California | 20-8859754 | |
(State or other jurisdiction of incorporation) | (IRS Employer Identification No.) | |
504 Redwood Blvd., Suite 100, Novato, CA | 94947 | |
(Address of principal executive office) | (Zip Code) |
Check the appropriate box below if the Form 8-K filing is to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: | |
o Written communications pursuant to Rule 425 under the Securities Act (17CFR 230.425) | |
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
o Pre-commencement communications pursuant to Rule 13e-4(c)) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 | RESULTS OF OPERATIONS AND FINANCIAL CONDITION |
Item 8.01 | Other Events |
Item 9.01 | FINANCIAL STATEMENTS AND EXHIBITS |
99.1 | Press Release dated January 22, 2013. |
Dated: January 22, 2013 | BANK OF MARIN BANCORP | |
by: | /s/ Christina J. Cook | |
Christina J. Cook | ||
Executive Vice President | ||
and Chief Financial Officer | ||
EXHIBIT INDEX | ||
Exhibit No. | Description | Page Number |
99.1 | Press Release dated January 22, 2013 | 1-8 |
FOR IMMEDIATE RELEASE | CONTACT: | Sandy Pfaff |
415-819-7447 | ||
sandy@pfaffpr.com |
• | Loan growth in the fourth quarter of 2012 totaled $60.2 million, or 5.9%, primarily due to investor-owned commercial real estate loan originations in the Marin and San Francisco markets. Gross loans totaled $1.1 billion at December 31, 2012. |
• | Credit quality remains solid with non-performing loans at 1.64% of total loans, down from 1.90% in the prior quarter. Accruing loans past due 30 to 89 days decreased from $2.1 million in the prior quarter to $588 thousand at December 31, 2012. |
• | Deposits increased $50.3 million, or 4.2% in 2012 to $1.3 billion, reflecting a favorable shift in the deposit mix from higher-interest bearing time accounts to core deposits. Non-interest bearing deposits comprised 31.1% of total deposits at December 31, 2012. |
• | In a conscious effort to deploy excess liquidity, Bancorp grew the investment portfolio by $52.1 million in the fourth quarter of 2012 and $98.6 million in the year ended December 31, 2012 (primarily investment-grade municipal securities and corporate bonds). |
• | On January 17, 2013, the Board of Directors declared a quarterly cash dividend of $0.18 per share. The cash dividend is payable to shareholders of record at the close of business on February 1, 2013 and will be payable on February 15, 2013. |
Three months ended | ||||||||||||||||
December 31, 2012 | September 30, 2012 | December 31, 2011 | ||||||||||||||
(dollars in thousands; unaudited) | Dollar Amount | Basis point impact to net interest margin | Dollar Amount | Basis point impact to net interest margin | Dollar Amount | Basis point impact to net interest margin | ||||||||||
Accretion on PCI loans | $ | 423 | 12 bps | $ | 231 | 7 bps | $ | 639 | 19 bps | |||||||
Accretion on non-PCI loans | $ | 42 | 1 bps | $ | 232 | 7 bps | $ | 241 | 7 bps | |||||||
Gains on pay-offs of PCI loans | $ | 1,022 | 29 bps | $ | 101 | 3 bps | $ | 208 | 6 bps | |||||||
Interest recoveries | $ | 182 | 5 bps | $ | — | — | $ | 6 | — | |||||||
Interest reversals | $ | (40 | ) | (1 bps) | $ | (115 | ) | (3 bps) | $ | (30 | ) | (1 bps) |
Years ended | ||||||||||
December 31, 2012 | December 31, 2011 | |||||||||
