West Virginia
|
0-16587
|
55-0672148
|
||
(State or Other Jurisdiction)
|
(Commission File Number)
|
(I.R.S. Employer Identification)
|
||
|
¨
|
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))
|
(c)
|
Exhibits
|
|
Exhibit 99
|
·
|
Achieved third consecutive quarter of positive quarterly earnings.
|
·
|
Nonperforming assets increased principally as result of a single large loan relationship having been placed on nonaccrual status.
|
·
|
Net loan charge-offs and provision for loan losses remained stable.
|
·
|
Recorded charges of $882,000 and $401,000, respectively, to write-down foreclosed properties and to recognize OTTI of securities, which were partially offset by $542,000 in realized securities gains.
|
·
|
Net interest margin declined 5 basis points quarter over quarter reflecting increase in nonperforming loans.
|
·
|
Noninterest expenses remained well-controlled.
|
·
|
Issued 12,000 shares of Series 2011 8% Noncumulative Convertible Preferred Stock. Summit’s leverage capital ratio is at its highest level in five years and its total risk-based capital ratio is at highest level in eleven years.
|
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||
Quarterly Performance Summary -- Q4 2011 vs Q4 2010
|
||||||||||||
For the Quarter Ended
|
Percent
|
|||||||||||
Dollars in thousands
|
12/31/2011
|
12/31/2010
|
Change
|
|||||||||
Condensed Statements of Income
|
||||||||||||
Interest income
|
||||||||||||
Loans, including fees
|
$ | 14,362 | $ | 16,064 | -10.6 | % | ||||||
Securities
|
2,711 | 3,191 | -15.0 | % | ||||||||
Other
|
13 | 11 | 18.2 | % | ||||||||
Total interest income
|
17,086 | 19,266 | -11.3 | % | ||||||||
Interest expense
|
||||||||||||
Deposits
|
4,302 | 5,000 | -14.0 | % | ||||||||
Borrowings
|
3,123 | 3,829 | -18.4 | % | ||||||||
Total interest expense
|
7,425 | 8,829 | -15.9 | % | ||||||||
Net interest income
|
9,661 | 10,437 | -7.4 | % | ||||||||
Provision for loan losses
|
1,999 | 3,000 | -33.4 | % | ||||||||
Net interest income after provision
|
||||||||||||
for loan losses
|
7,662 | 7,437 | 3.0 | % | ||||||||
Noninterest income
|
||||||||||||
Insurance commissions
|
1,003 | 1,086 | -7.6 | % | ||||||||
Service fee income
|
790 | 741 | 6.6 | % | ||||||||
Realized securities gains
|
542 | 463 | 17.1 | % | ||||||||
Other-than-temporary impairment of securities
|
(401 | ) | (850 | ) | -52.8 | % | ||||||
Write-downs of foreclosed properties
|
(882 | ) | (1,206 | ) | -26.9 | % | ||||||
Other income
|
937 | 637 | 47.1 | % | ||||||||
Total noninterest income
|
1,989 | 871 | 128.4 | % | ||||||||
Noninterest expense
|
||||||||||||
Salaries and employee benefits
|
3,846 | 3,839 | 0.2 | % | ||||||||
Net occupancy expense
|
472 | 480 | -1.7 | % | ||||||||
Equipment expense
|
593 | 574 | 3.3 | % | ||||||||
Professional fees
|
501 | 256 | 95.7 | % | ||||||||
FDIC premiums
|
564 | 705 | -20.0 | % | ||||||||
Foreclosed properties expense
|
441 | 430 | 2.6 | % | ||||||||
Other expenses
|
1,417 | 1,478 | -4.1 | % | ||||||||
Total noninterest expense
|
7,834 | 7,762 | 0.9 | % | ||||||||
Income before income taxes
|
1,817 | 546 | 232.8 | % | ||||||||
Income taxes
|
337 | (364 | ) | 192.6 | % | |||||||
Net income
|
1,480 | 910 | 62.6 | % | ||||||||
Preferred stock dividends
|
149 | 74 | 101.4 | % | ||||||||
Net income applicable to common shares
|
$ | 1,331 | $ | 836 | 59.2 | % |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||
Quarterly Performance Summary -- Q4 2011 vs Q4 2010
|
||||||||||||
For the Quarter Ended
|
Percent
|
