EX-99.1 2 d247198dex991.htm EX-99.1 EX-99.1

EXHIBIT 99.1

News Release

LOGO

 

Contact:    
William L. Prater     Will Fisackerly
Treasurer and     First Vice President and
Chief Financial Officer     Director of Investor Relations
662/680-2000     662/680-2475

BancorpSouth Announces Third Quarter 2011 Earnings of

$11.9 Million or $0.14 per Diluted Share

TUPELO, Miss., October 24, 2011/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the quarter ended September 30, 2011. The Company reported net income of $11.9 million, or $0.14 per diluted share, for the third quarter of 2011 compared with $11.3 million, or $0.13 per diluted share, for the third quarter of 2010.

Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, remarked, “BancorpSouth’s earnings for the third quarter of 2011 benefited from a reduction in our provision for credit losses to $25.1 million for the quarter compared with $54.9 million for the third quarter of 2010 and $32.2 million for the second quarter of 2011. While this reduction reflected continued improvement in our credit quality, we remain focused on working through our problem credits and reducing our non-performing loans (“NPLs”).

“NPLs declined 4.5 percent or $17.0 million during the third quarter of 2011 to $362.8 million at September 30, 2011 compared with $379.8 million at June 30, 2011. This decline followed a 10.6 percent, or $45.2 million, sequential quarter decline during the second quarter of 2011. In addition, net charge-offs declined 30.0 percent, or $9.9 million, to $23.1 million for the third quarter of 2011 compared with the second quarter of 2011, which followed a 36.7 percent, or $19.1 million, sequential quarter decline for the second quarter of 2011. Gross nonaccrual loan formation increased to $60.8 million for the third quarter of 2011, following three consecutive sequential quarter declines in nonaccrual loan formation from $166.2 million for the third quarter of 2010 to $50.4 million for the second quarter of 2011. Total loans 30 – 89 days past due increased during the third quarter of 2011 to $54.1 million at September 30, 2011, following five consecutive sequential quarter declines from $142.8 million at March 31, 2010 to $47.9 million at June 30, 2011. Despite these increases in gross nonaccrual loan formation and loans 30 – 89 days past due, we believe that both remain at manageable levels.

“The $17.0 million decline in NPLs during the third quarter of 2011 consisted primarily of a $16.6 million decline in nonaccrual loans. Construction, acquisition and development (“CAD”) nonaccrual loans declined $28.9 million to $171.6 million at September 30, 2011 from June 30, 2011 and represented 54.6 percent of total nonaccrual loans at the end of the third quarter. This decline was partially offset by a $9.9 million increase in consumer mortgage nonaccrual loans during the third quarter. Total loans 90 days or more past due and still accruing increased $3.4

Box 789 • Tupelo, MS 38802-0789 • (662) 680-2000

BancorpSouth, Inc. is a financial holding company.

 

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BXS Announces Third Quarter Results

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October 24, 2011

 

million from June 30, 2011 to $7.4 million at September 30, 2011, and restructured loans and leases still accruing declined $3.8 million from June 30, 2011 to $41.0 million at September 30, 2011.

“As anticipated, other real estate owned rose during the third quarter of 2011, increasing 7.6 percent from the end of the second quarter of 2011. While foreclosures declined $9.1 million during the third quarter to $29.1 million, sales of foreclosed properties also declined $8.0 million to $13.1 million for the quarter ended September 30, 2011. Sales of other real estate owned were essentially on a break-even basis for the third quarter of 2011, consistent with the second quarter of 2011. Write-downs in the value of foreclosed properties increased to $4.4 million for the third quarter of 2011 from $2.3 million for the second quarter of 2011.

“Despite margin pressure attributable to a weak lending environment and historically low interest rates, our community banking operations again produced consistent, solid results. In addition, our noninterest revenue businesses remained resilient, with double-digit growth in mortgage lending revenue, excluding mortgage servicing rights (“MSR”) adjustment, due in part to the hiring of additional mortgage origination staff. Additionally, our insurance business generated further organic growth compared with the third quarter of 2010. We also continued to manage noninterest expenses well despite a one-time expense of $3.1 million related to the closure of 22 branches during the third quarter.

“Our primary focus is to continue improving credit quality. At the end of the third quarter, 89.0 percent of our nonaccrual loans were determined to be collaterally dependent, and after write-downs and specific reserves, the remaining book balance of these loans was 70.4 percent of the unpaid principal balance. At September 30, 2011, coverage of unimpaired nonaccrual loans by the nonspecified allowance for credit losses was 466 percent and coverage of unimpaired NPLs by the nonspecified allowance for credit losses was 194 percent. In addition, 48.1 percent of nonaccrual loans were paying as agreed at September 30, 2011, compared with 46.6 percent at the end of the second quarter of 2011. We also further strengthened our capital during the third quarter, with our ratio of tangible equity to tangible assets increasing to 7.58 percent at September 30, 2011 from 7.11 percent at September 30, 2010 and 7.32 percent at June 30, 2011.”

Net Interest Revenue

Net interest revenue was $108.1 million for the third quarter of 2011, a decrease of 1.5 percent from $109.7 million for the third quarter of 2010 and 1.7 percent from $109.9 million for the second quarter of 2011. The fully taxable equivalent net interest margin was 3.66 percent for the third quarter of 2011 compared with 3.64 percent for the third quarter of 2010 and 3.71 percent for the second quarter of 2011.

Asset, Deposit and Loan Activity

Total assets were $13.2 billion at September 30, 2011 compared with $13.6 billion at September 30, 2010. Total deposits were $11.1 billion at September 30, 2011, a decrease of 1.2 percent

 

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October 24, 2011

 

from $11.2 billion at September 30, 2010. Loans and leases, net of unearned income, were $9.1 billion at September 30, 2011, a decrease of 4.8 percent from $9.5 billion at September 30, 2010.

The CAD loan portfolio, which decreased $359.1 million, or 26.9 percent, for the 12 months ended September 30, 2011, accounted for 78.2 percent of the decline in net loans and leases over the same period. Excluding the impact of the CAD loan portfolio, net loans and leases declined $99.9 million, or 1.2 percent, for the 12 months ended September 30, 2011.

Time deposits, which decreased $645.4 million, or 17.0 percent, for the 12 months ended September 30, 2011, were offset by significant growth in noninterest bearing demand deposits, which increased $230.9 million, or 11.7 percent, over the same time period. Savings and interest bearing demand deposits collectively increased $280.9 million, or 5.2%, for the 12 months ended September 30, 2011. Patterson added, “In an environment conducive to neither loan growth nor meaningful investment yields, the Company’s strategic focus continues to be to de-emphasize commoditized deposits and to increase multi-service household accounts.”

Provision for Credit Losses and Allowance for Credit Losses

For the third quarter of 2011, the provision for credit losses was $25.1 million, compared with $54.9 million for the third quarter of 2010 and $32.2 million for the second quarter of 2011. Annualized net charge-offs were 1.01 percent of average loans and leases for the third quarter of 2011, compared with 2.10 percent for the third quarter of 2010 and 1.42 percent for the second quarter of 2011.

NPLs were $362.8 million, or 4.01 percent of net loans and leases, at September 30, 2011 compared with $409.4 million, or 4.30 percent of net loans and leases, at September 30, 2010 and $379.8 million, or 4.12 percent of net loans and leases, at June 30, 2011. The allowance for credit losses was 2.21 percent of net loans and leases at September 30, 2011 compared with 2.16 percent at September 30, 2010 and 2.14 percent at June 30, 2011.

Total NPLs at September 30, 2011 consisted primarily of $314.5 million of nonaccrual loans, compared with $331.1 million at June 30, 2011. NPLs at September 30, 2011 also included $7.4 million of loans 90 days or more past due and still accruing, compared with $4.0 million at June 30, 2011, and restructured loans still accruing of $41.0 million at September 30, 2011, compared with $44.8 million at June 30, 2011. Loans and leases 30 to 89 days past due were $54.1 million at September 30, 2011 compared with $47.9 million at June 30, 2011.

At September 30, 2011, $111.4 million of NPLs were residential CAD loans, $62.6 million were other CAD loans, $66.3 million were commercial real estate mortgage loans and $50.3 million were consumer mortgages. NPLs from all other loan types totaled $72.2 million at September 30, 2011. Included in nonaccrual loans reported at September 30, 2011 were $151.3 million of loans, or 48.1 percent of total nonaccrual loans, that were paying as agreed. These loans were generally placed on nonaccrual status because the collateral values were less than the outstanding balances, and because of uncertainty as to whether the borrowers possessed adequate liquidity or

 

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October 24, 2011

 

will be able to generate sufficient cash flow to satisfy the debt given the short-fall in collateral values. Such loans are generally deemed to be impaired, with a specific reserve established for the difference in the balance owed and the collateral values.

