Exhibit 99.1
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| CONTACT: | Jeff Schweitzer UNIVEST CORPORATION OF PENNSYLVANIA Chief Financial Officer 215-721-2458, schweitzerj@univest.net |
FOR IMMEDIATE RELEASE
UNIVEST CORPORATION OF PENNSYLVANIA – UNIVEST
BANK AND TRUST CO. – REPORTS THIRD QUARTER EARNINGS
SOUDERTON, Pa., October 24, 2012 – Univest Corporation of Pennsylvania (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. and its insurance, investments and equipment financing subsidiaries, today announced financial results for the quarter ended September 30, 2012. Univest reported net income of $5.8 million or $0.34 diluted earnings per share for the quarter ended September 30, 2012, a 10% increase in net income compared to $5.2 million or $0.31 diluted earnings per share for the quarter ended September 30, 2011. Net income for the nine months ended September 30, 2012 was $15.8 million or $0.94 diluted earnings per share, a 16% increase in net income compared to $13.6 million or $0.81 diluted earnings per share for the comparable period in the prior year.
Loans
Gross loans and leases increased $4.1 million from June 30, 2012, $23.1 million from December 31, 2011 and $33.1 million from September 30, 2011.The growth in loans occurred primarily in the commercial and residential mortgage categories. While the Corporation continued to see increased loan activity in the nine months ended September 30, 2012, overall credit demand and utilization of lines by businesses and consumers remained light as a result of the prolonged challenging economic environment.
Deposits
Total deposits increased $34.0 million from June 30, 2012, $28.7 million from December 31, 2011 and $52.9 million from September 30, 2011. Deposits, excluding public funds, grew $33.2 million from December 31, 2011 and $81.8 million from September 30, 2011 primarily due to new customers choosing Univest. There was a decline from June 30, 2012 of $18.1 million in non-public fund deposits which was more than offset by an increase in public funds of $52.1 million mostly due to anticipated seasonal tax deposits.
Net Interest Income and Margin
Net interest income decreased $597 thousand or 3% to $18.0 million in the third quarter of 2012 compared to the third quarter of 2011. The net interest margin on a tax-equivalent basis for the third quarter of 2012 was 3.84%, compared to 3.97% during the second quarter of 2012, and down from 4.15% in the third quarter of 2011. Net interest income decreased $2.1 million or 4% to $54.3 million for the nine months ended September 30, 2012 compared to the same period in 2011. The net interest margin on a tax-equivalent basis for the nine months ended September 30, 2012 was 3.92% compared to 4.21% for the nine months ended September 30, 2011.
The declines in net interest income and the net interest margin were primarily due to the re-investment of maturing and called investment securities with lower yielding investments, as a result of the lower interest rate environment and lower rates on commercial loans due to re-pricing and competitive pressures. The decline in net interest income and the net interest margin was partially offset by re-pricing of certificates of deposits and savings account products. During the third quarter of 2012, the Corporation increased its investments in government agencies, treasuries and corporate bonds with longer maturity durations as interest rate protection in the prolonged low rate interest environment.
Non-Interest Income
Non-interest income for the quarter ended September 30, 2012 was $10.9 million, an increase of $1.9 million or 21% from the comparable period in the prior year. During the third quarter of 2012, the Corporation sold a former operations building located in Hilltown, Pennsylvania with a book value of $702 thousand for $2.0 million, resulting in a gain on sale of fixed assets of $1.3 million which is included in other income. The net gain on mortgage banking activities increased $1.3 million during the third quarter of 2012 over the same period in 2011 as re-finance activity continues to be strong. In addition, insurance commission and fee income was up $342 thousand mainly due to the Javers Group acquisition on May 31, 2012. Partially offsetting these favorable variances was an increase in the net loss on sales and write-downs of other real estate owned of $480 thousand. The net gain on sales of securities was $9 thousand for the third quarter of 2012 compared to $848 thousand during the third quarter of 2011.
