x
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
|
o
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
|
Virginia
|
54-1829288
|
(State or other jurisdiction of
|
(I.R.S. Employer
|
incorporation or organization)
|
Identification No.)
|
590 Peter Jefferson Parkway Charlottesville, Virginia
|
22911
|
(Address of principal executive offices)
|
(Zip Code)
|
STELLARONE CORPORATION
|
||
PART I - FINANCIAL INFORMATION
|
||
ITEM 1
|
Financial Statements (Unaudited):
|
|
1 | ||
2 | ||
Consolidated Statements of Other Comprehensive Income | 4 | |
5 | ||
6 | ||
7 | ||
ITEM 2
|
22 | |
ITEM 3
|
34 | |
ITEM 4
|
35 | |
PART II - OTHER INFORMATION
|
||
ITEM 1
|
36 | |
ITEM 1A
|
36 | |
ITEM 2
|
36 | |
ITEM 3
|
36 | |
ITEM 4
|
36 | |
ITEM 5
|
36 | |
ITEM 6
|
37 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||
(In thousands)
|
||||||||
June 30,
|
December 31,
|
|||||||
2012
|
2011
|
|||||||
Assets
|
||||||||
Cash and due from banks
|
$ | 46,079 | $ | 40,931 | ||||
Federal funds sold
|
42 | 21,117 | ||||||
Interest-bearing deposits in banks
|
27,339 | 37,922 | ||||||
Cash and cash equivalents
|
73,460 | 99,970 | ||||||
Investment securities available for sale, at fair value
|
582,813 | 477,964 | ||||||
Mortgage loans held for sale
|
20,602 | 42,027 | ||||||
Loans receivable, net of allowance for loan losses, 2012, $30,142; 2011, $32,588
|
2,007,001 | 1,998,842 | ||||||
Premises and equipment, net
|
72,099 | 74,602 | ||||||
Accrued interest receivable
|
8,297 | 8,908 | ||||||
Core deposit intangibles, net
|
4,186 | 5,011 | ||||||
Goodwill
|
113,652 | 113,652 | ||||||
Bank owned life insurance
|
43,291 | 42,413 | ||||||
Foreclosed assets
|
7,014 | 8,575 | ||||||
Other assets
|
47,451 | 45,964 | ||||||
Total assets
|
$ | 2,979,866 | $ | 2,917,928 | ||||
Liabilities
|
||||||||
Deposits:
|
||||||||
Noninterest-bearing
|
$ | 347,385 | $ | 310,756 | ||||
Interest-bearing
|
2,098,678 | 2,084,844 | ||||||
Total deposits
|
2,446,063 | 2,395,600 | ||||||
Federal Home Loan Bank advances
|
55,000 | 60,000 | ||||||
Subordinated debt
|
32,991 | 32,991 | ||||||
Accrued interest payable
|
1,847 | 2,122 | ||||||
Deferred income tax liability
|
3,900 | 2,654 | ||||||
Other liabilities
|
18,031 | 10,388 | ||||||
Total liabilities
|
2,557,832 | 2,503,755 | ||||||
Stockholders' Equity
|
||||||||
Preferred stock; no par value; 5,000,000 shares authorized; no shares issued and outstanding.
|
- | - | ||||||
Common stock; $1 par value; 35,000,000 shares authorized; 2012: 22,874,676 shares issued and outstanding; 2011: 22,819,000 shares issued and outstanding.
|
22,875 | 22,819 | ||||||
Additional paid-in capital
|
271,295 | 271,080 | ||||||
Retained earnings
|
118,552 | 110,940 | ||||||
Accumulated other comprehensive income
|
9,312 | 9,334 | ||||||
Total stockholders' equity
|
422,034 | 414,173 | ||||||
Total liabilities and stockholders' equity
|
$ | 2,979,866 | $ | 2,917,928 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||
(In thousands, except per share data)
|
||||||||
Three Months Ended
|
||||||||
June 30,
|
||||||||
2012
|
2011
|
|||||||
Interest Income
|
||||||||
Loans, including fees
|
$ | 25,879 | $ | 27,084 | ||||
Federal funds sold and deposits in other banks
|
31 | 64 | ||||||
Investment securities:
|
||||||||
Taxable
|
1,719 | 1,824 | ||||||
Tax-exempt
|
1,305 | 1,397 | ||||||
Total interest income
|
28,934 | 30,369 | ||||||
Interest Expense
|
||||||||
Deposits
|
3,996 | 5,533 | ||||||
Federal funds purchased and securities sold under agreements to repurchase
|
6 | 9 | ||||||
Federal Home Loan Bank advances
|
409 | 518 | ||||||
Subordinated debt
|
343 | 266 | ||||||
Total interest expense
|
4,754 | 6,326 | ||||||
Net interest income
|
24,180 | 24,043 | ||||||
Provision for loan losses
|
1,400 | 3,150 | ||||||
Net interest income after provision for loan losses
|
22,780 | 20,893 | ||||||
Noninterest Income
|
||||||||
Retail banking fees
|
3,812 | 3,840 | ||||||
Commissions and fees from fiduciary activities
|
872 | 847 | ||||||
Brokerage fee income
|
450 | 506 | ||||||
Mortgage banking-related fees
|
1,752 | 1,531 | ||||||
(Losses) gains on mortgage indemnifications and repurchases
|
(202 | ) | 2 | |||||
Gains on sale of premises and equipment
|
8 | 3 | ||||||
Gains on sale of securities available for sale
|
7 | 11 | ||||||
Losses on sale / impairments of foreclosed assets
|
(219 | ) | (366 | ) | ||||
Income from bank owned life insurance
|
438 | 323 | ||||||
Other operating income
|
1,279 | 824 | ||||||
Total noninterest income
|
8,197 | 7,521 | ||||||
Noninterest Expense
|
||||||||
Compensation and employee benefits
|
13,332 | 12,304 | ||||||
Net occupancy
|
2,096 | 1,980 | ||||||
Equipment
|
2,152 | 2,164 | ||||||
Amortization of intangible assets
|
413 | 413 | ||||||
Marketing
|
379 | 258 | ||||||
State franchise taxes
|
559 | 594 | ||||||
FDIC insurance
|
543 | 641 | ||||||
Data processing
|
706 | 664 | ||||||
Professional fees
|
883 | 599 | ||||||
Telecommunications
|
410 | 439 | ||||||
Other operating expenses
|
2,855 | 3,164 | ||||||
Total noninterest expense
|
24,328 | 23,220 | ||||||
Income before income taxes
|
6,649 | 5,194 | ||||||
Income tax expense
|
1,768 | 1,169 | ||||||
Net income
|
$ | 4,881 | $ | 4,025 | ||||
Dividends and accretion on preferred stock
|
- | (720 | ) | |||||
Net income available to common shareholders
|
$ | 4,881 | $ | 3,305 | ||||
Basic net income per common share available to common shareholders
|
$ | 0.21 | $ | 0.15 | ||||
Diluted net income per common share available to common shareholders
|
$ | 0.21 | $ | 0.14 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||
CONSOLIDATED INCOME STATEMENTS
|
||||||||
(In thousands, except per share data)
|
||||||||
Six Months Ended
|
||||||||
June 30,
|
||||||||
2012
|
2011
|
|||||||
Interest Income
|
||||||||
Loans, including fees
|
$ | 51,893 | $ | 54,347 | ||||
Federal funds sold and deposits in other banks
|
65 | 133 | ||||||
Investment securities:
|
||||||||
Taxable
|
3,329 | 3,544 | ||||||
Tax-exempt
|
2,605 | 2,650 | ||||||
Total interest income
|
57,892 | 60,674 | ||||||
Interest Expense
|
||||||||
Deposits
|
8,273 | 11,067 | ||||||
Federal funds purchased and securities sold under agreements to repurchase
|
13 | 16 | ||||||
Federal Home Loan Bank advances
|
847 | 1,158 | ||||||
Subordinated debt
|
684 | 528 | ||||||
Total interest expense
|
9,817 | 12,769 | ||||||
Net interest income
|
48,075 | 47,905 | ||||||
Provision for loan losses
|
2,250 | 7,650 | ||||||
Net interest income after provision for loan losses
|
45,825 | 40,255 | ||||||
Noninterest Income
|
||||||||
Retail banking fees
|
7,606 | 7,396 | ||||||
Commissions and fees from fiduciary activities
|
1,801 | 1,751 | ||||||
Brokerage fee income
|
865 | 941 | ||||||
Mortgage banking-related fees
|
3,936 | 3,596 | ||||||
Losses on mortgage indemnifications and repurchases
|
(556 | ) | (263 | ) | ||||
(Losses) gains on sale of premises and equipment
|
(7 | ) | 3 | |||||
Gains on sale of securities available for sale
|
79 | 21 | ||||||
Losses on sale / impairments on foreclosed assets
|
(670 | ) | (495 | ) | ||||
Income from bank owned life insurance
|
878 | 642 | ||||||
Other operating income
|
2,287 | 1,599 | ||||||
Total noninterest income
|
16,219 | 15,191 | ||||||
Noninterest Expense
|
||||||||
Compensation and employee benefits
|
25,956 | 24,659 | ||||||
Net occupancy
|
4,159 | 4,050 | ||||||
Equipment
|
4,369 | 4,184 | ||||||
Amortization of intangible assets
|
825 | 825 | ||||||
Marketing
|
628 | 584 | ||||||
State franchise taxes
|
