EX-99.1 2 highlight.htm EARNING RELEASE HIGHLIGHTS highlight.htm
EXHIBIT 99.1

 
NEWS FOR IMMEDIATE RELEASE

April 22, 2008                                                                                        For Further Information Contact:
                        Paul M. Limbert
President and Chief Executive Officer

or

Robert H. Young
Executive Vice President and Chief Financial Officer

(304) 234-9000
NASDAQ Symbol: WSBC
Website: www.wesbanco.com
 

 
WesBanco Announces First Quarter 2008 Results

Wheeling, WV… Paul M. Limbert, President and Chief Executive Officer of WesBanco, Inc. (NASDAQ: WSBC), a Wheeling, West Virginia based multi-state bank holding company, today announced earnings for the for the first quarter ended March 31, 2008.

Net income for the quarter ended March 31, 2008 was $9.5 million, as compared to $11.9 million for the first quarter of 2007, while diluted earnings per share for the 2008 first quarter were $0.36 per share compared to $0.56 per share for the first quarter of 2007. First quarter earnings per share included a full quarter’s effect of the issuance of additional shares of stock for the purchase of Oak Hill Financial, Inc., which closed on November 30, 2007. Net interest income increased 28.7% for the comparable periods as a result of the acquisition of Oak Hill. The net interest margin showed continued improvement, increasing to 3.48% in the 2008 quarter from 3.40% in the fourth quarter of 2007 due to a decline in the cost of funds. However, the provision for loan losses increased $4.0 million in the first quarter, primarily due to a decline in overall economic conditions in our market areas which have led to an increase in non-accrual and 90 day past due loans.

WesBanco’s merger with Oak Hill created a multi-state bank holding company with approximately $5.3 billion in total assets providing banking services in West Virginia, Ohio and Pennsylvania. The transaction expands WesBanco’s franchise along the Interstate 71 and Interstate 75 corridors from Dayton, Ohio to Cincinnati, Ohio and opens new markets in south and central Ohio.

“An improved interest rate environment has reduced the cost of liabilities over the last two quarters, resulting in a higher net interest margin,” said Mr. Limbert. “We also continue to improve our fee income businesses, as total non-interest income grew, primarily from improvements in service charges and other fees.  However, the challenging environment for the banking industry continues from competitive and economic factors.”

“We did complete the sale of five Oak Hill Branches in April.  Also in the second quarter, we intend to merge Oak Hill Banks into WesBanco Bank and convert the data processing systems to improve efficiency and standardize products and delivery systems.  We will continue through 2008 to integrate the Oak Hill operations into WesBanco to further realize the benefits of this acquisition.  Many of these cost savings are expected to be realized in the second half of 2008.”
 
 

WesBanco Announces First Quarter 2008 Results                                                                           Page 2


Highlights for the first quarter of 2008 include the following:

·  
Net interest income for first quarter increased 28.7%, due to a higher average balance sheet resulting from the acquisition of Oak Hill, slightly offset by a lower net interest margin of 3.48% as compared to 3.56% in the first quarter of 2007.  The eight basis points decrease in the net interest margin was due to the continued effects of the flat yield curve and competitive interest rates in our major markets.  However, the 2008 margin increased eight basis points from 3.40% in the fourth quarter of 2007, the second consecutive quarterly increase, primarily due to a twenty basis point decline in the cost of interest bearing liabilities.  This decrease in interest expense resulted from the effect on WesBanco’s liability sensitive balance sheet of declining interest rates over the previous six months. The margin has also benefited from higher average non-interest bearing deposit balances.

·  
The increase in non-interest income was $1.9 million compared to the first quarter of 2007.  Service charges on deposits increased $1.7 million, primarily due to the acquisition of Oak Hill, a gain of $0.4 million was recorded on the mandatory redemption of VISA class B stock, and revenue improved from electronic banking fees, insurance and securities brokerage operations.

