Exhibit 99.1
Susquehanna Bancshares, Inc. Announces 2006 Full Year and Fourth Quarter Results
LITITZ, Pa.--(BUSINESS WIRE)--Jan. 23, 2007--Susquehanna
Bancshares, Inc., (Susquehanna) (Nasdaq:SUSQ) today announced net
income for the year ended December 31, 2006 was $83.6 million, or
$1.66 per diluted share, compared to $79.6 million, or $1.70 per
diluted share, earned in 2005. Net income for the fourth quarter of
2006 was $21.4 million, or $0.41 per share, compared to $27.7 million
for the fourth quarter of 2005, or $0.59 per diluted share.
Full Year/Fourth Quarter Financial Highlights:
- -- Core earnings per share (excluding security gains and losses,
branch gains and tax reserve reversals) improved 9% from $1.49 in
2005 to $1.62 in 2006(1)
- -- Net loans and leases, excluding securitizations, grew 21% from
December 31, 2005. Excluding Minotola National Bank, which was
acquired on April 21, 2006, growth was 11%.
-- Commercial loans increased 18% to $979 million at December 31,
2006.
-- Real estate construction loans increased 14% to $1.1 billion at
December 31, 2006.
-- Commercial real estate secured loans increased 25% to $1.6
billion at December 31, 2006.
- -- Total deposits increased 11% to $5.9 billion from December 31,
2005. Excluding Minotola, deposits increased 1%.
-- Demand deposits increased 4% to $960 million at December 31,
2006.
- -- Net interest margin for the year increased 1 basis point to 3.77%
compared to 3.76% for 2005. For the fourth quarter 2006, net
interest margin decreased 12 basis points to 3.67% compared to
3.79% for the fourth quarter of 2005.
- -- Net charge-offs as a percentage of average loans and leases for
the year ended December 31, 2006 were 0.10% compared to 0.24%
for 2005.
Full Year/Fourth Quarter Financial Highlights:
Equity capital was $936 million at December 31, 2006 or $17.98 per
share, compared to $780 million, or $16.66 per share at December 31,
2005.
Linked Quarter Highlights (Fourth Quarter 2006 vs. Third Quarter
2006)
- -- Net loans and leases, excluding securitizations, grew 1% from
September 30, 2006.
-- Commercial loans increased 4% to $979 million from September 30,
2006.
- -- Total deposits grew 1% from September 30, 2006
- -- Net interest margin decreased 9 basis points to 3.67% from 3.76% in
the third quarter of 2006.
Return on average assets and average tangible equity(2) for 2006
finished at 1.05% and 15.42%, respectively. This compared to results
of 1.07% and 16.06%, for the same measurements, respectively for 2005.
Return on average assets and average tangible equity(2) for the fourth
quarter of 2006 were 1.05% and 14.96%, respectively. This compared to
1.47% and 21.49% for the fourth quarter of 2005.
The following table compares 2006 financial goals to actual
results:
Goal Actual
------------- -------------
FTE Margin 3.80% 3.77%
Loan Growth, Excluding Securitizations 10.0% 10.8%
Deposit Growth, Excluding Sold Branches 8.0% 1.4%
Non-Interest Income Growth 10.0% 5.0%
Securitization Gains $16.0 million $10.4 million
Non-Interest Expense Growth 5.0% 3.4%
Tax Rate 32.0% 31.2%
(1)A non-GAAP-based financial measure. The most comparable GAAP-based
measurement for core earnings per share is earnings per share. A
reconciliation of the differences between non-GAAP-based and GAAP-
based measurements can be found at the end of this release under the
heading "Supplemental Reporting of Non-GAAP-Based Financial
Measures."
(2)A non-GAAP-based financial measure. The most comparable GAAP-based
measurement for return on average tangible equity is return on
average equity. A reconciliation of the differences between non-
GAAP-based and GAAP-based measurements can be found at the end of
this release under the heading "Supplemental Reporting of Non-GAAP-
Based Financial Measures."
"We were pleased to be able to report strong loan growth for
2006," said William J. Reuter, Chairman, President and Chief Executive
Officer. "While deposit growth fell short of our target, we will make
generation of core deposits a primary focus in 2007. Our plans call
for a relationship-based approach meant to provide superior service
and increase customer and account retention. In addition, we will
initiate direct marketing programs and other promotions to expand
customer relationships and attract new prospects.