Noninterest Revenue

Noninterest revenue was $62.1 million for the third quarter of 2011, compared with $69.8 million for the third quarter of 2010 and $75.1 million for the second quarter of 2011. These results include negative MSR value adjustments of $11.7 million, $4.6 million and $3.8 million, respectively, as well as net securities gains of $2.0 million, $2.3 million and $10.0 million, respectively.

Excluding the MSR value adjustments, net mortgage lending revenue was $10.2 million for the third quarter of 2011, compared with $13.5 million for the third quarter of 2010 and $5.8 million for the second quarter of 2011. Mortgage origination volume for the third quarter of 2011 was $374.8 million, compared with $490.3 million for the third quarter of 2010 and $245.3 million for the second quarter of 2011.

Credit and debit card fees increased $3.4 million, or 35.7 percent, for the third quarter of 2011 from the third quarter of 2010 and $1.7 million, or 15.3 percent, from the second quarter of 2011. Service charges decreased $1.3 million, or 6.9 percent, for the comparable quarters and increased $0.8 million, or 4.7 percent, sequentially. Insurance commissions rose $1.2 million, or 5.7 percent, for the comparable quarters and declined $0.9 million, or 4.0 percent, sequentially.

Noninterest Expense

Noninterest expense for the third quarter of 2011 was $130.7 million, compared with $123.1 million for the third quarter of 2010 and $137.1 million for the second quarter of 2011. Results for the second quarter of 2011 included prepayment expenses of $9.8 million related to the early repayment of FHLB advances.

Noninterest expense for the third quarter of 2011 reflected a one-time expense of $3.1 million related to the closure of 22 branch offices during the quarter under the Company’s branch optimization project. In addition, foreclosed property expense increased to $6.1 million for the third quarter of 2011 from $4.9 million for the third quarter of 2010 and $3.8 million for the second quarter of 2011, while deposit insurance assessments decreased to $3.8 million for the third quarter of 2011 from $4.8 million for the third quarter of 2010 and $6.4 million for the second quarter of 2011.

Capital Management

BancorpSouth remains a “well capitalized” financial holding company, as defined by federal regulations, with Tier 1 risk-based capital of 11.36 percent at September 30, 2011 and total risk based capital of 12.62 percent, compared with required minimum levels of 6 percent and 10 percent, respectively, to be classified as “well capitalized.” The Company’s equity capitalization is 100 percent common stock. BancorpSouth’s ratio of shareholders’ equity to assets increased

 

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October 24, 2011

 

to 9.60 percent at September 30, 2011, compared with 9.10 percent at September 30, 2010 and 9.33 percent at June 30, 2011. The ratio of tangible shareholders’ equity to tangible assets increased to 7.58 percent at September 30, 2011, compared with 7.11 percent at September 30, 2010 and 7.32 percent at June 30, 2011.

Summary

Patterson concluded, “Our third quarter results indicate that our credit issues remain manageable. In addition to our continuing focus on improving credit quality, we remain committed to maintaining a strong capital base and ample liquidity. We remain appropriately cautious about the near-term impact of the economic environment on our operating results. However, our banking and noninterest revenue operations have continued to produce solid, stable financial results in the aggregate throughout the recessionary economic environment. We continue to provide our customers with outstanding customer service and a comprehensive range of financial products and services, strengthening existing relationships and consistently building new ones. We continue to enhance the skills and experience of our employees, while maintaining control of noninterest expenses. Through a multitude of steady, disciplined, day-to-day efforts by people throughout our organization, we believe we are enhancing our prospects for both stronger financial results in a more robust economic environment and increased shareholder value.”

Conference Call

BancorpSouth will conduct a conference call to discuss its third quarter 2011 results tomorrow, October 25, 2011, 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 include, without limitation, statements relating to our ability to manage the levels of gross nonaccrual loan formation and loans 30 – 89 days past due, our ability to improve credit quality, our ability to enhance prospects for stronger financial results and increased shareholder value, and our use of non-GAAP financial measures.

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 because of a variety of factors. These factors may include, but are not limited to, conditions in the financial markets and economic conditions generally, the soundness of other financial institutions, the availability of capital on favorable terms if and when needed, liquidity risk, the credit risk associated with real estate construction, acquisition and development loans,

 

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October 24, 2011

 

estimates of costs and values associated with real estate construction, acquisition and development loans in the Company’s loan portfolio, the adequacy of the Company’s allowance for credit losses to cover actual credit losses, governmental regulation and supervision of the Company’s operations, the susceptibility of the Company’s business to local economic conditions, the impact of recent legislation and regulations on service charges for core deposit accounts, changes in interest rates, the impact of monetary policies and economic factors on the Company’s ability to attract deposits or make loans, volatility in capital and credit markets, the impact of hurricanes or other adverse weather events, risks in connection with completed or potential acquisitions, dilution caused by the Company’s issuance of any additional shares of its common stock to raise capital or to acquire other banks, bank holding companies, financial holding companies and insurance agencies, restrictions on the Company’s ability to declare and pay dividends, the Company’s growth strategy, diversification in the types of financial services the Company offers, competition with other financial services companies, interruptions or breaches in security of the Company’s information systems, the failure of certain third part vendors to perform, the Company’s ability to improve its internal controls adequately, any requirement that the Company write down goodwill or other intangible assets, 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 $13.2 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 290 commercial banking, mortgage, insurance, trust and broker/dealer locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas. BancorpSouth Bank also operates an insurance location in Illinois.

 

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BancorpSouth, Inc.

Selected Financial Data

 

      Three Months Ended
September 30,		     Nine Months Ended
September 30,		  
(Dollars in thousands, except per share amounts)    2011     2010     2011     2010  

Earnings Summary:

         

Net interest revenue

    $ 108,075      $ 109,678      $ 327,424      $ 330,889   

Provision for credit losses

      25,112        54,850        110,831        160,723   

Noninterest revenue

      62,055        69,752        205,510        190,170   

Noninterest expense

      130,698        123,087        397,777        363,586   
  

 

 

    

 

 

    

 

 

    

 

 

  

Income (loss) before income taxes

      14,320        1,493        24,326        (3,250 ) 

Income tax provision (benefit)

      2,386        (9,767 )      60        (10,346 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net income (loss)

    $ 11,934      $ 11,260      $ 24,266      $ 7,096   
  

 

 

    

 

 

    

 

 

    

 

 

  

Earning (loss) per share: Basic

    $ 0.14      $ 0.13      $ 0.29      $ 0.09   
  

 

 

    

 

 

    

 

 

    

 

 

  

Diluted

    $ 0.14      $ 0.13      $ 0.29      $ 0.08   
  

 

 

    

 

 

    

 

 

    

 

 

  

Balance sheet data at September 30:

         

Total assets

        $ 13,198,518      $ 13,583,016   

Total earning assets

          11,976,397        12,450,699   

Loans and leases, net of unearned income

          9,055,905        9,514,929   

Allowance for credit losses

          199,686        205,081   

Total deposits

          11,063,233        11,196,864   

Common shareholders’ equity

          1,266,753        1,235,705   

Book value per share

          15.17        14.80   

Average balance sheet data:

         

Total assets

    $ 13,174,655      $ 13,304,882      $ 13,358,657      $ 13,219,171   

Total earning assets

      12,039,067        12,266,426        12,219,226        12,127,291   

Loans and leases, net of unearned interest

      9,138,414        9,601,142        9,228,583        9,689,886   

Total deposits

      11,141,372        11,177,626        11,330,322        11,044,948   

Common shareholders’ equity

      1,251,815        1,229,146        1,231,286        1,246,647   

Non-performing assets at September 30:

         

Non-accrual loans and leases

        $ 314,479      $ 347,181   

Loans and leases 90+ days past due, still accruing

          7,354        9,910   

Restructured loans and leases, still accruing

          40,966        52,325   

Other real estate owned

          162,686        82,647   
      

 

 

    

 

 

  

Total non-performing assets

          525,485        492,063   

Net charge-offs as a percentage of average loans (annualized)

      1.01 %      2.10 %      1.56 %      1.81 % 

Performance ratios (annualized):

         

Return on average assets

      0.36 %      0.34 %      0.24 %      0.07 % 

Return on common equity

      3.78 %      3.63 %      2.63 %      0.76 % 

Total shareholders’ equity to total assets

      9.60 %      9.10 %      9.60 %      9.10 % 

Tangible shareholders' equity to tangible assets

      7.58 %      7.11 %      7.58 %      7.11 % 

Net interest margin

      3.66 %      3.64 %      3.69 %      3.74 % 

Average shares outstanding—basic

      83,488,963        83,432,535        83,485,694        83,421,821   

Average shares outstanding—diluted

      83,489,134        83,473,138        83,511,808        83,529,579   

Cash dividends per share

    $ 0.01      $ 0.22      $ 0.13      $ 0.66   

Tier I capital

      11.36 %      10.56 %      11.36 %      10.56 % 

Total capital

      12.62 %      11.82 %      12.62 %      11.82 % 

Tier I leverage capital

      8.66 %      8.26 %      8.66 %      8.26 % 

 

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BancorpSouth, Inc.

