-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, S9Tsr40jQm7HY5NrkWozPIh5mBpE3+dtRuktpa6W92TE+Ww/GoyfpM+ULYSqZmP0 Pf1SvrUSCTqk23FXxya/bQ== 0000356171-07-000016.txt : 20070427 0000356171-07-000016.hdr.sgml : 20070427 20070427143408 ACCESSION NUMBER: 0000356171-07-000016 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20070426 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20070427 DATE AS OF CHANGE: 20070427 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TRICO BANCSHARES / CENTRAL INDEX KEY: 0000356171 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 942792841 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-10661 FILM NUMBER: 07795109 BUSINESS ADDRESS: STREET 1: TRICO BANCSHARES STREET 2: 63 CONSTITUTION DRIVE CITY: CHICO STATE: CA ZIP: 95973 BUSINESS PHONE: 5308980300 MAIL ADDRESS: STREET 1: TRICO BANCSHARES STREET 2: 63 CONSTITUTION DRIVE CITY: CHICO STATE: CA ZIP: 95973 8-K 1 tcbk2007q1pr.txt 2007 1ST QTR EARNINGS UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington D.C. 20549 FORM 8-K Current Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): April 26, 2007 TriCo Bancshares (Exact name of registrant as specified in its charter) California 0-10661 94-2792841 - ------------------------ --------------- -------------------- (State or other (Commission File No.) (I.R.S. Employer jurisdiction of Identification No.) incorporation or organization) 63 Constitution Drive, Chico, California 95973 - -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code:(530) 898-0300 Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] 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 - --------------------------------------------------------- On April 26, 2007 TriCo Bancshares announced its quarterly earnings for the period ended March 31, 2007. A copy of the press release is attached as Exhibit 99.1 to this Form 8-K and is incorporated herein by reference. Item 9.01: Exhibits - ------------------- (c) Exhibits 99.1 Press release dated April 26, 2007 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. TRICO BANCSHARES Date: April 26, 2007 By: /s/ Thomas J. Reddish -------------------------------------- Thomas J. Reddish, Executive Vice President and Chief Financial Officer (Principal Financial and Accounting Officer) INDEX TO EXHIBITS Exhibit No. Description - ----------- -------------------------------------------- 99.1 Press release dated April 26, 2007 PRESS RELEASE Contact: Thomas J. Reddish For Immediate Release Executive Vice President & CFO (530) 898-0300 TRICO BANCSHARES ANNOUNCES QUARTERLY EARNINGS CHICO, Calif. - (April 26, 2007) - TriCo Bancshares (NASDAQ: TCBK), parent company of Tri Counties Bank, today announced quarterly earnings of $6,444,000 for the quarter ended March 31, 2007. This represents a 1.4% decrease when compared with earnings of $6,535,000 for the quarter ended March 31, 2006. Diluted earnings per share for the quarter ended March 31, 2007 decreased 2.5% to $0.39 from $0.40 for the quarter ended March 31, 2006. Total assets of the Company increased $36,795,000 (2.0%) to $1,866,321,000 at March 31, 2007 versus $1,829,526,000 at March 31, 2006. Total loans of the Company increased $95,506,000 (6.8%) to $1,495,614,000 at March 31, 2007 versus $1,400,108,000 at March 31, 2006. Total deposits of the Company increased $9,458,000 (0.6%) to $1,536,849,000 at March 31, 2007 versus $1,527,391,000 at March 31, 2006. Richard Smith, President and Chief Executive Officer, commented, "Our results for the first quarter of 2007 are reflective of the continued challenging interest rate environment and competitive pressures. Also, while we are happy to report that we are not involved in subprime lending, we also believe that the slowdown in real estate value appreciation and real estate activity in general is affecting both wholesale and retail banking growth rates. We are optimistic about the prospects of our Company as we continue to add customers and expand our franchise in a profitable manner despite this challenging environment." The decrease in earnings from the year-ago quarter was primarily due to a $538,000 (3.3%) increase in noninterest expense to $16,960,000, offset by a $198,000 (0.9%) increase in fully tax-equivalent net interest income to $21,666,000 and a $152,000 (2.4%) increase in noninterest income for the quarter ended March 31, 2007. The $198,000 (0.9%) increase in net interest income (FTE) from the year-ago quarter was due to a $45,797,000 (2.8%) increase in average balances of earning assets to $1,692,574,000 and a 0.09% decrease in net