First Niagara Financial Group, Inc.
Exhibit 99.1 - Summary of Quarterly Financial Data
2003 2002
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As of Second First As of Fourth Third Second
June 30, Quarter Quarter December 31, Quarter Quarter Quarter
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SELECTED FINANCIAL DATA
(Amounts in thousands)
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Total assets $3,561,646 3,561,646 3,603,432 2,934,795 2,934,795 2,882,867 2,872,223
Total interest-earning assets $3,250,975 3,250,975 3,293,147 2,676,194 2,676,194 2,617,973 2,614,950
Fed funds and other
short-term investments $ 159,675 159,675 392,956 45,167 45,167 216,543 125,177
Securities, at amortized cost $ 806,552 806,552 666,750 625,324 625,324 431,741 550,720
Loans:
Real estate loans:
One-to four-family $ 983,984 983,984 992,949 927,453 927,453 926,162 944,268
Home equity $ 168,568 168,568 167,087 136,986 136,986 134,641 130,642
Multi-family $ 186,347 186,347 171,582 170,357 170,357 153,786 145,650
Commercial real-estate $ 402,528 402,528 377,878 303,136 303,136 302,197 291,778
Construction $ 116,141 116,141 117,324 107,200 107,200 94,046 82,133
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Total real estate loans $1,857,568 1,857,568 1,826,820 1,645,132 1,645,132 1,610,832 1,594,471
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Commercial business loans $ 221,316 221,316 208,137 178,555 178,555 174,867 154,778
Consumer loans $ 197,087 197,087 188,260 169,155 169,155 172,104 178,725
Net deferred costs and discounts $ 8,556 8,556 7,965 2,591 2,591 2,355 2,365
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Total loans $2,284,527 2,284,527 2,231,182 1,995,433 1,995,433 1,960,158 1,930,339
Goodwill and other intangibles $ 107,803 107,803 107,048 80,493 80,493 80,717 80,776
Total interest-bearing liabilities $2,641,372 2,641,372 2,706,561 2,468,396 2,468,396 2,425,613 2,431,133
Deposits:
Interest-bearing deposits:
Savings accounts $ 666,003 666,003 688,597 632,894 632,894 634,312 623,412
Interest-bearing checking $ 540,274 540,274 511,941 467,550 467,550 484,778 512,719
Certificates of deposit $ 982,903 982,903 1,054,996 879,246 879,246 880,130 871,759
Mortgagors' payments
held in escrow $ 16,925 16,925 9,317 15,619 15,619 12,698 16,387
Noninterest-bearing deposits $ 149,134 149,134 133,946 134,160 134,160 127,614 123,997
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Total deposits $2,355,239 2,355,239 2,398,797 2,129,469 2,129,469 2,139,532 2,148,274
Stock subscription proceeds (1) $ N/A N/A N/A 75,952 75,952 N/A N/A
Short-term borrowings $ 67,564 67,564 63,980 69,312 69,312 73,426 72,633
Long-term borrowings $ 367,703 367,703 377,730 327,823 327,823 340,269 334,223
Stockholders' equity $ 718,390 718,390 711,646 283,696 283,696 279,173 272,303
Tangible equity (2) $ 610,587 610,587 604,598 203,203 203,203 198,456 191,527
Fair value adjustment included in
stockholders' equity $ 3,558 3,558 3,333 4,230 4,230 3,675 3,197
Common shares outstanding 66,228 66,228 66,071 25,005 25,005 24,988 24,925
Total loans serviced for others $ 271,401 271,401 289,341 242,871 242,871 258,997 255,818
2003 2002
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Year-to-Date Second First Year-to-Date Fourth Third Second
June 30, Quarter Quarter December 31, Quarter Quarter Quarter
