CFR - Earnings call transcript Q2 2018 | Cullen/Frost Bankers, Inc.

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Operator

Good morning and welcome to the Cullen/Frost Bank, Second Quarter Earnings Conference Call. My name is Amy and I will be facilitating the audio portion of today’s interactive broadcast. (Operator Instructions). At this time I would like to turn the show over to Mr. A.B. and Investor President Vice Senior Director Relations. of Mendez, Mr. you may begin. Mendez,

A.B. Mendez

Executive call Amy. CEO; led Group CFO. This you, will and President morning's Salinas, and Thank Chairman conference be and Green, by Jerry Vice Phil

I need take Harbor I provisions. Before and the to to the to a call Phil turn Jerry, address moment Safe over

such the is the covered XXXX Investor Some see remarks will today information time, call in needed, the made of website We as statements. provisions last statements defined release Reform amended. If Securities I’ll calling or in be risk available Reform amended. earnings or copy Private the Phil. contained by Private these Litigation constitute morning's of the for about statements the of intend At Safe on Harbor forward-looking in page a Please for additional XXX-XXX-XXXX. the this XXXX turn our to as release of factors text by Securities Act Relations forward-looking of this to Act statements forward-looking the associated as at Litigation department over with the

Phil Green

who's A.B. Frost managing an Thanks to relations Parker investor and investor also for us. Greg job welcome outstanding like past Greg thank relations the I'd for XX the for to done about team, years. and been has

per compared year. for Thanks same share, So represents also up our last Greg, provide and or Cullen/Frost questions. will $XXX.X In everyone. common Today Operational joining for thank additional your Jerry the quarter which Cullen/Frost to $X.XX quarter morning you Officer, and Good it increase earned us. quarter results congratulations review on in with comments XX% we your new second Chief Risk. role Salinas million I’ll Financial a second the open before diluted

result our on in with several organic reached bankers the nine years. average excellent Our earnings, X.XX% in sustainable, of solid the focusing we quarter, that over return the quarters, the quarter average, growth. total were executing Along quarterly past discussed the second strategy Frost on the earnings second above assets highest

details go elements that Now like this to offer some I’d growth. about the into

to We our maintaining our quality loan standards. while continue build portfolio

During billion more over estate the loans grew year. real just average C&I billion. XX% increase $X.X second than quarter, the XX% This were and of or quarter an XX%. versus represents loans second last $XX.X loans grew commercial

standards. $X.X was That’s prior improvement provision $XX of million Net the $X.X second $XX.X million second XXXX. quarter the the million and $XXX.X million for the lowest in in of second problem of second the end million $XXX.X $X.X quarter second quality loan the This our downturn. in assets and maintaining quarter to XX% than losses year. were quarter Non-performing XXXX last quarter. $XX.X level total and was three loan in in the levels energy lower matches from in down that loans million million quarter. of first to the in Our in the it quarter. years the in Potential The million, the totaled credit and more second $X.X compared in represents first totaled charge-offs and continued compared first the higher at with million quarter

of the second a second growth quarter do which and to our total them competitive compared us XX million mix energy a energy last accruing in for level $XX.X industries basis our basis they net below linked decreased nearly second $XX includes product well XXXX. about $XX.X were down at portfolio percentage the or second that’s second app; in and years. and a well delinquencies about second loans same the positioned averaged of total period-end the half As dropped year. our for prospects industry do by loans XX% award attract and are quarter Almost quarter year with past customers charge-offs winning generally, our mobile consumer account energy tell loan loans. quarter That In service serve Outstanding higher in from Total In our just store and experienced $X.XXX Bank expected, points of million new value to to origination increasing which end we standards continue Frost than the On the of up a with XXXX. XX% account strong billion average we but last Overall proposition. where XX we XX% XX% proposition to well. in we've channel, define to and loans, quarter. risk online Frost represented the were in deposits loans ago. two to basis second annualized sales end loans. openings of of a well or $XXX the quarter optimistic the our of their first customers. points quarter problem the growth quarter the of Texas Average billion quarter is of is within and were in unannualized X.X% in value came from increasing quarter as what future continued comparable over grade in by in number our banking, consumer XX X% higher than more second remains than billion Other compared loans. markets portfolio year. for at X% compared of to The peak our business, a is activity The the of the our more X.X%

by commercial On year. loan year-to-date up side, compared X% opportunities are with new the last

from which impacted the new opportunities energy is and finance XX% XX%. year which However, down were by this down opportunities ago public were

while new real-estate commercial by were regular However, increased commercial opportunities opportunities X%, up X%.

