-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, N1zvucENGRusRMZgt87soLMqcHZXnKCO34thOQKp/JZTxLH+DJCFUHoKdff9GAYD MlL+bnuGaDiMSf09NxrSHw== 0000712534-08-000168.txt : 20081022 0000712534-08-000168.hdr.sgml : 20081022 20081022112540 ACCESSION NUMBER: 0000712534-08-000168 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20080930 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20081022 DATE AS OF CHANGE: 20081022 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIRST MERCHANTS CORP CENTRAL INDEX KEY: 0000712534 STANDARD INDUSTRIAL CLASSIFICATION: NATIONAL COMMERCIAL BANKS [6021] IRS NUMBER: 351544218 STATE OF INCORPORATION: IN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-17071 FILM NUMBER: 081134743 BUSINESS ADDRESS: STREET 1: 200 E JACKSON ST STREET 2: PO BOX 792 CITY: MUNCIE STATE: IN ZIP: 47308-0792 BUSINESS PHONE: 7657471500 MAIL ADDRESS: STREET 1: 200 EAST JACKSON STREET CITY: MUNCIE STATE: IN ZIP: 47305 8-K 1 f8k3rdqtrrelease102208.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ------------------------------ DATE OF REPORT (Date of earliest event reported): October 22, 2008 ------------------------------ FIRST MERCHANTS CORPORATION (Exact name of registrant as specified in its charter) ------------------------------- INDIANA 0-17071 35-1544218 (State or other jurisdiction (Commission file number) (IRS Employer of incorporation) Identification No.) 200 East Jackson Street P.O. Box 792 Muncie, IN 47305-2814 (Address of principal executive offices, including zip code) (765) 747-1500 (Registrant's telephone number, including area code) Not Applicable (Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION. On October 22, 2008 First Merchants Corporation issued a press release to report its financial results for the second quarter ended September 30, 2008. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K. The information in this Current Report on Form 8-K, including Exhibit No. 99.1 hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liability of that section. The information in this Current Report shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing or document. ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS. (a) Not applicable. (b) Not applicable. (c) Exhibits. Exhibit 99.1 Press Release, dated October 22, 2008, issued by First Merchants Corporation SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. First Merchants Corporation (Registrant) By: /s/ Mark K. Hardwick -------------------------------------------- Mark K. Hardwick Executive Vice President and Chief Financial Officer (Principal Financial and Principal Accounting Officer) Dated: October 22, 2008 EXHIBIT INDEX ------------- Exhibit No. Description - ----------- ----------- 99.1 Press Release, dated October 22, 2008, issued by First Merchants Corporation. First Merchants Corporation Exhibit No. 99.1 Press Release, dated October 22, 2008 N / E / W / S R / E / L / E / A / S / E October 22, 2008 FOR IMMEDIATE RELEASE For more information, contact: Mark K. Hardwick, Executive Vice President/Chief Financial Officer, 765-751-1857 http://www.firstmerchants.com SOURCE: First Merchants Corporation, Muncie, Indiana FIRST MERCHANTS CORPORATION ANNOUNCES 3rd QUARTER YEAR-TO-DATE NET INCOME OF $20.4 MILLION. First Merchants Corporation (NASDAQ - FRME) has reported third quarter 2008 diluted earnings per share of $.32, a decline from 2007 third quarter earnings per share of $.46. Net Income for the quarter totaled $5.7 million, a decrease from the 3rd quarter 2007 total of $8.3 million. Year-to-date diluted earnings per share totaled $1.13, a decrease of 7.4 percent, from 2007 earnings per share of $1.22. Net Income totaled $20.4 million, a decline of $1.9 million from the prior year total of $22.3 million. Total assets reached $3.8 billion at quarter-end, an increase of $110 million, or 2.9 percent, from September 30, 2007. Loans and investments, the Corporation's primary earning assets, totaled $3.47 billion, an increase of $122 million, or 3.6 percent, over the prior year. Loans accounted for $208 million of the increase as investment securities