Parent Company Only Financial Information

12 Months Ended

Dec. 31, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Parent Company Only Financial Information

PARENT COMPANY ONLY FINANCIAL INFORMATION

Condensed financial information for Heartland Financial USA, Inc. is as follows:

BALANCE SHEETS
(Dollars in thousands)
	December 31,
	2012		2011
Assets:
Cash and interest bearing deposits	$	17,447	$	26,960
Trading securities	380		333
Securities available for sale	6,262		4,858
Investment in subsidiaries	517,256		460,946
Other assets	29,303		22,140
Due from subsidiaries	7,000		2,750
Total assets	$	577,648	$	517,987
Liabilities and stockholders’ equity:
Other borrowings	$	158,752	$	155,126
Accrued expenses and other liabilities	17,091		12,643
Total liabilities	175,843		167,769
Stockholders’ equity:
Preferred stock	81,698		81,698
Common stock	16,828		16,612
Capital surplus	50,359		43,333
Retained earnings	236,279		198,182
Accumulated other comprehensive income	16,641		12,147
Treasury stock	—		(1,754		)
Total stockholders’ equity	401,805		350,218
Total liabilities and stockholders’ equity	$	577,648	$	517,987

INCOME STATEMENTS
(Dollars in thousands)
	For the Years Ended December 31,
	2012			2011			2010
Operating revenues:
Dividends from subsidiaries	$	42,800		$	26,400		$	19,700
Securities gains, net	—			1,424			101
Gain (loss) on trading account securities	47			89			(91		)
Other	664			476			671
Total operating revenues	43,511			28,389			20,381
Operating expenses:
Interest	9,133			9,113			7,499
Salaries and benefits	6,191			5,741			2,800
Professional fees	3,100			2,498			694
Other operating expenses	2,417			3,146			3,075
Total operating expenses	20,841			20,498			14,068
Equity in undistributed earnings	19,739			12,852			12,605
Income before income tax benefit	42,409			20,743			18,918
Income tax benefit	7,383			7,301			4,985
Net income	49,792			28,044			23,903
Preferred dividends and discount	(3,400		)	(7,640		)	(5,344		)
Net income available to common stockholders	$	46,392		$	20,404		$	18,559

STATEMENTS OF CASH FLOWS
(Dollars in thousands)
	For the Years Ended December 31,
	2012			2011			2010
Cash flows from operating activities:
Net income	$	49,792		$	28,044		$	23,903
Adjustments to reconcile net income to net cash provided  by operating activities:
Undistributed earnings of subsidiaries	(19,739		)	(12,852		)	(12,605		)
Security gains, net	—			(1,424		)	(101		)
(Increase) decrease in due from subsidiaries	(4,250		)	—			2,000
Increase in accrued expenses and other liabilities	4,448			5,714			897
(Increase) in other assets	(7,163		)	(2,157		)	(5,443		)
(Increase) decrease in trading account securities	(47		)	(89		)	451
Other, net	1,776			(442		)	(2,354		)
Net cash provided by operating activities	24,817			16,794			6,748
Cash flows from investing activities:
Capital contributions to subsidiaries	(32,841		)	(6,000		)	(21,047		)
Purchases of available for sale securities	(195		)	—			(8,101		)
Proceeds from the maturity of and principal paydowns on securities available for sale	—			—			1,644
Proceeds from sales of available for sale securities	—			1,507			16,814
Proceeds from retirement of debt	155			—			—
Net cash used by investing activities	(32,881		)	(4,493		)	(10,690		)
Cash flows from financing activities:
Net change in short-term borrowings	—			(5,000		)	—
Proceeds from other borrowings	10,000			18,165			24,844
Repayments of other borrowings	(6,374		)	(3,938		)	(240		)
Proceeds from issuance of preferred stock	—			81,698			—
Payment for the repurchase of preferred stock	—			(81,698		)	—
Redemption of warrant	—			(1,800		)	—
Cash dividends paid	(11,695		)	(11,172		)	(10,606		)
Purchase of treasury stock	(2,937		)	(389		)	(212		)
Proceeds from issuance of common stock	9,557			1,428			1,360
Net cash provided (used) by financing activities	(1,449		)	(2,706		)	15,146
Net increase (decrease) in cash and cash equivalents	(9,513		)	9,595			11,204
Cash and cash equivalents at beginning of year	26,960			17,365			6,161
Cash and cash equivalents at end of year	$	17,447		$	26,960		$	17,365