BHLB - Earnings call transcript Q2 2019 | Berkshire Hills Bancorp, Inc.

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Operator

Good morning and welcome to the Berkshire Hills Bancorp Q2 Earnings Release Conference Call. Please note this event is being recorded.

I would now like to turn the conference over to Erin Duggan, Investor Relations Manager. Please go ahead.

Erin Duggan

Good morning and thank you for joining this discussion of second quarter results.

berkshirebank.com, a discuss our the today section our and which strategic Investor release furnished of will be we is website, news presentation SEC. ongoing outlining review, Relations to Our the will and available on

forward Our actual results those statements could remarks looking and materially differ will from include statements.

on factors, XX-Q. and related please release and XX-K our detail earnings most Forms and For see recent SEC reports

our provided non-GAAP be to and release. discussed certain you on will this projections. measures and to non-GAAP are news of References call. should as A addition, Berkshire's only In understanding reconciliation future measures be GAAP to assist trends in results in results relied financial conference performance is or measures actual comparison financial measures and upon not included

over Richard the that, Marotta. turn And with I'll to CEO, call

Richard Marotta

Erin. you, our for quarter Thank you thank morning and us Good for today joining earnings call. second everyone

CFO; Melas, quarter George who and update With Commercial with deeper Moses, turn morning dive our the call the level our Jamie a and to over it results Officer; then Gray, will into Credit today on high Georgia provide me overview are our Bacigalupo, strategic I'll ongoing review. our Chief begin of Sean President; and an Leader. this Jamie, our our

We a had good quarter.

line our initiatives. strategic Our we completed expectations progress on and in our earnings our were Financial as with good acquisition of made SI

the GAAP quarter second being EPS, in the we in In difference $X.XX the core delivered in release and outlined $X.XX table. earnings EPS

and points benefits at came from in basis purchased NIM loan deposits X.XX% time of and XX included accretion. Our

talent remains they impressed has us manner operation Financial been for well and businesses. of the their operator, as to as customer We've plan. which enthusiasm expand focus and The integration at with on smoothly their SI started

teams our and Eastern with our added Rhode SI five We in to Island. continue conversion work branches $X.X planned is in October. Connecticut approximately XX resources to balance prior systems sheet, Financial which for with their billion deploy to to assets in

experienced on and savings markets in deposit anticipate teams thus to forward on capitalizing opportunities positive cost new markets our and growth schedule. and far We've projected achieve us those the to we look provide

discuss see that our goals plan quarter. As momentum build the from we've on move last efforts. strategic to to begun will shortly, and forward continued to initiatives results continue our forth We with we Jamie to to this set meet

trusting pleased made towards few progress our and we're Overall, culture about talked see our of I throughout lot and with the to core all Building the people past and communities over help and will with we've for goals footprint. we strategic a financial of potential of untapped relationships the diversity. growing values color the our are XXXX. of our bank quarters beginning number millennials us

as to second FIRST our commitment well FIRST communities values the officially Be Be we our internal the quarter, launched serve. In we as

We facing also work, internal and are our in investing not capacity but products diversity. in only and our outward building

level bank Through new a based our our and store loan success, have concept develop be community committee. programs, fronts to inclusion deposit products diversity and established Be on for community we FIRST MyBankers established

strong A quarter, Social for during companies work Engagement Employee beat many out Responsibility I to and and honor. proud North Berkshire the Berkshire dedicated testament the service global to in true say of of named American environment second industries that, recipient culture. XXXX Award this was winning am Work. a Bank across the

the to Jamie. call turn I'm Jamie? Now going to over

Jamie Moses

good Thanks, morning, Richard, and everyone.

