TO BUSINESS EDITOR:
Glacier Bancorp, Inc. Earnings for Quarter Ended September 30, 2007
Per share amounts have been adjusted to reflect the December 2006
three-for-two stock split
HIGHLIGHTS:
* Record net earnings for the quarter of $17.639 million, up 12 percent
from last year's third quarter.
* Record net earnings year-to-date of $50.5 million, up 14 percent from
the same period last year.
* Diluted quarterly earnings per share of $.33, up 6 percent from last
year's third quarter.
* Diluted year-to-date earnings per share of $.94, up 6 percent from the
same period last year.
* Stock-based compensation expense of $.01 per share.
* Loans grew by $103 million (12 percent annualized) in the third quarter.
* Asset quality continues to remain sound.
* Cash dividend of $.13 per share declared, an increase of 18 percent over
the prior year third quarter.
KALISPELL, Mont., Oct. 25 /PRNewswire-FirstCall/ --
Earnings Summary Three months Nine months
(Unaudited - $ in thousands, except ended ended
per share data) September 30, September 30,
2007 2006 2007 2006
Net earnings $17,639 $15,806 $50,457 $44,101
Diluted earnings per share $0.33 $0.31 $0.94 $0.89
Return on average assets (annualized) 1.50% 1.58% 1.48% 1.53%
Return on average equity (annualized) 13.76% 16.24% 13.85% 16.42%
Glacier Bancorp, Inc. (Nasdaq: GBCI) reported record net earnings of $17.6
million for the third quarter, an increase of $1.8 million, or 12 percent, over
the $15.8 million for the third quarter of 2006. Diluted earnings per share of
$.33 for the quarter is an increase of 6.5 percent over the diluted earnings per
share of $.31 for the third quarter of 2006. Net earnings for the third quarter
of 2007 and 2006 were reduced by $544 thousand, or $.01 per share, and $519
thousand, or $.01 per share, respectively, for stock-based compensation expense.
"Considering the difficult conditions banks are currently facing, we were
pleased with our third quarter results," said Mick Blodnick, President and Chief
Executive Officer. "Compared to the prior quarter asset quality remained sound,
the net interest margin was stable and we were more efficient." Annualized
return on average assets and return on average equity for the quarter were 1.50
percent and 13.76 percent, respectively, which compares with prior year returns
for the third quarter of 1.58 percent and 16.24 percent.
Record net earnings of $50.5 million for the first three quarters of 2007
is an increase of $6.4 million, or 14 percent over the prior year. Diluted
earnings per share of $0.94 versus $0.89 for the same period last year is an
increase of 5.6 percent. Included in net earnings for the first three quarters
of 2007 is a $1.0 million gain (pre-tax gain of $1.6 million) from the January
19, 2007 sale of Western Security Bank's Lewistown branch, a requirement imposed
by bank regulators to complete the acquisition of Citizens Development Company
("CDC"). Also, included in the first three quarters' earnings is approximately
$500 thousand of non-recurring expenses and costs associated with the January
26, 2007 merger of three of the five CDC subsidiaries into Glacier Bancorp,
Inc.'s subsidiaries. Effective with its acquisition on April 30, 2007, North
Side State Bank ("North Side") of Rock Springs, Wyoming was merged into 1st
Bank, Glacier Bancorp, Inc.'s subsidiary bank in Evanston, Wyoming. On June 21,
2007, the remaining two CDC subsidiaries, i.e., First National Bank of Lewistown
and Western Bank of Chinook, merged to become First Bank of Montana. During the
second quarter of 2007, each of the combining CDC bank's operating systems and
First National Bank of Morgan's operating systems were converted to the core
operating system used by Glacier Bancorp, Inc.'s subsidiaries. The results of
operations and financial condition include the acquisition of North Side from
May 1, 2007 forward. Cash of $9.0 million and 793,580 shares of the Company's
common stock were issued to North Side shareholders. The following table
provides information on selected classifications of assets and liabilities
acquired:
North Side
(Unaudited - $ in thousands) State Bank
Total assets 118,803
Investments 61,456
Fed funds sold 10,100
Net loans 39,541
Non-interest bearing deposits 22,101
Interest bearing deposits 77,467
As reflected on the next schedule, total assets at September 30, 2007 were
$4.7 billion, which is $229 million, or 5.1 percent, greater than the total
assets of $4.5 billion at December 31, 2006, and $570 million, or 13.8 percent,
greater than the total assets of $4.1 billion at September 30, 2006.
