UNITED STATES
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 19, 2000
BANKNORTH GROUP, INC.
(Exact name of registrant as specified in its charter)
Delaware 0-18173 03-0321189
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
Banknorth Group, Inc.
100 Bank Street
P.O. Box 5420
Burlington, VT 05401-5420
(Address of principal executive offices)
Registrant's telephone number, including area code: (802) 658-9959
Not applicable
(Former name or former address, if changed since last report)
Item 5. Other Events
- ------- ------------
On January 19, 2000, Banknorth Group, Inc. (the Company) issued a press
release relating to the consolidated results of the operations of the Company
and its subsidiaries for the quarter and year ended December 31, 1999. The
text of the press release, including unaudited financial information, is
attached as an exhibit to this report.
Item 7. Financial Statements and Exhibits
- ------- ---------------------------------
(c) Exhibits.
(99) Press release dated January 19, 2000.
SIGNATURES
----------
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report on Form 8-K to be signed on its behalf
by the undersigned hereunto duly authorized.
BANKNORTH GROUP, INC.
Date: January 21, 2000 By /s/ William H. Chadwick
--------------------------
William H. Chadwick
President & Chief Executive Officer
EXHIBIT 99
For Release: January 19, 2000 8:00 a.m.
Contact: Thomas J. Pruitt
Executive VP & CFO
(802) 860-5558
[email protected]
-------------------
BANKNORTH GROUP REPORTS
RECORD 1999 OPERATING RESULTS
BURLINGTON, VT, January 19, 2000 -- Banknorth Group, Inc. [NASDAQ-BKNG]
today reported that net income for the year ended December 31, 1999, was $54.5
million, or $2.30 per common share on a diluted basis, compared to $28.9
million, or $1.22 per common share on a diluted basis, for the year ended
1998.
Net income in 1999 included a $1.5 million, after-tax, gain on
curtailment of a pension plan; a $1.4 million, tax-exempt, claim from bank-
owned life insurance (BOLI); $243 thousand, after tax, of net gains from
securities transactions; a $608 thousand, after-tax, payment of management
fees to our defined benefit pension plan, and $788 thousand, after-tax, of
merger and acquisition expenses. Net income in 1998 included $16.3 million of
after-tax merger and acquisition expenses.
<TABLE>
<CAPTION>
Change
Diluted Earnings per Share 1999 1998 Amount Percent
- -------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net income $2.30 $1.22 $1.08 88.5%
Pension plan curtailment (.06) -- (.06) -100.0
BOLI claim (.06) -- (.06) -100.0
Net securities transactions (.01) (.02) .01 50.0
Payment of management fees
to defined benefit pension plan .02 -- .02 100.0
M & A expenses .03 .69 (.66) -95.7
----------------------------------
Earnings per share from operations $2.22 $1.89 $ .33 17.5%
==================================
</TABLE>
The fourth quarter of 1999, had net income of $13.3 million compared to
a net loss of $4.4 million in the fourth quarter of 1998. The fourth quarter
of 1999 included a $608 thousand, after-tax, payment of management fees to our
defined benefit pension plan. The fourth quarter of 1998 included the
aforementioned $16.3 million of after-tax merger and acquisition expenses and
$342 thousand, after tax, of net gains from securities transactions.
<TABLE>
<CAPTION>
4 Q 4 Q Change
Diluted Earnings per Share 1999 1998 Amount Percent
- -------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net income $.56 $(.19) $ .75 394.7%
Net securities transactions -- (.01) .01 100.0
Payment of management fees
to defined benefit pension plan .02 -- .02 100.0
M & A expenses -- .69 (.69) -100.0
---------------------------------
Earnings per share from operations $.58 $ .49 $ .09 18.4%
=================================
</TABLE>
Prior periods are restated for the Evergreen Bancorp merger that closed
on December 31, 1998. Making the announcement was William H. Chadwick,
president and chief executive officer.
"The strong operating performance in 1999, led by our community banks
and Stratevest, was our best year ever. This gives us considerable comfort as
we soon join forces with Peoples Heritage Financial Group, Inc.," said
Chadwick. "It is very clear that our customers and employees appreciate our
efforts and are remaining loyal. The signs are all positive that the new
company will fulfill our expectations," he said.
Highlights for the year 1999
- ----------------------------
Net interest income was $178.0 million for the year ended December 31,
1999, compared to $164.0 million for the year 1998 an increase of $13.9
million or 8.5%. The net interest margin was 4.41% and 4.34% for the years
ended 1999 and 1998, respectively, reflecting the higher interest rate
environment throughout most of 1999. The provision for loan losses in 1999
was $9.5 million, $130 thousand, or 1.4% higher than 1998, as a result of
increased loan balances and the changing mix of the loan portfolio. As of
December 31, 1999, non-performing assets dropped to .32% of total assets
compared to .55% of total assets at the end of 1998. Loans charged off, net
of recoveries equaled .24% and .21% of average loans in 1999 and 1998,
respectively.