·  
The provision for loan losses in the first quarter of 2008 increased $4.0 million compared to the first quarter of 2007.  This additional provision is a reflection of changing economic conditions adversely impacting our market areas which have caused charge-offs and non-performing loans to increase.  For the 2008 first quarter, the provision for credit losses was $5.4 million, with net charge-offs at 0.39%, about even with the 2007 fourth quarter and higher from 0.24% for the 2007 first quarter.  Total net charge offs were $3.6 million.  Non-performing loans as a percent of total loans was 0.72% for the 2008 quarter, 0.54% for the fourth quarter of 2007 and 0.43% for the first quarter of 2007.  Although WesBanco does not have any material direct exposure to sub-prime loans, the problems associated with sub-prime lending such as declines in the market value of residential real estate and the decrease in consumer spending, are having a broad adverse impact on business segments in which WesBanco has exposure.  The allowance for loan losses as a percent of total loans increased from 1.04% as of December 31, 2007 to 1.10% at March 31, 2008.

·  
Non-interest expense for the 2008 first quarter increased $10.1 million as compared to the first quarter of 2007.  Expenses in the first quarter 2008 included the costs of operating two separate bank charters.  Oak Hill merger-related expenses charged to operations in the 2008 quarter were $1.0 million.  Other expense increases were due to a $0.5 million increase in marketing expense relating to deposit gathering programs in all market areas in the first quarter of 2007, a $1.0 million increase in occupancy expense from two new branch facilities opened in 2007 and recent technology and other equipment upgrades, and normal increases in personnel-related costs, partially offset by decreases in professional fees and miscellaneous taxes.

·  
The provision for income taxes decreased $1.2 million compared to the first quarter of 2007 due to a decrease in pre-tax income and a decrease in the effective tax rate.  For 2008 the effective tax rate decreased to 19.2% as compared to 22.3% in the first quarter of 2007 due primarily to a higher percentage of tax-exempt income to total income and the benefit of certain tax credits including New Market Tax Credits awarded to Oak Hill Community Development Corporation, a wholly-owned subsidiary.

·  
Total loans at March 31, 2008 decreased 1.5% compared to December 31, 2007 primarily due to the Bank’s strategy of reducing existing residential mortgage loans and selling most new originations, somewhat reduced demand across the entire portfolio, a continued focus on maintaining appropriate interest margins on new loans, and continuing efforts to maintain or improve credit quality.
 
 
WesBanco Announces First Quarter 2008 Results                                                                           Page 3

 
·  
Total deposits at March 31, 2008 decreased 1.8% compared to December 31, 2007.  The decrease was primarily in certificates of deposits and money market accounts as Wesbanco attempted to reduce its cost of funds aggressively as market rates were falling.

·  
At March 31, 2008, FHLB and other short-term borrowings decreased 1.5% from December 31, 2007. These borrowings were 13.7% of total assets at both balance sheet dates. Certain short-term borrowings were replaced with longer-term FHLB advances with call options to take advantage of the current rate environment.

·  
Tangible capital increased from 5.96% to 6.23% at the end of the first quarter.  No shares were repurchased during the quarter.  A total of 584,325 shares remain under the current board-approved repurchase authorization.

WesBanco is a multi-state bank holding company with total assets of approximately $5.3 billion, operating through 111 locations and 153 ATMs in West Virginia, Ohio, and Pennsylvania. WesBanco’s banking subsidiaries are WesBanco Bank, Inc., headquartered in Wheeling, West Virginia, and Oak Hill Banks, headquartered in Jackson, Ohio. In addition, WesBanco operates an insurance brokerage company, WesBanco Insurance Services, Inc., and a full service broker/dealer, WesBanco Securities, Inc.


Forward-looking Statement

This press release contains certain forward-looking statements, including certain plans, expectations, goals, and projections, and including statements about the benefits of the merger between WesBanco and Oak Hill, which are subject to numerous assumptions, risks, and uncertainties. Actual results could differ materially from those contained or implied by such statements for a variety of factors including: the businesses of WesBanco and Oak Hill may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the merger may not be fully realized within the expected timeframes; disruption from the merger may make it more difficult to maintain relationships with clients, associates, or suppliers; changes in economic conditions; movements in interest rates; competitive pressures on product pricing and services; success and timing of other business strategies; the nature, extent, and timing of governmental actions and reforms; and extended disruption of vital infrastructure; and other factors described in WesBanco's 2007 Annual Report on Form 10-K and documents subsequently filed by WesBanco with the Securities and Exchange Commission. All forward-looking statements included in this news release are based on information available at the time of the release. WesBanco assumes no obligation to update any forward-looking statement.




