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[ASTORIA FINANCIAL CORPORATION LETTERHEAD]
CONTACT: PETER J. CUNNINGHAM
FIRST VICE PRESIDENT, INVESTOR RELATIONS
(516) 327-7877
FOR IMMEDIATE RELEASE
ASTORIA FINANCIAL REPORTS 7.4% INCREASE IN FIRST QUARTER OPERATING EPS TO $1.16
(CASH OPERATING EPS OF $1.29)
BOARD INCREASES QUARTERLY CASH DIVIDEND BY 19.2% TO $0.31 PER COMMON SHARE
LAKE SUCCESS, NEW YORK - APRIL 19, 2001 - Astoria Financial Corporation (Nasdaq:
ASFC) ("Astoria"), the holding company for Astoria Federal Savings and Loan
Association ("Astoria Federal"), today reported operating earnings(1) of $56.7
million, or $1.16 diluted operating earnings per common share for the quarter
ended March 31, 2001 compared to operating earnings of $54.8 million, or $1.08
diluted operating earnings per common share for the quarter ended March 31,
2000.
Operating earnings for the quarter ended March 31, 2001 generated an
annualized return on average stockholders' equity of 14.47% and a return on
average assets of 1.01%.
Including non-operating items detailed in the footnote below, the
Company reported net income for the quarter ended March 31, 2001 of $54.4
million, or $1.11 diluted earnings per common share compared to $55.5 million,
or $1.09 diluted earnings per common share for the quarter ended March 31, 2000.
Commenting on the Company's results, George L. Engelke, Jr., Chairman,
President and Chief Executive Officer said, "We are very pleased with the solid
financial performance achieved in the 2001
- --------
(1) For the quarter ended March 31, 2001, operating earnings and
related returns exclude from net income the cumulative effect of an accounting
change, net of tax, of $2.3 million, or $0.05 per diluted common share, related
to the implementation of SFAS No. 133 as previously disclosed. For the quarter
ended March 31, 2000, operating earnings and related returns exclude from net
income the net gain on the disposition of a banking office, net of tax, of
$718,000, or $0.01 per diluted common share.
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first quarter. We accomplished these results by remaining focused on maintaining
a very low credit risk profile, carefully managing our assets and liabilities
and operating efficiently."
OPERATING CASH EARNINGS AND RELATED RETURNS
Operating cash earnings represent the amount by which tangible equity
changes each period due to operating earnings plus non-cash charges for goodwill
amortization and amortization relating to certain employee stock plans.
Operating cash earnings is a measure of Astoria's financial capacity for growth,
share repurchases and/or payment of dividends. Operating cash earnings increased
tangible equity in the 2001 first quarter by $63.1 million, or 11.3% more than
operating earnings. Please see page 9.
Operating cash earnings available to common shareholders were $61.6
million, or $1.29 per diluted operating cash earnings per common share, for the
2001 first quarter compared to $60.0 million, or $1.21 diluted operating cash
earnings per common share, for the 2000 first quarter. The annualized cash
returns on average tangible stockholders' equity and average assets for the
quarter ended March 31, 2001 were 18.49% and 1.13%, respectively.
STOCK REPURCHASE PROGRAM
During the first quarter, Astoria, under its seventh stock repurchase
program, purchased 1.2 million shares of its common stock at an average price
per share of $53.59. Since August 2000, the inception of the current program,
the Company has repurchased 2.5 million shares of the 5 million shares
authorized under the program. Additional purchases may be made from time to time
through August 15, 2002 in open-market or privately negotiated transactions.
BOARD INCREASES QUARTERLY CASH DIVIDEND BY 19.2%
The Board of Directors, at their April 18, 2001 meeting, declared a
quarterly cash dividend of $0.31 per common share, representing a 19.2%
increase. The dividend will be payable on June 1, 2001 to shareholders of record
at the close of business on May 15, 2001. This is the twenty-fourth consecutive
quarterly cash dividend declared by the Company. Commenting on the Board's
action, Mr. Engelke said, "The action taken by the Board of Directors reflects
their continued confidence in the fundamental strength of the Company and its
future prospects."
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FIRST QUARTER EARNINGS SUMMARY
Net interest income for the quarter ended March 31, 2001 totaled $123.4
million compared to $132.2 million for the comparable 2000 period and $122.3
million for the previous quarter. The year over year decrease is primarily
attributable to a decrease in average interest earning assets and a lower net
interest margin. Astoria's net interest margin was 2.30% for the quarter ended
March 31, 2001, down from 2.40% for the 2000 first quarter, but up four basis
points from the 2000 fourth quarter.
