Hampton Roads Bankshares, Inc.
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(Exact name of registrant as specified in its charter)
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Virginia
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001-32968
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54-2053718
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(State or other jurisdiction
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(Commission
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(IRS Employer
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of incorporation)
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File Number)
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Identification No.)
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999 Waterside Drive, Suite 200, Norfolk, Virginia 23510
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(Address of principal executive offices) (Zip Code)
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Item 2.02.
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Results of Operations and Financial Condition.
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(dollars in thousands)
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As of
June 30, 2012
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As of
March 31, 2012
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As of
June 30, 2011
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Total assets
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$ | 2,070,945 | $ | 2,133,027 | $ | 2,597,385 | ||||||
Less: intangible assets
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3,080 | 3,415 | 9,884 | |||||||||
Tangible assets
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2,067,865 | 2,129,612 | 2,587,501 | |||||||||
Total shareholders' equity
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$ | 149,347 | $ | 105,298 | $ | 161,646 | ||||||
Less: intangible assets
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3,080 | 3,415 | 9,884 | |||||||||
Common shareholders' equity - tangible
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$ | 146,267 | $ | 101,883 | $ | 151,762 | ||||||
Tangible common equity to tangible assets
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7.07 | % | 4.78 | % | 5.87 | % | ||||||
Total common shareholders' equity to total assets
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7.21 | % | 4.94 | % | 6.22 | % | ||||||
Item 7.01.
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Regulation FD Disclosure.
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Item 9.01.
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Financial Statements and Exhibits.
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Ex. 99.1
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Press Release, dated July 24, 2012, announcing Hampton Roads Bankshares, Inc.’s second quarter financial results.
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Hampton Roads Bankshares, Inc.
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Date: July 24, 2012
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By:
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/s/ Douglas J. Glenn
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Douglas J. Glenn
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President and
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Chief Executive Officer
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Exhibit No.
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Description
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Ex. 99.1
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Press Release, dated July 24, 2012, announcing Hampton Roads Bankshares, Inc.’s second quarter financial results.
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Contact:
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Stephen P. Theobald
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Executive Vice President, Chief Financial Officer
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(757) 217-1000
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Hampton Roads Bankshares, Inc.
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Financial Highlights
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Unaudited
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(in thousands, except per share data)
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Six months ended
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Operating Results
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June 30, 2012
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June 30, 2011
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Interest income
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$ | 42,275 | $ | 53,466 | ||||
Interest expense
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9,377 | 17,007 | ||||||
Net interest income
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32,898 | 36,459 | ||||||
Provision for loan losses
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11,648 | 36,054 | ||||||
Noninterest income
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5,101 | 5,508 | ||||||
Noninterest expense
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38,678 | 56,195 | ||||||
Income tax expense
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- | 44 | ||||||
Net loss
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(12,327 | ) | (50,326 | ) | ||||
Noncontrolling interest
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1,245 | 135 | ||||||
Net loss attributable to Hampton Roads Bankshares, Inc.
