Exhibit 99.1
Washington Trust Announces Second Quarter Earnings
WESTERLY, R.I.--(BUSINESS WIRE)--July 15, 2004--Washington Trust
Bancorp, Inc. (Nasdaq National Market; symbol: WASH), parent company
of The Washington Trust Company, today announced quarterly net income
of $5.0 million for the second quarter ended June 30, 2004, an
increase of 10 percent over net income of $4.6 million for the second
quarter of 2003. On a diluted earnings per share basis, the
Corporation earned 37 cents for the second quarter of 2004, up from 34
cents for the same quarter a year ago. The returns on average assets
and average equity for the three months ended June 30, 2004 were 0.96%
and 14.46%, respectively, compared to 1.01% and 13.57%, respectively,
for the three months ended June 30, 2003.
Last year, the Corporation's operating results for the second
quarter were favorably impacted by gains on loan sales totaling $1.4
million, compared to $560 thousand in the second quarter of 2004. In
addition, net income for the second quarter last year included a
charge of $941 thousand incurred on the early payoff of Federal Home
Loan Bank ("FHLB") borrowings.
"Washington Trust had a great second quarter, with strong growth
in all of our lines of business," said John C. Warren, Chairman and
Chief Executive Officer of Washington Trust. "We saw very healthy
increases in total loans, total deposits and revenue from trust and
investment management income. And, we ended the quarter with a
significant amount of business in the pipeline."
For the first six months of 2004, net income amounted to $10.0
million, up 7 percent over $9.3 million in the first half of 2003. On
a diluted earnings per share basis, the Corporation earned 74 cents
for the first half of 2004, up 6 percent over 70 cents for the same
period a year ago. The returns on average assets and average equity
for the six months ended June 30, 2004 were 0.98% and 14.18%,
respectively, compared to 1.04% and 14.06%, respectively, for the six
months ended June 30, 2003.
The Corporation experienced strong balance sheet growth in the
second quarter of 2004. Total assets amounted to $2.179 billion at
June 30, 2004, up 6 percent from the March 31, 2004 balance and up 10
percent from the balance reported at December 31, 2003. Total loans at
June 30, 2004 were 10 percent higher than at March 31, 2004 and 15
percent higher than at December 31, 2003. Residential real estate
loans amounted to $451.1 million at June 30, 2004, up $50.5 million,
or 13%, in the second quarter of 2004, including an increase of $27.5
million in residential mortgages purchased from other financial
institutions. Commercial loans increased $26.9 million, or 6 percent,
from the March 31, 2004 balance and amounted to $448.3 million at June
30, 2004. Growth in consumer loans has been very favorable with an
increase of $19.3 million, or 11 percent, in the second quarter
primarily due to growth in home equity lines and home equity loans.
Total consumer loans increased 24 percent in the first half of 2004.
Total securities were $903.0 million at June 30, 2004, up $18.4
million in the second quarter of 2004 and up $63.6 million from the
balance at December 31, 2003.
Total deposits at June 30, 2004 amounted to $1.342 billion, up 8
percent from the balance at March 31, 2004 and up 11 percent from the
December 31, 2003 balance. Savings deposits, including money market
deposits, were up $44.5 million, or 9 percent, in the second quarter
and up $73.1 million, or 15 percent, in the first half of 2004. Time
deposits increased $31.2 million, or 6 percent, from the March 31,
2004 balance, primarily due to increases in brokered certificates of
deposit. Demand deposits increased $21.5 million, or 12 percent, in
the second quarter of 2004 and totaled $200.9 million at June 30,
2004. FHLB advances totaled $676.3 million at June 30, 2004,
increasing $32.1 million from the March 31, 2004 balance and $69.2
million from the balance at December 31, 2003.
