-----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, GMnaV0cRFN3IONg1XEkrb5GioRM0hUaMC9ufcCzOseVqKzcSfkFhIbnEPc27SWcb mV4jpWZwYZz5B+OmiSM4DQ== 0000950144-04-000385.txt : 20040120 0000950144-04-000385.hdr.sgml : 20040119 20040120165827 ACCESSION NUMBER: 0000950144-04-000385 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20040116 ITEM INFORMATION: ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20040120 FILER: COMPANY DATA: COMPANY CONFORMED NAME: POPULAR INC CENTRAL INDEX KEY: 0000763901 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 660416582 STATE OF INCORPORATION: PR FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-13818 FILM NUMBER: 04533081 BUSINESS ADDRESS: STREET 1: 209 MUNOZ RIVERA AVE STREET 2: POPULAR CENTER BUILDING CITY: HATO REY STATE: PR ZIP: 00918 BUSINESS PHONE: 7877659800 MAIL ADDRESS: STREET 1: P.O. BOX 362708 CITY: SAN JUAN STATE: PR ZIP: 00936-2708 FORMER COMPANY: FORMER CONFORMED NAME: BANPONCE CORP DATE OF NAME CHANGE: 19920703 8-K 1 g86767e8vk.txt POPULAR, INC SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): January 16, 2004 - ------------------------------------------------ ---------------- POPULAR, INC. --------------------------------- (Exact name of registrant as specified in its charter)
COMMONWEALTH OF PUERTO RICO NO. 0-13818 NO. 66-0416582 - ---------------------------- ----------- ------------- (State or other jurisdiction of incorporation) (Commission (IRS Employer File Number) Identification No.)
209 MUNOZ RIVERA AVENUE HATO REY, PUERTO RICO 00918 - --------------------------------------------- ----------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (787) 765-9800 -------------- ---------------------------------------------------------------------------- (Former name or former address, if changed since last report) Item 5. Other Events and Regulation FD Disclosure On January 16, 2004, the Corporation issued a news release announcing its unaudited operational results for the quarter and year ended December 31, 2003, a copy of which is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference. This information is furnished under both, Item 5. Other Events and Regulation FD Disclosure and Item 12. Results of Operations and Financial Condition in accordance with SEC Release No. 33-8176. The information in this Form 8-K, including Item 12 and Exhibit 99.1, shall be deemed to be filed for purposes of the Securities Exchange Act of 1934, as amended. Item 7. Financial Statements and Exhibits EXHIBIT 99.1 News release dated January 16, 2004, announcing Popular, Inc.'s (the "Corporation") consolidated earnings for the quarter and year ended December 31, 2003. Item 9. Regulation FD Disclosure On January 16, 2004, the U.S. District Court for the District of Puerto Rico approved a request filed by the U.S. Department of Justice to dismiss the one-count information filed against Banco Popular de Puerto Rico ("Banco Popular") on January 16, 2003, and proceeded to dismiss it,effective immediately. The United States noted that the period of twelve months had expired and Banco Popular was in full compliance with all of its obligations under the Deferred Prosecution Agreement. The course of action taken by the Court follows the terms of a Deferred Prosecution Agreement among Banco Popular, the U.S. Department of Justice, the Federal Reserve system, and the Financial Crimes Enforcement Network of the U.S. Department of Treasury (FinCEN), approved on January 16, 2003. The Agreement stipulated the U.S. Department of Justice would request the dismissal of one-count information within 30 days after the 12-month period following the settlement, provided Banco Popular complied with its obligations under the Agreement over the course of one year. Item 12. Results of Operations and Financial Condition On January 16, 2004, the Corporation issued a news release announcing its unaudited operational results for the quarter and year ended December 31, 2003, a copy of which is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference. This information is furnished under both, Item 5. Other Events and Regulation FD Disclosure and Item 12. Results of Operations and Financial Condition in accordance with SEC Release No. 33-8176. The information in this Form 8-K, including this Item 12 and Exhibit 99.1, shall be deemed to be filed for purposes of the Securities Exchange Act of 1934, as amended. SIGNATURE 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. POPULAR, INC. -------------- (Registrant) Date: January 16, 2004 By: S/Amilcar L. Jordan ---------------- ------------------- Name: Amilcar L. Jordan Title: Senior Vice President and Comptroller EXHIBIT INDEX
