EXHIBIT 99.1
[UNITED COMMUNITY BANKS LOGO]
For Immediate Release
For more information:
Rex S. Schuette
Chief Financial Officer
(706) 781-2265
Rex_Schuette@ucbi.com
UNITED COMMUNITY BANKS, INC. REPORTS
13% GAIN IN DILUTED EARNINGS PER SHARE
FOR SECOND QUARTER 2005
HIGHLIGHTS:
- - Record Second Quarter Earnings
Diluted Operating Earnings Per Share of 35 Cents - Up 13%
Net Operating Income of $13.8 Million - Up 21%
Return on Tangible Equity of 19.21%
- - Strong Loan Demand and Rise in Net Interest Margin and Fee Revenue Drove
Performance
- - Significant Entry into The Gainesville MSA Expands Franchise
BLAIRSVILLE, GA, July 26, 2005 - United Community Banks, Inc. (Nasdaq: UCBI),
Georgia's third largest bank holding company, today announced record second
quarter 2005 results that included a 21% rise in net operating income, a 13%
gain in diluted operating earnings per share and a 29% increase in total revenue
from the second quarter of 2004.
For the quarter, net operating income rose to $13.8 million from $11.4 million a
year earlier. Diluted operating earnings per share of $.35 increased $.04 from
$.31 a year ago. Total revenue, on a taxable equivalent basis, was $60.6 million
compared with $47.1 million for the second quarter of 2004. Return on tangible
equity was 19.21% and return on assets was 1.03%, compared with 19.70% and
1.07%, respectively, a year ago.
"Our financial performance in the second quarter of 2005 was outstanding by all
measures," said Jimmy Tallent, President and Chief Executive Officer. "Total
assets at quarter-end surpassed $5.5 billion, an increase of more than $1
billion, or 22%, from a year ago. Loan growth continued at a record pace,
increasing $195 million during the quarter, or 20% on an annualized basis, which
helped drive the increase in net interest revenue. Our net interest margin rose
to 4.12%, up 17 basis points from a year ago as increasing short-term interest
rates positively affected our slightly asset-sensitive balance sheet. Fee
revenue increased in every category and was up 26% over 2004. With this growth
in revenue and operating earnings, United Community Banks remains on track to
meet our performance goals of double-digit earnings per share growth and a
return on tangible equity above 18% for 2005."
For the six months, net operating income of $27.2 million increased $4.9
million, or 22%, from $22.3 million for the first half of 2004. Diluted
operating earnings per share of $.69 increased $.08, or 13%, from $.61 for the
first six months of 2004. Total revenue, on a taxable equivalent basis, totaled
$116.7 million, up 26% from $92.4 million a year ago. Return on tangible equity
was 19.52% and return on assets was 1.04%, compared with 19.79% and 1.07%,
respectively, a year ago.
Net operating income excludes pre-tax merger-related charges in 2004. For the
second quarter of 2004 and for the first six months of 2004, merger-related
charges were $464 thousand resulting from the acquisition of 1st Community Bank,
completed on June 1, 2004. Including these merger-related charges for the second
quarter and first six months of 2004, reported net income was $11.0 million and
$22.0 million, respectively; reported diluted earnings per share was $.30 and
$.60, respectively; and, reported return on equity 14.40% and 14.63%,
respectively.
At June 30, 2005, total loans were $4.1 billion, up $735 million, or 22%, from a
year ago. Organic growth, excluding acquisitions, was $528 million, or 16%.
"Loan demand has remained consistent across all our markets, providing
significant growth opportunities," Tallent said. "Organic loan growth,
accomplished through disciplined step-by-step execution and accompanied by an
uncompromising focus on sound credit quality, is essential to our balanced
growth strategy."
"This strategy also includes focused expansion with the right people through de
novo offices," Tallent explained. "An excellent example of this strategy was our
May entry into the Gainesville market. In May, we partnered with three
experienced local banking executives to form a de novo bank, United Community
Bank - Hall County. This new bank is managed by Chairman Rich White, CEO Dick
Valentine, and President Burton Stephens - all of whom are long-time bankers in
the Gainesville market. Shortly after joining, they hired 55 experienced bankers
from this market and by the end of the second quarter the bank had grown to more
than $90 million in loans and $50 million in new deposits. Our current plans
include opening a main office location in downtown Gainesville within 90 days
and two banking offices in the surrounding Gainesville MSA within the next 30
days. We also plan to open two additional banking offices in this market in
early 2006. "The Gainesville MSA, which encompasses all of Hall County, is the
7th fastest growing MSA in the country with over 100,000 in population," Tallent
added. "It's a testimony to the success and strength of our existing franchise
that we were able to absorb such a significant de novo undertaking and still
deliver on our primary financial goals of double digit earnings per share growth
and a return on tangible equity above 18%."