Non-interest income for the nine months ended September 30, 2012 was $29.9 million, an increase of $4.5 million or 18% compared to the nine months ended September 30, 2011. The increase was primarily attributable to an increase in the net gain on mortgage banking activities of $3.3 million due to stronger mortgage demand from increased re-finance activity, a $1.3 million gain on sale of a former operations building during the third quarter of 2012 and proceeds from bank owned life insurance death benefits of $989 thousand recognized during the first quarter of 2012. These favorable variances were partially offset by an increase in the net loss on sales and write-downs of other real estate owned of $965 thousand. In addition, the net gain on sales of securities was $291 thousand for the nine months ended September 30, 2012 compared to $1.4 million for the same period in 2011.
Non-Interest Expense
Non-interest expense for the third quarter of 2012 was $19.1 million, an increase of $1.8 million or 10% compared to the third quarter of 2011. Salaries and benefits expense increased $940 thousand primarily due to higher commissions related to increased mortgage banking activities, annual performance increases and additional staff including the Javers Group acquisition. Additionally, non-interest expense increased due to higher loan workout, legal, employment services and equipment expenses.
Non-interest expense for the nine months ended September 30, 2012 was $56.6 million, an increase of $6.1 million or 12% compared to the nine months ended September 30, 2011. Salaries and benefits expense increased $4.6 million primarily due to higher commissions related to increased mortgage banking activities, increased employee incentives and annual performance increases. Additionally, non-interest expense increased due to higher loan workout, legal, employment services and equipment expenses. The increases for the year-to-date were partially offset by a decline in deposit insurance premiums of $303 thousand mainly due to the amended assessment calculation requirement through the FDIC rule implemented April 1, 2011. The payment was formerly based on deposits whereas the rule change now bases the payment on the average consolidated total assets less average tangible equity.
Asset Quality and Provision for Loan and Lease Losses
Non-accrual loans and leases, including non-accrual troubled debt restructured loans, decreased to $30.5 million at September 30, 2012 from $38.2 million at both December 31, 2011 and September 30, 2011. The decrease in non-accrual loans was mainly due to loans returned to accrual of interest status, charge-offs and pay-downs, which exceeded additions to non-accrual loans. During the third quarter of 2012, one non-accrual troubled debt restructured credit for $6.2 million was returned to accruing troubled debt restructured status as the borrower made six consecutive principal and interest payments. Net loan and lease charge-offs were $5.6 million during the third quarter of 2012 compared to $5.2 million for the third quarter of 2011.
Nonperforming loans and leases as a percentage of total loans and leases (held for investment and nonaccrual loans held for sale) were 3.03% at September 30, 2012 compared to 2.94% at December 31, 2011 and 2.96% at September 30, 2011. Other real estate owned decreased to $3.3 million, consisting of three properties at September 30, 2012, compared to $6.6 million at December 31, 2011 and $7.7 million at September 30, 2011. The year-to-date decrease was primarily due to write-downs on properties to their updated appraised values and the sale of a commercial property, with a carrying value of $1.3 million, which sold for $1.5 million resulting in a gain on sale of $210 thousand.
The provision for loan and lease losses declined to $2.2 million for the third quarter of 2012 compared to $3.6 million for the quarter ended September 30, 2011. The allowance for loan and lease losses as a percentage of loans and leases held for investment was 1.84% at September 30, 2012 compared to 2.07% at December 31, 2011 and 2.16% at September 30, 2011. The allowance for loan and lease losses to nonaccrual loans and leases held for investment equaled 97.03% at September 30, 2012, compared to 78.18% at December 31, 2011 and 81.20% at September 30, 2011.
Capital
Univest continues to remain well-capitalized at September 30, 2012. Univest’s total risk-based capital at September 30, 2012 was 15.34%, well in excess of the regulatory minimum for well capitalized status of 10% for total risk-based capital.