was IR on give posted I'm to an second to quarter website. with going update the and a I'll then at around presentation begin comments our which time initiatives, comments strategic few direct our the to my that

efforts. and $X.XX a SI difference acquisition with coming from and delivered said, in restructuring Richard core Financial in our EPS we $X.XX EPS As GAAP

metrics. During the quarter, liquidity capital and we saw improvement to our

roughly merger are through projected our of remain the in we year. SI Financial economics back of the balance with remainder This to expected point half XX% come the costs deal strengthens this strong. move this merger of through The plan. our sheet those with At we our forward as

metrics in We from the points, equity core ROA on return expansion quarter; up our as the had core was basis first in tangible from profitability up first in quarter. XXX common XX.X%, was and XX XX.X%

points other to due was GAAP merger noncore ROA would and charges expect. and X.X%, was XX as related impact of basis ROE the you GAAP

to SI XX% XXX% deleveraging. deposits at end Loans on quarter. improved deposits Our our and ratio. first efficiency came loan-to-deposit plan forward the of at with to the were in we Financial quarter, move from loans XX% a ratio the to XX% as roughly

side, the quarter. quarter held as Prior reclassified excluding to down Financial, during for as our exited X% loan the the portfolio planned. commercial and re-class to loans sale On some for this were we non-strategic SI loans aircraft commercial we

to Fee Turning revenues. related two to tied first results income primarily from loan was income, quarter in items. our down

fee we SBA that in related from to recall delaying government of income quarter quarter additional million in XXXX. first $X had fourth the First, revenues shutdown the the

value decline took a rates book our due in $XXX,XXX fair back-to-back to quarter-over-quarter. mark swap Second, on we the steep

expect returning to a fee income more we normalized forward, run Moving rate.

plan. going expect On the professional line services quarter-over-quarter primarily back tied as increase was to the This to an an we're claim acquisition. prior side; forward. we with move With that in quarter-over-quarter overall, that the being on a we expense execute showed indemnification disciplined pleased strategic on said,

continue while take services. balance and with quarter as to cost through during we're and developing Overall, our optimizing driving targeted and and sheet, high progress reductions and our quality maintaining product sustainable earnings, toward the execution enhancing repositioning steps efficiency pleased we

sheet planned with is the run indirect and portfolio X, optimization to as securities track. beginning off. to The auto off balance slides continues continues and our run Slide on to Turning portfolio our naturally

aircraft held just to balance I sale. moved we As portfolio $XXX of mentioned, our for have million

Slide to X. Turning

in rates. the see operations refi boost lower can a release, had market the First a Loan due advantage you our earnings taking to quarter, Choice of As good in Services

of As operations good sense. we a the to receive said this and continued we makes in is strategic the where potential interest partners in operators the from team past, fit

XX% expense initiatives evidenced key management by Moving on in X. steps to our efficiency Slide We've ratio. our taken

changes, have companywide management will half We that by reduced year. enacted year-to-date X% expense the count of and be our the initiatives fulltime back enacted FTE have in organic additional policy

as to by we on see ratio of maintain continue midXXs the We target and end improvement the the remain an year. efficiency in

We Moving onto X. Slide capital management mid on June. share repurchases for regulatory in received approval

active we last as shares of to night, to purchaser, As and conditions. a repurchased market plan subject again, remain XXX,XXX

Board be authorization shares includes Again, market reminder, to and on that's average March share X.X to We've the modeled year. XXst, around half conditions. our approved expires of repurchase XX.X million in subject as share a our back count the million XXXX. And

we and expect rate for broader begun at looking gears cuts forward see the rates. picture Shifting to on we've the Based already long-term of moment. further the impact lower and a and short curve,

updated anticipate full stable of relatively to benefits NIM the purchase environment, subject meet the to we of year targets our on the of due core and SI reported remain In loan remain our accretion. initiatives. We EPS our overall to this timing track strategic merger

At FCLS. items, impact guidance to the this includes due provide we time, GAAP which of noncore EPS cannot

for turn Richard? I'll now, remarks. back Richard, closing over it to

Richard Marotta

Thank you, Jamie.

remain track XXXX EPS, with ROTC a of plus X improving the Kicking we performance on deck This ROA focus for our targeted said, includes over a meet and core above what to core Slide a discussion X goals. off on to on Jamie time. reiterate the XXX

quarter, Hughes. the Rheo of welcomed to we Bill members During three Adofo-Wilson, board directors, Brouillard, our new Baye and

expertise cyber In perspectives addition to provide in into and boardroom, our newer deeper capacity security and markets including development our community new into insights financing. bring enhanced and