1,128 | 1,192 | ||||||
FDIC insurance
|
1,182 | 1,518 | ||||||
Data processing
|
1,377 | 1,299 | ||||||
Professional fees
|
1,565 | 1,231 | ||||||
Telecommunications
|
835 | 815 | ||||||
Other operating expenses
|
5,756 | 6,398 | ||||||
Total noninterest expense
|
47,780 | 46,755 | ||||||
Income before income taxes
|
14,264 | 8,691 | ||||||
Income tax expense
|
3,882 | 1,794 | ||||||
Net income
|
$ | 10,382 | $ | 6,897 | ||||
Dividends and accretion on preferred stock
|
- | (1,186 | ) | |||||
Net income available to common shareholders
|
$ | 10,382 | $ | 5,711 | ||||
Basic net income per common share available to common shareholders
|
$ | 0.45 | $ | 0.25 | ||||
Diluted net income per common share available to common shareholders
|
$ | 0.45 | $ | 0.25 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||||||||||
(In thousands)
|
||||||||||||||||
Three months ended June 30,
|
||||||||||||||||
2012
|
2011
|
|||||||||||||||
Net income
|
$ | 4,881 | $ | 4,025 | ||||||||||||
Other comprehensive income, net of tax:
|
||||||||||||||||
Unrealized holding gains arising during the period (net of tax 2012: $342, 2011: $917)
|
$ | 634 | $ | 1,705 | ||||||||||||
Reclassification adjustment (net of tax 2012: $2, 2011: $4)
|
(4 | ) | (8 | ) | ||||||||||||
Change in post retirement liability (net of tax 2012: $0, 2011: $84)
|
- | 156 | ||||||||||||||
Change in cash flow hedge (net of tax 2012: $147, 2011: $136)
|
(273 | ) | (253 | ) | ||||||||||||
Other comprehensive income
|
357 | 1,600 | ||||||||||||||
Total comprehensive income
|
$ | 5,238 | $ | 5,625 | ||||||||||||
Six months ended June 30,
|
||||||||||||||||
2012 | 2011 | |||||||||||||||
Net income
|
$ | 10,382 | $ | 6,897 | ||||||||||||
Other comprehensive income, net of tax:
|
||||||||||||||||
Unrealized holding gains arising during the period (net of tax 2012: $178, 2011: $1,206)
|
$ | 327 | $ | 2,240 | ||||||||||||
Reclassification adjustment (net of tax 2012: $28, 2011: $7)
|
(51 | ) | (14 | ) | ||||||||||||
Change in post retirement liability (net of tax 2012: $1, 2011: $42)
|
2 | 78 | ||||||||||||||
Change in cash flow hedge (net of tax 2012: $162, 2011: $125)
|
(300 | ) | (233 | ) | ||||||||||||
Other comprehensive (loss) income
|
(22 | ) | 2,071 | |||||||||||||
Total comprehensive income
|
$ | 10,360 | $ | 8,968 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||||||||||||||||||
(In thousands)
|
||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||
Other
|
||||||||||||||||||||||||
Additional
|
Compre-
|
|||||||||||||||||||||||
Preferred
|
Common
|
Paid-In
|
Retained
|
hensive
|
||||||||||||||||||||
Stock
|
Stock
|
Capital
|
Earnings
|
Income
|
Total
|
|||||||||||||||||||
Balance, January 1, 2011
|
$ | 28,763 | $ | 22,748 | $ | 270,047 | $ | 101,188 | $ | 3,691 | $ | 426,437 | ||||||||||||
Net income
|
- | - | - | 6,897 | - | 6,897 | ||||||||||||||||||
Other comprehensive income
|
- | - | - | - | 2,071 | 2,071 | ||||||||||||||||||
Cash dividends paid or accrued:
|
- | |||||||||||||||||||||||
Common ($0.08 per share)
|
- | - | - | (1,836 | ) | - | (1,836 | ) | ||||||||||||||||
Preferred cumulative 5%
|
- | - | - | (724 | ) | - | (724 | ) | ||||||||||||||||
Accretion of preferred stock discount
|
177 | - | - | (177 | ) | - | - | |||||||||||||||||
Partial repurchase of preferred stock issued to U.S. Treasury and associated accelerated accretion
|
(7,215 | ) | (285 | ) | (7,500 | ) | ||||||||||||||||||
Stock-based compensation expense (20,419 shares)
|
- | 20 | 331 | - | - | 351 | ||||||||||||||||||
Exercise of stock options (31,920 shares)
|
- | 32 | 278 | - | - | 310 | ||||||||||||||||||
Balance, June 30, 2011
|
$ | 21,725 | $ | 22,800 | $ | 270,656 | $ | 105,063 | $ | 5,762 | $ | 426,006 | ||||||||||||
Balance, January 1, 2012
|
$ | - | $ | 22,819 | $ | 271,080 | $ | 110,940 | $ | 9,334 | $ | 414,173 | ||||||||||||
Net income
|
- | - | - | 10,382 | - | 10,382 | ||||||||||||||||||
Other comprehensive loss
|
- | - | - | - | (22 | ) | (22 | ) | ||||||||||||||||
Common dividends paid ($0.12 per share)
|
- | - | - | (2,770 | ) | - | (2,770 | ) | ||||||||||||||||
Stock-based compensation expense (52,484 shares)
|
- | 53 | 426 | - | - | 479 | ||||||||||||||||||
Exercise of stock options (3,192 shares)
|
- | 3 | (211 | ) | - | - | (208 | ) | ||||||||||||||||
Balance, June 30, 2012
|
$ | - | $ | 22,875 | $ | 271,295 | $ | 118,552 | $ | 9,312 | $ | 422,034 |
STELLARONE CORPORATION AND SUBSIDIARY
|
||||||||
(In thousands)
|
||||||||
Six Months Ended June 30,
|
||||||||
2012
|
2011
|
|||||||
Cash Flows from Operating Activities
|
||||||||
Net income
|
$ | 10,382 | $ | 6,897 | ||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||
Depreciation
|
3,345 | 3,391 | ||||||
Amortization of intangible assets
|
825 | 825 | ||||||
Provision for loan losses
|
2,250 | 7,650 | ||||||
Deferred tax expense (benefit)
|
1,268 | (466 | ) | |||||
Stock-based compensation expense
|
479 | 351 | ||||||
Losses on sale / impairments of foreclosed assets
|
670 | 495 | ||||||
Losses on mortgage indemnifications and repurchases
|
556 | 263 | ||||||
Losses (gains) on sale of premises and equipment
|
7 | (3 | ) | |||||
Gains on sale of securities available for sale
|
(79 | ) | (21 | ) | ||||
Mortgage banking-related fees
|
(3,936 | ) | (3,596 | ) | ||||
Proceeds from sale of mortgage loans
|
153,739 | 197,885 | ||||||
Origination of mortgage loans for sale
|
(128,378 | ) | (162,686 | ) | ||||
Amortization of securities premiums and accretion of discounts, net
|
872 | 595 | ||||||
Income on bank owned life insurance
|
(878 | ) | (642 | ) | ||||
Changes in assets and liabilities:
|
||||||||
Decrease in accrued interest receivable
|
611 | 216 | ||||||
Decrease in other assets
|
167 | 3,828 | ||||||
Decrease in accrued interest payable
|
(275 | ) | (125 | ) | ||||
Increase in other liabilities
|
6,411 | 2,072 | ||||||
Net cash provided by operating activities
|
$ | 48,036 | $ | 56,929 | ||||
Cash Flows from Investing Activities
|
||||||||
Proceeds from maturities, calls and principal payments of securities available for sale
|
$ | 68,960 | $ | 66,923 | ||||
Proceeds from sales of securities available for sale
|
- | 1,095 | ||||||
Purchase of securities available for sale
|
(174,178 | ) | (145,172 | ) | ||||
Net (increase) decrease in loans
|
(12,848 | ) | 27,039 | |||||
Proceeds from sale of premises and equipment
|
1,033 | 4 | ||||||
Purchase of premises and equipment
|
(3,568 | ) | (1,087 | ) | ||||
Proceeds from sale of foreclosed assets
|
3,570 | 5,120 | ||||||
Net cash used by investing activities
|
$ | (117,031 | ) | $ | (46,078 | ) | ||
Cash Flows from Financing Activities
|
||||||||
Net increase in demand, money market and savings deposits
|
$ | 87,049 | $ | 20,216 | ||||
Net decrease in certificates of deposit
|
(36,586 | ) | (2,165 | ) | ||||
Principal payments on Federal Home Loan Bank advances
|
(5,000 | ) | (25,000 | ) | ||||
Proceeds from exercise of stock options
|
(208 | ) | 310 | |||||
Partial repurchase of preferred stock issued to the U.S. Treasury
|
- | (7,500 | ) | |||||
Cash dividends paid
|
(2,770 | ) | (2,560 | ) | ||||
Net cash provided (used) by financing activities
|
$ | 42,485 | $ | (16,699 | ) | |||
Decrease in cash and cash equivalents
|
$ | (26,510 | ) | $ | (5,848 | ) | ||
Cash and Cash Equivalents
|
||||||||
Beginning
|
99,970 | 139,886 | ||||||
Ending
|
$ | 73,460 | $ | 134,038 | ||||
Supplemental Schedule of Noncash Activities
|
||||||||
Foreclosed assets acquired in settlement of loans
|
$ | 2,440 | $ | 4,078 |
1.
|
Organization
|
2.