|||||||||||
12/31/2011
|
12/31/2010
|
Change
|
||||||||||
Per Share Data
|
||||||||||||
Earnings per common share
|
||||||||||||
Basic
|
$ | 0.18 | $ | 0.11 | 63.6 | % | ||||||
Diluted
|
$ | 0.16 | $ | 0.11 | 45.5 | % | ||||||
Average shares outstanding
|
||||||||||||
Basic
|
7,425,472 | 7,425,472 | 0.0 | % | ||||||||
Diluted
|
9,044,976 | 7,425,822 | 21.8 | % | ||||||||
Performance Ratios
|
||||||||||||
Return on average equity (A)
|
6.40 | % | 4.17 | % | 53.5 | % | ||||||
Return on average assets
|
0.41 | % | 0.25 | % | 64.0 | % | ||||||
Net interest margin
|
3.03 | % | 3.15 | % | -3.8 | % | ||||||
Efficiency ratio (B)
|
60.10 | % | 58.05 | % | 3.5 | % |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||
Annual Performance Summary -- 2011 vs 2010
|
||||||||||||
For the Years Ended
|
Percent
|
|||||||||||
Dollars in thousands
|
12/31/2011
|
12/31/2010
|
Change
|
|||||||||
Condensed Statements of Income
|
||||||||||||
Interest income
|
||||||||||||
Loans, including fees
|
$ | 59,176 | $ | 65,957 | -10.3 | % | ||||||
Securities
|
11,799 | 13,684 | -13.8 | % | ||||||||
Other
|
72 | 31 | 132.3 | % | ||||||||
Total interest income
|
71,047 | 79,672 | -10.8 | % | ||||||||
Interest expense
|
||||||||||||
Deposits
|
18,273 | 21,036 | -13.1 | % | ||||||||
Borrowings
|
12,930 | 18,484 | -30.0 | % | ||||||||
Total interest expense
|
31,203 | 39,520 | -21.0 | % | ||||||||
Net interest income
|
39,844 | 40,152 | -0.8 | % | ||||||||
Provision for loan losses
|
10,000 | 21,350 | -53.2 | % | ||||||||
Net interest income after provision
|
||||||||||||
for loan losses
|
29,844 | 18,802 | 58.7 | % | ||||||||
Noninterest income
|
||||||||||||
Insurance commissions
|
4,460 | 4,744 | -6.0 | % | ||||||||
Service fee income
|
2,944 | 3,039 | -3.1 | % | ||||||||
Realized securities gains
|
4,006 | 2,051 | 95.3 | % | ||||||||
Other-than-temporary impairment of securities
|
(2,646 | ) | (988 | ) | 167.8 | % | ||||||
Write-downs of foreclosed properties
|
(6,651 | ) | (3,401 | ) | 95.6 | % | ||||||
Other income
|
3,437 | 2,294 | 49.8 | % | ||||||||
Total noninterest income
|
5,550 | 7,739 | -28.3 | % | ||||||||
Noninterest expense
|
||||||||||||
Salaries and employee benefits
|
15,833 | 15,650 | 1.2 | % | ||||||||
Net occupancy expense
|
1,935 | 2,010 | -3.7 | % | ||||||||
Equipment expense
|
2,342 | 2,457 | -4.7 | % | ||||||||
Professional fees
|
1,155 | 1,015 | 13.8 | % | ||||||||
FDIC premiums
|
2,423 | 2,870 | -15.6 | % | ||||||||
Foreclosed properties expense
|
1,676 | 1,577 | 6.3 | % | ||||||||
Other expenses
|
4,921 | 5,892 | -16.5 | % | ||||||||
Total noninterest expense
|
30,285 | 31,471 | -3.8 | % | ||||||||
Income (loss) before income taxes
|
5,109 | (4,930 | ) | 203.6 | % | |||||||
Income taxes
|
1,035 | (2,955 | ) | 135.0 | % | |||||||
Net income (loss)
|
4,074 | (1,975 | ) | 306.3 | % | |||||||
Preferred stock dividends
|
371 | 297 | 24.9 | % | ||||||||
Net income (loss) applicable to common shares
|
$ | 3,703 | $ | (2,272 | ) | 263.0 | % |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||
Annual Month Performance Summary -- 2011 vs 2010
|
||||||||||||
For the Years Ended
|
Percent
|
|||||||||||
12/31/2011
|
12/31/2010
|
Change
|
||||||||||
Per Share Data
|
||||||||||||
Earnings per common share
|
||||||||||||
Basic
|
$ | 0.50 | (0.31 | ) |
NM
|
|||||||
Diluted
|
$ | 0.49 | (0.31 | ) |
NM
|
|||||||
Average shares outstanding
|
||||||||||||
Basic
|
7,425,472 | 7,425,472 | 0.0 | % | ||||||||
Diluted
|
8,338,199 | 7,425,472 | 12.3 | % | ||||||||
Performance Ratios
