Pennsylvania
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333-166225
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27-2290659
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(State or other jurisdiction
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(Commission File Number)
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(I.R.S. Employer
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of incorporation)
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Identification No.)
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¨
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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¨
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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¨
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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¨
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 9.01.
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Financial Statements and Exhibits
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Exhibit
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Description
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CUSTOMERS BANCORP, INC.
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By:
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/s/ James D. Hogan
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Name: James D. Hogan
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Title: Chief Financial Officer
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Exhibit
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Description
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Customers Bancorp, Inc. SM
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1015 Penn Avenue
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![]() |
Wyomissing, PA 19610
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Contacts:
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Jay Sidhu, Chairman & CEO 610-935-8693
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Richard Ehst, President & COO 610-917-3263
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Investor Contact:
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James Hogan, CFO 484-359-7113
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·
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Net income of $6.6 million for the third quarter of 2012 increased 183% over the third quarter of 2011.
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·
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EPS increased 122% for the third quarter of 2012 as compared to the same quarter of 2011.
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·
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ROA of 1.06% for the third quarter of 2012 versus 0.56% for the third quarter of 2011. ROE of 14.81% during Q3 2012 versus 6.40% during Q3 2011.
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·
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Demand deposits grew 82% over Q3 2011 while total deposits grew 49% over Q3 2011.
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·
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Total loans increased 87% over Q3 2011.
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·
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The Bancorp raised approximately $100 million of common equity during the third quarter of 2012, increasing Tier 1 Leverage to 10.29% and Tier 1 Risk Based Capital to 12.17%.
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CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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||||||||||||
FINANCIAL SUMMARY - UNAUDITED
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||||||||||||
(Dollar amounts in thousands, except per share data)
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||||||||||||
Q3 2012 | Q3 2011 |
% Change
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||||||||||
Net income available to common shareholders
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$ | 6,637 | $ | 2,340 | 184 | % | ||||||
Diluted earnings per share
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$ | 0.51 | $ | 0.23 | 122 | % | ||||||
Return on average assets
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1.06 | % | 0.56 | % | 89 | % | ||||||
Return on average equity
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14.81 | % | 6.40 | % | 131 | % | ||||||
Diluted shares
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12,890 | 10,094 | 28 | % | ||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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|||||
CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED
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(Dollar amounts in thousands, except per share data)
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Three Months Ended September 30,
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Nine Months Ended September 30,
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2012
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2011
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2012
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2011
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Total interest income
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$ | 27,962 | $ | 15,359 | $ | 66,298 | $ | 41,806 | ||||||||
Total interest expense
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5,407 | 5,696 | 16,181 | 17,041 | ||||||||||||
Net interest income
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22,555 | 9,663 | 50,117 | 24,765 | ||||||||||||
Provision for loan losses
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10,116 | 900 | 14,654 | 6,550 | ||||||||||||
Net interest income after provision for loan losses
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12,439 | 8,763 | 35,463 | 18,215 | ||||||||||||
Total non-interest income
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9,767 | 3,242 | 26,795 | 9,082 | ||||||||||||
Total non-interest expense
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11,995 | 8,730 | 37,255 | 26,187 | ||||||||||||
Income before tax expense
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10,211 | 3,275 | 25,003 | 1,110 | ||||||||||||
Income tax expense
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3,574 | 930 | 8,751 | 299 | ||||||||||||