             
WESBANCO, INC.
           
Consolidated Selected Financial Highlights
       
Page 4
 
(unaudited, dollars in thousands, except per share amounts)
           
             
 
For the Three Months Ended
 
 
March 31,
Statement of income
2008
 
2007
 
% Change
 
Interest income
 $          74,693
 
 $         57,193
 
30.60%
 
Interest expense
36,105
 
27,200
 
32.74%
 
    Net interest income
              38,588
 
            29,993
 
28.66%
 
Provision for credit losses
5,425
 
1,460
 
271.58%
 
     Net interest income after provision for
           
        credit losses
              33,163
 
            28,533
 
16.23%
 
Non-interest income
           
    Trust fees
4,124
 
4,338
 
(4.93%)
 
    Service charges on deposits
5,586
 
3,883
 
43.86%
 
    Net securities gains/(losses)
505
 
678
 
(25.52%)
 
    Other income
4,890
 
4,337
 
12.75%
 
        Total non-interest income
15,105
 
13,236
 
14.12%
 
Non-interest expense
           
    Salaries and employee benefits
18,601
 
13,878
 
34.03%
 
    Net occupancy
2,967
 
2,003
 
48.13%
 
    Equipment
2,383
 
1,902
 
25.29%
 
    Amortization of intangible assets
1,013
 
596
 
69.97%
 
    Marketing expense
1,170
 
622
 
88.10%
 
    Merger and restructuring expenses
                1,047
 
                   -
 
100.00 %
 
    Other operating expenses
9,333
 
7,384
 
26.39%
 
        Total non-interest expense
36,514
 
26,385
 
38.39%
 
     Income before provision for income taxes
              11,754
 
            15,384
 
(23.60%)
 
Provision for income taxes
                2,251
 
              3,437
 
(34.51%)
 
    Net income
 $             9,503
 
 $         11,947
 
(20.46%)
 
             
Taxable equivalent net interest income
 $          40,634
 
 $      32,005
 
26.96%
 
             
Per common share data
           
Net income per common share - basic
 $               0.36
 
 $             0.56
 
(35.71%)
 
Net income per common share - diluted
 $               0.36
 
 $             0.56
 
(35.71%)
 
Dividends declared
 $               0.28
 
 $           0.275
 
1.82%
 
Book value (period end)
 $             22.15
 
 $           19.56
 
13.24%
 
Tangible book value (period end)
 $             11.81
 
 $           12.66
 
(6.72%)
 
Average shares outstanding - basic
26,547,073
 
21,271,328
 
24.80%
 
Average shares outstanding - diluted
26,556,614
 
     21,325,166
 
24.53%
 
Period end shares outstanding
      26,547,073
 
     20,948,040
 
26.73%
 
             
Selected ratios
           
Return on average assets
0.72%
 
1.20%
 
(40.13%)
 
Return on average equity
6.55%
 
11.77%
 
(44.33%)
 
Yield on earning assets (1)
6.58%
 
6.59%
 
(0.15%)
 
Cost of interest bearing liabilities
3.45%
 
3.46%
 
(0.29%)
 
Net interest spread (1)
3.13%
 
3.13%
 
0.00%
 
Net interest margin (1)
3.48%
 
3.56%
 
(2.25%)
 
Efficiency (1)
65.46%
 
58.32%
 
12.24%
 
Average loans to average deposits
96.74%
 
96.72%
 
0.02%
 
Annualized net loan charge-offs/average loans
0.39%
 
0.24%
 
62.46%
 
Effective income tax rate
19.15%
 
22.34%
 
(14.28%)
 
             
(1) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully
 
    taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt
   loans and investments.   WesBanco believes this measure to be the preferred industry measurement of net interest income and
   provides a relevant comparison between taxable and non-taxable amounts.
     



