SOURCE: Univest Corporation of Pennsylvania
July 28, 2010 14:48 ET
Univest Corporation of Pennsylvania -- Univest National Bank and Trust Co. -- Reports Second Quarter Earnings
SOUDERTON, PA--(Marketwire - July 28, 2010) - Univest Corporation of Pennsylvania (NASDAQ: UVSP), a locally-owned, full-service financial institution with 134 years
of experience in delivering financial solutions including personal and business banking, online banking, residential mortgages, insurance
products, investment and wealth advisory solutions today announced
financial results for the second quarter. Univest reported net income of
$3.7 million or $0.23 diluted earnings per share for the quarter ended June
30, 2010, compared to $3.0 million or $0.18 diluted earnings per share in
the previous quarter ended March 31, 2010 and $2.7 million or $0.21 diluted
earnings per share for the comparable period in the prior year. Net income
for the six months ended June 30, 2010 was $6.7 million or $0.40 diluted
earnings per share, compared to $6.5 million or $0.50 diluted earnings per
share for the comparable period in the prior year.
Deposits
Total non-time deposits increased $38.4 million during the quarter and have
increased $66.4 million year to date. The increase during the second
quarter consisted of increases of $9.0 million in non-interest bearing
deposits and $29.4 million in NOW, money market and savings accounts. Time
deposits remained relatively flat, declining slightly by $1.3 million
during the second quarter.
Loans
Gross loans and leases increased by $21.3 million during the quarter.
While overall loan demand remains light primarily due to less credit demand
and utilization of lines by businesses responding to the current economic
environment, there continues to be opportunities due to disruption in
Univest's local markets.
Net Interest Income and Margin
Net interest income increased $1.1 million or 6.42% to $18.3 million in the
second quarter of 2010 compared to the second quarter of 2009. The net
interest margin on a tax-equivalent basis for the second quarter of 2010
increased 12 basis points to 4.11% from 3.99% for the first quarter ended
March 31, 2010, and 24 basis points compared to 3.87% for the second
quarter of 2009.
Net interest income of $35.4 million increased $1.9 million or 5.56%
compared to the six months ended June 30, 2009. The net interest margin on
a tax-equivalent basis for the six months ended June 30, 2010 increased 23
basis points to 4.05% from 3.82% for the six months ended June 30, 2009.
The increase in the net interest income and the net interest margin for the
quarter and year to date can be attributed to declines in the cost of
interest-bearing liabilities, primarily time deposits and Federal Home Loan
Bank (FHLB) borrowings, exceeding the declines in yields on total
interest-earning assets. The Corporation has continued to experience core
deposit growth which has allowed the Corporation to continue to repay its
maturing FHLB advances reducing FHLB advances from $92 million at December
31, 2009 to $54 million at June 30, 2010. All but $5 million of the
Corporation's FHLB advances are scheduled to mature in 2010.
Non-Interest Income
Total non-interest income increased 2.98% for the quarter ended June 30,
2010 compared to the quarter ended June 30, 2009. For the quarter ended
June 30, 2010, Univest reported total non-interest income of $8.1 million
compared to $7.8 million for the comparable period in the prior year.
Non-interest income during the quarter ended June 30, 2010 was negatively
impacted by $516 thousand related to a fair value write-down on the
ineffective portion of a fair value swap, due to the decline in interest
rates during the quarter, compared to income of $285 thousand in the second
quarter of 2009 related to the swap. Additionally, the second quarter of
2009 was impacted by $223 thousand of other than temporary impairments on
the Corporation's bank equity portfolio. For the quarter ended June 30,
2010, other than temporary impairments declined to $42 thousand. Excluding
these non-cash items, total non-interest income increased 10.99% or $853
thousand compared to the second quarter ended June 30, 2009. This is
attributed to increased trust fee income, service charges on deposits due
to the growth in deposits and strong investment advisory commission and fee
income.
