-----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, NWHYB/sOspA9iq9ITYedg8vCwG7q+kamdPeteTnmFsfaJcoia+yUj+r+wB3TLU+x hppzodWJtl0P70NtOSyxSg== 0000950144-06-006911.txt : 20060726 0000950144-06-006911.hdr.sgml : 20060726 20060725181945 ACCESSION NUMBER: 0000950144-06-006911 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060720 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060726 DATE AS OF CHANGE: 20060725 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BANCORPSOUTH INC CENTRAL INDEX KEY: 0000701853 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 640659571 STATE OF INCORPORATION: MS FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-12991 FILM NUMBER: 06980036 BUSINESS ADDRESS: STREET 1: ONE MISSISSIPPI PL CITY: TUPELO STATE: MS ZIP: 38804 BUSINESS PHONE: 6626802000 MAIL ADDRESS: STREET 1: PO BOX 789 CITY: TUPELO STATE: MS ZIP: 38802-0789 FORMER COMPANY: FORMER CONFORMED NAME: BANCORP OF MISSISSIPPI INC DATE OF NAME CHANGE: 19920703 8-K 1 g02528e8vk.htm BANCORPSOUTH, INC. BancorpSouth, Inc.
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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): July 25, 2006 (July 20, 2006)
 
BANCORPSOUTH, INC.
(Exact name of registrant as specified in its charter)
         
Mississippi   1-12991   64-0659571
         
(State or other jurisdiction of
incorporation) 		  (Commission File
Number) 		  (IRS Employer
Identification No.)
     
One Mississippi Plaza
201 South Spring Street
Tupelo, Mississippi 		 

38804
     
(Address of principal executive offices)   (Zip Code)
Registrant’s telephone number, including area code (662) 680-2000
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):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

TABLE OF CONTENTS

Item 2.02. Results of Operations and Financial Condition.
Item 9.01. Financial Statements and Exhibits.
SIGNATURES
EXHIBIT INDEX
Ex-99.1 Press Release

Table of Contents

Section 2 — Financial Information
     Item 2.02. Results of Operations and Financial Condition.
          On July 20, 2006, BancorpSouth, Inc. issued a press release announcing its financial results for the second quarter ended June 30, 2006. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference in its entirety.
Section 9 — Financial Statements and Exhibits
     Item 9.01. Financial Statements and Exhibits.
     (a) Not applicable.
     (b) Not applicable.
     (c) Not applicable.
     (d) Exhibits.
Exhibit 99.1 Press release issued on July 20, 2006 by BancorpSouth, Inc.

 

Table of Contents

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 hereunto duly authorized.
         
  BANCORPSOUTH, INC.
 		  
  By:   /s/ James V. Kelley    
    James V. Kelley  
    President and Chief Operating Officer  
 
Date: July 25, 2006

 

Table of Contents

EXHIBIT INDEX
         
Exhibit Number   Description
  99.1    
Press Release issued on July 20, 2006 by BancorpSouth, Inc.

 