                           
WESBANCO, INC.
                         
Consolidated Selected Financial Highlights
           
Page 5
 
(unaudited, dollars in thousands)
               
% Change
 
Balance sheet (period end)
 
March 31,
       
December 31,
March 31, 2008
 
Assets
       
2008
2007
 
% Change
   
2007
to Dec. 31, 2007
 
Cash and due from banks
   
 $      121,676
 $        77,233
 
                      57.54
%
 
 $            130,219
                         (6.56)
 %
Fed Funds sold
       
           28,024
           40,000
 
                    (29.94)
   
                      276
 N/M
 
Securities
       
         915,360
         748,884
 
                      22.23
   
               937,084
                         (2.32)
 
                           
Loans held for sale
     
           40,005
             4,746
 
                    742.92
   
                 39,717
                           0.73
 
Portfolio Loans:
                         
  Commercial and commercial real estate
 
      2,180,514
      1,543,555
 
                      41.27
   
            2,188,216
                         (0.35)
 
  Residential real estate
   
         934,677
         870,544
 
                        7.37
   
               975,151
                         (4.15)
 
  Consumer and home equity
   
         549,779
         424,377
 
                      29.55
   
               557,182
                         (1.33)
 
     Total portfolio loans
     
      3,664,970
      2,838,476
 
                      29.12
   
            3,720,549
                         (1.49)
 
  Allowance for loan losses
   
          (40,234)
         (31,757)
 
                      26.69
   
               (38,543)
                           4.39
 
      Net portfolio loans
   
      3,624,736
      2,806,719
 
                      29.14
   
            3,682,006
                         (1.56)
 
Premises and equipment, net
   
           95,759
           67,507
 
                      41.85
   
                 94,143
                           1.72
 
Goodwill
       
         257,017
         137,258
 
                      87.25
   
               257,199
                         (0.07)
 
Core deposit intangible, net
   
           17,491
             7,294
 
                    139.80
   
                 19,531
                       (10.44)
 
Other assets
       
         202,716
         170,893
 
                      18.62
   
               224,151
                         (9.56)
 
Total Assets
       
 $   5,302,784
 $   4,060,534
 
                      30.59
%
 
 $         5,384,326
                         (1.51)
 %
                           
Liabilities and Shareholders' Equity
                     
Non-interest bearing demand deposits
 
 $      513,057
 $      387,877
 
                      32.27
%
 
 $            519,287
                         (1.20)
 %
Interest bearing demand deposits
   
         425,790
         351,532
 
                      21.12
   
               416,470
                           2.24
 
Money market accounts
   
         586,061
         367,205
 
                      59.60
   
               612,089
                         (4.25)
 
Savings deposits
     
         446,878
         439,264
 
                        1.73
   
               440,358
                           1.48
 
Certificates of deposit
   
      1,867,016
      1,450,416
 
                      28.72
   
            1,919,726
                         (2.75)
 
     Total deposits
     
3,838,802
      2,996,294
 
                      28.12
   
            3,907,930
                         (1.77)
 
Federal Home Loan Bank borrowings
 
462,857
         363,958
 
                      27.17
   
               405,798
                         14.06
 
Short-term borrowings
     
261,136
         162,072
 
                      61.12
   
               329,515
                       (20.75)
 
Junior subordinated debt
   
111,049
           87,638
 
                      26.71
   
               111,024
                           0.02
 
Other liabilities
     
40,991
           40,873
 
                        0.29
   
                 49,740
                       (17.59)
 
Shareholders' equity
     
587,949
         409,699
 
                      43.51
   
               580,319
                           1.31
 
Total Liabilities and Shareholders' Equity
 
 $   5,302,784
 $   4,060,534
 
                      30.59
%
 
 $         5,384,326
                         (1.51)
 %
                           
                           
                           