$ change $ change
September December September from from
30, 31, 30, December September
Assets ($ in 2007 2006 2006 31, 30,
thousands) (unaudited) (audited) (unaudited) 2006 2006
Cash on hand and in
banks $128,230 136,591 113,268 (8,361) 14,962
Investments, interest
bearing deposits,
FHLB stock, FRB stock,
and Fed Funds 803,845 862,063 915,858 (58,218) (112,013)
Loans:
Real estate 832,038 789,843 757,470 42,195 74,568
Commercial 2,029,117 1,850,417 1,560,433 178,700 468,684
Consumer and other 625,908 574,523 540,362 51,385 85,546
Total loans 3,487,063 3,214,783 2,858,265 272,280 628,798
Allowance for loan
losses (52,616) (49,259) (43,216) (3,357) (9,400)
Total loans net
of allowance
for losses 3,434,447 3,165,524 2,815,049 268,923 619,398
Other assets 333,735 307,120 286,080 26,615 47,655
Total Assets $4,700,257 4,471,298 4,130,255 228,959 570,002
At September 30, 2007, total loans were $3.487 billion, an increase of
$103 million, or 3 percent (12 percent annualized) over total loans of $3.384
billion at June 30, 2007. Total loans increased $272 million, or 8.5 percent
(11.3 percent annualized) from December 31, 2006. For the first three quarters
of 2007, commercial loans have increased $179 million, or 9.7 percent, real
estate loans increased $42 million, or 5.3 percent, and consumer loans grew by
$51 million, or 8.9 percent. "Loan growth slowed from the record breaking second
quarter and we would expect loans to slow further as we enter the winter
months," Blodnick said. "However, we are still on track to grow loans this year
at a very respectable pace." Total loans have increased $629 million, or 22
percent, from September 30, 2006, with all loan categories showing increases.
Commercial loans grew the most with an increase of $469 million, or 30 percent,
followed by real estate loans which increased $75 million, or 10 percent, and
consumer loans, which are primarily comprised of home equity loans, increasing
by $86 million, or 16 percent. Investment securities, including interest bearing
deposits in other financial institutions and federal funds sold, have decreased
$58 million from December 31, 2006, or 6.8 percent, and have declined $112
million, or 12.2 percent, from September 30, 2006. The investment portfolio of
North Side was sold immediately after the acquisition was completed with the
sale proceeds invested in higher yielding loans. Investment securities at
September 30, 2007 represented 17 percent of total assets versus 22 percent the
prior year.
$ change $ change
September December September from from
30, 31, 30, December September
Liabilities ($ in 2007 2006 2006 31, 30,
thousands) (unaudited) (audited) (unaudited) 2006 2006
Non-interest bearing
deposits $819,711 829,355 751,593 (9,644) 68,118
Interest bearing
deposits 2,547,409 2,378,178 2,099,742 169,231 447,667
Advances from Federal
Home Loan Bank 251,908 307,522 377,104 (55,614) (125,196)
Securities sold under
agreements to
repurchase and other
borrowed funds 395,436 338,986 334,099 56,450 61,337
Other liabilities 51,962 42,555 38,148 9,407 13,814
Subordinated
debentures 118,559 118,559 118,559 - -
Total liabilities $4,184,985 4,015,155 3,719,245 169,830 465,740
Non-interest bearing deposits decreased $10 million, or 1.16 percent,
since December 31, 2006 and decreased by $1 million since June 30, 2007.