Non-interest income for the quarter ended March 31, 2001 totaled $22.7
million compared to $18.3 million (which includes a gain of $1.2 million on the
disposition of a banking office) for the 2000 first quarter. The increase in
non-interest income was due primarily to the income derived from the BOLI
program implemented in the 2000 fourth quarter. Importantly however,
non-interest income also includes an increase in customer service and other loan
fees of $1.9 million, or 16.6%, to $13.1 million. The Company expects continued
growth in customer service and other loan fees during 2001.
General and administrative expense ("G&A"), excluding non-cash
amortization expense relating to certain employee stock plans ("cash G&A"), for
the quarter ended March 31, 2001, totaled $43.1 million compared to $44.4
million for the comparable 2000 period. Importantly, Astoria's ratio of
operating cash G&A expense to average assets for the quarter ended March 31,
2001 was 0.77% compared to 0.79% for the comparable 2000 period. The operating
cash efficiency ratio for the quarter ended March 31, 2001 was 29.48% compared
to 29.71% for the comparable 2000 period. Mr. Engelke commented, "Continuing to
maintain these important ratios at these extremely low levels, which are
significantly better than our industry peers, contributes to our strong
financial performance. We will continue our strong focus on cost control in
2001."
BALANCE SHEET SUMMARY
Total assets at March 31, 2001 totaled $22.6 billion compared to $22.3
billion at the end of 2000. Mr. Engelke commented, "We continued to reposition
our balance sheet through increases in deposits and loans, our core businesses,
and decreases in securities and borrowings, while limiting growth. As shown in
the following table, the combined result of the aforementioned strategy coupled
with positive earnings and a significant reduction in the net unrealized loss on
securities charged to capital was a continued improvement in our book value and
tangible book value per common share."
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PROGRESS IN REPOSITIONING BALANCE SHEET AND INCREASING SHAREHOLDER VALUE
(DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA)
% CHANGE
3/31/01 12/31/00 9/30/00 6/30/00 3/31/00 3/31/01-3/31/00
------- ------- ------- ------- -------- ---
ASSETS $22,642 $22,337 $22,202 $22,201 $22,590 + 0.2%
LOANS $11,500 $11,424 $11,086 $10,836 $10,545 + 9.1%
MBS $ 7,722 $ 7,875 $ 8,037 $ 8,424 $ 8,895 -13.2%
BORROWINGS $10,150 $10,197 $10,452 $10,621 $11,010 - 7.8%
DEPOSITS $10,338 $10,072 $ 9,852 $ 9,815 $ 9,781 + 5.7%
EQUITY $ 1,603 $ 1,513 $ 1,365 $ 1,279 $ 1,254 +27.8%
BOOK VALUE $ 31.73 $ 29.47 $ 26.23 $ 24.17 $ 23.46 +35.3%
TANGIBLE $ 27.64 $ 25.35 $ 22.05 $ 19.95 $ 19.19 +44.0%
BOOK VALUE
Mortgage loan originations and purchases for the quarter ended March
31, 2001 increased 24.2% to $709.0 million from $570.7 million for the quarter
ended March 31, 2000. Mortgage loan activity was concentrated primarily in
one-to-four family residential mortgage loans. Loan prepayments in the first
quarter totaled $495.5 million compared to $208.5 million in the 2000 first
quarter. "The growth in mortgage loan originations and purchases for the first
quarter is the direct result of heightened refinance activity. This activity,
evidenced also by the increases in loan prepayments, limited the net growth in
loans for the quarter," Mr. Engelke noted.
Loans held-for-investment at March 31, 2001 totaled $11.5 billion
compared to $11.4 billion at December 31, 2000 and $10.5 billion at March 31,
2000. While the loan portfolio continued to grow over the past year,
non-performing loans declined to $33.9 million, or 0.15% of total assets at
March 31, 2001, from $47.2 million, or 0.21% of total assets at March 31, 2000.
In addition, the ratio of the allowance for loan losses to non-performing loans
increased to 237.6% at March 31, 2001 from 164.0% at March 31, 2000. Commenting
on the extremely low level of non-performing assets, Mr. Engelke said, "Our
constant attention to credit quality in our lending activities is clearly
evident in our very superior asset quality ratios. Additionally, because of our
conservative lending policies and the fact that 94% of our loan portfolio is
secured by residential real estate, we are well positioned should the economy
continue to show signs of weakness."