Consolidated Balance Sheets

(Unaudited)

 

     Sep-11      Jun-11      Mar-11     Dec-10     Sep-10  
     (Dollars in thousands)  

Assets

             

Cash and due from banks

    $ 161,876       $ 166,761       $ 146,989      $ 99,916      $ 128,160   

Interest bearing deposits with other banks

      338,250         304,344         102,312        172,170        211,189   

Held-to-maturity securities, at amortized cost

      —           —           1,667,203        1,613,019        1,357,888   

Available-for-sale securities, at fair value

      2,481,555         2,560,824         1,145,463        1,096,062        915,877   

Federal funds sold and securities purchased under agreement to resell

      —           —           150,000        150,000        325,000   

Loans and leases

      9,096,928         9,255,879         9,255,609        9,376,351        9,556,962   

Less: Unearned income

      41,023         41,326         41,773        43,244        42,033   

          Allowance for credit losses

      199,686         197,627         198,333        196,913        205,081   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Net loans and leases

      8,856,219         9,016,926         9,015,503        9,136,194        9,309,848   

Loans held for sale

      100,687         70,519         56,876        93,697        125,815   

Premises and equipment, net

      323,285         328,075         329,862        332,890        335,618   

Accrued interest receivable

      53,338         55,525         61,105        61,025        63,797   

Goodwill

      271,297         271,297         271,297        270,097        270,097   

Bank owned life insurance

      197,945         197,028         194,988        194,064        192,459   

Other real estate owned

      162,686         151,204         136,412        133,412        82,647   

Other assets

      251,380         244,547         269,228        262,464        264,621   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Total Assets

    $ 13,198,518       $ 13,367,050       $ 13,547,238      $ 13,615,010      $ 13,583,016   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Liabilities

             

Deposits:

             

Demand: Noninterest bearing

    $ 2,198,535       $ 2,096,655       $ 2,027,990      $ 2,060,145      $ 1,967,635   

                      Interest bearing

      4,736,858         4,939,553         5,023,073        4,931,518        4,623,103   

Savings

      968,277         944,993         932,574        863,034        801,153   

Other time

      3,159,563         3,327,262         3,480,477        3,635,324        3,804,973   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Total deposits

      11,063,233         11,308,463         11,464,114        11,490,021        11,196,864   

Federal funds purchased and securities sold under agreement to repurchase

      449,501         426,097         421,782        440,593        501,175   

Short-term Federal Home Loan Bank borrowings and other short-term borrowing

      1,500         703         2,715        2,727        152,738   

Accrued interest payable

      10,017         11,348         13,238        14,336        16,574   

Junior subordinated debt securities

      160,312         160,312         160,312        160,312        160,312   

Long-term Federal Home Loan Bank borrowings

      33,500         35,000         110,000        110,000        110,000   

Other liabilities

      213,702         178,424         164,016        174,777        209,648   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Total Liabilities

      11,931,765         12,120,347         12,336,177        12,392,766        12,347,311   

Shareholders’ Equity

             

Common stock

      208,722         208,722         208,704        208,704        208,704   

Capital surplus

      227,006         226,362         225,597        224,976        224,170   

Accumulated other comprehensive income (loss)

      14,595         6,289         (16,579 )      (14,453 )      (2,705 ) 

Retained earnings

      816,430         805,330         793,339        803,017        805,536   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Total Shareholders’ Equity

      1,266,753         1,246,703         1,211,061        1,222,244        1,235,705   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

Total Liabilities & Shareholders’ Equity

    $ 13,198,518       $ 13,367,050       $ 13,547,238      $ 13,615,010      $ 13,583,016   
  

 

 

     

 

 

     

 

 

    

 

 

    

 

 

  

 

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BancorpSouth, Inc.

Consolidated Average Balance Sheets

(Unaudited)

 

     Sep-11      Jun-11     Mar-11     Dec-10     Sep-10  
     (Dollars in thousands)  

Assets

            

Cash and due from banks

    $ 148,409       $ 151,194      $ 156,329      $ 176,979      $ 202,147   

Interest bearing deposits with other banks

      309,146         187,901        167,271        282,396        75,943   

Held-to-maturity securities, at amortized cost

      —           1,097,562        1,653,284        1,436,222        1,223,676   

Available-for-sale securities, at fair value

      2,529,482         1,609,720        1,085,131        996,006        917,677   

Federal funds sold and securities purchased under agreement to resell

      —           38,736        150,000        209,511        282,228   

Loans and leases

      9,179,730         9,291,434        9,342,939        9,461,161        9,645,252   

Less: Unearned income

      41,316         42,307        42,954        42,474        44,110   

          Allowance for credit losses

      205,209         212,968        218,107        215,278        227,201   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Net loans and leases

      8,933,205         9,036,159        9,081,878        9,203,409        9,373,941   

Loans held for sale

      62,025         44,704        39,098        91,262        81,004   

Premises and equipment, net

      326,800         328,829        330,920        333,516        336,038   

Accrued interest receivable

      53,122         54,570        58,450        58,591        61,753   

Goodwill

      271,297         271,297        270,510        270,097        270,097   

Bank owned life insurance

      14,642         14,189        13,217        9,836        12,394   

Other real estate owned

      152,052         138,827        129,781        98,944        76,314   

Other assets

      374,475         391,872        403,894        392,269        391,670   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total Assets

    $ 13,174,655       $ 13,365,560      $ 13,539,763      $ 13,559,038      $ 13,304,882   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Liabilities

            

Deposits:

            

Demand: Noninterest bearing

    $ 2,147,707       $ 2,018,197      $ 1,893,720      $ 1,975,318      $ 1,911,125   

                Interest bearing

      4,789,462         4,977,764        5,153,063        4,740,734        4,651,166   

Savings

      957,871         941,169        897,312        831,805        786,267   

Other time

      3,246,332         3,418,741        3,553,543        3,745,046        3,829,068   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total deposits

      11,141,372         11,355,871        11,497,638        11,292,903        11,177,626   

Federal funds purchased and securities sold under agreement to repurchase

      457,640         423,949        430,930        475,760        476,853   

Short-term Federal Home Loan Bank borrowings and other short-term borrowing

      486         1,641        2,719        147,839        6,426   

Accrued interest payable

      12,108         13,558        14,873        16,811        18,239   

Junior subordinated debt securities

      160,312         160,312        160,312        160,312        160,312   

Long-term Federal Home Loan Bank borrowings

      34,984         89,395        110,000        110,000        110,734   

Other liabilities

      115,938         98,553        103,892        129,899        125,546   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total Liabilities

      11,922,840         12,143,279        12,320,364        12,333,524        12,075,736   

Shareholders’ Equity

            

Common stock

      208,722         208,715        208,704        208,704        208,704   

Capital surplus

      226,582         225,912        225,162        224,357        224,168   

Accumulated other comprehensive income (loss)

      6,379         (10,040 )      (14,346 )      (3,331 )      (4,983 ) 

Retained earnings

      810,132         797,694        799,879        795,784        801,257   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total Shareholders’ Equity

      1,251,815         1,222,281        1,219,399        1,225,514        1,229,146   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total Liabilities & Shareholders’ Equity

    $ 13,174,655       $ 13,365,560      $ 13,539,763      $ 13,559,038      $ 13,304,882   
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 10

October 24, 2011

 

BancorpSouth, Inc.