Dividend
On October 1, 2012, Univest Corporation paid a quarterly cash dividend of $0.20 per share, which represented a 4.40% 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. 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
September 30, 2012
| (Dollars in thousands) |
09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | |||||||||||||||
| Balance Sheet (Period End) |
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| Assets |
$ | 2,232,081 | $ | 2,188,727 | $ | 2,192,164 | $ | 2,206,839 | $ | 2,174,127 | ||||||||||
| Securities |
515,256 | 439,092 | 451,433 | 471,165 | 412,340 | |||||||||||||||
| Loans held for sale |
6,146 | 1,333 | 2,535 | 3,157 | 1,724 | |||||||||||||||
| Loans and leases held for investment, gross |
1,469,511 | 1,465,449 | 1,459,830 | 1,446,406 | 1,436,411 | |||||||||||||||
| Allowance for loan and lease losses |
27,096 | 30,502 | 30,597 | 29,870 | 31,002 | |||||||||||||||
| Loans and leases held for investment, net |
1,442,415 | 1,434,947 | 1,429,233 | 1,416,536 | 1,405,409 | |||||||||||||||
| Total deposits |
1,777,930 | 1,743,922 | 1,730,030 | 1,749,232 | 1,725,063 | |||||||||||||||
| Non-interest bearing deposits |
334,856 | 334,828 | 307,769 | 304,006 | 275,930 | |||||||||||||||
| NOW, money market and savings |
1,101,147 | 1,052,217 | 1,029,145 | 1,036,726 | 1,016,651 | |||||||||||||||
| Time deposits |
341,927 | 356,877 | 393,116 | 408,500 | 432,482 | |||||||||||||||
| Borrowings |
132,920 | 121,878 | 144,208 | 137,234 | 135,490 | |||||||||||||||
| Shareholders’ equity |
281,589 | 277,316 | 275,525 | 272,979 | 275,099 | |||||||||||||||
| For the three months ended, | For the nine months ended, | |||||||||||||||||||||||||||
| 09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | 09/30/12 | 09/30/11 | ||||||||||||||||||||||
| Balance Sheet (Average) |
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| Assets |
$ | 2,214,283 | $ | 2,173,698 | $ | 2,180,451 | $ | 2,174,857 | $ | 2,113,446 | $ | 2,189,591 | $ | 2,105,242 | ||||||||||||||
| Securities |
474,523 | 450,482 | 457,511 | 423,657 | 409,376 | 460,889 | 431,085 | |||||||||||||||||||||
| Loans and leases, gross |
1,465,897 | 1,460,275 | 1,457,320 | 1,435,173 | 1,445,344 | 1,461,182 | 1,452,428 | |||||||||||||||||||||
| Deposits |
1,771,454 | 1,726,441 | 1,724,310 | 1,727,861 | 1,672,452 | 1,740,847 | 1,666,118 | |||||||||||||||||||||
| Shareholders’ equity |
280,172 | 277,621 | 275,071 | 276,114 | 275,502 | 277,630 | 272,293 | |||||||||||||||||||||
| 09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | ||||||||||||||||
| Asset Quality Data (Period End) |
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| Nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and leases and nonaccrual loans held for sale |
$ | 30,525 | $ | 36,762 | $ | 36,270 | $ | 38,207 | $ | 38,180 | ||||||||||
| Accruing loans and leases 90 days or more past due |
690 | 384 | 523 | 365 | 449 | |||||||||||||||
| Accruing troubled debt restructured loans and leases |
13,383 | 7,591 | 7,301 | 3,893 | 3,925 | |||||||||||||||
| Other real estate owned |
3,301 | 3,922 | 4,993 | 6,600 | 7,711 | |||||||||||||||
| Nonperforming assets |
47,899 | 48,659 | 49,087 | 49,065 | 50,265 | |||||||||||||||
| Allowance for loan and lease losses |
27,096 | 30,502 | 30,597 | 29,870 | 31,002 | |||||||||||||||
| Nonaccrual loans and leases / Loans and leases held for investment and nonaccrual loans held for sale |
2.07 | % | 2.51 | % | 2.48 | % | 2.64 | % | 2.66 | % | ||||||||||