Total non-interest income for the six months ended June 30, 2010 increased
$2.3 million compared to the six months ended June 30, 2009, due to
increased income from trust fees, service charges on deposit accounts,
investment advisory commissions and fees and insurance commissions and fees
offset by fair value write-downs on the ineffective portion of a fair value
swap for the six months ended June 30, 2010 of $826 thousand compared to
income related to this swap of $281 thousand recorded in the comparable
period in the prior year. Additionally, the six months ended June 30, 2009
was impacted by $1.4 million of other than temporary impairments on bank
equity securities compared to $47 thousand of other than temporary
impairments recorded in the six months ended June 30, 2010. Excluding
these non-cash write-downs and impairments, non-interest income increased
$2.0 million or 13.36% for the six months ended June 30, 2010 compared to
2009.
Non-Interest Expense
Non-interest expense for the second quarter of 2010 increased slightly
compared to the second quarter of 2009 by $119 thousand. The second
quarter of 2009 was impacted by the FDIC special assessment which impacted
all banks and cost Univest $947 thousand. Excluding this charge,
non-interest expense increased $1.1 million or 6.73% compared to the second
quarter in the prior year primarily due to increased FDIC insurance expense
of $133 thousand and increased advertising and marketing expenses of $600
thousand to support a major brand campaign to position the Corporation to
take advantage of the disruption in its local markets.
For the six months ended June 30, 2010, non-interest expenses increased
$1.7 million or 5.25% compared to the same period in the prior year.
Excluding the FDIC special assessment discussed previously, non-interest
expenses for the six months ended June 30, 2010 increased $2.6 million or
8.43% primarily due to increased FDIC insurance expense of $147 thousand,
increased advertising and marketing expenses of $1.1 million for the brand
campaign discussed earlier, and increased salaries and benefits expenses of
$431 thousand due to investments in personnel to grow the Corporation's
mortgage banking and commercial lending capabilities. Other increases
occurred as a result of increased audit expense and legal fees for
nonperforming loan activity.
Asset Quality and Provision for Loan and Lease Losses
Nonaccrual loans and leases decreased $5.3 million during the second
quarter and were $29.5 million at June 30, 2010 compared to $34.9 million
at March 31, 2010 and $5.8 million at June 30, 2009. Nonperforming loans
and leases as a percentage of total loans and leases equaled 2.23% at June
30, 2010 down from 2.58% at March 31, 2010. The provision for loan and
lease losses was $4.9 million for both the second and first quarters of
2010 compared to $5.4 million for the quarter ended June 30, 2009. The
allowance for loan and lease losses as a percentage of total loans and
leases increased to 2.01% at June 30, 2010 from 1.90% at March 31, 2010 as
the provision for loan and lease losses exceeded net-charge-offs by $2.0
million. The allowance for loan and lease losses was 1.29% at June 30,
2009. The allowance for loan and lease losses to nonperforming loans and
leases equaled 90.08% at June 30, 2010, which increased from 73.45% at
March 31, 2010, due to the decrease in nonperforming loans and leases. The
allowance for loan and lease losses to nonperforming loans and leases was
172.30% at June 30, 2009.
Capital
Univest continues to remain well-capitalized at June 30, 2010. Univest's
total risk-based capital at June 30, 2010 was 15.58%, well in excess of the
regulatory minimum for well capitalized status of 10% for total risk-based
capital.
Dividend
On July 1, 2010, Univest Corporation paid a quarterly cash dividend of
$0.20 per share, which represented a 4.66% annualized yield based on the
closing price of Univest's stock on the date the dividend was paid.
About Univest Corporation
Headquartered in Souderton, Pa., Univest Corporation of Pennsylvania
(www.univest.net) and its subsidiaries serve the financial needs of
residents, businesses, and nonprofit organizations in Bucks, Chester,
Montgomery and Lehigh counties. Univest National Bank and Trust Co.,
member FDIC and Equal Housing Lender, offers customers 32 financial service
centers, 12 retirement financial services centers, and 39 ATM locations
throughout the region, and is the parent company of Univest Capital, Inc.,
a small ticket commercial finance business; Univest Insurance, Inc., an
independent insurance agency headquartered in Lansdale, Pa., which serves
commercial and personal customers; and Univest Investments, Inc., Member
FINRA and SIPC, a full-service broker-dealer and investment advisory firm.