(dollars in thousands; unaudited) | Dollar Amount | Basis point impact to net interest margin | Dollar Amount | Basis point impact to net interest margin | ||||||
Accretion on PCI loans | $ | 1,641 | 12 bps | $ | 1,418 | 11 bps | ||||
Accretion on non-PCI loans | $ | 789 | 6 bps | $ | 2,857 | 23 bps | ||||
Gains on pay-offs of PCI loans | $ | 1,714 | 13 bps | $ | 1,879 | 15 bps | ||||
Interest recoveries | $ | 182 | 1 bps | $ | 6 | — | ||||
Interest reversals | $ | (231 | ) | (2 bps) | $ | (233 | ) | (2 bps) | ||
FHLB Prepayment Penalty - September 2011 | N/A | N/A | $ | (924 | ) | (7 bps) |
BANK OF MARIN BANCORP | |||||||||||||||
FINANCIAL HIGHLIGHTS | |||||||||||||||
December 31, 2012 | |||||||||||||||
(dollars in thousands, except per share data; unaudited) | Dec. 31, 2012 | Sept. 30, 2012 | Dec. 31, 2011 | ||||||||||||
QUARTER-TO-DATE | |||||||||||||||
NET INCOME | $ | 4,702 | $ | 3,224 | $ | 3,383 | |||||||||
DILUTED EARNINGS PER COMMON SHARE | $ | 0.86 | $ | 0.59 | $ | 0.63 | |||||||||
RETURN ON AVERAGE ASSETS (ROA) | 1.28 | % | 0.89 | % | 0.96 | % | |||||||||
RETURN ON AVERAGE EQUITY (ROE) | 12.50 | % | 8.76 | % | 9.97 | % | |||||||||
EFFICIENCY RATIO | 54.42 | % | 57.38 | % | 56.46 | % | |||||||||
TAX-EQUIVALENT NET INTEREST MARGIN1 | 4.62 | % | 4.44 | % | 4.79 | % | |||||||||
NET CHARGE-OFFS | $ | 178 | $ | 2,396 | $ | 1,085 | |||||||||
NET CHARGE-OFFS TO AVERAGE LOANS | 0.02 | % | 0.24 | % | 0.11 | % | |||||||||
YEAR-TO-DATE | |||||||||||||||
NET INCOME | $ | 17,817 | $ | 15,564 | |||||||||||
DILUTED EARNINGS PER COMMON SHARE | $ | 3.28 | $ | 2.89 | |||||||||||
RETURN ON AVERAGE ASSETS (ROA) | 1.24 | % | 1.16 | % | |||||||||||
RETURN ON AVERAGE EQUITY (ROE) | 12.36 | % | 12.01 | % | |||||||||||
EFFICIENCY RATIO | 55.04 | % | 54.62 | % | |||||||||||
TAX-EQUIVALENT NET INTEREST MARGIN1 | 4.74 | % | 5.13 | % | |||||||||||
NET CHARGE-OFFS | $ | 3,878 | $ | 4,803 | |||||||||||
NET CHARGE-OFFS TO AVERAGE LOANS | 0.38 | % | 0.49 | % | |||||||||||
AT PERIOD END | |||||||||||||||
TOTAL ASSETS | $ | 1,434,749 | $ | 1,435,114 | $ | 1,393,263 | |||||||||
LOANS: | |||||||||||||||
COMMERCIAL AND INDUSTRIAL | $ | 176,431 | $ | 171,662 | $ | 175,790 | |||||||||
REAL ESTATE | |||||||||||||||
COMMERCIAL OWNER-OCCUPIED | $ | 196,406 | $ | 191,397 | $ | 174,705 | |||||||||
COMMERCIAL INVESTOR-OWNED | $ | 509,006 | $ | 438,685 | $ | 446,425 | |||||||||
CONSTRUCTION | $ | 30,665 | $ | 42,857 | $ | 51,957 | |||||||||
HOME EQUITY | $ | 93,237 | $ | 94,939 | $ | 98,043 | |||||||||
OTHER RESIDENTIAL | $ | 49,432 | $ | 53,590 | $ | 61,502 | |||||||||
INSTALLMENT AND OTHER CONSUMER LOANS | $ | 18,775 | $ | 20,580 | $ | 22,732 | |||||||||
TOTAL LOANS | $ | 1,073,952 | $ | 1,013,710 | $ | 1,031,154 | |||||||||
NON-PERFORMING LOANS2: | |||||||||||||||
COMMERCIAL AND INDUSTRIAL | $ | 4,893 | $ | 6,048 | $ | 2,955 | |||||||||
REAL ESTATE | |||||||||||||||
COMMERCIAL OWNER-OCCUPIED | $ | 1,403 | $ | 1,403 | $ | 2,033 | |||||||||
COMMERCIAL INVESTOR-OWNED | $ | 6,843 | $ | 3,725 | $ | 741 | |||||||||
CONSTRUCTION | $ | 2,239 | $ | 5,787 | $ | 3,014 | |||||||||
HOME EQUITY | $ | 545 | $ | 881 | $ | 766 | |||||||||
OTHER RESIDENTIAL | $ | 1,196 | $ | 736 | $ | 1,942 | |||||||||
INSTALLMENT AND OTHER CONSUMER LOANS | $ | 533 | $ | 652 | $ | 519 | |||||||||