|
Investment Securities
|
June 30, 2012
|
December 31, 2011
|
|||||||||||||||||||||||||||||||
Gross
|
Gross
|
Gross
|
Gross
|
|||||||||||||||||||||||||||||
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
|||||||||||||||||||||||||
Cost
|
Gains
|
Losses
|
Value
|
Cost
|
Gains
|
Losses
|
Value
|
|||||||||||||||||||||||||
U.S. Treasuries
|
$ | 10,000 | $ | - | $ | - | $ | 10,000 | $ | - | $ | - | $ | - | $ | - | ||||||||||||||||
U. S. Government agencies
|
263,899 | 1,392 | (108 | ) | 265,183 | 151,155 | 1,370 | (58 | ) | 152,467 | ||||||||||||||||||||||
State and municipals
|
144,022 | 11,011 | (4 | ) | 155,029 | 148,933 | 10,582 | - | 159,515 | |||||||||||||||||||||||
Corporate bonds
|
4,814 | 87 | (8 | ) | 4,893 | 4,478 | 140 | - | 4,618 | |||||||||||||||||||||||
Collateralized mortgage obligations
|
6,231 | 206 | - | 6,437 | 7,251 | 221 | - | 7,472 | ||||||||||||||||||||||||
Mortgage backed securities
|
126,604 | 5,668 | - | 132,272 | 139,330 | 5,563 | - | 144,893 | ||||||||||||||||||||||||
Certificates of deposits
|
8,999 | - | - | 8,999 | 8,999 | - | - | 8,999 | ||||||||||||||||||||||||
Total
|
$ | 564,569 | $ | 18,364 | $ | (120 | ) | $ | 582,813 | $ | 460,146 | $ | 17,876 | $ | (58 | ) | $ | 477,964 |
Three Months Ended
|
Six Months Ended
|
|||||||||||||||
June 30,
|
June 30,
|
|||||||||||||||
2012
|
2011
|
2012
|
2011
|
|||||||||||||
Proceeds from sales/calls
|
$ | 12,740 | $ | 14,467 | $ | 15,445 | $ | 24,950 | ||||||||
Gross realized gains
|
7 | 11 | 79 | 21 |
Less than 12 months
|
12 months or more
|
Total
|
||||||||||||||||||||||
Unrealized
|
Unrealized
|
Unrealized
|
||||||||||||||||||||||
Fair Value
|
Losses
|
Fair Value
|
Losses
|
Fair Value
|
Losses
|
|||||||||||||||||||
U. S. Government agencies
|
$ | 47,132 | $ | (108 | ) | $ | - | $ | - | $ | 47,132 | $ | (108 | ) | ||||||||||
State and municipals
|
1,786 | (4 | ) | - | - | 1,786 | (4 | ) | ||||||||||||||||
Corporate bonds
|
1,316 | (8 | ) | - | - | 1,316 | (8 | ) | ||||||||||||||||
Total temporarily impaired securities
|
$ | 50,234 | $ | (120 | ) | $ | - | $ | - | $ | 50,234 | $ | (120 | ) |
Amortized Cost
|
Fair Value
|
|||||||
Due in one year or less
|
$ | 52,509 | $ | 52,828 | ||||
Due after one year through five years
|
265,700 | 268,187 | ||||||
Due after five years through ten years
|
87,641 | 92,472 | ||||||
Due after ten years
|
158,719 | 169,326 | ||||||
Total
|
$ | 564,569 | $ | 582,813 |
3.
|
Derivative Financial Instruments
|
4.
|
Loans and Allowance for Loan Losses
|
June 30,
|
December 31,
|
|||||||
2012
|
2011
|
|||||||
Construction and land development:
|
||||||||
Residential
|
$ | 52,308 | $ | 49,995 | ||||
Commercial
|
148,503 | 164,672 | ||||||
Total construction and land development
|
200,811 | 214,667 | ||||||
Commercial real estate:
|
||||||||
Commercial real estate - owner occupied
|
296,361 | 317,976 | ||||||
Commercial real estate - non-owner occupied
|
473,810 | 417,658 | ||||||
Farmland
|
11,881 | 15,756 | ||||||
Multifamily, nonresidential and junior liens
|
94,641 | 93,470 | ||||||
Total commercial real estate
|
876,693 | 844,860 | ||||||
Consumer real estate:
|
||||||||
Home equity lines
|
256,807 | 263,035 | ||||||
Secured by 1-4 family residential, secured by first deeds of trust
|
446,768 | 450,667 | ||||||
Secured by 1-4 family residential, secured by second deeds of trust
|
39,486 | 42,534 | ||||||
Total consumer real estate
|
743,061 | 756,236 | ||||||
Commercial and industrial loans (except those secured by real estate)
|
192,369 | 189,887 | ||||||
Consumer and other:
|
||||||||
Consumer installment loans
|
21,843 | 20,216 | ||||||
Deposit overdrafts
|
760 | 3,526 | ||||||
All other loans
|
1,629 | 1,739 | ||||||
Total consumer and other
|
24,232 | 25,481 | ||||||
Total loans
|
2,037,166 | 2,031,131 | ||||||
Deferred loan costs
|
(23 | ) | 299 | |||||
Allowance for loan losses
|
(30,142 | ) | (32,588 | ) | ||||
Net loans
|
$ | 2,007,001 | $ | 1,998,842 |
Nonaccrual
|
Loans Past Due Over 90 Days Still Accruing
|
|||||||||||||||
June 30,
|
December 31,
|
June 30,
|
December 31,
|
|||||||||||||
2012
|
2011
|
2012
|
2011
|
|||||||||||||
Construction and land development
|
$ | 7,603 | $ | 8,324 | $ | 125 | $ | - | ||||||||
Commercial real estate
|
13,817 | 15,055 | - | 1,416 | ||||||||||||
Consumer real estate
|
13,359 | 14,629 | 507 | - | ||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
644 | 1,141 | 651 | 96 | ||||||||||||
Consumer and other
|
59 | 25 | 26 | 4 | ||||||||||||
Total
|
$ | 35,482 | $ | 39,174 | $ | 1,309 | $ | 1,516 |
30-59 Days Past Due
|
60-89 Days Past Due
|
Greater than 90 Days Past Due
|
Non-accrual
|
Total Past Due
|
Current
|
Total Loans
|
||||||||||||||||||||||
June 30, 2012
|
||||||||||||||||||||||||||||
Construction and land development
|
$ | 2,452 | $ | 1,272 | $ | 125 | $ | 7,603 | $ | 11,452 | $ | 189,359 | $ | 200,811 | ||||||||||||||
Commercial real estate
|
3,246 | 5,209 | - | 13,817 | 22,272 | 854,421 | 876,693 | |||||||||||||||||||||
Consumer real estate
|
11,776 | 5,707 | 507 | 13,359 | 31,349 | 711,712 | 743,061 | |||||||||||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
502 | 581 | 651 | 644 | 2,378 | 189,991 | 192,369 | |||||||||||||||||||||
Consumer and other
|
180 | 90 | 26 | 59 | 355 | 23,877 | 24,232 | |||||||||||||||||||||
Total loans
|
$ | 18,156 | $ | 12,859 | $ | 1,309 | $ | 35,482 | $ | 67,806 | $ | 1,969,360 | $ | 2,037,166 | ||||||||||||||
December 31, 2011
|
||||||||||||||||||||||||||||
Construction and land development
|
$ | 7,268 | $ | 397 | $ | - | $ | 8,324 | $ | 15,989 | $ | 198,678 | $ | 214,667 | ||||||||||||||
Commercial real estate
|
5,125 | 2,856 | 1,416 | 15,055 | 24,452 | 820,408 | 844,860 | |||||||||||||||||||||
Consumer real estate
|
14,818 | 2,661 | - | 14,629 | 32,108 | 724,128 | 756,236 | |||||||||||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
714 | 264 | 96 | 1,141 | 2,215 | 187,672 | 189,887 | |||||||||||||||||||||
Consumer and other
|
297 | 59 | 4 | 25 | 385 | 25,096 | 25,481 | |||||||||||||||||||||
Total loans
|
$ | 28,222 | $ | 6,237 | $ | 1,516 | $ | 39,174 | $ | 75,149 | $ | 1,955,982 | $ | 2,031,131 |
Three Months Ended June 30, 2012
|
||||||||||||||||||||||||
Construction and Land Development
|
Commercial Real Estate
|
Consumer Real Estate
|
Commercial and Industrial (Except those Secured by Real Estate)
|
Consumer and Other
|
Total Allowance
|
|||||||||||||||||||
Balance, April 1, 2012
|
$ | 9,416 | $ | 8,230 | $ | 10,526 | $ | 3,364 | $ | 79 | $ | 31,615 | ||||||||||||
Provision for loan losses
|
(568 | ) | 1,626 | 1,121 | (754 | ) | (25 | ) | 1,400 | |||||||||||||||
Loans charged off
|
(896 | ) | (960 | ) | (1,281 | ) | (234 | ) | (40 | ) | (3,411 | ) | ||||||||||||
Recoveries
|
2 | 160 | 156 | 150 | 70 | 538 | ||||||||||||||||||
Net (charge-offs) recoveries
|
(894 | ) | (800 | ) | (1,125 | ) | (84 | ) | 30 | (2,873 | ) | |||||||||||||
Balance, June 30, 2012
|
$ | 7,954 | $ | 9,056 | $ | 10,522 | $ | 2,526 | $ | 84 | $ | 30,142 | ||||||||||||
Three Months Ended June 30, 2011
|
||||||||||||||||||||||||
Construction and Land Development
|
Commercial Real Estate
|
Consumer Real Estate
|
Commercial and Industrial (Except those Secured by Real Estate)
|
Consumer and Other
|
Total Allowance
|
|||||||||||||||||||
Balance, April 1, 2011
|
$ | 11,408 | $ | 7,879 | $ | 11,305 | $ | 6,721 | $ | 206 | $ | 37,519 | ||||||||||||
Provisions for loan losses
|
884 | 773 | 906 | 576 | 11 | 3,150 | ||||||||||||||||||
Loans charged off
|