X%. and were component XX%. energy new loan the from commitments regular booked up Both was at commercial quarter, the second the was decline real-estate ago the now in however down overall Looking commitments year and X%, C&I new

early commercial an period for was last strong extremely we quarter, XXXX As real-estate. mentioned

However segments typically the portfolio from up increasing. quarter link to loan I’m from commitments seasonally pipeline, quarter glad year booked weaker. to was see that on is solid quarter the growth the regard With of second by quarter with previous the the Remember a all loan comparison new shows active current first first X%.

Finally, of and growth. relationships wad provide our strategy building steady in loan to million sustainable core redefined loan size as help portfolio our $XX organic under continues

of new quarter year. commitments accounted $XX second for in up the For second booked, quarter XX% the under XX% from commitments million last

able top say particularly. year increase report me that by by care Frost taking often Let are were I’m to pleased and able not do and to of XX% this at earnings. with service They you what offering this our quarter quality in a achieve people customers, them It's extremely We've a having it our make customer XXX a safe better. They us people's at lives to a experience experiences fair all, years doing and excellence sound shown that do provide place towards great most positive, for attitude optimistic and price. now the business value provide and of they been of growth. has that in

benefit term that. in Our times relationships hardworking Frost to and build them good want bad banker's and for with everyone our customers thank I long that

Officer, Jerry I'll call our Chief for Salinas comments. the turn Now to Financial additional some over

Jerry Salinas

average. full provide expanded Texas the enclosed to general X%; growth guidance before decrease the unemployment. add June has The X.X% qualified a to few U.S. national decade year Phil. Based Texas information Fed that and Thank to four quarter, same Texas a challenging unemployment find continues than economy the rate XXXX. that Reserve’s job the market are Dallas about Dallas tight on for expand I’ll jobs employment in X%. year-to-date. Texas our I According comments low XXX,XXX make forecast, XXXX. in Texas branch, workers. labor for Tight with new The economy at labor additional historically financial about to some Texas markets XXXX and near you, low The as should amid more performance the projects Federal our Texas businesses a

expansion services Midland-Odessa's four fell Employment in According Goods fee. Looking in with San also and briskly XX% services higher Growth producing rate the Metroplex jobs Job metro rapidly of expanded across employment in professional although first declines. its the the annualized March annualized grew the than mixed increasing. goods is was Energy now rate to X.X% Energy and and months, jobs at Fort Huston with the industries Worth. Fort unemployment construction and year-to-date. at low the XX% X.X% fastest biggest an through has economy Dallas months and sectors. six record grew an in hospitality in business June The this leisure to Payrolls X.X% hospitality is surging labor in X.X% a previous X.X% steady X.X%. Dallas-Fort Growth is the in than are low X.X% lowest major is rate in annualized added unemployment Permian employment in state. is than and X.X% Houston’s of areas. employment rate have more Worth. and manufacturing. unemployment. decline. to Austin widespread low growing Dallas are mining, for fell the the June, up in in robust The and at unemployment gains while its growing The from the in The across largest Antonio force pre-bust unemployment. that’s Austin’s fed, X.X%. jobs three Midland-Odessa expanded Basin was jobs sector, is X.X% to year May, manufacturing, manufacturing this to were industries; pace. year. are San economy X%. all sector The June rate annualized producing X.X% new during in X.X% is Dallas. months. unemployment lowest Permian Worth to in unemployment among June, the a in June, years. at Basin healthcare fell and Huston’s in markets, Dallas professional about consecutive during in Year-to-date leisure individual employment up three Antonio’s economy continue June

Fed a XXXX. as the Texas Dallas job projects growth X% in For whole

our and interest up XX last Fed the of primarily favorable X.XX% loan basis was at our effect the balances reported yields moving loans on points performance, and volumes. the to Now quarter was financial Driving percentage a for net the quarter. margin higher X.XX%, from earning increase second assets, higher

quarter. was second the points invested environment. quarter the Fed effect partly a first driven the the quarter during second by The cost In the reported X.XX% addition, offset interest yield had were positive the a higher rate taxable in the for favorable These on variances at long basis assets net the deposit equivalent margin by X.XX% in proportion during percentage. quarter, XX lower balance the earning up of second higher from

of average the investment second our billion. investment equivalent portfolio the quarter averaged was the billion investment first $XX.X The up from taxable at about with in total on the the million quarter, flat quarter, portfolio the portfolio, $XX.X yield Looking $XX X.XX% first quarter. during second

about second bond first $X.X the the $XX municipal about averaged from quarter, up million Our during portfolio quarter. billion