TOTAL NON-PERFORMING LOANS | $ | 17,652 | $ | 19,232 | $ | 11,970 | |||||||||
CLASSIFIED LOANS (GRADED SUBSTANDARD & DOUBTFUL) | $ | 36,916 | $ | 42,602 | $ | 64,670 | |||||||||
TOTAL ACCRUING LOANS 30-89 DAYS PAST DUE | $ | 588 | $ | 2,055 | $ | 7,382 | |||||||||
LOAN LOSS RESERVE TO LOANS | 1.27 | % | 1.30 | % | 1.42 | % | |||||||||
LOAN LOSS RESERVE TO NON-PERFORMING LOANS | 0.77 | x | 0.68 | x | 1.22 | x | |||||||||
NON-PERFORMING LOANS TO TOTAL LOANS | 1.64 | % | 1.90 | % | 1.16 | % | |||||||||
TEXAS RATIO3 | 10.69 | % | 12.01 | % | 7.99 | % | |||||||||
TOTAL DEPOSITS | $ | 1,253,289 | $ | 1,258,873 | $ | 1,202,972 | |||||||||
LOAN TO DEPOSIT RATIO | 85.7 | % | 80.5 | % | 85.7 | % | |||||||||
STOCKHOLDERS' EQUITY | $ | 151,792 | $ | 147,336 | $ | 135,551 | |||||||||
BOOK VALUE PER SHARE | $ | 28.17 | $ | 27.45 | $ | 25.40 | |||||||||
TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS4 | 10.58 | % | 10.27 | % | 9.73 | % | |||||||||
TOTAL RISK BASED CAPITAL RATIO-BANK5 | 13.6 | % | 13.8 | % | 12.9 | % | |||||||||
TOTAL RISK BASED CAPITAL RATIO-BANCORP5 | 13.7 | % | 14.0 | % | 13.1 | % | |||||||||
FULL TIME EQUIVALENT EMPLOYEES | 238 | 234 | 232 | ||||||||||||
1 Net interest income is annualized by dividing actual number of days in the period times 360 days. | |||||||||||||||
2 Excludes accruing troubled-debt restructured loans of $10.8 million, $15.7 million and $6.3 million at December 31, 2012, September 30, 2012 and December 31, 2011, respectively. Excludes purchased credit-impaired (PCI) loans with carrying values of $3.0 million, $3.1 million and $3.4 million that were accreting interest at December 31, 2012, September 30, 2012 and December 31, 2011, respectively. These amounts are excluded as PCI loan accretable yield interest recognition is independent from the underlying contractual loan delinquency status. Total PCI loans were $4.5 million at December 31, 2012, $4.7 million at September 30, 2012 and $6.0 million at December 31, 2011. | |||||||||||||||
3 (Non-performing assets + 90 day delinquent loans)/(tangible common equity + allowance for loan losses). | |||||||||||||||
4 Tangible common equity includes common stock, retained earnings and unrealized gain on available for sale securities, net of tax, less intangible assets. | |||||||||||||||
5 Current period estimated. |
BANK OF MARIN BANCORP CONSOLIDATED STATEMENTS OF CONDITION |
at December 31, 2012, September 30, 2012 and December 31, 2011 |
(in thousands, except share data; unaudited) | Dec. 31, 2012 | Sept. 30, 2012 | Dec. 31, 2011 | ||||||||
Assets | |||||||||||
Cash and due from banks | $ | 28,349 | $ | 141,438 | $ | 127,732 | |||||
Short-term investments | — | — | 2,011 | ||||||||
Cash and cash equivalents | 28,349 | 141,438 | 129,743 | ||||||||
Investment securities | |||||||||||
Held to maturity, at amortized cost | 139,452 | 94,571 | 59,738 | ||||||||
Available for sale (at fair value; amortized cost $150,420, $143,263 and $132,348 at December 31, 2012, September 30, 2012 and December 31, 2011, respectively) | 153,962 | 146,789 | 135,104 | ||||||||
Total investment securities | 293,414 | 241,360 | 194,842 | ||||||||
Loans, net of allowance for loan losses of $13,661, $13,139 and $14,639 at December 31, 2012, September 30, 2012 and December 31, 2011, respectively | 1,060,291 | 1,000,571 | 1,016,515 | ||||||||
