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 14, 1994
HUBCO, INC.
(Exact Name of Registrant as Specified in Charter)
NEW JERSEY
(State or Other Jurisdiction of Incorporation)
1-8660 22-2405746
(Commission File Number) (IRS Employer Identification No.)
3100 Bergenline Avenue, Union City, New Jersey 07087
(Address of Principal Executive Offices)
(201) 348-2300
(Registrant's Telephone Number)<PAGE>
<PAGE>
Item 5 - Other Events
On January 14, 1994, HUBCO, Inc. ("HUBCO") reported a 47%
increase in earnings for 1993 to $14,202,000, or $2.06 per share,
from $9,641,000, or $1.58 per share, last year. The per share
earnings have been adjusted to reflect an offering of 1,725,000
shares in May 1992 and 10% stock dividend in June 1993. For the
year ended December 31, 1993, HUBCO's return on average equity was
19.34%, up from 17.38% for 1992, and return on average assets was
1.44%, compared with 1.05% in 1992.
Earnings for the fourth quarter ended December 31, 1993
increased 27% to a record 3,755,000, or $.55 per share, from
$2,950,000, or $.43 per share, in the fourth quarter of 1992. For
the fourth quarter of 1993, HUBCO's annualized return on average
equity was 19.51%, up from 17.7% for the 1992 fourth quarter, and
annualized return on average assets was 1.44%, compared with 1.27%
for the same period last year.
On January 14, 1994, HUBCO sold $25,000,000 aggregate
principal amount of subordinated debentures in a private placement.
The debentures bear interest at 7.75% per annum payable semi-
annually. The debentures mature January 15, 2004 and payment of
the principal of the debentures may be accelerated only upon the
bankruptcy or insolvency of HUBCO or a major banking subsidiary.
The debentures were issued under an indenture intended to comply
with the terms and conditions of the Trust Indenture Act of 1939
and HUBCO is obligated to register the subordinated debt with the
Securities and Exchange Commission by July 14, 1994, for an
exchange offer or in a resale transaction. The subordinated debt
has been structured to comply with the current rules of the Board
of Governors of the Federal Reserve System (the "FRB") regarding
debt which will qualify as Tier 2 capital under the FRB capital
adequacy rules. HUBCO sold the debt as part of a long term
strategy to raise capital and did not need the additional capital
or funds raised to pay for existing acquisitions. HUBCO intends to
use the net proceeds from the sale of the subordinated debt for
general corporate purposes, including investments in and advances
to HUBCO's subsidiaries, and for financing possible or future
acquisitions of deposits and banking assets. Pending such use,
HUBCO or its subsidiaries may temporarily invest the net proceeds
in investment grade securities.
HUBCO, Inc., the bank holding company for Hudson United Bank,
operates with 37 offices in Bergen, Essex, Hudson, Middlesex,
Morris and Passaic Counties.
Item 7 - Exhibits
(1) Press release, dated January 14, 1994
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 thereunto duly authorized.
HUBCO, INC.
Dated: January 20, 1994 By: Kenneth T. Neilson,
President & Chief Executive
Officer
<PAGE>
<PAGE>
Exhibit (1)
A PRESS RELEASE FROM:
HUBCO, INC, 3100 BERGENLINE AVENUE, UNION CITY, NJ 07087
CONTACT: D. LYNN VAN BORKULO-NUZZO 201/348-2326
FOR IMMEDIATE RELEASE
January 14, 1994
HUBCO'S 1993 NET INCOME RISES 47%
Union City, N.J., January 14, 1994 -- HUBCO, Inc. (NASDAQ:
HUBO), the 12th largest New Jersey-based, commercial banking
company, today reported a 47% increase in earnings for 1993.
Net income for the year ended December 31, 1993 increased to
$14,202,000, or $2.06 per share, compared with $9,641,000, or $1.58
per share, last year. On a per share basis, 1993 earnings
increased 30% over 1992. The per share earnings have been adjusted
to reflect an offering of 1,725,00 shares in May 1992 and a 10%
stock dividend in June 1993. HUBCO's return on average equity for
1993 was 19.34%, up from 17.38% reported last year. The return on
average assets increased to 1.44% from 1.05% in 1992. The company
once again noted that no securities gains were reported during
1993.