Average balance sheet and
                     
net interest margin analysis
   
Three months ended March 31,
       
         
2008
 
2007
       
         
Average
Average
 
Average
Average
       
Assets
       
Balance
Rate
 
Balance
Rate
       
Due from banks - interest bearing
   
 $          2,459
3.60%
 
 $                   1,309
2.44%
       
Loans, net of unearned income
   
      3,720,600
6.83%
 
               2,865,159
6.83%
       
Securities:
                         
    Taxable
       
544,974
5.22%
 
391,820
4.88%
       
    Tax-exempt
       
355,140
6.58%
 
342,591
6.71%
       
        Total securities
     
900,114
5.76%
 
734,411
5.73%
       
Federal funds sold
     
           31,337
2.82%
 
                      9,133
4.73%
       
Other earning assets (1)
     
           28,842
4.70%
 
                    22,736
5.30%
       
         Total earning assets
   
      4,683,352
6.58%
 
               3,632,748
6.59%
       
Other assets
       
636,291
   
391,627
         
Total Assets
       
 $   5,319,643
   
 $            4,024,375
         
                           
Liabilities and Shareholders' Equity
                   
Interest bearing demand deposits
   
 $      415,603
1.01%
 
 $               343,337
1.21%
       
Money market accounts
   
595,863
2.33%
 
355,857
2.50%
       
Savings deposits
     
442,185
0.90%
 
439,533
1.38%
       
Certificates of deposit
     
1,907,753
4.54%
 
1,438,883
4.42%
       
    Total interest bearing deposits
   
3,361,404
3.23%
 
               2,577,610
3.21%
       
Federal Home Loan Bank borrowings
 
452,337
4.21%
 
                  350,233
3.83%
       
Short-term borrowings
     
280,738
3.59%
 
174,426
4.86%
       
Junior subordinated debt
   
111,025
6.76%
 
                    87,638
6.52%
       
      Total interest bearing liabilities
   
4,205,504
3.45%
 
3,189,907
3.46%
       
Non-interest bearing demand deposits
 
484,410
   
384,839
         
Other liabilities
     
46,447
   
37,932
         
Shareholders' equity
     
583,282
   
411,697
         
                           
Total Liabilities and Shareholders' Equity
 
 $   5,319,643
   
 $            4,024,375
         
                           
Taxable equivalent net interest spread
   
3.13%
   
3.13%
       
Taxable equivalent net interest margin
   
3.48%
   
3.56%
       
                           
(1) Federal Reserve stock, Federal Home Loan Bank stock and equity securities that do not have readily determinable fair market values.
 
N/M - Not Meaningful.
                 
                           
                           



                     
WESBANCO, INC.
                   
Consolidated Selected Financial Highlights
               
 Page 6
 
(unaudited, dollars in thousands, except per share amounts)
                 
                     
 
