Exhibit 99.1
PRESS RELEASE
PacWest Bancorp
(Nasdaq: PACW)
|
Contact: |
|
Matthew P. Wagner |
|
Patrick J. Rusnak |
|
|
|
President and CEO |
|
Executive Vice President and CFO |
|
Phone: |
|
310-887-8520 |
|
714-989-4705 |
|
|
|
|
|
|
|
Contact: |
|
Donald D. Destino |
|
|
|
|
|
Executive Vice President |
|
|
|
|
|
Corporate Development and Investor Relations |
|
|
|
|
|
Relations |
|
|
|
Phone: |
|
310-887-8521 |
|
|
|
FOR IMMEDIATE RELEASE |
April 17, 2018 |
PACWEST BANCORP ANNOUNCES RESULTS
FOR THE FIRST QUARTER 2018
Highlights
· Net Earnings of $118.3 Million, or $0.93 Per Diluted Share
· Tax Equivalent Net Interest Margin of 5.11%
· Nonaccrual Loans and Leases Reduced by $52.1 million, or 33% in Q1’18
· Classified Loans and Leases Reduced by $70.4 million, or 25% in Q1’18
· Core Deposits at 87% of Total Deposits
· New Loan and Lease Production of $788.5 Million
Los Angeles, California . . . PacWest Bancorp (Nasdaq: PACW) today announced net earnings for the first quarter of 2018 of $118.3 million, or $0.93 per diluted share, compared to net earnings for the fourth quarter of 2017 of $84.0 million, or $0.66 per diluted share. The increase in net earnings from the prior quarter was primarily due to lower noninterest expense, lower income tax expense, higher noninterest income, and a lower provision for credit losses, offset partially by lower net interest income.
Noninterest expense for the first quarter of 2018 was lower due mainly to a decrease in acquisition, integration and reorganization costs of $16.1 million related to the CUB acquisition and integration completed in the fourth quarter of 2017. Income tax expense for the first quarter of 2018 was lower mainly due to the enactment of the Tax Cuts and Jobs Act which reduced our effective tax rate to 27.7% in the first quarter of 2018 from 40.2% in the fourth quarter of 2017. Noninterest income for the first quarter of 2018 increased by $11.8 million mainly due to a $9.6 million increase in the gain on sale of securities. In the first quarter of 2018 we sold certain securities for a net gain of $6.3 million, whereas in the fourth quarter of 2017, we made a tax-related decision to sell certain securities resulting in a net loss of $3.3 million. Net interest income declined by $6.5 million due mostly to two fewer days in the current quarter and a lower average loan and lease balance.
1
Matt Wagner, President and CEO, commented, “Our performance in the first quarter was highlighted by significant earnings growth, solid margin expansion, and notable decreases in nonaccrual and classified loans and leases. Our de-risking activities have resulted in lower credit costs, improved credit quality metrics and a reduced reliance on higher-cost deposits and borrowings. Our first quarter results produced a return on assets of 1.99% and a return on tangible equity of 21.08%.”
Mr. Wagner continued, “Our first quarter tax equivalent NIM increased 14 basis points to 5.11%, benefitting from the repricing of variable-rate loans, higher loan fee income and higher recapture of nonaccrual interest. Our strong first quarter results make us optimistic that 2018 will be another positive year for the Company.”
FINANCIAL HIGHLIGHTS
|
|
|
At or For the Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
|
|
|
Financial Highlights |
|
2018 |
|
2017 |
|
Change |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
Net earnings |
|
$ |
118,276 |
|
$ |
84,037 |
|
$ |
34,239 |
|
|
Diluted earnings per share |
|
$ |
0.93 |
|
$ |
0.66 |
|
$ |
0.27 |
|
|
Return on average assets |
|
1.99 |
% |
1.34 |
% |
0.65 |
|
|
Return on average tangible equity (1) |
|
21.08 |
% |
13.75 |
% |
7.33 |
|
|
|
|
|
|
|
|
|
|
|
Net interest margin (tax equivalent) |
|
5.11 |
% |
4.97 |
% |
0.14 |
|
|
Efficiency ratio |
|
41.7 |
% |
41.0 |
% |
0.7 |
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
$ |
(845,546 |
) |
|
Loans and leases held for investment, net of deferred fees |
|
$ |
16,455,285 |
|
$ |
16,972,743 |
|
$ |
(517,458 |
) |
|
Noninterest-bearing deposits |
|
$ |
8,232,140 |
|
$ |
8,508,044 |
|
$ |
(275,904 |
) |
|
Core deposits |
|
$ |
15,661,529 |
|
$ |
15,937,012 |
|
$ |
(275,483 |
) |
|
Total deposits |
|
$ |
18,078,788 |
|
$ |
18,865,536 |
|
$ |
(786,748 |
) |
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits as percentage of total deposits |
|
46 |
% |
45 |
% |
1 |
|
|
Core deposits as percentage of total deposits |
|
87 |
% |
85 |
% |
2 |
|
|
|
|
|
|
|
|
|
|
|
Equity to assets ratio |
|
20.16 |
% |
19.91 |
% |
0.25 |
|
|
Tangible common equity ratio (1) |
|
10.43 |
% |
10.50 |
% |
(0.07 |
) |
|
Book value per share |
|
$ |
38.47 |
|
$ |
38.65 |
|
$ |
(0.18 |
) |
|
Tangible book value per share (1) |
|
$ |
17.75 |
|
$ |
18.24 |
|
$ |
(0.49 |
) |
(1) Non-GAAP measure.
2
INCOME STATEMENT HIGHLIGHTS
Net Interest Income
Net interest income decreased by $6.5 million to $256.5 million for the first quarter of 2018 compared to $263.0 million for the fourth quarter of 2017 due mainly to two fewer days in the first quarter and a lower average loan and lease balance. The loan and lease yield was 6.11% for the first quarter of 2018 compared to 5.89% for the fourth quarter of 2017. The increase in the loan and lease yield was principally due to the repricing of variable-rate loans, higher loan fee income, and higher recapture of nonaccrual interest.
The tax equivalent NIM was 5.11% for the first quarter of 2018 compared to 4.97% for the fourth quarter of 2017. The increase in the NIM was due mainly to the higher loan yield resulting from the repricing of variable-rate loans and higher loan fee income, which was partially offset by a decrease of six basis points resulting from a smaller tax equivalent adjustment due to the lower statutory federal tax rate.
The cost of average total deposits increased to 0.31% for the first quarter of 2018 from 0.30% for the fourth quarter of 2017.
Noninterest Income
Noninterest income increased by $11.8 million to $38.6 million for the first quarter of 2018 compared to $26.8 million for the fourth quarter of 2017 due mainly to a $9.6 million increase in the gain on sale of securities and a $2.6 million increase in the gain on sale of loans. During the first quarter of 2018, we sold $299.9 million of securities for a gain of $6.3 million. These securities were sold primarily for reinvestment in higher quality liquid assets, yield and credit risk purposes. During the fourth quarter of 2017, we made a tax-related decision to sell $172.6 million of securities and recognized a loss of $3.3 million to take advantage of the higher statutory federal tax rate in 2017. In addition, the gain on sale of loans increased by $2.6 million to $4.6 million for the first quarter of 2018 from $2.0 million for the fourth quarter of 2017. The first quarter of 2018 includes a $2.4 million gain resulting from the sale of our largest nonaccrual loan above our carrying value and $1.3 million related to the settlement of our December 31, 2017 loans held for sale of $481.1 million.
The following table presents details of noninterest income for the periods indicated:
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
Increase |
|
|
Noninterest Income |
|
2018 |
|
2017 |
|
(Decrease) |
|
|
|
|
(In thousands) |
|
|
Service charges on deposit accounts |
|
$ |
4,174 |
|
$ |
4,574 |
|
$ |
(400 |
) |
|
Other commissions and fees |
|
10,265 |
|
10,505 |
|
(240 |
) |
|
Leased equipment income |
|
9,587 |
|
8,258 |
|
1,329 |
|
|
Gain on sale of loans and leases |
|
4,569 |
|
1,988 |
|
2,581 |
|
|
Gain (loss) on sale of securities |
|
6,311 |
|
(3,329 |
) |
9,640 |
|
|
Other income: |
|
|
|
|
|
|
|
|
Dividends and realized gains on equity investments |
|
251 |
|
342 |
|
(91 |
) |
|
Warrant income |
|
248 |
|
831 |
|
(583 |
) |
|
Other |
|
3,154 |
|
3,626 |
|
(472 |
) |
|
Total noninterest income |
|
$ |
38,559 |
|
$ |
26,795 |
|
$ |
11,764 |
|
3
Noninterest Expense
Noninterest expense decreased by $15.5 million to $127.4 million for the first quarter of 2018 compared to $142.9 million for the fourth quarter of 2017 due mostly to a decrease in acquisition, integration and reorganization costs of $16.1 million related to the CUB acquisition. Other professional services decreased by $1.3 million due mostly to lower legal fees and internal audit costs. Compensation expense decreased by $1.0 million as the fourth quarter of 2017 included a charge of $2.9 million for separation costs in connection with exiting the origination operations related to general, technology, and healthcare cash flow loans partially offset by an increase in stock compensation expense and a seasonal increase in payroll tax expense. Intangible asset amortization increased by $1.3 million as a result of a full quarter of expense for the intangible assets related to the CUB acquisition. Other expense increased by $1.1 million due primarily to an increase in Community Reinvestment Act-related and corporate donations.