Mortgage-backed securities decreased $286.1 million primarily due to
repayments during the quarter ended March 31, 2001, offset by an improvement of
$133.2 million in unrealized loss on mortgage-backed securities, for a net
reduction in mortgage-backed securities for the quarter of $152.9
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million to $7.7 billion, compared to $7.9 billion at December 31, 2000.
Deposits at March 31, 2001 totaled $10.3 billion, an increase of $266.0
million from the previous quarter end, representing an annualized growth rate of
10.6%. Core deposits, which include passbook savings, checking and money market
accounts, increased $193.3 million from the previous quarter to $5.1 billion, or
49.5% of total deposits compared to 48.9% at December 31, 2000. Commenting on
the deposit growth, Mr. Engelke noted, "We have continued to experience very
healthy deposit growth as evidenced by the $556.8 million increase in deposits
over the past twelve months and the impressive $897.5 million increase over the
past eighteen months. Importantly, during the respective periods, core deposits
increased $320.6 million and $532.5 million, clearly enhancing the value of our
franchise. It is also important to note that our checking account deposits have
recently surpassed the $1 billion level. Business checking accounts, which now
comprise 8.4% of total checking balances, continued to grow during the 2001
first quarter, increasing 13.0% from the prior quarter end."
Borrowings totaled $10.1 billion at March 31, 2001, down slightly from
December 31, 2000, and declined $860.1 million, or 7.8%, from March 31, 2000.
Stockholders' equity was $1.6 billion, or 7.08% of total assets at
March 31, 2001, compared to $1.5 billion, or 6.77% of total assets, at December
31, 2000. The increase in stockholders' equity is attributable to the positive
effects of net income and a decrease of $94.8 million in the unrealized loss on
securities available-for-sale, net of taxes, offset by the repurchase of common
stock and dividends paid. Astoria Federal continues to maintain capital ratios
in excess of regulatory requirements. At March 31, 2001, core, tangible and
risk-based capital ratios were 6.82%, 6.82% and 16.46%, respectively.
POTENTIAL IMPACT OF CHANGES IN ACCOUNTING FOR BUSINESS COMBINATIONS
The Financial Accounting Standards Board ("FASB") issued an exposure
draft on February 14, 2001, "Business Combinations and Intangible Assets" ("the
Draft") which is a limited revision of a previous exposure draft on the same
topic issued September 7, 1999. In the Draft, the FASB indicated that the
amortization of goodwill created with respect to business combinations completed
both before and after the effective date of any final pronouncement would be
discontinued. Should the Draft be formally implemented, we anticipate it to be
effective for the third quarter of 2001. At such time, Astoria would cease
recording goodwill amortization amounting to approximately $19.1 million
annually, or approximately $0.40 per diluted common share, based on shares
currently outstanding.
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FUTURE OUTLOOK, RISK FACTORS AND FORWARD LOOKING STATEMENT
This release may contain certain forward-looking statements and may be
identified by the use of such words as "believe," "expect," "anticipate,"
"should," "planned," "estimated," and "potential." Examples of forward looking
statements include, but are not limited to, estimates with respect to the
financial condition, results of operations and business of the Company that are
subject to various factors which could cause actual results to differ materially
from these estimates. These factors include, but are not limited to, general
economic conditions; changes in interest rates, deposit flows, loan demand, real
estate values, and competition; changes in accounting principles, policies, or
guidelines; changes in legislation or regulation; and other economic,
competitive, governmental, regulatory, and technological factors affecting the
Company's operations, pricing, products, and services.
Commenting on the current operating environment, Mr. Engelke stated,
"With a Federal Reserve direction toward easing interest rates, we remain
cautiously optimistic that the current environment will continue to positively
affect the net interest margin and net interest income and present us with
profitable opportunities for growth. However, the actual amount of interest rate
decreases as well as the degree of steepening of the U.S. Treasury yield curve
will be the major determinants of the extent of the positive impact on our net
interest margin and net interest income. If, in fact, profitable asset growth
opportunities remain limited, we will continue to limit growth. We expect, in
any event, to continue to repurchase our stock and reposition the balance sheet.
The result should be moderate growth in operating earnings per share for the
year 2001."