"In terms of credit quality, we did see an increase in
non-accruing loans; however, this increase is concentrated primarily
in loans that are well collateralized, and we do not expect to see any
significant losses as a result of these credits."
Susquehanna will broadcast its fourth quarter and full year 2006
results conference call over the Internet on January 24, 2007 at 11:00
a.m. Eastern time. The conference call will include management's
discussion of fourth quarter and full year 2006 results as well as
2007 financial goals. The discussion may also include other
forward-looking information. Investors will have the opportunity to
listen to the conference call through a live broadcast on
Susquehanna's Web site, located at www.susquehanna.net. To listen to
the live call, please go to the Investor Relations section of
Susquehanna's Web site at least fifteen minutes prior to the broadcast
to download and install any necessary audio software. For those who
are unable to listen to the live broadcast, an archived replay and
podcast will be available shortly after the call concludes.
Susquehanna is a financial services holding company, operating in
multiple states, with assets of $8.2 billion. Headquartered in Lititz,
PA, the company provides financial services through its subsidiaries
at 163 branch locations and 167 ATM locations in the mid-Atlantic
region. In addition to its three commercial banks, Susquehanna
operates a trust and investment company, an asset management company,
an insurance brokerage and employee benefits company, a commercial
finance company and a vehicle leasing company. Investor information
may be requested on Susquehanna's Web site at www.susquehanna.net.
This press release contains certain financial information
determined by methods other than in accordance with GAAP.
Susquehanna's management uses these non-GAAP measures in its analysis
of the Company's performance. These non-GAAP financial measures
require management to make judgments about the exclusion of certain
items, and if different judgments were made, the amounts reported
would be different. These measures typically exclude the effects of
intangibles and related amortization and include the tax benefit
associated with revenue items that are tax-exempt. Disclosures
regarding these non-GAAP financial measures are included in the
accompanying financial information.
The presentation of these non-GAAP financial measures is intended
to supplement investors' understanding of Susquehanna's core business
activities. These non-GAAP 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
which may be presented by other companies.
This press release contains "forward-looking" statements as
defined in the Private Securities Litigation Reform Act of 1995 that
are based on Susquehanna's current expectations, estimates and
projections about future events and financial trends affecting the
financial condition of its business. These statements are not
historical facts or guarantees of future performance, events or
results. Such statements involve potential risks and uncertainties.
Accordingly, actual results may differ materially. Susquehanna
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
SUMMARY FINANCIAL INFORMATION
(Dollars in thousands, except per share data)
Twelve Months
-----------------------
4Q06 4Q05 2006 2005
----------- ----------- ----------- -----------
Balance Sheet (EOP)
Investments $1,403,566 $1,154,261 $1,403,566 $1,154,261
Loans and leases 5,560,997 5,218,659 5,560,997 5,218,659
Allowance for loan &
lease losses (ALLL) 62,643 53,714 62,643 53,714
Total assets 8,225,134 7,466,007 8,225,134 7,466,007
Deposits 5,877,589 5,309,187 5,877,589 5,309,187
Short-term borrowings 401,964 307,523 401,964 307,523
FHLB borrowings 528,688 668,666 528,688 668,666
Long-term debt 222,280 172,777 222,280 172,777
Shareholders' equity 936,286 780,470 936,286 780,470
Stated Book Value per
Share 17.98 16.66 17.98 16.66
Tangible Book Value
per Share 11.18 11.23 11.18 11.23
Average Balance Sheet
Investments 1,350,590 1,182,789 1,282,021 1,208,152
Loans and leases 5,529,081 5,320,200 5,517,812 5,234,463
Total earning assets 6,980,477 6,572,170 6,881,772 6,504,382
Total assets 8,104,511 7,495,969 7,949,820 7,430,144
Deposits 5,880,403 5,306,733 5,697,592 5,171,645
Short-term borrowings 325,376 351,165 324,326 378,706
FHLB borrowings 497,375 687,502 615,841 744,312