Taxable equivalent net interest revenue of $51.3 million for the second quarter
rose $12.0 million, or 31%, from the same period a year ago. Recent acquisitions
added approximately $3.8 million to net interest revenue, resulting in a core
growth rate of 21%. Taxable equivalent net interest margin for the second
quarter was 4.12% as compared with 3.95% a year ago and 4.05% last quarter. "We
have maintained our net interest margin near the 4% level for the past 11
quarters and expect it to remain at that level through 2005," Tallent said. "Our
balance sheet is slightly asset sensitive, which is allowing us to benefit
modestly from a rising interest rate environment."
The second quarter provision for loan losses was $2.8 million and was up $1
million from a year earlier and increased $400,000 from the first quarter of
2005. Net charge-offs to average loans were 14 basis points for the second
quarter, compared with 12 basis points for the first quarter of 2005 and 10
basis points for the second quarter of 2004. At quarter-end, non-performing
assets totaled $13.5 million compared with $13.7 million at the end of the first
quarter of 2005 and $8.8
million a year ago. Non-performing assets as a percentage of total assets were
24 basis points at quarter-end, compared with 26 basis points at March 31, 2005
and 19 basis points at June 30, 2004.
Commenting on asset quality, Tallent said, "Our level of nonperforming assets
compares very favorably with our peer banks and is well within our tolerance
level. At this low level, we expect volatility in comparisons to prior periods,
even while our credit quality remains sound. Strong credit quality remains
essential to our high performance and growth. United's credit quality success is
rooted in our bedrock strategy of securing loans with hard assets."
Fee revenue of $12.2 million rose $2.5 million, or 26%, from $9.6 million a year
ago with strong growth in every category. "We increased fee revenue by growing
deposits through our core deposit program and cross-selling other products and
services," Tallent said. "We also experienced healthy increases in consulting,
mortgage and brokerage fees." Service charges and fees on deposit accounts
increased $968,000 to $6.3 million, primarily due to growth in transactions and
new accounts resulting from the core deposit program. Consulting fees of $1.7
million rose $283,000, or 20%, due to continued growth in risk management and
financial-service practices as well as strong growth across existing consulting
services. Brokerage fees of $768,000 increased $253,000, or 49%, due to strong
market activity. Other fee revenue of $1.7 million was up $873,000, due
primarily to $530,000 in gains on the sale of two former banking office
locations and $235,000 in gains on the sale of SBA loans.
"We remain sharply focused on growing core deposits and related fee revenue,"
Tallent said. "We continued to promote our very successful `Refer-a-Friend' core
deposit program that rewards our many satisfied customers for referring their
friends and family members to us. Our relentless focus on providing the highest
level of customer service has generated customer satisfaction scores that
continue to exceed 90%, well above the comparable industry average of 75%. Our
high level of customer satisfaction helps us build our deposit base through
customer referrals while also maintaining long-term relationships with existing
customers. During the quarter, our core deposit program, along with other
initiatives, added 12,000 accounts and $75 million in balances."
Operating expenses increased $9.4 million, or 32%, to $38.8 million from the
second quarter of 2004. Nearly $5.3 million of this increase related to
operating expenses of the three banks acquired in 2004 that were not included in
last year's results and the operating costs of the de novo expansion into
Gainesville during the quarter. Salaries and employee benefit costs of $25.3
million increased $6.6 million, or 35%, with approximately $3.9 million
resulting from acquisitions and the recent de novo expansion. The balance of the
increase was due to an increase in staff to support business growth and related
hiring costs and higher commissions related to the increase in mortgage and
brokerage fee revenue. Communications and equipment expenses of $3.1 million
increased $438,000, or 16%, due to the acquisitions and investments in
technology equipment to support business growth. Advertising and marketing
expense of $1.7 million rose $708,000, reflecting the higher program costs of
initiatives to raise core deposits and marketing campaigns to generate brand
recognition in new markets. Occupancy expense of $2.7 million increased $445,000
reflecting the cost of operating additional banking offices added through
acquisitions and de novo expansion. Professional fees of $1.1 million were up
$276,000, due to higher costs related to the volume of new loans generated and
overall business growth. The increase in all other operating expense categories
was related to the recent acquisitions and business growth. "Our operating
efficiency ratio of 61.18% for the quarter was slightly above our long-term
efficiency goal of 58% to 60%, reflecting the higher operating costs of our
recent de novo expansion into Gainesville," Tallent said.