|
||||||||||||
Return on average equity (A)
|
4.55 | % | -2.60 | % | -275.0 | % | ||||||
Return on average assets
|
0.28 | % | -0.15 | % | -286.7 | % | ||||||
Net interest margin
|
3.08 | % | 2.96 | % | 4.1 | % | ||||||
Efficiency ratio (B)
|
58.54 | % | 60.03 | % | -2.5 | % |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Five Quarter Performance Summary
|
||||||||||||||||||||
For the Quarter Ended
|
||||||||||||||||||||
Dollars in thousands
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Condensed Statements of Income
|
||||||||||||||||||||
Interest income
|
||||||||||||||||||||
Loans, including fees
|
$ | 14,362 | $ | 14,717 | $ | 14,956 | $ | 15,140 | $ | 16,064 | ||||||||||
Securities
|
2,711 | 2,920 | 3,125 | 3,043 | 3,191 | |||||||||||||||
Other
|
13 | 15 | 28 | 17 | 11 | |||||||||||||||
Total interest income
|
17,086 | 17,652 | 18,109 | 18,200 | 19,266 | |||||||||||||||
Interest expense
|
||||||||||||||||||||
Deposits
|
4,302 | 4,561 | 4,667 | 4,743 | 5,000 | |||||||||||||||
Borrowings
|
3,123 | 3,170 | 3,282 | 3,355 | 3,829 | |||||||||||||||
Total interest expense
|
7,425 | 7,731 | 7,949 | 8,098 | 8,829 | |||||||||||||||
Net interest income
|
9,661 | 9,921 | 10,160 | 10,102 | 10,437 | |||||||||||||||
Provision for loan losses
|
1,999 | 2,001 | 3,000 | 3,000 | 3,000 | |||||||||||||||
Net interest income after provision
|
||||||||||||||||||||
for loan losses
|
7,662 | 7,920 | 7,160 | 7,102 | 7,437 | |||||||||||||||
Noninterest income
|
||||||||||||||||||||
Insurance commissions
|
1,003 | 1,073 | 1,142 | 1,242 | 1,086 | |||||||||||||||
Service fee income
|
790 | 776 | 758 | 621 | 741 | |||||||||||||||
Realized securities gains
|
542 | 1,517 | 318 | 1,628 | 463 | |||||||||||||||
Other-than-temporary impairment of securities
|
(401 | ) | (484 | ) | (533 | ) | (1,228 | ) | (850 | ) | ||||||||||
Write-downs of foreclosed properties
|
(882 | ) | (1,637 | ) | (689 | ) | (3,443 | ) | (1,206 | ) | ||||||||||
Other income
|
937 | 942 | 859 | 699 | 637 | |||||||||||||||
Total noninterest income
|
1,989 | 2,187 | 1,855 | (481 | ) | 871 | ||||||||||||||
Noninterest expense
|
||||||||||||||||||||
Salaries and employee benefits
|
3,846 | 3,959 | 4,055 | 3,973 | 3,839 | |||||||||||||||
Net occupancy expense
|
472 | 473 | 481 | 509 | 480 | |||||||||||||||
Equipment expense
|
593 | 589 | 581 | 580 | 574 | |||||||||||||||
Professional fees
|
501 | 265 | 193 | 196 | 256 | |||||||||||||||
FDIC premiums
|
564 | 580 | 586 | 693 | 705 | |||||||||||||||
Foreclosed properties expense
|
441 | 389 | 412 | 434 | 430 | |||||||||||||||
Other expenses
|
1,417 | 1,318 | 1,464 | 722 | 1,478 | |||||||||||||||
Total noninterest expense
|
7,834 | 7,573 | 7,772 | 7,107 | 7,762 | |||||||||||||||
Income (loss) before income taxes
|
1,817 | 2,534 | 1,243 | (486 | ) | 546 | ||||||||||||||
Income taxes
|
337 | 598 | 338 | (238 | ) | (364 | ) | |||||||||||||
Net income (loss)
|
1,480 | 1,936 | 905 | (248 | ) | 910 | ||||||||||||||
Preferred stock dividends
|
149 | 74 | 74 | 74 | 74 | |||||||||||||||
Net income (loss) applicable to common shares
|
$ | 1,331 | $ | 1,862 | $ | 831 | $ | (322 | ) | $ | 836 |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Five Quarter Performance Summary
|
||||||||||||||||||||
For the Quarter Ended
|
||||||||||||||||||||
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
||||||||||||||||
Per Share Data
|
||||||||||||||||||||
Earnings per common share
|
||||||||||||||||||||
Basic
|
$ | 0.18 | $ | 0.25 | $ | 0.11 | $ | (0.04 | ) | $ | 0.11 | |||||||||