Long-term debt 222,369 172,859 207,765 177,295
Shareholders' equity 931,733 770,500 874,756 756,614
Income Statement
Net interest income 63,792 62,225 256,770 242,245
Loan & lease loss
provision 2,488 3,890 8,680 12,335
Noninterest income 35,303 39,708 136,313 125,078
Noninterest expense 66,631 61,884 262,836 242,550
Income before taxes 29,976 36,159 121,567 112,438
Income taxes 8,620 8,466 37,929 32,875
Net income 21,356 27,693 83,638 79,563
Basic earnings per
share 0.41 0.59 1.66 1.70
Diluted earnings per
share 0.41 0.59 1.66 1.70
Cash dividends paid
per share 0.25 0.24 0.97 0.93
Asset Quality
Net charge-offs (NCO) $988 $3,408 $5,265 $12,714
Nonaccrual loans &
leases 30,325 17,392 30,325 17,392
Restructured loans 5,376 0 5,376 0
OREO 1,544 2,620 1,544 2,620
Total nonperforming
assets (NPA) 37,245 20,012 37,245 20,012
Loans & leases 90 days
past due 9,364 8,998 9,364 8,998
RATIO ANALYSIS 4Q06 4Q05 2006 2005
----------- ----------- ----------- -----------
Credit Quality
NCO / Average loans &
leases 0.07% 0.25% 0.10% 0.24%
NPA / Loans & leases &
OREO 0.67% 0.38% 0.67% 0.38%
ALLL / Nonperforming
loans & leases 175.47% 308.84% 175.47% 308.84%
ALLL / Total loans &
leases 1.13% 1.03% 1.13% 1.03%
Capital Adequacy
Equity / Assets 11.38% 10.45% 11.38% 10.45%
Long-term debt /
Equity 23.74% 22.14% 23.74% 22.14%
Profitability
Return on average
assets 1.05% 1.47% 1.05% 1.07%
Return on average
equity 9.09% 14.26% 9.56% 10.52%
Return on average
tangible equity (1) 14.96% 21.49% 15.42% 16.06%
Net interest margin 3.67% 3.79% 3.77% 3.76%
Efficiency ratio 66.77% 60.36% 66.43% 65.58%
Efficiency ratio
excluding Hann (1) 61.16% 55.10% 61.04% 57.97%
(1)Supplemental Reporting of Non-GAAP-based Financial Measures
Return on average tangible equity is a non-GAAP-based financial
measure calculated using non-GAAP-based amounts. The most directly
comparable GAAP-based measure is return on average equity. We
calculate return on average tangible equity by excluding the balance
of intangible assets and their related amortization expense from our
calculation of return on average equity. Management uses the return
on average tangible equity in order to review our core operating
results. Management believes that this is a better measure of our
performance. In addition, this is consistent with the treatment by
bank regulatory agencies, which excludes goodwill and other
intangible assets from the calculation of risk-based capital ratios.
A reconciliation of return on average equity to return on average
tangible equity is set forth below.
Return on average
equity (GAAP basis) 9.09% 14.26% 9.56% 10.52%
Effect of excluding
average intangible
assets and related
amortization 5.87% 7.23% 5.86% 5.54%
Return on average
tangible equity 14.96% 21.49% 15.42% 16.06%
Efficiency ratio excluding Hann is a non-GAAP-based financial measure
calculated using non-GAAP-based amounts. The most directly comparable
GAAP-based measure is the efficiency ratio. We measure our efficiency
ratio by dividing noninterest expenses by the sum of net interest
income, on a FTE basis, and noninterest income. The presentation of
an efficiency ratio excluding Hann is computed as the efficiency
ratio excluding the effect of our auto leasing subsidiary, Hann
Financial. Management believes this to be a preferred measure because
it excludes the volatility of vehicle residual values and vehicle
delivery and preparation expense of Hann and provides better
visibility into our core business activities. A reconciliation of
efficiency ratio to efficiency ratio excluding Hann is set forth
below.
Efficiency ratio (GAAP
basis) 66.77% 60.36% 66.43% 65.58%
Effect of excluding
Hann 5.61% 5.26% 5.39% 7.61%
Efficiency ratio
excluding Hann 61.16% 55.10% 61.04% 57.97%
Core earnings per share is a non-GAAP-based financial measure
calculated using non-GAAP-based amounts. The most directly comparable
GAAP-based measure is earnings per share. We calculate core earnings
per share by excluding certain one-time income and expense items,
namely, net gain (loss) on securities, net gain on sale of bank
branches, and reversal of the state net operating loss valuation
reserve from our calculation of earnings per share. Management uses
core earnings per share in order to review our core operating
results. Management believes that this is a better measure of our
performance. A reconciliation of earnings per share to core earning
per share is set forth below.