The following table presents details of noninterest expense for the periods indicated:
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
Increase |
|
|
Noninterest Expense |
|
2018 |
|
2017 |
|
(Decrease) |
|
|
|
|
(In thousands) |
|
|
Compensation |
|
$ |
71,023 |
|
$ |
71,986 |
|
$ |
(963 |
) |
|
Occupancy |
|
13,223 |
|
12,715 |
|
508 |
|
|
Data processing |
|
6,659 |
|
6,764 |
|
(105 |
) |
|
Other professional services |
|
4,439 |
|
5,786 |
|
(1,347 |
) |
|
Insurance and assessments |
|
5,727 |
|
5,384 |
|
343 |
|
|
Intangible asset amortization |
|
6,346 |
|
5,062 |
|
1,284 |
|
|
Leased equipment depreciation |
|
5,375 |
|
5,048 |
|
327 |
|
|
Foreclosed assets income, net |
|
(122 |
) |
(475 |
) |
353 |
|
|
Acquisition, integration and reorganization costs |
|
— |
|
16,085 |
|
(16,085 |
) |
|
Loan expense |
|
2,271 |
|
3,140 |
|
(869 |
) |
|
Other |
|
12,454 |
|
11,373 |
|
1,081 |
|
|
Total noninterest expense |
|
$ |
127,395 |
|
$ |
142,868 |
|
$ |
(15,473 |
) |
Income Taxes
The overall effective income tax rate was 27.7% for the first quarter of 2018 and 40.2% for the fourth quarter of 2017. The effective tax rate for the first quarter of 2018 was lower due to the enactment of the Tax Cuts and Jobs Act, which reduced the federal statutory corporate tax rate to 21% in the first quarter of 2018 from 35% in the fourth quarter of 2017. The effective tax rate for the full year 2018 is estimated to be approximately 28%.
4
BALANCE SHEET HIGHLIGHTS
Loans and Leases
Loans and leases held for investment, net of deferred fees, decreased by $517.5 million in the first quarter of 2018 to $16.5 billion at March 31, 2018. The net decrease was driven mainly by payoffs of $974.5 million, paydowns of $936.0 million, and sales of $130.6 million, offset partially by new production of $788.5 million and disbursements of $747.4 million.
The following table presents a roll forward of loans and leases held for investment, net of deferred fees, for the periods indicated:
|
|
|
Three Months Ended |
|
|
Loans and Leases |
|
March 31, |
|
December 31, |
|
|
Held for Investment Roll Forward (1) |
|
2018 |
|
2017 |
|
|
|
|
(Dollars in thousands) |
|
|
Balance, beginning of period |
|
$ |
16,972,743 |
|
$ |
15,690,517 |
|
|
New production |
|
788,477 |
|
1,556,257 |
|
|
Existing loans and leases: |
|
|
|
|
|
|
Payoffs |
|
(974,532 |
) |
(728,628 |
) |
|
Paydowns |
|
(936,002 |
) |
(812,726 |
) |
|
Disbursements |
|
747,376 |
|
723,914 |
|
|
Sales (2) |
|
(130,624 |
) |
(1,026,660 |
) |
|
Charge-offs |
|
(12,153 |
) |
(24,721 |
) |
|
Transfers to loans held for sale |
|
— |
|
(481,100 |
) |
|
Loans acquired through CUB acquisition |
|
— |
|
2,075,890 |
|
|
Balance, end of period |
|
$ |
16,455,285 |
|
$ |
16,972,743 |
|
|
|
|
|
|
|
|
|
Weighted average rate on new production (3) |
|
5.28 |
% |
4.95 |
% |
(1) Includes direct financing leases but excludes equipment leased to others under operating leases.
(2) Sales for the three months ended March 31, 2018 exclude loans held for sale of $481.1 million at December 31, 2017.
(3) The weighted average rate on new production presents contractual rates and does not include amortized fees. Amortized fees added approximately 30 basis points to loan yields in 2017.
5
The following table presents the composition of loans and leases held for investment, net of deferred fees, as of the dates indicated:
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
March 31, |
|
|
Loan and Lease Portfolio |
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(In thousands) |
|
|
Real estate mortgage: |
|
|
|
|
|
|
|
|
|
|
Commercial |
|
$ |
5,033,006 |
|
$ |
5,385,740 |
|
$ |
4,338,933 |
|
$ |
4,420,923 |
|
|
Residential |
|
2,521,237 |
|
2,466,894 |
|
1,850,324 |
|
1,554,946 |
|
|
Total real estate mortgage |
|
7,554,243 |
|
7,852,634 |
|
6,189,257 |
|
5,975,869 |
|
|
Real estate construction and land: |
|
|
|
|
|
|
|
|
|
|
Commercial |
|
789,892 |
|
769,075 |
|
680,950 |
|
668,510 |
|
|
Residential |
|
887,110 |
|
822,154 |
|
568,273 |
|
442,051 |
|
|
Total real estate construction and land |
|
1,677,002 |
|
1,591,229 |
|
1,249,223 |
|
1,110,561 |
|
|
Total real estate |
|
9,231,245 |
|
9,443,863 |
|
7,438,480 |
|
7,086,430 |
|
|
Commercial: |
|
|
|
|
|
|
|
|
|
|
Asset-based |
|
2,957,890 |
|
2,924,950 |
|
2,792,823 |
|
2,669,135 |
|
|
Venture capital |
|
1,920,643 |
|
2,122,735 |
|
1,959,489 |
|
1,934,949 |
|
|
Other commercial |
|
1,947,590 |
|
2,071,394 |
|
3,113,574 |
|
3,483,459 |
|
|
Total commercial |
|
6,826,123 |
|
7,119,079 |
|
7,865,886 |
|
8,087,543 |
|
|
Consumer |
|
397,917 |
|
409,801 |
|
386,151 |
|
382,716 |
|
|
Total loans and leases held for investment, net of deferred fees (1) |
|
$ |
16,455,285 |
|
$ |
16,972,743 |
|
$ |
15,690,517 |
|
$ |
15,556,689 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total unfunded loan commitments |
|
$ |
6,352,803 |
|
$ |
6,234,061 |
|
$ |
5,037,084 |
|
$ |
4,497,373 |
|
(1) Excludes loans held for sale carried at lower of cost or fair value at December 31, 2017.
Deposits and Client Investment Funds
The following table presents the composition of our deposit portfolio as of the dates indicated:
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
March 31, |
|
|
Deposit Category |
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands) |
|
|
Noninterest-bearing demand deposits |
|
$ |
8,232,140 |
|
$ |
8,508,044 |
|
$ |
6,911,874 |
|
$ |
6,789,808 |
|
|
Interest checking deposits |
|
2,076,152 |
|
2,226,885 |
|
1,957,485 |
|
1,509,902 |
|
|
Money market deposits |
|
4,676,734 |
|
4,511,730 |
|
3,967,224 |
|
3,758,962 |
|
|
Savings deposits |
|
676,503 |
|
690,353 |
|
694,717 |
|
710,401 |
|
|
Total core deposits |
|
15,661,529 |
|
15,937,012 |
|
13,531,300 |
|
12,769,073 |
|
|
Non-core non-maturity deposits |
|
585,399 |
|
863,202 |
|
1,118,694 |
|
1,154,070 |
|
|
Total non-maturity deposits |
|
16,246,928 |
|
16,800,214 |
|
14,649,994 |
|
13,923,143 |
|
|
Time deposits $250,000 and under |
|
1,482,118 |
|
1,709,980 |
|
1,770,439 |
|
1,998,597 |
|
|
Time deposits over $250,000 |
|
349,742 |
|
355,342 |
|
352,812 |
|
409,268 |
|
|
Total time deposits |
|
1,831,860 |
|
2,065,322 |
|
2,123,251 |
|
2,407,865 |
|
|
Total deposits |
|
$ |
18,078,788 |
|
$ |
18,865,536 |
|
$ |
16,773,245 |
|
$ |
16,331,008 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing demand deposits as percentage of total deposits |
|
46 |
% |
45 |
% |
41 |
% |
42 |
% |
|
Core deposits as percentage of total deposits |
|
87 |
% |
85 |
% |
81 |
% |
78 |
% |
At March 31, 2018, core deposits totaled $15.7 billion, or 87% of total deposits, including $8.2 billion of noninterest-bearing demand deposits, or 46% of total deposits. The proceeds from the cash flow loan sale in the fourth quarter of 2017 allowed us to improve our funding mix by reducing our balances of non-core non-maturity deposits and time deposits.