Diluted
|
$ | 0.16 | $ | 0.24 | $ | 0.11 | $ | (0.04 | ) | $ | 0.11 | |||||||||
Average shares outstanding
|
||||||||||||||||||||
Basic
|
7,425,472 | 7,425,472 | 7,425,472 | 7,425,472 | 7,425,472 | |||||||||||||||
Diluted
|
9,044,976 | 8,110,070 | 7,425,472 | 7,425,472 | 7,425,822 | |||||||||||||||
Performance Ratios
|
||||||||||||||||||||
Return on average equity (A)
|
6.40 | % | 8.54 | % | 4.12 | % | -1.14 | % | 4.17 | % | ||||||||||
Return on average assets
|
0.41 | % | 0.53 | % | 0.24 | % | -0.07 | % | 0.25 | % | ||||||||||
Net interest margin
|
3.03 | % | 3.08 | % | 3.09 | % | 3.11 | % | 3.15 | % | ||||||||||
Efficiency ratio - (B)
|
60.10 | % | 57.29 | % | 58.42 | % | 58.38 | % | 58.05 | % |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Selected Balance Sheet Data
|
||||||||||||||||||||
For the Quarter Ended
|
||||||||||||||||||||
Dollars in thousands, except per share amounts
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Assets
|
||||||||||||||||||||
Cash and due from banks
|
$ | 4,398 | $ | 3,596 | $ | 4,515 | $ | 4,263 | $ | 4,652 | ||||||||||
Interest bearing deposits other banks
|
28,294 | 39,103 | 24,658 | 46,448 | 45,696 | |||||||||||||||
Securities
|
286,599 | 292,442 | 295,806 | 293,240 | 271,730 | |||||||||||||||
Loans, net
|
965,516 | 964,349 | 971,127 | 979,387 | 995,319 | |||||||||||||||
Property held for sale
|
63,938 | 63,335 | 66,188 | 66,961 | 70,235 | |||||||||||||||
Premises and equipment, net
|
22,084 | 22,334 | 22,587 | 22,784 | 23,092 | |||||||||||||||
Intangible assets
|
8,651 | 8,739 | 8,826 | 8,914 | 9,002 | |||||||||||||||
Cash surrender value of life insurance policies
|
29,284 | 29,034 | 28,762 | 13,589 | 13,458 | |||||||||||||||
Other assets
|
41,357 | 41,652 | 45,517 | 46,609 | 45,286 | |||||||||||||||
Total assets
|
$ | 1,450,121 | $ | 1,464,584 | $ | 1,467,986 | $ | 1,482,195 | $ | 1,478,470 | ||||||||||
Liabilities and Shareholders' Equity
|
||||||||||||||||||||
Retail deposits
|
$ | 847,285 | $ | 861,639 | $ | 850,312 | $ | 844,914 | $ | 806,652 | ||||||||||
Brokered time deposits
|
169,215 | 185,670 | 195,782 | 217,205 | 230,287 | |||||||||||||||
Short-term borrowings
|
15,956 | 955 | 2,047 | 1,879 | 1,582 | |||||||||||||||
Long-term borrowings and
|
||||||||||||||||||||
subordinated debentures
|
306,643 | 308,420 | 319,020 | 319,905 | 340,498 | |||||||||||||||
Other liabilities
|
8,456 | 8,976 | 8,966 | 8,964 | 9,630 | |||||||||||||||
Shareholders' equity
|
102,566 | 98,924 | 91,859 | 89,328 | 89,821 | |||||||||||||||
Total liabilities and shareholders' equity
|
$ | 1,450,121 | $ | 1,464,584 | $ | 1,467,986 | $ | 1,482,195 | $ | 1,478,470 | ||||||||||
Book value per common share (A)
|
$ | 10.68 | $ | 10.96 | $ | 11.34 | $ | 11.03 | $ | 11.01 | ||||||||||
Tangible book value per common share (A)
|
$ | 9.78 | $ | 9.99 | $ | 10.25 | $ | 9.93 | $ | 9.90 | ||||||||||
Tangible equity / Tangible assets
|
6.5 | % | 6.2 | % | 5.7 | % | 5.5 | % | 5.5 | % |
SUMMIT FINANCIAL GROUP INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Regulatory Capital Ratios
|
||||||||||||||||||||
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
||||||||||||||||
Summit Financial Group, Inc.
|
||||||||||||||||||||
Total Risk Based Capital
|
12.9 | % | 12.3 | % | 11.9 | % | 11.7 | % | 11.8 | % | ||||||||||
Tier 1 Risk Based Capital
|
10.4 | % | 9.7 | % | 9.3 | % | 9.1 | % | 9.1 | % | ||||||||||
Tier 1 Leverage Ratio
|
7.5 | % | 6.9 | % | 6.7 | % | 6.6 | % | 6.9 | % | ||||||||||
Summit Community Bank, Inc.