During the second equivalent quarter taxable about yield purchased the $XXX second XX% about quarter basis in of portfolio X the municipal quarter. X.X% previous municipal pre-refunded the we securities municipal taxable a with was of portfolio points At PSF-insured. X%. equivalent down the quarter The the yields had end of for the second or million from about of

a to tax X.X% net the tax option benefit quarter, the the lower reported rate settlements by XX.X% basis during income XX.X%. On second the from a for effective compared stock was the was higher and impacted rate first. our Regarding up our quarter effective from quarter taxes, income year-to-date as last

of XXXX. the for for estimates I'll turn reasonable, XXXX full in that given to is year mean the Phil back outlook $X.XX over another Estimates of estimates September. believe for that, currently With rate of for now the we the regarding year analyst the call for our year full earnings, current XXXX assumption the questions. Regarding hike

Phil Green

with and open we’ll questions. that call the for Jerry, Thanks

Operator

Instructions). (Operator

Our from line of Lynch. today of Merrill question of first Ebrahim Bank comes the America Poonawala

Your line open.

Ebrahim Poonawala

guys. morning Good

Phil Green

morning. Good

Ebrahim Poonawala

the on the you we've whether were where the cost a deposits change grow a of I a guess front, decline basis. I talk if to that Phil those quarter-over-quarter? end expect pretty dynamics the – deposits. in mean, deposit the and on of we touch upon you little half in the terms saw Jerry Average better. in to back first, of or If you So seen period year about can sharp can just balances growth wanted the

Phil Green

because thing kind Sure, to next, averages. those period one end a fluctuate much from to its period so period tend if more the really so we soft Ebrahim, end rock, but focus day you end of on to one the certainly balances

example, of for we demand growth guess billion the year-over-year actually our were I about look looking, X.X% to X.X%. you're if what the if XX% quarter for at They about quarter-over-quarter year us deposits deposits. know and second our we're was saw you which of last average a So down $XX.X really I or showing were about compared

we're is So really in decrease commercial seeing those that's balances. where the and

example. to business, Our year. the what really their dollars interest X.X% up but customers, bearing to some alternatives available the look with saying are for be the using deposits into rest accounts the seeing customers we're accounts The second going we pressure in is the some suite quarter compared of year, were there and actually balances as are is last grow through we to to moving

of assuming We're fourth sort we’ll a and latter the see seasonally going right really quarter, really the for now that we us, For have part typically of our third the same trend in year. show. and that's what up pickup that projections starting

Ebrahim Poonawala

change Understood, deposit of the cost for provide bearing the interest and quarter. if you a in could

Phil Green

Sure.

So the from the going to – quarter was basis cost first went total for points, up XX. XX

Ebrahim Poonawala

just what's And rate we to and continue deposit we Understood. a what’s that XXX, front. get hike expectation on like sort hike should margin. on to higher hike, when margin the your the moving think the margin? adding about expectation for the If sort and the without the of of based with the don't the trend to It outlook

Phil Green

on the Well, again is know is you deposits. what interest discussed, say what know you of happens we as that margin benefit with I'd dependent some on net

but it'll on year. continue The margin we up. get interest volume. right to better deposit rate without the again the numbers, because or increase up dependent either latter through the now those obviously the trend June wise of be completely percentage that this our impact the if will in trend September, of isn't hiked will way projections increase, in the but Really assume September with part Our

Ebrahim Poonawala

of it, we Got X% think for is sub expense year-over-year question, last or Do terms X% ranger and running end right like to to that in expenses in expect to about year still moving the XXXX? just expenses, the way we’re growth. growth expense X%

Phil Green

comfortable I No, say, because and still the in last need is costs what year I I've year's I'm what think with. know given careful it again. are and last we we year, remember guidance would to expenses they this I think What network with you be said, the made

out are So guidance if still you network were if million, that's X.X% we'd $XX costs, like and projected just from about be out we ‘XX the at million in I’ve a and $XXX expenses, just you're up that they good the given is that number.