However, non-interest bearing deposits increased by $68 million, or 9 percent,
since September 30, 2006. Increasing non-interest bearing deposits remains a
primary focus of each of our banks. Interest bearing deposits increased $169
million from December 31, 2006, with $123 million of such growth occurring in
the second quarter, such changes attributable to growth in certificates of
deposits ("CD's"). The September 30, 2007 balance of interest bearing deposits
includes $201 million in broker originated CD's. Since September 30, 2006,
interest bearing deposits increased $448 million, or 21 percent, including a
decrease of $29 million in CD's from broker sources. Federal Home Loan Bank
("FHLB") advances decreased $56 million from year end and decreased $125 million
from September 30, 2006. Repurchase agreements and other borrowed funds
increased $56 million from December 31, 2006, of which $43 million are U. S.
Treasury Tax and Loan Term Auction funds.
Stockholders' $ change $ change
equity September December September from from
($ in thousands 30, 31, 30, December September
except per share 2007 2006 2006 31, 30,
data) (unaudited) (audited) (unaudited) 2006 2006
Common equity $513,033 $453,074 $408,556 59,959 104,477
Accumulated other
comprehensive
income 2,239 3,069 2,454 (830) (215)
Total stockholders'
equity 515,272 456,143 411,010 59,129 104,262
Core deposit
intangible, net,
and goodwill (155,036) (144,466) (97,494) (10,570) (57,542)
Tangible
stockholders'
equity $360,236 $311,677 $313,516 48,559 46,720
Stockholders' equity
to total assets 10.96% 10.20% 9.96%
Tangible
stockholders'
equity to total
tangible assets 7.93% 7.20% 7.78%
Book value per
common share $9.61 $8.72 $8.09 0.89 1.52
Market price per
share at end of
quarter $22.52 $24.44 $22.78 (1.92) (0.26)
Total equity and book value per share amounts have increased $59 million
and $.89 per share, respectively, from December 31, 2006, the result of earnings
retention, issuance of common stock in connection with acquisitions, and stock
options exercised. Accumulated other comprehensive income, representing net
unrealized gains or losses on investment securities designated as available for
sale, decreased $830 thousand from December 31, 2006, such decrease primarily a
function of interest rate changes and the decreased balance of investment
securities.
Operating Results for Three Months Ended September 30, 2007
Compared to September 30, 2006
Revenue summary
(Unaudited - $ in thousands) Three months ended September 30,
2007 2006 $ change % change
Interest income $78,430 $63,892 $14,538 23%
Interest expense 31,447 24,887 6,560 26%
Net interest income 46,983 39,005 7,978 20%
Non-interest income
Service charges, loan fees, and
other fees 11,853 9,403 2,450 26%
Gain on sale of loans 3,203 2,992 211 7%
Loss on sale of investments - (3) 3 n/m
Other income 1,422 1,370 52 4%
Total non-interest income 16,478 13,762 2,716 20%
Total $63,461 $52,767 $10,694 20%
Tax equivalent net interest margin 4.50% 4.38%
Net Interest Income
Net interest income for the quarter increased $7.978 million, or 20
percent, over the same period in 2006, and increased $1.787 million, or 4
percent, from the second quarter of 2007. Total interest income increased
$14.538 million from the prior year's quarter, or 23 percent, while total
interest expense was $6.560 million, or 26 percent higher. The increase in
interest expense is primarily attributable to the volume and rate increases in
interest bearing deposits. The net interest margin as a percentage of earning
assets, on a tax equivalent basis, was 4.50 percent which is 1 basis point lower
than the second quarter of 2007, and was 12 basis points higher than the 4.38
percent result for the third quarter of 2006. "The net interest margin
calculation has been revised to account for intercompany elimination entries,"
said Ron Copher, Chief Financial Officer. Previously reported net interest
margins have been adjusted to reflect the change.