Consolidated Condensed Statements of Income

(Dollars in thousands, except per share data)

(Unaudited)

 

     Quarter Ended     Year To Date  
     Sep-11     Jun-11      Mar-11     Dec-10     Sep-10     Sep-11      Sep-10  

INTEREST REVENUE:

                 

Loans and leases

    $ 114,260      $ 116,892       $ 117,358      $ 121,672      $ 123,533      $ 348,510       $ 375,110   

Deposits with other banks

      203        124         122        222        79        449         133   

Federal funds sold and securities purchased under agreement to resell

      —          35         131        168        213        166         438   

Held-to-maturity securities:

                 

Taxable

      —          5,066         8,014        8,490        9,010        13,080         27,788   

Tax-exempt

      —          2,291         3,347        2,952        2,584        5,638         7,457   

Available-for-sale securities:

                 

Taxable

      13,172        10,451         8,585        7,836        7,782        32,208         24,197   

Tax-exempt

      4,130        1,871         824        815        795        6,825         2,460   

Loans held for sale

      632        505         447        902        889        1,584         2,122   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Total interest revenue

      132,397        137,235         138,828        143,057        144,885        408,460         439,705   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

INTEREST EXPENSE:

                 

Interest bearing demand

      5,324        6,039         6,546        7,462        8,582        17,909         27,725   

Savings

      828        810         826        891        881        2,464         2,685   

Other time

      14,837        16,285         17,483        19,827        21,108        48,605         64,172   

Federal funds purchased and securities sold under agreement to repurchase

      95        135         152        189        209        382         652   

FHLB borrowings

      375        1,194         1,523        1,569        1,543        3,092         4,976   

Junior subordinated debt

      2,861        2,860         2,859        2,864        2,880        8,580         8,597   

Other

      2        —           2        2        4        4         9   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Total interest expense

      24,322        27,323         29,391        32,804        35,207        81,036         108,816   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Net interest revenue

      108,075        109,912         109,437        110,253        109,678        327,424         330,889   

Provision for credit losses

      25,112        32,240         53,479        43,293        54,850        110,831         160,723   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Net interest revenue, after provision for credit losses

      82,963        77,672         55,958        66,960        54,828        216,593         170,166   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

NONINTEREST REVENUE:

                 

Mortgage lending

      (1,443 )      2,003         7,581        18,126        8,898        8,141         11,619   

Credit card, debit card and merchant fees

      12,981        11,263         10,346        9,951        9,569        34,590         27,712   

Service charges

      17,334        16,556         15,368        16,854        18,621        49,258         53,836   

Trust income

      2,854        2,850         3,134        3,072        2,783        8,838         8,077   

Security gains (losses), net

      2,047        10,045         17        (470 )      2,327        12,109         3,039   

Insurance commissions

      22,012        22,941         22,549        18,013        20,825        67,502         64,159   

Other

      6,270        9,486         9,316        8,428        6,729        25,072         21,728   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Total noninterest revenue

      62,055        75,144         68,311        73,974        69,752        205,510         190,170   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

NONINTEREST EXPENSE:

                 

Salaries and employee benefits

      71,851        70,142         70,375        65,980        68,232        212,368         205,708   

Occupancy, net of rental income

      11,144        10,232         10,671        10,668        11,038        32,047         32,340   

Equipment

      5,346        5,595         5,658        5,459        5,523        16,599         17,139   

Deposit insurance assessments

      3,781        6,436         5,425        5,895        4,752        15,642         13,364   

Prepayment penalty on FHLB borrowings

      —          9,778         —          —          —          9,778         —     

Other

      38,576        34,886         37,881        35,445        33,542        111,343         95,035   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Total noninterest expenses

      130,698        137,069         130,010        123,447        123,087        397,777         363,586   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Income (loss) before income taxes

      14,320        15,747         (5,741 )      17,487        1,493        24,326         (3,250 ) 

Income tax expense (benefit)

      2,386        2,921         (5,247 )      1,641        (9,767 )      60         (10,346 ) 
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Net income (loss)

    $ 11,934      $ 12,826       ($ 494 )    $ 15,846      $ 11,260      $ 24,266       $ 7,096   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Net income (loss) per share: Basic

    $ 0.14      $ 0.15       ($ 0.01 )    $ 0.19      $ 0.13      $ 0.29       $ 0.09   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

     Diluted

    $ 0.14      $ 0.15       ($ 0.01 )    $ 0.19      $ 0.13      $ 0.29       $ 0.08   
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 11

October 24, 2011

 

BancorpSouth, Inc.

Selected Loan Data

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep-10  

LOAN AND LEASE PORTFOLIO:

           

Commercial and industrial

    $ 1,503,391      $ 1,526,686      $ 1,484,223      $ 1,491,183      $ 1,438,415   

Real estate

           

Consumer mortgages

      1,966,124        1,971,499        1,958,367        1,951,563        1,972,483   

Home equity

      523,030        531,787        531,406        543,272        552,095   

Agricultural

      249,715        255,310        250,393        252,292        262,083   

Commercial and industrial-owner occupied

      1,329,644        1,366,734        1,316,824        1,331,473        1,375,466   

Construction, acquisition and development

      976,694        1,060,675        1,117,335        1,174,743        1,335,836   

Commercial

      1,772,003        1,764,648        1,831,226        1,816,951        1,810,626   

Credit cards

      103,232        101,955        100,732        106,345        102,672   

All other

      632,072        635,259        623,330        665,285        665,253   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total loans

    $ 9,055,905      $ 9,214,553      $ 9,213,836      $ 9,333,107      $ 9,514,929   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

ALLOWANCE FOR CREDIT LOSSES:

           

Balance, beginning of period

    $ 197,627      $ 198,333      $ 196,913      $ 205,081      $ 200,744   

Loans and leases charged off:

           

Commercial and industrial

      (1,295 )      (5,556 )      (8,809 )      (1,782 )      (2,822 ) 

Real estate

           

Consumer mortgages

      (2,344 )      (1,629 )      (3,260 )      (5,291 )      (3,398 ) 

Home equity

      (1,712 )      (1,391 )      (1,082 )      (1,138 )      (1,792 ) 

Agricultural

      (2,345 )      (373 )      (592 )      (487 )      (33 ) 

Commercial and industrial-owner occupied

      (4,222 )      (3,228 )      (1,716 )      (1,659 )      (1,231 ) 

Construction, acquisition and development

      (7,697 )      (16,783 )      (32,343 )      (34,989 )      (38,517 ) 

Commercial

      (4,467 )      (1,597 )      (4,514 )      (6,327 )      (2,887 ) 

Credit cards

      (760 )      (725 )      (881 )      (990 )      (1,046 ) 

All other

      (770 )      (4,971 )      (553 )      (2,093 )      (798 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total loans charged off

      (25,612 )      (36,253 )      (53,750 )      (54,756 )      (52,524 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Recoveries:

           

Commercial and industrial

      348        589        184        707        318   

Real estate

           

Consumer mortgages

      485        220        143        423        143   

Home equity

      51        46        45        60        23   

Agricultural

      —          45        2        4        8   

Commercial and industrial-owner occupied

      99        21        173        195        154   

Construction, acquisition and development

      923        1,493        564        776        663   

Commercial

      300        392        13        707        98   

Credit cards

      141        239        255        143        317   

All other

      212        262        312        280        287   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total recoveries

      2,559        3,307        1,691        3,295        2,011   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net charge-offs

      (23,053 )      (32,946 )      (52,059 )      (51,461 )      (50,513 ) 

Provision charged to operating expense

      25,112        32,240        53,479        43,293        54,850   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Balance, end of period

    $ 199,686      $ 197,627      $ 198,333      $ 196,913      $ 205,081   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Average loans for period

    $ 9,138,414      $ 9,249,127      $ 9,300,029      $ 9,418,687      $ 9,601,142   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios:

           

Net charge-offs to average loans (annualized)

      1.01 %      1.42 %      2.24 %      2.19 %      2.10 % 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 12

October 24, 2011

 

BancorpSouth, Inc.