6
In addition to deposit products, we also offer alternative non-depository cash investment options for select clients; these alternatives include investments managed by Square 1 Asset Management, Inc. (“S1AM”), our registered investment advisor subsidiary, and third-party sweep products. Total off-balance sheet client investment funds at March 31, 2018 were $2.1 billion, of which $1.6 billion was managed by S1AM.
PROVISION AND ALLOWANCE FOR CREDIT LOSSES
A provision for credit losses of $4.0 million was recorded in the first quarter of 2018 compared to $6.4 million in the fourth quarter of 2017. The lower provision for the first quarter of 2018 was due mainly to lower period-end loan and lease balances and recoveries of $7.2 million. The allowance for credit losses to loans and leases held for investment coverage ratio increased to 1.01% at March 31, 2018 from 0.95% at December 31, 2017.
The following tables show roll forwards of the allowance for credit losses for the periods indicated:
|
|
|
Three Months Ended March 31, 2018 |
|
|
|
|
Total |
|
|
|
|
|
|
Allowance for Credit |
|
Loans and |
|
Unfunded |
|
|
|
|
Losses Rollforward |
|
Leases |
|
Commitments |
|
Total |
|
|
|
|
(In thousands) |
|
|
Beginning balance |
|
$ |
139,456 |
|
$ |
28,635 |
|
$ |
168,091 |
|
|
Charge-offs |
|
(12,153 |
) |
— |
|
(12,153 |
) |
|
Recoveries |
|
7,198 |
|
— |
|
7,198 |
|
|
Net charge-offs |
|
(4,955 |
) |
— |
|
(4,955 |
) |
|
Provision |
|
(226 |
) |
4,226 |
|
4,000 |
|
|
Ending balance |
|
$ |
134,275 |
|
$ |
32,861 |
|
$ |
167,136 |
|
|
|
|
Three Months Ended December 31, 2017 |
|
|
|
|
Non-PCI |
|
|
|
|
|
|
|
|
|
|
Allowance for Credit |
|
Loans and |
|
Unfunded |
|
Total |
|
PCI |
|
|
|
|
Losses Rollforward |
|
Leases |
|
Commitments |
|
Non-PCI |
|
Loans |
|
Total |
|
|
|
|
(In thousands) |
|
|
Beginning balance |
|
$ |
152,770 |
|
$ |
20,809 |
|
$ |
173,579 |
|
$ |
6,836 |
|
$ |
180,415 |
|
|
Charge-offs |
|
(24,335 |
) |
— |
|
(24,335 |
) |
(386 |
) |
(24,721 |
) |
|
Recoveries |
|
1,577 |
|
— |
|
1,577 |
|
88 |
|
1,665 |
|
|
Net charge-offs |
|
(22,758 |
) |
— |
|
(22,758 |
) |
(298 |
) |
(23,056 |
) |
|
Provision |
|
3,000 |
|
3,500 |
|
6,500 |
|
(94 |
) |
6,406 |
|
|
Fair value of acquired reserve for unfunded commitments |
|
— |
|
4,326 |
|
4,326 |
|
— |
|
4,326 |
|
|
Ending balance |
|
$ |
133,012 |
|
$ |
28,635 |
|
$ |
161,647 |
|
$ |
6,444 |
|
$ |
168,091 |
|
Gross charge-offs for the first quarter of 2018 were $12.2 million and included $6.8 million for other commercial loans and $2.3 million for venture capital loans, while gross charge-offs for the fourth quarter of 2017 were $24.7 million and included $20.1 million for venture capital loans. Recoveries in the first quarter of 2018 were $7.2 million and included $4.6 million for venture capital loans, the largest of which was a $4.0 million recovery on a venture capital loan partially charged off in the fourth quarter of 2017.
The annualized ratio of net charge-offs to average loans was 0.12% for the first quarter of 2018 and 0.52% for the fourth quarter of 2017.
7
CREDIT QUALITY
The following table presents loan and lease credit quality metrics as of the dates indicated:
|
|
|
March 31, |
|
December 31, |
|
Increase |
|
|
Credit Quality Metrics (1) |
|
2018 |
|
2017 |
|
(Decrease) |
|
|
|
|
(Dollars in thousands) |
|
|
Nonaccrual loans and leases held for investment (2)(3) |
|
$ |
103,725 |
|
$ |
155,784 |
|
$ |
(52,059 |
) |
|
Performing troubled debt restructured loans held for investment |
|
60,173 |
|
56,838 |
|
3,335 |
|
|
Total impaired loans and leases |
|
$ |
163,898 |
|
$ |
212,622 |
|
$ |
(48,724 |
) |
|
|
|
|
|
|
|
|
|
|
Classified loans and leases held for investment (2) |
|
$ |
208,042 |
|
$ |
278,405 |
|
$ |
(70,363 |
) |
|
Allowance for credit losses |
|
$ |
167,136 |
|
$ |
161,647 |
|
$ |
5,489 |
|
|
Provision for credit losses (for the quarter) |
|
$ |
4,000 |
|
$ |
6,500 |
|
$ |
(2,500 |
) |
|
Net charge-offs (for the quarter) |
|
$ |
4,955 |
|
$ |
22,758 |
|
$ |
(17,803 |
) |
|
Net charge-offs to average loans and leases (for the quarter) |
|
0.12 |
% |
0.52 |
% |
|
|
|
Allowance for credit losses to loans and leases held for investment |
|
1.01 |
% |
0.95 |
% |
|
|
|
Allowance for credit losses to nonaccrual loans and leases held for investment |
|
161.1 |
% |
103.8 |
% |
|
|
|
Nonaccrual loans and leases held for investment to loans and leases held for investment |
|
0.63 |
% |
0.92 |
% |
|
|
|
Nonperforming assets to loans and leases held for investment and foreclosed assets |
|
0.64 |
% |
0.93 |
% |
|
|
|
Classified loans and leases held for investment to loans and leases held for investment |
|
1.26 |
% |
1.64 |
% |
|
|
(1) Amounts and ratios related to March 31, 2018 are for total loans and leases.
Amounts and ratios related to December 31, 2017 are for Non-PCI loans and leases.
(2 Excludes loans held for sale carried at lower of cost or fair value at December 31, 2017.
(3) Nonaccrual loans include guaranteed amounts of $13.4 million and $11.6 million at March 31, 2018 and December 31, 2017.
In prior periods, our credit quality disclosures were only for Non-PCI loans. As our PCI loan portfolio reduced to less than 0.4% of total loans as of the end of 2017, beginning in 2018 the credit quality disclosures reflect our entire loan portfolio.
Nonaccrual loans and leases decreased by $52.1 million in the first quarter primarily due to the sale of our largest nonaccrual loan, a $44.6 million healthcare real estate loan. Classified loans and leases decreased by $70.3 million in the first quarter primarily due to the sale of the $44.6 million nonaccrual loan, the sale of a $9.8 million cash flow loan, and an $18.2 million decrease in classified venture capital loans.