|
||||||||||||||||||||
Total Risk Based Capital
|
13.6 | % | 13.4 | % | 12.8 | % | 12.6 | % | 12.6 | % | ||||||||||
Tier 1 Risk Based Capital
|
12.4 | % | 12.1 | % | 11.5 | % | 11.3 | % | 11.4 | % | ||||||||||
Tier 1 Leverage Ratio
|
8.9 | % | 8.7 | % | 8.3 | % | 8.3 | % | 8.5 | % |
SUMMIT FINANCIAL GROUP INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Loan Composition
|
||||||||||||||||||||
Dollars in thousands
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Commercial
|
$ | 99,024 | $ | 94,801 | $ | 96,796 | $ | 96,843 | $ | 101,674 | ||||||||||
Commercial real estate
|
||||||||||||||||||||
Owner occupied
|
158,754 | 166,813 | 169,935 | 171,791 | 175,885 | |||||||||||||||
Non-owner occupied
|
270,226 | 253,538 | 248,930 | 247,153 | 241,936 | |||||||||||||||
Construction and development
|
||||||||||||||||||||
Land and development
|
93,035 | 94,023 | 94,464 | 93,675 | 99,085 | |||||||||||||||
Construction
|
2,936 | 9,445 | 12,223 | 13,879 | 13,691 | |||||||||||||||
Residential real estate
|
||||||||||||||||||||
Non-jumbo
|
221,733 | 224,499 | 228,205 | 233,308 | 239,290 | |||||||||||||||
Jumbo
|
61,535 | 62,255 | 60,817 | 61,878 | 61,339 | |||||||||||||||
Home equity
|
50,898 | 51,025 | 50,884 | 50,499 | 50,987 | |||||||||||||||
Consumer
|
22,325 | 22,988 | 23,773 | 22,968 | 24,145 | |||||||||||||||
Other
|
2,762 | 2,911 | 3,116 | 4,326 | 4,511 | |||||||||||||||
Total loans, net of unearned fees
|
983,228 | 982,298 | 989,143 | 996,320 | 1,012,543 | |||||||||||||||
Less allowance for loan losses
|
17,712 | 17,949 | 18,016 | 16,933 | 17,224 | |||||||||||||||
Loans, net
|
$ | 965,516 | $ | 964,349 | $ | 971,127 | $ | 979,387 | $ | 995,319 |
SUMMIT FINANCIAL GROUP INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Retail Deposit Composition
|
||||||||||||||||||||
Dollars in thousands
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Non interest bearing checking
|
$ | 88,655 | $ | 85,406 | $ | 85,964 | $ | 86,735 | $ | 74,604 | ||||||||||
Interest bearing checking
|
158,483 | 163,840 | 150,004 | 153,283 | 150,291 | |||||||||||||||
Savings
|
208,809 | 208,030 | 212,745 | 212,502 | 177,053 | |||||||||||||||
Time deposits
|
391,338 | 404,363 | 401,599 | 392,394 | 404,704 | |||||||||||||||
Total retail deposits
|
$ | 847,285 | $ | 861,639 | $ | 850,312 | $ | 844,914 | $ | 806,652 |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||||||||||
Asset Quality Information
|
||||||||||||||||||||
For the Quarter Ended
|
||||||||||||||||||||
Dollars in thousands
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Gross loan charge-offs
|
$ | 2,368 | $ | 2,157 | $ | 2,022 | $ | 3,396 | $ | 5,135 | ||||||||||
Gross loan recoveries
|
(133 | ) | (89 | ) | (104 | ) | (105 | ) | (490 | ) | ||||||||||
Net loan charge-offs
|
$ | 2,235 | $ | 2,068 | $ | 1,918 | $ | 3,291 | $ | 4,645 | ||||||||||
Net loan charge-offs to average loans (annualized)
|
0.91 | % | 0.84 | % | 0.76 | % | 1.31 | % | 1.76 | % | ||||||||||
Allowance for loan losses
|
$ | 17,712 | $ | 17,949 | $ | 18,016 | $ | 16,933 | $ | 17,224 | ||||||||||
Allowance for loan losses as a percentage
|
||||||||||||||||||||
of period end loans
|
1.80 | % | 1.82 | % | 1.82 | % | 1.70 | % | 1.70 | % | ||||||||||
Nonperforming assets:
|
||||||||||||||||||||
Nonperforming loans
|
||||||||||||||||||||
Commercial
|
$ | 3,259 | $ | 3,473 | $ | 2,212 | $ | 2,186 | $ | 1,318 | ||||||||||