Net interest income for the second quarter of 2004 amounted to
$13.1 million, up 7 percent from $12.3 million for the same quarter a
year ago. The net interest margin for the second quarter of 2004 was
2.72%, down from 2.87% in the first quarter of 2004 and 2.96% in the
second quarter of 2003. The decrease in the net interest margin from
the first quarter of 2004 is largely attributable to lower marginal
yields on new loans in comparison to overall portfolio yields and, to
a lesser extent, to an increase in premium amortization on
mortgage-backed securities earlier in the second quarter. For the six
months ended June 30, 2004, net interest income amounted to $26.2
million, up 8 percent from the amount reported for the corresponding
2003 period. The net interest margin for the first half of 2004
amounted to 2.80%, down 17 basis points from the 2.97% reported for
the same period a year ago, reflecting a decline in yields on loans
and securities offset somewhat by lower funding costs of FHLB advances
and interest-bearing deposits.
Noninterest income (excluding net realized gains and losses on
securities) totaled $7.2 million for the second quarter of 2004,
compared to $7.0 million for the same quarter a year ago. For the
first half of 2004, noninterest income amounted to $13.1 million, up
$346 thousand, or 3 percent, over the comparable 2003 amount.
Trust and investment management revenues increased $1.1 million,
or 21 percent, in the first half of 2004 compared to the same period
in 2003. Trust assets under administration amounted to $1.784 billion
at June 30, 2004, compared to $1.742 billion at December 31, 2003 and
$1.576 billion at June 30, 2003. Net gains on loan sales for the six
months ended June 30, 2004 amounted to $909 thousand, down from $2.7
million for the same period in 2003. Total second quarter 2004 net
gains on loan sales were $560 thousand, down from $1.4 million for the
same quarter a year ago. These decreases reflect a significant decline
in fixed rate mortgage origination and sales activity. The Corporation
has experienced a further decline in fixed rate mortgage origination
activity beginning in the latter part of the second quarter.
Meanwhile, the level of adjustable rate mortgages originated by
Washington Trust has increased; these loans are retained in the
Corporation's loan portfolio. Also included in loan sale gains are
gains resulting from the sale of the guaranteed portion of SBA loans.
Total such gains for the six months ended 2004 were $390 thousand, up
from $181 thousand for the same period in 2003. Included in other
noninterest income for the second quarter of 2004 was $280 thousand
recovered as a result of a favorable litigation decision.
In the first six months of 2004, the Corporation recognized net
realized losses on securities amounting to $240 thousand. For the six
months ended June 30, 2003, net realized gains on securities totaled
$630 thousand, including approximately $400 thousand in gains
resulting from the Corporation's contribution of appreciated equity
securities to the Corporation's charitable foundation. The cost of
this 2003 contribution amounted to approximately $433 thousand and was
included in other noninterest expense for the six months ended June
30, 2003. The Corporation expects to make an annual contribution to
its charitable foundation in the third quarter of 2004.
Exclusive of the second quarter 2003 pre-tax debt prepayment
penalty charge of $941 thousand, noninterest expenses for the second
quarter of 2004 increased 5 percent from the same period a year ago.
Noninterest expenses amounted to $24.2 million for the first half of
2004, up 6 percent from the corresponding period in 2003 (exclusive of
the debt prepayment penalty charge) with the largest increase in
personnel related costs. In addition, included in noninterest expenses
for the six months ended June 30, 2004 were costs associated with the
conversion of certain technology systems amounting to $275 thousand,
of which $140 thousand were included in the second quarter of 2004.
Nonaccrual loans as a percentage of total loans at June 30, 2004
were .45%, up from .29% at December 31, 2003. Nonperforming assets
(nonaccrual loans and property acquired through foreclosure) amounted
to $5.0 million, or .23% of total assets, at June 30, 2004, up from
$2.7 million, or .14%, at December 31, 2003. The increase was largely
due to a single $2.1 million commercial lending relationship
classified as nonaccrual during the second quarter of 2004. The
Corporation continued to benefit from favorable loan loss experience
in the first six months of 2004 as indicated by a $54 thousand excess
of loan loss recoveries over charge-offs. In the first six months of
2003, charge-offs, net of recoveries, amounted to $5 thousand.