Earnings per share as
reported $1.66 $1.70
Securities gains and
losses 0.01 (0.06)
Branch sale gains (0.05) (0.08)
Tax reserve reversal 0.00 (0.07)
----------- -----------
Core earnings per
share $1.62 $1.49
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
CONSOLIDATED BALANCE SHEETS
December 31, December 31,
2006 2005
------------ ------------
(in thousands, except
share data)
Assets
Cash and due from banks $194,785 $196,557
Unrestricted short-term
investments 70,996 69,948
------------ ------------
Cash and cash equivalents 265,781 266,505
Restricted short-term
investments 33,533 26,336
Securities available for sale 1,397,420 1,147,862
Securities held to maturity
(fair values approximate
$6,146 and $6,399) 6,146 6,399
Loans and leases, net of
unearned income 5,560,997 5,218,659
Less: Allowance for loan
and lease losses 62,643 53,714
------------ ------------
Net loans and
leases 5,498,354 5,164,945
------------ ------------
Premises and equipment, net 106,305 88,058
Foreclosed assets 1,544 2,620
Accrued income receivable 31,044 24,223
Bank-owned life insurance 264,398 257,289
Goodwill 335,005 242,718
Intangible assets with finite
lives 19,092 11,574
Investment in and receivables
from unconsolidated entities 121,663 104,069
Other assets 144,849 123,409
------------ ------------
$8,225,134 $7,466,007
============ ============
Liabilities and Shareholders'
Equity
Deposits:
Demand $959,654 $918,854
Interest-bearing demand 2,004,596 1,774,759
Savings 477,447 458,906
Time 1,528,298 1,381,959
Time of $100 or more 907,594 774,709
------------ ------------
Total deposits 5,877,589 5,309,187
Short-term borrowings 401,964 307,523
FHLB borrowings 528,688 668,666
Long-term debt 150,036 150,000
Junior subordinated
debentures 72,244 22,777
Accrued interest, taxes, and
expenses payable 54,800 49,836
Deferred taxes 145,825 131,789
Other liabilities 57,702 45,759
------------ ------------
Total
liabilities 7,288,848 6,685,537
------------ ------------
Shareholders' equity:
Common stock, $2.00 par
value, 100,000,000 shares
authorized; Issued:
52,080,419 at December 31,
2006 and 46,853,193 at
December 31, 2005 104,161 93,706
Additional paid-in capital 345,840 231,085
Retained earnings 505,861 471,290
Accumulated other
comprehensive loss, net of
taxes of $(10,541) and
$(8,406) (19,576) (15,611)
------------ ------------
Total
shareholders'
equity 936,286 780,470
------------ ------------
$8,225,134 $7,466,007
============ ============
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
CONSOLIDATED STATEMENTS OF INCOME
Three Months Ended Twelve Months Ended
December 31, December 31,
- ------------------------------ ------------------- -------------------
(In thousands, except per
share data) 2006 2005 2006 2005
- ------------------------------ --------- --------- --------- ---------
Interest Income:
Loans and leases, including
fees $103,730 $90,895 $404,814 $339,960
Securities:
Taxable 13,655 10,231 49,810 41,400
Tax-exempt 291 187 845 1,205
Dividends 952 742 3,653 2,666
Short-term investments 1,118 603 3,669 1,789
--------- --------- --------- ---------
Total interest income 119,746 102,658 462,791 387,020
--------- --------- --------- ---------
Interest Expense:
Deposits:
Interest-bearing demand 14,784 9,709 51,424 28,866
Savings 1,466 615 4,960 2,318
Time 27,900 19,027 99,195 64,979
Short-term borrowings 3,540 2,778 13,495 9,727
FHLB borrowings 4,965 5,829 24,788 28,634
Long-term debt 3,299 2,475 12,159 10,251
--------- --------- --------- ---------
Total interest expense 55,954 40,433 206,021 144,775
--------- --------- --------- ---------
Net interest income 63,792 62,225 256,770 242,245
Provision for loan and lease
losses 2,488 3,890 8,680 12,335
--------- --------- --------- ---------
Net interest income, after
provision for loan and lease
losses 61,304 58,335 248,090 229,910
--------- --------- --------- ---------
Noninterest Income:
Service charges on deposit
accounts 7,188 5,575 26,446 21,442
Vehicle origination,
servicing, and
securitization fees 4,159 3,340 18,524 15,616