Commercial real estate
|
7,163 | 8,398 | 8,093 | 5,284 | 2,686 | |||||||||||||||
Commercial construction and development
|
1,052 | - | - | 131 | - | |||||||||||||||
Residential construction and development
|
22,634 | 17,506 | 19,222 | 8,428 | 10,048 | |||||||||||||||
Residential real estate
|
18,187 | 6,818 | 9,237 | 6,343 | 7,517 | |||||||||||||||
Consumer
|
145 | 87 | 130 | 206 | 142 | |||||||||||||||
Total nonperforming loans
|
52,440 | 36,282 | 38,894 | 22,578 | 21,711 | |||||||||||||||
Foreclosed properties
|
||||||||||||||||||||
Commercial
|
$ | - | $ | 597 | $ | 597 | $ | 597 | $ | 597 | ||||||||||
Commercial real estate
|
15,721 | 14,256 | 14,179 | 13,738 | 14,745 | |||||||||||||||
Commercial construction and development
|
17,101 | 16,960 | 16,886 | 16,918 | 17,021 | |||||||||||||||
Residential construction and development
|
27,877 | 27,804 | 30,512 | 32,002 | 34,377 | |||||||||||||||
Residential real estate
|
3,239 | 3,718 | 4,014 | 3,706 | 3,495 | |||||||||||||||
Total foreclosed properties
|
63,938 | 63,335 | 66,188 | 66,961 | 70,235 | |||||||||||||||
Other repossessed assets
|
263 | 262 | 264 | 262 | 289 | |||||||||||||||
Total nonperforming assets
|
$ | 116,641 | $ | 99,879 | $ | 105,346 | $ | 89,801 | $ | 92,235 | ||||||||||
Nonperforming loans to period end loans
|
5.33 | % | 3.69 | % | 3.93 | % | 2.26 | % | 2.14 | % | ||||||||||
Nonperforming assets to period end assets
|
8.04 | % | 6.82 | % | 7.18 | % | 6.06 | % | 6.24 | % |
Loans Past Due 30-89 Days
|
||||||||||||||||||||
For the Quarter Ended
|
||||||||||||||||||||
In thousands
|
12/31/2011
|
9/30/2011
|
6/30/2011
|
3/31/2011
|
12/31/2010
|
|||||||||||||||
Commercial
|
$ | 533 | $ | 255 | $ | 1,572 | $ | 910 | $ | 664 | ||||||||||
Commercial real estate
|
5,746 | 2,797 | 2,756 | 2,515 | 4,523 | |||||||||||||||
Construction and development
|
1,756 | 1,251 | 163 | 1,947 | 3,156 | |||||||||||||||
Residential real estate
|
6,633 | 4,779 | 6,603 | 6,561 | 19,164 | |||||||||||||||
Consumer
|
466 | 308 | 415 | 494 | 551 | |||||||||||||||
Total
|
$ | 15,134 | $ | 9,390 | $ | 11,509 | $ | 12,427 | $ | 28,058 |
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
|||||||
Average Balance Sheet, Interest Earnings & Expenses and Average Rates
|
|||||||
Q4 2011 vs Q4 2010
|
|||||||
Q4 2011
|
Q4 2010
|
||||||
Average
|
Earnings /
|
Yield /
|
Average
|
Earnings /
|
Yield /
|
||
Dollars in thousands
|
Balances
|
Expense
|
Rate
|
Balances
|
Expense
|
Rate
|
|
ASSETS
|
|||||||
Interest earning assets
|
|||||||
Loans, net of unearned interest
|
|||||||
Taxable
|
$985,496
|
$14,287
|
5.75%
|
$1,017,035
|
$15,992
|
6.24%
|
|
Tax-exempt
|
6,115
|
114
|
7.40%
|
5,336
|
109
|
8.10%
|
|
Securities
|
|||||||
Taxable
|
225,089
|
1,817
|
3.20%
|
262,488
|
2,768
|
4.18%
|
|
Tax-exempt
|
86,389
|
1,353
|
6.21%
|
37,880
|
639
|
6.69%
|
|
Interest bearing deposits other banks
|
|||||||
and Federal funds sold
|
25,926
|
13
|
0.20%
|
23,355
|
11
|
0.19%
|
|
Total interest earning assets
|
1,329,015
|
17,584
|
5.25%
|
1,346,094
|
19,519
|
5.75%
|
|
Noninterest earning assets
|
|||||||
Cash & due from banks
|
4,229
|
4,227
|
|||||
Premises & equipment
|
22,274
|
23,288
|
|||||
Other assets
|
121,215
|
115,930
|
|||||
Allowance for loan losses
|
(18,211)
|
(19,176)
|
|||||
Total assets
|
$1,458,522
|
$1,470,363
|
|||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|||||||
Liabilities