Exhibit Number Description - -------------- ----------- 99.1 News release, dated January 16, 2004
EX-99.1 3 g86767exv99w1.txt EX-99.1 PRESS RELEASE DATED JANUARY 16, 2004 . . . [POPULAR, INC. LOGO] EXHIBIT 99.1 News Release For additional information contact:
INVESTORS: MEDIA: - ---------- ------ Jorge A. Junquera Olga Mayoral Wilson, APR Chief Financial Officer Senior Vice President and Manager Senior Executive Vice President Public Relations and Communications Telephone (787) 754-1685 Telephone: (787) 764-2004 Or visit our web site at www.popularinc.com
POPULAR, INC. REPORTS EARNINGS FOR THE QUARTER AND YEAR ENDED DECEMBER 31, 2003 San Juan, PR - January 16, 2004 - Popular, Inc.'s (the Corporation) (NASDAQ: BPOP, BPOPO) net income for year ended December 31, 2003 reached $470.9 million, an increase of $119.0 million or 34%, from $351.9 million in 2002. Earnings per common share (EPS), basic and diluted, for the year were $3.47, compared with $2.61 in 2002, an increase of 33%. Net income for 2003 represented a return on assets (ROA) of 1.36% and a return on common equity (ROE) of 19.30%. In 2002, the Corporation reported ROA and ROE of 1.11% and 16.29%, respectively. Net income for the quarter ended December 31, 2003 was $106.3 million, or $0.78 per common share, basic and diluted, compared with $80.8 million or $0.61, respectively, for the same quarter of 2002. The Corporation's ROA and ROE for the fourth quarter of 2003 were 1.18% and 16.38%, respectively, compared with 0.96% and 14.64%, respectively, for the same period in 2002. The Corporation's results of operations for the quarter ended December 31, 2003, compared with the same quarter of 2002, reflected an improvement of $23.0 million in net interest income and $1.6 million in non-interest income. Operating expenses increased $0.6 million, while the provision for loan losses decreased $0.3 million. Operating expenses for the quarter ended December 31, 2002 included the $21.6 million forfeiture discussed in prior releases and regulatory filings. The Corporation's net income for the year ended December 31, 2003, when compared with the same period in the previous year, reflected higher net interest income by $111.8 million and non-interest income by $94.8 million. The provision for loan losses decreased by $9.6 million. These items were partially offset by a rise in operating expenses of $84.1 million and an increase in income tax of $13.1 million. 2-POPULAR, INC. 2003 FOURTH QUARTER AND YEAR-END RESULTS The Corporation's net interest income rose 9%, from $1.2 billion in 2002 to $1.3 billion in 2003. Average earning assets increased $2.6 billion during the year ended December 31, 2003, compared with December 31, 2002, driven by a $2.0 billion increase in the average loan portfolio, mainly mortgage and commercial loans, and a $0.6 billion increase in average money market, trading and investment securities, mostly U.S. agency securities. "We are pleased with the year-end results of the Corporation, considering the context of historically low interest rates and relatively slow economic growth. The increase in net interest income and the improvement in the quality of our loan portfolio are particularly satisfactory," said Jorge A. Junquera, Chief Financial Officer of Popular, Inc. The average yield on earning assets declined 49 basis points, driven by a number of factors including prepayments of higher rate mortgage related products, repricing of adjustable and floating rate commercial loans and the origination and purchase of earning assets in a lower rate environment. The increase in the volume of earning assets was funded mainly through a higher average volume of borrowings and interest-bearing deposits, which rose $1.7 billion and $0.5 billion, respectively. The average cost of interest-bearing liabilities decreased 61 basis points, associated with the low interest rate environment and the implementation of initiatives to reduce the cost of certain interest-bearing liabilities. Also, non-interest bearing sources of funds, including demand deposits and other funds, rose $0.4 billion. The net interest yield for the years ended December 31, 2003 and 2002 was 3.95% and 3.91%, respectively. The net interest yield for the last quarter of 2003 was 3.85%, compared with 3.93% for the quarter ended September 30, 2003 and 3.81% for the fourth quarter of 2002. The provision for loan losses totaled $195.9 million, or 113% of net charge-offs, for the year 2003, compared with $205.6 million or 120%, respectively, in 