Ebrahim Poonawala

Got questions. you for taking it. Thank my

Operator

comes Your next Demba a of line from SunTrust. Jennifer question of

open. is line Your

Jennifer Demba

most were if you Where I the the quarter. competition structure talk opportunities about was most seeing maybe just loan and wondering dynamics the during could Thanks. the where you you pricing were competition? and saw

Phil Green

no to long it be of shows signs it side a – and it On been for continues way that the long, competition continues to tough. know time you be It's abating.

competition the side, – sense see the you is of a think on my price right loans particularly so fixed banks because area, that that to of community which on that. the probably biggest see I aggressively, the tend price level you would you that's probably in I lot where smaller think rate it's that get

that's C&I seen the those growing owner an consumer we've think – they expedited tend I partly tend far do tend to focus loans growth good really think heard coming because part occupied I about the to portfolio this mean, loans and C&I as the that's lender, on our that's when be you part C&I focus CRE. energy and been I to you’ve wheel and where And transactions some of big biggest C&I, core the good, most part. they our Obviously you that's give been we're we is and great from, of think As then because a area partly and I it's on well. been are and be because those to really us that’s but know – has well for CRE authority. has with that to people The balanced. We execute of final C&I in as house. our in the most growth our more not be that's been know authority of basis talk our

Jennifer Demba

you. Thank

Phil Green

Thanks.

Operator

comes of from Your line the next question Deutsche Rochester Dave Bank. of

is line Your open.

Dave Rochester

Hey, good morning guys.

Phil Green

Good morning Dave.

Dave Rochester

FDIC get was expense the I curious, surcharge? year for off how of the next for just in you expecting roll much to XXXX, of are savings way the

Phil Green

projecting $X we're number tax that in Dave, million with million yeah. $X the to obviously range,

Dave Rochester

that half in drop the then head was to back into security out you And we the that Great! as quarter, expecting this year? are expense data of the

Jerry Salinas

a communication that there's of know lot happened You early.

So it, anytime yeah you its I a get relates that to as up would the like data would you whatever. mean that regulatory, into intrusion it's it I lighten but some, issues, whether think or legal part that of know process,

there know that biggest process, you we some in will activity we'll amount sure through that I'm previous go ancillary so the as of And see but that costs. be quarter. was

Dave Rochester

Yeah okay, guys noted you you raised quarter. a if those you you to that about on rates your so on have and curious deposits know that on so I positive increases impact it few give average a back look just then on talk just to could times maybe quarter. positive already where that was like deposits far have I trended and an flows this switching this had know the have just just NIM, sounds had if trend, early quarter, this

Phil Green

a I comments had in. are changes. feel they've Yeah, great they – a a impact. can Jerry make just and of think had definitely I’ll We’ve positive couple

growth X.X% rates. did action a believe on negative we around like really that would or had up we're and taken interest increasing if number time curious been we so not the I year-over-year deposit think have I in

Dave Rochester

average quarter, so the far? on you then far that growth seeing there so balances And are this

Jerry Salinas

Let quick. Dave me grab information here real some

– we basically You I’d right little say that now probably I you on average. will flat, maybe about you are now know we’re know a know what up bit seeing you is that, tell

Dave Rochester

just and okay one great Okay, last then one.

It have from loan into that know growth ago. looks was and was pipeline you I the you quarter-over-quarter were some was great guys heading verses You it like XQ pipeline this up quarter XQ. year how the heading into a how I curious saying just curious looks. just sounded

Phil Green

your pipeline, up look linked current you on at basis, by, a gross on X%. by it up active a basis pipeline the If was quarter

quarter-over-quarter, three the our outlook the and To year. basis good changed It weighted loans still been that’s we've me, So looks an parkland I expecting for this [ph]. and few last from think good. park still looks hasn't for quarters what over

Dave Rochester

not just on expands XQ, them guess or the quarter, I rest one enough then rate and though expecting saying you were of you you having end full in you September, had you're even end still And you're to just to one rate NIM the the the year. you sounded – back did think benefit the not were from to not that get that's or it or saying see I June to expanding you whether whether the in year, impact of is this this you It the through in hike expand quarter and amount rate some not second because last think going of NIM. can you guess that of like next September get the the the hike that another hike

Jerry Salinas

trending that was up. Dave really its said I all Yeah,

know numbers. think it hike, need June in rate if in factor obviously it was I hike, we we the that so with but the late just its to will all better, get rate June look really to that You September things

Dave Rochester

on Yeah, the that obviously, side, the yeah. to incorporates calls that increases all deposit made and you've

guys. Okay, thanks great,

Operator

comes Steven next of Your question JPMorgan. the Instructions) (Operator line Alexopoulos of from