Total shareholders' equity amounted to $138.5 million at June 30,
2004, compared to $138.1 million at December 31, 2003. Book value per
share as of June 30, 2004 and December 31, 2003 amounted to $10.47 and
$10.46, respectively.
Washington Trust Bancorp, Inc. Chairman and Chief Executive
Officer, John C. Warren, and David V. Devault, Executive Vice
President, Treasurer, and Chief Financial Officer, will host a
conference call on Thursday, July 15, at 4:30 p.m. (Eastern Daylight
Time) to discuss the Corporation's second quarter results. Access to
the call is available in a listen-only mode on Washington Trust's web
site, http://investorrelations.washtrust.com. A replay of the call
will be posted in this same section of the web site shortly after the
conclusion of the call.
Washington Trust Bancorp, Inc. is the parent of The Washington
Trust Company, a Rhode Island state-chartered bank founded in 1800.
The Bank offers a full range of financial services, including trust
and investment management, through its offices in Rhode Island and
southeastern Connecticut. Washington Trust Bancorp, Inc.'s common
stock trades on The Nasdaq Stock Market(R) under the symbol WASH.
Investor information is available on the Corporation's web site:
www.washtrust.com.
Note: This press release contains financial information determined
by methods other than in accordance with accounting principles
generally accepted in the United States of America ("GAAP"). The
Corporation's management uses these non-GAAP measures in its analysis
of the Corporation's performance. These measures adjust GAAP
performance measures to exclude the effect of significant gains or
losses that are unusual in nature such as debt prepayment penalty
charges. Because these items and their impact on the Corporation's
performance are difficult to predict, management believes that
presentations of financial measures excluding the impact of these
items provide useful supplemental information that is essential to a
proper understanding of the operating results of the Corporation's
core businesses. These disclosures should not be viewed as a
substitute for operating results determined in accordance with GAAP,
nor are they necessarily comparable to non-GAAP performance measures
that may be presented by other Corporations. A quantitative
reconciliation of the differences between the non-GAAP financial
information discussed herein and the most directly comparable
financial information calculated and presented in accordance with GAAP
is contained in the Financial Summary statements attached to this
press release.
This report contains certain statements that may be considered
"forward-looking statements" within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended. The Corporation's actual results,
performance or achievements could differ materially from those
projected in the forward-looking statements as a result, among other
factors, of changes in general national or regional economic
conditions, changes in interest rates, reductions in the market value
of trust and investment assets under management, reductions in loan
demand, reductions in deposit levels necessitating increased borrowing
to fund loans and investments, changes in loan default and charge-off
rates, changes in the size and nature of the Corporation's
competition, changes in legislation or regulation and accounting
principles, policies and guidelines and changes in the assumptions
used in making such forward-looking statements.