2002. Net charge-offs for 2003 totaled $174 million or 0.84% of average loans, compared with $172 million or 0.92% in 2002. The slight increase in net charge-offs is mainly due to higher mortgage loans net charge-offs by $15 million, offset mainly by lower net charge-offs in the commercial, including construction, consumer and lease financing portfolios by $6 million, $4 million and $3 million, respectively. Net charge-offs for the quarter ended December 31, 2003, were $48 million or 0.87% of average loans, compared with $49 million, or 0.94%, for the third quarter of 2003, and $32 million, or 0.66%, for the fourth quarter of 2 3-POPULAR, INC. 2003 FOURTH QUARTER AND YEAR-END RESULTS 2002. The increase in net charge-offs in the fourth quarter of 2003, compared with the same quarter in the previous year, was experienced in all loan categories. Non-interest income amounted to $618.5 million for the year ended December 31, 2003, compared with $523.7 million for the year ended December 31, 2002, an increase of $94.8 million, or 18%. This increase was mostly associated with higher gains in the sale of securities, mainly marketable equity securities, which totaled $71.1 million for 2003, compared with losses of $3.3 million in 2002. In addition, results of operations for the year ended December 31, 2003, included pre-tax derivative losses of $7.5 million, compared with pre-tax derivative losses of $20.1 million in 2002. These derivative losses related mostly to the interest rate swaps that were canceled during the second quarter of 2003. On a combined basis, service charges on deposit accounts and other service fees rose $20.5 million, or 5%, compared with 2002. This increase was mostly attributed to higher commercial account charges, insurance commissions, processing, debit card, and check cashing fees, among others. Also, there were higher gains on the sale of loans by $3.7 million, or 6%. These favorable variances were partially offset by lower other operating income of $7.0 million, associated in part with lower management fees from the Corporation's ownership participation in Telecomunicaciones de Puerto Rico, Inc. and gains realized in 2002 on the sale of the Corporation's trust operations in the United States and some branches of Popular Finance. Furthermore, the Corporation recorded $10.2 million in trading losses during the year ended December 31, 2003, mostly related with mortgage-backed securities, whose market value was negatively impacted by fluctuations in the long-term interest rate scenario, compared with trading losses of $0.8 million during the year ended December 31, 2002. Operating expenses totaled $1.1 billion for the year ended December 31, 2003, compared with $1.0 billion for the year ended December 31, 2002, an increase of $84.1 million, or 8%. Personnel costs increased by $37.7 million, driven mostly by higher salaries, pension, incentive compensation and other bonuses, and health insurance costs. All other operating expenses, excluding personnel costs, increased $46.4 million, or 9%, compared with 2002. Categories with the largest increases included business promotion, net occupancy, equipment, communications and other operating expenses. Included in this latter category was the $12.1 million charge on the early 3 4-POPULAR, INC. 2003 FOURTH QUARTER AND YEAR-END RESULTS cancellation of certain long-term borrowings during the third quarter of 2003 and higher sundry losses of approximately $19 million, which included losses related with unauthorized credit card transactions conducted on credit cards issued by Banco Popular de Puerto Rico, as previously reported in the second quarter of 2003. Operating expenses for the year ended December 31, 2002 included the $21.6 million forfeiture related to the federal investigation, as previously mentioned. The Corporation's total assets at December 31, 2003 amounted to $36.4 billion, compared with $33.7 billion at December 31, 2002. At December 31, 2003, total loans amounted to $22.6 billion, compared with $19.6 billion on the same date in the previous year. Mortgage loans accounted for the largest growth in the portfolio, rising $2.2 billion, or 30%, from the end of 2002. Commercial and construction loans rose $442 million, or 5%, since December 31, 2002. Investment and trading securities totaled $11.1 billion at December 31, 2003 and $11.2 billion at December 31, 2002. The allowance for loan losses amounted to $409 million at December 31, 2003, or 1.81% of loans, compared with $373 million or 1.90% at the same date in 2002, and $399 million or 1.84% at September 