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$ | (13,572 | ) | $ | (50,461 | ) | ||
Per Share Data
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Loss per share:
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Basic
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$ | (0.38 | ) | $ | (1.51 | ) | ||
Diluted
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(0.38 | ) | (1.51 | ) | ||||
Common dividends declared
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- | - | ||||||
Book value per common share
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1.41 | 4.68 | ||||||
Book value per common share - tangible
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1.38 | 4.39 | ||||||
Daily Averages
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Total assets
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$ | 2,123,036 | $ | 2,717,247 | ||||
Gross loans
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1,464,409 | 1,841,315 | ||||||
Total investment securities
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317,108 | 366,189 | ||||||
Intangible assets
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3,400 | 10,390 | ||||||
Total deposits
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1,758,001 | 2,265,004 | ||||||
Total borrowings
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236,438 | 259,100 | ||||||
Shareholders' equity
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109,398 | 170,179 | ||||||
Shareholders' equity - tangible
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105,998 | 159,789 | ||||||
Common shareholders' equity
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109,398 | 170,179 | ||||||
Common shareholders' equity - tangible
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105,998 | 159,789 | ||||||
Interest-earning assets
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1,816,956 | 2,388,738 | ||||||
Interest-bearing liabilities
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1,767,728 | 2,297,482 | ||||||
Six months ended
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Financial Ratios
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June 30, 2012
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June 30, 2011
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Return on average assets
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-1.29 | % | -3.74 | % | ||||
Return on average common equity
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-24.95 | % | -59.79 | % | ||||
Return on average common equity - tangible
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-25.75 | % | -63.68 | % | ||||
Net interest margin
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3.64 | % | 3.08 | % | ||||
Efficiency ratio
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102.49 | % | 134.52 | % | ||||
Tangible common equity to tangible assets
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7.07 | % | 5.87 | % | ||||
Allowance for Loan Losses
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Beginning balance
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$ | 74,947 | $ | 157,253 | ||||
Provision for losses
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11,648 | 36,054 | ||||||
Charge-offs
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(27,652 | ) | (100,847 | ) | ||||
Recoveries
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3,964 | 2,135 | ||||||
Ending balance
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$ | 62,907 | $ | 94,595 | ||||
Asset Quality Ratios
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Annualized net (chargeoffs) recoveries to average loans
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-3.25 | % | -10.81 | % | ||||
Nonperforming loans to total loans
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8.69 | % | 10.50 | % | ||||
Nonperforming assets to total assets
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8.38 | % | 9.55 | % | ||||
Allowance for loan losses to total loans
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4.38 | % | 5.52 | % |
Hampton Roads Bankshares, Inc.
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Financial Highlights
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Unaudited
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(in thousands, except per share data)
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Operating Results
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Q2 2012 | Q1 2012 | Q2 2011 | |||||||||
Interest income
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$ | 20,669 | $ | 21,606 | $ | 26,283 | ||||||
Interest expense
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4,472 | 4,906 | 8,048 | |||||||||
Net interest income
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16,197 | 16,700 | 18,235 | |||||||||
Provision for loan losses
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4,346 | 7,302 | 14,740 | |||||||||
Noninterest income
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1,993 | 3,109 | 3,383 | |||||||||
Noninterest expense
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18,767 | 19,911 | 25,553 | |||||||||
Income tax expense
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- | - | - | |||||||||
Net loss
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(4,923 | ) | (7,404 | ) | (18,675 | ) | ||||||
Noncontrolling Interest
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744 | 502 | 118 | |||||||||
Net loss attributable to Hampton Roads Bankshares, Inc.
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$ | (5,667 | ) | $ | (7,906 | ) | $ | (18,793 | ) | |||
Per Share Data
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Loss per share:
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Basic
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$ | (0.15 | ) | $ | (0.23 | ) | $ | (0.56 | ) | |||
Diluted
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(0.15 | ) | (0.23 | ) | (0.56 | ) | ||||||
Common dividends declared
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- | - | - | |||||||||
Book value per common share
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1.41 | 3.05 | 4.68 | |||||||||
Book value per common share - tangible
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1.38 | 2.95 | 4.39 | |||||||||
Balance Sheet at Period-End
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Total assets