For more information on Univest Corporation of Pennsylvania and its
subsidiaries, please visit www.univest.net.
This press release of Univest Corporation and the reports Univest
Corporation files with the Securities and Exchange Commission often contain
"forward-looking statements" relating to present or future trends or
factors affecting the banking industry and, specifically, the financial
operations, markets and products of Univest Corporation. These
forward-looking statements involve certain risks and uncertainties. There
are a number of important factors that could cause Univest Corporation's
future results to differ materially from historical performance or
projected performance. These factors include, but are not limited to: (1) a
significant increase in competitive pressures among financial institutions;
(2) changes in the interest rate environment that may reduce net interest
margins; (3) changes in prepayment speeds, loan sale volumes, charge-offs
and loan loss provisions; (4) general economic conditions; (5) legislative
or regulatory changes that may adversely affect the businesses in which
Univest Corporation is engaged; (6) technological issues which may
adversely affect Univest Corporation's financial operations or customers;
(7) changes in the securities markets or (8) risk factors mentioned in the
reports and registration statements Univest Corporation files with the
Securities and Exchange Commission. Univest Corporation undertakes no
obligation to revise these forward-looking statements or to reflect events
or circumstances after the date of this press release.
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
June 30, 2010
(Dollars in thousands)
Balance Sheet
(Period
End) 06/30/10 03/31/10 12/31/09 09/30/09 06/30/09
----------- ----------- ----------- ----------- -----------
Assets $ 2,088,572 $ 2,064,822 $ 2,085,421 $ 2,117,849 $ 2,086,821
Securities 434,677 436,368 420,045 472,491 425,774
Loans held
for sale 2,485 1,165 1,693 1,439 1,119
Loans and
leases,
gross 1,449,147 1,427,805 1,425,980 1,451,128 1,464,886
Allowance
for loan
and lease
losses 29,109 27,065 24,798 21,945 18,824
Loans and
leases,
net 1,420,038 1,400,740 1,401,182 1,429,183 1,446,062
Total
deposits 1,609,772 1,572,681 1,564,257 1,536,903 1,565,076
Non-interest
bearing
deposits 255,880 246,909 242,691 226,395 222,877
NOW, Money
Market
and
Savings 924,242 894,799 871,024 812,122 833,825
Time
deposits 429,650 430,973 450,542 498,386 508,374
Borrowings 171,824 187,637 214,063 267,821 265,457
Shareholders'
equity 269,524 267,850 267,807 268,052 208,358
Balance Sheet
(Average) For the three months ended,
---------------------------------------------------------------
06/30/10 03/31/10 12/31/09 09/30/09 06/30/09
----------- ----------- ----------- ----------- -----------
Assets $ 2,090,930 $ 2,038,739 $ 2,096,945 $ 2,098,964 $ 2,077,565
Securities 442,902 409,188 454,096 447,925 413,142
Loans and
leases,
gross 1,425,278 1,420,830 1,438,880 1,456,446 1,471,243
Deposits 1,606,621 1,537,676 1,553,308 1,547,436 1,560,317
Shareholders'
equity 269,902 269,030 267,645 240,267 208,321
For the six months ended,
------------------------
06/30/10 06/30/09
----------- -----------
Assets $ 2,064,970 $ 2,068,700
Securities 426,138 416,550
Loans and
leases,
gross 1,423,066 1,458,768