| Nonperforming loans and leases / Loans and leases held for investment and nonaccrual loans held for sale |
3.03 | % | 3.05 | % | 3.02 | % | 2.94 | % | 2.96 | % | ||||||||||
| Allowance for loan and lease losses / Loans and leases held for investment |
1.84 | % | 2.08 | % | 2.10 | % | 2.07 | % | 2.16 | % | ||||||||||
| Allowance for loan and lease losses / Nonaccrual loans and leases held for investment |
97.03 | % | 82.97 | % | 84.36 | % | 78.18 | % | 81.20 | % | ||||||||||
| Allowance for loan and lease losses / Nonperforming loans held for investment |
64.52 | % | 68.18 | % | 69.39 | % | 70.34 | % | 72.85 | % | ||||||||||
| For the three months ended, | For the nine months ended, | |||||||||||||||||||||||||||
| 09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | 09/30/12 | 09/30/11 | ||||||||||||||||||||||
| Net loan and lease charge-offs |
$ | 5,616 | $ | 1,438 | $ | 3,373 | $ | 4,272 | $ | 5,248 | $ | 10,427 | $ | 14,235 | ||||||||||||||
| Net loan and lease charge-offs (annualized)/Average loans and leases |
1.52 | % | 0.40 | % | 0.93 | % | 1.18 | % | 1.44 | % | 0.95 | % | 1.31 | % | ||||||||||||||
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
September 30, 2012
| (Dollars in thousands, except per share data) | ||||||||||||||||||||||||||||
| For the three months ended, | For the nine months ended, | |||||||||||||||||||||||||||
| For the period: | 09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | 09/30/12 | 09/30/11 | |||||||||||||||||||||
| Interest income |
$ | 19,977 | $ | 20,258 | $ | 20,431 | $ | 20,821 | $ | 21,237 | $ | 60,666 | $ | 64,647 | ||||||||||||||
| Interest expense |
1,958 | 2,111 | 2,267 | 2,487 | 2,621 | 6,336 | 8,241 | |||||||||||||||||||||
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| Net interest income |
18,019 | 18,147 | 18,164 | 18,334 | 18,616 | 54,330 | 56,406 | |||||||||||||||||||||
| Provision for loan and lease losses |
2,210 | 1,343 | 4,100 | 3,140 | 3,649 | 7,653 | 14,339 | |||||||||||||||||||||
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| Net interest income after provision |
15,809 | 16,804 | 14,064 | 15,194 | 14,967 | 46,677 | 42,067 | |||||||||||||||||||||
| Noninterest income: |
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| Trust fee income |
1,625 | 1,625 | 1,625 | 1,469 | 1,625 | 4,875 | 4,875 | |||||||||||||||||||||
| Service charges on deposit accounts |
1,122 | 1,079 | 1,100 | 1,147 | 1,218 | 3,301 | 3,910 | |||||||||||||||||||||
| Investment advisory commission and fee income |
1,350 | 1,350 | 1,256 | 1,778 | 1,239 | 3,956 | 3,595 | |||||||||||||||||||||
| Insurance commissions and fee income |
2,129 | 2,057 | 2,267 | 1,674 | 1,787 | 6,453 | 6,059 | |||||||||||||||||||||
| Bank owned life insurance income |
463 | 336 | 1,506 | 502 | 554 | 2,305 | 1,166 | |||||||||||||||||||||
| Other-than-temporary impairment |
(4 | ) | (6 | ) | (3 | ) | (5 | ) | (1 | ) | (13 | ) | (11 | ) | ||||||||||||||
| Net gain on sales of securities |
9 | 24 | 258 | — | 848 | 291 | 1,417 | |||||||||||||||||||||
| Net gain on mortgage banking activities |
2,171 | 1,074 | 1,272 | 652 | 913 | 4,517 | 1,216 | |||||||||||||||||||||
| Other income |
1,996 | 461 | 1,740 | 1,761 | 791 | 4,197 | 3,202 | |||||||||||||||||||||
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| Total noninterest income |
10,861 | 8,000 | 11,021 | 8,978 | 8,974 | 29,882 | 25,429 | |||||||||||||||||||||
| Noninterest expense |
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| Salaries and benefits |