Asset management fees 4,668 4,552 18,439 17,882
Income from fiduciary-
related activities 1,592 1,470 6,160 5,911
Commissions on brokerage,
life insurance and annuity
sales 1,079 1,169 4,350 4,447
Commissions on property and
casualty insurance sales 3,119 2,816 12,660 11,142
Income from bank-owned life
insurance 2,665 2,228 10,000 9,105
Net gain on sale of loans
and leases 2,414 9,291 16,816 14,966
Net gain on sale of bank
branches 4,189 4,689 4,189 5,194
Net (loss) gain on
securities (955) 0 (949) 4,188
Other 5,185 4,578 19,678 15,185
--------- --------- --------- ---------
Total noninterest income 35,303 39,708 136,313 125,078
--------- --------- --------- ---------
Noninterest Expenses:
Salaries and employee
benefits 32,795 30,284 128,465 114,197
Occupancy 5,243 4,659 20,905 18,853
Furniture and equipment 2,820 2,587 10,948 10,110
Amortization of intangible
assets 630 380 2,231 1,520
Vehicle residual value 958 2,260 3,722 9,986
Vehicle delivery and
preparation 2,418 1,393 10,498 11,090
Other 21,767 20,321 86,067 76,794
--------- --------- --------- ---------
Total noninterest expenses 66,631 61,884 262,836 242,550
--------- --------- --------- ---------
Income before income taxes 29,976 36,159 121,567 112,438
Provision for income taxes 8,620 8,466 37,929 32,875
--------- --------- --------- ---------
Net Income $21,356 $27,693 $83,638 $79,563
========= ========= ========= =========
Earnings per share:
Basic $0.41 $0.59 $1.66 $1.70
Diluted $0.41 $0.59 $1.66 $1.70
Cash dividends $0.25 $0.24 $0.97 $0.93
Average shares outstanding:
Basic 51,914 46,818 50,340 46,711
Diluted 52,053 46,980 50,507 46,919
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS' EQUITY
Interest rates and interest differential-taxable equivalent basis
For the Three-month Period For the Three-month Period
Ended Ended
December 31, 2006 December 31, 2005
--------------------------- ---------------------------
(Dollars in Average Rate Average Rate
thousands) Balance Interest (%) Balance Interest (%)
- -------------- --------------------------- ---------------------------
Assets
Short-term
investments $100,806 $1,118 4.40 $69,181 $603 3.46
Investment
securities:
Taxable 1,323,150 14,606 4.38 1,164,451 10,973 3.74
Tax-
advantaged 27,440 448 6.48 18,338 286 6.19
----------- --------- ----------- ---------
Total
investment
securities 1,350,590 15,054 4.42 1,182,789 11,259 3.78
----------- --------- ----------- ---------
Loans and
leases,
(net):
Taxable 5,442,374 102,715 7.49 5,244,746 89,994 6.81
Tax-
advantaged 86,707 1,563 7.15 75,454 1,387 7.29
----------- --------- ----------- ---------
Total loans
and leases 5,529,081 104,278 7.48 5,320,200 91,381 6.81
----------- --------- ----------- ---------
Total
interest-
earning
assets 6,980,477 $120,450 6.85 6,572,170 $103,243 6.23
--------- ---------
Allowance for
loan and
lease losses (62,190) (53,543)
Other non-
earning
assets 1,186,224 977,342
----------- -----------
Total
assets $8,104,511 $7,495,969
=========== ===========
Liabilities
Deposits:
Interest-
bearing
demand $1,946,816 $14,784 3.01 $1,794,933 $9,709 2.15
Savings 489,035 1,466 1.19 469,267 615 0.52
Time 2,488,896 27,900 4.45 2,143,444 19,027 3.52
Short-term
borrowings 325,376 3,540 4.32 351,165 2,778 3.14
FHLB
borrowings 497,375 4,965 3.96 687,502 5,829 3.36
Long-term debt 222,369 3,299 5.89 172,859 2,475 5.68
----------- --------- ----------- ---------
Total
interest-
bearing
liabilities 5,969,867 $55,954 3.72 5,619,170 $40,433 2.85
--------- ---------
Demand
deposits 955,656 899,089
Other
liabilities 247,255 207,210
----------- -----------
Total
liabilities 7,172,778 6,725,469
Equity 931,733 770,500
----------- -----------
Total
liabilities &
shareholders'
equity $8,104,511 $7,495,969
=========== ===========
Net interest
income /
yield on
average
earning
assets $64,496 3.67 $62,810 3.79
========= =========
1. Average loan balances include non accrual loans.
2. Tax-exempt income has been adjusted to a tax-equivalent basis
using a marginal tax rate of 35%.