Quarter Ended
 
 
March 31,
 
Dec. 31,
 
Sept. 30,
 
June 30,
 
March 31,
 
Statement of income
2008
 
2007
 
2007
 
2007
 
2007
 
Interest income
 $             74,693
 
 $              63,928
 
 $              57,460
 
 $               57,812
 
 $               57,193
 
Interest expense
                 36,105
 
32,154
 
29,100
 
28,626
 
27,200
 
    Net interest income
                38,588
 
                   31,774
 
                  28,360
 
                   29,186
 
                  29,993
 
Provision for credit losses
5,425
 
3,832
 
1,448
 
1,776
 
1,460
 
     Net interest income after provision for
                   
        credit losses
                 33,163
 
                  27,942
 
                   26,912
 
                   27,410
 
                  28,533
 
Non-interest income
                   
    Trust fees
4,124
 
4,048
 
3,941
 
3,885
 
4,338
 
    Service charges on deposits
5,586
 
5,348
 
4,683
 
4,431
 
3,883
 
    Net securities gains
505
 
204
 
22
 
39
 
678
 
    Other income
4,890
 
4,242
 
3,763
 
5,097
 
4,337
 
        Total non-interest income
15,105
 
13,842
 
12,409
 
13,452
 
13,236
 
Non-interest expense
                   
    Salaries and employee benefits
18,601
 
15,577
 
14,131
 
13,815
 
13,878
 
    Net occupancy
2,967
 
2,098
 
2,002
 
1,866
 
2,003
 
    Equipment
2,383
 
1,998
 
1,872
 
1,884
 
1,902
 
    Core deposit intangibles
1,013
 
704
 
589
 
596
 
596
 
    Marketing expense
1,170
 
1,115
 
1,331
 
1,414
 
622
 
    Merger and restructuring expenses
                   1,047
 
                        635
 
                            -
 
                            -
 
                            -
 
    Other operating expenses
9,333
 
7,906
 
7,731
 
7,397
 
7,384
 
        Total non-interest expense
36,514
 
30,033
 
27,656
 
26,972
 
26,385
 
     Income before provision for income taxes
                  11,754
 
                     11,751
 
                    11,665
 
                   13,890
 
                   15,384
 
Provision for income taxes
                   2,251
 
                     1,087
 
                     1,902
 
                     1,595
 
                    3,437
 
    Net income
 $               9,503
 
 $               10,664
 
 $                9,763
 
 $               12,295
 
 $                11,947
 
                     
Taxable equivalent net interest income
 $           40,634
 
 $           33,752
 
 $           30,252
 
 $             31,133
 
 $           32,005
 
                     
Per common share data
                   
Net income per common share - basic
 $                 0.36
 
 $                   0.47
 
 $                   0.47
 
 $                   0.59
 
 $                   0.56
 
Net income per common share - diluted
 $                 0.36
 
 $                   0.47
 
 $                   0.47
 
 $                   0.59
 
 $                   0.56
 
Dividends declared
 $                 0.28
 
 $                 0.275
 
 $                 0.275
 
 $                 0.275
 
 $                 0.275
 
Book value (period end)
 $               22.15
 
 $                 21.86
 
 $                 19.94
 
 $                 19.54
 
 $                 19.40
 
Tangible book value (period end)
 $               11.81
 
 $                 11.44
 
 $                 12.99
 
 $                 12.60
 
 $                 12.50
 
Average shares outstanding - basic
26,547,073
 
22,544,167
 
20,711,866
 
20,838,798
 
21,271,328
 
Average shares outstanding - diluted
26,556,614
 
22,551,781
 
20,732,741
 
20,884,156
 
21,325,166
 
Period end shares outstanding
26,547,073
 
         26,547,073
 
         20,628,092
 
         20,759,920
 
         20,948,040
 
Full time equivalent employees
                   1,566
 
                     1,562
 
                      1,177
 
                       1,191
 
                      1,168
 
                     
Selected ratios
                   
Return on average assets
0.72%
 
0.96%
 
0.98%
 
1.23%
 
1.20%
 
Return on average equity
6.55%
 
9.09%
 
9.51%
 
12.12%
 
11.77%
 
Yield on earning assets (1)
6.58%
 
6.63%
 
6.61%
 
6.60%
 
6.59%
 
Cost of interest bearing liabilities
3.45%
 
3.65%
 
3.69%
 
3.61%
 
3.46%
 
Net interest spread (1)
3.13%
 
2.98%
 
2.92%
 
2.99%
 
3.14%
 
Net interest margin (1)
3.48%
 
3.40%
 
3.38%
 
3.46%
 
3.56%
 
Efficiency (1)
65.46%
 
63.10%
 
64.83%
 
60.50%
 
58.32%
 
Average loans to average deposits
96.74%
 
94.79%
 
94.81%
 
94.88%
 
96.72%
 
Trust Assets, market value at period end
 $         2,951,052
 
 $         3,084,145
 
 $          3,129,179
 
 $         3,041,464
 
 $        2,972,044
 
                     
(1) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully
     
    taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt
 
   loans and investments.   WesBanco believes this measure to be the preferred industry measurement of net interest income and
 
   provides a relevant comparison between taxable and non-taxable amounts.
             