"Looking forward, we believe United Community Banks is on target to achieve
operating earnings per share growth during 2005 within our long-term goal of 12%
to 15%, and will likely remain at the lower end of the range this year due to
the significant expansion in the Gainesville market," Tallent said. "We
anticipate core loan growth will continue slightly above the high end of our
targeted range of 10% to 14% and net interest margin will come down slightly
from our current level, but remain above 4% for 2005. Our outlook is based on a
continued, stable economic environment in our markets combined with maintaining
strong credit quality. We are well positioned for additional increases in
short-term interest rates and should benefit modestly if, and when, they occur."
"We remain committed to excellent customer service, superior operating
performance and solid credit quality as we continue to grow our franchise,"
Tallent added. "Pursuing a balanced- growth strategy focused on strong internal
growth in existing markets, complemented by selective de novo offices and
mergers in other attractive markets, will remain the foundation on which we
continue to build superior performance and long-term shareholder value."
Conference Call
United Community Banks will hold a conference call on Tuesday, July 26, 2005, at
11:00 a.m. ET to discuss the contents of this news release, as well as business
highlights for the quarter and the financial outlook for the remainder of the
year. The telephone number for the conference call is (800) 659-1966 and the
pass code is "UCBI." The conference call will also be available by web cast
within the Investor Relations section of the company's web site.
About United Community Banks, Inc.
Headquartered in Blairsville, United Community Banks is the third-largest bank
holding company in Georgia. United Community Banks has assets of $5.5 billion
and operates 24 community banks with 85 banking offices located throughout north
Georgia, metro Atlanta, coastal Georgia, western North Carolina and east
Tennessee. The company specializes in providing personalized community banking
services to individuals and small to mid-size businesses in its markets. United
Community Banks also offers the convenience of 24-hour access to its services
through a network of ATMs, telephone and on-line banking. United Community Banks
common stock is listed on the Nasdaq National Market under the symbol UCBI.
Additional information may be found at the company's web site, ucbi.com.
Safe Harbor
This news release contains forward-looking statements, as defined by Federal
Securities Laws, including statements about financial outlook and business
environment. These statements are provided to assist in the understanding of
future financial performance and such performance involves risks and
uncertainties that may cause actual results to differ materially from those in
such statements. Any such statements are based on current expectations and
involve a number of risks and uncertainties. For a discussion of factors that
may cause such forward-looking
statements to differ materially from actual results, please refer to the section
entitled "Forward Looking Statements" on page 4 of United Community Banks, Inc.
annual report filed on Form 10-K with the Securities and Exchange Commission.
(Tables Follow)
UNITED COMMUNITY BANKS, INC.