(2,897 | ) | (287 | ) | (1,299 | ) | (1,208 | ) | (129 | ) | (5,820 | ) | ||||||||||||
Recoveries
|
481 | 68 | 45 | 155 | 138 | 887 | ||||||||||||||||||
Net (charge-offs) recoveries
|
(2,416 | ) | (219 | ) | (1,254 | ) | (1,053 | ) | 9 | (4,933 | ) | |||||||||||||
Balance, June 30, 2011
|
$ | 9,876 | $ | 8,433 | $ | 10,957 | $ | 6,244 | $ | 226 | $ | 35,736 | ||||||||||||
Six Months Ended June 30, 2012
|
||||||||||||||||||||||||
Construction and Land Development
|
Commercial Real Estate
|
Consumer Real Estate
|
Commercial and Industrial (Except those Secured by Real Estate)
|
Consumer and Other
|
Total Allowance
|
|||||||||||||||||||
Balance, January 1, 2012
|
$ | 9,856 | $ | 8,565 | $ | 10,019 | $ | 4,059 | $ | 89 | $ | 32,588 | ||||||||||||
Provision for loan losses
|
(621 | ) | 2,020 | 2,417 | (1,467 | ) | (99 | ) | 2,250 | |||||||||||||||
Loans charged off
|
(1,297 | ) | (1,756 | ) | (2,169 | ) | (484 | ) | (88 | ) | (5,794 | ) | ||||||||||||
Recoveries
|
16 | 227 | 255 | 418 | 182 | 1,098 | ||||||||||||||||||
Net (charge-offs) recoveries
|
(1,281 | ) | (1,529 | ) | (1,914 | ) | (66 | ) | 94 | (4,696 | ) | |||||||||||||
Balance, June 30, 2012
|
$ | 7,954 | $ | 9,056 | $ | 10,522 | $ | 2,526 | $ | 84 | $ | 30,142 | ||||||||||||
Six Months Ended June 30, 2011
|
||||||||||||||||||||||||
Construction and Land Development
|
Commercial Real Estate
|
Consumer Real Estate
|
Commercial and Industrial (Except those Secured by Real Estate)
|
Consumer and Other
|
Total Allowance
|
|||||||||||||||||||
Balance, January 1, 2011
|
$ | 11,037 | $ | 8,211 | $ | 10,864 | $ | 7,388 | $ | 149 | $ | 37,649 | ||||||||||||
Provisions for loan losses
|
2,202 | 1,792 | 2,225 | 1,405 | 26 | 7,650 | ||||||||||||||||||
Loans charged off
|
(3,859 | ) | (1,640 | ) | (2,235 | ) | (2,830 | ) | (235 | ) | (10,799 | ) | ||||||||||||
Recoveries
|
496 | 70 | 103 | 281 | 286 | 1,236 | ||||||||||||||||||
Net (charge-offs) recoveries
|
(3,363 | ) | (1,570 | ) | (2,132 | ) | (2,549 | ) | 51 | (9,563 | ) | |||||||||||||
Balance, June 30, 2011
|
$ | 9,876 | $ | 8,433 | $ | 10,957 | $ | 6,244 | $ | 226 | $ | 35,736 |
Construction and Land Development
|
Commercial Real Estate
|
Consumer Real Estate
|
Commercial and Industrial Loans (Except those Secured by Real Estate)
|
Consumer and Other
|
Total Allowance
|
|||||||||||||||||||
June 30, 2012
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||
Individually evaluated for impairment
|
$ | 3,140 | $ | 1,921 | $ | 439 | $ | - | $ | - | $ | 5,500 | ||||||||||||
Collectively evaluated for impairment
|
4,814 | 7,135 | 10,083 | 2,526 | 84 | 24,642 | ||||||||||||||||||
Total ending allowance
|
$ | 7,954 | $ | 9,056 | $ | 10,522 | $ | 2,526 | $ | 84 | $ | 30,142 | ||||||||||||
Loans:
|
||||||||||||||||||||||||
Individually evaluated for impairment
|
$ | 12,239 | $ | 25,225 | $ | 6,523 | $ | - | $ | - | $ | 43,987 | ||||||||||||
Collectively evaluated for impairment
|
188,572 | 851,468 | 736,538 | 192,369 | 24,232 | 1,993,179 | ||||||||||||||||||
Total loans
|
$ | 200,811 | $ | 876,693 | $ | 743,061 | $ | 192,369 | $ | 24,232 | $ | 2,037,166 | ||||||||||||
December 31, 2011
|
||||||||||||||||||||||||
Allowance for loan losses:
|
||||||||||||||||||||||||
Individually evaluated for impairment
|
$ | 4,071 | $ | 1,088 | $ | 562 | $ | - | $ | - | $ | 5,721 | ||||||||||||
Collectively evaluated for impairment
|
5,785 | 7,477 | 9,457 | 4,059 | 89 | 26,867 | ||||||||||||||||||
Total ending allowance
|
$ | 9,856 | $ | 8,565 | $ | 10,019 | $ | 4,059 | $ | 89 | $ | 32,588 | ||||||||||||
Loans: | ||||||||||||||||||||||||
Individually evaluated for impairment
|
$ | 15,218 | $ | 13,730 | $ | 5,325 | $ | - | $ | - | $ | 34,273 | ||||||||||||
Collectively evaluated for impairment
|
199,449 | 831,130 | 750,911 | 189,887 | 25,481 | 1,996,858 | ||||||||||||||||||
Total loans
|
$ | 214,667 | $ | 844,860 | $ | 756,236 | $ | 189,887 | $ | 25,481 | $ | 2,031,131 |
June 30,
|
December 31,
|
|||||||
2012
|
2011
|
|||||||
Performing restructurings:
|
||||||||
Construction and land development
|
$ | 7,830 | $ | 9,946 | ||||
Commercial real estate
|
5,927 | 5,029 | ||||||
Consumer real estate
|
11,053 | 15,556 | ||||||
Total performing restructurings
|
$ | 24,810 | $ | 30,531 | ||||
Nonperforming restructurings:
|
||||||||
Commercial real estate
|
$ | 2,126 | $ | 2,832 | ||||
Consumer real estate
|
2,845 | 5,357 | ||||||
Total nonperforming restructurings
|
$ | 4,971 | $ | 8,189 | ||||
Total restructurings
|
$ | 29,781 | $ | 38,720 |
Modifications for the three months ended,
|
||||||||||||
June 30, 2012
|
||||||||||||
Number of contracts
|
Pre-Modification Outstanding Recorded Investment
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
Troubled Debt Restructurings
|
||||||||||||
Consumer real estate
|
1 | $ | 866 | $ | 866 | |||||||
Total Troubled Debt Restructurings
|
1 | $ | 866 | $ | 866 |
Troubled Debt Restructurings that Subsequently Defaulted
|
||||||||
Number of contracts
|
Recorded Investment
|
|||||||
Troubled Debt Restructurings
|
||||||||
Commercial real estate
|
2 | $ | 907 | |||||
Consumer real estate
|
14 | 1,499 | ||||||
Total Troubled Debt Restructurings
|
16 | $ | 2,406 |
Modifications for the three months ended,
|
||||||||||||
June 30, 2011
|
||||||||||||
Number of contracts
|
Pre-Modification Outstanding Recorded Investment
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
Troubled Debt Restructurings
|
||||||||||||
Construction and land development
|
3 | $ | 556 | $ | 560 | |||||||
Commercial real estate
|
1 | 1,824 | 1,325 | |||||||||
Consumer real estate
|
16 | 1,424 | 1,452 | |||||||||
Commercial and industrial loans (except those secured by real estate)
|
1 | 5 | 5 | |||||||||
Total Troubled Debt Restructurings
|
21 | $ | 3,809 | $ | 3,342 |
Troubled Debt Restructurings that Subsequently Defaulted
|
||||||||
Number of contracts
|
Recorded Investment
|
|||||||
Troubled Debt Restructurings
|
||||||||
Construction and land development
|
1 | $ | 300 | |||||
Consumer real estate
|
17 | 1,701 | ||||||
Commercial and industrial loans (except those secured by real estate)
|
1 | - | ||||||
Total Troubled Debt Restructurings
|
19 | $ | 2,001 |
Modifications for the six months ended,
|
||||||||||||
June 30, 2012
|
||||||||||||
Number of contracts
|
Pre-Modification Outstanding Recorded Investment
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
Troubled Debt Restructurings
|
||||||||||||
Construction and land development
|
1 | $ | 2,201 | $ | 2,201 | |||||||
Commercial real estate
|
1 | 866 | 866 | |||||||||
Consumer real estate
|
2 | 986 | 1,275 | |||||||||
Total Troubled Debt Restructurings
|
4 | $ | 4,053 | $ | 4,342 |
Troubled Debt Restructurings that Subsequently Defaulted
|
||||||||
Number of contracts
|
Recorded Investment
|
|||||||
Troubled Debt Restructurings
|
||||||||
Commercial real estate
|
2 | $ | 907 | |||||
Consumer real estate
|
14 | $ | 1,499 | |||||
Total Troubled Debt Restructurings
|
16 | $ | 2,406 |
Modifications for the six months ended,
|
||||||||||||
June 30, 2011
|
||||||||||||
Number of contracts
|
Pre-Modification Outstanding Recorded Investment
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
Troubled Debt Restructurings
|
||||||||||||
Construction and land development
|
4 | $ | 708 | $ | 716 | |||||||
Commercial real estate
|
3 | 2,269 | 1,770 | |||||||||
Consumer real estate
|
35 | 4,953 | 5,051 | |||||||||
Commercial and industrial loans (except those secured by real estate)
|
1 | 5 | 5 | |||||||||
Total Troubled Debt Restructurings
|
43 | $ | 7,935 | $ | 7,542 |