8
The following table presents nonaccrual loans and leases and accruing loans and leases past due between 30 and 89 days by portfolio segment and class as of the dates indicated:
|
|
|
Nonaccrual Loans and Leases (1) |
|
Accruing and |
|
|
|
|
March 31, 2018 |
|
December 31, 2017 |
|
30-89 Days Past Due (1) |
|
|
|
|
|
|
% of |
|
|
|
% of |
|
March 31, |
|
December 31, |
|
|
|
|
|
|
Loan |
|
|
|
Loan |
|
2018 |
|
2017 |
|
|
|
|
Amount |
|
Category |
|
Amount |
|
Category |
|
Amount |
|
Amount |
|
|
|
|
(Dollars in thousands) |
|
|
Real estate mortgage: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial |
|
$ |
19,116 |
|
0.4 |
% |
$ |
65,563 |
|
1.2 |
% |
$ |
23,505 |
|
$ |
27,234 |
|
|
Residential |
|
5,225 |
|
0.2 |
% |
3,350 |
|
0.1 |
% |
708 |
|
6,629 |
|
|
Total real estate mortgage |
|
24,341 |
|
0.3 |
% |
68,913 |
|
0.9 |
% |
24,213 |
|
33,863 |
|
|
Real estate construction and land: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial |
|
— |
|
0.0 |
% |
— |
|
0.0 |
% |
— |
|
— |
|
|
Residential |
|
— |
|
0.0 |
% |
— |
|
0.0 |
% |
2,605 |
|
2,081 |
|
|
Total real estate construction and land |
|
— |
|
0.0 |
% |
— |
|
0.0 |
% |
2,605 |
|
2,081 |
|
|
Commercial: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset-based |
|
32,838 |
|
1.1 |
% |
33,553 |
|
1.1 |
% |
— |
|
344 |
|
|
Venture capital |
|
21,861 |
|
1.1 |
% |
29,424 |
|
1.4 |
% |
— |
|
5,959 |
|
|
Other commercial |
|
24,434 |
|
1.3 |
% |
23,874 |
|
1.2 |
% |
663 |
|
2,436 |
|
|
Total commercial |
|
79,133 |
|
1.2 |
% |
86,851 |
|
1.2 |
% |
663 |
|
8,739 |
|
|
Consumer |
|
251 |
|
0.1 |
% |
20 |
|
0.0 |
% |
1,000 |
|
562 |
|
|
Total held for investment (2) |
|
$ |
103,725 |
|
0.6 |
% |
$ |
155,784 |
|
0.9 |
% |
$ |
28,481 |
|
$ |
45,245 |
|
(1) Amounts and ratios related to March 31, 2018 are for total loans and leases.
Amounts and ratios related to December 31, 2017 are for Non-PCI loans and leases.
(2) Excludes loans held for sale carried at lower of cost or fair value at December 31, 2017.
The following table presents nonperforming assets as of the dates indicated:
|
|
|
March 31, |
|
December 31, |
|
Increase |
|
|
Nonperforming Assets |
|
2018 |
|
2017 |
|
(Decrease) |
|
|
|
|
(Dollars in thousands) |
|
|
Nonaccrual loans and leases |
|
$ |
103,725 |
|
$ |
157,545 |
|
$ |
(53,820 |
) |
|
Accruing loan contractually past due 90 days or more |
|
500 |
|
— |
|
500 |
|
|
Foreclosed assets, net |
|
1,236 |
|
1,329 |
|
(93 |
) |
|
Total nonperforming assets |
|
$ |
105,461 |
|
$ |
158,874 |
|
$ |
(53,413 |
) |
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans and leases held for investment to loans and leases held for investment |
|
0.63 |
% |
0.92 |
% |
|
|
|
Nonperforming assets to loans and leases held for investment and foreclosed assets |
|
0.64 |
% |
0.93 |
% |
|
|
(1) Excludes loans held for sale carried at lower of cost or fair value at December 31, 2017.
9
STOCK REPURCHASE PROGRAM
During the first quarter of 2018, the Company amended its existing stock repurchase program to increase the authorized repurchase amount from $150 million to $350 million and extend the program maturity to February 28, 2019. During the first quarter of 2018, we repurchased 2,285,855 shares at an average price of $52.41 and a total cost of $119.8 million.
ABOUT PACWEST BANCORP
PacWest Bancorp (“PacWest”) is a bank holding company with approximately $24 billion in assets with one wholly-owned banking subsidiary, Pacific Western Bank (the “Bank”). The Bank has 75 full-service branches located throughout the state of California and one branch in Durham, North Carolina. We provide commercial banking services, including real estate, construction, and commercial loans, and comprehensive deposit and treasury management services to small and medium-sized businesses. We offer additional products and services through our CapitalSource and Square 1 Bank divisions. Our CapitalSource Division provides asset-based, equipment, real estate, and security cash flow loans and treasury management services to established middle market businesses on a national basis. Our Square 1 Bank Division offers a comprehensive suite of financial services focused on entrepreneurial businesses and their venture capital and private equity investors, with offices located in key innovation hubs across the United States. For more information about PacWest Bancorp, visit www.pacwestbancorp.com, or to learn more about Pacific Western Bank, visit www.pacificwesternbank.com.
10
FORWARD LOOKING STATEMENTS
This release contains certain “forward-looking statements” about the Company and its subsidiaries within the meaning of the Private Securities Litigation Reform Act of 1995, including forward-looking statements relating to the Company’s current business plans and expectations regarding future operating results and metrics and including statements about our expectations regarding our future effective tax rate. All statements contained in this release that are not clearly historical in nature are forward-looking, and the words “anticipate,” “assume,” “intend,” “believe,” “forecast,” “expect,” “estimate,” “plan,” “continue,” “will,” “should,” “look forward” and similar expressions are generally intended to identify forward-looking statements. All forward-looking statements (including statements regarding future financial and operating results and future transactions and their results) involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements to differ materially from anticipated results, performance or achievements. These risks and uncertainties include, but are not limited to, our ability to compete effectively against other financial institutions in our banking markets; the impact of changes in interest rates or levels of market activity, especially on our loan and investment portfolios; deterioration, weaker than expected improvement, or other changes in the state of the economy or the markets in which we conduct business (including the state of real estate markets, debt markets and stock markets); changes in credit quality and the effect of credit quality on our provision for loan and lease losses and allowance for loan and leases losses; our ability to attract deposits and other sources of funding or liquidity; our capital requirements and our ability to generate capital internally or raise capital on favorable terms; the costs and effects of legal, compliance and regulatory actions, changes and developments, including the impact of adverse judgments or settlements in litigation, the initiation and resolution of regulatory or other governmental inquiries or investigations, and/or the results of regulatory examinations or reviews; the Company’s ability to complete future acquisitions and to successfully integrate such acquired entities or achieve expected beneficial synergies and/or operating efficiencies, in each case within expected timeframes or at all; the impact of the Tax Cuts and Jobs Act on our future effective tax rate and our success at managing the risks involved in the foregoing items and all other factors set forth in the Company’s public reports, including the Annual Report on Form 10-K for the year ended December 31, 2017, and particularly the discussion of risk factors within that document.
All forward-looking statements included in this release are based on information available at the time of the release. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise except as required by law.
