EX-99.1 2 d399815dex991.htm COPY OF SLIDE PRESENTATION CU BANCORP PROVIDED TO INVESTORS Copy of slide presentation CU Bancorp provided to investors

EXHIBIT 99.1

 

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California United Bank August 16, 2012 Trading Symbol: CUNB www.cunb.com United in Our Dedication to Relationships

 

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Forward-Looking Statements 2 This presentation contains certain forward-looking information about CU Bancorp and California United Bank (collectively the “Company”) that is intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements. Such statements involve inherent risks and uncertainties, many of which are difficult to predict and are generally beyond the control of the Company. There are a number of important factors that could cause actual results to differ materially from those expressed in, implied or projected by, such forward-looking statements. Risks and uncertainties include but are not limited to lower than expected revenues; credit quality deterioration which could cause an increase in the allowance for loan losses and a reduction in net earnings; increased competitive pressure among depository institutions; a change in the interest rate environment which reduces interest margins; asset/liability repricing risks and liquidity risks; general economic conditions, either nationally or in the market areas in which the Company does or anticipates doing business are less favorable than expected; environmental conditions, including natural disasters, may disrupt our business, impede our operations, negatively impact the values of collateral security for the Company’s loans or impair the ability of our borrowers to support their debt obligations; the economic and regulatory effects of the continuing war on terrorism and other events of war; legislative or regulatory requirements or changes adversely affecting the Company’s business; and changes in the securities markets. If any of these risks or uncertainties materializes or if any of the assumptions underlying such forward-looking statements proves to be incorrect, the Company’s results could differ materially from those expressed in, implied or projected by such forward-looking statements. The Company assumes no obligation to update such forward-looking statements. For a more complete discussion of risks and uncertainties, read the Bank’s annual report on Form 10-K, quarterly reports on Form 10-Q and other reports filed by the Bank with the FDIC and by CU Bancorp with the SEC. The documents filed with the FDIC and the SEC may be obtained at California United Bank’s website at www.cunb.com. These documents may also be obtained free of charge from California United Bank by directing a request to California United Bank, 15821 Ventura Boulevard, Suite 100, Encino, California 91436, Attention: Investors Relations. Telephone 818 257-7700. CALIFORNIA UNITED BANK United in Our Dedication to Relationships Who We Are 3 California United Bank is a premier community-based commercial bank servicing the Metropolitan Los Angeles, Orange, and Ventura County Markets Established by local business owners, and entrepreneurs in 2005 Eight full-service offices in Los Angeles, San Fernando Valley, Conejo Valley, Santa Clarita Valley, Simi Valley, South Bay, and Orange County (Anaheim and Irvine/Newport Beach) Servicing businesses, non-profit organizations, entrepreneurs, professionals, and high-net worth individuals Experienced management team with an established track record of delivering results Total assets continue to grow with more than $900 million in seven years (California United Bank prior to merger with Premier Commercial Bank) California United Bank grew total assets at a 41.0% CAGR and total deposits at a 50.5% CAGR since inception in 2005 through December 31, 2011 CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Strategic Geographic Locations 4 California United Bank has a footprint that spans the most attractive markets in Southern California: Encino (2005) – Headquarters Los Angeles (2006) Santa Clarita Valley (2007) South Bay (2009) – Converted to a branch in 2010 Glendale/San Gabriel Valley (2010) – Loan Production Office Orange County (2010) – Loan Production Office Simi Valley (2010) – Acquired from California Oaks State Bank Thousand Oaks (2010) – Acquired from California Oaks State Bank Anaheim (2012) – Acquired from Premier Commercial Bank Irvine/Newport Beach (2012) – Acquired from Premier Commercial Bank CALIFORNIA UNITED BANK United in Our Dedication to Relationships California United Bank – The Story 5 2005 2006/ 2007 2009 2010 2011 2012 United in Our Dedication to Relationships Dec. 31, 2005 Surpasses $100 million in total assets after second full quarter of operations May 6, 2005Completes IPO of $35 million at $10 per share May 23, 2005Commences operations as a commercial bank Jan. 12, 2007Completes second offering of $22 million at $16.50 per share May 23, 2007Opens new regional branch office in Santa Clarita Dec. 31, 2007Reports a profit of $29 thousand in second full year of operation and reaches $260 million in total assets Jan. 12, 2009Chooses to not participate in TARP, turning down $8.3 million March 31, 2009Exceeds $400 million in total assets Sep. 21, 2009 Opens South Bay commercial center in Gardena, CA Dec. 31, 2009 Announces 2009 net income of $745 thousand with total assets of $457 million Feb. 1, 2010Hires 13 former First Regional bankers April 7, 2011Completes a private offering of $10.3 million in common stock at $12.75 per share (1.25 x book value)March 11, 2010Opens LPO in Glendale/San Gabriel Valley June 30, 2010 Passes $500MM in total assets July 19, 2010Opens LPO in Orange County Dec. 31, 2010Completes acquisition of California Oaks State Bank Nov. 15, 2010Opens new South Bay branch June 30, 2011Reaches $797 million in total assets November 7, 2011Integrated Bank and California Oaks State Bank on single robust system platform December 9, 2011Announces merger agreement with Premier Commercial Bancorp with $450 million in assets June 30, 2012Reaches $908 million in total assets July 31, 2012Forms bank holding company, CU Bancorp and completes merger with Premier Commercial Bancorp and Premier Commercial Bank June 19, 2006Opens new regional branch office in West Los Angeles CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Why We Are Different 6 California United Bank sets itself apart from other banks in