Your open. line is

Alex Lau

This want guys. before deposit on Good from on costs. just Alex for morning to Steve. is question touch I a on

total You cost mentioned to that's the XX XX right? basis on deposits, points, of

Jerry Salinas

yes. XX to from Right, XX

Alex Lau

on helps. that for quarter the timers expenses, were on Got any there it, just one touch in just a okay. then touching and It you can bit? And

Jerry Salinas

that to that of foundation, the tried unique. mentioned. contribution and Then the had unique. the a kind another to We IT we’re did incident the settlements so costs, like in were I during of identify have things I then had $XXX,XXX kind that to charitable we we related our think quarter, $XXX,XXX Yeah, $XXX,XXX we quarter settlement in

Alex Lau

basis? and it, Got year-over-year on that’s a

Phil Green

would are yes, numbers numbers Yes. are if actually against They but second the those unique comparison be quarter. will, in – the you distinct the

comparison the they of numbers. numbers, are regardless So distinct discreet

Alex Lau

got Okay, it.

Jerry Salinas

you that? Did get

Alex Lau

banks just the have more in you Yeah, what can you're helpful. about And seeing commercial been CRE irrational, a estate competitive touch real given the then on what and of the saying even in market space? some

Phil Green

us know competition as see about we’re got is banking the on it not focus doing not transactions, is – obviously some we’re strong, commercial it's people, real always you strong. great thing Well, projects. we and again, estate. is remember to but The things, we’re strong And know to relationships and relates competition you and banking we’ve equity

there are well. terms careful retail and what But that you we looking changing, are underwritten even, and developers think were good was in great You the you're strong doing really in but We're a opportunity how be Texas, I out for. with also that great bit think changing careful residential got good pipeline customers you down some to is opportunity last see of we support we've plenty see as economy from it opportunities multi-family are are there to good, projects. things that. what to year, good although the and industrial being continues Obviously, period as little you good we’re they such is are I continuing know still very the got for because to and said year, be see got in some a we’ve but and and careful, that last being that know of is we’re customers, side, know I strong so.

work as to I be to describe you got we great we do the careful, as don't but of you view, to think So know our irrational – particularly point customers. accurate, with be relate it would from

Alex Lau

my Thanks for taking Great. question.

Operator

from of comes Brady next with a KBW. question Gailey Your line

is line open. Your

Brady Gailey

guys. morning Yeah, Good thank you.

Phil Green

Hey Brady.

Jerry Salinas

Hey Brady.

Brady Gailey

cost another more at up sense, makes they So just are When linked that's in which That’s XX an you to you is your basis know just looking everybody think beta. at I all where you’ve deposits, at that’s costs. points totally betas take forward, increase you you total get deposit on the seen you question the want will where deposit headed. about the on deposit past, of quarter. points, it But look know just of mean I look XX if than XX% basis be?

We’re and to seeing peers to time? to that over you know up pay your some you think do of will closer that XX% Frost XX% get deposit level

Phil Green

lighthearted were We on earlier. that

we you our we've go at why know that to is July think growth. If you to you back year know we're reason levels because been year, some able I a lifting not those show is ago, heavy last one did which

know. look I and eye flexibility an Brady you for know terms just table of flows got any we’re We’ll have don’t future in think we’ve on see on a some we'll keep frankly comments Jerry, take you increases at the that to the the I it? deposit betas market, bringing and

Jerry Salinas

XXX%. No, agree with I I you think

know you same they amount as feel accordingly. think same peers, today at I lot a we're if and in to are. we do we year seems pressure think the have real Brady, be said, I the the of ago, flexibility way because place so of that’s but that heavy some not Phil it looking lifting as Alright the did fast, as able is it, don't I’m sorry of and we then, more the a we’re move

Brady Gailey

a then Yeah, demand and of commercial like you some balances from deposits. were this little bit know deposit down your it quarter, sounds

your deposits, You at see is XX%. know to but ratio never I same time like you only down know the loan-to-deposit

So would if that bay? deposit shrinkage mean fine you be keep seeing deposit a costs more little I at helped

Phil Green

I value is. we're trying our sure make working really Honestly, grow is I think no. organically proposition to and and mean it

leave to in we’re if mentioned really and costs what activity I is so use a opportunity plus going that and in seeing and seeing most so we're the is, the here that is interesting are Jerry you and cash money think commercial Texas you the is have be just that's to opportunities now, business people I think you area know to strong, higher see.