Astoria Financial Corporation, the holding company for Astoria Federal
Savings and Loan Association with assets of $22.6 billion, is the second largest
thrift institution in New York and sixth largest in the United States. Astoria
Federal, through its 86 banking offices, provides retail banking, mortgage,
consumer and small business loan services to 700,000 customers. Astoria commands
the third largest deposit market share in the attractive Long Island market,
which includes Brooklyn, Queens, Nassau and Suffolk counties with a population
exceeding that of 38 individual states. Astoria originates mortgage loans
through an extensive broker network and/or loan production offices in fourteen
states: New York, New Jersey, Connecticut, Pennsylvania, Ohio, Massachusetts,
Delaware, Maryland, Illinois, Virginia, North Carolina, South Carolina, Georgia
and Florida.
Note: Astoria Financial Corporation's news releases are available on its website
at www.astoriafederal.com
Tables Follow
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ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In Thousands, Except Share Data)
At At
March 31, December 31,
2001 2000
------------ ------------
ASSETS
Cash and due from banks $ 145,095 $ 135,726
Federal funds sold and repurchase agreements 729,762 171,525
Mortgage-backed securities available-for-sale 6,923,790 7,011,185
Other securities available-for-sale 700,967 692,037
Mortgage-backed securities held-to-maturity
(fair value of $807,294 and $866,938, respectively) 797,989 863,529
Other securities held-to-maturity (fair value of $723,454
and $830,479, respectively) 719,530 848,662
Federal Home Loan Bank of New York stock 285,250 285,250
Loans held-for-sale 22,191 13,545
Loans receivable:
Mortgage loans, net 11,310,286 11,239,141
Consumer and other loans, net 189,893 185,308
------------ ------------
11,500,179 11,424,449
Less allowance for loan losses 80,634 79,931
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Total loans receivable, net 11,419,545 11,344,518
Mortgage servicing rights, net 38,328 40,962
Accrued interest receivable 110,010 109,439
Premises and equipment, net 152,837 154,582
Goodwill 199,838 204,649
Bank owned life insurance 255,747 251,565
Other assets 140,869 209,628
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TOTAL ASSETS $ 22,641,748 $ 22,336,802
============ ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits $ 10,337,692 $ 10,071,687
Reverse repurchase agreements 7,785,000 7,785,000
Federal Home Loan Bank of New York advances 1,864,000 1,910,000
Other borrowings 500,729 502,371
Mortgage escrow funds 159,679 116,487
Accrued expenses and other liabilities 266,931 313,094
------------ ------------
TOTAL LIABILITIES 20,914,031 20,698,639
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Guaranteed preferred beneficial interest in
junior subordinated debentures 125,000 125,000
Stockholders' equity:
Preferred stock, $1.00 par value; 5,000,000 shares authorized:
Series A (325,000 shares authorized and -0- shares issued and outstanding) -- --
Series B (2,000,000 shares authorized, issued and outstanding) 2,000 2,000
Common stock, $.01 par value; (200,000,000 shares authorized;
55,498,296 shares issued; and 48,938,303 and 49,643,554 shares
outstanding, respectively) 555 555
Additional paid-in capital 813,426 807,357
Retained earnings 1,093,974 1,059,048
Treasury stock (6,559,993 and 5,854,742 shares, at cost, respectively) (250,249) (203,632)
Accumulated other comprehensive income:
Net unrealized loss on securities, net of taxes (26,231) (121,043)
Unallocated common stock held by ESOP (30,758) (31,122)
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TOTAL STOCKHOLDERS' EQUITY 1,602,717 1,513,163
------------ ------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 22,641,748 $ 22,336,802
============ ============
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ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(In Thousands, Except Share Data)
Three Months Ended
March 31,
---------------------------------
2001 2000
------------ ------------
Interest income:
Mortgage loans $ 203,191 $ 183,712
Consumer and other loans 4,879 4,294
Mortgage-backed securities 127,716 154,024
Other securities 32,089 32,390
Federal funds sold and repurchase agreements 4,678 4,099
------------ ------------
Total interest income 372,553 378,519
------------ ------------
Interest expense:
Deposits 105,564 96,098
Borrowed funds 143,628 150,219
------------ ------------
Total interest expense 249,192 246,317
------------ ------------
Net interest income 123,361 132,202
Provision for loan losses 1,002 1,000
------------ ------------
Net interest income after provision for loan losses 122,359 131,202
------------ ------------
Non-interest income:
Customer service and other loan fees 13,067 11,209
Loan servicing fees 3,980 4,538
Net gain on sales of loans 333 117
Net gain on disposition of banking office -- 1,182
Income from bank owned life insurance 4,182 --
Other 1,150 1,299
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Total non-interest income 22,712 18,345
------------ ------------
Non-interest expense:
General and administrative:
Compensation and benefits 23,107 22,179
Occupancy, equipment and systems 12,981 14,231
Federal deposit insurance premiums 497 517
Advertising 1,854 2,046
Other 6,220 7,308