Net income for the fourth quarter ended December 31, 1933,
rose 27% to a record $3,755,000, or $.55 per share, from
$2,950,000, or $.43 per share, in 1992. On an earnings per share
basis, the increase was 28%. HUBCO's annualized return on average
equity for the fourth quarter was 19.51%, up from 17.7% for the
1992 fourth quarter. The 1993 fourth quarter's annualized return
on average assets was 1.44%, well above the 1.27% for the same
period last year.
For the fourth quarter of 1993, net interest income increased
to $12,322,000 from $11,165,000 for the year-ago fourth quarter.
For the year ended December 31, 1993, net interest income was
$47,018,000, up from $41,013,000 in the prior year. HUBCO's net
interest margin for 1993 was 5.20% versus 4.97% for 1992.
Total non-interest expense for the fourth quarter decreased to
$7,352,000 from $9,911,000 and for the year decreased to
$29,971,000 from $34,349,000 last year. This decrease is due to
several one-time charges in 1992 including the charitable donation
of an ORE property and a substantial amortization of core deposit
intangibles arising from 1992 acquisitions. HUBCO's efficiency
ratio (a ratio of overhead expense to recurring tax equivalent
income) for the fourth quarter was 50% and for the full year was
53.2%.
For the year ended December 31, 1993, total assets increased
by 11.8% to $1.042 billion, total loans grew by 2.5% to $519
million and deposits expanded by 11.0% to $936 million. The growth
in comparative totals is principally the result of the acquisition
completed this year.
Total non-performing assets of $10,022,000 (.96% of assets)
were up $2,265,000 from last year due partially to the acquisition
in the second quarter and were virtually the same as September 30,
1993. Non-accrual loans at year end were $5,534,000 (1.07% of net
loans). Non-performing loans increased by $1,206,000 from last
year and again were virtually the same as September 30, 1993 at
$7,711,000 (1.5% of net loans). The provision for loan losses
during 1993 was $3,600,000, a decrease of $516,000 from 1992. The
reserve for possible loan losses ($10,811,000) as a percentage of
loans was 2.02% and covered 195% of non-accrual loans, 140% of non-
performing loans and 108% of non-performing assets at year end.
HUBCO's stockholders' equity was $78,836,000 at year end 1993
versus $68,313,000 last year. At December 31, 1993, HUBCO's Tier
I Risk Based Capital Ratio was 13.33%, the Total Capital Ratio was
14.58%, and Leverage Capital Ratio was 7.10%. These ratios all
exceed the regulatory requirements of 6%, 10%, and 5% respectively
to be considered a well-capitalized institution.
HUBCO, Inc., the bank holding company for Hudson United Bank,
operates with 37 offices in Bergen, Essex, Hudson, Middlesex,
Morris and Passaic Counties.<PAGE>
<PAGE>
<TABLE>
HUBCO, INC.
Financial Highlights
(in thousands except for per share)
<CAPTION> Quarter Ended
December 31
1993 1992
<S> <C> <C>
Net Interest Income 12,322 11,165
Provision for Possible Loan Losses 1,050 2,215
Net Income 3,755 2,950
Net Income Per Share .55 .43
Twelve Months Ended
December 31
1993 1992
Net Interest Income 47,018 41,103
Provision for Possible Loan Losses 3,600 4,116
Net Income 14,202 9,641
Net Income Per Share 2.06 1.58
Weighted Average Shares Outstanding 6,909 6,091
Total Assets 1,041,707 931,911
Net Loans 518,579 505,843
Total Deposits 935,688 843,226
Stockholders' Equity 78,836 68,313
</TABLE>
Weighted Average Shares give effect to the 1.73 million shares of
common stock sold in a public offering during May 1992 and to a 10%
Stock Dividend in June 1993.