declined by $86 million as spreads between investment securities and borrowings remain below historical levels. At September 30, 2008, the Corporation's tangible capital was 5.9%, tier 1 capital was 7.3%, tier 1 risk based capital was 8.5% and total risk based capital was 11.2%. Net-Interest margin expanded by 39 basis points from 3.52 percent in the third quarter of 2007 to 3.91 percent in 2008. As a result, net-interest income increased by $4.7 million, or 16.5 percent. Year-to-date net interest margin improved by 32 basis points as net interest income increased by $13 million or 15.6 percent. Provision expense totaled $7.1 million for the quarter, an increase of $4.3 million, as net charge-offs totaled $3.7 million. Year-to-date provision expense totaled $18 million, an increase of $12 million over the prior year, as charge-off's totaled $11.2 million. Non-performing assets increased from 84 basis points of total assets to 142 basis points during the year. The Corporation's allowance for loan losses as a percent of total loans increased from .96 to 1.14 percent since September 30, 2007. The increase totals $7.4 million in additional reserves. The increased allowance for loan losses total is comprised of a $2.0 million increase in the general historical loss component, a $6.3 increase in environmental factors and a decline in specific reserves of $924,000. Total non-interest income decreased by $1.6 million, during the quarter, due primarily to a $1.5 million write-off of FHLMC preferred stock. Total expenses increased during the quarter by $2.1 million totaling $27.1 million. Year-to-date non-interest income declined by $337,000 and non-interest expense increased $2,857,000. Michael C. Rechin, President and Chief Executive Officer, stated that, "First Merchants has the people, strategies, capital, liquidity, and commitment to weather the current environment. While our short-term earnings have been impacted by credit costs, the strengthening of our balance sheet by building our loan loss reserve is prudent for the future and warranted by the economic trends we see in the Midwest. The volatility in our local markets and the capital markets does create opportunity and we have been successful in the strategic building of relationships and revenues." Rechin continued, "First Merchants exceeds the Federal Reserve's capital adequacy requirements and continues to meet their definition of "well capitalized". Despite prudent provisioning, the Corporation's earnings and liquidity remain strong." Rechin also added that, "We look forward to the conclusion of our announced acquisition of Lincoln Bancorp. All required applications for approval have been filed and, at this time, no delays are expected in completing the transaction by our announced target date of December 31, 2008." CONFERENCE CALL First Merchants Corporation will conduct a conference call at 2:30 p.m. Eastern Daylight Time on Wednesday, October 22, 2008. To participate, dial (Toll Free) 800-860-2442 and reference First Merchants Corporation's third quarter earnings. A replay will be available until October 29, 2008. To access replay, US/Canada participants should dial (Toll Free) 877-344-7529, or for International participants, dial 412-317-0088. The replay will require the passcode is 420850. During the call, we may make Forward-Looking Statements about our relative business outlook. These Forward-Looking Statements and all other statements made during the call that do not concern historical facts are subject to risks and uncertainties that may materially affect actual results. Specific Forward-Looking Statements include, but are not limited to, any indications regarding the Financial Services industry, the economy and future growth of the balance sheet or income statement. Detailed financial results are reported on the attached pages: First Merchants Corporation is a financial holding company headquartered in Muncie, Indiana. Subsidiaries of the Corporation include First Merchants Bank, N.A., and First Merchants Bank of Central Indiana, N.A., Lafayette Bank & Trust Company, N.A., Commerce National Bank