interest margin (FTE) to 5.12%. The $152,000 (2.4%) increase in noninterest income from the year-ago quarter was mainly due to a $131,000 (16.0%) increase in ATM fees and interchange revenue to $949,000 and an $85,000 (2.4%) increase in service charges on deposit accounts to $3,559,000. The increase in these areas is mainly due to the expansion of the Company's ATM network and growth in number of customers. The $538,000 (3.3%) increase in noninterest expense from the year-ago quarter was due to a $586,000 (6.4%) increase in salaries and benefits expense to $9,742,000 that was partially offset by a $48,000 (0.7%) decrease in other noninterest expenses. The increase in salaries and benefits expense was mainly due to annual salary increases, and a 4.1% increase in average full time equivalent staff made up primarily of new employees at the Company's recently opened branches. The decrease in other noninterest expense was mainly due to a $223,000 (64%) decrease in intangible amortization to $123,000 that was partially offset by a $117,000 provision for losses related to unfunded commitments. The decrease in intangible amortization was due to the core deposit intangible related to the purchase of several branches in 1997 becoming fully amortized in the fourth quarter of 2006. The provision for loan losses was $482,000 for the three months ended March 31, 2007 compared to $500,000 for the year-ago quarter. Net loan charge-offs during the quarter ended March 31, 2007 were $501,000 compared to $82,000 in the year-ago quarter. Nonperforming loans, net of government agency guarantees, were $5,991,000 at March 31, 2007 compared to $4,512,000 and $4,048,000 at December 31, 2006 and March 31, 2006, respectively. The Company's allowance for losses at March 31, 2007, which consists of the allowance for loan losses and the reserve for unfunded commitments, was $18,861,000 or 1.26% of total loans outstanding and 315% of nonperforming loans. As of March 31, 2007, the Company had repurchased 394,371 shares of its common stock under its stock repurchase plan announced on July 31, 2003 and amended on April 9, 2004, which left 105,629 shares available for repurchase under the plan. In addition to the historical information contained herein, this press release contains certain forward-looking statements. The reader of this press release should understand that all such forward-looking statements are subject to various uncertainties and risks that could affect their outcome. The Company's actual results could differ materially from those suggested by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, variances in the actual versus projected growth in assets, return on assets, loan losses, expenses, rates charged on loans and earned on securities investments, rates paid on deposits, competition effects, fee and other noninterest income earned as well as other factors. This entire press release should be read to put such forward-looking statements in context and to gain a more complete understanding of the uncertainties and risks involved in the Company's business. TriCo Bancshares and Tri Counties Bank are headquartered in Chico, California. Tri Counties Bank has a 32-year history in the banking industry. Tri Counties Bank operates 32 traditional branch locations and 22 in-store branch locations in 22 California counties. Tri Counties Bank offers financial services and provides a diversified line of products and services to consumers and businesses, which include demand, savings and time deposits, consumer finance, online banking, mortgage lending, and commercial banking throughout its market area. It operates a network of 62 ATMs and a 24-hour, seven days a week telephone customer service center. Brokerage services are provided at the Bank's offices by the Bank's association with Raymond James Financial, Inc. For further information please visit the Tri Counties Bank web-site at http://www.tricountiesbank.com.