30, 2003. Non-performing assets were $611 million or 2.70% of ending loans at December 31, 2003, compared with $539 million or 2.75% at the end of 2002, and $628 million or 2.89% at September 30, 2003. The allowance as a percentage of non-performing loans was 73.34% at December 31, 2003 compared with 74.58% at the end of 2002 and 69.43% at September 30, 2003. Non-performing mortgage loans totaled $345 million or 56% of total non-performing assets and 4% of total mortgage loans at December 31, 2003, compared with $279 million or 52% of total non-performing assets and 4% of total mortgage loans at December 31, 2002. This increase of $66 million, or 24%, in non-performing mortgage loans was mostly driven by portfolio growth. Mortgage loans net charge-offs as a percentage of the average mortgage loan portfolio were 0.35% in 2003, compared with 0.20% in 2002. Also, other real estate assets reached $54 million at December 31, 2003, or 9% of non-performing assets, compared with $39 million, or 7% at December 31, 2002. This increase was associated with higher foreclosures in the mortgage business. On the other hand, commercial, including construction, consumer and lease financing non-performing loans reflected declines of $2 million, $4 million and $3 million, respectively, when compared with December 31, 2002. The decrease of $17 million in non-performing assets from September 30, 2003 to December 4 31, 2003 was mainly associated with commercial and construction non-performing loans, which declined $45 million, while non-performing mortgage loans rose $27 million from the end of the third quarter of 2003. Deposits totaled $18.1 billion at December 31, 2003, compared with $17.6 billion at December 31, 2002, an increase of $0.5 billion or 3%. Demand and savings deposits rose $357 million and $227 million, respectively, compared with December 31, 2002, while time deposits declined by $103 million, mainly due to a decline in brokered certificates of deposit of $218 million. Borrowed funds increased $1.9 billion, reaching $14.9 billion at December 31, 2003, from $13.0 billion on the same date of the previous year. The increase in borrowings since December 31, 2002 was mostly used to fund loan growth. At December 31, 2003, stockholders' equity was $2.8 billion, compared with $2.4 billion at the same date last year. The increase in stockholders' equity since December 31, 2002 reflects the issuance of preferred stock during 2003 and earnings retention, partially offset by a decrease in accumulated other comprehensive income of $178 million, mostly associated with lower unrealized gains on the securities available-for-sale portfolio. The market value of the Corporation's common stock at December 31, 2003, was $44.85 per common share, compared with $33.80 at December 31, 2002. The Corporation's market capitalization at December 31, 2003 was $6.0 billion, compared with $4.5 billion at December 31, 2002. At December 31, 2003, the Corporation's common stock had a book value per share of $19.36. During the fourth quarter of 2003, the Corporation filed a shelf registration with the Securities and Exchange Commission, allowing Popular, Inc., Popular North America, Inc. and Popular International Bank, Inc. to issue medium-term notes, debt securities and preferred stock in an aggregate amount of up to $2.5 billion. Also, during this quarter the Corporation issued $300 million in obligations for trust preferred securities at a rate of 6.70%. Until further notice by the Federal Reserve Bank, the trust preferred securities will continue to count as Tier 1 regulatory capital. As part of strategic decisions, during the fourth quarter of 2003, the Corporation sold Popular Cash Express' mobile units in California. Also, the Corporation completed the acquisition of the remaining 15% minority interest in Levitt Mortgage Corporation. Furthermore, in Puerto Rico, 5 6-POPULAR, INC. 2003 FOURTH QUARTER AND YEAR-END RESULTS Popular Finance acquired Mendoza Finance Co., Inc.'s small loan portfolio. Continuing Popular, Inc.'s expansions efforts in Central America and supporting its technology-oriented initiatives in that region and Puerto Rico, the Corporation increased its participation in Consorcio de Tarjetas Dominicanas, S.A. ("Contado"), a transaction processing business in the Dominican Republic, and acquired Advanced Data Support, Inc. / One Solutions, an industry leader in the health care transaction processing business in Puerto Rico. The Corporation's common and preferred stocks are traded on the National Association of Securities Dealers Automated Quotation (NASDAQ) National Market System under the symbols BPOP and BPOPO, respectively. The information included in this press release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and involve certain risks and uncertainties that may cause actual results to differ materially from those expressed in forward-looking statements. Factors such as changes in interest rate environment as well as general changes in business and economic conditions may cause actual results to differ from those contemplated by such forward-looking statements. For a discussion of such risks and uncertainties, see the Corporation's Annual Report on Form 10-K for the most recently ended fiscal year as well as its filings with the U.S. Securities and Exchange Commission. The Corporation assumes no obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements. * * * 6 POPULAR, INC. FINANCIAL SUMMARY (In thousands, except per share data)
Quarter ended December 31, Fourth ---------------------------------- Quarter ------------- 2003 - 2002 Third Percent Quarter 2003 2002 Variance 2003 ------------- ------------- ----------- ------------- SUMMARY OF OPERATIONS Interest income .................................. $ 509,898 $ 513,869 (0.77%) $ 509,399 Interest expense ................................. 183,658 210,588 (12.79) 180,382 ------------- ------------- ----- ------------- Net interest income .............................. 326,240 303,281 7.57 329,017 Provision for loan losses ........................ 49,737 50,049 (0.62) 48,668 ------------- ------------- ----- ------------- Net interest income after provision for loan losses ................................ 276,503 253,232 9.19 280,349 Other income ..................................... 141,757 140,100 1.18 137,043 Gain on derivatives .............................. 348 2,018 (82.76) 282 Gain (loss) on sale of securities ................ 696 (668) 39,109 Trading account loss ............................. (435) (662) (34.29) (4,599) ------------- ------------- ----- ------------- Total other income ............................... 142,366 140,788 1.12 171,835 Salaries and benefits ............................ 126,464 116,062 8.96 128,379 Profit sharing ................................... 5,650 6,281 (10.05) 3,834 Amortization of intangibles ...................... 1,811 2,067 (12.39) 1,978 Other operating expenses ......................... 148,982 157,916 (5.66) 153,065 ------------- ------------- ----- ------------- Total operating expenses ......................... 282,907 282,326 0.21 287,256 ------------- ------------- ----- ------------- Income before income tax and minority interest ... 135,962 111,694 21.73 164,928 Income tax ....................................... 29,659 30,783 (3.65) 33,818 Net gain of minority interest .................... (10) (82) (87.80) (184) ------------- ------------- ----- ------------- Net income ....................................... $ 106,293 $ 80,829 31.50 $ 130,926 ============= ============= ===== ============= Net income applicable to common stock ............ $ 103,315 $ 80,829 27.82 $ 127,947 ============= ============= ===== ============= Earnings per common share (basic and diluted) .... $ 0.78 $ 0.61 $ 0.96 ============= ============= ============= Dividends declared per common share .............. $ 0.27 $ 0.20 $ 0.27 ============= ============= ============= Average common shares outstanding ................ 132,907,613 132,455,106 132,799,735 Common shares outstanding at end of period ....... 132,891,946 132,439,047 132,776,235 SELECTED AVERAGE BALANCES Total assets ..................................... $ 35,815,601 $ 33,561,982 6.71 $ 35,425,560 Loans ............................................ 22,112,258 19,358,320 14.23 21,113,732 Earning assets ................................... 33,822,435 31,850,245 6.19 33,484,969 Deposits ......................................... 17,946,497 17,355,008 3.41 17,824,112 Interest-bearing liabilities ..................... 28,945,730 27,518,002 5.19 28,694,178 Stockholders' equity ............................. 2,700,991 2,189,848 23.34 2,630,816 SELECTED FINANCIAL DATA AT PERIOD-END Total assets ..................................... $ 36,438,063 $ 33,660,352 8.25 $ 35,777,187 Loans ............................................ 22,602,192 19,582,119 15.42 21,707,755 Earning assets ................................... 34,456,766 31,899,765 8.02 33,679,695 Deposits ......................................... 18,095,951 17,614,740 2.73 17,655,992 Interest-bearing liabilities ..................... 