefits 10,298 11,096 8,493 31,642 23,679
- ---------------------------------------------------------
Occupancy Expense, Net 2,148 2,112 1,598 7,051 4,441
- ---------------------------------------------------------
Furniture and Equipment Expense 1,284 1,369 1,232 4,004 3,378
- ---------------------------------------------------------
Data Processing Expense 1,066 949 1,310 2,992 3,889
- ---------------------------------------------------------
Amortization of Intangible Assets 778 790 494 2,359 1,235
- ---------------------------------------------------------
Merger Related Charges 6,824 - 1,068 6,824 1,847
- ---------------------------------------------------------
Other Expenses 5,615 4,705 3,455 15,236 10,409
- ------------------------------------------------------------------------------------------------- ------------------------
TOTAL NON-INTEREST EXPENSE 28,013 21,021 17,650 70,108 48,878
- ------------------------------------------------------------------------------------------------- ------------------------
Income Before Provision for Income Taxes 3,724 10,076 7,107 23,421 14,473
- ---------------------------------------------------------
Provision for Income Taxes 508 2,457 1,406 5,019 1,794
- ------------------------------------------------------------------------------------------------- ------------------------
NET INCOME $ 3,216 $ 7,619 $ 5,701 $ 18,402 $ 12,679
================================================================================================= ========================
NET INCOME PER COMMON SHARE:
Basic $ 0.17 $ 0.40 $ 0.34 $ 0.97 $ 0.83
================================================================================================= ========================
Diluted $ 0.17 $ 0.40 $ 0.34 $ 0.96 $ 0.82
================================================================================================= ========================
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic 18,824 18,860 16,665 18,888 15,343
- ------------------------------------------------------------------------------------------------- ------------------------
Diluted 19,085 19,050 16,786 19,091 15,476
- ------------------------------------------------------------------------------------------------- ------------------------
United National Bancorp
Analysis of Net Interest Income (Tax Equivalent Basis)
(Dollars in thousands)
Third Quarter 2003 Second Quarter 2003
-------------------------------------- -------------------------------------
Average Average Average Average
Balance Interest Yield Balance Interest Yield
-------------------------------------- -------------------------------------
Assets:
Interest Earning Assets:
Securities Available for Sale:
Taxable $ 644,283 $ 7,093 4.40% $ 695,544 $ 8,639 4.97%
Non-Taxable 131,823 2,091 6.34% 127,023 1,974 6.22%
Securities Held to Maturity:
Taxable 35,452 338 3.81% 19,200 179 3.72%
Non-Taxable 25,215 386 6.12% 26,237 417 6.36%
-------------------------------------- -------------------------------------
836,773 9,908 4.74% 868,004 11,209 5.17%
Short-Term Investments 1,249 3 0.92% 633 2 1.13%
Loans (Net of Unearned Income):
Commercial 427,171 5,453 5.07% 394,261 5,217 5.30%
Real Estate - Commercial 465,743 7,746 6.60% 463,377 8,098 7.01%
Real Estate - Residential 586,086 7,740 5.28% 530,652 7,493 5.65%
Consumer 463,825 6,889 5.89% 422,387 6,600 6.27%
-------------------------------------- -------------------------------------
Total Loans 1,942,825 27,828 5.69% 1,810,677 27,408 6.07%
-------------------------------------- -------------------------------------
Total Interest Earning Assets 2,780,847 37,739 5.40% 2,679,314 38,619 5.77%
-------------------------------------- -------------------------------------
Non-Interest Earning Assets:
Cash and Due from Banks 64,109 63,374
Other Assets 168,406 162,751
Intangible Assets 96,465 97,252
Net Unrealized Gain - AFS 4,893 16,746
Allowance for Possible Loan Losses (22,534) (21,891)
------------ -----------
Total Non-Interest Earning Assets 311,339 318,232
------------ -----------
Total Assets $3,092,186 $2,997,546
============ ===========
Liabilities and Shareholders' Equity:
Interest Bearing Liabilities:
NOW Accounts $ 283,930 $ 201 0.28% $ 287,536 $ 310 0.43%
Money Market Accounts 253,273 689 1.08% 178,846 510 1.14%
Savings Deposits 507,348 732 0.57% 511,240 1,079 0.85%
Time Deposits 767,184 5,060 2.62% 840,720 6,021 2.87%
-------------------------------------- -------------------------------------
Total Savings and Time Deposits 1,811,735 6,682 1.46% 1,818,342 7,920 1.75%
Short-Term Borrowed Funds 192,925 538 1.11% 143,963 451 1.26%