10,828 | 10,733 | 11,563 | 9,725 | 9,888 | 33,124 | 28,505 | |||||||||||||||||||||
| Premises and equipment |
2,597 | 2,513 | 2,428 | 2,544 | 2,387 | 7,538 | 7,240 | |||||||||||||||||||||
| Deposit insurance premiums |
406 | 429 | 444 | 457 | 442 | 1,279 | 1,582 | |||||||||||||||||||||
| Other expense |
5,227 | 4,961 | 4,441 | 4,837 | 4,578 | 14,629 | 13,120 | |||||||||||||||||||||
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| Total noninterest expense |
19,058 | 18,636 | 18,876 | 17,563 | 17,295 | 56,570 | 50,447 | |||||||||||||||||||||
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| Income before taxes |
7,612 | 6,168 | 6,209 | 6,609 | 6,646 | 19,989 | 17,049 | |||||||||||||||||||||
| Applicable income taxes |
1,842 | 1,405 | 946 | 1,349 | 1,402 | 4,193 | 3,427 | |||||||||||||||||||||
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| Net income |
$ | 5,770 | $ | 4,763 | $ | 5,263 | $ | 5,260 | $ | 5,244 | $ | 15,796 | $ | 13,622 | ||||||||||||||
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| Per Common Share Data: |
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| Book value per share |
$ | 16.80 | $ | 16.55 | $ | 16.42 | $ | 16.34 | $ | 16.45 | $ | 16.80 | $ | 16.45 | ||||||||||||||
| Net income per share: |
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| Basic |
$ | 0.34 | $ | 0.28 | $ | 0.31 | $ | 0.32 | $ | 0.31 | $ | 0.94 | $ | 0.81 | ||||||||||||||
| Diluted |
$ | 0.34 | $ | 0.28 | $ | 0.31 | $ | 0.32 | $ | 0.31 | $ | 0.94 | $ | 0.81 | ||||||||||||||
| Dividends per share |
$ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.60 | $ | 0.60 | ||||||||||||||
| Weighted average shares outstanding |
16,760,080 | 16,770,290 | 16,749,134 | 16,716,160 | 16,770,741 | 16,759,836 | 16,751,949 | |||||||||||||||||||||
| Period end shares outstanding |
16,765,126 | 16,759,893 | 16,780,416 | 16,702,376 | 16,727,099 | 16,765,126 | 16,727,099 | |||||||||||||||||||||
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
September 30, 2012
| For the three months ended, | For the nine months ended, | |||||||||||||||||||||||||||
| 09/30/12 | 06/30/12 | 03/31/12 | 12/31/11 | 09/30/11 | 09/30/12 | 09/30/11 | ||||||||||||||||||||||
| Profitability Ratios (annualized) |
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| Return on average assets |
1.04 | % | 0.88 | % | 0.97 | % | 0.96 | % | 0.98 | % | 0.96 | % | 0.87 | % | ||||||||||||||
| Return on average shareholders’ equity |
8.19 | % | 6.90 | % | 7.70 | % | 7.56 | % | 7.55 | % | 7.60 | % | 6.69 | % | ||||||||||||||
| Net interest margin (FTE) |
3.84 | % | 3.97 | % | 3.95 | % | 3.96 | % | 4.15 | % | 3.92 | % | 4.21 | % | ||||||||||||||
| Efficiency ratio (1) |
62.84 | % | 67.59 | % | 60.46 | % | 60.87 | % | 59.35 | % | 63.48 | % | 58.56 | % | ||||||||||||||
| Capitalization Ratios |
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| Dividends paid to net income |
58.09 | % | 70.48 | % | 63.63 | % | 63.48 | % | 64.00 | % | 63.67 | % | 73.73 | % | ||||||||||||||
| Shareholders’ equity to assets (Period End) |
12.62 | % | 12.67 | % | 12.57 | % | 12.37 | % | 12.65 | % | 12.62 | % | 12.65 | % | ||||||||||||||
| Tangible common equity to tangible assets |
10.12 | % | 10.11 | % | 10.18 | % | 10.00 | % | 10.34 | % | 10.12 | % | 10.34 | % | ||||||||||||||
| Regulatory Capital Ratios (Period End) |
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| Tier 1 leverage ratio |
11.48 | % | 11.57 | % | 11.64 | % | 11.53 | % | 11.84 | % | 11.48 | % | 11.84 | % | ||||||||||||||
| Tier 1 risk-based capital ratio |