29,264,518 27,203,321 7.58 28,871,925 Stockholders' equity ............................. 2,759,435 2,410,879 14.46 2,751,006 PERFORMANCE RATIOS Net interest yield * ............................. 3.85% 3.81% 3.93% Return on assets ................................. 1.18 0.96 1.47 Return on common equity .......................... 16.38 14.64 20.85 CREDIT QUALITY DATA Non-performing assets ............................ $ 610,924 $ 539,255 13.29 $ 628,301 Net loans charged-off ............................ 47,883 31,905 50.08 49,490 Allowance for loan losses ........................ 408,542 372,797 9.59 398,578 Non-performing assets to total assets ............ 1.68% 1.60% 1.76% Allowance for losses to loans .................... 1.81 1.90 1.84
* Not on a taxable equivalent basis Note: Certain reclassifications have been made to prior periods to conform with this quarter. 7 POPULAR, INC. FINANCIAL SUMMARY (In thousands, except per share data)
For the period ended December 31, --------------------------------- Percent 2003 2002 Variance ------------- ------------- -------- SUMMARY OF OPERATIONS Interest income ....................................... $ 2,034,238 $ 2,023,797 0.52% Interest expense ...................................... 742,073 843,468 (12.02) ------------- ------------- ------ Net interest income ................................... 1,292,165 1,180,329 9.47 Provision for loan losses ............................. 195,939 205,570 (4.69) ------------- ------------- ------ Net interest income after provision for loan losses ..................................... 1,096,226 974,759 12.46 Other income .......................................... 565,130 547,909 3.14 Loss on derivatives ................................... (7,477) (20,085) (62.77) Gain (loss) on sale of securities ..................... 71,094 (3,342) Trading account loss .................................. (10,214) (804) ------------- ------------- ------ Total other income .................................... 618,533 523,678 18.11 Salaries and benefits ................................. 505,797 466,506 8.42 Profit sharing ........................................ 20,647 22,235 (7.14) Amortization of intangibles ........................... 7,844 9,104 (13.84) Other operating expenses .............................. 578,795 531,157 8.97 ------------- ------------- ------ Total operating expenses .............................. 1,113,083 1,029,002 8.17 ------------- ------------- ------ Income before income tax and minority interest ........ 601,676 469,435 28.17 Income tax ............................................ 130,326 117,255 11.15 Net gain of minority interest ......................... (435) (248) 75.40 ------------- ------------- ------ Net income ............................................ $ 470,915 $ 351,932 33.81 ============= ============= ====== Net income applicable to common stock ................. $ 460,996 $ 349,422 31.93 ============= ============= ====== Earnings per common share (basic and diluted) ......... $ 3.47 $ 2.61 ============= ============= Dividends declared per common share ................... $ 1.01 $ 0.80 ============= ============= Average common shares outstanding ..................... 132,740,920 133,915,082 Common shares outstanding at end of period ............ 132,891,946 132,439,047 SELECTED AVERAGE BALANCES Total assets .......................................... $ 34,674,537 $ 31,822,390 8.96 Loans ................................................. 20,730,041 18,729,220 10.68 Earning assets ........................................ 32,781,355 30,194,914 8.57 Deposits .............................................. 17,757,227 16,984,646 4.55 Interest-bearing liabilities .......................... 28,101,979 25,947,964 8.30 Stockholders' equity .................................. 2,545,113 2,150,386 18.36 PERFORMANCE RATIOS Net interest yield * .................................. 3.95% 3.91% Return on assets ...................................... 1.36 1.11 Return on common equity ............................... 19.30 16.29 CREDIT QUALITY DATA Non-performing assets ................................. $ 610,924 $ 539,255 13.29 Net loans charged-off ................................. 173,891 171,732 1.26 Allowance for loan losses ............................. 408,542 372,797 9.59 Non-performing assets to total assets ................. 1.68% 1.60% Allowance for losses to loans ......................... 1.81 1.90
* Not on a taxable equivalent basis Note: Certain reclassifications have been made to prior periods to conform with this period. 8 -----END PRIVACY-ENHANCED MESSAGE-----