Selected Loan Data

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep-10  

NON-PERFORMING ASSETS

           

NON-PERFORMING LOANS AND LEASES:

           

Nonaccrual Loans and Leases

           

Commercial and industrial

    $ 11,122      $ 9,337      $ 14,655      $ 13,075      $ 12,339   

Real estate

           

Consumer mortgages

      44,100        34,174        36,025        34,021        25,561   

Home equity

      2,634        1,232        1,543        811        1,361   

Agricultural

      6,254        8,526        7,597        7,589        4,986   

Commercial and industrial-owner occupied

      26,977        26,387        24,638        20,338        15,004   

Construction, acquisition and development

      171,566        200,434        224,847        211,547        231,987   

Commercial

      49,500        48,571        58,945        57,766        51,590   

Credit cards

      551        546        617        720        724   

All other

      1,775        1,869        1,859        1,632        3,629   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total nonaccrual loans and leases

      314,479        331,076        370,726        347,499        347,181   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Loans and Leases 90+ Days Past Due, Still Accruing:

           

Commercial and industrial

      1,846        118        501        675        1,571   

Real estate

           

Consumer mortgages

      4,136        2,482        3,152        6,521        6,241   

Home equity

      134        242        139        173        146   

Agricultural

      131        —          7        123        330   

Commercial and industrial-owner occupied

      42        —          255        20        192   

Construction, acquisition and development

      290        432        19        197        526   

Commercial

      106        19        7        —          115   

Credit cards

      257        299        240        330        396   

All other

      412        388        509        461        393   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total loans and leases 90+ days past due, still accruing

      7,354        3,980        4,829        8,500        9,910   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Restructured Loans and Leases, Still Accruing

      40,966        44,786        49,472        38,376        52,325   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total non-performing loans and leases

      362,799        379,842        425,027        394,375        409,416   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

OTHER REAL ESTATE OWNED:

      162,686        151,204        136,412        133,412        82,647   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Non-performing Assets

    $ 525,485      $ 531,046      $ 561,439      $ 527,787      $ 492,063   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Additions to Nonaccrual Loans and Leases During the Quarter

    $ 60,799      $ 50,427      $ 111,241      $ 131,140      $ 166,171   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Loans and Leases 30-89 Days Past Due, Still Accruing:

           

Commercial and industrial

    $ 9,759      $ 7,903      $ 8,407      $ 13,654      $ 10,581   

Real estate

           

Consumer mortgages

      20,144        18,621        17,136        19,147        22,490   

Home equity

      2,066        2,916        2,492        1,906        3,088   

Agricultural

      1,485        2,901        818        1,122        1,101   

Commercial and industrial-owner occupied

      7,348        2,786        4,369        10,183        16,385   

Construction, acquisition and development

      4,469        4,939        8,047        6,758        11,538   

Commercial

      5,136        4,091        7,090        3,823        4,657   

Credit cards

      851        785        969        1,023        799   

All other

      2,832        3,005        2,192        2,766        3,143   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Loans and Leases 30-89 days past due, still accruing

    $ 54,090      $ 47,947      $ 51,520      $ 60,382      $ 73,782   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Credit Quality Ratios:

           

Provision for credit losses to average loans and leases (annualized)

      1.10 %      1.39 %      2.30 %      1.84 %      2.29 % 

Allowance for credit losses to net loans and leases

      2.21 %      2.14 %      2.15 %      2.11 %      2.16 % 

Allowance for credit losses to non-performing assets

      38.00 %      37.21 %      35.33 %      37.31 %      41.68 % 

Allowance for credit losses to non-performing loans and leases

      55.04 %      52.03 %      46.66 %      49.93 %      50.09 % 

Non-performing loans and leases to net loans and leases

      4.01 %      4.12 %      4.61 %      4.23 %      4.30 % 

Non-performing assets to net loans and leases

      5.80 %      5.76 %      6.09 %      5.65 %      5.17 % 

 

- MORE -

BXS Announces Third Quarter Results

Page 13

October 24, 2011

 

BancorpSouth, Inc.

Selected Loan Data

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep -10  

REAL ESTATE CONSTRUCTION, ACQUISITION AND DEVELOPMENT (“CAD”) PORTFOLIO:

           

Outstanding Balance

           

Multi-family construction

    $ 10,349      $ 19,116      $ 21,051      $ 27,992      $ 28,540   

One-to-four family construction

      181,445        198,809        212,435        218,554        239,455   

Recreation and all other loans

      61,084        66,366        63,686        48,375        45,085   

Commercial construction

      140,570        160,834        155,402        173,557        239,099   

Commercial acquisition and development

      206,516        222,460        244,950        250,658        260,787   

Residential acquisition and development

      376,730        393,090        419,811        455,607        522,870   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total outstanding balance

    $ 976,694      $ 1,060,675      $ 1,117,335      $ 1,174,743      $ 1,335,836   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Nonaccrual CAD Loans

           

Multi-family construction

    $ —        $ 9,174      $ 8,352      $ 12,517      $ 10,668   

One-to-four family construction

      17,937        24,537        33,570        23,794        27,476   

Recreation and all other loans

      712        774        708        481        1,020   

Commercial construction

      10,159        16,618        20,889        34,710        28,712   

Commercial acquisition and development

      31,862        37,207        47,200        29,658        34,438   

Residential acquisition and development

      110,896        112,124        114,128        110,387        129,673   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total nonaccrual CAD loans

      171,566        200,434        224,847        211,547        231,987   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

CAD Loans 90+ Days Past Due, Still Accruing:

           

Multi-family construction

      —          —          —          —          —     

One-to-four family construction

      211        —          —          —          —     

Recreation and all other loans

      —          2        2        —          —     

Commercial construction

      —          —          —          195        —     

Commercial acquisition and development

      —          —          —          —          150   

Residential acquisition and development

      79        430        17        2        376   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total CAD loans 90+ days past due, still accruing

      290        432        19        197        526   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Restructured CAD Loans, Still Accruing

           

Multi-family construction

      —          —          —          —          —     

One-to-four family construction

      321        1,697        113        63        417   

Recreation and all other loans

      24        24        —          —          —     

Commercial construction

      —          —          —          —          2,244   

Commercial acquisition and development

      1,415        1,415        834        604        1,735   

Residential acquisition and development

      410        2,274        3,408        1,495        7,290   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total restructured CAD loans, still accruing

      2,170        5,410        4,355        2,162        11,686   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Non-performing CAD loans

    $ 174,026      $ 206,276      $ 229,221      $ 213,906      $ 244,199   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

CAD NPL as a % of Outstanding CAD Balance

           

Multi-family construction

      —          48.0 %      39.7 %      44.7 %      37.4 % 

One-to-four family construction

      10.2 %      13.2 %      15.9 %      10.9 %      11.6 % 

Recreation and all other loans

      1.2 %      1.2 %      1.1 %      1.0 %      2.3 % 

Commercial construction

      7.2 %      10.3 %      13.4 %      20.1 %      12.9 % 

Commercial acquisition and development

      16.1 %      17.4 %      19.6 %      12.1 %      13.9 % 

Residential acquisition and development

      29.6 %      29.2 %      28.0 %      24.6 %      26.3 % 

Total CAD NPL as a        % of outstanding CAD balance

      17.8 %      19.4 %      20.5 %      18.2 %      18.3 % 

 

- MORE -

BXS Announces Third Quarter Results

Page 14

October 24, 2011

 

BancorpSouth, Inc.

Selected Loan Data

(Dollars in thousands)

(Unaudited)

 

     September 30, 2011  
     Pass      Special
Mention		      Substandard      Doubtful      Loss      Impaired      Total  

LOAN PORTFOLIO BY INTERNALLY ASSIGNED GRADE:

                     

Commercial and industrial

    $ 1,448,253       $ 2,657       $ 44,873       $ 1,049       $ 558       $ 6,001       $ 1,503,391   

Real estate

                     

Consumer mortgages

      1,781,174         11,819         137,284         5,057         83         30,707         1,966,124   

Home equity

      503,067         309         16,058         1,002         1,068         1,526         523,030   

Agricultural

      224,247         2,436         18,815         —           —           4,217         249,715   

Commercial and industrial-owner occupied

      1,206,806         17,006         82,588         865         —           22,379         1,329,644   

Construction, acquisition and development

      653,635         18,221         134,932         1,782         123         168,001         976,694   

Commercial

      1,537,944         26,151         162,076         —           —           45,832         1,772,003   

Credit cards

      102,873         11         158         190         —           —           103,232   

All other

      610,381         108         19,857         483         17         1,226         632,072   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total loans

    $ 8,068,380       $ 78,718       $ 616,641       $ 10,428       $ 1,849       $ 279,889       $ 9,055,905   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 15

October 24, 2011

 

BancorpSouth, Inc.