Non-interest Income
Fee income increased $2.450 million, or 26 percent, over the same period
last year, driven primarily by an increased number of loan and deposit accounts
from internal growth and acquisitions. Gain on sale of loans increased $211
thousand, or 7 percent, from the third quarter of last year.
Non-interest expense summary
(Unaudited - $ in thousands) Three months ended September 30,
2007 2006 $ change % change
Compensation and employee benefits $20,286 $15,992 $4,294 27%
Occupancy and equipment expense 4,840 3,875 965 25%
Outsourced data processing 553 620 (67) -11%
Core deposit intangibles amortization 827 411 416 101%
Other expenses 8,690 6,946 1,744 25%
Total non-interest expense $35,196 $27,844 $7,352 26%
Non-interest Expense
Non-interest expense increased by $7.352 million, or 26 percent, from the
same quarter of 2006. Compensation and benefit expense increased $4.294 million,
or 27 percent, which is primarily attributable to increased staffing levels,
including staffing from the acquisitions of First National Bank of Morgan and
CDC during 2006 and North Side in 2007, new branches, as well as increased
compensation, including commissions tied to increased production, and benefits,
including health insurance. The number of full-time-equivalent employees has
increased from 1,200 to 1,476, a 23 percent increase, since September 30, 2006.
Occupancy and equipment expense increased $965 thousand, or 25 percent,
reflecting the bank acquisitions, cost of additional branch locations and
facility upgrades.
Other expenses increased $1.744 million, or 25 percent, primarily from
acquisitions, additional marketing expenses, and costs associated with new
branch offices. The efficiency ratio (non-interest expense/net interest income
plus non-interest income) was 55 percent for the 2007 third quarter, compared to
57 percent for the prior quarter, and 53 percent for the 2006 third quarter.
September December September
Credit quality information 30, 31, 30,
($ in thousands) 2007 2006 2006
(unaudited) (audited) (unaudited)
Allowance for loan losses $52,616 $49,259 $43,216
Non-performing assets 11,722 8,894 9,505
Allowance as a percentage of non
performing assets 449% 554% 455%
Non-performing assets as a percentage
of total bank assets 0.24% 0.19% 0.22%
Allowance as a percentage of total
loans 1.51% 1.53% 1.51%
Net charge-offs as a percentage of
loans 0.029% 0.021% 0.001%
Allowance for Loan Loss and Non-Performing Assets
"We continue to work very hard at maintaining solid credit quality,"
Blodnick said. "Hopefully our consistent approach to lending will serve us well
during these unsettling times." Non-performing assets as a percentage of total
bank assets at September 30, 2007 were at .24 percent, down from the second
quarter results of .25, up slightly from .22 percent at September 30, 2006, but
increasing 5 basis points from .19 percent at December 31, 2006. These ratios
compare favorably to the Federal Reserve Bank Peer Group average of .59 percent
at June 30, 2007, the most recent information available. The allowance for loan
losses was 449 percent of non-performing assets at September 30, 2007, down from
455 percent a year ago. The allowance, including $6.434 million from
acquisitions, has increased $9.4 million, or 22 percent, from a year ago. The
allowance of $52.616 million is 1.51 percent of September 30, 2007 total loans
outstanding, the same as the third quarter last year. The third quarter
provision for loan losses expense was $1.315 million, a decrease of $5 thousand
from the same quarter in 2006. Charged off loans exceeded recovery of previously
charged-off loans during the quarter by $1.1 million. Loan growth, average loan
size, and credit quality considerations will determine the level of additional
provision expense.