14.07 | % | 14.38 | % | 14.50 | % | 14.29 | % | 14.73 | % | 14.07 | % | 14.73 | % | ||||||||||||||
| Total risk-based capital ratio |
15.34 | % | 15.64 | % | 15.76 | % | 15.56 | % | 16.00 | % | 15.34 | % | 16.00 | % | ||||||||||||||
| (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 |
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| For the Three Months Ended September 30, | ||||||||||||||||||||||||
| Tax Equivalent Basis |
2012 | 2011 | ||||||||||||||||||||||
| Average Balance |
Income/ Expense |
Average Rate |
Average Balance |
Income/ Expense |
Average Rate |
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| Assets: |
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| Interest-earning deposits with other banks |
$ | 52,214 | $ | 45 | 0.34 | % | $ | 46,109 | $ | 25 | 0.22 | % | ||||||||||||
| U.S. Government obligations |
156,885 | 508 | 1.29 | 129,263 | 509 | 1.56 | ||||||||||||||||||
| Obligations of state and political subdivisions |
121,612 | 1,696 | 5.55 | 112,935 | 1,720 | 6.04 | ||||||||||||||||||
| Other debt and equity securities |
196,026 | 846 | 1.72 | 167,178 | 1,347 | 3.20 | ||||||||||||||||||
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| Total interest-earning deposits and investments |
526,737 | 3,095 | 2.34 | 455,485 | 3,601 | 3.14 | ||||||||||||||||||
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| Commercial, financial, and agricultural loans |
452,531 | 4,895 | 4.30 | 435,805 | 4,930 | 4.49 | ||||||||||||||||||
| Real estate—commercial and construction loans |
525,143 | 6,804 | 5.15 | 528,936 | 7,308 | 5.48 | ||||||||||||||||||
| Real estate—residential loans |
256,297 | 2,616 | 4.06 | 247,332 | 2,684 | 4.31 | ||||||||||||||||||
| Loans to individuals |
42,991 | 602 | 5.57 | 42,358 | 594 | 5.56 | ||||||||||||||||||
| Municipal loans and leases |
129,651 | 1,748 | 5.36 | 132,494 | 1,919 | 5.74 | ||||||||||||||||||
| Lease financings |
59,284 | 1,415 | 9.50 | 58,419 | 1,456 | 9.89 | ||||||||||||||||||
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| Gross loans and leases |
1,465,897 | 18,080 | 4.91 | 1,445,344 | 18,891 | 5.19 | ||||||||||||||||||
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| Total interest-earning assets |
1,992,634 | 21,175 | 4.23 | 1,900,829 | 22,492 | 4.69 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Cash and due from banks |
50,875 | 57,572 | ||||||||||||||||||||||
| Reserve for loan and lease losses |
(31,365 | ) | (34,104 | ) | ||||||||||||||||||||
| Premises and equipment, net |
34,002 | 34,257 | ||||||||||||||||||||||
| Other assets |
168,137 | 154,892 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total assets |
$ | 2,214,283 | $ | 2,113,446 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Liabilities: |
||||||||||||||||||||||||
| Interest-bearing checking deposits |
$ | 230,462 | $ | 40 | 0.07 | $ | 210,499 | $ | 57 | 0.11 | ||||||||||||||
| Money market savings |
331,425 | 121 | 0.15 | 291,830 | 167 | 0.23 | ||||||||||||||||||
| Regular savings |
514,205 | 187 | 0.14 | 483,341 | 349 | 0.29 | ||||||||||||||||||
| Time deposits |
348,675 | 1,276 | 1.46 | 394,509 | 1,597 | 1.61 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total time and interest-bearing deposits |
1,424,767 | 1,624 | 0.45 | 1,380,179 | 2,170 | 0.62 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Short-term borrowings |
104,110 | 33 | 0.13 | 104,469 | 96 | 0.36 | ||||||||||||||||||
| Long-term debt |
— | — | — | 5,000 | 48 | 3.81 | ||||||||||||||||||