Net income
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6,637 | 2,345 | 16,252 | 811 | ||||||||||||
Dividends on preferred stock
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- | 5 | - | 5 | ||||||||||||
Net income available to common shareholders
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$ | 6,637 | $ | 2,340 | $ | 16,252 | $ | 806 | ||||||||
Basic earnings per share
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$ | 0.53 | $ | 0.24 | $ | 1.39 | $ | 0.08 | ||||||||
Diluted earnings per share
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$ | 0.51 | $ | 0.23 | $ | 1.35 | $ | 0.08 | ||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED
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(Dollar amounts in thousands)
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Three Months Ended September 30,
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Nine Months Ended September 30,
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2012
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2011
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2012
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2011
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Non-interest income:
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||||||||||||||||
Deposit fees
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$ | 125 | $ | 114 | $ | 357 | $ | 313 | ||||||||
Mortgage warehouse transactional fees
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3,346 | 1,366 | 8,829 | 3,754 | ||||||||||||
Bank owned life insurance
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359 | 264 | 948 | 1,128 | ||||||||||||
Gain on sale of investment securities
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- | 1,413 | 9,006 | 1,413 | ||||||||||||
Gain (loss) on sale of assets
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(71 | ) | - | 268 | - | |||||||||||
Accretion of fdic loss sharing receivable
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1,296 | - | 1,951 | 1,709 | ||||||||||||
Other non-interest income
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4,712 | 85 | 5,436 | 765 | ||||||||||||
Total non-interest income
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$ | 9,767 | $ | 3,242 | $ | 26,795 | $ | 9,082 | ||||||||
Non-interest expense:
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||||||||||||||||
Salaries and employee benefits
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$ | 5,978 | $ | 3,752 | $ | 17,073 | $ | 11,840 | ||||||||
Occupancy
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1,709 | 1,022 | 4,937 | 3,012 | ||||||||||||
Technology, communication and bank operations
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698 | 485 | 2,037 | 1,312 | ||||||||||||
Advertising and promotion
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270 | 206 | 846 | 639 | ||||||||||||
Professional services
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819 | 1,234 | 2,474 | 3,963 | ||||||||||||
FDIC assessments, taxes, and regulatory fees
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669 | 373 | 2,205 | 1,626 | ||||||||||||
Oher real estate owned
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(287 | ) | 102 | 587 | 390 | |||||||||||
Loan workout
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617 | 370 | 1,519 | 1,014 | ||||||||||||
Merger related expenses
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- | 530 | 28 | 530 | ||||||||||||
Other non-interest expense
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1,522 | 656 | 5,549 | 1,861 | ||||||||||||
Total non-interest expense
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$ | 11,995 | $ | 8,730 | $ | 37,255 | $ | 26,187 | ||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED
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(Dollar amounts in thousands, except per share data)
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3Q 12 | 2Q 12 | 1Q 12 | 4Q 11 | 3Q 11 | ||||||||||||||||
Total interest income
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$ | 27,962 | $ | 19,700 | $ | 18,636 | $ | 19,440 | $ | 15,359 | ||||||||||
Total interest expense
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5,407 | 5,548 | 5,226 | 5,422 | 5,696 | |||||||||||||||
Net interest income
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22,555 | 14,152 | 13,410 | 14,018 | 9,663 | |||||||||||||||
Provision for loan losses
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10,116 | 2,738 | 1,800 | 2,900 | 900 | |||||||||||||||
Net interest income after provision for loan losses
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12,439 | 11,414 | 11,610 | 11,118 | 8,763 | |||||||||||||||
Total non-interest income
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9,767 | 12,637 | 3,732 | 4,345 | 3,242 | |||||||||||||||
Total non-interest expense
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11,995 | 13,973 | 10,627 | 10,704 | 8,730 | |||||||||||||||
Income before tax expense
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10,211 | 10,078 | 4,715 | 4,759 | 3,275 | |||||||||||||||
Income tax expense
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3,574 | 3,574 | 1,603 | 1,535 | 930 | |||||||||||||||
Net income
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$ | 6,637 | $ | 6,504 | $ | 3,112 | $ | 3,224 | $ | 2,345 | ||||||||||
Dividends on preferred stock
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- | - | - | 39 | 5 | |||||||||||||||
Net income available to common shareholders
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$ | 6,637 | $ | 6,504 | $ | 3,112 | $ | 3,185 | $ | 2,340 | ||||||||||
Diluted earnings per share
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$ | 0.51 | $ | 0.56 | $ | 0.27 | $ | 0.27 | $ | 0.23 | ||||||||||
Diluted shares
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12,890 | 11,639 | 11,626 | 11,647 | 10,094 | |||||||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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SELECTED FINANCIAL HIGHLIGHTS - UNAUDITED
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(Dollar amounts in thousands, except share data)
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3Q 12 | 2Q 12 | 1Q 12 | 4Q 11 | 3Q 11 | ||||||||||||||||
Total assets
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$ | 2,654,091 | $ | 2,284,141 | $ | 1,975,592 | $ | 2,077,532 | $ | 1,862,671 | ||||||||||