|
|||||||
Interest bearing liabilities
|
|||||||
Interest bearing
|
|||||||
demand deposits
|
$156,751
|
$94
|
0.24%
|
$151,552
|
$119
|
0.31%
|
|
Savings deposits
|
208,772
|
427
|
0.81%
|
171,806
|
440
|
1.02%
|
|
Time deposits
|
573,798
|
3,781
|
2.61%
|
619,572
|
4,441
|
2.84%
|
|
Short-term borrowings
|
11,879
|
6
|
0.20%
|
1,847
|
1
|
0.21%
|
|
Long-term borrowings and
|
|||||||
subordinated debentures
|
307,937
|
3,117
|
4.02%
|
345,245
|
3,828
|
4.40%
|
|
Total interest bearing liabilities
|
1,259,137
|
7,425
|
2.34%
|
1,290,022
|
8,829
|
2.72%
|
|
Noninterest bearing liabilities
|
|||||||
Demand deposits
|
89,640
|
78,844
|
|||||
Other liabilities
|
8,958
|
10,768
|
|||||
Total liabilities
|
1,357,735
|
1,379,634
|
|||||
Shareholders' equity - preferred
|
8,315
|
3,519
|
|||||
Shareholders' equity - common
|
92,472
|
87,210
|
|||||
Total liabilities and
|
|||||||
shareholders' equity
|
$1,458,522
|
$1,470,363
|
|||||
NET INTEREST EARNINGS
|
$10,159
|
$10,690
|
|||||
NET INTEREST MARGIN
|
3.03%
|
3.15%
|
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
|||||||
Average Balance Sheet, Interest Earnings & Expenses and Average Rates
|
|||||||
YTD 2011 vs YTD 2010
|
|||||||
YTD 2011
|
YTD 2010
|
||||||
Average
|
Earnings /
|
Yield /
|
Average
|
Earnings /
|
Yield /
|
||
Dollars in thousands
|
Balances
|
Expense
|
Rate
|
Balances
|
Expense
|
Rate
|
|
ASSETS
|
|||||||
Interest earning assets
|
|||||||
Loans, net of unearned interest
|
|||||||
Taxable
|
$987,315
|
$58,911
|
5.97%
|
$1,082,537
|
$65,481
|
6.05%
|
|
Tax-exempt
|
5,105
|
402
|
7.87%
|
5,965
|
476
|
7.98%
|
|
Securities
|
|||||||
Taxable
|
252,901
|
9,106
|
3.60%
|
253,529
|
12,265
|
4.84%
|
|
Tax-exempt
|
63,894
|
4,080
|
6.39%
|
40,048
|
2,670
|
6.67%
|
|
Interest bearing deposits other banks
|
|||||||
and Federal funds sold
|
33,690
|
72
|
0.21%
|
16,373
|
31
|
0.19%
|
|
Total interest earning assets
|
1,342,905
|
72,571
|
5.40%
|
1,398,452
|
80,923
|
5.79%
|
|
Noninterest earning assets
|
|||||||
Cash & due from banks
|
4,022
|
4,267
|
|||||
Premises & equipment
|
22,620
|
23,742
|
|||||
Other assets
|
118,408
|
104,907
|
|||||
Allowance for loan losses
|
(18,161)
|
(19,226)
|
|||||
Total assets
|
$1,469,794
|
$1,512,142
|
|||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|||||||
Liabilities
|
|||||||
Interest bearing liabilities
|
|||||||
Interest bearing
|
|||||||
demand deposits
|
$152,552
|
$391
|
0.26%
|
$147,513
|
$583
|
0.40%
|
|
Savings deposits
|
207,226
|
1,899
|
0.92%
|
188,233
|
2,323
|
1.23%
|
|
Time deposits
|
601,925
|
15,983
|
2.66%
|
605,663
|
18,131
|
2.99%
|
|
Short-term borrowings
|
4,238
|
8
|
0.19%
|
16,172
|
80
|
0.49%
|
|
Long-term borrowings and
|
|||||||
subordinated debentures
|
315,900
|
12,921
|
4.09%
|
380,235
|
18,403
|
4.84%
|
|
1,281,841
|
31,202
|
2.43%
|
1,337,816
|
39,520
|
2.95%
|
||
Noninterest bearing liabilities
|
|||||||
Demand deposits
|
85,247
|
73,971
|
|||||
Other liabilities
|
8,474
|
9,597
|
|||||
Total liabilities
|
1,375,562
|
1,421,384
|
|||||
Shareholders' equity - preferred
|
4,738
|
3,519
|
|||||
Shareholders' equity - common
|
89,494
|
87,239
|
|||||
Total liabilities and
|
|||||||
shareholders' equity
|
$1,469,794
|
$1,512,142
|
|||||
NET INTEREST EARNINGS
|
$41,369
|
$41,403
|
|||||
NET INTEREST MARGIN
|
3.08%
|
2.96%
|
SUMMIT FINANCIAL GROUP, INC. (NASDAQ: SMMF)
|
||||||||||||||||