TRICO BANCSHARES - CONSOLIDATED FINANCIAL DATA (Unaudited. Dollars in thousands, except share data) Three months end ------------------------------------------------------------------------------- March 31, December 31, September 30, June 30, March 31, 2007 2006 2006 2006 2006 ------------------------------------------------------------------------------- Statement of Income Data Interest income $30,661 $31,545 $31,421 $29,379 $27,978 Interest expense 9,216 9,821 9,576 8,275 6,773 Net interest income 21,445 21,724 21,845 21,104 21,205 Provision for loan losses 482 - 235 554 500 Noninterest income: Service charges and fees 5,061 4,940 5,056 4,956 4,857 Other income 1,539 1,687 1,593 1,575 1,591 Total noninterest income 6,600 6,627 6,649 6,531 6,448 Noninterest expense: Salaries and benefits 9,742 9,405 9,276 8,618 9,156 Intangible amortization 123 350 350 350 346 Provision for losses - unfunded commitments 117 - - 36 - Other expense 6,978 7,247 7,400 7,272 6,920 Total noninterest expense 16,960 17,002 17,026 16,276 16,422 Income before taxes 10,603 11,349 11,233 10,805 10,731 Net income $6,444 $6,918 $6,820 $6,557 $6,535 Share Data Basic earnings per share $0.41 $0.44 $0.43 $0.42 $0.42 Diluted earnings per share 0.39 0.42 0.42 0.40 0.40 Book value per common share 10.96 10.69 10.41 9.96 9.68 Tangible book value per common share $9.89 $9.60 $9.22 $8.75 $8.44 Shares outstanding 15,910,291 15,857,207 15,857,107 15,855,107 15,778,090 Weighted average shares 15,878,929 15,857,166 15,855,933 15,798,565 15,736,544 Weighted average diluted shares 16,415,845 16,396,320 16,365,858 16,388,855 16,379,595 Credit Quality Non-performing loans, net of government agency guarantees $5,991 $4,512 $4,523 $3,913 $4,048 Other real estate owned 187 - - - - Loans charged-off 739 498 368 564 357 Loans recovered $238 $419 $233 $259 $275 Allowance for losses to total loans(1) 1.26% 1.24% 1.25% 1.29% 1.32% Allowance for losses to NPLs(1) 315% 416% 417% 479% 456% Allowance for losses to NPAs(1) 305% 416% 417% 479% 456% Selected Financial Ratios Return on average total assets 1.38% 1.46% 1.45% 1.42% 1.43% Return on average equity 14.79% 16.23% 16.64% 16.68% 16.93% Average yield on loans 7.63% 7.81% 7.82% 7.44% 7.24% Average yield on interest-earning assets 7.30% 7.43% 7.44% 7.07% 6.86% Average rate on interest-bearing liabilities 2.85% 2.97% 2.86% 2.50% 2.11% Net interest margin (fully tax-equivalent) 5.12% 5.13% 5.19% 5.10% 5.21% Total risk based capital ratio 11.8% 11.3% 11.1% 11.1% 11.1% Tier 1 Capital ratio 10.8% 10.3% 10.1% 10.1% 10.0% (1) Allowance for losses includes allowance for loan losses and reserve for unfunded commitments.
TRICO BANCSHARES - CONSOLIDATED FINANCIAL DATA (Unaudited. Dollars in thousands, except share data) Three months ended ------------------------------------------------------------------------------- March 31, December 31, September 30, June 30, March 31, 2007 2006 2006 2006 2006 ------------------------------------------------------------------------------- Balance Sheet Data Cash and due from banks $75,263 $102,220 $78,281 $84,663 $78,742 Federal funds sold - 794 1,387 526 - Securities, available-for-sale 188,478 198,361 209,886 221,828 244,441 Federal Home Loan Bank Stock 8,442 8,320 8,206 8,103 7,691 Loans Commercial loans 142,083 153,105 153,705 146,952 134,049 Consumer loans 516,550 525,513 527,185 517,588 510,809 Real estate mortgage loans 687,088 679,661 661,962 642,422 630,821 Real estate construction loans 149,893 151,600 164,307 149,046 124,429 Total loans, gross 1,495,614 1,509,879 1,507,159 1,456,008 1,400,108 Allowance for loan losses (16,895) (16,914) (16,993) (16,893) (16,644) Premises and equipment 20,924 21,830 21,556 21,597 21,068 Cash value of life insurance 43,941 43,536 42,991 42,571 42,168 Goodwill 15,519 15,519 15,519 15,519 15,519 Intangible assets 1,543 1,666 3,361 3,711 4,061 Other assets 33,492 34,755 32,651 33,523 32,372 Total assets 1,866,321 1,919,966 1,904,004 1,871,156 1,829,526 Deposits Noninterest-bearing demand deposits 364,401 420,025 357,754 354,576 354,514 Interest-bearing demand deposits 235,497 230,671 229,143 235,100 249,064 Savings deposits 381,069 374,605 369,933 388,847 432,087 Time certificates 555,882 573,848 568,344 535,917 491,726 Total deposits 1,536,849 1,599,149 1,525,174 1,514,440 1,527,391 Federal funds purchased 38,000 38,000 106,500 96,700 45,800 Reserve for unfunded commitments 1,966 1,849 1,849 1,849 1,813 Other liabilities 32,524 30,383 28,254 24,964 29,046 Other borrowings 41,347 39,911 35,848 33,971 31,441 Junior subordinated debt 41,238 41,238 41,238 41,238 41,238 Total liabilities 1,691,924 1,750,530 1,738,863 1,713,162 1,676,729 Total shareholders' equity 174,397 169,436 165,141 157,994 152,797 Accumulated other comprehensive loss (3,988) (4,521) (3,607) (5,629) (5,330) Average loans 1,490,055 1,498,040 1,477,551 1,427,735 1,384,541 Average interest-earning assets 1,692,574 1,711,743 1,701,166 1,676,705 1,646,777 Average total assets 1,865,448 1,890,765 1,880,029 1,850,487 1,822,441 Average deposits 1,534,473 1,550,979 1,501,630 1,497,571 1,498,825 Average total equity $174,262 $170,518 $163,919 $157,232 $154,410
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