Other Borrowed Funds 411,525 4,051 3.92% 358,866 4,015 4.48%
-------------------------------------- -------------------------------------
Total Interest Bearing Liabilities 2,416,185 11,271 1.85% 2,321,171 12,386 2.14%
-------------------------------------- -------------------------------------
Non-Interest Bearing Liabilities:
Demand Deposits & Non-Int. Bearing Savings 386,886 377,320
Other Liabilities 25,970 31,067
------------ -----------
Total Non-Interest Bearing Liabilities 412,856 408,387
Shareholders' Equity 263,145 267,988
------------ -----------
Total Liab and Shareholders' Equity* $3,092,186 $2,997,546
============ ===========
Net Interest Income (Tax equivalent basis) 26,468 26,233
Less: Tax-Equivalent Adjustment 1,084 1,058
-------------- --------------
Net Interest Income $25,384 $25,175
============== ==============
Net Interest Spread (Tax equivalent basis) 3.55% 3.63%
Effect of Net Non-Interest-Bearing Funds 0.25% 0.29%
------------ ------------
Net Interest Margin (Tax equivalent basis) 3.80% 3.92%
============ ============
Third Quarter 2002
-------------------------------------------
Average Average
Balance Interest Yield
-------------------------------------------
Assets:
Interest Earning Assets:
Securities Available for Sale:
Taxable $ 534,264 $ 8,223 6.16%
Non-Taxable 116,306 1,914 6.58%
Securities Held to Maturity:
Taxable 7,964 78 3.91%
Non-Taxable 39,274 540 5.50%
-------------------------------------------
697,808 10,755 6.16%
Short-Term Investments 36,871 173 1.84%
Loans (Net of Unearned Income):
Commercial 338,354 4,725 5.54%
Real Estate - Commercial 418,455 7,845 7.34%
Real Estate - Residential 310,881 5,086 6.54%
Consumer 340,304 5,932 6.92%
-------------------------------------------
Total Loans 1,407,994 23,588 6.63%
-------------------------------------------
Total Interest Earning Assets 2,142,673 34,516 6.40%
-------------------------------------------
Non-Interest Earning Assets:
Cash and Due from Banks 56,341
Other Assets 121,681
Intangible Assets 41,902
Net Unrealized Gain - AFS 13,891
Allowance for Possible Loan Losses (18,091)
-----------------
Total Non-Interest Earning Assets 215,724
-----------------
Total Assets $2,358,397
=================
Liabilities and Shareholders' Equity:
Interest Bearing Liabilities:
NOW Accounts $ 198,720 $ 366 0.73%
Money Market Accounts 113,383 415 1.45%
Savings Deposits 443,833 1,699 1.52%
Time Deposits 659,897 6,012 3.61%
-------------------------------------------
Total Savings and Time Deposits 1,415,833 8,492 2.38%
Short-Term Borrowed Funds 63,302 277 1.74%
Other Borrowed Funds 324,789 4,423 5.42%
-------------------------------------------
Total Interest Bearing Liabilities 1,803,924 13,192 2.90%
-------------------------------------------
Non-Interest Bearing Liabilities:
Demand Deposits & Non-Int. Bearing Savings 309,464
Other Liabilities 38,446
-----------------
Total Non-Interest Bearing Liabilities 347,910
Shareholders' Equity 206,563
-----------------
Total Liab and Shareholders' Equity* $2,358,397
=================
Net Interest Income (Tax equivalent basis) 21,324
Less: Tax-Equivalent Adjustment 891
--------------
Net Interest Income $20,433
==============
Net Interest Spread (Tax equivalent basis) 3.50%
Effect of Net Non-Interest-Bearing Funds 0.47%
------------
Net Interest Margin (Tax equivalent basis) 3.97%
============
* Includes Unrealized Gain of $3,108 for third quarter 2003, $10,259 for
second quarter 2003 and $9,029 for third quarter 2002.
United National Bancorp
Analysis of Net Interest Income (Tax Equivalent Basis)
(Dollars in thousands)
YTD Ended September 30,
------------------------------------- --------------------------------------
2003 2002
------------------------------------- --------------------------------------
Average Average Average Average
Balance Interest Yield Balance Interest Yield
------------------------------------- --------------------------------------
Assets:
Interest Earning Assets:
Securities Available for Sale:
Taxable $ 661,668 $ 24,527 4.94% $ 480,770 $ 23,113 6.41%
Non-Taxable 129,613 6,158 6.33% 105,605 5,322 6.72%
Securities Held to Maturity:
Taxable 19,929 569 3.81% 6,831 206 4.03%
Non-Taxable 28,154 1,281 6.07% 37,176 1,595 5.72%
------------------------------------- --------------------------------------
839,364 32,535 5.17% 630,382 30,236 6.40%
Short-Term Investments 17,178 159 1.24% 13,125 183 1.84%
Loans (Net of Unearned Income):
Commercial 390,613 15,470 5.29% 325,626 13,469 5.53%
Real Estate - Commercial 466,781 23,995 6.87% 378,441 21,074 7.34%
Real Estate - Residential 532,046 22,420 5.62% 282,827 13,912 6.56%