Bank premises and equipment, net | 9,344 | 8,989 | 9,498 | ||||||||
Interest receivable and other assets | 43,351 | 42,756 | 42,665 | ||||||||
Total assets | $ | 1,434,749 | $ | 1,435,114 | $ | 1,393,263 | |||||
Liabilities and Stockholders' Equity | |||||||||||
Liabilities | |||||||||||
Deposits | |||||||||||
Non-interest bearing | $ | 389,722 | $ | 408,565 | $ | 359,591 | |||||
Interest bearing | |||||||||||
Transaction accounts | 169,647 | 158,957 | 134,673 | ||||||||
Savings accounts | 93,404 | 91,506 | 75,617 | ||||||||
Money market accounts | 443,742 | 422,874 | 434,461 | ||||||||
CDARS® time accounts | 15,718 | 33,699 | 46,630 | ||||||||
Other time accounts | 141,056 | 143,272 | 152,000 | ||||||||
Total deposits | 1,253,289 | 1,258,873 | 1,202,972 | ||||||||
Federal Home Loan Bank borrowings | 15,000 | 15,000 | 35,000 | ||||||||
Subordinated debenture | — | — | 5,000 | ||||||||
Interest payable and other liabilities | 14,668 | 13,905 | 14,740 | ||||||||
Total liabilities | 1,282,957 | 1,287,778 | 1,257,712 | ||||||||
Stockholders' Equity | |||||||||||
Preferred stock, no par value, Authorized - 5,000,000 shares, none issued | — | — | — | ||||||||
Common stock, no par value, Authorized - 15,000,000 shares; Issued and outstanding - 5,389,210, 5,368,386 and 5,336,927 at December 31, 2012, September 30, 2012 and December 31, 2011, respectively | 58,573 | 57,862 | 56,854 | ||||||||
Retained earnings | 91,164 | 87,429 | 77,098 | ||||||||
Accumulated other comprehensive income, net | 2,055 | 2,045 | 1,599 | ||||||||
Total stockholders' equity | 151,792 | 147,336 | 135,551 | ||||||||
Total liabilities and stockholders' equity | $ | 1,434,749 | $ | 1,435,114 | $ | 1,393,263 |
BANK OF MARIN BANCORP CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME |
Three months ended | Years ended | ||||||||||||||||||
(in thousands, except per share amounts; unaudited) | Dec. 31, 2012 | Sept. 30, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||||||||
Interest income | |||||||||||||||||||
Interest and fees on loans | $ | 14,634 | $ | 14,117 | $ | 15,150 | $ | 59,403 | $ | 63,479 | |||||||||
Interest on investment securities | |||||||||||||||||||
Securities of U.S. government agencies | 680 | 731 | 847 | 3,195 | 3,478 | ||||||||||||||
Obligations of state and political subdivisions | 565 | 382 | 396 | 1,789 | 1,299 | ||||||||||||||
Corporate debt securities and other | 353 | 326 | 203 | 1,165 | 636 | ||||||||||||||
Interest on Federal funds sold and short-term investments | 66 | 42 | 70 | 214 | 222 | ||||||||||||||
Total interest income | 16,298 | 15,598 | 16,666 | 65,766 | 69,114 | ||||||||||||||
Interest expense | |||||||||||||||||||
Interest on interest bearing transaction accounts | 14 | 48 | 30 | 151 | 151 | ||||||||||||||
Interest on savings accounts | 16 | 26 | 23 | 88 | 98 | ||||||||||||||
Interest on money market accounts | 145 | 181 | 282 | 689 | 1,286 | ||||||||||||||
Interest on CDARS® time accounts | 11 | 19 | 45 | 83 | 237 | ||||||||||||||
Interest on other time accounts | 241 | 254 | 336 | 1,068 | 1,314 | ||||||||||||||
Interest on borrowed funds | 80 | 153 | 232 | 497 | 2,209 | ||||||||||||||
Total interest expense | 507 | 681 | 948 | 2,576 | 5,295 | ||||||||||||||