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SELECTED AVERAGE BALANCES (3)
(Amounts in thousands)
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Total assets $3,520,358 3,579,903 3,460,151 2,852,799 2,872,553 2,894,726 2,869,204
Total interest-earning assets $3,222,492 3,280,842 3,163,493 2,597,142 2,614,851 2,638,472 2,617,506
Fed funds and other short-term
investments $ 289,257 282,842 295,743 137,639 144,490 208,145 121,566
Securities, at amortized cost $ 707,918 734,489 681,051 513,561 480,747 456,455 573,919
Loans (4) $2,209,251 2,250,864 2,167,176 1,931,288 1,973,358 1,954,118 1,911,144
Goodwill and other intangibles $ 104,680 107,631 101,695 80,866 80,639 80,784 80,932
Interest-bearing liabilities:
Savings accounts $ 673,988 676,024 671,930 588,611 627,502 634,107 592,461
Interest-bearing checking $ 506,663 527,440 485,655 507,305 470,735 501,684 519,283
Certificates of deposit $1,018,009 1,021,369 1,014,610 883,867 878,675 877,185 900,201
Mortgagors' payments held in escrow $ 14,547 16,832 12,237 17,579 15,528 22,660 16,733
Stock subscription proceeds (1) $ 17,403 -- 35,000 2,355 9,342 N/A N/A
Other borrowed funds $ 437,107 436,178 438,047 414,064 409,182 411,520 411,557
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Total interest-bearing liabilities $2,667,717 2,677,843 2,657,479 2,413,781 2,410,964 2,447,156 2,440,235
Interest-bearing deposits $2,213,207 2,241,665 2,184,432 1,997,362 1,992,440 2,035,636 2,028,678
Noninterest-bearing deposits $ 130,461 132,895 128,000 115,977 127,315 121,324 111,738
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Total deposits $2,343,668 2,374,560 2,312,432 2,113,339 2,119,755 2,156,960 2,140,416
Stockholders' equity $ 667,861 716,980 618,195 274,533 283,087 278,073 270,796
Tangible equity (2) $ 563,181 609,349 516,500 193,667 202,448 197,289 189,864
Common shares outstanding (5):
Basic 65,943 66,126 65,758 64,445 64,647 64,543 64,375
Diluted 67,500 67,722 67,268 65,883 66,194 66,080 65,770
First Niagara Financial Group, Inc.
Exhibit 99.1 - Summary of Quarterly Financial Data (Cont'd)
2003 2002
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Year-to-Date Second First Year-to-Date Fourth Third Second
June 30, Quarter Quarter December 31, Quarter Quarter Quarter
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SELECTED OPERATIONS DATA
(Amounts in thousands)
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Interest income $ 85,525 42,602 42,923 167,637 40,654 41,914 42,536
Interest expense $ 33,511 15,976 17,535 76,107 17,103 18,857 19,828
-------- -------- -------- -------- -------- -------- --------
Net interest income $ 52,014 26,626 25,388 91,530 23,551 23,057 22,708
Provision for credit losses $ 4,165 2,208 1,957 6,824 1,835 1,729 1,730
-------- -------- -------- -------- -------- -------- --------
Net interest income after
provision for credit losses $ 47,849 24,418 23,431 84,706 21,716 21,328 20,978
Noninterest income:
Bank service charges and fees $ 8,046 4,246 3,800 14,226 3,748 3,662 3,477
Lending and leasing income $ 1,858 959 899 5,523 1,771 1,521 1,192
Insurance services and fees $ 6,940 3,631 3,309 12,610 2,846 3,063 3,579
Bank-owned life insurance
earnings $ 1,552 799 753 2,706 689 680 683
Annuity and mutual
fund commissions $ 1,611 859 752 2,585 660 679 773
Investment advisory and