11
PACWEST BANCORP AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEET
|
|
|
March 31, |
|
December 31, |
|
|
|
|
2018 |
|
2017 |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
ASSETS: |
|
|
|
|
|
|
Cash and due from banks |
|
$ |
235,061 |
|
$ |
233,215 |
|
|
Interest-earning deposits in financial institutions |
|
312,735 |
|
165,222 |
|
|
Total cash and cash equivalents |
|
547,796 |
|
398,437 |
|
|
|
|
|
|
|
|
|
Securities available-for-sale, at estimated fair value |
|
3,802,967 |
|
3,774,431 |
|
|
Federal Home Loan Bank stock, at cost |
|
17,250 |
|
20,790 |
|
|
Total investment securities |
|
3,820,217 |
|
3,795,221 |
|
|
|
|
|
|
|
|
|
Loans held for sale |
|
— |
|
481,100 |
|
|
|
|
|
|
|
|
|
Gross loans and leases held for investment |
|
16,516,627 |
|
17,032,221 |
|
|
Deferred fees, net |
|
(61,342 |
) |
(59,478 |
) |
|
Loans and leases held for investment, net of deferred fees |
|
16,455,285 |
|
16,972,743 |
|
|
Allowance for loan and lease losses |
|
(134,275 |
) |
(139,456 |
) |
|
Total loans and leases held for investment, net |
|
16,321,010 |
|
16,833,287 |
|
|
|
|
|
|
|
|
|
Equipment leased to others under operating leases |
|
280,648 |
|
284,631 |
|
|
Premises and equipment, net |
|
33,686 |
|
31,852 |
|
|
Foreclosed assets, net |
|
1,236 |
|
1,329 |
|
|
Deferred tax asset, net |
|
12,584 |
|
— |
|
|
Goodwill |
|
2,548,670 |
|
2,548,670 |
|
|
Core deposit and customer relationship intangibles, net |
|
73,280 |
|
79,626 |
|
|
Other assets |
|
510,203 |
|
540,723 |
|
|
Total assets |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
|
|
|
|
|
|
|
|
LIABILITIES: |
|
|
|
|
|
|
Noninterest-bearing deposits |
|
$ |
8,232,140 |
|
$ |
8,508,044 |
|
|
Interest-bearing deposits |
|
9,846,648 |
|
10,357,492 |
|
|
Total deposits |
|
18,078,788 |
|
18,865,536 |
|
|
Borrowings |
|
575,284 |
|
467,342 |
|
|
Subordinated debentures |
|
452,223 |
|
462,437 |
|
|
Accrued interest payable and other liabilities |
|
175,545 |
|
221,963 |
|
|
Total liabilities |
|
19,281,840 |
|
20,017,278 |
|
|
STOCKHOLDERS’ EQUITY (1) |
|
4,867,490 |
|
4,977,598 |
|
|
Total liabilities and stockholders’ equity |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
|
|
|
|
|
|
|
|
Book value per share |
|
$ |
38.47 |
|
$ |
38.65 |
|
|
Tangible book value per share (2) |
|
$ |
17.75 |
|
$ |
18.24 |
|
|
Shares outstanding |
|
126,537,871 |
|
128,782,878 |
|
|
(1) Includes net unrealized (loss) gain on securities available-for-sale, net |
|
$ |
(11,936 |
) |
$ |
31,171 |
|
|
(2) Non-GAAP measure. |
|
|
|
|
|
12
PACWEST BANCORP AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF EARNINGS
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
Interest income: |
|
|
|
|
|
|
|
|
Loans and leases |
|
$ |
251,085 |
|
$ |
258,309 |
|
$ |
224,178 |
|
|
Investment securities |
|
26,138 |
|
25,712 |
|
23,039 |
|
|
Deposits in financial institutions |
|
552 |
|
576 |
|
192 |
|
|
Total interest income |
|
277,775 |
|
284,597 |
|
247,409 |
|
|
|
|
|
|
|
|
|
|
|
Interest expense: |
|
|
|
|
|
|
|
|
Deposits |
|
13,818 |
|
14,041 |
|
8,377 |
|
|
Borrowings |
|
920 |
|
1,366 |
|
1,018 |
|
|
Subordinated debentures |
|
6,537 |
|
6,234 |
|
5,562 |
|
|
Total interest expense |
|
21,275 |
|
21,641 |
|
14,957 |
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
256,500 |
|
262,956 |
|
232,452 |
|
|
Provision for credit losses |
|
4,000 |
|
6,406 |
|
24,728 |
|
|
Net interest income after provision for credit losses |
|
252,500 |
|
256,550 |
|
207,724 |
|
|
|
|
|
|
|
|
|
|
|
Noninterest income: |
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
4,174 |
|
4,574 |
|
3,758 |
|
|
Other commissions and fees |
|
10,265 |
|
10,505 |
|
10,390 |
|
|
Leased equipment income |
|
9,587 |
|
8,258 |
|
9,475 |
|
|
Gain on sale of loans and leases |
|
4,569 |
|
1,988 |
|
712 |
|
|
Gain (loss) on sale of securities |
|
6,311 |
|
(3,329 |
) |
(99 |
) |
|
Other income |
|
3,653 |
|
4,799 |
|
10,878 |
|
|
Total noninterest income |
|
38,559 |
|
26,795 |
|
35,114 |
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense: |
|
|
|
|
|
|
|
|
Compensation |
|
71,023 |
|
71,986 |
|
64,880 |
|
|
Occupancy |
|
13,223 |
|
12,715 |
|
11,608 |
|
|
Data processing |
|
6,659 |
|
6,764 |
|
7,015 |
|
|
Other professional services |
|
4,439 |
|
5,786 |
|
3,378 |
|
|
Insurance and assessments |
|
5,727 |
|
5,384 |
|
4,791 |
|
|
Intangible asset amortization |
|
6,346 |
|
5,062 |
|
3,064 |
|
|
Leased equipment depreciation |
|
5,375 |
|
5,048 |
|
5,625 |
|
|
Foreclosed assets (income) expense, net |
|
(122 |
) |
(475 |
) |
143 |
|
|
Acquisition, integration and reorganization costs |
|
— |
|
16,085 |
|
500 |
|
|
Loan expense |
|
2,271 |
|
3,140 |
|
3,387 |
|
|
Other expense |
|
12,454 |
|
11,373 |
|
12,153 |
|
|
Total noninterest expense |
|
127,395 |
|
142,868 |
|
116,544 |
|
|
|
|
|
|
|
|
|
|
|
Earnings before income taxes |
|
163,664 |
|
140,477 |
|
126,294 |
|
|
Income tax expense |
|
(45,388 |
) |
(56,440 |
) |
(47,626 |
) |
|
Net earnings |
|
$ |
118,276 |
|
$ |
84,037 |
|
$ |
78,668 |
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings per share |
|
$ |
0.93 |
|
$ |
0.66 |
|
$ |
0.65 |
|
13
PACWEST BANCORP AND SUBSIDIARIES
NET EARNINGS PER SHARE CALCULATIONS
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
|
|
|
(In thousands, except per share data) |
|
|
Basic Earnings Per Share: |
|
|
|
|
|
|
|
|
Net earnings |
|
$ |
118,276 |
|
$ |
84,037 |
|
$ |
78,668 |
|
|
Less: earnings allocated to unvested restricted stock (1) |
|
(1,115 |
) |
(951 |
) |
(999 |
) |
|
Net earnings allocated to common shares |
|
$ |
117,161 |
|
$ |
83,086 |
|
$ |
77,669 |
|
|
|
|
|
|
|
|
|
|
|
Weighted-average basic shares and unvested restricted stock outstanding |
|
127,487 |
|
127,971 |
|
121,346 |
|
|
Less: weighted-average unvested restricted stock outstanding |
|
(1,413 |
) |
(1,440 |
) |
(1,503 |
) |
|
Weighted-average basic shares outstanding |
|
126,074 |
|
126,531 |
|
119,843 |
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share |
|
$ |
0.93 |
|
$ |
0.66 |
|
$ |
0.65 |
|
|
|
|
|
|
|
|
|
|
|
Diluted Earnings Per Share: |
|
|
|
|
|
|
|
|
Net earnings allocated to common shares |
|
$ |
117,161 |
|
$ |
83,086 |
|
$ |
77,669 |
|
|
|
|
|
|
|
|
|
|
|
Weighted-average basic shares outstanding |
|
126,074 |
|
126,531 |
|
119,843 |
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share |
|
$ |
0.93 |
|
$ |
0.66 |
|
$ |
0.65 |
|
(1) Represents cash dividends paid to holders of unvested stock, net of forfeitures, plus undistributed earnings amounts available to holders of unvested restricted stock, if any.