Washington Trust Bancorp, Inc. and Subsidiary
FINANCIAL SUMMARY
THREE MONTHS ENDED
--------------------------------
(Dollars and shares in thousands, JUN. 30, JUN. 30, MAR. 31,
except per share amounts) 2004 2003 2004
---------- ---------- ----------
OPERATING RESULTS
- -------------------------------------
Net interest income $13,092 $12,282 $13,083
Provision for loan losses 120 160 120
Net realized (losses) gains on
securities (240) 400 -
Other noninterest income 7,164 6,955 5,940
Noninterest expenses 12,545 12,848 11,680
Income tax expense 2,308 2,055 2,268
Net income 5,043 4,574 4,955
PER SHARE
- -------------------------------------
Basic earnings $0.38 $0.35 $0.38
Diluted earnings $0.37 $0.34 $0.37
Dividends declared $0.17 $0.15 $0.17
SHARES OUTSTANDING
- -------------------------------------
Weighted Average: Basic 13,216.1 13,089.4 13,202.6
Diluted 13,517.0 13,304.9 13,513.3
AVERAGE BALANCE SHEET
- -------------------------------------
Federal funds sold and other short-
term investments $11,072 $15,447 $11,155
Taxable debt securities 829,306 784,166 809,505
Nontaxable debt securities 16,118 16,137 14,235
Corporate stocks and Federal Home Loan
Bank stock 56,358 51,795 54,518
Loans: Commercial 434,292 395,967 412,642
Residential 430,539 296,484 390,834
Consumer 192,529 137,929 170,589
---------- ---------- ----------
Total loans 1,057,360 830,380 974,065
Earning assets 1,970,214 1,697,925 1,863,478
Total assets 2,091,943 1,819,463 1,988,142
Deposits: Demand 190,906 166,156 170,289
Savings 543,870 472,358 497,033
Time 545,266 479,266 527,531
---------- ---------- ----------
Total deposits 1,280,042 1,117,780 1,194,853
Federal Home Loan Bank advances 656,802 549,161 633,195
Shareholders' equity 139,525 134,814 142,582
KEY RATIOS
- -------------------------------------
Return on average assets 0.96% 1.01% 1.00%
Return on average equity 14.46% 13.57% 13.90%
Interest rate spread (taxable
equivalent basis) 2.47% 2.67% 2.62%
Net interest margin (taxable
equivalent basis) 2.72% 2.96% 2.87%
ALLOWANCE FOR LOAN LOSSES
- -------------------------------------
Balance at beginning of period $16,174 $15,495 $15,914
Provision charged to earnings 120 160 120
Net (charge-offs) recoveries (86) 87 140
---------- ---------- ----------
Balance at end of period $16,208 $15,742 $16,174
---------- ---------- ----------
Washington Trust Bancorp, Inc. and Subsidiary
FINANCIAL SUMMARY
THREE MONTHS ENDED
--------------------------------
(Dollars and shares in thousands, JUN. 30, JUN. 30, MAR. 31,
except per share amounts) 2004 2003 2004
---------- ---------- ----------
EARNINGS AND RATIOS EXCLUDING SPECIAL ITEMS
- -------------------------------------------
(Non GAAP Financial Information):
Noninterest expenses (1) $12,545 $11,907 $11,680
Return on average assets (2) 0.96% 1.15% 1.00%
Return on average equity (2) 14.46% 15.50% 13.90%
Reconciliation Table - Non GAAP Financial Information
- -----------------------------------------------------
Net income, including special items $5,043 $4,574 $4,955
Add back special items, net of tax:
Debt prepayment penalties - 649 -
Net income, excluding special items $5,043 $5,223 $4,955
Basic earnings per share $0.38 $0.35 $0.38
Effects of special items, net of tax - 0.05 -
Basic earnings per share, excluding
special items $0.38 $0.40 $0.38
Diluted earnings per share $0.37 $0.34 $0.37
Effects of special items, net of tax - 0.05 -
Diluted earnings per share, excluding
special items $0.37 $0.39 $0.37
Return on average assets 0.96% 1.01% 1.00%
Effects of special items, net of tax - 0.14% -
Return on average assets, excluding
special items 0.96% 1.15% 1.00%
Return on average equity 14.46% 13.57% 13.90%
Effects of special items, net of tax - 1.93% -
Return on average equity, excluding
special items 14.46% 15.50% 13.90%
(1) Excludes second quarter 2003 Federal Home Loan Bank debt
prepayment penalties of $941 thousand (pretax).
(2) Excludes second quarter 2003 Federal Home Loan Bank debt
prepayment penalties of $649 thousand after income taxes.