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Total general and administrative 44,659 46,281
Net amortization of mortgage servicing rights 3,115 1,422
Goodwill litigation 1,021 2,513
Capital trust securities 3,104 3,112
Amortization of goodwill 4,811 4,824
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Total non-interest expense 56,710 58,152
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Income before income tax expense and cumulative effect of
accounting change 88,361 91,395
Income tax expense 31,651 35,898
------------ ------------
Income before cumulative effect of accounting change 56,710 55,497
Cumulative effect of accounting change, net of tax (2,294) --
------------ ------------
Net income 54,416 55,497
Preferred dividends declared (1,500) (1,500)
------------ ------------
Net income available to common shareholders $ 52,916 $ 53,997
============ ============
Basic earnings per common share:
Income before accounting change $ 1.18 $ 1.11
============ ============
Cumulative effect of accounting change, net of tax $ 0.05 $ --
============ ============
Net earnings per common share $ 1.13 $ 1.11
============ ============
Diluted earnings per common share:
Income before accounting change $ 1.16 $ 1.09
============ ============
Cumulative effect of accounting change, net of tax $ 0.05 $ --
============ ============
Net earnings per common share $ 1.11 $ 1.09
============ ============
Basic weighted average common shares 46,754,681 48,705,240
Diluted weighted average common and common
equivalent shares 47,698,344 49,387,654
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ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULES OF OPERATING EARNINGS AND OPERATING CASH EARNINGS
- ------------------------------------------------------------------------
(In Thousands, Except Per Share Data)
Three Months Ended
March 31,
-------------------------
2001 2000
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Net income $ 54,416 $ 55,497
Add back: Cumulative effect of accounting change, net of tax 2,294 --
Less: Net gain on disposition of banking office, net of tax -- 718
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Operating earnings 56,710 54,779
Preferred dividends declared (1,500) (1,500)
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Operating earnings available to common shareholders $ 55,210 $ 53,279
======== ========
Basic operating earnings per common share $ 1.18 $ 1.09
======== ========
Diluted operating earnings per common share $ 1.16 $ 1.08
======== ========
Operating earnings available to common shareholders $ 55,210 $ 53,279
Add back:
Employee stock plans amortization expense 1,602 1,900
Amortization of goodwill 4,811 4,824
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Operating cash earnings available to common shareholders $ 61,623 $ 60,003
======== ========
Basic operating cash earnings per common share $ 1.32 $ 1.23
======== ========
Diluted operating cash earnings per common share $ 1.29 $ 1.21
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ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES
SELECTED FINANCIAL RATIOS AND OTHER DATA
At or For the
Three Months Ended
March 31,
-----------------------------------
2001 2000
-----------------------------------
SELECTED RETURNS (ANNUALIZED)
Return on average stockholders' equity 13.88% 18.51%
Return on average tangible stockholders' equity 15.94 22.71
Return on average assets 0.97 0.99
SELECTED FINANCIAL RATIOS EXCLUDING NON-OPERATING
ITEMS, NET OF TAX (ANNUALIZED) (1)
Return on average stockholders' equity 14.47% 18.27%
CASH RETURN ON AVERAGE STOCKHOLDERS' EQUITY (2) 16.10 20.51
Return on average tangible stockholders' equity 16.62 22.42
CASH RETURN ON AVERAGE TANGIBLE STOCKHOLDERS' EQUITY (2) 18.49 25.17
Return on average assets 1.01 0.97
CASH RETURN ON AVERAGE ASSETS (2) 1.13 1.09
Net interest rate spread 2.01 2.12
Net interest margin 2.30 2.40
General and administrative expenses to average assets 0.80 0.82
CASH GENERAL AND ADMINISTRATIVE EXPENSES
TO AVERAGE ASSETS (3) 0.77 0.79
Efficiency ratio 30.57 30.99
CASH EFFICIENCY RATIO (3) 29.48 29.71
ASSET QUALITY DATA (DOLLARS IN THOUSANDS)
Non-performing loans/total loans 0.30% 0.45%
Non-performing loans/total assets 0.15 0.21
Non-performing assets/total assets 0.17 0.23
Allowance for loan losses/non-performing loans 237.59 163.99
Allowance for loan losses/non-accrual loans 245.46 170.92
Allowance for loan losses/total loans 0.70 0.74
Net charge-offs to average loans outstanding (annualized) 0.01 0.01
Non-performing assets $ 38,312 $ 52,884
Non-performing loans 33,939 47,181
Loans 90 days past maturity but still accruing 1,089 1,913
Non-accrual loans 32,850 45,268
Net charge-offs 299 205
CAPITAL RATIOS (ASTORIA FEDERAL)
Tangible 6.82% 6.28%
Core 6.82 6.28
Risk-based 16.46 15.86
OTHER DATA
Cash dividends paid per common share $ 0.26 $ 0.24
Book value per common share 31.73 23.46
Book value per common share - adjusted (4) 32.26 29.71
Tangible book value per common share 27.64 19.19
Tangible book value per common share - adjusted (4) 28.18 25.44
Mortgage loans serviced for others (in thousands) 3,787,261 4,299,257
Average equity/average assets 7.01% 5.33%
(1) For the three months ended March 31, 2001, excludes a charge of $2.3
million, net of tax, for a cumulative effect of accounting change.