Net interest income | 15,791 | 14,917 | 15,718 | 63,190 | 63,819 | ||||||||||||||
Provision for loan losses | 700 | 2,100 | 2,500 | 2,900 | 7,050 | ||||||||||||||
Net interest income after provision for loan losses | 15,091 | 12,817 | 13,218 | 60,290 | 56,769 | ||||||||||||||
Non-interest income | |||||||||||||||||||
Service charges on deposit accounts | 529 | 528 | 447 | 2,130 | 1,836 | ||||||||||||||
Wealth Management and Trust Services | 513 | 507 | 445 | 1,964 | 1,834 | ||||||||||||||
Debit card interchange fees | 261 | 261 | 233 | 1,015 | 845 | ||||||||||||||
Merchant interchange fees | 177 | 183 | 30 | 739 | 353 | ||||||||||||||
Earnings on Bank-owned life Insurance | 190 | 192 | 196 | 762 | 752 | ||||||||||||||
Other income | 146 | 130 | 173 | 502 | 649 | ||||||||||||||
Total non-interest income | 1,816 | 1,801 | 1,524 | 7,112 | 6,269 | ||||||||||||||
Non-interest expense | |||||||||||||||||||
Salaries and related benefits | 5,010 | 5,211 | 4,742 | 21,139 | 20,211 | ||||||||||||||
Occupancy and equipment | 1,098 | 1,089 | 981 | 4,230 | 4,002 | ||||||||||||||
Depreciation and amortization | 334 | 339 | 342 | 1,355 | 1,293 | ||||||||||||||
Federal Deposit Insurance Corporation insurance | 245 | 221 | 210 | 917 | 1,000 | ||||||||||||||
Data processing | 652 | 596 | 557 | 2,514 | 2,690 | ||||||||||||||
Professional services | 720 | 519 | 561 | 2,340 | 2,499 | ||||||||||||||
Other expense | 1,523 | 1,617 | 2,341 | 6,199 | 6,588 | ||||||||||||||
Total non-interest expense | 9,582 | 9,592 | 9,734 | 38,694 | 38,283 | ||||||||||||||
Income before provision for income taxes | 7,325 | 5,026 | 5,008 | 28,708 | 24,755 | ||||||||||||||
Provision for income taxes | 2,623 | 1,802 | 1,625 | 10,891 | 9,191 | ||||||||||||||
Net income | $ | 4,702 | $ | 3,224 | $ | 3,383 | $ | 17,817 | $ | 15,564 | |||||||||
Net income per common share: | |||||||||||||||||||
Basic | $ | 0.88 | $ | 0.60 | $ | 0.64 | $ | 3.34 | $ | 2.94 | |||||||||
Diluted | $ | 0.86 | $ | 0.59 | $ | 0.63 | $ | 3.28 | $ | 2.89 | |||||||||
Weighted average shares used to compute net income per common share: | |||||||||||||||||||
Basic | 5,357 | 5,344 | 5,313 | 5,341 | 5,302 | ||||||||||||||
Diluted | 5,451 | 5,455 | 5,394 | 5,438 | 5,384 | ||||||||||||||
Dividends declared per common share | $ | 0.18 | $ | 0.18 | $ | 0.17 | $ | 0.70 | $ | 0.65 | |||||||||
Comprehensive income | |||||||||||||||||||
Net income | $ | 4,702 | $ | 3,224 | $ | 3,383 | $ | 17,817 | $ | 15,564 | |||||||||
Other comprehensive income (loss) | |||||||||||||||||||
Change in net unrealized gain on available for sale securities | 16 | 747 | (191 | ) | 752 | 90 | |||||||||||||
Reclassification adjustment for loss on sale of securities included in net income | — | — | — | 34 | — | ||||||||||||||
Net change in unrealized gain on available for sale securities, before tax | 16 | 747 | (191 | ) | 786 | 90 | |||||||||||||
Deferred tax expense (benefit) | 6 | 314 | (81 | ) | 330 | 37 | |||||||||||||
Other comprehensive income (loss), net of tax | 10 | 433 | (110 | ) | 456 | 53 | |||||||||||||
Comprehensive income | $ | 4,712 | $ | 3,657 | $ | 3,273 | $ | 18,273 | $ | 15,617 |
BANK OF MARIN BANCORP |
AVERAGE STATEMENTS OF CONDITION AND ANALYSIS OF NET INTEREST INCOME |
Three months ended | Three months ended | Three months ended | |||||||||||||||||||||||