| Subordinated notes and capital securities |
21,732 | 301 | 5.51 | 23,240 | 307 | 5.24 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total borrowings |
125,842 | 334 | 1.06 | 132,709 | 451 | 1.35 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total interest-bearing liabilities |
1,550,609 | 1,958 | 0.50 | 1,512,888 | 2,621 | 0.69 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Demand deposits, non-interest bearing |
346,687 | 292,273 | ||||||||||||||||||||||
| Accrued expenses and other liabilities |
36,815 | 32,783 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total liabilities |
1,934,111 | 1,837,944 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Shareholders’ Equity |
||||||||||||||||||||||||
| Common stock |
91,332 | 91,332 | ||||||||||||||||||||||
| Additional paid-in capital |
61,327 | 61,473 | ||||||||||||||||||||||
| Retained earnings and other equity |
127,513 | 122,697 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total shareholders’ equity |
280,172 | 275,502 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total liabilities and shareholders’ equity |
$ | 2,214,283 | $ | 2,113,446 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest income |
$ | 19,217 | $ | 19,871 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest spread |
3.73 | 4.00 | ||||||||||||||||||||||
| Effect of net interest-free funding sources |
0.11 | 0.15 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest margin |
3.84 | % | 4.15 | % | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Ratio of average interest-earning assets to average interest-bearing liabilities |
128.51 | % | 125.64 | % | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| 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 September 30, 2012 and 2011 have been calculated using the Corporation’s federal applicable rate of 35.0%. | ||
| N/M - Not meaningful |
| Distribution of Assets, Liabilities and Shareholders’ Equity: Interest Rates and Interest Differential | ||||||||||||||||||||||||
| For the Nine Months Ended September 30, | ||||||||||||||||||||||||
| Tax Equivalent Basis |
2012 | 2011 | ||||||||||||||||||||||
| Average Balance |
Income/ Expense |
Average Rate |
Average Balance |
Income/ Expense |
Average Rate |
|||||||||||||||||||
| Assets: |
||||||||||||||||||||||||
| Interest-earning deposits with other banks |
$ | 55,358 | $ | 121 | 0.29 | % | $ | 24,076 | $ | 40 | 0.22 | % | ||||||||||||
| U.S. Government obligations |
148,422 | 1,519 | 1.37 | 150,902 | 1,865 | 1.65 | ||||||||||||||||||
| Obligations of state and political subdivisions |
119,634 | 5,092 | 5.69 | 110,730 | 5,153 | 6.22 | ||||||||||||||||||
| Other debt and equity securities |
192,833 | 3,069 | 2.13 | 169,453 | 4,403 | 3.47 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total interest-earning deposits and investments |
516,247 | 9,801 | 2.54 | 455,161 | 11,461 | 3.37 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Commercial, financial, and agricultural loans |
445,301 | 14,423 | 4.33 | 431,983 | 15,048 | 4.66 | ||||||||||||||||||
| Real estate—commercial and construction loans |
529,778 | 20,741 | 5.23 | 542,926 | 21,958 | 5.41 | ||||||||||||||||||
| Real estate—residential loans |
251,035 | 7,818 | 4.16 | 245,889 | 8,082 | 4.39 | ||||||||||||||||||
| Loans to individuals |
43,803 | 1,856 | 5.66 | 42,428 | 1,817 | 5.73 | ||||||||||||||||||
| Municipal loans and leases |
133,557 | 5,450 | 5.45 | 128,202 | 5,529 | 5.77 | ||||||||||||||||||
| Lease financings |