You it’s up I categories strong you it's think not keep that know transactional accounts lifting know bearing and said, deposit, so know that’s a we've source you if deposit the to up, interest low funding are as and are if somewhat in value be we’ve that's proposition any interesting done checking that's commercial going consumer a a and – the account see. it's the and to cost thing to area,

the had You over we've been know growth sector had commercial in if you customers. look has we've at commercial, of in XXX% the new the growth from

side. the So current side; than customer in you've seen consumer the different base. XX/XX growth its diminishment from our That's consumer roughly new customer and on augmentation

that at have that job relationships for commercial our continue we grow all the in had it. long really to you we’re new I going and some good really we this in some really while rates at happy to it we'll work funding there. continue up to see point term with dynamic have. it have the of then seeing kind diminishment know, which and as and from the base But again growth am account the then That's I we're and go in done at really think got So commercial stick relationships, around what We've pretty reach and balances, to and revolves customer some people we’ll to go we're just equilibrium growing got area.

Brady Gailey

in Well, change just much the finally last XQ. of quarter It for me, bond like and that the then book duration didn't was sounds X.X years.

Jerry Salinas

that's think I right. Yeah,

I didn’t that’s I why so to was think that really it anything, maybe X.X, down yes. say

Brady Gailey

guys. thanks Great,

Phil Green

Sure.

Operator

Arfstrom question RBC Capital next from comes the of Markets. of Jon Your line

Your line is open.

Jon Arfstrom

morning Thanks, guys. good

Phil Green

Good morning Jon.

Jon Arfstrom

on think Hey, of about that talked I numbers few some that consumer hear unannualized. X.X% a follow that you Phil, just a little said bit up correctly? origination account you new the outsized. I ups on seems did Is –

Phil Green

right, more. year a same store open for stores that have That or been sales,

Jon Arfstrom

if number, It unannualized. bit a you it's Can that? a little talk seems about strong like that's

Phil Green

you because is first Yeah, we you some looked it the if surprise say a at – know is it let’s to at seasonality were really that, real big which to down Grande so weak. a that was out was a that me strong know in that wouldn’t you market got quarter, the little because, Valley bit use isn't quarter of Probably number. look you largely you year-over-year growth, But got a because they and best really we exited. in this lot, because had and Capital one as increase One the know

out the you same Valley Rio look growth and it been So at Grande took would store if looked year-over-year and X.X%. you – have sales,

you annualizing mean so and good in, like first look the store you I were And you up up quarter, still you up XX%; X%, Permian County Basin know just sales markets same some over over was XX%; so those really know growth over we XX.X%; it's that's but are was major you at – not was know know if Tarrant the Dallas was examples. Houston up

working know think proposition I so. and we’re value that, on good you is our hard

Jon Arfstrom

here, that helps. other Two that things one seemed outsized. other number good, Okay,

that that XX% is You tolerance risk something quarter. from the you’d ago talked number? there about call new energy else year or happening opportunities your out want on to down Is that

Phil Green

we’re the it's lot us, just business. making want that line I do to could a doing pruning of is more we’re so that if really think to opportunity portfolio, that a it's you call. sure that things our really good in wanted really ones It know – the mainly are we We for us do. we

Jon Arfstrom

have. I question last Okay,

loan presence have that think geographic where You $XX portfolio $XX your of called that’s million of you the, have talked Would any I be what million your market? in market you you share under the and would commitments. XX% idea about core it under

Phil Green

let I've general a you know numbers up and just for seen come give that You with me we’ve feel it.

If and far big not XXX, big share size, under with that I for is look And at too mean the XX look under your from looking kind the XXX market Chase off fail. our sell X, side. is opened to under on us from and the at $XXX you if just XXX, companies sales it say look it sometimes of million under so then you at and under you at

probably a at of of you Chase that our between in this looking other year that sort sort they company big segment. and not twice our size, more mean XXX is that off I know the the of size, as X. far we're two We’re have we’re times

a usually really we we’d some we’ve think companies that’s job, share good are only that there. in but doing I that play are than lot the they’re been Texas, course area, us frankly Of and for and numbers taking in a actually bigger big the

Jon Arfstrom

thank Alright, you. Okay.

Operator

in I’ll back queue for no are the call closing to there And Mr. questions this at Green remarks. any turn further time.

Phil Green

support your the of call. for is us you thank that end appreciate you our and we joining We today. Well,

Operator

conference today’s This call. concludes

You may now disconnect.

Cullen/Frost Bankers (CFR) 27 Jul 182018 Q2 Earnings call transcript