EX-99.1 2 g02528exv99w1.txt EX-99.1 PRESS RELEASE EXHIBIT 99.1 [BANCORPSOUTH LOGO] CONTACT: L. Nash Allen, Jr. Gary C. Bonds Treasurer and Chief Financial Senior Vice President and Officer Controller 662/680-2330 662/680-2332 BANCORPSOUTH ANNOUNCES SECOND QUARTER 2006 EARNINGS PER SHARE INCREASE 36.4% TO $0.45 PER DILUTED SHARE TUPELO, Miss., July 20 /PRNewswire-FirstCall/ -- BancorpSouth, Inc. (NYSE: BXS - News) today announced financial results for the second quarter and six months ended June 30, 2006. Highlights of the second quarter of 2006 included: * A 36.4 percent increase in earnings per diluted share to $0.45 for the second quarter of 2006 from $0.33 for the second quarter of 2005. * The expansion of the Company's net interest margin to 3.75 percent for the second quarter from 3.66 percent for the second quarter of 2005 and 3.73 percent from the first quarter of 2006. * Growth in non-interest bearing demand deposits of 22.9 percent compared with the second quarter of 2005, the fourth consecutive quarter of growth in excess of 19 percent. * Improvement in non-performing loans and leases as a percentage of total loans and leases to 0.32 percent and an increase in the reserve coverage (allowance for credit losses to non-performing loans) to 395 percent. * Substantial organic growth within the Company's insurance business with revenues increasing 13.8 percent for the second quarter of 2006 from the second quarter of 2005. * Continued expansion of the Company's markets, with the second-quarter opening of loan production offices in Tyler, Texas and Huntsville, Alabama; the opening of a full-service bank office in Bay St. Louis, Mississippi; and the announcement of the Company's intent to expand into the panhandle of Florida with a branch office in Destin before the end of 2006. SECOND QUARTER 2006 SUMMARY RESULTS BancorpSouth's net income increased 37.6 percent for the second quarter of 2006 to $35.5 million from $25.8 million for the second quarter of 2005. Net income per diluted share for the second quarter of 2006 increased 36.4 percent to $0.45 from $0.33 for the second quarter of 2005. "We are pleased to report that BancorpSouth continued its momentum in the second quarter of 2006," commented Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth. "In a rising interest rate environment characterized by a generally flat yield curve, we achieved our third consecutive quarter of double-digit growth in net interest revenue through a combination of solid loan and deposit growth, focused asset/liability management and strong credit quality. In addition, we expanded non-interest income through a resurgence in our insurance business, which had been significantly affected by Hurricane Katrina. We also continued to lay the foundation for long-term growth by expanding into attractive new markets. "As in the previous two quarters, our net income for the second quarter of 2006 benefited from a reduction in a previously recorded allowance for credit losses related to Hurricane Katrina, totaling approximately $600,000 pre-tax for the quarter. Our earnings growth when compared to the second quarter of 2005 also reflected a positive net pre-tax impact of $6.5 million related to changes in the value of our mortgage servicing asset, as well as the favorable resolution of a state income tax issue that resulted in a lower effective tax rate for the quarter." NET INTEREST REVENUE Interest revenue for the second quarter of 2006 increased 23.0 percent, or $31.3 million, to $167.4 million from $136.0 million for the second quarter of 2005 and 4.7 percent from $159.9 million for the first quarter of 2006. Interest expense increased 45.2 percent, or $21.8 million, to $70.2 million for the second quarter of 2006 from $48.3 million for the second quarter of 2005 and 9.7 percent from $64.0 million for the first quarter of 2006. The average taxable equivalent yield on earning assets increased to 6.39 percent for the second quarter of 2006 from 5.63 percent for the second quarter of 2005 and 6.16 percent for the first quarter of 2006. The average rate paid on interest bearing liabilities was 3.17 percent for the second quarter of 2006, compared with 2.34 percent for the second quarter of 2005 and 2.91 percent for the first quarter of 2006. Net interest revenue increased 10.8 percent to $97.2 million for the second quarter of 2006 from $87.7 million for the second quarter of 2005 and 1.3 percent from $95.9 million for the first quarter of 2006. Net interest margin