Selected Loan Data

(Dollars in thousands)

(Unaudited)

 

     As of  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep-10  

Unpaid principal balance of impaired loans

    $ 342,839      $ 374,760      $ 423,497      $ 345,377      $ 311,941   

Cumulative charge-offs on impaired loans

      62,950        71,103        84,676        71,972        69,783   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Impaired nonaccrual loan and lease outstanding balance

      279,889        303,657        338,821        273,405        242,158   

Other non-accrual loans and leases not impaired

      34,590        27,419        31,905        74,094        105,023   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total non-accrual loans and leases

    $ 314,479      $ 331,076      $ 370,726      $ 347,499      $ 347,181   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Allowance for impaired loans

      38,657        46,810        49,419        40,719        43,584   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Nonaccrual loans and leases, net of specific reserves

    $ 275,822      $ 284,266      $ 321,307      $ 306,780      $ 303,597   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Loans and leases 90+ days past due, still accruing

      7,354        3,980        4,829        8,500        9,910   

Restructured loans and leases, still accruing

      40,966        44,786        49,472        38,376        52,325   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total non-performing loans and leases

    $ 362,799      $ 379,842      $ 425,027      $ 394,375      $ 409,416   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Allowance for impaired loans

    $ 38,657      $ 46,810      $ 49,419      $ 40,719      $ 43,584   

Allowance for all other loans and leases

      161,029        150,817        148,914        156,194        161,497   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total allowance for credit losses

    $ 199,686      $ 197,627      $ 198,333      $ 196,913      $ 205,081   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Outstanding balance of impaired loans

    $ 279,889      $ 303,657      $ 338,821      $ 273,405      $ 242,158   

Allowance for impaired loans

      38,657        46,810        49,419        40,719        43,584   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net book value of impaired loans

    $ 241,232      $ 256,847      $ 289,402      $ 232,686      $ 198,574   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net book value of impaired loans as a % of unpaid principal balance

      70 %      69 %      68 %      67 %      64 % 

Coverage of other non-accrual loans and leases not impaired by the allowance for all other loans and leases

      466 %      550 %      467 %      211 %      154 % 

Coverage of non-performing loans and leases not impaired by the allowance for all other loans and leases

      194 %      198 %      173 %      129 %      97 % 

 

- MORE -

BXS Announces Third Quarter Results

Page 16

October 24, 2011

 

BancorpSouth, Inc.

Geographical Information

(Dollars in thousands)

(Unaudited)

 

     Alabama
and Florida
Panhandle		      Arkansas      Mississippi      Missouri      Greater
Memphis
Area		      Northeast
Tennessee		      Texas and
Louisiana		      Other      Total  

LOAN AND LEASE PORTFOLIO:

                           

Commercial and industrial

    $ 57,232       $ 217,374       $ 316,622       $ 56,125       $ 24,346       $ 87,484       $ 271,249       $ 472,959       $ 1,503,391   

Real estate

                           

Consumer mortgages

      112,812         276,618         771,982         60,469         86,473         162,699         421,824         73,247         1,966,124   

Home equity

      60,795         42,713         177,310         27,855         72,339         77,632         62,598         1,788         523,030   

Agricultural

      6,563         72,995         74,385         4,883         11,760         13,871         59,692         5,566         249,715   

Commercial and industrial-owner occupied

      118,204         169,721         461,948         69,369         108,567         98,464         243,305         60,066         1,329,644   

Construction, acquisition and development

      124,744         78,979         259,405         71,312         109,470         115,452         206,783         10,549         976,694   

Commercial

      198,358         349,499         354,536         233,105         121,314         107,041         361,443         46,707         1,772,003   

Credit cards

      —           —           —           —           —           —           —           103,232         103,232   

All other

      14,398         43,002         78,744         623         42,252         25,797         30,369         396,887         632,072   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total loans

    $ 693,106       $ 1,250,901       $ 2,494,932       $ 523,741       $ 576,521       $ 688,440       $ 1,657,263       $ 1,171,001       $ 9,055,905   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

CAD PORTFOLIO:

                           

Multi-family construction

    $ —         $ —         $ 11       $ 8,771       $ 689       $ 416       $ 350       $ 112       $ 10,349   

One-to-four family construction

      31,513         13,118         45,489         9,853         11,128         33,145         35,240         1,959         181,445   

Recreation and all other loans

      1,397         10,127         28,676         566         2,812         959         15,887         660         61,084   

Commercial construction

      17,726         6,611         36,579         11,698         10,545         21,952         33,941         1,518         140,570   

Commercial acquisition and development

      11,844         19,711         56,667         15,847         33,689         24,410         42,117         2,231         206,516   

Residential acquisition and development

      62,264         29,412         91,983         24,577         50,607         34,570         79,248         4,069         376,730   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total CAD loans

    $ 124,744       $ 78,979       $ 259,405       $ 71,312       $ 109,470       $ 115,452       $ 206,783       $ 10,549       $ 976,694   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

NON-PERFORMING LOANS AND LEASES:

                           

Commercial and industrial

    $ 2,724       $ 1,971       $ 798       $ 1,859       $ 489       $ 316       $ 3,197       $ 2,878       $ 14,232   

Real estate

                           

Consumer mortgages

      5,378         4,396         10,138         4,610         2,903         8,129         5,982         8,798         50,334   

Home equity

      701         —           212         —           1,189         531         134         1         2,768   

Agricultural

      654         760         1,226         1,316         2,819         264         100         2         7,141   

Commercial and industrial-owner occupied

      4,127         8,975         6,575         3,714         4,842         3,256         1,342         1,403         34,234   

Construction, acquisition and development

      45,889         7,380         11,073         15,564         34,112         21,064         38,944         —           174,026   

Commercial

      5,607         2,672         15,535         22,534         10,910         5,354         3,054         650         66,316   

Credit cards

      —           —           —           —           —           —           —           3,403         3,403   

All other

      1,389         2,379         4,038         —           —           1,234         —           1,305         10,345   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total loans

    $ 66,469       $ 28,533       $ 49,595       $ 49,597       $ 57,264       $ 40,148       $ 52,753       $ 18,440       $ 362,799   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 17

October 24, 2011

 

BancorpSouth, Inc.

Selected Additional Information

(Dollars in thousands)

(Unaudited)

 

     September 30, 2011  
     Alabama
and Florida
Panhandle		      Arkansas      Mississippi      Missouri      Greater
Memphis
Area		      Northeast
Tennessee		      Texas and
Louisiana		      Other      Total  

OTHER REAL ESTATE OWNED:

                           

Commercial and industrial

    $ 439       $ 17       $ —         $ —         $ 946       $ —         $ —         $ —         $ 1,402   

Real estate

                           

Consumer mortgages

      5,368         475         3,533         —           5,259         2,090         821         1,976         19,522   

Home equity

      —           63         155         —           —           368         100         —           686   

Agricultural

      951         —           968         —           4,233         —           78         —           6,230   

Commercial and industrial-owner occupied

      1,093         109         2,216         77         3,225         525         378         —           7,623   

Construction, acquisition and development

      11,355         2,384         18,890         2,706         70,189         6,072         2,998         —           114,594   

Commercial

      2,939         1,631         1,266         451         2,601         848         234         —           9,970   

All other

      68         87         276         195         1,980         —           53         —           2,659   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total loans

    $ 22,213       $ 4,766       $ 27,304       $ 3,429       $ 88,433       $ 9,903       $ 4,662       $ 1,976       $ 162,686   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

     Quarter Ended  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep-10  

OTHER REAL ESTATE OWNED:

           

Balance, beginning of period

    $ 151,204      $ 136,412      $ 133,412      $ 82,647      $ 67,560   

Additions to foreclosed properties

           

New foreclosed property

      29,063        38,199        21,464        62,683        30,008   

Reductions in foreclosed properties

           

Sales

      (13,136 )      (21,135 )      (13,528 )      (8,528 )      (12,356 ) 

Writedowns

      (4,445 )      (2,272 )      (4,936 )      (3,390 )      (2,565 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Balance, end of period

    $ 162,686      $ 151,204      $ 136,412      $ 133,412      $ 82,647   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

FORECLOSED PROPERTY EXPENSE

           

Loss on sale of other real estate owned

    $ 16      $ (140 )    $ 492      $ 807      $ 1,501   

Writedown of other real estate owned

      4,445        2,272        4,936        3,390        2,565   

Other foreclosed property expense

      1,655        1,633        1,654        1,895        846   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total foreclosed property expense

    $ 6,116      $ 3,765      $ 7,082      $ 6,092      $ 4,912   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 18

October 24, 2011

 

BancorpSouth, Inc.