Operating Results for Nine Months Ended September 30, 2007
Compared to September 30, 2006
Revenue summary
(Unaudited - $ in thousands) Nine months ended September 30,
2007 2006 $ change % change
Interest income $225,643 $179,777 45,866 26%
Interest expense 90,373 66,838 23,535 35%
Net interest income 135,270 112,939 22,331 20%
Non-interest income
Service charges, loan fees, and
other fees 33,696 26,969 6,727 25%
Gain on sale of loans 9,953 7,952 2,001 25%
Loss on sale of investments (8) (3) (5) 167%
Other income 4,940 2,898 2,042 70%
Total non-interest income 48,581 37,816 10,765 28%
Total $183,851 $150,755 $33,096 22%
Tax equivalent net interest margin 4.50% 4.39%
Net Interest Income
Net interest income for the nine months increased $22.331 million, or 20
percent, over the same period in 2006. Total interest income increased $45.866
million, or 26 percent, while total interest expense increased $23.535 million,
or 35 percent. The increase in interest expense is primarily attributable to the
volume and rate increases in interest bearing deposits. The net interest margin
as a percentage of earning assets, on a tax equivalent basis, was 4.50 percent
which is an increase of 11 basis points over the 4.39 percent for 2006. The net
interest margin calculation has been revised to account for intercompany
elimination entries and previously reported net interest margins have been
adjusted to reflect the change.
Non-interest Income
Total non-interest income increased $10.765 million, or 28 percent in
2007. Fee income for the first nine months of 2007 increased $6.727 million, or
25 percent, over the first nine months of 2006, driven primarily by an increased
number of loan and deposit accounts, acquisitions, and additional customer
product and services offered. Gain on sale of loans increased $2.001 million, or
25 percent, from the first nine months of last year. Loan origination volume in
our markets, especially in the first half of 2007, was robust versus historical
standards. Other income for the nine months increased $2.042 million, or 70
percent, over the same period in 2006. Such increase includes a gain of $1.6
million from the January 19, 2007 sale of Western Security Bank's Lewistown
branch, a regulatory requirement imposed to complete the acquisition of CDC.
Non-interest expense summary
(Unaudited - $ in thousands) Nine months ended September 30,
2007 2006 $ change % change
Compensation and employee benefits $60,386 $47,042 $13,344 28%
Occupancy and equipment expense 14,110 10,797 3,313 31%
Outsourced data processing 2,045 2,022 23 1%
Core deposit intangibles amortization 2,416 1,231 1,185 96%
Other expenses 24,496 19,529 4,967 25%
Total non-interest expense $103,453 $80,621 $22,832 28%
Non-interest Expense
Non-interest expense increased by $22.832 million, or 28 percent, from the
same nine months of 2006. Compensation and benefit expense increased $13.344
million, or 28 percent, which is primarily attributable to increased staffing
levels, including staffing from the acquisitions of First National Bank of
Morgan and CDC during 2006 and North Side in 2007, de novo branches, increased
compensation, including production based commissions, and benefits, including
health insurance, and overtime associated with the merger and operating systems
conversions in the first half of 2007. The first nine months of 2007 included
approximately $500,000 of non-recurring expenses and costs associated with the
January 26, 2007 merger of three of the five CDC subsidiaries into Glacier
Bancorp, Inc.'s subsidiaries. Occupancy and equipment expense increased $3.313
million, or 31 percent, reflecting the acquisitions, cost of additional
locations and facility upgrades. Other expenses increased $4.967 million, or 25
percent, primarily from acquisitions, additional marketing expenses, and costs
associated with new branch offices. The efficiency ratio (non-interest
expense/net interest income plus non-interest income) increased to 56 percent
from 53 percent for the first nine months of 2006.
Allowance for Loan Loss and Non-Performing Assets
The provision for loan losses expense was $3.720 million for the first
nine months of 2007, a decrease of $120 thousand, or 3 percent, from the same
period in 2006. Charged-off loans during the nine months ended September 30,
2007 exceeded recovery of previously charged-off loans by $1 million.