Washington Trust Bancorp, Inc. and Subsidiary
FINANCIAL SUMMARY
SIX MONTHS ENDED
---------------------
(Dollars and shares in thousands, JUN. 30, JUN. 30,
except per share amounts) 2004 2003
---------- ----------
OPERATING RESULTS
- ------------------------------------------------
Net interest income $26,175 $24,211
Provision for loan losses 240 260
Net realized (losses) gains on securities (240) 630
Other noninterest income 13,104 12,758
Noninterest expenses 24,225 23,826
Income tax expense 4,576 4,189
Net income 9,998 9,324
PER SHARE
- ------------------------------------------------
Basic earnings $0.76 $0.71
Diluted earnings $0.74 $0.70
Dividends declared $0.34 $0.30
SHARES OUTSTANDING
- ------------------------------------------------
Weighted Average: Basic 13,209.4 13,074.4
Diluted 13,515.2 13,265.2
AVERAGE BALANCE SHEET
- ------------------------------------------------
Federal funds sold and other short-term
investments $11,114 $15,198
Taxable debt securities 819,405 774,624
Nontaxable debt securities 15,177 16,796
Corporate stocks and Federal Home Loan Bank stock 55,438 49,920
Loans: Commercial 423,467 392,774
Residential 410,686 294,391
Consumer 181,559 135,503
---------- ----------
Total loans 1,015,712 822,668
Earning assets 1,916,846 1,679,206
Total assets 2,040,042 1,799,014
Deposits: Demand 180,598 161,078
Savings 520,451 466,102
Time 536,398 480,509
---------- ----------
Total deposits 1,237,447 1,107,689
Federal Home Loan Bank advances 644,999 540,975
Shareholders' equity 141,053 132,672
KEY RATIOS
- ------------------------------------------------
Return on average assets 0.98% 1.04%
Return on average equity 14.18% 14.06%
Interest rate spread (taxable equivalent basis) 2.54% 2.67%
Net interest margin (taxable equivalent basis) 2.80% 2.97%
ALLOWANCE FOR LOAN LOSSES
- ------------------------------------------------
Balance at beginning of period $15,914 $15,487
Provision charged to earnings 240 260
Net (charge-offs) recoveries 54 (5)
---------- ----------
Balance at end of period $16,208 $15,742
---------- ----------
Washington Trust Bancorp, Inc. and Subsidiary
FINANCIAL SUMMARY
SIX MONTHS ENDED
--------------------
(Dollars and shares in thousands, JUN. 30, JUN. 30,
except per share amounts) 2004 2003
---------- ---------
EARNINGS AND RATIOS EXCLUDING SPECIAL ITEMS
- -------------------------------------------
(Non GAAP Financial Information):
Noninterest expenses (1) $24,225 $22,885
Return on average assets (2) 0.98% 1.11%
Return on average equity (2) 14.18% 15.03%
Reconciliation Table - Non GAAP Financial Information
- -----------------------------------------------------
Net income, including special items $9,998 $9,324
Add back special items, net of tax:
Debt prepayment penalties - 649
Net income, excluding special items $9,998 $9,973
Basic earnings per share $0.76 $0.71
Effects of special items, net of tax - 0.05
Basic earnings per share, excluding special items $0.76 $0.76
Diluted earnings per share $0.74 $0.70
Effects of special items, net of tax - 0.05
Diluted earnings per share, excluding special
items $0.74 $0.75
Return on average assets 0.98% 1.04%
Effects of special items, net of tax - 0.07%
Return on average assets, excluding special items 0.98% 1.11%
Return on average equity 14.18% 14.06%
Effects of special items, net of tax - 0.97%
Return on average equity, excluding special items 14.18% 15.03%
(1) Excludes second quarter 2003 Federal Home Loan Bank debt
prepayment penalties of $941 thousand (pretax).
(2) Excludes second quarter 2003 Federal Home Loan Bank debt
prepayment penalties of $649 thousand after income taxes.