Troubled Debt Restructurings that Subsequently Defaulted
|
||||||||
Number of contracts
|
Recorded Investment
|
|||||||
Troubled Debt Restructurings
|
||||||||
Construction and land development
|
1 | $ | 300 | |||||
Consumer real estate
|
17 | 1,701 | ||||||
Commercial and industrial loans (except those secured by real estate)
|
1 | - | ||||||
Total Troubled Debt Restructurings
|
19 | $ | 2,001 |
Three Months Ended June 30
|
||||||||
Interest income recognized
|
Cash-basis interest income
|
|||||||
2012
|
||||||||
Construction and land development
|
$ | 101 | $ | 94 | ||||
Commercial real estate
|
69 | 81 | ||||||
Consumer real estate
|
82 | 75 | ||||||
Total
|
$ | 252 | $ | 250 | ||||
2011
|
||||||||
Construction and land development
|
$ | 59 | $ | 59 | ||||
Commercial real estate
|
81 | 85 | ||||||
Consumer real estate
|
4 | 4 | ||||||
Commercial and industrial loans (except those secured by real estate)
|
(16 | ) | 7 | |||||
Total
|
$ | 128 | $ | 155 | ||||
Six Months Ended June 30
|
||||||||
Interest income recognized
|
Cash-basis interest income recognized
|
|||||||
2012
|
||||||||
Construction and land development
|
$ | 215 | $ | 241 | ||||
Commercial real estate
|
131 | 145 | ||||||
Consumer real estate
|
127 | 118 | ||||||
Total
|
$ | 473 | $ | 504 | ||||
2011
|
||||||||
Construction and land development
|
$ | 94 | $ | 104 | ||||
Commercial real estate
|
160 | 172 | ||||||
Consumer real estate
|
53 | 52 | ||||||
Commercial and industrial loans (except those secured by real estate)
|
37 | 45 | ||||||
Total
|
$ | 344 | $ | 373 |
Recorded investment
|
Unpaid contractual principal balance
|
Allocated allowance
|
Average recorded investment
|
|||||||||||||
June 30, 2012
|
||||||||||||||||
Loans without a specific valuation allowance:
|
||||||||||||||||
Construction and land development
|
$ | 3,052 | $ | 3,115 | $ | - | $ | 3,492 | ||||||||
Commercial real estate
|
8,585 | 9,421 | - | 7,915 | ||||||||||||
Consumer real estate
|
3,850 | 5,400 | - | 3,257 | ||||||||||||
Loans with a specific valuation allowance:
|
||||||||||||||||
Construction and land development
|
9,187 | 11,229 | 3,140 | 10,338 | ||||||||||||
Commercial real estate
|
16,640 | 16,643 | 1,921 | 10,263 | ||||||||||||
Consumer real estate
|
2,673 | 2,674 | 439 | 3,040 | ||||||||||||
Total
|
$ | 43,987 | $ | 48,482 | $ | 5,500 | $ | 38,305 |
Recorded investment
|
Unpaid contractual principal balance
|
Allocated allowance
|
Average recorded investment
|
|||||||||||||
December 31, 2011
|
||||||||||||||||
Loans without a specific valuation allowance:
|
||||||||||||||||
Construction and land development
|
$ | 4,351 | $ | 4,351 | $ | - | $ | 3,772 | ||||||||
Commercial real estate
|
6,827 | 7,105 | - | 4,484 | ||||||||||||
Consumer real estate
|
2,412 | 3,990 | - | 2,146 | ||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
- | - | - | 517 | ||||||||||||
Loans with a specific valuation allowance:
|
||||||||||||||||
Construction and land development
|
10,867 | 10,867 | 4,071 | 10,235 | ||||||||||||
Commercial real estate
|
6,903 | 6,927 | 1,088 | 7,494 | ||||||||||||
Consumer real estate
|
2,913 | 2,913 | 562 | 2,295 | ||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
- | - | - | 2,638 | ||||||||||||
Total
|
$ | 34,273 | $ | 36,153 | $ | 5,721 | $ | 33,581 |
Risk Grade
|
||||||||||||||||||||||||||||
Not Graded
|
1 - 3 | 4 | 5 | 6 | 7 | 8 | ||||||||||||||||||||||
June 30, 2012
|
||||||||||||||||||||||||||||
Construction and land development
|
$ | 45,670 | $ | 1,484 | $ | 66,480 | $ | 51,086 | $ | 3,309 | $ | 30,367 | $ | 2,415 | ||||||||||||||
Commercial real estate
|
- | 94,434 | 441,405 | 219,124 | 47,453 | 73,295 | 982 | |||||||||||||||||||||
Consumer real estate
|
- | 8,411 | 93,123 | 68,980 | 11,781 | 30,834 | 505 | |||||||||||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
- | 50,476 | 80,104 | 50,365 | 5,072 | 6,352 | - | |||||||||||||||||||||
Total
|
$ | 45,670 | $ | 154,805 | $ | 681,112 | $ | 389,555 | $ | 67,615 | $ | 140,848 | $ | 3,902 | ||||||||||||||
December 31, 2011
|
||||||||||||||||||||||||||||
Construction and land development
|
$ | 46,724 | $ | 1,402 | $ | 72,138 | $ | 47,681 | $ | 3,285 | $ | 40,044 | $ | 3,393 | ||||||||||||||
Commercial real estate
|
- | 89,881 | 411,433 | 228,360 | 37,091 | 77,424 | 671 | |||||||||||||||||||||
Consumer real estate
|
- | 9,727 | 100,501 | 72,386 | 13,157 | 29,540 | 950 | |||||||||||||||||||||
Commercial and industrial loans (except those secured by real estate)
|
- | 51,421 | 92,000 | 33,088 | 4,859 | 8,482 | 37 | |||||||||||||||||||||
Total
|
$ | 46,724 | $ | 152,431 | $ | 676,072 | $ | 381,515 | $ | 58,392 | $ | 155,490 | $ | 5,051 |
Consumer real estate
|
Consumer and other
|
|||||||||||||||
June 30, 2012
|
December 31, 2011
|
June 30, 2012
|
December 31, 2011
|
|||||||||||||
Performing
|
$ | 516,068 | $ | 521,175 | $ | 24,173 | $ | 25,456 | ||||||||
Nonperforming
|
13,359 | 8,800 | 59 | 25 | ||||||||||||
Total
|
$ | 529,427 | $ | 529,975 | $ | 24,232 | $ | 25,481 |
5.
|
Earnings Per Share
|
June 30,
|
||||||||
2012
|
2011
|
|||||||
Earnings per common share
|
||||||||
Net income
|
$ | 4,881 | $ | 4,025 | ||||
Preferred stock dividends and accretion
|
- | (720 | ) | |||||
Net income available to common shareholders
|
4,881 | 3,305 | ||||||
Weighted average common shares issued and outstanding
|
23,089,473 | 22,857,530 | ||||||
Earnings per common share
|
$ | 0.21 | $ | 0.15 | ||||
Diluted earnings per common share
|
||||||||
Weighted average common shares issued and outstanding
|
23,089,473 | 22,857,530 | ||||||
Stock options
|
- | 2,769 | ||||||
Total diluted weighted average common shares issued and outstanding
|
23,089,473 | 22,860,299 | ||||||
Diluted earnings per common share
|
$ | 0.21 | $ | 0.14 |
June 30,
|
||||||||
2012
|
2011
|
|||||||
Earnings per common share
|
||||||||
Net income
|
$ | 10,382 | $ | 6,897 | ||||
Preferred stock dividends and accretion
|
- | (1,186 | ) | |||||
Net income available to common shareholders
|
10,382 | 5,711 | ||||||
Weighted average common shares issued and outstanding
|
23,076,760 | 22,845,367 | ||||||
Earnings per common share
|
$ | 0.45 | $ | 0.25 | ||||
Diluted earnings per common share
|
||||||||
Weighted average common shares issued and outstanding
|
23,076,760 | 22,845,367 | ||||||
Stock options
|
58 | 5,969 | ||||||
Total diluted weighted average common shares issued and outstanding
|
23,076,818 | 22,851,336 | ||||||
Diluted earnings per common share
|
$ | 0.45 | $ | 0.25 |
6.
|
Stock-Based Compensation
|
2012
|
2011
|
|||||||||||||||
Number of Shares
|
Weighted Average Exercise Price
|
Number of Shares
|
Weighted Average Exercise Price
|
|||||||||||||
Outstanding at January 1,
|
291,196 | $ | 21.58 | 498,174 | $ | 19.98 | ||||||||||
Forfeited
|
(6,454 | ) | 19.10 | (10,704 | ) | 18.69 | ||||||||||
Expired
|
(26,346 | ) | 22.57 | (11,010 | ) | 21.03 | ||||||||||
Exercised
|
(3,192 | ) | 12.56 | (31,920 | ) | 9.71 | ||||||||||
Outstanding at June 30,
|
255,204 | $ | 21.53 | 444,540 | $ | 20.73 | ||||||||||
Exercisable at June 30,
|
235,138 | 400,321 |
Nonvested Shares
|
Number of Shares
|
Weighted Average Grant-Date Fair Value
|
Total Intrinsic Value
|
|||||||||
(In thousands)
|
||||||||||||
Nonvested at January 1, 2012
|
201,799 | $ | 12.34 | $ | 2,296 | |||||||
Granted
|
96,255 | 12.17 | ||||||||||
Vested and exercised
|
(52,484 | ) | 11.20 | $ | 650 | |||||||
Forfeited
|
(12,416 | ) | 13.38 | |||||||||
Nonvested at June 30, 2012
|
233,154 | $ | 12.47 | $ | 2,842 |
7.