Deposits 1,572,338 1,558,152
Shareholders'
equity 269,469 206,443
Asset Quality
Data (Period
End)
06/30/10 03/31/10 12/31/09 09/30/09 06/30/09
----------- ----------- ----------- ----------- -----------
Nonaccrual
loans and
leases $ 29,541 $ 34,856 $ 33,498 $ 33,116 $ 5,762
Accruing
loans and
leases 90
days or
more past
due 1,276 303 726 644 1,839
Troubled debt
restructured 1,499 1,691 3,611 3,216 3,324
Other real
estate owned 1,827 2,453 3,428 3,330 2,812
Nonperforming
assets 34,143 39,303 41,263 40,306 13,737
Allowance for
loan and
lease losses 29,109 27,065 24,798 21,945 18,824
Nonperforming
loans and
leases /
Loans and
leases 2.23% 2.58% 2.65% 2.55% 0.75%
Allowance
for loan
and lease
losses /
Loans and
leases 2.01% 1.90% 1.74% 1.51% 1.29%
Allowance
for loan
and lease
losses /
Nonperforming
loans 90.08% 73.45% 65.54% 59.35% 172.30%
For the three months ended,
---------------------------------------------------------------
06/30/10 03/31/10 12/31/09 09/30/09 06/30/09
----------- ----------- ----------- ----------- -----------
Net loan
and lease
charge
-offs $ 2,821 $ 2,628 $ 4,595 $ 2,807 $ 1,249
Net loan
and lease
charge-offs
(annualized)
/Average
loans and
leases 0.79% 0.75% 1.27% 0.76% 0.34%
For the six months ended,
------------------------
06/30/10 06/30/09
----------- -----------
Net loan
and lease
charge
-offs $ 5,449 $ 1,802
Net loan
and lease
charge-offs
(annualized)
/Average
loans and
leases 0.77% 0.25%
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
June 30, 2010
(Dollars in thousands, except per share data)
For the three months ended,
----------------------------------------------------------
For the period: 06/30/10 03/31/10 12/31/09 09/30/09 06/30/09
---------- ---------- ---------- ---------- ----------
Interest income $ 22,878 $ 22,485 $ 23,184 $ 24,244 $ 24,529
Interest
expense 4,602 5,380 6,409 6,901 7,356
---------- ---------- ---------- ---------- ----------
Net interest
income 18,276 17,105 16,775 17,343 17,173
Provision for
loan and lease
losses 4,865 4,895 7,449 5,928 5,353
---------- ---------- ---------- ---------- ----------
Net interest
income after
provision 13,411 12,210 9,326 11,415 11,820
Noninterest
income:
Trust fee income 1,500 1,500 1,461 1,325 1,325
Service charges
on deposit
accounts 1,812 1,782 1,986 1,745 1,692
Investment
advisory
commission
and fee income 1,152 1,056 1,025 876 766
Insurance
commissions
and fee income 1,896 2,243 1,514 1,470 1,964
Bank owned life
insurance income 202 332 351 405 408
Other-than
-temporary
impairment (42) (5) (761) (47) (223)
Net gain (loss)
on sales of
securities 38 49 1,023 112 (22)
Gain on sales of
loans held for
sale 278 360 891 401 669
Other income 1,223 890 1,329 811 1,247
---------- ---------- ---------- ---------- ----------
Total noninterest
income 8,059 8,207 8,819 7,098 7,826
Noninterest
expense
Salaries and
benefits 9,469 9,811 9,755 8,818 9,417
Premises and
equipment 2,209 2,292 2,138 2,216 2,125
Deposit
insurance
premiums 663 597 599 526 1,477
Other expense 4,568 4,379 4,976 4,003 3,771
---------- ---------- ---------- ---------- ----------
Total noninterest
expense 16,909 17,079 17,468 15,563 16,790
---------- ---------- ---------- ---------- ----------
Income before
taxes 4,561 3,338 677 2,950 2,856
Applicable
income taxes 831 368 (845) 197 187