Washington Trust Bancorp, Inc. and Subsidiary
FINANCIAL SUMMARY
(Dollars and shares in JUN. 30, MAR. 31, DEC. 31, JUN. 30,
thousands, except per 2004 2004 2003 2003
share amounts) ----------- ----------- ----------- -----------
PERIOD END BALANCE SHEET
- ------------------------
Assets $2,178,990 $2,054,232 $1,973,807 $1,839,412
Total securities 902,998 884,592 839,421 846,901
Loans: Commercial 448,341 421,440 408,477 394,793
Residential 451,055 400,564 389,855 284,621
Consumer 201,643 182,344 162,649 143,380
----------- ----------- ----------- -----------
Total loans 1,101,039 1,004,348 960,981 822,794
Deposits: Demand 200,923 179,468 194,144 183,785
Savings 566,976 522,477 493,878 482,876
Time 574,004 542,814 518,119 469,543
----------- ----------- ----------- -----------
Total
deposits 1,341,903 1,244,759 1,206,141 1,136,204
Brokered deposits
included in time
deposits 153,373 126,243 118,234 71,061
Federal Home Loan Bank
advances 676,336 644,203 607,104 543,878
Shareholders' equity 138,542 144,571 138,055 135,191
CAPITAL RATIOS
- -----------------------
Tier 1 risk-based capital 9.41% 9.84% 10.00% 10.28%
Total risk-based capital 10.95% 11.42% 11.57% 11.76%
Tier 1 leverage ratio 5.51% 5.66% 5.65% 5.66%
SHARE INFORMATION
- -----------------------
Shares outstanding at
end of period 13,227.9 13,206.9 13,194.6 13,115.1
Book value per share $10.47 $10.95 $10.46 $10.31
Tangible book value per
share $8.64 $9.10 $8.60 $8.41
Market value per share $25.99 $26.40 $26.20 $23.02
CREDIT QUALITY
- -----------------------
Nonaccrual loans $4,987 $2,920 $2,743 $3,130
Other real estate
owned, net 8 11 11 10
Nonperforming assets to
total assets 0.23% 0.14% 0.14% 0.17%
Nonaccrual loans to
total loans 0.45% 0.29% 0.29% 0.38%
Allowance for loan
losses to nonaccrual
loans 325.01% 553.90% 580.17% 502.94%
Allowance for loan
losses to total loans 1.47% 1.61% 1.66% 1.91%
ASSETS UNDER ADMINISTRATION
- ---------------------------
Market value $1,783,747 $1,782,153 $1,741,948 $1,576,092
Washington Trust Bancorp, Inc. and Subsidiary
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
(Unaudited)
June 30, December 31,
2004 2003
- ----------------------------------------------------------------------
Assets:
Cash and due from banks $46,261 $40,710
Federal funds sold and other short-term
investments 9,320 20,400
Mortgage loans held for sale 990 2,486
Securities:
Available for sale, at fair value;
amortized cost $767,674 in 2004 and
$663,529 in 2003 769,328 673,845
Held to maturity, at cost; fair value
$134,860 in 2004 and $169,401 in 2003 133,670 165,576
- ----------------------------------------------------------------------
Total securities 902,998 839,421
Federal Home Loan Bank stock, at cost 34,373 31,464
Loans 1,101,039 960,981
Less allowance for loan losses 16,208 15,914
- ----------------------------------------------------------------------
Net loans 1,084,831 945,067
Premises and equipment, net 24,805 24,941
Accrued interest receivable 8,411 7,911
Goodwill 22,591 22,591
Identifiable intangible assets 1,631 1,953
Other assets 42,779 36,863
- ----------------------------------------------------------------------
Total assets $2,178,990 $1,973,807
- ----------------------------------------------------------------------
Liabilities:
Deposits:
Demand $200,923 $194,144
Savings 566,976 493,878
Time 574,004 518,119
- ----------------------------------------------------------------------
Total deposits 1,341,903 1,206,141
Dividends payable 2,250 2,113
Federal Home Loan Bank advances 676,336 607,104
Other borrowings 2,947 2,311
Accrued expenses and other liabilities 17,012 18,083
- ----------------------------------------------------------------------
Total liabilities 2,040,448 1,835,752
- ----------------------------------------------------------------------
Shareholders' Equity:
Common stock of $.0625 par value; authorized
30 million shares; issued 13,236,649 shares
in 2004 and 13,204,024 shares in 2003 827 825