was 3.75 percent for the second quarter of 2006 compared with 3.66 percent for the second quarter of 2005 and 3.73 percent for the first quarter of 2006. "With the increase in our second quarter net interest margin, we have not only achieved our sixth consecutive comparable-quarter increase in this key metric, but also, in a difficult interest rate environment, the third consecutive sequential-quarter improvement," continued Patterson. "This strong record is the product of our conservative asset/liability management philosophy, which we have consistently applied over the long term through many interest rate cycles. Our conservative stance on maturities in our investment portfolio has enabled us to improve our average taxable yield on earning assets by investing funds from maturing securities in higher rate loans or new higher-rate short- and intermediate-term investments. In addition, our focus on careful pricing of our liabilities continues to support our ability to fund the majority of our loan growth with lower-cost demand deposits. As an institution dependent on often-volatile interest rates, we remain committed to this conservative philosophy as the most effective approach to building long- term shareholder value." DEPOSIT AND LOAN ACTIVITY Total assets at June 30, 2006 increased 9.2 percent to $11.8 billion from $10.8 billion at June 30, 2005. Total deposits grew 6.5 percent to $9.6 billion at June 30, 2006 from $9.0 billion at June 30, 2005. Loans and leases, net of unearned interest, increased 7.4 percent to $7.6 billion at June 30, 2006 from $7.0 billion at June 30, 2005. Patterson remarked, "BancorpSouth continued to expand its loan portfolio at a steady pace during the second quarter, as an expanding economy and diverse markets in our six-state franchise enabled us to overcome the impact on consumer sentiment of rising interest rates and higher fuel prices. The opening of loan production offices in Fayetteville, Arkansas and Gulf Shores, Alabama, during the fourth quarter of 2005 has helped support our organic growth in 2006. In addition, we benefited from the acquisition of American State Bank Corporation, headquartered in Jonesboro, Arkansas, in late 2005. This transaction, as well as increased demand resulting from rising interest rates, also contributed to the 3.4 percent growth in savings and other time deposits. Total demand deposits rose 9.9% for the second quarter of 2006, including a 22.9 percent expansion in non-interest bearing demand deposits, which reflected the flow of relief money into the Mississippi Gulf Coast." PROVISION FOR CREDIT LOSSES AND ALLOWANCE FOR CREDIT LOSSES For the second quarter of 2006, the provision for credit losses was $3.6 million, an increase of 20.3 percent compared with $3.0 million for the second quarter of 2005, and compared with the negative provision for credit losses of $3.9 million that was recorded for the first quarter of 2006. Annualized net charge-offs were 0.18 percent of average loans and leases for the second quarter of 2006 compared with 0.26 percent for the second quarter of 2005 and 0.09 percent for the first quarter of 2006. The Company continues to closely monitor its loan portfolio in the areas impacted by Hurricane Katrina. As of June 30, 2006, approximately $2.2 million of the Company's allowance for credit losses was directly related to the impact of Hurricane Katrina. Non-performing loans and leases increased 2.7 percent to $24.4 million, or 0.32 percent of loans and leases, at June 30, 2006, from $23.7 million, or 0.34 percent of loans and leases, at June 30, 2005, and declined 6.2 percent from $26.0 million, or 0.35 percent of loans and leases, at March 31, 2006. The allowance for credit losses was 1.27 percent of loans and leases at June 30, 2006, compared with 1.29 percent of loans and leases at June 30, 2005, and 1.30 percent of loans and leases at March 31, 2006. Patterson added, "BancorpSouth's credit quality remained strong at the end of the second quarter, with non-performing loans and leases as a percentage of total loans and leases improving on a comparable-quarter and sequential- quarter basis. As we approach the first anniversary of Hurricane Katrina, our continuing analysis indicates that losses related to loans in the impacted area are not expected to be as great as originally anticipated immediately following the hurricane. Although we continue to caution that the full impact of Hurricane Katrina on our financial condition and results of operations