57,708 | 4,244 | 9.82 | 61,000 | 4,442 | 9.74 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Gross loans and leases |
1,461,182 | 54,532 | 4.99 | 1,452,428 | 56,876 | 5.24 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total interest-earning assets |
1,977,429 | 64,333 | 4.35 | 1,907,589 | 68,337 | 4.79 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Cash and due from banks |
41,152 | 41,205 | ||||||||||||||||||||||
| Reserve for loan and lease losses |
(31,706 | ) | (33,506 | ) | ||||||||||||||||||||
| Premises and equipment, net |
34,231 | 34,393 | ||||||||||||||||||||||
| Other assets |
168,485 | 155,561 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total assets |
$ | 2,189,591 | $ | 2,105,242 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Liabilities: |
||||||||||||||||||||||||
| Interest-bearing checking deposits |
$ | 227,775 | $ | 138 | 0.08 | $ | 204,619 | $ | 180 | 0.12 | ||||||||||||||
| Money market savings |
317,390 | 391 | 0.16 | 292,620 | 542 | 0.25 | ||||||||||||||||||
| Regular savings |
505,451 | 634 | 0.17 | 482,026 | 1,186 | 0.33 | ||||||||||||||||||
| Time deposits |
371,056 | 3,968 | 1.43 | 403,729 | 5,018 | 1.66 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total time and interest-bearing deposits |
1,421,672 | 5,131 | 0.48 | 1,382,994 | 6,926 | 0.67 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Short-term borrowings |
110,177 | 295 | 0.36 | 105,250 | 256 | 0.33 | ||||||||||||||||||
| Long-term debt |
146 | 4 | 3.66 | 5,000 | 142 | 3.80 | ||||||||||||||||||
| Subordinated notes and capital securities |
22,108 | 906 | 5.47 | 23,615 | 917 | 5.19 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total borrowings |
132,431 | 1,205 | 1.22 | 133,865 | 1,315 | 1.31 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Total interest-bearing liabilities |
1,554,103 | 6,336 | 0.54 | 1,516,859 | 8,241 | 0.73 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||
| Demand deposits, non-interest bearing |
319,176 | 283,124 | ||||||||||||||||||||||
| Accrued expenses and other liabilities |
38,682 | 32,966 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total liabilities |
1,911,961 | 1,832,949 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Shareholders’ Equity |
||||||||||||||||||||||||
| Common stock |
91,332 | 91,332 | ||||||||||||||||||||||
| Additional paid-in capital |
61,352 | 61,452 | ||||||||||||||||||||||
| Retained earnings and other equity |
124,946 | 119,509 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total shareholders’ equity |
277,630 | 272,293 | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Total liabilities and shareholders’ equity |
$ | 2,189,591 | $ | 2,105,242 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest income |
$ | 57,997 | $ | 60,096 | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest spread |
3.81 | 4.06 | ||||||||||||||||||||||
| Effect of net interest-free funding sources |
0.11 | 0.15 | % | |||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Net interest margin |
3.92 | % | 4.21 | |||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| Ratio of average interest-earning assets to average interest-bearing liabilities |
127.24 | % | 125.76 | % | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
| 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 nine months ended September 30, 2012 and 2011 have been calculated |
||||||||||||||||||||||||
| using the Corporation’s federal applicable rate of 35.0%. |
||||||||||||||||||||||||