PARENT COMPANY ONLY FINANCIAL INFORMATION

12 Months Ended

Dec. 31, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

PARENT COMPANY ONLY FINANCIAL INFORMATION

PARENT COMPANY ONLY FINANCIAL INFORMATION

Condensed balance sheets of First Banks, Inc. as of December 31, 2012 and 2011 and condensed statements of operations and cash flows for the years ended December 31, 2012, 2011 and 2010 are shown below:

CONDENSED BALANCE SHEETS

	December 31,
	2012		2011
	(dollars expressed in thousands)
Assets
Cash deposited in First Bank (unrestricted cash)	$	2,744	2,801
Cash deposited in unaffiliated financial institution (restricted cash)	—		2,008
Total cash	2,744		4,809
Investment in common securities - TRuPS	10,678		10,678
Investment in subsidiaries	657,838		586,899
Other assets	3,583		3,067
Total assets	$	674,843	605,453
Liabilities and Stockholders’ Equity
Subordinated debentures	$	354,133	354,057
Derivative instruments	—		807
Accrued interest payable	47,878		33,179
Dividends payable	61,931		43,045
Accrued expenses and other liabilities	4,597		4,646
Total liabilities	468,539		435,734
First Banks, Inc. stockholders’ equity	206,304		169,719
Total liabilities and stockholders’ equity	$	674,843	605,453

CONDENSED STATEMENTS OF OPERATIONS

	Years Ended December 31,
	2012			2011		2010
	(dollars expressed in thousands)
Income:
Management fees from subsidiaries	$	3		28		193
Net loss on derivative instruments	(43		)	(194	)	(2,929	)
Other	578			509		3,123
Total income	538			343		387
Expense:
Interest	14,847			13,623		13,012
Other	1,506			(374	)	809
Total expense	16,353			13,249		13,821
Loss before benefit for income taxes and equity in undistributed earnings (losses) of subsidiaries	(15,815		)	(12,906	)	(13,434	)
Benefit for income taxes	(348		)	(46	)	(171	)
Loss before equity in undistributed earnings (losses) of subsidiaries	(15,467		)	(12,860	)	(13,263	)
Equity in undistributed earnings (losses) of subsidiaries	41,745			(28,290	)	(178,474	)
Net income (loss) attributable to First Banks, Inc.	$	26,278		(41,150	)	(191,737	)

CONDENSEDSTATEMENTSOFCASHFLOWS

	Years Ended December 31,
	2012			2011		2010
	(dollars expressed in thousands)
Cash flows from operating activities:
Net income (loss) attributable to First Banks, Inc.	$	26,278		(41,150	)	(191,737	)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Net (income) loss of subsidiaries	(41,745		)	28,290		178,474
Other, net	15,410			12,042		6,012
Net cash used in operating activities	(57		)	(818	)	(7,251	)
Cash flows from investing activities:
Decrease in available-for-sale investment securities	—			—		3,570
Net cash provided by investing activities	—			—		3,570
Cash flows from financing activities:
Capital contributions to subsidiaries	—			—		(100	)
Payment of preferred stock dividends	—			—		—
Net cash used in financing activities	—			—		(100	)
Net decrease in unrestricted cash	(57		)	(818	)	(3,781	)
Unrestricted cash, beginning of year	2,801			3,619		7,400
Unrestricted cash, end of year	$	2,744		2,801		3,619
Noncash investing activities:
Cash paid for interest	$	—		—		—

The parent company’s unrestricted cash was $2.7 million and $2.8 million at December 31, 2012 and 2011, respectively. The parent company’s restricted cash of $2.0 million at December 31, 2011 was returned in February 2012, thereby increasing the parent company’s unrestricted cash. On March 24, 2011, the Company entered into a Credit Agreement that provided for a $5.0 million secured revolving line of credit to be utilized for general working capital needs, as further described in Note 11 and Note 20 to the consolidated financial statements. There were no balances outstanding under the Credit Agreement during the period from its inception in March 2011 to its maturity date on December 31, 2012. On March 20, 2013, the Company entered into a New Credit Agreement that provides for a $5.0 million secured revolving line of credit to be utilized for general working capital needs, as further described in Note 25 to the consolidated financial statements. This borrowing arrangement is intended to supplement, on a contingent basis, the parent company’s overall level of unrestricted cash to cover the parent company’s projected operating expenses should the parent company's existing cash resources become insufficient in the future.

The Company’s obligations related to interest payments on its outstanding junior subordinated debentures relating to its $345.0 million of trust preferred securities and dividends on Class C Preferred Stock and Class D Preferred Stock have been deferred. The Company has until September 2014 to pay the cumulative deferred interest payments on its outstanding junior subordinated debentures without triggering a payment default or penalty. Such payment default or penalty would likely have a material adverse effect on the Company’s business, financial condition and/or results of operations.