SELECTED FINANCIAL INFORMATION
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2005
2005 2004 SECOND
------------------------- -------------------------------------- QUARTER
(in thousands, except per share SECOND FIRST FOURTH THIRD SECOND 2005-2004
data; taxable equivalent) QUARTER QUARTER QUARTER QUARTER QUARTER CHANGE
- ------------------------------------------------------------------------------------------------------------------
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited)
INCOME SUMMARY
Interest revenue $ 80,701 $ 73,649 $ 66,761 $ 61,358 $ 56,680
Interest expense 29,450 25,367 21,448 19,142 17,432
----------- ----------- ----------- ----------- -----------
Net interest revenue 51,251 48,282 45,313 42,216 39,248 31%
Provision for loan losses 2,800 2,400 2,000 2,000 1,800
Fee revenue 12,179 10,200 10,757 9,857 9,647 26
----------- ----------- ----------- ----------- -----------
TOTAL REVENUE 60,630 56,082 54,070 50,073 47,095 29
Operating expenses (1) 38,808 34,779 33,733 31,296 29,363 32
----------- ----------- ----------- ----------- -----------
Income before taxes 21,822 21,303 20,337 18,777 17,732 23
Income taxes 8,049 7,862 7,427 6,822 6,379
----------- ----------- ----------- ----------- -----------
NET OPERATING INCOME 13,773 13,441 12,910 11,955 11,353 21
Merger-related charges, net of tax - - 261 - 304
----------- ----------- ----------- ----------- -----------
NET INCOME $ 13,773 $ 13,441 $ 12,649 $ 11,955 $ 11,049 25
=========== =========== =========== =========== ===========
OPERATING PERFORMANCE (1)
Earnings per common share:
Basic $ .36 $ .35 $ .35 $ .33 $ .32 13
Diluted .35 .34 .34 .32 .31 13
Return on tangible equity (3) 19.21% 19.86% 19.96% 19.41% 19.70%
Return on assets 1.03 1.06 1.07 1.05 1.07
Efficiency ratio 61.18 59.47 60.20 60.11 60.05
Dividend payout ratio 19.44 20.00 17.14 18.18 18.75
GAAP PERFORMANCE
Per common share:
Basic earnings $ .36 $ .35 $ .34 $ .33 $ .31 16
Diluted earnings .35 .34 .33 .32 .30 17
Cash dividends declared .07 .07 .06 .06 .06 17
Book value 10.86 10.42 10.39 9.58 9.10 19
Tangible book value (3) 7.85 7.40 7.34 7.28 6.77 16
Key performance ratios:
Return on equity (2) 13.46% 13.68% 14.15% 14.20% 14.40%
Return on assets 1.03 1.06 1.05 1.05 1.04
Net interest margin 4.12 4.05 4.05 3.99 3.95
Dividend payout ratio 19.44 20.00 17.65 18.18 19.35
Equity to assets 7.65 7.71 7.54 7.50 7.30
Tangible equity to assets (3) 5.62 5.58 5.75 5.76 5.74
ASSET QUALITY
Allowance for loan losses $ 49,873 $ 48,453 $ 47,196 $ 43,548 $ 42,558
Non-performing assets 13,495 13,676 8,725 10,527 8,812
Net charge-offs 1,380 1,143 1,183 1,010 789
Allowance for loan losses to loans 1.22% 1.25% 1.26% 1.27% 1.27%
Non-performing assets to total assets .24 .26 .17 .23 .19
Net charge-offs to average loans .14 .12 .13 .12 .10
AVERAGE BALANCES
Loans $ 3,942,077 $ 3,797,479 $ 3,572,824 $ 3,384,281 $ 3,235,262 22
Investment securities 996,096 946,194 805,766 762,994 715,586 39
Earning assets 4,986,339 4,819,961 4,456,403 4,215,472 3,991,797 25
Total assets 5,338,398 5,164,464 4,781,018 4,521,842 4,274,442 25
Deposits 3,853,884 3,717,916 3,500,842 3,351,188 3,178,776 21
Stockholders' equity 408,352 398,164 360,668 338,913 311,942 31
Common shares outstanding:
Basic 38,270 38,198 37,056 36,254 35,633
Diluted 39,436 39,388 38,329 37,432 36,827
AT PERIOD END
Loans $ 4,072,811 $ 3,877,575 $ 3,734,905 $ 3,438,417 $ 3,338,309 22
Investment securities 990,500 928,328 879,978 726,734 739,667 34
Earning assets 5,161,067 4,907,743 4,738,389 4,280,643 4,172,049 24
Total assets 5,540,242 5,265,771 5,087,702 4,592,655 4,525,446 22
Deposits 3,959,226 3,780,521 3,680,516 3,341,525 3,339,848 19
Stockholders' equity 415,994 398,886 397,088 347,795 330,458 26
Common shares outstanding 38,283 38,249 38,168 36,255 36,246
FOR THE SIX YTD
(in thousands, except per share MONTHS ENDED 2005-2004
data; taxable equivalent) 2005 2004 CHANGE
- ---------------------------------------------------------------------------
(Unaudited) (Unaudited)
INCOME SUMMARY
