-----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, BcGxhKcwDfChqgct3DdNw2KpX51qcD4zTXeL03HtGN8TRMghvzmnryhCXQoxNuSm ytqm5VqU9lBULqVeYag1cA== 0000700565-04-000175.txt : 20041027 0000700565-04-000175.hdr.sgml : 20041027 20041027122442 ACCESSION NUMBER: 0000700565-04-000175 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20041027 ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20041027 DATE AS OF CHANGE: 20041027 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIRST MID ILLINOIS BANCSHARES INC CENTRAL INDEX KEY: 0000700565 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 371103704 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-13368 FILM NUMBER: 041098652 BUSINESS ADDRESS: STREET 1: 1515 CHARLESTON AVE STREET 2: PO BOX 499 CITY: MATTOON STATE: IL ZIP: 61938 BUSINESS PHONE: 2172347454 MAIL ADDRESS: STREET 1: 1515 CHARLESTON AVENUE STREET 2: PO BOX 499 CITY: MATTOON STATE: IL ZIP: 61938 FORMER COMPANY: FORMER CONFORMED NAME: FIRST-MID ILLINOIS BANCSHARES INC DATE OF NAME CHANGE: 19920703 8-K 1 form8k_102704.txt 2004 3RD QTR REPORT 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): OCTOBER 27, 2004 FIRST MID-ILLINOIS BANCSHARES, INC. (Exact Name of Registrant as Specified in its Charter) DELAWARE (State of Other Jurisdiction of Incorporation) 0-13368 37-1103704 (Commission File Number) (IRS Employer Identification No.) 1515 CHARLESTON AVENUE, MATTOON, IL 61938 (Address Including Zip Code of Principal Executive Offices) (217) 234-7454 (Registrant's Telephone Number, including Area Code) 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: [ ] Written communications pursuant to Rule 425 under the Securities Act (17CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17CFR 240.13e-4(c)) Item 8.01. Other Events Incorporated by reference is the quarterly shareholder report issued by the Registrant on October 27, 2004, attached as Exhibit 99, providing information concerning the Registrant's financial statements as of September 30, 2004. Item 9.01. Financial Statements and Exhibits (a) None required (b) None required (c) Exhibits Exhibit 99 - Quarterly shareholder report as of and for the period ending September 30, 2004 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has dully caused this Report to be signed on its behalf by the undersigned hereunto duly authorized. FIRST MID-ILLINOIS BANCSHARES, INC. Dated: October 27, 2004 By: /s/ William S. Rowland William S. Rowland President and Chief Executive Officer INDEX TO EXHIBITS Exhibit Number Description - -------------------------------------------------------------------------------- 99 Quarterly shareholder report issued October 27, 2004 Exhibit 99 [GRAPHIC OMITTED][GRAPHIC OMITTED] Our financial results for the first nine months of 2004 were good, with diluted earnings per share amounting to $1.56 as compared to $1.42 during the same period in 2003. Net income increased to $7,181,000 for the first nine months of 2004 as compared to $6,877,000 for the first nine months of 2003. All share and per share information for current and prior periods presented in this report have been adjusted to reflect the three-for-two stock split in the form of a 50% stock dividend completed in July 2004. An increase in net interest income was the primary factor in 2004 earnings growth. Net interest income before provision for loan losses was $21,187,000 for the first nine months of 2004 as compared to $19,965,000 for the same period in 2003, an increase of $1,222,000. Growth in net average earning assets and an increase in margin contributed to the increase in net interest income. Loan balances increased $44 million in 2004 and deposit balances increased by $33 million. The net interest margin for the first nine months of 2004 increased to 3.87% on a tax equivalent basis from 3.81% for the first nine months of 2003 as a result of the loan growth and lower funding costs. Our provision for loan losses amounted to $437,000 for the first nine months of 2004 as compared to $750,000 during the same period last year. The reduced provision is primarily due to a decline in the level of non-performing loans. Non-performing loans on September 30, 2004 were $3,606,000 as compared to $4,766,000 on September 30, 2003. Net charge-offs were $303,000 for the first nine months of 2004 as compared with $204,000 for the same period last year. Non-interest income for the first nine months of 2004 was $8,717,000 compared to $9,487,000 for the same period last year. As we anticipated, mortgage refinance activity slowed considerably in 2004 and mortgage banking revenue declined to $384,000 for the first nine months of 2004 compared to $1,581,000 for the same period last year. Increases in trust and brokerage fees have partially offset these declines. Trust revenues have increased from $1,444,000 for the first nine months of 2003 to $1,676,000 for the first nine months of 2004. The increase in revenues is the result of improvement in equity prices and growth in new business. Trust assets increased from $339 million on September 30, 2003 to $354 million on September 30, 2004. Non-interest expenses increased by $408,000 compared to the first nine months of 2003 as a result of increased costs for salaries and benefits, marketing costs for deposit promotions, and professional fees incurred in implementing the requirements of the Sarbanes-Oxley Act of 2002. During the third quarter of 2004, we completed the initial phase of our retail deposit realignment. Customers have had a favorable response to the new products and we have added 977 new deposit accounts since the new products were first introduced. In addition to the deposit products, we have made it much more convenient for customers to obtain a home mortgage loan with the completion of our online mortgage center. A customer can apply and receive pre-approval for their home mortgage loan online. This provides the customer peace-of-mind as they search