December 31, 2012 | September 30, 2012 | December 31, 2011 | |||||||||||||||||||||||
Interest | Interest | Interest | |||||||||||||||||||||||
Average | Income/ | Yield/ | Average | Income/ | Yield/ | Average | Income/ | Yield/ | |||||||||||||||||
(Dollars in thousands; unaudited) | Balance | Expense | Rate | Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||||
Assets | |||||||||||||||||||||||||
Interest-bearing due from banks 1 | $ | 80,884 | $ | 66 | 0.32 | % | $ | 84,539 | $ | 42 | 0.19 | % | $ | 104,190 | $ | 70 | 0.26 | % | |||||||
Investment securities 2, 3 | 265,316 | 1,779 | 2.68 | % | 241,461 | 1,578 | 2.61 | % | 194,533 | 1,616 | 3.32 | % | |||||||||||||
Loans 1, 3, 4 | 1,020,737 | 14,788 | 5.67 | % | 1,014,708 | 14,265 | 5.50 | % | 1,009,916 | 15,289 | 5.92 | % | |||||||||||||
Total interest-earning assets 1 | 1,366,937 | 16,633 | 4.76 | % | 1,340,708 | 15,885 | 4.64 | % | 1,308,639 | 16,975 | 5.08 | % | |||||||||||||
Cash and non-interest-bearing due from banks | 44,225 | 55,727 | 52,574 | ||||||||||||||||||||||
Bank premises and equipment, net | 9,173 | 9,042 | 9,610 | ||||||||||||||||||||||
Interest receivable and other assets, net | 37,512 | 36,474 | 34,324 | ||||||||||||||||||||||
Total assets | $ | 1,457,847 | $ | 1,441,951 | $ | 1,405,147 | |||||||||||||||||||
Liabilities and Stockholders' Equity | |||||||||||||||||||||||||
Interest-bearing transaction accounts | $ | 160,605 | $ | 14 | 0.03 | % | $ | 159,721 | $ | 48 | 0.12 | % | $ | 130,894 | $ | 30 | 0.09 | % | |||||||
Savings accounts | 91,609 | 16 | 0.07 | % | 91,020 | 26 | 0.11 | % | 75,217 | 23 | 0.12 | % | |||||||||||||
Money market accounts | 442,006 | 145 | 0.13 | % | 435,110 | 181 | 0.17 | % | 432,728 | 282 | 0.26 | % | |||||||||||||
CDARS® time accounts | 22,497 | 11 | 0.19 | % | 29,519 | 19 | 0.25 | % | 39,850 | 45 | 0.45 | % | |||||||||||||
Other time accounts | 141,375 | 241 | 0.68 | % | 143,668 | 254 | 0.70 | % | 152,619 | 336 | 0.87 | % | |||||||||||||
FHLB borrowings and overnight borrowings 1 | 15,010 | 80 | 2.08 | % | 15,000 | 79 | 2.07 | % | 35,000 | 195 | 2.21 | % | |||||||||||||
Subordinated debenture 1 | — | — | — | % | 4,239 | 74 | 6.83 | % | 5,000 | 37 | 2.90 | % | |||||||||||||
Total interest-bearing liabilities | 873,102 | 507 | 0.23 | % | 878,277 | 681 | 0.31 | % | 871,308 | 948 | 0.43 | % | |||||||||||||
Demand accounts | 420,517 | 404,677 | 386,066 | ||||||||||||||||||||||
Interest payable and other liabilities | 14,524 | 12,548 | 13,214 | ||||||||||||||||||||||
Stockholders' equity | 149,704 | 146,449 | 134,559 | ||||||||||||||||||||||
Total liabilities & stockholders' equity | $ | 1,457,847 | $ | 1,441,951 | $ | 1,405,147 | |||||||||||||||||||
Tax-equivalent net interest income/margin 1 | $ | 16,126 | 4.62 | % | $ | 15,204 | 4.44 | % | $ | 16,027 | 4.79 | % | |||||||||||||
Reported net interest income/margin 1 | $ | 15,791 | 4.52 | % | $ | 14,917 | 4.35 | % | $ | 15,718 | 4.70 | % | |||||||||||||
Tax-equivalent net interest rate spread | 4.53 | % | 4.33 | % | 4.65 | % | |||||||||||||||||||
Year ended | Year ended | ||||||||||||||||||||||||
December 31, 2012 | December 31, 2011 | ||||||||||||||||||||||||
Interest | Interest | ||||||||||||||||||||||||
Average | Income/ | Yield/ | Average | Income/ | Yield/ | ||||||||||||||||||||