may not be known for some time, our coverage of non-performing loans and annualized net charge-offs by the allowance for credit losses support our confidence in the level of our allowance for credit losses." NONINTEREST REVENUE Noninterest revenue increased 24.6 percent to $53.6 million for the second quarter of 2006 from $43.0 million for the second quarter of 2005. As previously noted, these results include the impact of a $6.5 million net increase in mortgage revenue related to changes in the value of BancorpSouth's mortgage servicing asset for the second quarter of 2006 compared with the second quarter of 2005. Excluding this increase, noninterest revenue expanded 8.2 percent for the second quarter, primarily attributable to the 13.8 percent growth in insurance commissions. "The organic growth in our insurance commissions for the second quarter is the highest we have yet achieved with our current three-state operations," said Patterson. "This level of growth was driven by a general increase in insurance premiums that generated a corresponding increase in commissions to the agencies, which we believe is a direct result of the aftermath of Hurricane Katrina. We expect there will be a continuing significant growth opportunity for our insurance business as the Gulf Coast rebuilds and that new relationships created through these services will have potential for additional financial services we are well positioned to provide." NONINTEREST EXPENSE Noninterest expense increased 8.6 percent to $98.3 million for the second quarter of 2006 from $90.6 million for the second quarter of 2005 and increased 2.4 percent from $96.0 million for the first quarter of 2006. The growth in noninterest expense primarily resulted from additional salaries, employee benefits and occupancy expense associated with the acquisition of American State Bank Corporation and the opening of four new loan production offices and a new full-service branch bank office since November 2005. CAPITAL MANAGEMENT BancorpSouth repurchased 270,000 shares of its common stock during the second quarter of 2006 under the stock repurchase plan authorized in April 2005 for the repurchase of up to three million shares. With 735,500 shares repurchased under this plan through the end of the second quarter of 2006 combined with the shares repurchased under earlier plans, BancorpSouth had repurchased approximately 11.3 million shares of its common stock as of June 30, 2006, or approximately 13.4 percent of the shares outstanding when the original share repurchase program was initiated in 2001. BancorpSouth will continue to evaluate additional share repurchases under the April 2005 plan, which authorizes these repurchases during a two-year period expiring April 30, 2007. SUMMARY "While it is clear that BancorpSouth and the overall banking industry could be challenged by the impact of rising fuel costs and interest rates, our second quarter results support our confidence that this organization has the opportunities and the resources to achieve long-term profitable growth and increased shareholder value," Patterson said. "In particular, we continue to expect to play a significant role in the rebuilding of the Mississippi Gulf Coast, and we have demonstrated our commitment to the region through the opening of the Bay St. Louis office and the grand reopening of our principal office in Gulfport, Mississippi. We have already benefited from substantial growth in deposits and insurance commission revenues in the Mississippi Gulf Coast, and we expect to build our loan portfolio in the area as reconstruction gathers momentum in the quarters to come. "As the recent opening of our loan production office in Gulf Shores, Alabama and our plans to enter the Destin, Florida, market indicate, we also intend to play a greater role in the further growth of the Gulf Coast. In spite of the magnitude of this opportunity, it remains just one element of our overall strategy to expand, either through organic growth or acquisition, in existing or contiguous markets." CONFERENCE CALL BancorpSouth will conduct a conference call to discuss its second quarter results tomorrow, July 21, 2006, at 10:00 a.m. (Central Time). Investors may listen via the Internet by accessing BancorpSouth's website at http://www.bancorpsouth.com. A replay of the conference call will be available at BancorpSouth's website for at least two weeks following the call. FORWARD-LOOKING STATEMENTS Certain statements contained in this news release may not be