Noninterest Revenue and Expense

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended  
     Sep-11     Jun-11      Mar-11      Dec-10     Sep-10  

NONINTEREST REVENUE:

             

Mortgage lending

    $ (1,443 )    $ 2,003       $ 7,581       $ 18,126      $ 8,898   

Credit card, debit card and merchant fees

      12,981        11,263         10,346         9,951        9,569   

Service charges

      17,334        16,556         15,368         16,854        18,621   

Trust income

      2,854        2,850         3,134         3,072        2,783   

Securities gains (losses), net

      2,047        10,045         17         (470 )      2,327   

Insurance commissions

      22,012        22,941         22,549         18,013        20,825   

Annuity fees

      552        1,094         1,296         458        537   

Brokerage commissions and fees

      1,627        1,437         1,638         1,436        1,340   

Bank-owned life insurance

      1,734        2,223         1,699         2,303        1,793   

Other miscellaneous income

      2,357        4,732         4,683         4,231        3,059   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total noninterest revenue

    $ 62,055      $ 75,144       $ 68,311       $ 73,974      $ 69,752   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

NONINTEREST EXPENSE:

             

Salaries and employee benefits

    $ 71,851      $ 70,142       $ 70,375       $ 65,980      $ 68,232   

Occupancy, net of rental income

      11,144        10,232         10,671         10,668        11,038   

Equipment

      5,346        5,595         5,658         5,459        5,523   

Deposit insurance assessments

      3,781        6,436         5,425         5,895        4,752   

Prepayment penalty on FHLB borrowings

      —          9,778         —           —          —     

Advertising

      1,140        1,291         889         1,760        1,742   

Foreclosed property expense

      6,116        3,765         7,082         6,092        4,912   

Telecommunications

      2,097        2,036         2,143         2,148        2,624   

Public relations

      1,415        1,554         1,514         1,361        1,423   

Data processing

      2,614        2,365         2,301         1,428        1,576   

Computer software

      1,863        1,899         1,848         1,937        1,793   

Amortization of intangibles

      823        833         854         950        961   

Legal

      1,586        1,095         2,586         1,872        1,727   

Postage and shipping

      1,182        1,171         1,297         1,269        1,237   

Other miscellaneous expense

      19,740        18,877         17,367         16,628        15,547   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total noninterest expense

    $ 130,698      $ 137,069       $ 130,010       $ 123,447      $ 123,087   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

INSURANCE COMMISSIONS:

             

Property and casualty commissions

    $ 16,226      $ 16,527       $ 13,683       $ 13,304      $ 15,795   

Life and health commissions

      4,359        4,301         4,477         3,627        3,717   

Risk management income

      703        596         713         617        812   

Other

      724        1,517         3,676         465        501   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total insurance commissions

    $ 22,012      $ 22,941       $ 22,549       $ 18,013      $ 20,825   
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 19

October 24, 2011

 

BancorpSouth, Inc.

Selected Additional Information

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended  
     Sep-11     Jun-11     Mar-11     Dec-10     Sep-10  

MORTGAGE SERVICING RIGHTS:

           

Fair value, beginning of period

    $ 39,455      $ 42,306      $ 38,642      $ 26,901      $ 29,363   

Additions to mortgage servicing rights:

           

Originations of servicing assets

      3,127        2,380        2,431        4,725        4,314   

Changes in fair value:

           

Due to payoffs/paydowns

      (1,745 )      (1,390 )      (1,300 )      (1,881 )      (2,164 ) 

Due to change in valuation inputs or assumptions used in the valuation model

      (11,676 )      (3,839 )      2,540        8,895        (4,609 ) 

Other changes in fair value

      (2 )      (2 )      (7 )      2        (3 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fair value, end of period

    $ 29,159      $ 39,455      $ 42,306      $ 38,642      $ 26,901   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

MORTGAGE LENDING REVENUE:

           

Production revenue:

           

Origination

    $ 8,688      $ 4,066      $ 3,224      $ 7,942      $ 12,735   

Servicing

      3,290        3,166        3,117        3,170        2,936   

Payoffs/Paydowns

      (1,745 )      (1,390 )      (1,300 )      (1,881 )      (2,164 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total production revenue

      10,233        5,842        5,041        9,231        13,507   

Market value adjustment

      (11,676 )      (3,839 )      2,540        8,895        (4,609 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total mortgage lending revenue

    $ (1,443 )    $ 2,003      $ 7,581      $ 18,126      $ 8,898   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

HELD-TO-MATURITY SECURITIES, at amortized cost

           

U.S. Government agencies

    $ —        $ —        $ 1,278,185      $ 1,246,649      $ 988,666   

Obligations of states and political subdivisions

      —          —          389,018        366,370        369,222   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total held-to-maturity securities

    $ —        $ —        $ 1,667,203      $ 1,613,019      $ 1,357,888   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

AVAILABLE-FOR-SALE SECURITIES, at fair value

           

U.S. Government agencies

    $ 1,497,456      $ 1,599,231      $ 459,763      $ 433,158      $ 440,442   

Government agency issued residential mortgage-back securities

      420,689        430,402        529,302        503,229        320,471   

Government agency issued commercial mortgage-back securities

      34,475        31,627        30,938        29,994        25,982   

Obligations of states and political subdivisions

      519,431        486,653        111,380        110,165        108,958   

Collateralized debt obligations

      —          —          —          —          576   

Other

      9,504        12,911        14,080        19,516        19,448   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total available-for-sale securities

    $ 2,481,555      $ 2,560,824      $ 1,145,463      $ 1,096,062      $ 915,877   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

- MORE -

BXS Announces Third Quarter Results

Page 20

October 24, 2011

 

BancorpSouth, Inc.

Average Balances, Interest Income and Expense,

and Average Yields and Rates

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended
September 30, 2011		  

(Taxable equivalent basis)

    Average
Balance		     Interest      Yield/
Rate		  

ASSETS

        

Loans, loans held for sale, and leases net of unearned income

    $ 9,200,439      $ 115,605         4.99 % 

Available-for-sale securities:

        

Taxable

      2,123,772        13,283         2.48 % 

Tax-exempt

      405,710        6,354         6.21 % 

Short-term investments

      309,146        203         0.26 % 
  

 

 

    

 

 

     

Total interest earning assets and revenue

      12,039,067        135,445         4.46 % 

Other assets

      1,340,797        

Less: allowance for credit losses

      (205,209 )      
  

 

 

       

Total

    $ 13,174,655        
  

 

 

       

LIABILITIES AND SHAREHOLDERS’ EQUITY

        

Deposits:

        

Demand—interest bearing

    $ 4,789,462      $ 5,323         0.44 % 

Savings

      957,871        828         0.34 % 

Other time

      3,246,332        14,837         1.81 % 

Short-term borrowings

      458,199        112         0.10 % 

Junior subordinated debt

      160,312        2,861         7.08 % 

Long-term debt

      34,984        361         4.09 % 
  

 

 

    

 

 

     

Total interest bearing liabilities and expense

      9,647,160        24,322         1.00 % 

Demand deposits—noninterest bearing

      2,147,707        

Other liabilities

      127,973        
  

 

 

       

Total liabilities

      11,922,840        

Shareholders’ equity

      1,251,815        
  

 

 

       

Total

    $ 13,174,655        
  

 

 

    

 

 

     

Net interest revenue

      $ 111,123      
    

 

 

     

Net interest margin

           3.66 % 

Net interest rate spread

           3.46 % 

Interest bearing liabilities to interest earning assets

           80.13 % 

Net interest tax equivalent adjustment

      $ 3,048      

 

- MORE -

BXS Announces Third Quarter Results

Page 21

October 24, 2011

 

BancorpSouth, Inc.

Average Balances, Interest Income and Expense,

and Average Yields and Rates

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended
June 30, 2011		  

(Taxable equivalent basis)

    Average
Balance		     Interest      Yield/
Rate		  

ASSETS

        

Loans, loans held for sale, and leases net of unearned income

    $ 9,293,831      $ 118,284         5.10 % 

Held-to-maturity securities:

        

Taxable

      887,767        5,143         2.32 % 

Tax-exempt

      209,795        3,523         6.74 % 

Available-for-sale securities:

        

Taxable

      1,432,822        10,485         2.94 % 

Tax-exempt

      176,898        2,879         6.53 % 

Short-term investments

      226,638        160         0.28 % 
  

 

 

    

 

 

     

Total interest earning assets and revenue

      12,227,751        140,474         4.61 % 

Other assets

      1,350,777        

Less: allowance for credit losses

      (212,968 )      
  

 

 

       

Total

    $ 13,365,560        
  

 

 

       

LIABILITIES AND SHAREHOLDERS’ EQUITY

        

Deposits:

        

Demand—interest bearing

    $ 4,977,764      $ 6,040         0.49 % 

Savings

      941,169        810         0.35 % 

Other time

      3,418,741        16,284         1.91 % 

Short-term borrowings

      425,666        155         0.15 % 

Junior subordinated debt

      160,312        2,860         7.16 % 

Long-term debt

      89,395        1,174         5.27 % 
  

 

 

    

 

 

     

 

 

  

Total interest bearing liabilities and expense

      10,013,047        27,323         1.09 % 

Demand deposits—noninterest bearing

      2,018,197        

Other liabilities

      112,035        
  

 

 

       

Total liabilities

      12,143,279        

Shareholders’ equity

      1,222,281        
  

 

 

       

Total

    $ 13,365,560        
  

 

 

    

 

 

     

Net interest revenue

      $ 113,151      
    

 

 

     

Net interest margin

           3.71 % 

Net interest rate spread

           3.51 % 

Interest bearing liabilities to interest earning assets

           81.89 % 

Net interest tax equivalent adjustment

      $ 3,239      

 

- MORE -

BXS Announces Third Quarter Results

Page 22

October 24, 2011

 

BancorpSouth, Inc.