the following ways: CUNB has been engaged in the successful practice of business banking since its inception Executive team has extensive experience building high performing banks Follows a very basic and proven model to build shareholder value CUNB operates in one of the biggest markets for small-to medium-sized businesses in the U.S. There is a compelling need and opportunity for an independent business bank in Southern California which is currently dominated by behemoth banks Proven ability to attract top bankers Local advisory boards guide the Bank in its respective business communities History of disciplined underwriting and stellar credit quality Executive team has proven track record of identifying, acquiring, and successfully integrating banks CALIFORNIA UNITED BANK United in Our Dedication to Relationships Dedicated to the Community7 CUNB employees are involved in their local communities Strong cultural value demonstrates that supporting the community is also good business CUNB supports over 75 charities throughout Southern California financially and with volunteer hours Utilize local advisory boards to help guide the Bank in its respective markets “Outstanding” CRA Rating CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Experienced Management 8 Name Title Functional Banking Exp CUB Tenure David Rainer President Chief Executive Officer 32 years 7 years Anne Williams EVP Chief Operating Officer & Chief Credit Officer 32 years 7 years Karen Schoenbaum EVP Chief Financial Officer 19 years 3 years Anita Wolman EVP General Counsel 35 years 7 years Executive Manager - Commercial and Private Sam Kunianski EVP 28 years 6 years Banking Executive Manager – Real Estate and Santa William Sloan EVP 28 years 7 years Clarita Regional Manager Executive Manager - Orange County Regional Stephen Pihl EVP 25 years New addition* Manager *Formerly EVP at Premier Commercial Bank, N.A. CALIFORNIA UNITED BANK United in Our Dedication to Relationships Organic Our Growth Strategy 10 De novo regional offices with strong local leadership Hire “in market” talent Offer sophisticated products/solutions Expertise in C&I and Commercial Real Estate lending Relationship based business Distinguish by service New SBA lending expertise provided by PCB Acquisitions California Oaks State Bank (12/31/10) Premier Commercial Bank (7/31/12) CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Asset Growth 11 $102 $178 $260 $379 $457 $756 $800 $908 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000 2005 2006 2007 2008 2009 2010 2011 6/30/2012 ($ Millions) CALIFORNIA UNITED BANK United in Our Dedication to Relationships Loan Growth 12 $35 $96 $162 $232$263 $421 $489$488 $0$100$200 $300 $400 $500 $600 2005 2006 2007 2008 2009 2010 2011 6/30/2012 ($ Millions) CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Deposit Growth 13 s $60 $116 $191 $246 $346 $658 $691 $794 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 2005 2006 2007 2008 2009 2010 2011 6/30/2012 ($ Millions) CALIFORNIA UNITED BANK United in Our Dedication to Relationship CALIFORNIA UNITED BANK PCB Southern California’s Preeminent Business Bank CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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Southern California’s Preeminent Business Bank 15 Creates one of Los Angeles/Orange County’s largest independent commercial banking franchises focused exclusively in the market Partners two of Southern California’s strongest commercial banks; strengthening the pro forma franchise for long-term earnings growth and shareholder valuation creation The critical mass of a larger institution will enable the pro forma bank to expand available services and penetrate additional markets The transaction will be beneficial for stakeholders in both organizations: creating value for shareholders, employees, customers, and the Southern California communities CALIFORNIA UNITED BANK United in Our Dedication to Relationships Merger of Two Powerful Franchises 16 CALIFORNIA UNITED BANK PCB Low Cost Deposits C&I Lending Expertise Attractive Locations Strong Credit Quality Experienced Management Team SBA Expertise Real Estate Lending Expertise Attractive Orange County Market Strong Credit Quality Experienced Management Team CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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United in Our Dedication to Relationships Pro Forma Bank Composition* 17 PCBP $414 CUNB $908 Total Assets ($M) $1,322 PCBP $358 CUNB $794 Total Deposits ($M) $1,152 PCBP $298 CUNB $488 Total Gross Loans ($M) $786 PCBP $39 CUNB $76 Tangible Common Equity ($M)* $116 *Amounts are based on the combined Bank balances as of June 30, 2012; excluding any holding company balances and adjustments, except for the Tangible Common Equity balances which include purchase accounting adjustments identical to those reported by CU Bancorp in the March 31, 2012 balances reflected in the S-4. An Abundance of Synergies 18 Combined breadth of products and services will increase business development capabilities throughout footprint PCB’s award-winning SBA lending platform will be leveraged throughout CUB’s markets Opportunities to improve PCB’s deposit mix and reduce funding costs Elimination of redundancies will provide meaningful cost savings and enhance efficiencies Greater scale will enable better absorption of increasing regulatory compliance costs 1+1 = 3 CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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United in Our Dedication to Relationships The Formula for Increased Shareholder Value 19 Higher revenue Lower cost structure Higher earnings (after merger-related expenses) Increased ROA and ROE Higher market cap The combined CUB/PCB franchise is expected to result in: Increased Shareholder Value Shifting from Growth to High Performance 20 Growth Investment in strategic locations Have taken advantage of market conditions to invest in talent Belief that there are advantages at $1 billion+ i.e. “scarcity value” Infrastructure in place to support future growth Earnings Balance sheet poised for rising rate environment CALIFORNIA UNITED BANK United in Our Dedication to Relationships

 

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United in Our Dedication to Relationships Contact Information 21 For more information, please contact: – Karen Schoenbaum, CFO (818) 257-7700 kschoenbaum@cunb.com

 

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