14
PACWEST BANCORP AND SUBSIDIARIES
AVERAGE BALANCE SHEET AND YIELD ANALYSIS
|
|
|
Three Months Ended |
|
|
|
|
March 31, 2018 |
|
December 31, 2017 |
|
March 31, 2017 |
|
|
|
|
|
|
Interest |
|
Average |
|
|
|
Interest |
|
Average |
|
|
|
Interest |
|
Average |
|
|
|
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
|
|
|
Balance |
|
Expense |
|
Cost |
|
Balance |
|
Expense |
|
Cost |
|
Balance |
|
Expense |
|
Cost |
|
|
|
|
(Dollars in thousands) |
|
|
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases (1) |
|
$ |
16,682,124 |
|
$ |
251,260 |
|
6.11 |
% |
$ |
17,426,873 |
|
$ |
258,586 |
|
5.89 |
% |
$ |
15,297,044 |
|
$ |
224,178 |
|
5.94 |
% |
|
Investment securities (2) |
|
3,682,138 |
|
27,935 |
|
3.08 |
% |
3,807,928 |
|
30,709 |
|
3.20 |
% |
3,257,448 |
|
27,822 |
|
3.46 |
% |
|
Deposits in financial institutions |
|
150,674 |
|
552 |
|
1.49 |
% |
179,379 |
|
576 |
|
1.27 |
% |
100,751 |
|
192 |
|
0.77 |
% |
|
Total interest-earning assets |
|
20,514,936 |
|
279,747 |
|
5.53 |
% |
21,414,180 |
|
289,871 |
|
5.37 |
% |
18,655,243 |
|
252,192 |
|
5.48 |
% |
|
Other assets |
|
3,556,212 |
|
|
|
|
|
3,375,656 |
|
|
|
|
|
2,990,291 |
|
|
|
|
|
|
Total assets |
|
$ |
24,071,148 |
|
|
|
|
|
$ |
24,789,836 |
|
|
|
|
|
$ |
21,645,534 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders’ Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest checking |
|
$ |
2,311,988 |
|
3,050 |
|
0.54 |
% |
$ |
2,340,166 |
|
2,891 |
|
0.49 |
% |
$ |
1,505,439 |
|
1,167 |
|
0.31 |
% |
|
Money market |
|
5,038,119 |
|
6,812 |
|
0.55 |
% |
5,415,630 |
|
7,214 |
|
0.53 |
% |
4,866,720 |
|
4,410 |
|
0.37 |
% |
|
Savings |
|
685,173 |
|
258 |
|
0.15 |
% |
702,023 |
|
279 |
|
0.16 |
% |
711,529 |
|
298 |
|
0.17 |
% |
|
Time |
|
1,923,963 |
|
3,698 |
|
0.78 |
% |
2,120,749 |
|
3,657 |
|
0.68 |
% |
2,246,547 |
|
2,502 |
|
0.45 |
% |
|
Total interest-bearing deposits |
|
9,959,243 |
|
13,818 |
|
0.56 |
% |
10,578,568 |
|
14,041 |
|
0.53 |
% |
9,330,235 |
|
8,377 |
|
0.36 |
% |
|
Borrowings |
|
239,293 |
|
920 |
|
1.56 |
% |
445,106 |
|
1,366 |
|
1.22 |
% |
596,903 |
|
1,018 |
|
0.69 |
% |
|
Subordinated debentures |
|
461,648 |
|
6,537 |
|
5.74 |
% |
458,269 |
|
6,234 |
|
5.40 |
% |
441,521 |
|
5,562 |
|
5.11 |
% |
|
Total interest-bearing liabilities |
|
10,660,184 |
|
21,275 |
|
0.81 |
% |
11,481,943 |
|
21,641 |
|
0.75 |
% |
10,368,659 |
|
14,957 |
|
0.59 |
% |
|
Noninterest-bearing demand deposits |
|
8,311,104 |
|
|
|
|
|
8,190,134 |
|
|
|
|
|
6,595,346 |
|
|
|
|
|
|
Other liabilities |
|
198,653 |
|
|
|
|
|
197,261 |
|
|
|
|
|
177,854 |
|
|
|
|
|
|
Total liabilities |
|
19,169,941 |
|
|
|
|
|
19,869,338 |
|
|
|
|
|
17,141,859 |
|
|
|
|
|
|
Stockholders’ equity |
|
4,901,207 |
|
|
|
|
|
4,920,498 |
|
|
|
|
|
4,503,675 |
|
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
24,071,148 |
|
|
|
|
|
$ |
24,789,836 |
|
|
|
|
|
$ |
21,645,534 |
|
|
|
|
|
|
Net interest income (3) |
|
|
|
$ |
258,472 |
|
|
|
|
|
$ |
268,230 |
|
|
|
|
|
$ |
237,235 |
|
|
|
|
Net interest spread (3) |
|
|
|
|
|
4.72 |
% |
|
|
|
|
4.62 |
% |
|
|
|
|
4.89 |
% |
|
Net interest margin (3) |
|
|
|
|
|
5.11 |
% |
|
|
|
|
4.97 |
% |
|
|
|
|
5.16 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total deposits (4) |
|
$ |
18,270,347 |
|
$ |
13,818 |
|
0.31 |
% |
$ |
18,768,702 |
|
$ |
14,041 |
|
0.30 |
% |
$ |
15,925,581 |
|
$ |
8,377 |
|
0.21 |
% |
|
Funding sources (5) |
|
$ |
18,971,288 |
|
$ |
21,275 |
|
0.45 |
% |
$ |
19,672,077 |
|
$ |
21,641 |
|
0.44 |
% |
$ |
16,964,005 |
|
$ |
14,957 |
|
0.36 |
% |
(1) Starting with the third quarter of 2017, includes tax-equivalent adjustments related to tax-exempt interest on loans.
(2) Includes tax-equivalent adjustments of $1.8 million, $5.0 million, and $4.8 million for the three months ended March 31, 2018, December 31, 2017, and March 31, 2017 related to tax-exempt income on municipal securities. The federal statutory tax-rate utilized was 21% for the 2018 period and 35% for the 2017 periods.
(3) Tax equivalent.
(4) Total deposits is the sum of total interest-bearing deposits and noninterest-bearing demand deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
(5) Funding sources is the sum of total interest-bearing liabilities and noninterest-bearing demand deposits. The cost of funding sources is calculated as annualized total interest expense divided by average funding sources.
15
PACWEST BANCORP AND SUBSIDIARIES
FIVE QUARTER BALANCE SHEET
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
ASSETS: |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
235,061 |
|
$ |
233,215 |
|
$ |
147,579 |
|
$ |
180,330 |
|
$ |
184,608 |
|
|
Interest-earning deposits in financial institutions |
|
312,735 |
|
165,222 |
|
122,439 |
|
107,150 |
|
111,892 |
|
|
Total cash and cash equivalents |
|
547,796 |
|
398,437 |
|
270,018 |
|
287,480 |
|
296,500 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities available-for-sale |
|
3,802,967 |
|
3,774,431 |
|
3,532,230 |
|
3,474,560 |
|
3,336,992 |
|
|
Federal Home Loan Bank stock |
|
17,250 |
|
20,790 |
|
17,250 |
|
22,059 |
|
17,901 |
|
|
Total investment securities |
|
3,820,217 |
|
3,795,221 |
|
3,549,480 |
|
3,496,619 |
|
3,354,893 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for sale |
|
— |
|
481,100 |
|
— |
|
175,158 |
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross loans and leases held for investment |
|
16,516,627 |
|
17,032,221 |
|
15,756,285 |
|
15,609,180 |
|
15,622,871 |
|
|
Deferred fees, net |
|
(61,342 |
) |
(59,478 |
) |
(65,768 |
) |
(65,723 |
) |
(66,182 |
) |
|
Loans and leases held for investment, net of deferred fees |
|
16,455,285 |
|
16,972,743 |
|
15,690,517 |
|
15,543,457 |
|
15,556,689 |
|
|
Allowance for loan and lease losses |
|
(134,275 |
) |
(139,456 |
) |
(159,606 |
) |
(145,958 |
) |
(161,307 |
) |
|
Total loans and leases held for investment, net |
|
16,321,010 |
|
16,833,287 |
|
15,530,911 |
|
15,397,499 |
|
15,395,382 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equipment leased to others under operating leases |
|
280,648 |
|
284,631 |
|
233,866 |
|
203,212 |
|
224,580 |
|
|
Premises and equipment, net |
|
33,686 |
|
31,852 |
|
28,910 |
|
29,108 |
|
28,908 |
|
|
Foreclosed assets, net |
|
1,236 |
|
1,329 |
|
11,630 |
|
13,278 |
|
12,842 |
|
|
Deferred tax asset, net |
|
12,584 |
|
— |
|
65,321 |
|
70,354 |
|
88,765 |
|
|
Goodwill |
|
2,548,670 |
|
2,548,670 |
|
2,173,949 |
|
2,173,949 |
|
2,173,949 |
|
|
Core deposit and customer relationship intangibles, net |
|
73,280 |
|
79,626 |
|
27,188 |
|
30,237 |
|
33,302 |
|
|
Other assets |
|
510,203 |
|
540,723 |
|
351,659 |
|
369,983 |
|
318,133 |
|
|
Total assets |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
$ |
22,242,932 |
|
$ |
22,246,877 |
|
$ |
21,927,254 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES: |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
$ |
8,232,140 |
|
$ |
8,508,044 |
|
$ |
6,911,874 |
|
$ |
6,701,039 |
|
$ |
6,789,808 |
|
|
Interest-bearing deposits |
|
9,846,648 |
|
10,357,492 |
|
9,861,371 |
|
10,173,938 |
|
9,541,200 |
|
|
Total deposits |
|
18,078,788 |
|
18,865,536 |
|
16,773,245 |
|
16,874,977 |
|
16,331,008 |