Total loans receivable, net
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1,062,125 | 1,634,752 | 1,296,463 | 1,326,361 | 998,973 | |||||||||||||||
Loans held for sale (a)
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1,187,885 | 283,535 | 175,868 | 174,999 | 205,027 | |||||||||||||||
Investment securities
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130,705 | 134,757 | 309,368 | 398,684 | 517,227 | |||||||||||||||
Cash and cash equivalents
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157,510 | 122,052 | 90,824 | 73,570 | 52,830 | |||||||||||||||
Demand deposits, non-interest bearing
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213,229 | 155,009 | 133,916 | 114,044 | 110,543 | |||||||||||||||
Demand deposits, interest bearing
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42,616 | 34,913 | 33,075 | 37,044 | 29,965 | |||||||||||||||
Money market and savings
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989,828 | 862,409 | 778,872 | 719,341 | 631,853 | |||||||||||||||
Certificates of deposit
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1,102,511 | 877,532 | 858,737 | 712,760 | 809,245 | |||||||||||||||
Total deposits
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2,348,184 | 1,929,863 | 1,804,600 | 1,583,189 | 1,581,606 | |||||||||||||||
Borrowings
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38,000 | 185,000 | 13,000 | 338,000 | 123,000 | |||||||||||||||
Total shareholders' equity
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261,502 | 158,716 | 151,308 | 147,748 | 149,666 | |||||||||||||||
Shares
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18,460 | 11,348 | 11,348 | 11,348 | 11,395 | |||||||||||||||
Book value
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$ | 14.17 | $ | 13.99 | $ | 13.33 | $ | 13.02 | $ | 13.13 | ||||||||||
Tangible book value with OCI
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$ | 13.64 | $ | 13.28 | $ | 12.69 | $ | 12.40 | $ | 12.21 | ||||||||||
(a) including $1.1 billion of mortgage warehouse loans at fair value at 9/30/2012
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CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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SUMMARY OF LOAN LOSS EXPERIENCE- UNAUDITED
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(Dollar amounts in thousands)
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3Q 12 | 2Q 12 | 1Q 12 | 4Q 11 | 3Q 11 | ||||||||||||||||
Allowance for loan losses:
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Beginning balance
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$ | (16,118 | ) | $ | (15,400 | ) | $ | (15,032 | ) | $ | (14,025 | ) | $ | (13,946 | ) | |||||
Charge-offs
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1,417 | 2,106 | 1,472 | 1,910 | 905 | |||||||||||||||
Recoveries
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(157 | ) | (86 | ) | (40 | ) | (17 | ) | (84 | ) | ||||||||||
Net charge-offs
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1,260 | 2,020 | 1,432 | 1,893 | 821 | |||||||||||||||
Provision for loan losses
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(10,116 | ) | (2,738 | ) | (1,800 | ) | (2,900 | ) | (900 | ) | ||||||||||
Ending balance
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$ | (24,974 | ) | $ | (16,118 | ) | $ | (15,400 | ) | $ | (15,032 | ) | $ | (14,025 | ) | |||||
Cash reserves
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4,092 | 5,045 | 6,095 | 6,534 | 7,330 | |||||||||||||||
Non-accretable difference
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9,073 | 14,341 | 19,899 | 23,532 | 24,541 | |||||||||||||||
Allowance to loans
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2.30 | % | 0.98 | % | 1.17 | % | 1.12 | % | 1.38 | % | ||||||||||
Net charge offs to average loans
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0.05 | % | 0.10 | % | 0.08 | % | 0.10 | % | 0.05 | % | ||||||||||
Originated non-performing assets:
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||||||||||||||||||||
Non accr - total loans
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$ | 20,960 | $ | 21,156 | $ | 22,301 | $ | 28,717 | $ | 24,913 | ||||||||||
Other real estate owned
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1,624 | 943 | 1,924 | 3,459 | 3,054 | |||||||||||||||
Total
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$ | 22,584 | $ | 22,099 | $ | 24,225 | $ | 32,176 | $ | 27,967 | ||||||||||
Originated NPA / average assets
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0.91 | % | 1.06 | % | 1.27 | % | 1.67 | % | 1.69 | % | ||||||||||
Restructured loans
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$ | 1,702 | $ | 1,726 | $ | 1,604 | $ | 3,632 | $ | 3,203 | ||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
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||||||||||||||||||||
SELECTED RATIOS - UNAUDITED
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(Dollar amounts in thousands)
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3Q 12 | 2Q 12 | 1Q 12 | 4Q 11 | 3Q 11 | ||||||||||||||||
Net interest margin
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3.81 | % | 2.91 | % | 3.00 | % | 3.05 | % | 2.48 | % | ||||||||||
Return on average assets
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1.06 | % | 1.26 | % | 0.66 | % | 0.66 | % | 0.56 | % | ||||||||||
Return on average equity
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14.81 | % | 16.78 | % | 8.36 | % | 8.47 | % | 6.40 | % | ||||||||||
Non-interest income to earning assets
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1.65 | % | 2.71 | % | 0.83 | % | 0.95 | % | 0.83 | % | ||||||||||
Efficiency ratio
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37.11 | % | 78.45 | % | 62.76 | % | 62.36 | % | 75.47 | % | ||||||||||
Non-interest expense to earning assets
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2.03 | % | 2.98 | % | 2.37 | % | 2.34 | % | 2.25 | % | ||||||||||
Tangible Common Equity with OCI to Tangible Assets | * | 9.73 | % | 6.80 | % | 7.49 | % | 6.95 | % | 7.69 | % | |||||||||
Tier 1 Risk Based Capital | * | 12.17 | % | 9.16 | % | 10.82 | % | 10.01 | % | 13.12 | % | |||||||||
Total Risk Based Capital | * | 13.41 | % | 10.19 | % | 12.01 | % | 11.13 | % | 14.48 | % | |||||||||
Tier 1 Leverage | * | 10.29 | % | 7.45 | % | 7.71 | % | 7.37 | % | 8.72 | % | |||||||||
* 3Q 12 estimates pending final CALL report
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