Interest revenue $ 154,350 $ 111,267
Interest expense 54,817 34,204
----------- -----------
Net interest revenue 99,533 77,063 29%
Provision for loan losses 5,200 3,600
Fee revenue 22,379 18,925 18
----------- -----------
TOTAL REVENUE 116,712 92,388 26
Operating expenses (1) 73,587 57,539 28
----------- -----------
Income before taxes 43,125 34,849 24
Income taxes 15,911 12,558
----------- -----------
NET OPERATING INCOME 27,214 22,291 22
Merger-related charges, net of tax - 304
----------- -----------
NET INCOME $ 27,214 $ 21,987 24
=========== ===========
OPERATING PERFORMANCE (1)
Earnings per common share:
Basic $ .71 $ .63 13
Diluted .69 .61 13
Return on tangible equity (3) 19.52% 19.79%
Return on assets 1.04 1.07
Efficiency ratio 60.36 59.94
Dividend payout ratio 19.72 19.05
GAAP PERFORMANCE
Per common share:
Basic earnings $ .71 $ .62 15
Diluted earnings .69 .60 15
Cash dividends declared .14 .12 17
Book value 10.86 9.10 19
Tangible book value (3) 7.85 6.77 16
Key performance ratios:
Return on equity (2) 13.57% 14.63%
Return on assets 1.04 1.06
Net interest margin 4.09 3.97
Dividend payout ratio 19.72 19.35
Equity to assets 7.68 7.38
Tangible equity to assets (3) 5.60 5.81
ASSET QUALITY
Allowance for loan losses $ 49,873 $ 42,558
Non-performing assets 13,495 8,812
Net charge-offs 2,523 1,424
Allowance for loan losses to loans 1.22% 1.27
Non-performing assets to total assets .24 .19
Net charge-offs to average loans .13 .09
AVERAGE BALANCES
Loans $ 3,870,177 $ 3,165,569 22
Investment securities 971,283 684,226 42
Earning assets 4,903,610 3,900,337 26
Total assets 5,251,913 4,179,664 26
Deposits 3,786,276 3,067,251 23
Stockholders' equity 403,286 308,434 31
Common shares outstanding:
Basic 38,234 35,477
Diluted 39,412 36,655
AT PERIOD END
Loans $ 4,072,811 $ 3,338,309 22
Investment securities 990,500 739,667 34
Earning assets 5,161,067 4,172,049 24
Total assets 5,540,242 4,525,446 22
Deposits 3,959,226 3,339,848 19
Stockholders' equity 415,994 330,458 26
Common shares outstanding 38,283 36,246
(1) Excludes pre-tax merger-related charges totaling $406,000 or $.01 per
diluted common share and $464,000 or $.01 per diluted common share in the fourth
and second quarters, respectively, of 2004.
(2) Net income available to common stockholders divided by average realized
common equity which excludes accumulated other comprehensive income.
(3) Excludes effect of acquisition related intangibles and associated
amortization.
(4) Annualized.
UNITED COMMUNITY BANKS, INC.
CONSOLIDATED STATEMENT OF INCOME
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2005 AND 2004
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
--------------------------- ---------------------------
(in thousands, except per share data) 2005 2004 2005 2004
- ---------------------------------------------------------------------------------------------------------------------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
INTEREST REVENUE:
Loans, including fees $ 69,446 $ 49,326 $ 132,913 $ 96,748
Federal funds sold and deposits in banks 150 66 409 177
Investment securities:
Taxable 10,190 6,339 19,204 12,408
Tax exempt 528 545 1,053 1,111
----------- ----------- ----------- -----------
Total interest revenue 80,314 56,276 153,579 110,444
----------- ----------- ----------- -----------
INTEREST EXPENSE:
Deposits:
Demand 4,379 1,920 7,906 3,714
Savings 174 93 342 176
Time 15,019 9,773 28,027 19,070
Federal funds purchased 1,106 499 1,977 770
Other borrowings 8,772 5,147 16,565 10,474
----------- ----------- ----------- -----------
Total interest expense 29,450 17,432 54,817 34,204
----------- ----------- ----------- -----------
Net interest revenue 50,864 38,844 98,762 76,240
Provision for loan losses 2,800 1,800 5,200 3,600
----------- ----------- ----------- -----------
Net interest revenue after provision for
loan losses 48,064 37,044 93,562 72,640
----------- ----------- ----------- -----------
FEE REVENUE:
Service charges and fees 6,280 5,312 11,894 10,335