|
Fair Value Measurements
|
Fair Value Measurements at
|
||||||||||||||||
June 30, 2012
|
||||||||||||||||
Using
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
||||||||||||||
Total
|
(Quoted Prices)
|
(Significant Other Observable Inputs)
|
(Significant Unobservable Inputs)
|
|||||||||||||
Investment securities available-for-sale
|
||||||||||||||||
U. S. Treasuries
|
$ | 10,000 | $ | 10,000 | $ | - | $ | - | ||||||||
U. S. Government agencies
|
265,183 | - | 265,183 | - | ||||||||||||
State and municipals
|
155,029 | - | 155,029 | - | ||||||||||||
Corporate bonds
|
4,893 | - | 4,893 | - | ||||||||||||
Collateralized mortgage obligations
|
6,437 | - | 6,437 | - | ||||||||||||
Agency mortgage backed securities
|
132,272 | - | 132,272 | - | ||||||||||||
Certificates of deposit
|
8,999 | - | 8,999 | - | ||||||||||||
Other assets 1
|
2,818 | 2,818 | - | - | ||||||||||||
Total assets at fair value
|
$ | 585,631 | $ | 12,818 | $ | 572,813 | $ | - | ||||||||
Cash flow hedge
|
$ | 1,266 | $ | - | $ | 1,266 | $ | - | ||||||||
Other liabilities 1
|
2,867 | 2,867 | - | - | ||||||||||||
Total liabilities at fair value
|
$ | 4,133 | $ | 2,867 | $ | 1,266 | $ | - |
Fair Value Measurements at
|
||||||||||||||||
December 31, 2011
|
||||||||||||||||
Using
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
||||||||||||||
Total
|
(Quoted Prices)
|
(Significant Other Observable Inputs)
|
(Significant Unobservable Inputs)
|
|||||||||||||
Investment securities available-for-sale
|
||||||||||||||||
U. S. Government agencies
|
$ | 152,467 | $ | - | $ | 152,467 | $ | - | ||||||||
State and municipals
|
159,515 | - | 159,515 | - | ||||||||||||
Corporate bonds
|
4,618 | - | 4,618 | - | ||||||||||||
Collateralized mortgage obligations
|
7,472 | - | 7,472 | - | ||||||||||||
Agency mortgage backed securities
|
144,893 | - | 144,893 | - | ||||||||||||
Certificates of deposit
|
8,999 | - | 8,999 | - | ||||||||||||
Other assets 1
|
2,711 | 2,711 | - | - | ||||||||||||
Total assets at fair value
|
$ | 480,675 | $ | 2,711 | $ | 477,964 | $ | - | ||||||||
Cash flow hedge
|
$ | 804 | $ | - | $ | 804 | $ | - | ||||||||
Other liabilities 1
|
2,711 | 2,711 | - | - | ||||||||||||
Total liabilities at fair value
|
$ | 3,515 | $ | 2,711 | $ | 804 | $ | - |
Fair Value Measurements at
|
||||||||||||||||
June 30, 2012
|
||||||||||||||||
Using
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
||||||||||||||
Total
|
(Quoted Prices)
|
(Significant Other Observable Inputs)
|
(Significant Unobservable Inputs)
|
|||||||||||||
Impaired loans
|
$ | 54,275 | $ | - | $ | - | $ | 54,275 | ||||||||
Loans held for sale - mortgage
|
20,602 | - | 20,602 | - | ||||||||||||
Foreclosed assets
|
7,014 | - | - | 7,014 | ||||||||||||
Total assets at fair value
|
$ | 81,891 | $ | - | $ | 20,602 | $ | 61,289 | ||||||||
Fair Value Measurements at
|
||||||||||||||||
December 31, 2011
|
||||||||||||||||
Using
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
||||||||||||||
Total
|
(Quoted Prices)
|
(Significant Other Observable Inputs)
|
(Significant Unobservable Inputs)
|
|||||||||||||
Impaired loans
|
$ | 52,756 | $ | - | $ | - | $ | 52,756 | ||||||||
Loans held for sale - mortgage
|
42,027 | - | 42,027 | - | ||||||||||||
Loans held for sale - other assets
|
213 | - | - | 213 | ||||||||||||
Foreclosed assets
|
8,575 | - | - | 8,575 | ||||||||||||
Total assets at fair value
|
$ | 103,571 | $ | - | $ | 42,027 | $ | 61,544 |
June 30, 2012
|
||||||||||||||||||||
Carrying
|
Fair
|
Fair Value Measurements Using
|
||||||||||||||||||
Amount
|
Value
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||||||
Assets
|
||||||||||||||||||||
Cash and cash equivalents
|
$ | 73,460 | $ | 73,460 | $ | 73,460 | $ | - | $ | - | ||||||||||
Investment securities
|
582,813 | 582,813 | 18,999 | 563,814 | - | |||||||||||||||
Mortgage loans held for sale
|
20,602 | 20,602 | - | 20,602 | - | |||||||||||||||
Loans, net
|
2,007,001 | 1,853,529 | - | - | 1,853,529 | |||||||||||||||
Accrued interest receivable
|
8,297 | 8,297 | 8,297 | - | - | |||||||||||||||
Liabilities
|
||||||||||||||||||||
Deposits
|
$ | 2,446,063 | 2,459,782 | $ | - | $ | - | $ | 2,459,782 | |||||||||||
Federal Home Loan Bank advances
|
55,000 | 59,172 | - | - | 59,172 | |||||||||||||||
Subordinated debt
|
32,991 | 32,933 | - | - | 32,933 | |||||||||||||||
Accrued interest payable
|
1,847 | 1,847 | 1,847 | - | - |
December 31, 2011
|
||||||||||||||||||||
Carrying
|
Fair
|
Fair Value Measurements Using
|
||||||||||||||||||
Amount
|
Value
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||||||
Assets
|
||||||||||||||||||||
Cash and cash equivalents
|
$ | 99,970 | $ | 99,970 | $ | 99,970 | $ | - | $ | - | ||||||||||
Investment securities
|
477,964 | 477,964 | 8,999 | 468,965 | - | |||||||||||||||
Mortgage loans held for sale
|
42,027 | 42,027 | - | 42,027 | - | |||||||||||||||
Loans, net
|
1,998,842 | 1,839,635 | - | - | 1,839,635 | |||||||||||||||
Accrued interest receivable
|
8,908 | 8,908 | 8,908 | - | - | |||||||||||||||
Liabilities
|
||||||||||||||||||||
Deposits
|
$ | 2,395,600 | $ | 2,409,959 | $ | - | $ | - | $ | 2,409,959 | ||||||||||
Federal Home Loan Bank advances
|
60,000 | 64,395 | - | - | 64,395 | |||||||||||||||
Subordinated debt
|
32,991 | 32,930 | - | - | 32,930 | |||||||||||||||
Accrued interest payable
|
2,122 | 2,122 | 2,122 | - | - |
8.
|
Segment Information
|
·
|
Commercial Banking
|
·
|
Mortgage Banking
|
·
|
Wealth Management
|
At and for the Three Months Ended June 30, 2012
|
||||||||||||||||||||||||
Commercial
|
Mortgage
|
Wealth
|
Intersegment
|
|||||||||||||||||||||
Banking
|
Banking
|
Management
|
Other
|
Elimination
|
Consolidated
|
|||||||||||||||||||
Net interest income
|
$ | 24,384 | $ | 138 | $ | - | $ | (342 | ) | $ | - | $ | 24,180 | |||||||||||
Provision for loan losses
|
1,400 | - | - | - | - | 1,400 | ||||||||||||||||||
Noninterest income
|
6,418 | 1,693 | 1,322 | 27 | (1,263 | ) | 8,197 | |||||||||||||||||
Noninterest expense
|
22,581 | 1,533 | 1,170 | 307 | (1,263 | ) | 24,328 | |||||||||||||||||
Provision for income taxes
|
1,856 | 89 | 46 | (223 | ) | - | 1,768 | |||||||||||||||||
Net income (loss)
|
$ | 4,965 | $ | 209 | $ | 106 | $ | (399 | ) | $ | - | $ | 4,881 | |||||||||||
Total Assets
|
$ | 2,950,582 | $ | 20,915 | $ | 499 | $ | 460,078 | $ | (452,208 | ) | $ | 2,979,866 | |||||||||||
Average Assets
|
$ | 2,913,191 | $ | 16,403 | $ | 503 | $ | 458,529 | $ | (451,235 | ) | $ | 2,937,391 | |||||||||||
At and for the Three Months Ended June 30, 2011
|
||||||||||||||||||||||||
Commercial
|
Mortgage
|
Wealth
|
Intersegment
|
|||||||||||||||||||||
Banking
|
Banking
|
Management
|
Other
|
Elimination
|
Consolidated
|
|||||||||||||||||||
Net interest income
|
$ | 24,154 | $ | 155 | $ | - | $ | (266 | ) | $ | - | $ | 24,043 | |||||||||||
Provision for loan losses
|
3,150 | - | - | - | - | 3,150 | ||||||||||||||||||
Noninterest income
|
5,747 | 1,565 | 1,353 | 25 | (1,169 | ) | 7,521 | |||||||||||||||||
Noninterest expense
|
21,388 | 1,636 | 1,162 | 203 | (1,169 | ) | 23,220 | |||||||||||||||||
Provision for income taxes
|
1,248 | 25 | 57 | (161 | ) | - | 1,169 | |||||||||||||||||
Net income (loss)
|
$ | 4,115 | $ | 59 | $ | 134 | $ | (283 | ) | $ | - | $ | 4,025 | |||||||||||
Total Assets
|
$ | 2,905,049 | $ | 21,019 | $ | 537 | $ | 462,668 | $ | (453,832 | ) | $ | 2,935,441 | |||||||||||
Average Assets
|
$ | 2,894,437 | $ | 14,775 | $ | 517 | $ | 461,782 | $ | (453,166 | ) | $ | 2,918,346 | |||||||||||
At and for the Six Months Ended June 30, 2012
|
||||||||||||||||||||||||
Commercial
|
Mortgage
|
Wealth
|
Intersegment
|
|||||||||||||||||||||
Banking
|
Banking
|
Management
|
Other
|
Elimination
|
Consolidated
|
|||||||||||||||||||
Net interest income
|
$ | 48,381 | $ | 378 | $ | - | $ | (684 | ) | $ | - | $ | 48,075 | |||||||||||
Provision for loan losses
|
2,250 | - | - | - | - | 2,250 | ||||||||||||||||||
Noninterest income
|
12,446 | 3,498 | 2,715 | 53 | (2,493 | ) | 16,219 | |||||||||||||||||