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$ | 2,070,945 | $ | 2,133,027 | $ | 2,597,385 | ||||||
Gross loans
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1,437,644 | 1,471,998 | 1,712,547 | |||||||||
Allowance for loan losses
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62,907 | 68,917 | 94,595 | |||||||||
Total investment securities
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326,760 | 334,622 | 330,113 | |||||||||
Intangible assets
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3,080 | 3,415 | 9,884 | |||||||||
Total deposits
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1,668,025 | 1,772,122 | 2,160,652 | |||||||||
Total borrowings
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236,306 | 236,431 | 251,917 | |||||||||
Shareholders' equity
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149,347 | 105,298 | 161,646 | |||||||||
Shareholders' equity - tangible
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146,267 | 101,883 | 151,762 | |||||||||
Common shareholders' equity
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149,347 | 105,298 | 161,646 | |||||||||
Common shareholders' equity - tangible
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146,267 | 101,883 | 151,762 |
Daily Averages
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Q2 2012 | Q1 2012 | Q2 2011 | |||||||||
Total assets
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$ | 2,086,935 | $ | 2,159,488 | $ | 2,624,810 | ||||||
Gross loans
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1,444,003 | 1,484,814 | 1,771,355 | |||||||||
Total investment securities
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328,361 | 305,855 | 365,839 | |||||||||
Intangible assets
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3,227 | 3,574 | 10,142 | |||||||||
Total deposits
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1,724,808 | 1,791,570 | 2,189,422 | |||||||||
Total borrowings
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236,352 | 236,524 | 255,350 | |||||||||
Shareholders' equity
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106,559 | 112,283 | 156,838 | |||||||||
Shareholders' equity - tangible
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103,332 | 108,709 | 146,696 | |||||||||
Common shareholders' equity
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106,559 | 112,283 | 156,838 | |||||||||
Common shareholders' equity - tangible
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103,332 | 108,709 | 146,696 | |||||||||
Interest-earning assets
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1,781,285 | 1,853,008 | 2,283,056 | |||||||||
Interest-bearing liabilities
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1,730,717 | 1,805,115 | 2,212,174 | |||||||||
Financial Ratios
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Return on average assets
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-1.09 | % | -1.47 | % | -2.87 | % | ||||||
Return on average common equity
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-21.39 | % | -28.32 | % | -48.06 | % | ||||||
Return on average common equity - tangible
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-22.06 | % | -29.25 | % | -51.38 | % | ||||||
Net interest margin
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3.66 | % | 3.62 | % | 3.20 | % | ||||||
Efficiency ratio
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104.75 | % | 100.44 | % | 119.26 | % | ||||||
Tangible common equity to tangible assets
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7.07 | % | 4.78 | % | 5.87 | % | ||||||
Allowance for Loan Losses
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Beginning balance
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$ | 68,917 | $ | 74,947 | $ | 109,990 | ||||||
Provision for losses
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4,346 | 7,302 | 14,740 | |||||||||
Charge-offs
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(12,367 | ) | (15,285 | ) | (31,696 | ) | ||||||
Recoveries
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2,011 | 1,953 | 1,561 | |||||||||
Ending balance
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$ | 62,907 | $ | 68,917 | $ | 94,595 | ||||||
Nonperforming Assets at Period-End
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Nonaccrual loans including nonaccrual impaired loans
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$ | 124,915 | $ | 128,805 | $ | 179,736 | ||||||
Loans 90 days past due and still accruing interest
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- | - | - | |||||||||
Repossessed assets
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48,578 | 61,028 | 68,296 | |||||||||
Total nonperforming assets
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$ | 173,493 | $ | 189,833 | $ | 248,032 |
Asset Quality Ratios
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Q2 2012 | Q1 2012 | Q2 2011 | |||||||||
Annualized net (chargeoffs) recoveries to average loans
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-2.88 | % | -3.61 | % | -6.82 | % | ||||||
Nonperforming loans to total loans
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8.69 | % | 8.75 | % | 10.50 | % | ||||||
Nonperforming assets to total assets
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8.38 | % | 8.90 | % | 9.55 | % | ||||||
Allowance for loan losses to total loans
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4.38 | % | 4.68 | % | 5.52 | % | ||||||
Composition of Loan Portfolio at Period-End
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Commercial
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$ | 236,009 | $ | 244,619 | $ | 268,104 | ||||||
Construction
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257,772 | 271,623 | 354,223 | |||||||||
Real-estate commercial
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532,569 | 531,734 | 610,062 | |||||||||
Real-estate residential
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387,687 | 400,451 | 448,490 | |||||||||
Installment
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23,632 | 23,591 | 31,864 | |||||||||
Deferred loan fees and related costs
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(25 | ) | (20 | ) | (196 | ) | ||||||
Total loans
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$ | 1,437,644 | $ | 1,471,998 | $ | 1,712,547 | ||||||