Mortgage loan and other related fees 1,742 1,585 3,225 2,865
Consulting fees 1,685 1,402 3,167 2,529
Brokerage fees 768 515 1,210 1,223
Securities losses, net (2) - (2) (4)
Other 1,706 833 2,885 1,977
----------- ----------- ----------- -----------
Total fee revenue 12,179 9,647 22,379 18,925
----------- ----------- ----------- -----------
TOTAL REVENUE 60,243 46,691 115,941 91,565
----------- ----------- ----------- -----------
OPERATING EXPENSES:
Salaries and employee benefits 25,274 18,662 47,509 36,788
Occupancy 2,718 2,273 5,386 4,555
Communications and equipment 3,115 2,677 6,097 5,224
Postage, printing and supplies 1,369 1,068 2,720 2,210
Professional fees 1,071 795 2,109 1,632
Advertising and public relations 1,699 991 3,062 1,755
Amortization of intangibles 503 395 1,006 766
Merger-related charges - 464 - 464
Other 3,059 2,502 5,698 4,609
----------- ----------- ----------- -----------
Total operating expenses 38,808 29,827 73,587 58,003
----------- ----------- ----------- -----------
Income before income taxes 21,435 16,864 42,354 33,562
Income taxes 7,662 5,815 15,140 11,575
----------- ----------- ----------- -----------
NET INCOME $ 13,773 $ 11,049 $ 27,214 $ 21,987
=========== =========== =========== ===========
Net income available to common stockholders $ 13,767 $ 11,048 $ 27,201 $ 21,970
=========== =========== =========== ===========
Earnings per common share:
Basic $ .36 $ .31 $ .71 $ .62
Diluted .35 .30 .69 .60
Weighted average common shares outstanding
(in thousands):
Basic 38,270 35,633 38,234 35,477
Diluted 39,436 36,827 39,412 36,655
UNITED COMMUNITY BANKS, INC.
CONSOLIDATED BALANCE SHEET
FOR THE PERIOD ENDED
JUNE 30, DECEMBER 31, JUNE 30,
($ in thousands) 2005 2004 2004
- -------------------------------------------------------------------------------------------------------------
(Unaudited) (Audited) (Unaudited)
ASSETS
Cash and due from banks $ 117,478 $ 99,742 $ 147,793
Interest-bearing deposits in banks 17,451 35,098 39,186
----------- ----------- -----------
Cash and cash equivalents 134,929 134,840 186,979
Securities available for sale 990,500 879,978 739,667
Mortgage loans held for sale 34,095 37,094 18,610
Loans, net of unearned income 4,072,811 3,734,905 3,338,309
Less - allowance for loan losses 49,873 47,196 42,558
----------- ----------- -----------
Loans, net 4,022,938 3,687,709 3,295,751
Premises and equipment, net 105,469 103,679 92,497
Interest receivable 31,909 27,923 23,150
Intangible assets 119,617 121,207 87,657
Other assets 100,785 95,272 81,135
----------- ----------- -----------
TOTAL ASSETS $ 5,540,242 $ 5,087,702 $ 4,525,446
=========== =========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits:
Demand $ 590,306 $ 532,879 $ 479,439
Interest-bearing demand 1,141,115 1,055,192 935,489
Savings 177,822 171,898 160,550
Time 2,049,983 1,920,547 1,764,370
----------- ----------- -----------
Total deposits 3,959,226 3,680,516 3,339,848
Federal funds purchased and repurchase agreements 213,148 130,921 181,439
Federal Home Loan Bank advances 800,316 737,947 535,343
Other borrowings 117,939 113,879 113,877
Accrued expenses and other liabilities 33,619 27,351 24,481
----------- ----------- -----------
TOTAL LIABILITIES 5,124,248 4,690,614 4,194,988
----------- ----------- -----------
Stockholders' equity:
Preferred stock, $1 par value; $10 stated value; 10,000,000
shares authorized; 48,300, 55,900 and 65,500 shares
issued and outstanding 372 448 483
Common stock, $1 par value; 100,000,000 shares authorized;
36,620,754, 35,706,573 and 35,706,573 shares issued 38,408 38,408 36,621
Capital surplus 154,480 155,076 116,129
Retained earnings 226,546 204,709 184,572
Treasury stock; 374,362, 417,525 and 739,581 shares, at cost (2,517) (4,413) (6,393)
Accumulated other comprehensive (loss) income (1,295) 2,860 (954)
----------- ----------- -----------
TOTAL STOCKHOLDERS' EQUITY 415,994 397,088 330,458
----------- ----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 5,540,242 $ 5,087,702 $ 4,525,446
=========== =========== ===========