Management as the and In position will addition, initiatives. Experience Executive we quarter, Malia diversity Vice our Officer. and inclusion team, on Lazu building newly be of in our Culture appointed our the momentum during officially President, to instrumental Chief welcomed This

the resource also Senior Chief We to President human Human brings leads years Resource to all experience of as of position she Vice than position Jackie appointed the and Courtwright aspects human resource function. Jackie the more XX Officer. of

We're fronts. moving forward on all

several to to expect together strong drive come results the initiatives as We our next quarters value. see in

of are understand with networks our inclusion. meet we we new As communities, to the the beginning value within

growth explore to our potential of excited programs. new the We're

teams Our our been the SI with FIRST a Be and our within opportunity met and relationship-oriented ahead of There from as fully focus lot on our continue building have engaged optimism are Financial our employees. expansion markets communities with to and efforts energized businesses. they is

truly We it open are franchise what it taking century and to key define means I'll our community be a XXst steps questions. in to order that, fortify With up bank. to

Operator

[Operator Brody first question Jaffray. go from Instructions] from ahead. Piper The Please Preston comes

Brody Preston

wanted just outlook guess given get on moving core you said for I to the of I be I it would NIM. the curve? forward just likely flat sense that a forward sort the guess Jamie,

Jamie James

that's again, and things be the in half back relatively loan year. NIM, the the reported going purchase And the the that so to Yes, CD half flat to year. expect of of accretion for like marks, back include we

expect cut, those in five, and being cuts depending Our we year, with decline that and on half core six, rates maybe we expect the little rate basis that. in Again, timing the seven a something bit total of back like points when NIM, if will happen.

Brody Preston

Jamie, on guess if few look late. as rate I you fee moving we said expect then forward. that, to would normalize like? me I minutes What missed you run income And a fee look I hopped that to excuse income,

Jamie James

SIFI in probably you we that include at think I as look XX-plus when deal. this

to go XX number. to confident pretty going So we're that the that's

Brody Preston

anticipated still be about Okay. million And from the Durbin year? $X to is impact a

Jamie James

around Yes, it's right we think there.

Brody Preston

then than moved that in for aircraft guess the portfolio I loan lower And held balances even what that growth, I was you adjusting for loan the little I looking bit came for. I moving understand a guess to sale,

maybe delta you for of help you the forward, expect me drove what we would understand could what should So slower to moving growth continue? the or pace long expect explain me sort growth help of and

George Bacigalupo

our syndicated flat. assets. as the regional for lending and was core mentioned, quarter, The So in totally Richard non-relationship were reductions, second almost had lending

non-core upward or quarter. to despite so third associated X% range the quarter, those of for transactions, second looking payoffs we're some the And into move additional we probably with we're a so looking - at as

momentum our ABL as estate. New commercial well Eastern have Mass real specifically, as good we And in some banking in in business Mass, Eastern York,

So quarter. bullish we're on the fairly next

Richard Marotta

If it robust is I strong one guess been. as the has thing, would I can just way it and at I our is add look pipeline

being just rates to when loans. we're the relationship the it think I also and the selective on comes very

Brody Preston

being, hires around recent maybe a I you've then have question some And that the of made. guess I

Lazu? am I think but - guess her name, I if I me mispronouncing forgive Malia

Richard Marotta

Malia, Malia Lazu.