Average Balances, Interest Income and Expense,

and Average Yields and Rates

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended
March 31, 2011		  

(Taxable equivalent basis)

    Average
Balance		     Interest      Yield/
Rate		  

ASSETS

        

Loans, loans held for sale, and leases net of unearned income

    $ 9,339,083      $ 118,648         5.15 % 

Held-to-maturity securities:

        

Taxable

      1,322,668        8,124         2.49 % 

Tax-exempt

      330,616        5,150         6.32 % 

Available-for-sale securities:

        

Taxable

      1,014,404        8,585         3.43 % 

Tax-exempt

      70,727        1,267         7.27 % 

Short-term investments

      317,271        253         0.32 % 
  

 

 

    

 

 

     

Total interest earning assets and revenue

      12,394,769        142,026         4.65 % 

Other assets

      1,363,101        

Less: allowance for credit losses

      (218,107 )      
  

 

 

       

Total

    $ 13,539,763        
  

 

 

       

LIABILITIES AND SHAREHOLDERS' EQUITY

        

Deposits:

        

Demand—interest bearing

    $ 5,153,063      $ 6,546         0.52 % 

Savings

      897,312        826         0.37 % 

Other time

      3,553,543        17,483         2.00 % 

Short-term borrowings

      433,743        193         0.18 % 

Junior subordinated debt

      160,312        2,859         7.23 % 

Long-term debt

      110,000        1,484         5.47 % 
  

 

 

    

 

 

     

Total interest bearing liabilities and expense

      10,307,973        29,391         1.16 % 

Demand deposits—noninterest bearing

      1,893,720        

Other liabilities

      118,671        
  

 

 

       

Total liabilities

      12,320,364        

Shareholders' equity

      1,219,399        
  

 

 

       

Total

    $ 13,539,763        
  

 

 

    

 

 

     

Net interest revenue

      $ 112,635      
    

 

 

     

Net interest margin

           3.69 % 

Net interest rate spread

           3.49 % 

Interest bearing liabilities to interest earning assets

           83.16 % 

Net interest tax equivalent adjustment

      $ 3,199      

 

- MORE -

BXS Announces Third Quarter Results

Page 23

October 24, 2011

 

BancorpSouth, Inc.

Average Balances, Interest Income and Expense,

and Average Yields and Rates

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended December 31, 2010  

(Taxable equivalent basis)

    Average
Balance		     Interest      Yield/
Rate		  

ASSETS

        

Loans, loans held for sale, and leases net of unearned income

    $ 9,509,949      $ 123,491         5.15 % 

Held-to-maturity securities:

        

Taxable

      1,154,939        8,600         2.95 % 

Tax-exempt

      281,283        4,542         6.41 % 

Available-for-sale securities:

        

Taxable

      923,085        7,836         3.37 % 

Tax-exempt

      72,921        1,254         6.82 % 

Short-term investments

      568,528        391         0.27 % 
  

 

 

    

 

 

     

Total interest earning assets and revenue

      12,510,705        146,114         4.63 % 

Other assets

      1,263,611        

Less: allowance for credit losses

      (215,278 )      
  

 

 

       

Total

    $ 13,559,038        
  

 

 

       

LIABILITIES AND SHAREHOLDERS’ EQUITY

        

Deposits:

        

Demand—interest bearing

    $ 4,740,734      $ 7,462         0.62 % 

Savings

      831,805        891         0.42 % 

Other time

      3,745,046        19,827         2.10 % 

Short-term borrowings

      623,862        275         0.17 % 

Junior subordinated debt

      160,312        2,864         7.09 % 

Long-term debt

      110,000        1,485         5.36 % 
  

 

 

    

 

 

     

Total interest bearing liabilities and expense

      10,211,759        32,804         1.27 % 

Demand deposits—noninterest bearing

      1,975,318        

Other liabilities

      146,447        
  

 

 

       

Total liabilities

      12,333,524        

Shareholders’ equity

      1,225,514        
  

 

 

       

Total

    $ 13,559,038        
  

 

 

    

 

 

     

Net interest revenue

      $ 113,310      
    

 

 

     

Net interest margin

           3.59 % 

Net interest rate spread

           3.36 % 

Interest bearing liabilities to interest earning assets

           81.62 % 

Net interest tax equivalent adjustment

      $ 3,057      

 

- MORE -

BXS Announces Third Quarter Results

Page 24

October 24, 2011

 

BancorpSouth, Inc.

Average Balances, Interest Income and Expense,

and Average Yields and Rates

(Dollars in thousands)

(Unaudited)

 

     Quarter Ended
September 30, 2010		  

(Taxable equivalent basis)

    Average
Balance		     Interest      Yield/
Rate		  

ASSETS

        

Loans, loans held for sale, and leases net of unearned income

    $ 9,682,146      $ 125,211         5.13 % 

Held-to-maturity securities:

        

Taxable

      993,494        9,119         3.64 % 

Tax-exempt

      230,182        3,975         6.85 % 

Available-for-sale securities:

        

Taxable

      847,942        7,782         3.64 % 

Tax-exempt

      69,735        1,225         6.97 % 

Short-term investments

      442,927        292         0.26 % 
  

 

 

    

 

 

     

Total interest earning assets and revenue

      12,266,426        147,604         4.77 % 

Other assets

      1,265,657        

Less: allowance for credit losses

      (227,201 )      
  

 

 

       

Total

    $ 13,304,882        
  

 

 

       

LIABILITIES AND SHAREHOLDERS’ EQUITY

        

Deposits:

        

Demand—interest bearing

    $ 4,651,166      $ 8,582         0.73 % 

Savings

      786,267        881         0.44 % 

Other time

      3,829,068        21,108         2.19 % 

Short-term borrowings

      483,651        257         0.21 % 

Junior subordinated debt

      160,312        2,880         7.13 % 

Long-term debt

      110,734        1,499         5.37 % 
  

 

 

    

 

 

     

Total interest bearing liabilities and expense

      10,021,198        35,207         1.39 % 

Demand deposits—noninterest bearing

      1,911,125        

Other liabilities

      143,413        
  

 

 

       

Total liabilities

      12,075,736        

Shareholders’ equity

      1,229,146        
  

 

 

       

Total

    $ 13,304,882        
  

 

 

    

 

 

     

Net interest revenue

      $ 112,397      
    

 

 

     

Net interest margin

           3.64 % 

Net interest rate spread

           3.38 % 

Interest bearing liabilities to interest earning assets

           81.70 % 

Net interest tax equivalent adjustment

      $ 2,719      

 

- MORE -

BXS Announces Third Quarter Results

Page 25

October 24, 2011

 

BancorpSouth, Inc.

Reconciliation of Non-GAAP Measures

(Dollars in thousands)

(Unaudited)

Reconciliation of Tangible Assets and Tangible Shareholders’ Equity to

Total Assets and Total Shareholders’ Equity (a):

 

     September 30,     June 30,  
     2011     2010     2011  

Tangible assets

       

Total assets

    $ 13,198,518      $ 13,583,016      $ 13,367,050   

Less:    Goodwill

      271,297        270,097        271,297   

   Other identifiable intangible assets

      17,426        20,573        18,249   
  

 

 

    

 

 

    

 

 

  

Total tangible assets

    $ 12,909,795      $ 13,292,346      $ 13,077,504   

Tangible shareholders’ equity

       

Total shareholders’ equity

    $ 1,266,753      $ 1,235,705      $ 1,246,703   

Less:    Goodwill

      271,297        270,097        271,297   

   Other identifiable intangible assets

      17,426        20,573        18,249   
  

 

 

    

 

 

    

 

 

  

Total tangible shareholders’ equity

    $ 978,030      $ 945,035      $ 957,157   

Tangible shareholders’ equity to tangible assets

      7.58 %      7.11 %      7.32 % 

 

(a) BancorpSouth, Inc. utilizes the ratio of tangible shareholders' equity to tangible assets when evaluating the performance of the Company. Tangible shareholders' equity is defined by the Company as total shareholders' equity less goodwill and other identifiable intangible assets. Tangible assets are defined by the Company as total assets less goodwill and other identifiable intangible assets. Management believes the ratio of tangible shareholders' equity to tangible assets is important to investors who are interested in evaluating the adequacy of the Company's capital levels.

 

- END -