|
|
Borrowings |
|
575,284 |
|
467,342 |
|
250,399 |
|
217,454 |
|
460,609 |
|
|
Subordinated debentures |
|
452,223 |
|
462,437 |
|
448,126 |
|
445,743 |
|
442,516 |
|
|
Accrued interest payable and other liabilities |
|
175,545 |
|
221,963 |
|
160,494 |
|
148,798 |
|
185,015 |
|
|
Total liabilities |
|
19,281,840 |
|
20,017,278 |
|
17,632,264 |
|
17,686,972 |
|
17,419,148 |
|
|
STOCKHOLDERS’ EQUITY (1) |
|
4,867,490 |
|
4,977,598 |
|
4,610,668 |
|
4,559,905 |
|
4,508,106 |
|
|
Total liabilities and stockholders’ equity |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
$ |
22,242,932 |
|
$ |
22,246,877 |
|
$ |
21,927,254 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per share |
|
$ |
38.47 |
|
$ |
38.65 |
|
$ |
37.96 |
|
$ |
37.55 |
|
$ |
37.13 |
|
|
Tangible book value per share (2) |
|
$ |
17.75 |
|
$ |
18.24 |
|
$ |
19.84 |
|
$ |
19.40 |
|
$ |
18.95 |
|
|
Shares outstanding |
|
126,537,871 |
|
128,782,878 |
|
121,449,794 |
|
121,448,321 |
|
121,408,133 |
|
|
(1) Includes net unrealized (loss) gain on securities available-for-sale, net |
|
$ |
(11,936 |
) |
$ |
31,171 |
|
$ |
33,613 |
|
$ |
29,729 |
|
$ |
12,718 |
|
|
(2) Non-GAAP measure. |
|
|
|
|
|
|
|
|
|
|
|
16
PACWEST BANCORP AND SUBSIDIARIES
FIVE QUARTER STATEMENT OF EARNINGS
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases |
|
$ |
251,085 |
|
$ |
258,309 |
|
$ |
235,666 |
|
$ |
234,618 |
|
$ |
224,178 |
|
|
Investment securities |
|
26,138 |
|
25,712 |
|
24,762 |
|
24,689 |
|
23,039 |
|
|
Deposits in financial institutions |
|
552 |
|
576 |
|
538 |
|
237 |
|
192 |
|
|
Total interest income |
|
277,775 |
|
284,597 |
|
260,966 |
|
259,544 |
|
247,409 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
13,818 |
|
14,041 |
|
13,071 |
|
10,205 |
|
8,377 |
|
|
Borrowings |
|
920 |
|
1,366 |
|
188 |
|
1,066 |
|
1,018 |
|
|
Subordinated debentures |
|
6,537 |
|
6,234 |
|
6,017 |
|
5,800 |
|
5,562 |
|
|
Total interest expense |
|
21,275 |
|
21,641 |
|
19,276 |
|
17,071 |
|
14,957 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
256,500 |
|
262,956 |
|
241,690 |
|
242,473 |
|
232,452 |
|
|
Provision for credit losses |
|
4,000 |
|
6,406 |
|
15,119 |
|
11,499 |
|
24,728 |
|
|
Net interest income after provision for credit losses |
|
252,500 |
|
256,550 |
|
226,571 |
|
230,974 |
|
207,724 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
4,174 |
|
4,574 |
|
3,465 |
|
3,510 |
|
3,758 |
|
|
Other commissions and fees |
|
10,265 |
|
10,505 |
|
9,944 |
|
10,583 |
|
10,390 |
|
|
Leased equipment income |
|
9,587 |
|
8,258 |
|
8,332 |
|
11,635 |
|
9,475 |
|
|
Gain on sale of loans and leases |
|
4,569 |
|
1,988 |
|
2,848 |
|
649 |
|
712 |
|
|
Gain (loss) on sale of securities |
|
6,311 |
|
(3,329 |
) |
1,236 |
|
1,651 |
|
(99 |
) |
|
Other income |
|
3,653 |
|
4,799 |
|
5,557 |
|
7,254 |
|
10,878 |
|
|
Total noninterest income |
|
38,559 |
|
26,795 |
|
31,382 |
|
35,282 |
|
35,114 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Compensation |
|
71,023 |
|
71,986 |
|
64,413 |
|
65,288 |
|
64,880 |
|
|
Occupancy |
|
13,223 |
|
12,715 |
|
12,729 |
|
11,811 |
|
11,608 |
|
|
Data processing |
|
6,659 |
|
6,764 |
|
6,459 |
|
6,337 |
|
7,015 |
|
|
Other professional services |
|
4,439 |
|
5,786 |
|
4,213 |
|
3,976 |
|
3,378 |
|
|
Insurance and assessments |
|
5,727 |
|
5,384 |
|
4,702 |
|
4,856 |
|
4,791 |
|
|
Intangible asset amortization |
|
6,346 |
|
5,062 |
|
3,049 |
|
3,065 |
|
3,064 |
|
|
Leased equipment depreciation |
|
5,375 |
|
5,048 |
|
4,862 |
|
5,232 |
|
5,625 |
|
|
Foreclosed assets (income) expense, net |
|
(122 |
) |
(475 |
) |
2,191 |
|
(157 |
) |
143 |
|
|
Acquisition, integration and reorganization costs |
|
— |
|
16,085 |
|
1,450 |
|
1,700 |
|
500 |
|
|
Loan expense |
|
2,271 |
|
3,140 |
|
3,421 |
|
3,884 |
|
3,387 |
|
|
Other expense |
|
12,454 |
|
11,373 |
|
11,053 |
|
11,715 |
|
12,153 |
|
|
Total noninterest expense |
|
127,395 |
|
142,868 |
|
118,542 |
|
117,707 |
|
116,544 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before income taxes |
|
163,664 |
|
140,477 |
|
139,411 |
|
148,549 |
|
126,294 |
|
|
Income tax expense |
|
(45,388 |
) |
(56,440 |
) |
(37,945 |
) |
(54,902 |
) |
(47,626 |
) |
|
Net earnings |
|
$ |
118,276 |
|
$ |
84,037 |
|
$ |
101,466 |
|
$ |
93,647 |
|
$ |
78,668 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings per share |
|
$ |
0.93 |
|
$ |
0.66 |
|
$ |
0.84 |
|
$ |
0.77 |
|
$ |
0.65 |
|
17
PACWEST BANCORP AND SUBSIDIARIES
FIVE QUARTER SELECTED FINANCIAL DATA
|
|
|
At or For the Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands) |
|
|
Performance Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets (1) |
|
1.99 |
% |
1.34 |
% |
1.82 |
% |
1.71 |
% |
1.47 |
% |
|
Return on average equity (1) |
|
9.79 |
% |
6.78 |
% |
8.77 |
% |
8.26 |
% |
7.08 |
% |
|
Return on average tangible equity (1)(2) |
|
21.08 |
% |
13.75 |
% |
16.85 |
% |
16.06 |
% |
13.90 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Yield on average loans and leases (1)(3) |
|
6.11 |
% |
5.89 |
% |
6.01 |
% |
6.07 |
% |
5.94 |
% |
|
Yield on average interest-earning assets (1)(4) |
|
5.53 |
% |
5.37 |
% |
5.48 |
% |
5.57 |
% |
5.48 |
% |
|
Cost of average total deposits (1) |
|
0.31 |
% |
0.30 |
% |
0.31 |
% |
0.25 |
% |
0.21 |
% |
|
Cost of average time deposits (1) |
|
0.78 |
% |
0.68 |
% |
0.62 |
% |
0.55 |
% |
0.45 |
% |
|
Cost of average interest-bearing liabilities (1) |
|
0.81 |
% |
0.75 |
% |
0.73 |
% |
0.65 |
% |
0.59 |
% |
|
Cost of average funding sources (1) |
|
0.45 |
% |
0.44 |
% |
0.44 |
% |
0.40 |
% |
0.36 |
% |
|
Net interest spread (1)(4) |
|
4.72 |
% |
4.62 |
% |
4.75 |
% |
4.92 |
% |
4.89 |
% |
|
Net interest margin (1)(4) |
|
5.11 |
% |
4.97 |
% |
5.08 |
% |
5.21 |
% |
5.16 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio |
|
41.7 |
% |
41.0 |
% |
40.4 |
% |
40.3 |
% |
41.4 |
% |
|
Noninterest expense as a percentage of average assets (1) |
|
2.15 |
% |
2.29 |
% |
2.12 |
% |
2.15 |
% |
2.18 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balances: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases, net of deferred fees |
|
$ |
16,682,124 |
|
$ |
17,426,873 |
|
$ |
15,575,030 |
|
$ |
15,497,921 |
|
$ |
15,297,044 |
|
|
Interest-earning assets |
|
20,514,936 |
|
21,414,180 |
|
19,257,441 |
|
19,030,793 |
|
18,655,243 |
|
|
Total assets |
|
24,071,148 |
|
24,789,836 |
|
22,137,874 |
|
21,936,602 |
|
21,645,534 |
|
|
Noninterest-bearing deposits |
|
8,311,104 |
|
8,190,134 |
|
6,858,816 |
|
6,646,349 |
|
6,595,346 |
|
|
Interest-bearing deposits |
|
9,959,243 |
|
10,578,568 |
|
10,024,554 |
|
9,692,352 |
|
9,330,235 |
|
|
Total deposits |
|
18,270,347 |
|
18,768,702 |
|
16,883,370 |
|
16,338,701 |
|
15,925,581 |
|
|
Borrowings and subordinated debentures |
|
700,941 |
|
903,375 |
|
508,083 |
|
901,530 |
|
1,038,424 |
|
|
Interest-bearing liabilities |
|
10,660,184 |
|
11,481,943 |
|
10,532,637 |
|
10,593,882 |
|
10,368,659 |
|
|
Funding sources |
|
18,971,288 |
|
19,672,077 |
|
17,391,453 |
|
17,240,231 |
|
16,964,005 |
|
|
Stockholders’ equity |
|
4,901,207 |
|
4,920,498 |
|
4,592,489 |
|
4,545,276 |
|
4,503,675 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Annualized.