Paid-in capital 30,317 29,868
Retained earnings 106,994 101,492
Unamortized employee restricted stock (11) (22)
Accumulated other comprehensive income 609 6,101
Treasury stock, at cost; 8,719 shares in
2004 and 9,463 in 2003 (194) (209)
- ----------------------------------------------------------------------
Total shareholders' equity 138,542 138,055
- ----------------------------------------------------------------------
Total liabilities and shareholders' equity $2,178,990 $1,973,807
- ----------------------------------------------------------------------
Washington Trust Bancorp, Inc. and Subsidiary
CONSOLIDATED STATEMENTS OF INCOME
(Dollars and shares in thousands,
except per share amounts)
(Unaudited)
Three Months Six Months
Periods ended June 30, 2004 2003 2004 2003
- ----------------------------------------------------------------------
Interest income:
Interest and fees on loans $14,287 $12,853 $27,928 $25,499
Interest on securities 8,107 8,333 16,362 16,888
Dividends on corporate stock and
Federal Home Loan Bank stock 506 531 980 1,018
Interest on federal funds sold
and other short-term investments 20 39 40 76
- ----------------------------------------------------------------------
Total interest income 22,920 21,756 45,310 43,481
- ----------------------------------------------------------------------
Interest expense:
Savings deposits 894 880 1,623 1,830
Time deposits 4,130 3,799 8,148 7,733
Federal Home Loan Bank advances 4,789 4,777 9,334 9,670
Other 15 18 30 37
- ----------------------------------------------------------------------
Total interest expense 9,828 9,474 19,135 19,270
- ----------------------------------------------------------------------
Net interest income 13,092 12,282 26,175 24,211
Provision for loan losses 120 160 240 260
- ----------------------------------------------------------------------
Net interest income after
provision for loan losses 12,972 12,122 25,935 23,951
- ----------------------------------------------------------------------
Noninterest income:
Trust and investment management 3,320 2,744 6,375 5,277
Service charges on deposit
accounts 1,192 1,348 2,362 2,448
Merchant processing fees 1,095 862 1,692 1,319
Net gains on loan sales 560 1,441 909 2,679
Income from bank-owned life
insurance 295 263 594 547
Net realized (losses) gains on
securities (240) 400 (240) 630
Other income 702 297 1,172 488
- ----------------------------------------------------------------------
Total noninterest income 6,924 7,355 12,864 13,388
- ----------------------------------------------------------------------
Noninterest expense:
Salaries and employee benefits 7,218 6,619 14,195 13,153
Net occupancy 796 736 1,612 1,498
Equipment 788 837 1,558 1,674
Merchant processing costs 882 683 1,348 1,045
Advertising and promotion 538 542 1,004 812
Outsourced services 467 325 843 696
Legal, audit and professional fees 245 281 503 586
Debt prepayment penalties - 941 - 941
Amortization of intangibles 161 179 322 359
Other 1,450 1,705 2,840 3,062
- ----------------------------------------------------------------------
Total noninterest expense 12,545 12,848 24,225 23,826
- ----------------------------------------------------------------------
Income before income taxes 7,351 6,629 14,574 13,513
Income tax expense 2,308 2,055 4,576 4,189
- ----------------------------------------------------------------------
Net income $5,043 $4,574 $9,998 $9,324
- ----------------------------------------------------------------------
Weighted average shares
outstanding - basic 13,216.1 13,089.4 13,209.4 13,074.4
Weighted average shares
outstanding - diluted 13,517.0 13,304.9 13,515.2 13,265.2
Per share information:
Basic earnings per share $.38 $.35 $.76 $.71
Diluted earnings per share $.37 $.34 $.74 $.70
Cash dividends declared per share $.17 $.15 $.34 $.30
CONTACT: Washington Trust Bancorp, Inc.
David V. Devault, 401-348-1319
dvdevault@washtrust.com