Brody Preston

better the some separate the around key organization some just inclusion. wanted better things in a Malia, to to understand. wanted to guess I of you understand what I of going I forward? sort you're guess maybe that focused terms the, to and key steps okay. of of bringing understand business diversity I is of that implement have she's I moving sort like

Richard Marotta

at look of to communities those be of that communities bank, the of that kind we major or that the part part as and And with of to just those part into future aspect guess XXst I we century Yes, are whole of service. people color communities diversity. in is the and overall deal

the built in And but only she is a Malia Boston and strong vet and a not has XX-year business, nationally. Boston

she that we serve. take vision So is tie what it tick the to ability and to then our just communities it brings back and to the

Operator

Hunsicker The question Laurie from go with Compass ahead. next Point. Please comes

Laurie Hunsicker

I this just quarter? go was that forward, look is I comments on income. run wanted heard rate to $XX sure you asking. wanted to guess thinking just make as And I I your what to you're Brody million back a right; noninterest

Jamie James

will it think be north We right. that. of that's Yes,

Laurie Hunsicker

okay. that, of North

you can think me maybe it. So help about

So I'm half taking be SIFI change looking out should at at quarter only XXX adding were Durbin baked here? let guess SIFI fully I'm rate. running it quarter so for X.X, else, I comes what and guess X.X round they missing a run am XX.X, your little impact. to us from over, a this for call even million $X what XX, at going number I XX.X, I to look over XX.X I at

Jamie James

much don't market swaps I think income declined not - - see we our quarter-over-quarter. you're in line don't necessarily fair value that to based Well, not In a fee be going anything. though that you missing movement may of had on that typically we

end end to QX. QX And in so dramatic we rates this of from had decrease of

we So a on to had take mark that.

add, you that just would sort and you So back of re-add in --

Laurie Hunsicker

The got XXX it. back,

up showing …? in that's and Okay, that

Jamie James

Loan-related income line.

Laurie Hunsicker

it, Got income. Loan-related okay.

Jamie James

happen we year. QX. SBA also the to business in better in do the see some really and expect we half those going investments and to made forward like that payoffs back QX to We in in on to that We've expect the start fees of

Laurie Hunsicker

that four your in your help accretion two model core or then realize to I basis suggesting about five move know can just on about the were you And contracting to $X.X And quarters of go just number that points is can are accretion your back comments margin, sort us you million, running income higher this quarter XXXX? is think margin of last income and you than thinking we around. the how

Jamie James

timing having the also tough portfolio But don't about We a a the relatively the is sure. of or NIM acquired purchase are well. accretion we that's the reported that had know to But $X.X CD Yes, remain on million sort our then sub-flat, that's model, in one. mark on for contributing as so. we loan

And so added about and that, to QX QX. that this or in points three double so basis that quarter roughly

forward of underlying accumulation curve. And deposit and purchased balance back those the of the is somewhat us stable year, marks sort accounting sheet contracting so relatively the keep based of half loan should on the while

Laurie Hunsicker

rate forward? tax you And should then be using going what

Jamie Moses

half full year back like for good us. about the the seems a for of for XX% think year XX% I the plus number Yes

Laurie Hunsicker

just book? And are you where Taxi we the guess update then I us with can

Jamie Moses

yes, you over can that. Sure I’ll to Georgia that with she kick help

Georgia Melas

Good morning Georgia. Laurie it’s

Laurie Hunsicker

morning. good Hi

Georgia Melas

Balances million, little are XX our did no just a last expectations. up there from changes mean perform bit under of quarter. to the I to overall Delinquency portfolio. the continuing along material its credit really pick is

when it adjust their matured for current that perform. payments we loans continuing actually it's are so flat However, with to was

Laurie Hunsicker

the is what sorry delinquency I’m number?

Georgia Melas

but loans matured that it is XX%, includes current. a that that our Well have

where falls around So which if to you quarter those were were back roughly XX% out last range. back it to the is we

Laurie Hunsicker

quarter? there any And then were this charge-offs

Georgia Melas

the in not no. No portfolio

Laurie Hunsicker

your origination, balance, and just nonperformers just update Firestone And book, then on you charge-offs? loan can question same

Georgia Melas

Yes just delinquency X.X% and from quarter roughly and NPLs was or at up the think are balances portfolio basis about which I three it X% is million up are last million charge-off. down were X total slightly loan quarter-over-quarter. at points last minimal XXX under quarter of from

Laurie Hunsicker

Okay.