---------- ---------- ---------- ---------- ----------
Net income $ 3,730 $ 2,970 $ 1,522 $ 2,753 $ 2,669
========== ========== ========== ========== ==========
Per Common
Share Data:
Book value per
share $ 16.25 $ 16.17 $ 16.27 $ 16.30 $ 16.00
Net income per
share:
Basic $ 0.23 $ 0.18 $ 0.09 $ 0.19 $ 0.21
Diluted $ 0.23 $ 0.18 $ 0.09 $ 0.19 $ 0.21
Dividends per
share $ 0.20 $ 0.20 $ 0.20 $ 0.20 $ 0.20
Weighted
average shares
outstanding 16,589,657 16,535,461 16,464,824 13,635,961 13,023,148
Period end
shares
outstanding 16,590,710 16,561,807 16,465,083 16,442,021 13,023,704
For the six months ended,
----------------------
For the period: 06/30/10 06/30/09
---------- ----------
Interest income $ 45,363 $ 48,931
Interest
expense 9,982 15,413
---------- ----------
Net interest
income 35,381 33,518
Provision for
loan and lease
losses 9,760 7,509
---------- ----------
Net interest
income after
provision 25,621 26,009
Noninterest
income:
Trust fee
income 3,000 2,750
Service charges
on deposit
accounts 3,594 3,305
Investment
advisory
commission and
fee income 2,208 1,526
Insurance
commissions
and fee income 4,139 4,097
Bank owned life
insurance income 534 565
Other-than
-temporary
impairment (47) (1,400)
Net gain (loss)
on sales of
securities 87 15
Gain on sales of
loans held for
sale 638 930
Other income 2,113 2,212
---------- ----------
Total noninterest
income 16,266 14,000
Noninterest
expense
Salaries and
benefits 19,280 18,849
Premises and
equipment 4,501 4,358
Deposit insurance
premiums 1,260 2,060
Other expense 8,947 7,026
---------- ----------
Total noninterest
expense 33,988 32,293
---------- ----------
Income before
taxes 7,899 7,716
Applicable
income taxes 1,199 1,211
---------- ----------
Net income $ 6,700 $ 6,505
========== ==========
Per Common
Share Data:
Book value per
share $ 16.25 $ 16.00
Net income per
share:
Basic $ 0.40 $ 0.50
Diluted $ 0.40 $ 0.50
Dividends per
share $ 0.40 $ 0.40
Weighted
average shares
outstanding 16,562,712 13,000,406
Period end
shares
outstanding 16,590,710 13,023,704
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
June 30, 2010
For the six
For the three months ended, months ended,
------------------------------------ ------------
Profitability Ratios 06/30 03/31 12/31 09/30 06/30 06/30 06/30
(annualized) /10 /10 /09 /09 /09 /10 /09
----- ------ ------ ------ ----- ----- -----
Return on average
assets 0.72% 0.59% 0.29% 0.52% 0.52% 0.65% 0.63%
Return on average
shareholders' equity 5.54% 4.48% 2.26% 4.55% 5.14% 5.01% 6.35%
Net interest margin
(FTE) 4.11% 3.99% 3.69% 3.82% 3.87% 4.05% 3.82%
Efficiency ratio (1) 61.32% 64.33% 65.36% 60.58% 63.96% 62.80% 64.78%
Capitalization Ratios
Dividends paid to net
income 88.95% 111.55% 216.43% 119.47% 97.60% 98.97% 80.00%
Shareholders' equity to
assets (Period End) 12.90% 12.97% 12.84% 12.66% 9.98% 12.90% 9.98%
Tangible common equity
to tangible assets 10.51% 10.55% 10.44% 10.28% 7.49% 10.51% 7.49%
Regulatory Capital
Ratios (Period End)
Tier 1 leverage ratio 11.57% 11.82% 11.46% 11.51% 8.86% 11.57% 8.86%
Tier 1 risk-based
capital ratio 14.25% 14.44% 14.41% 14.12% 10.65% 14.25% 10.65%
Total risk-based
capital ratio 15.58% 15.78% 15.76% 15.47% 11.89% 15.58% 11.89%
(1) Total operating expenses to net interest income before loan loss
provision plus non-interest income adjusted for tax equivalent income.
