| Summary of the net assets received in acquisition |
A summary of the net assets received in the Citizens acquisition, at their
estimated fair values, is presented below:
| |
|
|
|
|
| |
|
Citizens |
|
| (In thousands) |
|
September 23, 2011 |
|
|
Asset acquired:
|
|
|
|
|
|
Cash and cash equivalents
|
|
$ |
80,707 |
|
|
Securities available-for-sale
|
|
|
9,353 |
|
|
Restricted equity securities
|
|
|
1,926 |
|
|
Loans
|
|
|
167,484 |
|
|
Core deposit intangible
|
|
|
898 |
|
|
Foreclosed assets
|
|
|
8,412 |
|
|
Other assets
|
|
|
1,524 |
|
| |
|
|
|
|
|
Total assets acquired
|
|
$ |
270,304 |
|
| |
|
|
|
|
|
Liabilities assumed:
|
|
|
|
|
|
Deposits
|
|
$ |
239,899 |
|
|
Other borrowings
|
|
|
22,038 |
|
|
Other liabilities
|
|
|
792 |
|
| |
|
|
|
|
|
Total liabilities assumed
|
|
|
262,729 |
|
| |
|
|
|
|
|
Net assets acquired/bargain purchase gain
|
|
$ |
7,575 |
|
| |
|
|
|
|
|
| Summary of the estimated fair value adjustments resulting in the bargain purchase gain |
A summary of the estimated fair value adjustments
resulting in the bargain purchase gain in the Citizens acquisition are presented below:
| |
|
|
|
|
| |
|
Citizens |
|
| (In thousands) |
|
September 23, 2011 |
|
|
Cost basis net assets acquired
|
|
$ |
26,682 |
|
|
Cash payment received from FDIC
|
|
|
44,140 |
|
|
Fair value adjustments:
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
539 |
|
|
Loans
|
|
|
(57,745 |
) |
|
Foreclosed assets
|
|
|
(5,609 |
) |
|
Core deposit intangible
|
|
|
898 |
|
|
Deposits
|
|
|
(382 |
) |
|
Borrowings
|
|
|
(28 |
) |
|
Other
|
|
|
(920 |
) |
| |
|
|
|
|
|
Bargain purchase gain
|
|
$ |
7,575 |
|
| |
|
|
|
|
|
| Summary of principal balance loans acquired |
The following table presents a reconciliation of the undiscounted contractual cash
flows, nonaccretable difference, accretable yield, fair value, purchase discount, and principal balance of loans for the various categories of Citizens PNCI and PCI loans as of the acquisition date. For PCI loans, the purchase discount does not
necessarily represent cash flows to be collected as a portion of it is a nonaccretable difference:
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Citizens Loans – September 23, 2011 |
|
| (In thousands) |
|
PNCI |
|
|
PCI –
other |
|
|
PCI –
cash basis |
|
|
Total |
|
|
Undiscounted contractual cash flows
|
|
$ |
230,106 |
|
|
$ |
69,346 |
|
|
$ |
35,205 |
|
|
$ |
334,657 |
|
|
Undiscounted cash flows not expected to be collected (nonaccretable difference)
|
|
|
— |
|
|
|
(26,846 |
) |
|
|
(24,517 |
) |
|
|
(51,363 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Undiscounted cash flows expected to be collected
|
|
|
230,106 |
|
|
|
42,500 |
|
|
|
10,688 |
|
|
|
283,294 |
|
|
Accretable yield at acquisition
|
|
|
(105,664 |
) |
|
|
(10,146 |
) |
|
|
— |
|
|
|
(115,810 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Estimated fair value of loans acquired at acquisition
|
|
|
124,442 |
|
|
|
32,354 |
|
|
|
10,688 |
|
|
|
167,484 |
|
|
Purchase discount
|
|
|
20,364 |
|
|
|
23,207 |
|
|
|
14,174 |
|
|
|
57,745 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Principal balance loans acquired
|
|
$ |
144,806 |
|
|
$ |
55,561 |
|
|
$ |
24,862 |
|
|
$ |
225,229 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|