fiduciary services $ 413 193 220 1,112 232 244 309
(Loss) gain from investment
securities available for sale $ (18) (2) (16) (1,044) (801) (311) 82
Gain on sale of banking center (6) $ -- -- -- 2,429 2,429 -- --
Other $ 449 119 330 1,640 391 435 496
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Total noninterest income $ 20,851 10,804 10,047 41,787 11,965 9,973 10,591
Noninterest expense:
Salaries and benefits $ 24,597 12,025 12,572 45,180 11,595 11,663 10,809
Occupancy and equipment $ 4,700 2,259 2,441 7,526 1,845 1,880 1,871
Technology and communications $ 4,697 2,337 2,360 8,599 2,375 2,085 2,233
Marketing and advertising $ 1,854 786 1,068 2,612 768 686 620
Amortization of other intangibles $ 608 290 318 677 175 178 162
Other $ 6,663 3,375 3,288 12,737 3,855 2,984 2,916
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Total noninterest expense $ 43,119 21,072 22,047 77,331 20,613 19,476 18,611
Income from continuing operations
before income taxes $ 25,581 14,150 11,431 49,162 13,068 11,825 12,958
Income taxes from continuing operations $ 9,053 5,073 3,980 18,752 4,735 4,018 6,085
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Income from continuing operations $ 16,528 9,077 7,451 30,410 8,333 7,807 6,873
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Income from discontinued
operations, net of tax (7) $ 186 23 163 385 69 129 134
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Net income $ 16,714 9,100 7,614 30,795 8,402 7,936 7,007
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STOCK AND RELATED PER SHARE DATA
(Amounts in thousands)
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Net income per share (5):
Basic $ 0.25 0.14 0.12 0.48 0.13 0.12 0.11
Diluted $ 0.25 0.13 0.11 0.47 0.13 0.12 0.11
Cash dividends (5) $ 0.10 0.05 0.05 0.17 0.05 0.04 0.04
Dividend payout ratio 40.00% 35.71% 41.67% 35.42% 38.46% 33.33% 36.36%
Dividend yield (annualized) (8) 1.45% 1.44% 1.73% 1.68% 1.96% 1.30% 1.50%
Book value (5) $ 10.85 10.85 10.77 4.39 4.39 4.32 4.22
Tangible book value (2) (5) $ 9.22 9.22 9.15 3.14 3.14 3.07 2.97
Market price (NASDAQ: FNFG) (5):
High $ 14.20 14.20 11.92 12.41 12.39 12.41 11.59
Low $ 10.11 11.40 10.11 6.07 10.03 10.31 6.57
Close $ 13.92 13.92 11.75 10.10 10.10 12.21 10.73
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PERFORMANCE RATIOS (3)
(Annualized)
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Net income:
Return on average assets 0.96% 1.02% 0.89% 1.08% 1.16% 1.09% 0.98%
Return on average equity 5.05% 5.09% 5.00% 11.22% 11.78% 11.32% 10.38%
Return on average tangible equity (2) 5.98% 5.99% 5.98% 15.90% 16.47% 15.96% 14.80%
Yield on interest-earning assets 5.33% 5.20% 5.46% 6.45% 6.20% 6.33% 6.51%
Rate on interest-bearing liabilities 2.53% 2.39% 2.68% 3.15% 2.81% 3.06% 3.26%
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Net interest rate spread 2.80% 2.81% 2.78% 3.30% 3.39% 3.27% 3.25%
Net interest margin 3.23% 3.25% 3.21% 3.52% 3.60% 3.50% 3.47%
As a percentage of average assets:
Noninterest income (9) 1.20% 1.21% 1.18% 1.42% 1.43% 1.41% 1.47%
Noninterest expense 2.47% 2.36% 2.58% 2.71% 2.85% 2.67% 2.60%
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Net overhead 1.27% 1.15% 1.40% 1.29% 1.42% 1.26% 1.13%
Efficiency ratio (9) 59.81% 56.30% 63.41% 60.39% 62.44% 60.11% 57.87%
First Niagara Financial Group, Inc.