Consumer 429,150 20,126 6.27% 315,118 16,773 7.12%
------------------------------------- --------------------------------------
Total Loans 1,818,590 82,011 6.02% 1,302,012 65,228 6.66%
------------------------------------- --------------------------------------
Total Interest Earning Assets 2,675,132 114,705 5.72% 1,945,519 95,647 6.54%
------------------------------------- --------------------------------------
Non-Interest Earning Assets:
Cash and Due from Banks 65,402 48,693
Other Assets 164,716 122,908
Intangible Assets 97,260 17,345
Net Unrealized Gain - AFS 13,078 7,375
Allowance for Possible Loan Losses (21,771) (15,741)
----------- -------------
Total Non-Interest Earning Assets 318,685 180,580
----------- -------------
Total Assets $ 2,993,817 $2,126,099
=========== =============
Liabilities and Shareholders' Equity:
Interest Bearing Liabilities:
NOW Accounts $ 282,221 $ 826 0.39% $ 170,842 $ 942 0.74%
Money Market Accounts 204,996 1,740 1.13% 89,140 785 1.18%
Savings Deposits 507,554 2,962 0.78% 373,502 3,825 1.37%
Time Deposits 818,057 18,016 2.94% 602,710 16,900 3.75%
------------------------------------- --------------------------------------
Total Savings and Time Deposits 1,812,828 23,544 1.73% 1,236,194 22,452 2.43%
Short-Term & Other Borrowed Funds 126,898 1,116 1.18% 87,815 1,275 1.94%
Other Borrowed Funds 382,028 12,604 4.40% 312,525 13,117 5.61%
------------------------------------- --------------------------------------
Total Interest Bearing Liabilities 2,321,754 37,264 2.14% 1,636,534 36,844 3.01%
------------------------------------- --------------------------------------
Non-Interest Bearing Liabilities:
Demand Deposits & Non-Int. Bearing Savings 375,626 286,567
Other Liabilities 30,132 29,397
----------- -------------
Total Non-Interest Bearing Liabilities 405,758 315,964
Shareholders' Equity 266,305 173,601
----------- -------------
Total Liab and Shareholders' Equity* $ 2,993,817 $2,126,099
=========== =============
Net Interest Income (Tax equivalent basis) 77,441 58,803
Less: Tax-Equivalent Adjustment 3,255 2,502
-------------- --------------
Net Interest Income $74,186 $ 56,301
============== ==============
Net Interest Spread (Tax equivalent basis) 3.58% 3.53%
Effect of Net Non-Interest-Bearing Funds 0.28% 0.50%
------------ -----------
Net Interest Margin (Tax equivalent basis) 3.86% 4.03%
============ ===========
2003 vs. 2002
----------------------------------------
Average Average
Balance Interest Yield
----------------------------------------
Assets:
Interest Earning Assets:
Securities Available for Sale:
Taxable $ 180,898 $ 1,414 -1.47%
Non-Taxable 24,008 836 -0.39%
Securities Held to Maturity:
Taxable 13,098 363 -0.22%
Non-Taxable (9,022) (314) 0.35%
------------------------------------
208,982 2,299 -1.23%
Short-Term Investments 4,053 (24) -0.60%
Loans (Net of Unearned Income):
Commercial 64,987 2,001 -0.24%
Real Estate - Commercial 88,340 2,921 -0.47%
Real Estate - Residential 249,219 8,508 -0.94%
Consumer 114,032 3,353 -0.85%
------------------------------------
Total Loans 516,578 16,783 -0.64%
------------------------------------
Total Interest Earning Assets 729,613 19,058 -0.82%
------------------------------------
Non-Interest Earning Assets:
Cash and Due from Banks 16,709
Other Assets 41,808
Intangible Assets 79,915
Net Unrealized Gain - AFS 5,703
Allowance for Possible Loan Losses (6,030)
----------
Total Non-Interest Earning Assets 138,105
----------
Total Assets $ 867,718
==========
Liabilities and Shareholders' Equity:
Interest Bearing Liabilities:
NOW Accounts $ 111,379 (116) -0.35%
Money Market Accounts 115,856 955 -0.05%
Savings Deposits 134,052 (863) -0.59%
Time Deposits 215,347 1,116 -0.81%
------------------------------------
Total Savings and Time Deposits 576,634 1,092 -0.70%
Short-Term & Other Borrowed Funds 39,083 (159) -0.76%
Other Borrowed Funds 69,503 (513) -1.20%
------------------------------------
Total Interest Bearing Liabilities 685,220 420 -0.87%
------------------------------------
Non-Interest Bearing Liabilities:
Demand Deposits & Non-Int. Bearing Savings 89,059
Other Liabilities 735
---------
Total Non-Interest Bearing Liabilities 89,794
Shareholders' Equity 92,704
---------
Total Liab and Shareholders' Equity* $ 867,718
==========
Net Interest Income (Tax equivalent basis) 18,638
Less: Tax-Equivalent Adjustment 753
----------
Net Interest Income $ 17,885
==========
Net Interest Spread (Tax equivalent basis) 0.05%
Effect of Net Non-Interest-Bearing Funds -0.22%
--------
Net Interest Margin (Tax equivalent basis) -0.17%
========
* Includes Unrealized Gain of $8,033 for 2003 and $4,794 for 2002.