based on historical facts and are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may be identified by their reference to a future period or periods or by the use of forward-looking terminology such as "anticipate," "believe," "estimate," "expect," "may," "might," "will," "would," "could" or "intend." These forward-looking statements may include, without limitation, statements relating to the magnitude of loan-related losses in the area impacted by Hurricane Katrina, the aggregate impact of Hurricane Katrina on our financial condition and results of operation, growth opportunities for our insurance business and other financial services as the Gulf Coast rebuilds, repurchases under our common stock repurchase plan, the impact of rising fuel costs and interest rates, our role in rebuilding and contributing to growth of the Gulf Coast and increasing our loan portfolio in the Mississippi Gulf Coast area. We caution you not to place undue reliance on the forward-looking statements contained in this news release in that actual results could differ materially from those indicated in such forward-looking statements due to a variety of factors. These factors may include, but are not limited to, the rate of economic recovery in the region affected by Hurricane Katrina, the ability of BancorpSouth to obtain additional reliable information in the region affected by Hurricane Katrina, changes in economic conditions and government fiscal and monetary policies, fluctuations in prevailing interest rates and the ability of BancorpSouth to manage its assets and liabilities to limit exposure to changing interest rates, the ability of BancorpSouth to increase noninterest revenue and expand noninterest revenue business, the ability of BancorpSouth to maintain credit quality, changes in laws and regulations affecting financial service companies in general, the ability of BancorpSouth to compete with other financial services companies, the ability of BancorpSouth to provide and market competitive services and products, changes in BancorpSouth's operating or expansion strategy, geographic concentration of BancorpSouth's assets, the ability of BancorpSouth to manage its growth and effectively serve an expanding customer and market base, the ability of BancorpSouth to achieve profitable growth and increase shareholder value, the ability of BancorpSouth to attract, train and retain qualified personnel, the ability of BancorpSouth to repurchase its common stock on favorable terms, the ability of BancorpSouth to identify, close and effectively integrate potential acquisitions, the ability of BancorpSouth to expand geographically and enter fast-growing markets, changes in consumer preferences, other factors generally understood to affect the financial results of financial services companies, and other factors described from time to time in BancorpSouth's filings with the Securities and Exchange Commission. We undertake no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date on which such statements were made. BancorpSouth, Inc. is a financial holding company headquartered in Tupelo, Mississippi with approximately $11.8 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 270 commercial banking, insurance, trust and broker/dealer locations in Alabama, Arkansas, Louisiana, Mississippi, Tennessee and Texas. BANCORPSOUTH, INC. SELECTED FINANCIAL DATA
Three Months Ended Six Months Ended June 30, June 30, ---------------------------------- ----------------------------------- 2006 2005 2006 2005 --------------- ---------------- ---------------- ---------------- (Dollars in thousands, except per share amounts) EARNINGS SUMMARY: Net interest revenue $ 97,221 $ 87,717 $ 193,150 $ 174,846 Provision for credit losses 3,586 2,980 (274) 7,767 Noninterest revenue 53,600 43,022 106,370 96,941 Noninterest expense 98,344 90,575 194,352 180,263 -------------- --------------- --------------- --------------- Income before income taxes 48,891 37,184 105,442 83,757 Income tax provision 13,392 11,394 32,198 26,223 -------------- --------------- --------------- --------------- Net income $ 35,499 $ 25,790 $ 73,244 $ 57,534 ============== =============== =============== =============== Earning per share: Basic $0.45 $0.33 $0.93 $0.74 ============== =============== =============== =============== Diluted $0.45 $0.33 $0.92 $0.73 ============== =============== =============== =============== BALANCE SHEET DATA AT JUNE 30: Total assets $ 11,832,245 $ 10,831,291 Total earning assets 10,687,106 