for their new home. Initial customer usage has been very good with over 5,000 hits to this page of our website in the last few months. Thank you for your continued support and confidence in First Mid-Illinois Bancshares, Inc. Sincerely, /s/ William S. Rowland William S. Rowland Chairman and Chief Executive Officer October 27, 2004 First Mid-Illinois Bancshares, Inc. 1515 Charleston Avenue Mattoon, Illinois 61938 217-234-7454 www.firstmid.com CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share data) (unaudited) September 30, December 31, - -------------------------------------------------------------------------------- 2004 2003 Assets Cash and due from banks $16,918 $20,659 Federal funds sold and other interest-bearing deposits 732 4,290 Investment securities: Available-for-sale, at fair value 168,341 176,481 Held-to-maturity, at amortized cost (estimated fair value of $1,628 and $1,687 at September 30, 2004 and December 31, 2003, respectively) 1,567 1,677 Loans 597,406 552,824 Less allowance for loan losses (4,560) (4,426) - -------------------------------------------------------------------------------- Net loans 592,846 548,398 Premises and equipment, net 15,471 16,059 Goodwill, net 9,034 9,034 Intangible assets, net 3,497 3,969 Other assets 13,656 13,078 - -------------------------------------------------------------------------------- Total assets $822,062 $793,645 ================================================================================ Liabilities and Stockholders' Equity Deposits: Non-interest bearing $85,151 $94,723 Interest bearing 563,199 520,269 - -------------------------------------------------------------------------------- Total deposits 648,350 614,992 Repurchase agreements with customers 53,153 59,875 Junior subordinated debentures 10,310 - Other borrowings 34,900 39,925 Other liabilities 6,623 8,258 - -------------------------------------------------------------------------------- Total liabilities 753,336 723,050 - -------------------------------------------------------------------------------- Stockholders' Equity: Common stock ($4 par value; authorized 18,000,000 shares; issued 5,564,207 shares in 2004 and 5,501,831 shares in 2003) 22,257 14,672 Additional paid-in capital 17,561 15,960 Retained earnings 51,763 52,942 Deferred compensation 2,198 1,881 Accumulated other comprehensive income 1,092 1,581 Treasury stock at cost, 1,098,676 shares in 2004 and 801,928 shares in 2003 (26,145) (16,441) - -------------------------------------------------------------------------------- Total stockholders' equity 68,726 70,595 - -------------------------------------------------------------------------------- Total liabilities and stockholders' equity $822,062 $793,645 ================================================================================ CONDENSED CONSOLIDATED STATEMENTS OF INCOME (In thousands) (unaudited) - -------------------------------------------------------------------------------- For the nine month period ended September 30, 2004 2003 Interest income: Interest and fees on loans $24,941 $24,245 Interest on investment securities 4,574 4,649 Interest on federal funds sold and other 72 222 - -------------------------------------------------------------------------------- Total interest income 29,587 29,116 Interest expense: Interest on deposits 6,634 7,549 Interest on repurchase agreements with customers 245 193 Interest on subordinated debt 255 - Interest on other borrowings 1,266 1,409 - -------------------------------------------------------------------------------- Total interest expense 8,400 9,151 - -------------------------------------------------------------------------------- Net interest income 21,187 19,965 Provision for loan losses 437 750 - -------------------------------------------------------------------------------- Net interest income after provision for loan losses 20,750 19,215 Non-interest income: Trust revenues 1,676 1,444 Brokerage commissions 298 209 Insurance commissions 1,112 1,141 Service charges 3,572 3,303 Securities gains, net 92 370 Mortgage banking revenues 384 1,581 Other 1,583 1,439 - -------------------------------------------------------------------------------- Total non-interest income 8,717 9,487 Non-interest expense: Salaries and employee benefits 10,087 9,928 Net occupancy and equipment expense 3,237 3,202 Amortization of intangible assets 472 577 Other 4,860 4,541 - -------------------------------------------------------------------------------- Total non-interest expense 18,656 18,248 - -------------------------------------------------------------------------------- Income before income taxes 10,811 10,454 Income taxes 3,630 3,577 - -------------------------------------------------------------------------------- Net income $7,181 $6,877 ================================================================================ Per Share Information (unaudited) - -------------------------------------------------------------------------------- For the nine month period ended September 30, 2004 2003 Basic earnings per share $1.59 $1.45 Diluted earnings per share $1.56 $1.42 Book value per share $15.39 $14.90 Market price of stock $36.50 $31.50 CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (In thousands) (unaudited) - -------------------------------------------------------------------------------- For the nine month period ended September 30, 2004 2003 Balance at beginning of year $70,595 $66,807 Net income 7,181 6,877 Dividends on stock (949) (791) Issuance of stock 1,775 1,580 Purchase of treasury stock (9,479) (3,466) Deferred compensation adjustment 92 - Changes in accumulated other comprehensive income (loss) (489) (706) - -------------------------------------------------------------------------------- Balance at end of year $68,726 $70,301 ================================================================================ -----END PRIVACY-ENHANCED MESSAGE-----