(2) Non-GAAP measure.
(3) Tax equivalent starting with the third quarter of 2017.
(4) Tax equivalent.
18
PACWEST BANCORP AND SUBSIDIARIES
FIVE QUARTER SELECTED FINANCIAL DATA
|
|
|
At or For the Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
|
|
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands) |
|
|
Credit Quality Ratios (1): |
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses to loans and leases held for investment |
|
1.01 |
% |
0.95 |
% |
1.11 |
% |
1.02 |
% |
1.08 |
% |
|
Allowance for credit losses to nonaccrual loans and leases held for investment |
|
161.1 |
% |
103.8 |
% |
110.1 |
% |
92.2 |
% |
96.9 |
% |
|
Nonaccrual loans and leases held for investment to loans and leases held for investment |
|
0.63 |
% |
0.92 |
% |
1.00 |
% |
1.11 |
% |
1.11 |
% |
|
Nonperforming assets to loans and leases held for investment and foreclosed assets |
|
0.64 |
% |
0.93 |
% |
1.08 |
% |
1.20 |
% |
1.20 |
% |
|
Nonperforming assets to total assets |
|
0.44 |
% |
0.63 |
% |
0.76 |
% |
0.84 |
% |
0.85 |
% |
|
Trailing twelve month net charge-offs to average loans and leases held for investment |
|
0.31 |
% |
0.40 |
% |
0.35 |
% |
0.37 |
% |
0.24 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PacWest Bancorp Consolidated Capital: |
|
|
|
|
|
|
|
|
|
|
|
|
Tier 1 leverage ratio (2) |
|
10.66 |
% |
10.66 |
% |
12.02 |
% |
11.90 |
% |
11.87 |
% |
|
Common equity tier 1 capital ratio (2) |
|
11.16 |
% |
10.91 |
% |
12.52 |
% |
12.28 |
% |
12.31 |
% |
|
Tier 1 capital ratio (2) |
|
11.16 |
% |
10.91 |
% |
12.52 |
% |
12.28 |
% |
12.31 |
% |
|
Total capital ratio (2) |
|
14.12 |
% |
13.75 |
% |
15.74 |
% |
15.42 |
% |
15.56 |
% |
|
Risk-weighted assets (2) |
|
$ |
20,523,160 |
|
$ |
21,657,591 |
|
$ |
19,086,798 |
|
$ |
19,084,823 |
|
$ |
18,732,723 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to assets ratio |
|
20.16 |
% |
19.91 |
% |
20.73 |
% |
20.50 |
% |
20.56 |
% |
|
Tangible common equity ratio (3) |
|
10.43 |
% |
10.50 |
% |
12.02 |
% |
11.75 |
% |
11.67 |
% |
|
Book value per share |
|
$ |
38.47 |
|
$ |
38.65 |
|
$ |
37.96 |
|
$ |
37.55 |
|
$ |
37.13 |
|
|
Tangible book value per share (3) |
|
$ |
17.75 |
|
$ |
18.24 |
|
$ |
19.84 |
|
$ |
19.40 |
|
$ |
18.95 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pacific Western Bank Capital: |
|
|
|
|
|
|
|
|
|
|
|
|
Tier 1 leverage ratio (2) |
|
11.33 |
% |
11.75 |
% |
11.46 |
% |
11.41 |
% |
11.36 |
% |
|
Common equity tier 1 capital ratio (2) |
|
11.86 |
% |
11.91 |
% |
11.95 |
% |
11.79 |
% |
11.79 |
% |
|
Tier 1 capital ratio (2) |
|
11.86 |
% |
11.91 |
% |
11.95 |
% |
11.79 |
% |
11.79 |
% |
|
Total capital ratio (2) |
|
12.67 |
% |
12.69 |
% |
12.89 |
% |
12.66 |
% |
12.74 |
% |
(1) Ratios related to March 31, 2018 are for total loans and leases. Ratios related to prior periods are for Non-PCI loans and leases.
(2) Capital information for March 31, 2018 is preliminary.
(3) Non-GAAP measure.
19
GAAP TO NON-GAAP RECONCILIATIONS
This press release contains certain non-GAAP financial disclosures for: (1) return on average tangible equity, (2) tangible common equity ratio, and (3) tangible book value per share. The Company uses these non-GAAP financial measures to provide meaningful supplemental information regarding the Company’s operational performance and to enhance investors’ overall understanding of such financial performance. In particular, the use of return on average tangible equity, tangible common equity ratio, and tangible book value per share is prevalent among banking regulators, investors and analysts. Accordingly, we disclose the non-GAAP measures in addition to the related GAAP measures of: (1) return on average equity, (2) equity to assets ratio, and (3) book value per share.
The tables below present the reconciliations of these GAAP financial measures to the related non-GAAP financial measures:
|
|
|
Three Months Ended |
|
|
|
|
March 31, |
|
December 31, |
|
March 31, |
|
|
Return on Average Tangible Equity |
|
2018 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands) |
|
|
Net earnings |
|
$ |
118,276 |
|
$ |
84,037 |
|
$ |
78,668 |
|
|
|
|
|
|
|
|
|
|
|
Average stockholders’ equity |
|
$ |
4,901,207 |
|
$ |
4,920,498 |
|
$ |
4,503,675 |
|
|
Less: Average intangible assets |
|
2,625,593 |
|
2,495,876 |
|
2,209,112 |
|
|
Average tangible common equity |
|
$ |
2,275,614 |
|
$ |
2,424,622 |
|
$ |
2,294,563 |
|
|
|
|
|
|
|
|
|
|
|
Return on average equity (1) |
|
9.79 |
% |
6.78 |
% |
7.08 |
% |
|
Return on average tangible equity (2) |
|
21.08 |
% |
13.75 |
% |
13.90 |
% |
(1) Annualized net earnings divided by average stockholders’ equity.
(2) Annualized net earnings divided by average tangible common equity.
|
Tangible Common Equity Ratio/ |
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
|
Tangible Book Value Per Share |
|
2018 |
|
2017 |
|
2017 |
|
2017 |
|
2017 |
|
|
|
|
(Dollars in thousands, except per share data) |
|
|
Stockholders’ equity |
|
$ |
4,867,490 |
|
$ |
4,977,598 |
|
$ |
4,610,668 |
|
$ |
4,559,905 |
|
$ |
4,508,106 |
|
|
Less: Intangible assets |
|
2,621,950 |
|
2,628,296 |
|
2,201,137 |
|
2,204,186 |
|
2,207,251 |
|
|
Tangible common equity |
|
$ |
2,245,540 |
|
$ |
2,349,302 |
|
$ |
2,409,531 |
|
$ |
2,355,719 |
|
$ |
2,300,855 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
24,149,330 |
|
$ |
24,994,876 |
|
$ |
22,242,932 |
|
$ |
22,246,877 |
|
$ |
21,927,254 |
|
|
Less: Intangible assets |
|
2,621,950 |
|
2,628,296 |
|
2,201,137 |
|
2,204,186 |
|
2,207,251 |
|
|
Tangible assets |
|
$ |
21,527,380 |
|
$ |
22,366,580 |
|
$ |
20,041,795 |
|
$ |
20,042,691 |
|
$ |
19,720,003 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to assets ratio |
|
20.16 |
% |
19.91 |
% |
20.73 |
% |
20.50 |
% |
20.56 |
% |
|
Tangible common equity ratio (1) |
|
10.43 |
% |
10.50 |
% |
12.02 |
% |
11.75 |
% |
11.67 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per share |
|
$ |
38.47 |
|
$ |
38.65 |
|
$ |
37.96 |
|
$ |
37.55 |
|
$ |
37.13 |
|
|
Tangible book value per share (2) |
|
$ |
17.75 |
|
$ |
18.24 |
|
$ |
19.84 |
|
$ |
19.40 |
|
$ |
18.95 |
|
|
Shares outstanding |
|
126,537,871 |
|
128,782,878 |
|
121,449,794 |
|
121,448,321 |
|
121,408,133 |
|
(1) Tangible common equity divided by tangible assets.
(2) Tangible common equity divided by shares outstanding.
20