3. For presentation in this table, average balances and the
corresponding average rates for investment securities are based
upon historical cost, adjusted for amortization of premiums and
accretion of discounts.
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS' EQUITY
(continued)
Interest rates and interest differential-taxable equivalent basis
For the Twelve-month Period For the Twelve-month Period
Ended Ended
December 31, 2006 December 31, 2005
--------------------------- ---------------------------
(Dollars in Average Rate Average Rate
thousands) Balance Interest (%) Balance Interest (%)
- -------------- --------------------------- ---------------------------
Assets
Short-term
investments $81,939 $3,669 4.48 $61,767 $1,789 2.90
Investment
securities:
Taxable 1,261,515 53,463 4.24 1,180,762 44,066 3.73
Tax-
advantaged 20,506 1,300 6.34 27,390 1,852 6.76
----------- --------- ----------- ---------
Total
investment
securities 1,282,021 54,763 4.27 1,208,152 45,918 3.80
----------- --------- ----------- ---------
Loans and
leases,
(net):
Taxable 5,434,490 400,923 7.38 5,153,910 336,508 6.53
Tax-
advantaged 83,322 5,987 7.19 80,553 5,313 6.60
----------- --------- ----------- ---------
Total loans
and leases 5,517,812 406,910 7.37 5,234,463 341,821 6.53
----------- --------- ----------- ---------
Total
interest-
earning
assets 6,881,772 $465,342 6.76 6,504,382 $389,528 5.99
--------- ---------
Allowance for
loan and
lease losses (59,465) (54,170)
Other non-
earning
assets 1,127,513 979,932
----------- -----------
Total
assets $7,949,820 $7,430,144
=========== ===========
Liabilities
Deposits:
Interest-
bearing
demand $1,846,483 $51,424 2.78 $1,736,130 $28,866 1.66
Savings 496,056 4,960 1.00 522,346 2,318 0.44
Time 2,408,684 99,195 4.12 2,037,019 64,979 3.19
Short-term
borrowings 324,326 13,495 4.16 378,706 9,727 2.57
FHLB
borrowings 615,841 24,788 4.03 744,312 28,634 3.85
Long-term debt 207,765 12,159 5.85 177,295 10,251 5.78
----------- --------- ----------- ---------
Total
interest-
bearing
liabilities 5,899,155 $206,021 3.49 5,595,808 $144,775 2.59
--------- ---------
Demand
deposits 946,369 876,150
Other
liabilities 229,540 201,572
----------- -----------
Total
liabilities 7,075,064 6,673,530
Equity 874,756 756,614
----------- -----------
Total
liabilities &
shareholders'
equity $7,949,820 $7,430,144
=========== ===========
Net interest
income /
yield on
average
earning
assets $259,321 3.77 $244,753 3.76
========= =========
1. Average loan balances include non accrual loans.
2. Tax-exempt income has been adjusted to a tax-equivalent basis
using a marginal tax rate of 35%.
3. For presentation in this table, average balances and the
corresponding average rates for investment securities are based
upon historical cost, adjusted for amortization of premiums and
accretion of discounts.
Susquehanna Bancshares, Inc.
P.O. Box 1000
Lititz, PA 17543
LOANS AND LEASES
Loans and leases, net of unearned income, were as follows:
December 31, December 31,
2006 2005
------------ ------------
(in thousands)
Commercial, financial, and agricultural $978,522 $832,695
Real estate - construction 1,064,452 934,601
Real estate secured - residential 1,147,741 1,355,513
Real estate secured - commercial 1,577,534 1,257,860
Consumer 313,848 319,925
Leases 478,900 518,065
------------ ------------
Total loans and leases $5,560,997 $5,218,659
============ ============
CONTACT: Susquehanna Bancshares, Inc.
Abram G. Koser, Vice President, Investor Relations
717-625-6305, ir@susquehanna.net