Cash dividend
On September 26, 2007, the board of directors declared a cash dividend of
$.13 payable October 18, 2007 to shareholders of record on October 9, 2007, an
increase of 18 percent over the $.11 dividend declared in the third quarter of
last year.
About Glacier Bancorp, Inc.
Glacier Bancorp, Inc. is a regional multi-bank holding company providing
commercial banking services in 53 communities in Montana, Idaho, Utah,
Washington, and Wyoming. Glacier Bancorp, Inc. is headquartered in Kalispell,
Montana, and conducts its operations principally through eleven banking
subsidiaries. These subsidiaries include seven Montana banks: Glacier Bank of
Kalispell, Glacier Bank of Whitefish, First Security Bank of Missoula, Valley
Bank of Helena, Big Sky Western Bank of Bozeman, Western Security Bank of
Billings, First Bank of Montana of Lewistown; as well as Mountain West Bank in
Idaho, Utah and Washington; 1st Bank in Wyoming, Citizens Community Bank in
Idaho, and First National Bank of Morgan in Utah.
This news release includes forward looking statements, which describe
management's expectations regarding future events and developments such as
future operating results, growth in loans and deposits, continued success of the
Company' style of banking and the strength of the local economies in which it
operates. Future events are difficult to predict, and the expectations described
above are necessarily subject to risk and uncertainty that may cause actual
results to differ materially and adversely. In addition to discussions about
risks and uncertainties set forth from time to time in the Company's public
filings, factors that may cause actual results to differ materially from those
contemplated by such forward looking statements include, among others, the
following possibilities: (1) local, national and international economic
conditions are less favorable than expected or have a more direct and pronounced
effect on the Company than expected and adversely affect the company's ability
to continue its internal growth at historical rates and maintain the quality of
its earning assets; (2) changes in interest rates reduce interest margins more
than expected and negatively affect funding sources; (3) projected business
increases following strategic expansion or opening or acquiring new banks and/or
branches are lower than expected; (4) costs or difficulties related to the
integration of acquisitions are greater than expected; (5) competitive pressure
among financial institutions increases significantly; (6) legislation or
regulatory requirements or changes adversely affect the businesses in which the
Company is engaged.
Visit our website at http://www.glacierbancorp.com
GLACIER BANCORP, INC.
CONSOLIDATED CONDENSED STATEMENTS OF FINANCIAL CONDITION
($ in thousands except per share data)
September December September
30, 31, 30,
2007 2006 2006
(unaudited) (audited)* (unaudited)*
Assets:
Cash on hand and in banks $128,230 136,591 113,268
Federal funds sold 2,735 6,125 2,882
Interest bearing cash deposits 60,704 30,301 67,672
Investment securities,
available-for-sale 740,406 825,637 845,304
Net loans receivable:
Real estate loans 832,038 789,843 757,470
Commercial loans 2,029,117 1,850,417 1,560,433
Consumer and other loans 625,908 574,523 540,362
Allowance for losses (52,616) (49,259) (43,216)
Total loans, net 3,434,447 3,165,524 2,815,049
Premises and equipment, net 121,045 110,759 93,859
Real estate and other assets
owned, net 1,750 1,484 510
Deferred tax asset 1,122 - -
Accrued interest receivable 29,893 25,729 22,822
Core deposit intangible, net 14,748 14,750 7,680
Goodwill 140,288 129,716 89,814
Other assets 24,889 24,682 71,395
$4,700,257 4,471,298 4,130,255
Liabilities and stockholders' equity:
Non-interest bearing deposits $819,711 829,355 751,593
Interest bearing deposits 2,547,409 2,378,178 2,099,742
Advances from Federal Home
Loan Bank of Seattle 251,908 307,522 377,104
Securities sold under
agreements to repurchase 181,301 170,216 162,400
Other borrowed funds 214,135 168,770 171,699
Accrued interest payable 18,742 11,041 10,288
Deferred tax liability - 1,927 3,266
Subordinated debentures 118,559 118,559 118,559
Other liabilities 33,220 29,587 24,594
Total liabilities 4,184,985 4,015,155 3,719,245
Preferred shares, $.01 par
value per share. 1,000,000
shares authorized
None issued or outstanding - - -
Common stock, $.01 par value
per share. 117,187,500 shares
authorized 536 523 507
Paid-in capital 373,474 344,265 310,516
Retained earnings -
substantially restricted 139,023 108,286 97,533
Accumulated other
comprehensive income 2,239 3,069 2,454
Total stockholders' equity 515,272 456,143 411,010
$4,700,257 4,471,298 4,130,255
Number of shares outstanding 53,612,211 52,302,820 50,766,276
Book value of equity per share 9.61 8.72 8.10
* Certain reclassifications have been made to the 2006 financial
statements to conform to the 2007 presentation
GLACIER BANCORP, INC.