Distribution of Assets, Liabilities and Shareholders' Equity:
Interest Rates and Interest Differential
For the Three Months
Ended June 30,
--------------------------------------------------
Tax Equivalent Basis 2010 2009
--------------------------------------------------
Ave- Ave-
Average Income/ rage Average Income/ rage
Balance Expense Rate Balance Expense Rate
---------- ------- ---- ---------- ------- ----
Assets:
Interest-earning
deposits with other
banks $ 26,700 $ 19 0.29% $ 3,399 $ 2 0.24%
U.S. Government
obligations 158,505 922 2.33 98,532 782 3.18
Obligations of state
and political
subdivisions 108,820 1,804 6.65 104,606 1,760 6.75
Other debt and equity
securities 175,577 1,932 4.41 210,004 2,640 5.04
Federal funds sold - - - - - -
---------- ------- ---------- -------
Total
interest-earning
deposits,
investments and
federal funds
sold 469,602 4,677 3.99 416,541 5,184 4.99
---------- ------- ---------- -------
Commercial, financial,
and agricultural loans 415,943 4,892 4.72 414,482 4,652 4.50
Real estate--commercial
and construction loans 523,306 7,752 5.94 525,984 8,039 6.13
Real estate--residential
loans 256,296 2,785 4.36 298,370 3,472 4.67
Loans to individuals 46,185 599 5.20 50,950 851 6.70
Municipal loans and
leases 104,720 1,564 5.99 88,916 1,379 6.22
Lease financings 78,828 1,742 8.86 92,541 1,987 8.61
---------- ------- ---------- -------
Gross loans and
leases 1,425,278 19,334 5.44 1,471,243 20,380 5.56
---------- ------- ---------- -------
Total
interest-earning
assets 1,894,880 24,011 5.08 1,887,784 25,564 5.43
---------- ------- ---------- -------
Cash and due from
banks 37,510 30,633
Reserve for loan
losses (28,864) (15,897)
Premise and
equipment, net 35,002 33,254
Other assets 152,402 141,791
---------- ----------
Total assets $2,090,930 $2,077,565
========== ==========
Liabilities:
Interest-bearing
checking deposits $ 182,156 $ 62 0.14 $ 165,642 $ 55 0.13
Money market savings 293,697 277 0.38 314,554 403 0.51
Regular savings 445,781 661 0.59 343,838 718 0.84
Time deposits 435,969 2,588 2.38 514,667 4,530 3.53
---------- ------- ---------- -------
Total time and
interest-bearing
deposits 1,357,603 3,588 1.06 1,338,701 5,706 1.71
---------- ------- ---------- -------
Securities sold under
agreements to
repurchase 98,802 111 0.45 85,919 143 0.67
Other short-term
borrowings 51,936 542 4.19 99,968 681 2.73
Long-term debt 5,717 48 3.37 57,350 501 3.50
Subordinated notes and
capital securities 25,119 313 5.00 26,619 325 4.90
---------- ------- ---------- -------
Total borrowings 181,574 1,014 2.24 269,856 1,650 2.45
---------- ------- ---------- -------
Total
interest-bearing
liabilities 1,539,177 4,602 1.20 1,608,557 7,356 1.83
---------- ------- ---------- -------
Demand deposits,
non-interest bearing 249,018 221,616
Accrued expenses and
other liabilities 32,833 39,071
---------- ----------
Total liabilities 1,821,028 1,869,244
---------- ----------
Shareholders' Equity
Common stock 91,332 74,370
Capital surplus 61,420 22,784
Retained earnings and
other equity 117,150 111,167
---------- ----------
Total
shareholders'
equity 269,902 208,321
---------- ----------
Total liabilities
and shareholders'
equity $2,090,930 $2,077,565
========== ==========
Net interest income $19,409 $18,208
======= =======
Net interest spread 3.88 3.60
Effect of net
interest-free funding
sources 0.23 0.27
---- ----
Net interest margin 4.11% 3.87%
==== ====
Ratio of average
interest-earning
assets to average
interest-bearing
liabilities equity 123.11% 117.36%
========== ==========
Notes: For rate calculation purposes, average loan and lease categories
include unearned discount. Nonaccrual loans and leases have been
included in the average loan and lease balances. Loans held for sale
have been included in the average loan balances. Tax-equivalent
amounts for the three months ended June 30, 2010 and 2009 have been
calculated using the Corporation's federal applicable rate of 35.0%.