and First Merchants Trust Company, N.A. The Corporation also operates First Merchants Insurance Services, a full-service property casualty, personal lines, and healthcare insurance agency and is a majority member of Indiana Title Insurance Company, LLC, a title insurance agency. First Merchants Corporation's common stock is traded over-the-counter on the NASDAQ National Market System under the symbol FRME. Quotations are carried in daily newspapers and can be found on the company's Internet web page (http://www.firstmerchants.com). * * * * CONSOLIDATED BALANCE SHEETS (in thousands) September 30, 2008 2007 Assets Cash and due from banks $ 69,846 $ 83,845 Federal funds sold 7,818 1,800 ----------- ----------- Cash and cash equivalents 77,664 85,645 Interest-bearing time deposits 15,623 22,295 Investment securities 388,808 474,613 Mortgage loans held for sale 2,062 4,328 Loans 3,078,768 2,869,001 Less: Allowance for loan losses (34,985) (27,635) ----------- ----------- Net loans 3,043,783 2,841,366 Premises and equipment 44,402 44,255 Federal Reserve and Federal Home Loan Bank stock 25,494 25,050 Interest receivable 21,569 25,954 Core deposit intangibles and goodwill 135,701 136,266 Cash surrender value of life insurance 73,448 70,082 Other real estate owned 16,916 2,081 Other assets 18,604 22,365 ----------- ----------- Total assets $ 3,864,074 $ 3,754,300 =========== =========== Liabilities Deposits Noninterest-bearing 384,928 355,339 Interest-bearing 2,529,355 2,403,836 ----------- ----------- Total deposits 2,914,283 2,759,175 Borrowings Fed funds purchased 57,600 95,697 Securities sold under repurchase agreements 100,227 103,846 Federal Home Loan Bank advances 237,225 310,100 Subordinated debentures, revolving credit lines and term loans 176,256 110,826 ----------- ----------- Total borrowings 571,308 620,469 Interest payable 6,529 9,170 Other liabilities 19,861 32,745 ----------- ----------- Total liabilities 3,511,981 3,421,559 Stockholders' equity Preferred stock, no-par value Authorized and unissued - 500,000 shares Cumulative Preferred Stock, $1,000 par value: Authorized - 600 shares Issued and outstanding - 125 shares 125 Common stock, $.125 stated value Authorized - 50,000,000 shares Issued and outstanding - 18,125,090 and 18,153,828 shares 2,266 2,269 Additional paid-in capital 141,777 140,642 Retained earnings 210,605 197,609 Accumulated other comprehensive loss (2,680) (7,779) ----------- ----------- Total stockholders' equity 352,093 332,741 ----------- ----------- Total liabilities and stockholders' equity $ 3,864,074 $ 3,754,300 =========== ===========
FINANCIAL HIGHLIGHTS Three Months Ended Nine Months Ended (in thousands) September 30, September 30, 2008 2007 2008 2007 NET CHARGE OFF'S $ 3,706 $ 2,783 $ 11,230 $ 4,962 AVERAGE BALANCES Total Assets $ 3,844,905 $ 3,696,382 $ 3,791,362 $ 3,607,367 Total Loans 3,045,672 2,835,639 2,975,957 2,768,146 Total Deposits 2,929,774 2,776,346 2,867,237 2,732,117 Total Stockholders' Equity 349,652 329,474 348,396 329,147 FINANCIAL RATIOS Return on Average Assets .60% .90% .72% .83% Return on Avg. Stockholders' Equity 6.58 10.14 7.81 9.05 Avg. Earning Assets to Avg. Assets 91.02 90.88 90.78 90.98 Allowance for Loan Losses as % of Total Loans 1.14 .96 1.14 .96 Net Charge Off's as % of Avg. Loans (Annualized) .49 .39 .50 .24 Dividend Payout Ratio 71.88 50.00 61.06 56.56 Avg. Stockholders' Equity to Avg. Assets 9.09 8.91 9.19 9.12 Tax Equivalent Yield on Earning Assets 6.39 7.17 6.52 7.09 Cost of Supporting Liabilities 2.48 3.65 2.69 3.58 Net Int. Margin (FTE) on Earning Assets 3.91 3.52 3.83 3.51 CONSOLIDATED STATEMENTS OF INCOME (in thousands, except share data) Three Months Ended Nine Months Ended September 30, September 30, 2008 2007 2008 2007 Interest income Loans receivable Taxable $ 49,828 $ 53,081 $149,952 $153,930 Tax exempt 321 368 664 818 Investment securities Taxable 2,943 3,581 9,139 10,257 Tax exempt 1,379 1,613 4,344 4,925 Federal funds sold 10 41 21 133 Deposits with financial institutions 146 145 561 388 Federal Reserve and Federal Home Loan Bank stock 351 328 1,056 955 ----------- ----------- ----------- ----------- Total interest income 54,978 59,157 165,737 171,406 ----------- ----------- ----------- ----------- Interest expense Deposits 16,213 23,327 51,943 67,523 Federal funds purchased 502 996 1,748 2,897 Securities sold under repurchase agreements 650 1,195 2,098 2,674 Federal Home Loan Bank advances 2,724 3,302 8,585 9,247 Subordinated debentures, revolving credit lines and term loans 1,635 1,802 5,127 5,840 ----------- ----------- ----------- ----------- Total interest expense 21,724 30,622 69,501 88,181 ----------- ----------- ----------- ----------- Net interest income 33,254 28,535 96,236 83,225 Provision for loan losses 7,094 2,810 17,987 6,057 ----------- ----------- ----------- ----------- Net interest income After provision for loan losses 26,160 25,725 78,249 77,168 ----------- ----------- ----------- ----------- Other income Services charges on deposit accounts 3,568 3,241 9,656 9,215 Fiduciary activities 1,932 1,985 6,200 6,278 Other customer fees 1,696 1,767 5,142 4,793 Commission income 1,457 1,175 4,553 4,082 Earnings on cash surrender value of life insurance 519 998 1,863 2,465 Net gains and fees on sales of loans 648 749 1,959 1,892 Net realized gains (losses) on sale of available-for-sale securities (1,255) (1,169) Other income 655 933 1,877 1,693 ----------- ----------- ----------- ----------- Total other income 9,220 10,848 30,081 30,418 ----------- ----------- ----------- ----------- Other expenses Salaries and employee benefits 15,330 14,583 47,126 44,105 Net occupancy 1,857 1,818 5,412 5,028 Equipment 1,649 1,645 4,946 5,150 Marketing 605 560 1,701 1,700 Outside data processing fees 1,068 972 2,959 2,959 Printing and office supplies 281 394 853 1,081 Core deposit amortization 809 789 2,407 2,370 Write-off of unamortized underwriting expense 1,771 Other expenses 5,516 4,241 14,388 12,771 ----------- ----------- ----------- ----------- Total other expenses 27,115 25,002 79,792 76,935 ----------- ----------- ----------- ----------- Income before income tax 8,265 11,571 28,538 30,651 Income tax expense 2,516 3,221 8,121 8,322 ----------- ----------- ----------- ----------- Net income $ 5,749 $ 8,350 $ 20,417 $ 22,329 =========== =========== =========== =========== Per Share Data Basic Net Income .32 .46 1.13 1.22 Diluted Net Income .32 .46 1.13 1.22 Cash Dividends Paid .23 .23 .69 .69 Average Diluted Shares Outstanding (in thousands) 18,196 18,276 18,129 18,375
CONSOLIDATED BALANCE SHEETS (in thousands) September 30, June 30, March 31, December 31, September 30, 2008 2008 2008 2007 2007 Assets Cash and due from banks $ 69,846 $ 80,996 $ 89,961 $ 134,188 $ 83,845 Federal funds sold 7,818 495 1,800 ----------- ----------- ----------- ----------- ----------- Cash and cash equivalents 77,664 80,996 89,961 134,683 85,645 Interest-bearing time deposits 15,623 7,267 21,280 24,931 22,295 Investment securities 388,808 408,324 426,055 451,167 474,613 Mortgage loans held for sale 2,062 3,234 3,494 3,735 4,328 Loans 3,078,768 3,018,596 2,937,710 2,876,843 2,869,001 Less: Allowance for loan losses (34,985) (31,597) (29,094) (28,228) (27,635) ----------- ----------- ----------- ----------- ----------- Net loans 3,043,783 2,986,999 2,908,616 2,848,615 2,841,366 Premises and equipment 44,402 44,232 44,526 44,445 44,255 Federal Reserve and Federal Home Loan Bank Stock 25,494 25,455 25,345 25,250 25,050 Interest receivable 21,569 19,680 21,212 23,402 25,954 Core deposit intangibles and goodwill 135,701 136,230 135,056 135,856 136,266 Cash surrender value of life insurance 73,448 72,948 71,663 70,970 70,082 Other real estate owned 16,916 17,243 7,372 2,573 2,081 Other assets 18,604 19,852 12,578 16,460 22,365 ----------- ----------- ----------- ----------- ----------- Total assets $ 3,864,074 $ 3,822,460 $ 3,767,158 $ 3,782,087 $ 3,754,300 =========== =========== =========== =========== =========== Liabilities Deposits Noninterest-bearing 384,928 403,152 380,364 370,397 355,339 Interest-bearing 2,529,355 2,460,483 2,432,763 2,473,724 2,403,836 ----------- ----------- ----------- ----------- ----------- Total deposits 2,914,283 