9,876,000 Loans and leases, net of unearned income 7,567,009 7,046,942 Allowance for credit losses 96,264 91,076 Total deposits 9,556,234 8,974,580 Common shareholders' equity 1,008,953 936,167 Book value per share 12.76 11.96 AVERAGE BALANCE SHEET DATA: Total assets $ 11,761,349 $ 10,788,265 $ 11,762,821 $ 10,833,282 Total earning assets 10,672,338 9,858,677 10,678,476 9,906,348 Loans and leases, net of unearned income 7,476,032 6,989,792 7,424,186 6,932,500 Total deposits 9,587,542 8,963,216 9,646,603 9,028,500 Common shareholders' equity 994,495 924,661 984,250 921,617 NON-PERFORMING ASSETS AT JUNE 30: Non-accrual loans and leases $ 6,391 $ 10,619 Loans and leases 90+ days past due 15,819 11,010 Restructured loans and leases 2,181 2,120 Other real estate owned 12,713 16,072 Net charge-offs as a percentage of average loans (annualized) 0.18% 0.26% 0.13% 0.24% PERFORMANCE RATIOS (ANNUALIZED): Return on average assets 1.21% 0.96% 1.26% 1.07% Return on common equity 14.32% 11.19% 15.01% 12.59% Net interest margin 3.75% 3.66% 3.74% 3.65% Average shares outstanding - basic 79,146,546 78,220,515 79,179,429 78,212,363 Average shares outstanding - diluted 79,535,200 78,536,657 79,539,667 78,554,782
BANCORPSOUTH, INC. CONSOLIDATED BALANCE SHEET (UNAUDITED)
June 30, ------------------------------------ % 2006 2005 Change ------------ ------------ -------- (Dollars in thousands) Assets - ------ Cash and due from banks $ 422,523 $ 354,694 19.12% Interest bearing deposits with other banks 5,982 6,746 (11.33%) Held-to-maturity securities, at amortized cost 1,692,018 1,208,680 39.99% Available-for-sale securities, at fair value 1,266,659 1,531,165 (17.27%) Trading securities, at fair value - 114 N/A Federal funds sold and securities purchased under agreement to resell 104,181 24,569 324.03% Loans and leases 7,611,477 7,077,568 7.54% Less: Unearned income (44,468) (30,626) 45.20% Allowance for credit losses (96,264) (91,076) 5.70% ------------ ------------ Net loans and leases 7,470,745 6,955,866 7.40% Loans held for sale 51,258 57,785 (11.30%) Premises and equipment, net 278,410 239,306 16.34% Accrued interest receivable 83,577 65,428 27.74% Goodwill 142,548 107,780 32.26% Other assets 314,344 279,158 12.60% ------------ ------------ Total Assets $ 11,832,245 $ 10,831,291 9.24% ============ ============ Liabilities Deposits: Demand: Noninterest bearing $ 1,829,782 $ 1,489,190 22.87% Interest bearing 2,800,391 2,723,172 2.84% Savings 758,471 732,298 3.57% Other time 4,167,590 4,029,920 3.42% ------------ ------------ Total deposits 9,556,234 8,974,580 6.48% Federal funds purchased and securities sold under agreement to repurchase 675,280 484,400 39.41% Other short-term borrowings 175,000 62,000 182.26% Accrued interest payable 28,668 19,628 46.06% Junior subordinated debt securities 144,847 138,145 4.85% Long-term debt 136,479 137,954 (1.07%) Other liabilities 106,784 78,417 36.17% ------------ ------------ Total Liabilities 10,823,292 9,895,124 9.38% Shareholders' Equity - -------------------- Common stock 197,744 195,723 1.03% Capital surplus 112,127 83,359 34.51% Accumulated other comprehensive income (loss) (20,754) (7,607) 172.83% Retained earnings 719,836 664,692 8.30% ------------ ------------ Total Shareholders' Equity 1,008,953 936,167 7.77% ------------ ------------ Total Liabilities & Shareholders' Equity $ 11,832,245 $ 10,831,291 9.24% ============ ============
BancorpSouth, Inc. Consolidated Statements of Income (In thousands, except per share data) (Unaudited)
Quarter Ended Year To Date ---------------------------------------------- ----------- ---------------------- Jun 2006 Mar 2006 Dec 2005 Sept 2005 Jun 2005 Jun 2006 Jun 2005 --------- --------- --------- ---------- --------- --------- ---------- INTEREST REVENUE: Loans and leases $ 134,569 $ 127,200 $ 121,243 $ 115,800 $ 109,874 $ 261,769 $ 213,678 Deposits with other banks 176 141 177 166 139 317 251 Federal funds sold and securities purchased under agreement to resell 976 2,846 3,052 1,061 197 3,822 589 Held-to-maturity securities: Taxable 16,048 14,323 10,461 9,160 9,452 30,371 19,218 Tax-exempt 2,077 1,887 1,696 1,667 1,557 3,964 3,154 Available-for-sale securities: Taxable 11,389 10,904 11,048 11,761 12,765 22,293 26,510 Tax-exempt 1,276 1,363 1,400 1,481 1,491 2,639 3,168 Loans held for sale 871 1,238 920 686 571 2,109 1,589 --------- --------- --------- --------- --------- --------- --------- Total interest revenue 167,382 159,902 149,997 141,782 136,046 327,284 268,157 --------- --------- --------- --------- --------- --------- --------- INTEREST EXPENSE: Deposits 57,430 53,133 47,970 44,790 40,432 110,563 78,337 Federal funds purchased and securities sold under agreement to repurchase 6,549 5,902 4,896 3,692 2,590 12,451 4,751 Other 6,182 4,938 4,861 4,859 5,307 11,120 10,223 --------- --------- --------- --------- --------- --------- --------- Total interest expense 70,161 63,973 57,727 53,341 48,329 134,134 93,311 --------- --------- --------- --------- --------- --------- --------- Net interest revenue 97,221 95,929 92,270 88,441 87,717 193,150 174,846 Provision for credit losses 3,586 (3,860) 1,975 14,725 2,980 (274) 7,767 --------- --------- --------- --------- --------- --------- --------- Net interest revenue, after provision for credit losses 93,635 99,789 90,295 73,716 84,737 193,424 167,079 --------- --------- --------- --------- --------- --------- --------- NONINTEREST REVENUE: Mortgage lending 3,720 3,176 2,191 4,207 (2,453) 6,896 3,175 Service charges 17,489 15,450 15,852 15,860 16,411 32,939 31,137 Trust income 2,325 2,016 2,412 2,161 2,004 4,341 3,893 Security gains, net 17 10 11 20 371 27 441 Insurance commissions 16,411 17,445 14,411 14,830 14,425 33,856 30,357 Other 13,638 14,673 18,831 11,085 12,264 28,311 27,938 --------- -------- --------- --------- --------- --------- --------- Total noninterest revenue 53,600 52,770 53,708 48,163 43,022 106,370 96,941 --------- -------- --------- --------- -------- -------- --------- NONINTEREST EXPENSES: Salaries and employee benefits 58,376 57,573 53,959 52,173 52,578 115,949 105,818 Occupancy, net of rental income 7,759 7,442 7,133 6,751 6,841 15,201 13,252 Equipment 5,822 5,763 5,592 5,501 5,637 11,585 11,087 Other 26,387 25,230 25,642 25,088 25,519 51,617 50,106 --------- --------- --------- --------- --------- --------- --------- Total noninterest expenses 98,344 96,008 92,326 89,513 90,575 194,352 180,263 --------- --------- --------- --------- --------- --------- --------- Income before income taxes 48,891 56,551 51,677 32,366 37,184 105,442 83,757 Income tax expense 13,392 18,806 16,871 9,507 11,394 32,198 26,223 --------- --------- --------- --------- --------- --------- --------- Net income $ 35,499 $ 37,745 $ 34,806 $ 22,859 $ 25,790 $ 73,244 $ 57,534 ========= ========= ========= ========= ========= ========= ========= Net income per share: Basic $ 0.45 $ 0.48 $ 0.44 $ 0.29 $ 0.33 $ 0.93 $ 0.74 ========= ========= ========= ========= ========= ========= ========= Diluted $ 0.45 $ 0.47 $ 0.44 $ 0.29 $ 0.33 $ 0.92 $ 0.73 ========= ========= ========= ========= ========= ========= =========
BancorpSouth, Inc. Average Balances, Interest Income and Expense, and Average Yields and Rates (Dollars in thousands) (Unaudited)
Quarter Ended June 30, 2006 -------------------------------------------- Average Yield/ (Taxable equivalent basis) Balance Interest Rate ------- -------- ---- ASSETS Loans, loans held for sale, and leases net of unearned income $ 7,517,364 $ 136,189 7.27% Held-to-maturity securities: Taxable 1,557,135 16,048 4.13% Tax-exempt 190,733 3,196 6.72% Available-for-sale securities: Taxable 1,199,635 11,388 3.81% Tax-exempt 108,604 1,963 7.25% Short-term investments 98,867 1,151 4.67% ------------ --------- Total interest earning assets and revenue 10,672,338 169,935 6.39% Other assets 1,185,888 Less: allowance for credit losses (96,877) ------------ Total $ 11,761,349 ============ LIABILITIES AND SHAREHOLDERS' EQUITY Deposits: Demand - interest bearing $ 2,927,036 $ 14,613 2.00% Savings 767,750 2,044 1.07% Other time 4,164,848 40,773 3.93% Short-term borrowings 735,180 7,789 4.25% Junior subordinated debt 144,847 2,947 8.16% Long-term debt 136,609 1,995 5.86% ----------- -------- Total interest bearing liabilities and expense 8,876,270 70,161 3.17% Demand deposits - noninterest bearing 1,727,908 Other liabilities 162,676 ----------- Total liabilities 10,766,854 Shareholders' equity 994,495 ------------ Total $ 11,761,349 ============ -------- Net interest revenue $ 99,774 ======== Net interest margin 3.75% Net interest rate spread 3.22% Interest bearing liabilities to interest earning assets 83.17% Net interest tax equivalent adjustment $ 2,553
BancorpSouth, Inc. Average Balances, Interest Income and Expense, and Average Yields and Rates (Dollars in thousands) (Unaudited)