For the three months ended March 31, 2000, excludes $718,000, net of
tax, net gain on the disposition of a banking office.
(2) Excludes non-cash charge for amortization of goodwill and employee
stock plans.
(3) Excludes non-cash charge for amortization of employee stock plans.
(4) Excludes the effect of the net unrealized loss on securities, net of
tax, of $26.2 million and $320.8 million, respectively.
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ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES
AVERAGE BALANCE SHEET
- ---------------------
(Dollars in Thousands)
Three Months Ended March 31,
---------------------------------------------------------------------------------
2001 2000
-------------------------------------- --------------------------------------
Average Average
Average Yield/ Average Yield/
Balance Interest Cost Balance Interest Cost
-------------------------------------- --------------------------------------
Assets: (Annualized) (Annualized)
Interest-earning assets:
Mortgage loans (1) $11,318,886 $203,191 7.18% $10,260,349 $183,712 7.16%
Consumer and other loans (1) 188,626 4,879 10.35 173,505 4,294 9.90
Mortgage-backed securities (2) 7,848,310 127,716 6.51 9,491,191 154,024 6.49
Other securities (2) 1,795,952 32,089 7.15 1,849,215 32,390 7.01
Federal funds sold and
repurchase agreements 343,900 4,678 5.44 281,900 4,099 5.82
------- ----- ------- -----
Total interest-earning assets 21,495,674 372,553 6.93 22,056,160 378,519 6.86
------- -------
Non-interest-earning assets 879,997 438,466
------- -------
Total assets $22,375,671 $22,494,626
========== ==========
Liabilities and stockholders' equity:
Interest-bearing liabilities:
Savings $ 2,437,685 $ 12,161 2.00% $ 2,573,434 $ 12,913 2.01%
Certificates of deposit 5,162,621 73,687 5.71 4,935,841 66,634 5.40
NOW and money manager 1,002,920 1,393 0.56 893,191 1,317 0.59
Money market 1,520,725 18,323 4.82 1,215,519 15,234 5.01
--------- ------ --------- ------
Total deposits 10,123,951 105,564 4.17 9,617,985 96,098 4.00
Borrowed funds 10,153,928 143,628 5.66 11,147,156 150,219 5.39
---------- ------- ---------- -------
Total interest-bearing liabilities 20,277,879 249,192 4.92 20,765,141 246,317 4.74
------- -------
Non-interest-bearing liabilities 529,614 529,950
------- -------
Total liabilities 20,807,493 21,295,091
Stockholders' equity 1,568,178 1,199,535
--------- ---------
Total liabilities and stockholders' equity $22,375,671 $22,494,626
========== ==========
Net interest income/net interest
rate spread $123,361 2.01% $132,202 2.12%
======= ==== ======= ====
Net interest earning assets/net
interest margin $ 1,217,795 2.30% $ 1,291,019 2.40%
========= ==== ========= ====
Ratio of interest-earning assets
to interest-bearing liabilities 1.06x 1.06x
===== =====
(1) Mortgage and consumer loans include non-performing loans and exclude the
allowance for loan losses.
(2) Securities available-for-sale are reported at average amortized cost.