-----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, U1ShnPxLmMHvgo3c8ktNHR2lXErhcyQm9TgPZF9ej3tNejU7LIKZ8GmP1xqXne7v /Y/IO6dQ18g9e87iXVXnMQ== 0000770975-97-000020.txt : 19970721 0000770975-97-000020.hdr.sgml : 19970721 ACCESSION NUMBER: 0000770975-97-000020 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19970630 ITEM INFORMATION: Changes in control of registrant FILED AS OF DATE: 19970718 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIRST REPUBLIC BANCORP INC CENTRAL INDEX KEY: 0000770975 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTIONS, NOT FEDERALLY CHARTERED [6036] IRS NUMBER: 942964497 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09837 FILM NUMBER: 97642452 BUSINESS ADDRESS: STREET 1: 388 MARKET ST STREET 2: SEOND FLOOR CITY: SAN FRANCISCO STATE: CA ZIP: 94111 BUSINESS PHONE: 4153921400 8-K 1 PRESS RELEASE FORM 8-K 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 July 17, 1997 FIRST REPUBLIC BANCORP INC. --------------------------- (Exact name of registrant as specified in its charter) Delaware 0-15882 94-2964497 - -------------------------- ----------- ----------------- (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 388 Market Street San Francisco, CA 94111 ------------------------ (Address of principal executive office) (Zip Code) (415) 392-1400 -------------- (Registrant's telephone number, including area code) Not applicable -------------- (Former name, former address, if changed since last report) Item 5. Other Events First Republic Bancorp Inc. hereby files with the Securities and Exchange Commission (the "Commission") its press release, dated July 17, 1997, concerning its earnings release for the second quarter and six months ended June 30, 1997. 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 Republic Bancorp Inc. (Registrant) Date: July 17, 1997 ----------------------------- Willis H. Newton, Jr. Senior Vice President and Chief Financial Officer FOR IMMEDIATE RELEASE - --------------------- Common Stock Symbol - FRC New York Stock Exchange FIRST REPUBLIC BANCORP REPORTS SECOND QUARTER 1997 RESULTS San Francisco, California, July 17, 1997 - First Republic Bancorp Inc. today reported net income of $4,352,000 for the quarter ended June 30, 1997, compared with net income of $3,001,000 for the same quarter in 1996. For the second quarter, fully diluted earnings per share was $0.41 for 1997, compared to $0.33 for 1996. The 1997 earnings were higher than earnings a year ago primarily because of higher net interest income, lower provisions for losses, and increased gains on the sale of loans, offset in part by higher operating expenses and REO costs. Net income of $8,372,000 was reported for the six months of 1997, compared with $5,771,000 for the first six months of 1996. For the six month period, fully diluted earnings per share was $0.79 for 1997 compared to $0.64 for 1996. The Company's quarter-end ratio of capital to risk-adjusted assets was 14.1%. At June 30, 1997, total capital, including subordinated debentures and reserves, was $208,484,000. Tangible book value per share was $16.56 at June 30, 1997. During the second quarter of 1997, the Company repurchased 345,100 shares of its common stock. Total assets of First Republic Bancorp were $2,238,033,000 at June 30, 1997. Substantially all of the Company's loan portfolio consists of first trust deed, real estate secured, California and Nevada loans, 84% of which are housing related and approximately 88% of which are adjustable within one year. The Company's asset growth continued to be focused on single family home loans, which represent 65% of the loan portfolio at June 30, 1997. At June 30, 1997, nonaccruing loans totalled $19,764,000 and foreclosed REO totalled $2,850,000, collectively 1.01% of total assets. During the quarter, the Company's reserves increased $149,000 as a result of recoveries exceeding chargeoffs. Reflecting the Company's strong asset quality, there were no additional provisions to reserves during the second quarter. At June 30, 1997, the Company's reserves totalled $18,501,000, or 0.93% of total loans. The Company's nonaccruing loans include $12,468,000 of loans on which interest payments were received during the second quarter at an average payment rate of over 10% on their written down recorded investment. Most of these loans had been restructured by waiver or deferral of interest, by interest rate concessions, or by the forgiveness of principal in certain cases. MORE FIRST REPUBLIC BANCORP INC. Page 2 At June 30, 1997, the Company had restructured performing loans of $2,459,000 and accruing single family loans more than 90 days past due of $3,936,000. First Republic operates thirteen retail branches in four metropolitan areas - San Francisco, Los Angeles, San Diego, and Las Vegas. At June 30, 1997, the Company's deposits totalled $1,404,592,000, of which NOW checking, money market checking, and passbook accounts represented 25%. For the second quarter of 1997, total interest income increased to $42,833,000 from $39,324,000 in 1996, as the result of a larger average asset base. Net interest income increased to $13,737,000 in the second quarter of 1997, compared to $11,792,000 for the second quarter of 1996. The Company's net interest margin was 2.50% for the second quarter of 1997, compared to 2.36% for the second quarter of 1996. The Company's non-interest