Quarter Ended June 30, 2005 ------------------------------------------- Average Yield/ (Taxable equivalent basis) Balance Interest Rate ------- -------- ---- ASSETS Loans, loans held for sale, and leases net of unearned income $ 7,034,782 $ 111,017 6.33% Held-to-maturity securities: Taxable 1,072,562 9,452 3.53% Tax-exempt 137,503 2,395 6.99% Available-for-sale securities: Taxable 1,444,327 12,765 3.54% Tax-exempt 131,287 2,294 7.01% Short-term investments 38,216 336 3.54% ----------- --------- Total interest earning assets and revenue 9,858,677 138,259 5.63% Other assets 1,022,044 Less: allowance for credit losses (92,456) ------------ Total $ 10,788,265 ============ LIABILITIES AND SHAREHOLDERS' EQUITY Deposits: Demand - interest bearing $ 2,795,706 $ 8,762 1.26% Savings 747,451 1,503 0.81% Other time 3,954,223 30,166 3.06% Short-term borrowings 517,846 3,109 2.41% Junior subordinated debt 138,145 2,771 8.04% Long-term debt 138,074 2,018 5.86% ------------ --------- Total interest bearing liabilities and expense 8,291,445 48,329 2.34% Demand deposits - noninterest bearing 1,465,836 Other liabilities 106,323 ------------ Total liabilities 9,863,604 Shareholders' equity 924,661 ------------ Total $ 10,788,265 ============ -------- Net interest revenue $ 89,930 ======== Net interest margin 3.66% Net interest rate spread 3.29% Interest bearing liabilities to interest earning assets 84.10% Net interest tax equivalent adjustment $ 2,213
BancorpSouth, Inc. Average Balances, Interest Income and Expense, and Average Yields and Rates (Dollars in thousands) (Unaudited)
Year to Date June 30, 2006 --------------------------------------------- Average Yield/ (Taxable equivalent basis) Balance Interest Rate ------- -------- ---- ASSETS Loans, loans held for sale, and leases net of unearned income $ 7,491,790 $265,286 7.14% Held-to-maturity securities: Taxable 1,507,396 30,371 4.06% Tax-exempt 182,582 6,099 6.74% Available-for-sale securities: Taxable 1,200,449 22,293 3.74% Tax-exempt 113,078 4,060 7.24% Short-term investments 183,181 4,138 4.56% ----------- -------- Total interest earning assets and revenue 10,678,476 332,247 6.27% Other assets 1,182,871 Less: allowance for credit losses (98,526) ------------ Total $ 11,762,821 ============ LIABILITIES AND SHAREHOLDERS' EQUITY Deposits: Demand - interest bearing $ 3,005,663 $ 28,403 1.91% Savings 758,585 3,738 0.99% Other time 4,157,481 78,423 3.80% Short-term borrowings 689,792 13,718 4.01% Junior subordinated debt 144,847 5,858 8.16% Long-term debt 136,794 3,994 5.89% ----------- -------- Total interest bearing liabilities and expense 8,893,162 134,134 3.04% Demand deposits - noninterest bearing 1,724,874 Other liabilities 160,535 ------------ Total liabilities 10,778,571 Shareholders' equity 984,250 ------------ Total $ 11,762,821 ============ -------- Net interest revenue $198,113 ======== Net interest margin 3.74% Net interest rate spread 3.23% Interest bearing liabilities to interest earning assets 83.28% Net interest tax equivalent adjustment $ 4,963
BancorpSouth, Inc. Average Balances, Interest Income and Expense, and Average Yields and Rates (Dollars in thousands) (Unaudited)
Year to Date June 30, 2005 ------------------------------------------ Average Yield/ (Taxable equivalent basis) Balance Interest Rate ------- -------- ---- ASSETS Loans, loans held for sale, and leases net of unearned income $ 7,006,579 $ 216,388 6.23% Held-to-maturity securities: Taxable 1,082,715 19,218 3.58% Tax-exempt 137,915 4,853 7.10% Available-for-sale securities: Taxable 1,488,762 26,510 3.59% Tax-exempt 135,200 4,874 7.27% Short-term investments 55,177 839 3.07% ----------- --------- Total interest earning assets and revenue 9,906,348 272,682 5.55% Other assets 1,019,268 Less: allowance for credit losses (92,334) ------------ Total $ 10,833,282 ============ LIABILITIES AND SHAREHOLDERS' EQUITY Deposits: Demand - interest bearing $ 2,832,204 $ 16,577 1.18% Savings 756,919 3,058 0.81% Other time 3,993,458 58,702 2.96% Short-term borrowings 491,173 5,407 2.22% Junior subordinated debt 138,145 5,526 8.07% Long-term debt 138,276 4,041 5.89% ----------- -------- Total interest bearing liabilities and expense 8,350,175 93,311 2.25% Demand deposits - noninterest bearing 1,445,919 Other liabilities 115,571 ----------- Total liabilities 9,911,665 Shareholders' equity 921,617 ------------ Total $ 10,833,282 ============ -------- Net interest revenue $179,371 ======== Net interest margin 3.65% Net interest rate spread 3.30% Interest bearing liabilities to interest earning assets 84.29% Net interest tax equivalent adjustment $ 4,525
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