Distribution of Assets, Liabilities and Shareholders' Equity:
Interest Rates and Interest Differential
For the Six Months Ended
June 30,
--------------------------------------------------
Tax Equivalent Basis 2010 2009
--------------------------------------------------
Ave- Ave-
Average Income/ rage Average Income/ rage
Balance Expense Rate Balance Expense Rate
---------- ------- ---- ---------- ------- ----
Assets:
Interest-earning
deposits with other
banks $ 20,531 $ 30 0.29% $ 3,366 $ 5 0.30%
U.S. Government
obligations 136,457 1,664 2.46 96,698 1,764 3.68
Obligations of state
and political
subdivisions 107,733 3,542 6.63 102,540 3,472 6.83
Other debt and equity
securities 181,948 3,953 4.38 217,312 5,474 5.08
Federal funds sold - - - 116 - -
---------- ------- ---------- -------
Total
interest-earning
deposits,
investments and
federal funds
sold 446,669 9,189 4.15 420,032 10,715 5.14
---------- ------- ---------- -------
Commercial, financial,
and agricultural loans 412,820 9,557 4.67 405,355 9,219 4.59
Real estate--commercial
and construction loans 523,693 15,313 5.90 514,113 15,317 6.01
Real estate--residential
loans 258,615 5,643 4.40 304,613 7,190 4.76
Loans to individuals 46,843 1,397 6.01 52,106 1,792 6.94
Municipal loans and
leases 101,104 2,990 5.96 87,416 2,693 6.21
Lease financings 79,991 3,465 8.74 95,165 4,031 8.54
---------- ------- ---------- -------
Gross loans and
leases 1,423,066 38,365 5.44 1,458,768 40,242 5.56
---------- ------- ---------- -------
Total
interest-earning
assets 1,869,735 47,554 5.13 1,878,800 50,957 5.47
---------- ------- ---------- -------
Cash and due from
banks 34,582 30,907
Reserve for loan
losses (27,728) (14,789)
Premise and
equipment, net 34,931 32,877
Other assets 153,450 140,905
---------- ----------
Total assets $2,064,970 $2,068,700
========== ==========
Liabilities:
Interest-bearing
checking deposits $ 177,095 $ 119 0.14 $ 160,424 $ 142 0.18
Money market savings 286,843 593 0.42 321,129 1,047 0.66
Regular savings 430,940 1,442 0.67 331,734 1,497 0.91
Time deposits 435,072 5,654 2.62 528,156 9,432 3.60
---------- ------- ---------- -------
Total time and
interest-bearing
deposits 1,329,950 7,808 1.18 1,341,443 12,118 1.82
---------- ------- ---------- -------
Securities sold under
agreements to
repurchase 97,330 228 0.47 80,745 261 0.65
Other short-term
borrowings 61,547 1,227 4.02 87,435 1,042 2.40
Long-term debt 5,732 94 3.31 70,585 1,339 3.83
Subordinated notes and
capital securities 25,305 625 4.98 26,808 653 4.91
---------- ------- ---------- -------
Total borrowings 189,914 2,174 2.31 265,573 3,295 2.50
---------- ------- ---------- -------
Total
interest-bearing
liabilities 1,519,864 9,982 1.32 1,607,016 15,413 1.93
---------- ------- ---------- -------
Demand deposits,
non-interest bearing 242,388 216,709
Accrued expenses and
other liabilities 33,249 38,532
---------- ----------
Total liabilities 1,795,501 1,862,257
---------- ----------
Shareholders' Equity
Common stock 91,332 74,370
Capital surplus 61,420 22,789
Retained earnings and
other equity 116,717 109,284
---------- ----------
Total
shareholders'
equity 269,469 206,443
---------- ----------
Total liabilities
and shareholders'
equity $2,064,970 $2,068,700
========== ==========
Net interest income $37,572 $35,544
======= =======
Net interest spread 3.81 3.54
Effect of net
interest-free funding
sources 0.24 0.28
---- ----
Net interest margin 4.05% 3.82%
==== ====
Ratio of average
interest-earning
assets to average
interest-bearing
liabilities equity 123.02% 116.91%
========== ==========
Notes: For rate calculation purposes, average loan and lease categories
include unearned discount. Nonaccrual loans and leases have been
included in the average loan and lease balances. Loans held for sale
have been included in the average loan balances. Tax-equivalent
amounts for the six months ended June 30, 2010 and 2009 have been
calculated using the Corporation's federal applicable rate of 35.0%.