Exhibit 99.1 - Summary of Quarterly Financial Data (Cont'd)
2003 2002
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As of Second First As of Fourth Third Second
June 30, Quarter Quarter December 31, Quarter Quarter Quarter
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CAPITAL RATIOS (10)
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Tier 1 risk based capital 18.70% 18.70% 18.64% 10.27% 10.27% 10.69% 10.18%
Total risk based capital 19.80% 19.80% 19.70% 11.34% 11.34% 11.81% 11.25%
Tier 1 (core) capital 12.40% 12.40% 12.21% 6.54% 6.54% 6.90% 6.73%
Tangible capital 12.34% 12.34% 12.15% 6.54% 6.54% N/A N/A
Equity to assets 20.17% 20.17% 19.75% 9.67% 9.67% 9.68% 9.48%
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ASSET QUALITY DATA
(Amounts in thousands)
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Non-performing loans:
One-to four-family $ 3,395 3,395 3,723 4,071 4,071 4,656 4,252
Home equity $ 467 467 474 332 332 396 488
Commercial real-estate and multi-family $ 1,614 1,614 1,537 1,225 1,225 2,187 2,240
Consumer $ 1,040 1,040 630 652 652 690 619
Commercial business $ 3,537 3,537 3,572 1,198 1,198 2,992 4,134
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Total non-performing loans $10,053 10,053 9,936 7,478 7,478 10,921 11,733
Other non-performing assets $ 1,375 1,375 1,646 1,423 1,423 151 310
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Total non-performing assets $11,428 11,428 11,582 8,901 8,901 11,072 12,043
Allowance for credit losses $24,781 24,781 23,913 20,873 20,873 20,299 19,694
Net loan charge-offs $ 2,258 1,340 918 4,678 1,261 1,124 1,019
Provision for credit losses as a
percentage of net loan charge-offs 184.46% 164.78% 213.18% 145.87% 145.52% 153.83% 169.77%
Total non-performing assets as a
percentage of total assets 0.32% 0.32% 0.32% 0.30% 0.30% 0.38% 0.42%
Total non-performing loans to total loans 0.44% 0.44% 0.45% 0.37% 0.37% 0.56% 0.61%
Net charge-offs to average loans (annualized) 0.21% 0.24% 0.17% 0.24% 0.25% 0.23% 0.21%
Allowance for credit losses to total loans 1.08% 1.08% 1.07% 1.05% 1.05% 1.04% 1.02%
Allowance for credit losses
to non-performing loans 246.50% 246.50% 240.67% 279.13% 279.13% 185.87% 167.85%
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Personnel FTE 891 891 897 945 945 937 941
Number of banking centers 46 46 45 38 38 39 38
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(1) Represents stock subscription proceeds received exclusive of funds
authorized for withdrawal from deposit accounts with First Niagara Bank,
which are included within their respective deposit account categories and
totaled $13.2 million at December 31, 2002.
(2) Excludes goodwill and other intangibles.
(3) Averages presented are daily averages.
(4) Net of deferred costs and unearned discounts.
(5) All per share data and references to the number of shares outstanding for
purposes of calculating per share amounts are restated to give retroactive
recognition to the 2.58681 exchange ratio applied in the January 17, 2003
conversion.
(6) On October 25, 2002, the Company sold its Lacona Banking Center. In
connection with this transaction, approximately $2.6 million of assets and
$26.4 million of deposits were sold, which resulted in a gain of $2.4
million.
(7) Effective February 17, 2003, First Niagara Bank sold NOVA Healthcare
Administrator, Inc. its wholly- owned third-party benefit plan
administrator subsidiary as it was not considered one of the Company's
strategic core businesses. Accordingly, in accordance with SFAS No. 144,
"Accounting for the impairment or disposal of long-lived assets," for
current and prior periods presented the Company has reported the results
of operations from NOVA as "Discontinued Operations," including the net of
tax gain on sale realized of $230 thousand.
(8) Computed based upon the period end closing stock price.
(9) Excludes net gain/loss on securities available for sale and gain on sale
of banking center and NOVA.
(10) Effective November 8, 2002, First Niagara Bank converted to a federal
charter subject to Office of Thrift Supervision ("OTS") capital
requirements. These capital requirements apply only to First Niagara Bank
and do not consider additional capital retained by the Holding Company.
Prior to converting to federal charters, the Holding Company and First
Niagara Bank were required to maintain minimum capital ratios calculated
in a similar manner to, but not entirely the same as, the framework of the
OTS. Amounts prior to the fourth quarter of 2002 have not been recomputed
to reflect OTS requirements.