2,863,635 2,813,127 2,844,121 2,759,175 Borrowings Fed funds purchased 57,600 151,356 111,144 52,350 95,697 Securities sold under repurchase agreements 100,227 90,872 103,024 106,497 103,846 Federal Home Loan Bank advances 237,225 228,196 244,468 294,101 310,100 Subordinated debentures, revolving credit, lines and term loans 176,256 115,826 115,826 115,826 110,826 ----------- ----------- ----------- ----------- ----------- Total borrowings 571,308 586,250 574,462 568,774 620,469 Interest payable 6,529 6,658 7,621 8,325 9,170 Other liabilities 19,861 18,525 23,107 20,931 32,745 ----------- ----------- ----------- ----------- ----------- Total liabilities 3,511,981 3,475,068 3,418,317 3,442,151 3,421,559 Stockholders' equity Preferred stock, no-par value Authorized and unissued - 500,000 shares Cumulative Preferred Stock, $1,000 par value: Authorized - 600 shares 125 125 125 Issued and outstanding Common stock, $.125 stated value Authorized - 50,000,000 shares Issued and outstanding 2,266 2,258 2,247 2,250 2,269 Additional paid-in capital 141,777 140,258 137,633 137,801 140,642 Retained earnings 210,605 209,059 206,710 202,750 197,609 Accumulated other comprehensive loss (2,680) (4,308) 2,126 (2,865) (7,779) ----------- ----------- ----------- ----------- ----------- Total stockholders' equity 352,093 347,392 348,841 339,936 332,741 ----------- ----------- ----------- ----------- ----------- Total liabilities and stockholders' equity $ 3,864,074 $ 3,822,460 $ 3,767,158 $ 3,782,087 $ 3,754,300 =========== =========== =========== =========== =========== NON PERFORMING ASSETS September 30, June 30, March 31, December 31, September 30, 2008 2008 2008 2007 2007 Non Accrual Loans 37,879 34,410 27,465 29,031 30,165 Renegotiated Loans 135 136 142 145 58 ----------- ----------- ----------- ----------- ----------- Non Performing Loans (NPL) 38,014 34,546 27,607 29,176 30,223 Real Estate Owned and Repossessed Assets 16,916 17,243 7,372 2,573 2,081 ----------- ----------- ----------- ----------- ----------- Non Performing Assets (NPA) 54,930 51,789 34,979 31,749 32,304 90+ Days Delinquent 8,056 3,538 4,996 3,578 3,132 ----------- ----------- ----------- ----------- ----------- NPAs & 90 Day Delinquent 62,986 55,327 39,975 35,327 35,436 Loan Loss Reserve 34,985 31,597 29,094 28,228 27,635 YTD Charge-offs 11,230 7,524 2,957 6,819 4,962 NPAs / Actual Assets % 1.42% 1.35% 0.93% 0.84% 0.86% NPAs & 90 Day / Actual Assets % 1.63% 1.45% 1.06% 0.93% 0.94% NPAs / Actual Loans & REO (%) 1.77% 1.70% 1.19% 1.10% 1.12% Loan Loss Reserves / Actual Loans (%) 1.14% 1.05% 0.99% 0.98% 0.96% NCOs / YTD Average Loans (%) 0.38% 0.26% 0.10% 0.24% 0.18% CONSOLIDATED STATEMENTS OF INCOME September 30, June 30, March 31, December 31, September 30, (in thousands, except share data) 2008 2008 2008 2007 2007 Loans receivable Taxable $ 49,828 $ 49,023 $ 51,101 $ 53,338 $ 53,081 Tax exempt 321 178 165 302 368 Investment securities Taxable 2,943 2,947 3,249 3,487 3,581 Tax exempt 1,379 1,452 1,513 1,623 1,613 Federal funds sold 10 3 8 39 41 Deposits with financial institutions 146 133 282 194 145 Federal Reserve and Federal Home Loan Bank stock 351 370 335 344 328 ----------- ----------- ----------- ----------- ----------- Total interest income 54,978 54,106 56,653 59,327 59,157 ----------- ----------- ----------- ----------- ----------- Interest expense Deposits 16,213 16,297 19,433 22,398 23,327 Federal funds purchased 502 577 669 692 996 Securities sold under repurchase agreements 650 632 816 1,182 1,195 Federal Home Loan Bank advances 2,724 2,825 3,036 3,250 3,302 Subordinated debentures, revolving credit lines and term loans 1,635 1,602 1,890 1,910 1,802 ---------- ----------- ----------- ----------- ----------- Total interest expense 21,724 21,933 25,844 29,432 30,622 ---------- ----------- ----------- ----------- ----------- Net interest income 33,254 32,173 30,809 29,895 28,535 Provision for loan losses 7,094 7,070 3,823 2,450 2,810 ---------- ----------- ----------- ----------- ----------- Net interest income After provision for loan losses 26,160 25,103 26,986 27,445 25,725 Other income Service