Georgia Melas

charge-off. minimal And

Laurie Hunsicker

and okay, this the charge-offs, minimal quarter? And were originations what

Georgia Melas

got somewhere. that I’ve

Laurie Hunsicker

what could Maybe is you is that then when what substandard C&I? to, we as help piece sit total you're and looking of also XX for as that substandard June of

Georgia Melas

XX million Firestone originations for in Well quarter. the

Laurie Hunsicker

Okay.

Georgia Melas

And criticized or? that was I’m sorry question your Firestone on to specific

Laurie Hunsicker

what I'm at substandard fits is And the was C&I around over that at it just million? is it then comparable currently was sorry that XXX looking I'm your comparable only I XX for million. No substandard piece guess March running March also and

Georgia Melas

substandard XX. Well roughly it XXX at XXst at June XXX flat March is was and its

Laurie Hunsicker

C&I? piece and that okay is then of do the you XXX that have not

Georgia Melas

I do not have the breakout.

Richard Marotta

on with follow-up We you can that Laurie.

Laurie Hunsicker

more - questions at guess Okay on looking statement. and income broadly when then just we’re two your I more

of guys that business. putting about these goes You should to thinking then for line when us XXXX? a some zero lot and about would that remainder of are into help of considered Can banks the be other restructuring are cost of charges how part and expenses we think you just restructuring operating think I

Jamie Moses

to quarter go right. Yes, fourth so after should the year that line of zero this

getting related different businesses of restructuring businesses and of of out line So forward that putting of review are charges this this our lines would sort is I with thing. the strategic moving are say that lines through to we're certain

the completed year. the have end should we of that by So

Q along line So acquisition XXXX zero with that sort of first line and I as merger be should the well. think

happens in Our QX. conversion

we that with are sort just charges have happened tail So more we And year. remind we’re that numbers some as go of charge. to want of that into branch QX that closures zero those will a QX stuck as will call likely I that this in should But well again, QX. restructuring to to off in likely

Laurie Hunsicker

are And how many closing? branches you

Jamie Moses

two So three. somewhere probably and between

Laurie Hunsicker

Two three, okay to

Jamie Moses

that's probably number. but Still identify and trying where, ones the we to which think right

Laurie Hunsicker

into goes okay. number, that that's And

XXXX terms acquisition restructuring first of to clean right Is the March forward in assuming then charges way that and be don't decade. see going like a we’re this? in So do looking again quarter another thinking merger XQ to your you we’re as about

Richard Marotta

is way Laurie that the think right yeah. I

Laurie Hunsicker

gain have more that’s or share of a taken leasing One a that’s sale loss? time here. I question can The and sorry with then if aircraft lot us expected, up you

Jamie Moses

that when much of or closes. too talking comfortable would or see a it's gain that in know impact you'll the thing the real now the the on the hopefully feel be. but next release impacts what let you right don't - We'll I over loss, whether call about terms

Laurie Hunsicker

run as well? probably to also that's through And going restructuring lines your

Jamie Moses

I I restructuring it line. don't so. run the think don't think will through that

Laurie Hunsicker

after. pick very on also And much. you substandard I'll you Thank

Operator

ahead. next The KBW. from go comes with question Please Collyn Gilbert

Collyn Gilbert

how just rate and broadly Jamie assume just in XXXX if So then core away I may income trend change the at look NIM be starting the from think percent environment the in with and XXXX that discussion position. - the and what just no accretion then back go very NIM you his you XXXX appreciate can through XXXX? half we XQ colors of Can the But will we as of year. in confirm

Jamie Moses

through So is accretion. remain small rate going to almost quarter a that acquired piece the all QX we this going NIM to mark of that and reported away full and in QX, the that a on so was worth you’re quarter the in have. will get and run in loan of go of XXXX, small rate double mark QX. on second that CD portfolio again here And roughly about also in what's is piece three income we the in an comes basis income on the interest will overall that the And quarter first acquired accretion which expect portfolios points very

XX line - we around income so a month straight that that. zero like runoff to and to as not but have was goes technical get that too it, That at XX-month on

and would over delta expect number time. that only and is no almost you the stable we will call NIM. would mark a our be roughly describe rate noise minimal running off we what versus I and to there be in NIM reported interest would the The know in it would then So adjusted be as what