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures
|
||||||||||||||||
For the Quarter Ended
|
For the Years Ended
|
|||||||||||||||
Dollars in thousands
|
12/31/2011
|
12/31/2010
|
12/31/2011
|
12/31/2010
|
||||||||||||
Net income applicable to common shares - excluding
|
||||||||||||||||
realized securities gains, other-than-temporary
|
||||||||||||||||
impairment of securities and write-downs of
|
||||||||||||||||
foreclosed properties
|
$ | 1,798 | $ | 1,914 | $ | 7,036 | $ | (502 | ) | |||||||
Realized securities gains
|
542 | 463 | 4,006 | 2,051 | ||||||||||||
Applicable income tax effect
|
(201 | ) | (171 | ) | (1,482 | ) | (759 | ) | ||||||||
Other-than-temporary impairment of securities
|
(401 | ) | (850 | ) | (2,646 | ) | (988 | ) | ||||||||
Applicable income tax effect
|
148 | 315 | 979 | 366 | ||||||||||||
Write-downs foreclosed properties
|
(882 | ) | (1,206 | ) | (6,651 | ) | (3,401 | ) | ||||||||
Applicable income tax effect
|
326 | 446 | 2,461 | 1,258 | ||||||||||||
(467 | ) | (1,004 | ) | (3,333 | ) | (1,473 | ) | |||||||||
GAAP net income applicable to common shares
|
$ | 1,331 | $ | 910 | $ | 3,703 | $ | (1,975 | ) | |||||||
Diluted earnings per common share - excluding realized
|
||||||||||||||||
securities gains, other-than-temporary impairment
|
||||||||||||||||
of securities, and write-downs of foreclosed
|
||||||||||||||||
$ | 0.21 | $ | 0.24 | $ | 0.89 | $ | (0.02 | ) | ||||||||
Realized securities gains
|
0.06 | 0.06 | 0.48 | 0.28 | ||||||||||||
Applicable income tax effect
|
(0.02 | ) | (0.02 | ) | (0.18 | ) | (0.10 | ) | ||||||||
Other-than-temporary impairment of securities
|
(0.04 | ) | (0.11 | ) | (0.32 | ) | (0.13 | ) | ||||||||
Applicable income tax effect
|
0.01 | 0.04 | 0.12 | 0.05 | ||||||||||||
Write-downs of foreclosed properties
|
(0.10 | ) | (0.16 | ) | (0.80 | ) | (0.46 | ) | ||||||||
Applicable income tax effect
|
0.04 | 0.06 | 0.30 | 0.17 | ||||||||||||
(0.05 | ) | (0.13 | ) | (0.40 | ) | (0.19 | ) | |||||||||
GAAP diluted earnings per common share
|
$ | 0.16 | $ | 0.11 | $ | 0.49 | $ | (0.21 | ) | |||||||
Total revenue - excluding realized securities gains,
|
||||||||||||||||
other-than-temporary impairment of securities and
|
||||||||||||||||
write-downs of foreclosed properties
|
$ | 12,391 | $ | 12,901 | $ | 50,685 | $ | 50,228 | ||||||||
Realized securities gains
|
542 | 463 | 4,006 | 2,051 | ||||||||||||
Other-than-temporary impairment of securities
|
(401 | ) | (850 | ) | (2,646 | ) | (988 | ) | ||||||||
Write-downs of foreclosed properties
|
(882 | ) | (1,206 | ) | (6,651 | ) | (3,401 | ) | ||||||||
(741 | ) | (1,593 | ) | (5,291 | ) | (2,338 | ) | |||||||||
GAAP total revenue
|
$ | 11,650 | $ | 11,308 | $ | 45,394 | $ | 47,890 | ||||||||
Total noninterest income - excluding realized securities
|
||||||||||||||||
gains, other-than-temporary impairment of securities
|
||||||||||||||||
and write-downs of foreclosed properties
|
$ | 2,730 | $ | 2,464 | $ | 10,840 | $ | 9,559 | ||||||||
Realized securities gains
|
542 | 463 | 4,006 | 2,051 | ||||||||||||
Other-than-temporary impairment of securities
|
(401 | ) | (850 | ) | (2,645 | ) | (988 | ) | ||||||||
Write-downs of foreclosed properties
|
(882 | ) | (1,206 | ) | (6,651 | ) | (3,401 | ) | ||||||||
(741 | ) | (1,593 | ) | (5,290 | ) | (2,338 | ) | |||||||||
GAAP total noninterest income
|
$ | 1,989 | $ | 871 | $ | 5,550 | $ | 7,221 |