CONSOLIDATED STATEMENT OF OPERATIONS
($ in thousands
except per share
data) Three months ended Nine months ended September
30, September 30,
2007 2006 2007 2006
(unaudited) (unaudited)* (unaudited) (unaudited)*
Interest income:
Real estate loans $15,617 13,708 45,259 36,939
Commercial loans 40,379 29,687 115,201 82,691
Consumer and
other loans 12,423 10,348 35,607 28,867
Investment
securities and
other 10,011 10,149 29,576 31,280
Total interest
income 78,430 63,892 225,643 179,777
Interest expense:
Deposits 21,449 15,351 60,786 40,403
Federal Home
Loan Bank of
Seattle
advances 5,027 5,340 14,119 14,553
Securities sold
under agreements
to repurchase 2,012 1,804 5,623 4,565
Subordinated
debentures 2,023 1,519 5,653 4,232
Other borrowed funds 936 873 4,192 3,085
Total interest
expense 31,447 24,887 90,373 66,838
Net interest income 46,983 39,005 135,270 112,939
Provision for
loan losses 1,315 1,320 3,720 3,840
Net interest
income after
provision for
loan losses 45,668 37,685 131,550 109,099
Non-interest income:
Service charges
and other fees 10,055 7,703 27,801 21,501
Miscellaneous
loan fees and
charges 1,798 1,700 5,895 5,468
Gain on sale of
loans 3,203 2,992 9,953 7,952
Loss on sale of
investments - (3) (8) (3)
Other income 1,422 1,370 4,940 2,898
Total non-interest
income 16,478 13,762 48,581 37,816
Non-interest expense:
Compensation,
employee benefits
and related
expenses 20,286 15,992 60,386 47,042
Occupancy and
equipment
expense 4,840 3,875 14,110 10,797
Outsourced data
processing
expense 553 620 2,045 2,022
Core deposit
intangibles
amortization 827 411 2,416 1,231
Other expenses 8,690 6,946 24,496 19,529
Total non-interest
expense 35,196 27,844 103,453 80,621
Earnings before
income taxes 26,950 23,603 76,678 66,294
Federal and state
income tax expense 9,311 7,797 26,221 22,193
Net earnings $17,639 15,806 50,457 44,101
Basic earnings
per share 0.33 0.32 0.95 0.90
Diluted earnings
per share 0.33 0.31 0.94 0.89
Dividends declared
per share 0.13 0.11 0.37 0.33
Return on average
assets (annualized) 1.50% 1.58% 1.48% 1.53%
Return on average
equity (annualized) 13.76% 16.24% 13.85% 16.42%
Average
outstanding
shares - basic 53,566,477 49,702,838 53,086,380 48,879,969
Average
outstanding
shares - diluted 54,004,828 50,403,314 53,604,922 49,627,307
* Certain reclassifications have been made to the 2006 financial statements
to conform to the 2007 presentation
AVERAGE BALANCE SHEET For the Three months ended 9-30-07
(Unaudited - $ in Thousands) Interest Average
Average and Yield/
ASSETS Balance Dividends Rate
Residential real estate loans $819,617 15,617 7.62%
Commercial loans 1,987,812 40,379 8.06%
Consumer and other loans 614,804 12,423 8.02%
Total Loans 3,422,233 68,419 7.93%
Tax - exempt investment
securities (1) 268,145 3,279 4.89%
Other investment securities 581,651 6,732 4.63%
Total Earning Assets 4,272,029 78,430 7.28%