Collyn Gilbert

how And core more strategies SIFI are stuff? just generally the then on the and through NIM and kind into XXXX tying or movements kind the core maybe in like of seeing of that specifically you NIM all

Jamie Moses

so to sheet protect doing our part Yes, balance we've as we're NIM best the restructuring mean about that as of the try talked I is to can. as before we

asset the bank. at moment are are We slightly sensitive

are quicker rate will our liabilities. to than impact So they initial assets movements the down our going

would We year then to we by that. and next that abate expect QX expect

that's restructuring. time, core sort rise time. - to that quarter-over-quarter in basis balance grinding and sheet of here basis expect based We point Last think NIM higher XXXX. about couple of over talked we’ll on we would I sort see point-by-basis And points starting slowly slightly what just

Collyn Gilbert

And then of rate. you assume you us future give this color had in into terms that and tax for the what indicated positioning XX% where you Can remainder tax of sort investments and just of are that would next? guys year as just to

Jamie Moses

you at bit there breaking so rate in but think I is a question up looking tax going where around little Yes, Collyn, general? in investments those and we're forward were the the

Collyn Gilbert

Correct.

Jamie Moses

in So you'll see in with the charge income, to the the related statement associated - the note and it. quarter in the tax actual the income the can breakout FX credit of you

we to quarter. quarter the about bottom the benefit benefit $XXX,XXX net had this So this line tax because of

We be continue these tax in. that do, know might commercial historic a example, involved we estate are going where real deals relationship to as look credits operators to who at for the deal

the We do loan think business tax both if an ROE from makes it's and good the perspective, sense it credits. we'll

continue any to do for that's things. good to tax us types and you those do solar Richard business not and do to so I something that? credits think have We do think add we'll we And of

Richard Marotta

the our these in just would the Collyn that We thing made. mean Jamie are do only relationships I don't highlight footprint. I no is Yes, are point to just add we we of part we're credits sake relationship credits. not with person. just tax an there chasing and or These tax for are of the the national out entity have anything the overall

Collyn Gilbert

if there? missed update and And thinking you're late, apologize. about I just already, is on this hopped sorry you've you But us I I you am your then guys, how the on answered can buybacks, appetite what I call

Richard Marotta

absolutely. Yes,

over approval got to XXX,XXX about to new XX Fed late did approval we've So in or for QX so the, June We trading say, days. mid buybacks.

total as in XXX,XXX yesterday. done of have We

in on price. long will We'll terms market to as market. We nothing happens the crazy continue the in be of stock be in continue as to

board, million X.X shares of that our QX authorization year. We at from number of end have next the expires

excess will say believe then about of And things we have is think depend we best that to we use that that over I last would we conditions. authorization. will that is entire we thing And sort those this of capital pace on to I that And the continue really course will do that that continue the the of time. guess market of use and

Collyn Gilbert

then thought last my And it. that I I forgot to was but going be question

more. I think two I have

any way you're quickly, on the million of Is really the Just off? it's or XXX XXX to seasonality auto, sort that that's indirect about well running down, going there of run left. the

Richard Marotta

it only, is they the don't accelerate will not think are since amortizing but I seasonality time. way to right The over probably runoff about the think loans,

I seasonality just more and structure think the that, loans. of than less so those

Collyn Gilbert

occurring market And then of the take to of about of how guys your it opportunity offensive lenders consolidations that relates anything some to to kind as are areas? just you as thinking that see seeing take an strategic you're market? Do some you on an positioning your or in customers finally,

Richard Marotta

is questions and Collyn, yes to those answer yes. Yes the

acquisition is So it and an always disruption, if or right, anytime is merger a you whatever, disruption or there there opportunity. play is

are for we the so And that clients employees new happy. regime the aren't with happy and/or that not looking are

are in that we yes, So, regard. strategic

Jamie Moses

that naturally have. eliminated add sort are that competitors when you I just would of the also reduces competition that

should help of the the asset Those and things. liability of that So things. of side sort kind on generation both

Operator

from David question with next The D.A. Bishop Please go Davidson. comes ahead.