expense totalled $8,391,000 for the second quarter of 1997, compared to $5,882,000 for the same period in 1996. Such expense includes REO writedowns and costs of $1,201,000 in 1997 versus REO costs net of gains of $160,000 in 1996. Also, over the past year, the Company has added new branches and employees to expand its products and services, and approximately $400,000 of nonrecurring costs, including costs related to the Company's planned corporate reorganization, introduction of a new corporate identity, and ultimate conversion to a commercial bank, were incurred or accrued in the second quarter of 1997. As a percentage of average assets, general and administrative expenses were 1.31% for the second quarter of 1997 compared with 1.25% for the first quarter of 1997. The Company's operating efficiency ratio, or net non-interest expense as a percentage of net interest income and recurring non-interest income, was 49.1% for the second quarter of 1997, compared to 49.5% for the first quarter of 1997. For the second quarter of 1997, the Company originated $295,345,000 of loans compared with $220,779,000 for the same period in 1996. Total loans originated for the first six months were $495,918,000 in 1997 compared with $419,720,000 in 1996. The Company sold $131,783,000 of loans during the second quarter of 1997, compared with $10,456,000 in the second quarter of 1996 and recorded net gains of $1,162,000 on these loan sales in the second quarter of 1997, compared to $76,000 during the second quarter of 1996. The portfolio of real estate loans serviced for third-party investors was $934,014,000 at June 30, 1997, compared to $767,710,000 at June 30, 1996. First Republic Bancorp Inc. functions as a direct lender and private banker as well as a mortgage banker through First Republic Savings Bank, its FDIC-insured, Nevada chartered thrift company subsidiary. First Republic Savings Bank provides both loan and deposit services in the San Francisco, Los Angeles, Beverly Hills, and San Diego, California areas and in Las Vegas, Nevada. MORE FIRST REPUBLIC BANCORP INC. Page 3
Three Months Six Months Ended June 30 Ended June 30 ---------------------------- ---------------------------- Financial Results 1997 1996 1997 1996 - ----------------- ------------ ------------ ------------ ------------ Total Interest Income $ 42,833,000 $ 39,324,000 $ 84,288,000 $ 77,982,000 Net Interest Income $ 13,737,000 $ 11,792,000 $ 26,746,000 $ 23,048,000 Provision for Losses $ -- $ 1,815,000 $ 500,000 $ 3,588,000 Net Income $ 4,352,000 $ 3,001,000 $ 8,372,000 $ 5,771,000 Primary EPS $ 0.41 $ 0.39 $ 0.84 $ 0.76 ============ ============ ============ ============ Fully diluted EPS $ 0.41 $ 0.33 $ 0.79 $ 0.64 ============ ============ ============ ============ Weighted Average Shares: Primary 10,643,526 7,655,491 9,975,268 7,625,556 Fully diluted 10,710,972 10,238,497 10,691,008 10,179,192 Operating Information - --------------------- Loan Origination Volume $295,345,000 $220,779,000 $495,918,000 $419,720,000 Avg. Assets Per Employee* $ 12,704,000 $ 12,645,000 $ 12,850,000 $ 12,620,000 Net Income Per Employee* $ 100,600 75,500 $ 98,500 73,700 Return on Average Assets* 0.79% 0.60% 0.77% 0.58% Return on Average Common Equity* 10.64% 10.61% 10.95% 10.34% Efficiency Ratio 49.1% 41.4% 49.2% 43.8% General and Administrative Expenses as % of Average Assets* 1.31% 1.14% 1.28% 1.12% Rates Earned/Paid* - ------------------ Yield on Investments 6.60% 6.92% 6.62% 6.84% Yield on Loans 7.99% 8.04% 7.91% 8.13% ------------- ------------- ------------- ------------- Earning Assets Yield 7.84% 7.93% 7.78% 7.99% ============= ============= ============= ============= Cost of Deposits 5.62% 5.72% 5.62% 5.81% Cost of Borrowings 6.19% 6.22% 6.09% 6.32% ------------- ------------- ------------- ------------- Liability Costs 5.80% 5.90% 5.77% 5.99% ============= ============= ============= ============= Net Interest Spread 2.04% 2.03% 2.01% 2.00% ============= ============= ============= ============= Margin on Earning Assets 2.50% 2.36% 2.43% 2.34% ============= ============= ============= ============= * Data is Annualized.
FIRST REPUBLIC BANCORP INC. Page 4
As of June 30, ------------------------------------ Financial Condition 1997 1996 - ------------------- --------------- --------------- Total Loans $ 1,980,364,000 $ 1,834,407,000 =============== =============== Total Assets $ 2,238,033,000 $ 2,064,209,000 =============== =============== Loans Serviced for Investors $ 934,014,000 $ 767,710,000 =============== =============== Total Deposits $ 1,404,592,000 $ 1,254,523,000 =============== =============== Stockholders' Equity $ 160,556,000 $ 114,529,000 Senior Subordinated Debentures 9,966,000 9,966,000 Subordinated Debentures 19,461,000 19,509,000 Convertible Subordinated Debentures -- 34,500,000 Reserves 18,501,000 19,318,000 -------------- --------------- Total Capital $ 208,484,000 $ 197,822,000 ============== =============== Capital-to-Risk-Adjusted Assets 14.12 % 14.79 % ===== ===== Tangible Stockholders' Equity Per Share Outstanding $ 16.56 $ 15.56 ============== =============== Shares of Common Stock Outstanding 9,692,934 7,352,991
For further information call: Willis H. Newton, Jr. Senior Vice President and Chief Financial Officer 388 Market Street San Francisco, CA 94111 (415)392-1400 # # # # # # # # # # # # # -----END PRIVACY-ENHANCED MESSAGE-----