                     



                           
WESBANCO, INC.
                     
Consolidated Selected Financial Highlights
               
 Page 7
 
(unaudited, dollars in thousands)
                     
       
Quarter Ended
 
       
March 31,
 
Dec. 31,
 
Sept. 30,
 
June 30,
 
March 31,
 
Asset quality data
 
2008
 
2007
 
2007
 
2007
 
2007
 
Non-performing assets:
                     
 
Non-accrual loans
 
 $         26,530
 
 $         19,857
 
 $         10,859
 
 $           9,651
 
 $         12,126
 
 
Renegotiated loans
 
                   -
 
                   -
 
                   -
 
                   -
 
                   -
 
   
Total non-performing loans
 
            26,530
 
            19,857
 
            10,859
 
              9,651
 
            12,126
 
 
Other real estate and repossessed assets
              3,457
 
              3,998
 
              3,483
 
              4,067
 
              3,369
 
   
Total non-performing loans and assets
 $         29,987
 
 $         23,855
 
 $         14,342
 
 $         13,718
 
 $         15,495
 
Loans past due 90 days or more
 
 $         14,000
 
 $         11,546
 
 $           7,544
 
 $           7,869
 
 $           6,194
 
                           
Non-performing assets/total assets
 
                0.57
%
                0.44
%
                0.36
%
                0.34
%
                0.38
%
Non-performing assets/total loans, other real
                   
 
estate and repossessed assets
 
0.82
%
0.64
%
0.51
%
0.48
%
0.54
%
Non-performing loans/total loans
 
                0.72
%
                0.54
%
                0.39
%
                0.34
%
                0.43
%
Non-performing loans and loans past due 90
                   
 
days or more/total loans
 
                1.11
%
                0.85
%
                0.66
%
                0.62
%
                0.64
%
Non-performing loans, loans past due 90 days and other
                   
 
real estate owned/total loans and other real estate owned
                1.19
%
                0.95
%
                0.77
%
                0.75
%
                0.75
%
                           
Allowance for loan losses
                     
Allowance for loan losses
 
 $         40,234
 
 $         38,543
 
 $         31,647
 
 $         31,928
 
 $         31,757
 
Provision for loan losses
 
              5,275
 
              3,807
 
              1,500
 
              1,500
 
              1,460
 
Net loan charge-offs
 
              3,582
 
              3,316
 
              1,781
 
              1,329
 
              1,682
 
Annualized net loan charge-offs /average loans
                0.39
 %
                0.41
 %
                0.25
 %
                0.19
 %
                0.24
 %
Allowance for loan losses/total loans
 
                1.10
 %
                1.04
 %
                1.13
 %
                1.13
 %
                1.12
 %
Allowance for loan losses/non-performing loans
                1.52
x
                1.94
x
                2.91
x
                3.31
x
                2.62
x
Allowance for loan losses/non-performing loans and
                   
 
past due 90 days or more
 
                0.99
x
                1.23
x
                1.72
x
                1.82
x
                1.73
x
                           
                           
          Quarter Ended  
       
March 31,
 
Dec. 31,
 
Sept. 30,
 
June 30,
 
March 31,
 
       
2008
 
2007
 
2007
 
2007
 
2007
 
Capital ratios
                     
Tier I leverage capital
 
                7.87
%
                8.27
%
                9.38
%
                9.21
%
                9.14
%
Tier I risk-based capital
 
              10.90
%
              10.50
%
              12.10
%
              11.98
%
              12.20
%
Total risk-based capital
 
              11.96
%
              11.49
%
              13.18
%
              13.07
%
              13.30
%
Shareholders' equity to assets
 
              10.96
%
              10.52
%
              10.31
%
              10.15
%
              10.23
%
Tangible equity to tangible assets (1)
 
                6.23
%
                5.96
%
                7.02
%
                6.81
%
                6.77
%
                           
(1) Tangible equity is defined as shareholders' equity less goodwill and other intangible assets, and
         
     tangible assets are defined as total assets less goodwill and other intangible assets. The calculation is based on period end balances.