(Dollars in thousands; unaudited) | Balance | Expense | Rate | Balance | Expense | Rate | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Interest-bearing due from banks 1 | $ | 80,643 | $ | 214 | 0.26 | % | $ | 87,365 | $ | 222 | 0.25 | % | |||||||||||||
Investment securities 2, 3 | 234,014 | 6,829 | 2.92 | % | 175,571 | 6,049 | 3.45 | % | |||||||||||||||||
Loans 1, 3, 4 | 1,023,165 | 59,991 | 5.77 | % | 984,211 | 63,914 | 6.40 | % | |||||||||||||||||
Total interest-earning assets 1 | 1,337,822 | 67,034 | 4.93 | % | 1,247,147 | 70,185 | 5.55 | % | |||||||||||||||||
Cash and non-interest-bearing due from banks | 51,301 | 46,673 | |||||||||||||||||||||||
Bank premises and equipment, net | 9,183 | 9,136 | |||||||||||||||||||||||
Interest receivable and other assets, net | 36,155 | 34,183 | |||||||||||||||||||||||
Total assets | $ | 1,434,461 | $ | 1,337,139 | |||||||||||||||||||||
Liabilities and Stockholders' Equity | |||||||||||||||||||||||||
Interest-bearing transaction accounts | $ | 152,778 | $ | 151 | 0.10 | % | $ | 125,316 | $ | 151 | 0.12 | % | |||||||||||||
Savings accounts | 86,670 | 88 | 0.10 | % | 69,792 | 98 | 0.14 | % | |||||||||||||||||
Money market accounts | 436,281 | 689 | 0.16 | % | 405,726 | 1,286 | 0.32 | % | |||||||||||||||||
CDARS® time accounts | 30,016 | 83 | 0.28 | % | 39,514 | 237 | 0.60 | % | |||||||||||||||||
Other time accounts | 144,106 | 1,068 | 0.74 | % | 151,866 | 1,314 | 0.87 | % | |||||||||||||||||
FHLB borrowings and overnight borrowings 1 | 16,205 | 345 | 2.09 | % | 49,722 | 2,062 | 4.15 | % | |||||||||||||||||
Subordinated debenture 1 | 3,552 | 152 | 4.21 | % | 5,000 | 147 | 2.90 | % | |||||||||||||||||
Total interest-bearing liabilities | 869,608 | 2,576 | 0.30 | % | 846,936 | 5,295 | 0.63 | % | |||||||||||||||||
Demand accounts | 406,861 | 347,682 | |||||||||||||||||||||||
Interest payable and other liabilities | 13,881 | 12,983 | |||||||||||||||||||||||
Stockholders' equity | 144,111 | 129,538 | |||||||||||||||||||||||
Total liabilities & stockholders' equity | $ | 1,434,461 | $ | 1,337,139 | |||||||||||||||||||||
Tax-equivalent net interest income/margin 1 | $ | 64,458 | 4.74 | % | $ | 64,890 | 5.13 | % | |||||||||||||||||
Reported net interest income/margin 1 | $ | 63,190 | 4.65 | % | $ | 63,819 | 5.05 | % | |||||||||||||||||
Tax-equivalent net interest rate spread | 4.63 | % | 4.92 | % | |||||||||||||||||||||
1 Interest income/expense is divided by actual number of days in the period times 360 days to correspond to stated interest rate terms, where applicable. | |||||||||||||||||||||||||
2 Yields on available-for-sale securities are calculated based on amortized cost balances rather than fair value, as changes in fair value are reflected as a component of stockholders' equity. Investment security interest is earned on 30/360 day basis monthly. | |||||||||||||||||||||||||
3 Yields and interest income on tax-exempt securities and loans are presented on a taxable-equivalent basis using the Federal statutory rate of 35 percent. | |||||||||||||||||||||||||
4 Average balances on loans outstanding include non-performing loans. The amortized portion of net loan origination fees is included in interest income on loans, representing an adjustment to the yield. |
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