charges on deposit accounts 3,568 3,157 2,931 3,206 3,241 Fiduciary activities 1,932 2,126 2,142 2,094 1,985 Other customer fees 1,696 1,767 1,679 1,686 1,767 Commission income 1,457 1,427 1,669 1,031 1,175 Earnings on cash surrender value of life insurance 519 606 738 1,186 998 Net gains and fees on sales of loans 648 668 643 546 749 Net realized gains (losses) on sales of available-for-sale securities (1,255) 13 73 1 Other income 655 570 652 383 933 ----------- ----------- ----------- ----------- ----------- Total other income 9,220 10,334 10,527 10,133 10,848 ----------- ----------- ----------- ----------- ----------- Other expenses Salaries and employee benefits 15,330 15,698 16,098 14,738 14,583 Net occupancy 1,857 1,750 1,805 1,619 1,818 Equipment 1,649 1,643 1,654 1,619 1,645 Marketing 605 612 484 505 560 Outside data processing fees 1,068 1,009 882 872 972 Printing and office supplies 281 291 281 329 394 Core deposit amortization 809 808 790 789 789 Other expenses 5,516 4,593 4,279 4,776 4,241 ----------- ----------- ----------- ----------- ----------- Total other expenses 27,115 26,404 26,273 25,247 25,002 ----------- ----------- ----------- ----------- ----------- Income before income tax 8,265 9,033 11,240 12,331 11,571 Income tax expense 2,516 2,491 3,114 3,021 3,221 ----------- ----------- ----------- ----------- ----------- Net income $ 5,749 $ 6,542 $ 8,126 $ 9,310 $ 8,350 =========== =========== =========== =========== =========== Per Share Data Basic Net Income .32 .37 .45 .51 .46 Diluted Net Income .32 .36 .45 .51 .46 Cash Dividends Paid .23 .23 .23 .23 .23 Average Diluted Shares Outstanding (in thousands) 18,196 18,159 18,055 18,138 18,276 FINANCIAL RATIOS Return on Average Assets .60% .69% .86% 1.00% .90% Return on Average Stockholders' Equity 6.58 7.46 9.43 11.10 10.14 Avg. Earning Assets to Avg. Assets 91.02 90.94 90.38 90.70 90.88 Allowance for Loan Losses as % of Total Loans 1.14 1.05 .99 .98 .96 Net Charge Off's as % of Average Loans (Annualized) .49 .61 .41 .26 .39 Dividend Payout Ratio 71.88 63.85 51.10 45.10 50.00 Average Stockholders' Equity to Average Assets 9.09 9.30 9.17 8.98 8.91 Tax Equivalent Yield on Earning Assets 6.39 6.41 6.78 7.13 7.17 Cost of Supporting Liabilities 2.48 2.56 3.04 3.47 3.65 Net Interest Margin (FTE) on Earning Assets 3.91 3.85 3.74 3.66 3.52 LOANS September 30, June 30, March 31, December 31, September 30, (in thousands, except share data) 2008 2008 2008 2007 2007 Commercial and industrial loans $ 851,233 $ 815,137 $ 724,643 $ 662,701 $626,301 Agricultural production financing and other loans to farmers 136,176 125,125 123,314 114,324 113,132 Real estate loans: Construction 167,512 181,598 178,171 165,425 160,624 Commercial and farmland 966,259 954,672 961,431 947,234 912,063 Residential 731,065 718,065 728,956 744,627 769,890 Individuals' loans for household and other personal expenditures 145,345 161,387 174,857 187,880 194,181 Tax exempt loans 34,010 22,553 11,646 16,423 28,726 Lease financing receivables, net of unearned income 9,262 9,158 8,438 8,351 8,932 Other loans 37,906 30,901 26,254 29,878 55,152 ----------- ----------- ----------- ----------- ----------- 3,078,768 3,018,596 2,937,710 2,876,843 2,869,001 Allowance for loan losses (34,985) (31,597) (29,094) (28,228) (27,635) ----------- ----------- ----------- ----------- ----------- Total loans $ 3,043,783 $ 2,986,999 $ 2,908,616 $ 2,848,615 $ 2,841,366 =========== =========== =========== =========== =========== DEPOSITS September 30, June 30, March 31, December 31, September 30, 2008 2008 2008 2007 2007 (in thousands) Demand deposits $921,034 $932,017 $881,498 $903,380 $825,185 Savings deposits 540,596 546,951 562,942 552,379 508,139 Certificates and other time deposits of $100,000 or more 469,426 444,967 459,038 470,733 472,842 Other certificates and time deposits 983,227 939,700 909,649 917,629 953,009 ----------- ----------- ----------- ----------- ----------- Total deposits $ 2,914,283 $ 2,863,635 $ 2,813,127 $ 2,844,121 $ 2,759,175 =========== =========== =========== =========== ===========
-----END PRIVACY-ENHANCED MESSAGE-----