Goodwill and core deposit intangible 154,842
Other non-earning assets 243,758
TOTAL ASSETS $4,670,629
LIABILITIES
AND STOCKHOLDERS' EQUITY
NOW accounts $452,425 1,147 1.01%
Savings accounts 269,030 678 1.00%
Money market accounts 787,097 7,223 3.64%
Certificates of deposit 1,039,415 12,401 4.73%
FHLB advances 391,042 5,027 5.10%
Repurchase agreements and other
borrowed funds 371,304 4,971 5.31%
Total Interest Bearing Liabilities 3,310,313 31,447 3.77%
Non-interest bearing deposits 803,511
Other liabilities 48,266
Total Liabilities 4,162,090
Common stock 536
Paid-in capital 372,072
Retained earnings 135,909
Accumulated other
Comprehensive income 22
Total Stockholders' Equity 508,539
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $4,670,629
Net interest income $46,983
Net interest spread 3.51%
Net interest margin
on average earning assets 4.36%
Return on average assets
(annualized) 1.50% Return on average equity
(annualized) 13.76%
AVERAGE BALANCE SHEET For the Nine months ended 9-30-07
(Unaudited - $ in Thousands) Interest Average
Average and Yield/
ASSETS Balance Dividends Rate
Residential real estate loans $798,500 45,259 7.56%
Commercial loans 1,909,361 115,201 8.07%
Consumer and other loans 595,991 35,607 7.99%
Total Loans 3,303,852 196,067 7.93%
Tax - exempt investment
securities (1) 274,838 10,207 4.95%
Other investment securities 578,393 19,369 4.47%
Total Earning Assets 4,157,083 225,643 7.26%
Goodwill and core deposit intangible 148,319
Other non-earning assets 243,459
TOTAL ASSETS $4,548,861
LIABILITIES
AND STOCKHOLDERS' EQUITY
NOW accounts $455,476 3,501 1.03%
Savings accounts 268,248 2,004 1.00%
Money market accounts 743,424 20,412 3.67%
Certificates of deposit 998,820 34,869 4.67%
FHLB advances 376,381 14,119 5.02%
Repurchase agreements
and other borrowed funds 395,891 15,468 5.22%
Total Interest Bearing Liabilities 3,238,240 90,373 3.73%
Non-interest bearing deposits 778,071
Other liabilities 45,451
Total Liabilities 4,061,762
Common stock 531
Paid-in capital 356,650
Retained earnings 127,705
Accumulated other
Comprehensive income 2,213
Total Stockholders' Equity 487,099
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $4,548,861
Net interest income $135,270
Net interest spread 3.53%
Net interest margin
on average earning assets 4.35%
Return on average assets
(annualized) 1.48% Return on average equity
(annualized) 13.85%
(1) Excludes tax effect on non-taxable investment security income of
$4,519 and $1,452 for the nine and three months ended September 30,
2007.
SOURCE Glacier Bancorp, Inc.
-0- 10/25/2007
/CONTACT: Michael J. Blodnick, +1-406-751-4701, or Ron J. Copher,
+1-406-751-7706, both of Glacier Bancorp, Inc./
/First Call Analyst: /
/FCMN Contact: /
/Web site: http://www.glacierbancorp.com /
(GBCI)
CO: Glacier Bancorp, Inc.
ST: Montana
IN: FIN
SU: ERN