David Bishop

terms of segment? a mortgage gain in the of happening loan First a a that given terms for question, it answer may have in divestiture the I for in market, is not group an to there got the what's you Choice but potential

Richard Marotta

that. Dave, much about about moment. We're I'm talking not too in discussions comfortable at the

one on. that probably So leave I would

David Bishop

half outlook the color head the or as uptick we year, maybe of the the in terms Slight some and of for XXXX? just back NPAs, into curious that loans maybe provision around commercial

Georgia Melas

it a NPLs. in primarily single mean about one see, It's Georgia. did the I is we Yes, market. to of a really $X future. non-performing loans least at flat else see We million total increase of inclusive basis loans Vermont anything at in about not though percentage That points. going near quarter-over-quarter as due the our non-accrual, XX was SIFI basically in overall C&I relationship don't is into

So, the it's it's, said, to obviously And to like one smaller work of we a I think due I loans. lot that primarily off loan. continue

Richard Marotta

is that The only to Dave, this one Richard. thing I collateralized transaction this point. would at add adequately that seems is be

Jamie Moses

I Dave well you on see of the And also provision would with moving go provision. QX balance would the as up I guess the QX. sheet, I would size expect and add into the higher commensurate

David Bishop

then core non-interest maybe in the looks maybe deposit some to pricing trends well? the or And as within the some growth bearing about front front, the core like deposit you're seeing decent talk of on and markets on

Richard Marotta

deposits the our private good seeing branches, franchise. We of MyBanker our MyBankers actually post and six closed grew we're deployed in banking closing our and growth Dave, branches. those

So an we we're proposition as give that value us it'll forward. flexibility and alternative traditional to incredible and think banking, an seeing going

David Bishop

on the of competitive on your just curious, terms in front markets? And particularly standpoint the then pricing

Richard Marotta

imagine their see sort saw basis the continue our be and it to cuts better I I competition say we or what continued down specials We've as rates less We've better come Yes, and XX reduce of rate cut. or that of pressure makes that mean we've so over points reduced competition, less we'll to anticipated started And see ahead XX competition days. for rate XX from we past is to XX time. as basis specials. well. anticipated, less the points probably

David Bishop

growth. question terms final loan of organic And then one the in

markets newer the markets the Just Boston seeing core what and like there? curious on in you're front Worcester some of loan and the commercial

Richard Marotta

feel in activity we're We're our pricing in adhere deals we share very Mass, seeing we and winning but have of flow a our in and about transactions. and have being we selective good we robust good certainly general. and that Boston And model deal to optimistic Eastern opportunity

Operator

The with Fitzgibbon next go O'Neill. question comes Mark ahead. Sandler Please from

Mark Fitzgibbon

look down assume extract touch quarter, Just of the into we in one should to a sort non-interest you're I clarification on synergies saw question strategies in expenses. a SIFI non-interest expense we this XQ? upcoming what from going for

Richard Marotta

the is see way Mark we'll conversion to expenses that's coming, QX when where right think the about full is that the benefit So, of happens.

and QX see then a happen in rise the afterward. there decline will in QX QX you expenses would in to So relative

Mark Fitzgibbon

And says to then you're charges or slide that in clarify or quarters? other XXX. guidance merger items just core assume additional and EPS restructuring deck the the fourth to your projecting non-recurring any third in Does any

Jamie Moses

or anything third No, include doesn't any like charges or that restructuring the it into quarter. quarter, fourth

Operator

to the morning. concludes session. This over for today's conference conference any for for this to remarks. Berkshire the question-and-answer - concludes attending the that back like turn Thank closing you would I

Richard Marotta

October for Yes, call. We thank you for Thank in our third again you. quarter joining us today. look forward speaking to

Operator

today's attending presentation. for Thank you

may now disconnect. You

Berkshire Hills Bancorp (BHLB) 24 Jul 192019 Q2 Earnings call transcript