Noninterest expense
|
44,208 | 3,267 | 2,305 | 493 | (2,493 | ) | 47,780 | |||||||||||||||||
Provision for income taxes
|
3,980 | 183 | 123 | (404 | ) | - | 3,882 | |||||||||||||||||
Net income (loss)
|
$ | 10,389 | $ | 426 | $ | 287 | $ | (720 | ) | $ | - | $ | 10,382 | |||||||||||
Average Assets
|
$ | 2,889,348 | $ | 20,695 | $ | 457 | $ | 456,669 | $ | (449,663 | ) | $ | 2,917,506 | |||||||||||
At and for the Six Months Ended June 30, 2011
|
||||||||||||||||||||||||
Commercial
|
Mortgage
|
Wealth
|
Intersegment
|
|||||||||||||||||||||
Banking
|
Banking
|
Management
|
Other
|
Elimination
|
Consolidated
|
|||||||||||||||||||
Net interest income
|
$ | 48,033 | $ | 399 | $ | - | $ | (527 | ) | $ | - | $ | 47,905 | |||||||||||
Provision for loan losses
|
7,650 | - | - | - | - | 7,650 | ||||||||||||||||||
Noninterest income
|
11,392 | 3,439 | 2,692 | 51 | (2,383 | ) | 15,191 | |||||||||||||||||
Noninterest expense
|
42,943 | 3,541 | 2,255 | 399 | (2,383 | ) | 46,755 | |||||||||||||||||
Provision for income taxes
|
1,893 | 88 | 131 | (318 | ) | - | 1,794 | |||||||||||||||||
Net income (loss)
|
$ | 6,939 | $ | 209 | $ | 306 | $ | (557 | ) | $ | - | $ | 6,897 | |||||||||||
Average Assets
|
$ | 2,885,089 | $ | 19,701 | $ | 476 | $ | 463,038 | $ | (453,988 | ) | $ | 2,914,316 |
CONSOLIDATED AVERAGE BALANCES, YIELDS AND RATES (UNAUDITED)
|
||||||||||||||||||||||||
THREE MONTHS ENDED JUNE 30, 2012 AND 2011
|
||||||||||||||||||||||||
(Dollars in thousands)
|
||||||||||||||||||||||||
For the Three Months Ended June 30,
|
||||||||||||||||||||||||
2012
|
2011
|
|||||||||||||||||||||||
Average
|
Interest
|
Average
|
Average
|
Interest
|
Average
|
|||||||||||||||||||
Balance
|
Inc/Exp
|
Rates
|
Balance
|
Inc/Exp
|
Rates
|
|||||||||||||||||||
Assets
|
||||||||||||||||||||||||
Loans receivable, net (1)
|
$ | 2,051,477 | $ | 25,931 | 5.08 | % | $ | 2,077,768 | $ | 27,110 | 5.23 | % | ||||||||||||
Investment securities
|
||||||||||||||||||||||||
Taxable
|
373,959 | 1,719 | 1.82 | % | 258,042 | 1,824 | 2.80 | % | ||||||||||||||||
Tax exempt (1)
|
137,336 | 2,008 | 5.78 | % | 145,174 | 2,149 | 5.86 | % | ||||||||||||||||
Total investments
|
511,295 | 3,727 | 2.88 | % | 403,216 | 3,973 | 3.90 | % | ||||||||||||||||
Federal funds sold and deposits in banks
|
50,506 | 31 | 0.24 | % | 120,151 | 64 | 0.21 | % | ||||||||||||||||
561,801 | 3,758 | 2.64 | % | 523,367 | 4,037 | 3.05 | % | |||||||||||||||||
Total earning assets
|
2,613,278 | $ | 29,689 | 4.57 | % | 2,601,135 | $ | 31,147 | 4.80 | % | ||||||||||||||
Total nonearning assets
|
324,113 | 317,211 | ||||||||||||||||||||||
Total assets
|
$ | 2,937,391 | $ | 2,918,346 | ||||||||||||||||||||
Liabilities and Stockholders' Equity
|
||||||||||||||||||||||||
Interest-bearing deposits
|
||||||||||||||||||||||||
Interest checking
|
$ | 592,218 | $ | 396 | 0.27 | % | $ | 568,142 | $ | 530 | 0.37 | % | ||||||||||||
Money market
|
414,588 | 501 | 0.49 | % | 426,031 | 1,053 | 0.99 | % | ||||||||||||||||
Savings
|
310,126 | 249 | 0.32 | % | 276,589 | 415 | 0.60 | % | ||||||||||||||||
Time deposits:
|
||||||||||||||||||||||||
Less than $100,000
|
495,670 | 1,785 | 1.45 | % | 539,493 | 2,282 | 1.70 | % | ||||||||||||||||
$100,000 and more
|
255,600 | 1,065 | 1.68 | % | 265,441 | 1,253 | 1.89 | % | ||||||||||||||||
Total interest-bearing deposits
|
2,068,202 | 3,996 | 0.78 | % | 2,075,696 | 5,533 | 1.07 | % | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase
|
862 | 6 | 2.95 | % | 1,155 | 9 | 3.08 | % | ||||||||||||||||
Federal Home Loan Bank advances and other borrowings
|
55,000 | 409 | 2.94 | % | 60,000 | 518 | 3.42 | % | ||||||||||||||||
Subordinated debt
|
32,991 | 343 | 4.11 | % | 32,991 | 266 | 3.19 | % | ||||||||||||||||
88,853 | 758 | 3.38 | % | 94,146 | 793 | 3.33 | % | |||||||||||||||||
Total interest-bearing liabilities
|
2,157,055 | 4,754 | 0.89 | % | 2,169,842 | 6,326 | 1.17 | % | ||||||||||||||||
Total noninterest-bearing liabilities
|
359,630 | 323,223 | ||||||||||||||||||||||
Total liabilities
|
2,516,685 | 2,493,065 | ||||||||||||||||||||||
Stockholders' equity
|
420,706 | 425,281 | ||||||||||||||||||||||
Total liabilities and stockholders' equity
|
$ | 2,937,391 | $ | 2,918,346 | ||||||||||||||||||||
Net interest income (tax equivalent)
|
$ | 24,935 | $ | 24,821 | ||||||||||||||||||||
Average interest rate spread
|
3.68 | % | 3.63 | % | ||||||||||||||||||||
Interest expense as percentage of average earning assets
|
0.73 | % | 0.98 | % | ||||||||||||||||||||
Net interest margin
|
3.84 | % | 3.83 | % |
(1)
|
Income and yields are reported on a taxable equivalent basis using a 35% tax rate
|
CONSOLIDATED AVERAGE BALANCES, YIELDS AND RATES (UNAUDITED)
|
||||||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2012 AND 2011
|
||||||||||||||||||||||||
(Dollars in thousands)
|
||||||||||||||||||||||||
For the Six Months Ended June 30,
|
||||||||||||||||||||||||
2012
|
2011
|
|||||||||||||||||||||||
Average
|
Interest
|
Average
|
Average
|
Interest
|
Average
|
|||||||||||||||||||
Balance
|
Inc/Exp
|
Rates
|
Balance
|
Inc/Exp
|
Rates
|
|||||||||||||||||||
Assets
|
||||||||||||||||||||||||
Loans receivable, net (1)
|
$ | 2,053,153 | $ | 51,971 | 5.09 | % | $ | 2,090,827 | $ | 54,413 | 5.25 | % | ||||||||||||
Investment securities
|
||||||||||||||||||||||||
Taxable
|
348,165 | 3,329 | 1.89 | % | 243,954 | 3,544 | 2.89 | % | ||||||||||||||||
Tax exempt (1)
|
138,100 | 4,008 | 5.74 | % | 137,290 | 4,077 | 5.91 | % | ||||||||||||||||
Total investments
|
486,265 | 7,337 | 2.98 | % | 381,244 | 7,621 | 3.98 | % | ||||||||||||||||
Federal funds sold and deposits in banks
|
54,914 | 65 | 0.23 | % | 124,268 | 133 | 0.21 | % | ||||||||||||||||
541,179 | 7,402 | 2.70 | % | 505,512 | 7,754 | 3.05 | % | |||||||||||||||||
Total earning assets
|
2,594,332 | $ | 59,373 | 4.60 | % | 2,596,339 | $ | 62,167 | 4.83 | % | ||||||||||||||
Total nonearning assets
|
323,174 | 317,977 | ||||||||||||||||||||||
Total assets
|
$ | 2,917,506 | $ | 2,914,316 | ||||||||||||||||||||
Liabilities and Stockholders' Equity
|
||||||||||||||||||||||||
Interest-bearing deposits
|
||||||||||||||||||||||||
Interest checking
|
$ | 588,618 | $ | 791 | 0.27 | % | $ | 563,792 | $ | 1,064 | 0.38 | % | ||||||||||||
Money market
|
413,664 | 1,045 | 0.51 | % | 423,133 | 2,094 | 1.00 | % | ||||||||||||||||
Savings
|
303,249 | 581 | 0.39 | % | 272,743 | 883 | 0.65 | % | ||||||||||||||||
Time deposits:
|
||||||||||||||||||||||||
Less than $100,000
|
501,733 | 3,682 | 1.48 | % | 541,117 | 4,525 | 1.69 | % | ||||||||||||||||
$100,000 and more
|
257,482 | 2,174 | 1.70 | % | 264,809 | 2,501 | 1.90 | % | ||||||||||||||||
Total interest-bearing deposits
|
2,064,746 | 8,273 | 0.81 | % | 2,065,594 | 11,067 | 1.08 | % | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase
|
848 | 13 | 2.95 | % | 1,099 | 16 | 2.90 | % | ||||||||||||||||
Federal Home Loan Bank advances and other borrowings
|
56,181 | 847 | 2.98 | % | 69,945 | 1,158 | 3.29 | % | ||||||||||||||||
Subordinated debt
|
32,991 | 684 | 4.10 | % | 32,991 | 528 | 3.18 | % | ||||||||||||||||
90,020 | 1,544 | 3.39 | % | 104,035 | 1,702 | 3.25 | % | |||||||||||||||||
Total interest-bearing liabilities
|
2,154,766 | 9,817 | 0.92 | % | 2,169,629 | 12,769 | 1.18 | % | ||||||||||||||||
Total noninterest-bearing liabilities
|
343,888 | 318,187 | ||||||||||||||||||||||
Total liabilities
|
2,498,654 | 2,487,816 | ||||||||||||||||||||||
Stockholders' equity
|
418,852 | 426,500 | ||||||||||||||||||||||
Total liabilities and stockholders' equity
|
$ | 2,917,506 | $ | 2,914,316 | ||||||||||||||||||||
Net interest income (tax equivalent)
|
$ | 49,556 | $ | 49,398 | ||||||||||||||||||||
Average interest rate spread
|
3.68 | % | 3.64 | % | ||||||||||||||||||||
Interest expense as percentage of average earning assets
|
0.76 | % | 0.99 | % | ||||||||||||||||||||
Net interest margin
|
3.84 | % | 3.84 | % |
(1)
|
Income and yields are reported on a taxable equivalent basis using a 35% tax rate.
|
June 30, 2012
|
||||||||||||
Loans Outstanding
|
Nonaccrual Loans
|
Nonaccrual Loans to Loans Outstanding
|
||||||||||
Construction and land development
|
$ | 200,811 | $ | 7,603 | 3.79 | % | ||||||
Commercial real estate
|
876,693 | 13,817 | 1.58 | % | ||||||||
Consumer real estate
|
743,061 | 13,359 | 1.80 | % | ||||||||
Commercial and industrial loans (except those secured by real estate)
|
192,369 | 644 | 0.33 | % | ||||||||
Consumer and other
|
24,232 | 59 | 0.24 | % | ||||||||
Total loans
|
$ | 2,037,166 | $ | 35,482 | 1.74 | % |
June 30, 2012
|
December 31, 2011
|
June 30, 2011
|
||||||||||
Non-accrual loans
|
$ | 30,511 | $ | 30,985 | $ | 29,759 | ||||||
Troubled debt restructurings - non-accrual status
|
4,971 | 8,189 | 8,355 | |||||||||
Foreclosed assets
|
7,014 | 8,575 | 9,149 | |||||||||
Total non-performing assets
|
$ | 42,496 | $ | 47,749 | $ | 47,263 | ||||||
Nonperforming assets to total assets
|
1.43 | % | 1.64 | % | 1.61 | % | ||||||
Nonperforming assets to loans and foreclosed property
|
2.08 | % | 2.34 | % | 2.29 | % | ||||||
Allowance for loan losses as a percentage of loans receivable
|
1.48 | % | 1.60 | % | 1.74 | % | ||||||
Allowance for loan losses as a percentage of nonperforming loans
|
84.95 | % | 83.19 | % | 93.76 | % | ||||||
Annualized net charge-offs as a percentage of average loans receivable
|
0.56 | % | 0.86 | % | 0.95 | % |
Consolidated
|
Bank
|
|||||||
Tier 1 capital
|
$ | 330,877 | $ | 317,764 | ||||
Tier 2 capital
|
26,681 | 26,603 | ||||||
Total risk-based capital
|
357,558 | 344,367 | ||||||
Total risk-weighted assets
|
2,130,679 | 2,124,369 | ||||||
Average adjusted total assets
|
2,821,997 | 2,814,935 | ||||||
Capital ratios:
|
||||||||
Tier 1 risk-based capital ratio
|
15.53 | % | 14.96 | % | ||||
Total risk-based capital ratio
|
16.78 | % | 16.21 | % | ||||
Leverage ratio (Tier 1 capital to average adjusted total assets)
|
11.72 | % | 11.29 | % | ||||
Equity to assets ratio
|
10.60 | % | 14.95 | % | ||||
Tangible common equity to assets ratio
|
10.60 | % | 11.41 | % |
For the three months ended
|
||||||||||||
June 30, 2012
|
March 31, 2012
|
June 30, 2011
|
||||||||||
Noninterest expense
|
$ | 24,328 | $ | 23,557 | $ | 23,220 | ||||||
Less:
|
||||||||||||
Foreclosed asset expense
|
- | 104 | - | |||||||||
Amortization of intangible assets
|
413 | 413 | 413 | |||||||||
Adjusted noninterest expense
|
$ | 23,915 | $ | 23,040 | $ | 22,807 | ||||||
Net interest income (tax equivalent)
|
$ | 24,935 | $ | 24,622 | $ | 24,821 | ||||||
Noninterest income
|
8,197 | 8,125 | 7,521 | |||||||||
Less:
|
||||||||||||
Gains on sale of securities available for sale
|
7 | 73 | 11 | |||||||||
Losses / impairments on foreclosed assets
|
(219 | ) | (348 | ) | (366 | ) | ||||||
Net revenues
|
$ | 33,344 | $ | 33,022 | $ | 32,697 | ||||||
Efficiency ratio
|
71.72 | % | 69.77 | % | 69.75 | % |
For the six months ended
|
||||||||
June 30, 2012
|
June 30, 2011
|
|||||||
Noninterest expense
|
$ | 47,780 | $ | 46,755 | ||||
Less:
|
||||||||
Amortization of intangible assets
|
825 | 825 | ||||||
Adjusted noninterest expense
|
$ | 46,955 | $ | 45,930 | ||||
Net interest income (tax equivalent)
|
$ | 49,556 | $ | 49,398 | ||||
Noninterest income
|
16,219 | 15,191 | ||||||
Less:
|
||||||||
Gains on sale of securities available for sale
|
79 | 21 | ||||||
Losses / impairments on foreclosed assets
|
(670 | ) | (495 | ) | ||||
Net revenues
|
$ | 66,366 | $ | 65,063 | ||||
Efficiency ratio
|
70.75 | % | 70.59 | % |
Consolidated
|
Bank
|
|||||||
Total stockholders' equity
|
$ | 422,034 | $ | 444,458 | ||||
Less:
|
||||||||
Core deposit intangibles, net
|
4,186 | 4,186 | ||||||
Goodwill
|
113,652 | 113,652 | ||||||
Net other intangibles
|
984 | 984 | ||||||
Tangible common equity
|
$ | 303,212 | $ | 325,636 | ||||
Total assets
|
$ | 2,979,866 | $ | 2,971,995 | ||||
Core deposit intangibles, net
|
4,186 | 4,186 | ||||||
Goodwill
|
113,652 | 113,652 | ||||||
Net other intangibles
|
984 | 984 | ||||||
Tangible assets
|
$ | 2,861,044 | $ | 2,853,173 | ||||
Tangible common equity to assets ratio
|
10.60 | % | 11.41 | % |
For the three months ended
|
For the six months ended
|
|||||||||||||||
June 30, 2012
|
June 30, 2011
|
June 30, 2012
|
June 30, 2011
|
|||||||||||||
Noninterest income
|
$ | 8,197 | $ | 7,521 | $ | 16,219 | $ | 15,191 | ||||||||
Less:
|
||||||||||||||||
Gains on securities available for sale
|
7 | 11 | 79 | 21 | ||||||||||||
Gains (losses) on sale of premises and equipment
|
8 | 3 | (7 | ) | 3 | |||||||||||
Operating earnings
|
$ | 8,182 | $ | 7,507 | $ | 16,147 | $ | 15,167 |
LEGAL PROCEEDINGS.
|
RISK FACTORS.
|
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.
|
DEFAULTS UPON SENIOR SECURITIES.
|
MINE SAFETY DISCLOSURES.
|
OTHER INFORMATION.
|
EXHIBITS:
|
|
Exhibit No. 3.1
|
Articles of Incorporation StellarOne Corporation, as amended. (incorporated by reference to Exhibit 3.1 to Form 8-K filed on May 10, 2010)
|
|
Exhibit No. 3.2
|
Bylaws of StellarOne Corporation, as amended and restated February 28, 2008. (incorporated by reference to Exhibit 3.2 to Current Report on Form 8-K filed on May 28, 2010)
|
|
Exhibit No. 4.1
|
Warrant to purchase up to 302,623 shares of Common Stock (incorporated by reference to Exhibit 4.1 to Form 8K filed on December 23, 2008)
|
|
Certification of Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended.
|
|
Certification of Chief Financial Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended.
|
|
Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
Exhibit No. 101
|
Pursuant to Rule 405 of Regulation S-T, the following financial information from the Company’s Quarterly Report on Form 10-Q for the period ended June 30, 2012 is formatted in XBRL interactive data files: (i) Consolidated Statement of Income for the three months ended June 30, 2012 and 2011 and six months ended June 30 2012 and 2011; (ii) Consolidated Balance Sheet at June 30, 2012 and December 31, 2011; (iii) Consolidated Statement of Other Comprehensive Income for the three months ended June 30, 2012 and 2011 and six months ended June 30 2012 and 2011; (iv) Consolidated Statement of Changes in Equity for the three months ended June 30, 2012 and 2011and the six months ended June 30, 2012 and 2011; (v) Consolidated Statement of Cash Flows for the six months ended June 30, 2012 and 2011; and (vi) Notes to Financial Statements.
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of StellarOne Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
/s/ O. R. Barham, Jr.
|
|
O. R. Barham, Jr.
|
|
President and Chief Executive Officer
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of StellarOne Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
/s/ Jeffrey W. Farrar
|
|
Jeffrey W. Farrar
|
|
Executive Vice President and Chief Financial Officer
|
/s/ O. R. Barham, Jr.
|
|
President and Chief Executive Officer
|
|
/s/ Jeffrey W. Farrar
|
|
Executive Vice President and Chief Financial Officer
|