Non-interest income for the year ended December 31, 1999, was $55.1
million, compared to $41.5 million for 1998, an increase of $13.6 million or
32.9%. Showing continued improvement in core areas of business were
investment management income up $6.6 million or 51.5%, service charges on
deposit accounts up $1.4 million or 12.2%, and ATM and card services income up
$1.3 million or 28.5%. Additionally, a gain of $2.6 million was recognized in
the first quarter of 1999 when the Evergreen Bancorp pension plan was merged
into the Banknorth plan. Offsetting the increases, mortgage banking income
was down $1.4 million or 25.7%, reflecting the higher rate environment, and
resultant drop in the level of refinancing in the last half of 1999.
Total non-interest expenses, $145.5 million for 1999, were down $7.2
million, or 4.7%, from the level experienced in 1998. Without the merger and
acquisition expenses in either year, or the payment of management fees to our
defined benefit pension plan, total non-interest expenses in 1999 were $143.3
million versus $130.8 million in 1998, an increase of $12.5 million or 9.6%.
This increase was primarily due to the increased operating costs related to
the Berkshires operations, acquired from BankBoston, N.A. in November 1998.
In the fourth quarter of 1999, the Company recorded a $937 thousand
expense for the payment of management fees, plus interest, to our defined
benefit pension plan. These management fees had been paid by the plan in
prior years. Management, as well as legal counsel, believes that these fees
were legal, proper and reasonable for necessary fund management services
provided. The Department of Labor, during its review, contested these fees.
Rather than incur additional legal fees to argue the point, a payment of the
fees has been made. The plan is over funded and the effect of the payment
will be to reduce future pension expenses.
Highlights for the fourth quarter of 1999
- -----------------------------------------
Net interest income for the fourth quarter of 1999 was $45.5 million, up
$2.9 million, or 6.9% from the fourth quarter of 1998. The net interest
margin in the fourth quarter of 1999 was 4.40%, up from the 4.31% in the
fourth quarter of 1998, reflecting the higher interest rate environment during
the fourth quarter of 1999. The provision for loan losses in the fourth
quarter of 1999 was $2.6 million, $265 thousand or 11.3% higher than the
fourth quarter of 1998, reflecting the $208 million growth in average loan
balances, as well as a changing mix of loan types.
Non-interest income in the three months ended December 31, 1999 was
$12.8 million compared to $11.6 million, up $1.1 million, or 9.7%, from the
fourth quarter of 1998.
For the three months ended December 31, 1999, non-interest expenses were
$37.4 million compared to $56.5 million in the fourth quarter of 1998. The
fourth quarter of 1999 included the aforementioned payment of management fees
to our defined benefit plan. The fourth quarter of 1998 included the
aforementioned M & A expenses. Without those "one-time" events, total non-
interest expenses in the fourth quarter were $36.5 million and $34.6 million
for 1999 and 1998, respectively, an increase of $1.9 million, or 5.5%. The
effect of the acquisition of the BankBoston, N.A. Berkshires operation on the
fourth quarter comparison is similar to that previously explained for the year
as a whole.
Balance Sheet Growth
- --------------------
Total assets at December 31, 1999, were $4.6 billion, up $185.9 million,
or 4.2%, from the $4.4 billion at December 31, 1998. Total loans at December
31, 1999, at $3.0 billion, were up $172.9 million or 6.1%, from December 31,
1998. Total deposits at year end 1999, were $3.6 billion, down $43.8 million
or 1.2%, from year end 1998. Typically, total deposits reach their peak at
year end. However, with the Y2K scare highlighted in the media, some
customers may have decided to have extra cash available through the transition
to 2000. Average total assets for 1999 were $4.4 billion, an increase of
$359.6 million or 8.9% over the average for 1998. Average total deposits for
1999 were $3.6 billion, up $382.5 million, or 11.9%. The Company acquired
$290.1 million of deposits in Berkshire County, Massachusetts from BankBoston,
N.A. That transaction, accounted for as a purchase, was closed in the fourth
quarter of 1998.
On June 2, 1999, it was announced that Banknorth had reached a
definitive agreement to be acquired by Peoples Heritage Financial Group, Inc.
[NASDAQ-PHBK] in a transaction valued at $780.7 million, based on the stock
price at that date. Under the terms of the definitive agreement, shareholders
of Banknorth will receive 1.825 shares of Peoples Heritage common stock for
each whole share of Banknorth common stock plus cash in lieu of any fractional
interest. The exchange will be tax free and the transaction will be accounted
for as a pooling of interests. The agreement is subject to the approval of
the shareholders of both companies and requisite regulatory approvals. It is
expected that the transaction will be closed in 2000.
Banknorth Group, Inc. serves the financial needs of customers 24 hours a
day, seven days a week through its automated telephone banking system and
network of over 150 ATMs. During business hours the eight community banks
with 100 offices located in New York, Massachusetts, New Hampshire and
Vermont, as well as Banknorth Mortgage Company and The Stratevest Group,
combine to help the customer answer the question - "Where do you see
yourself?" Banknorth can be reached on the Internet at
http://www.banknorth.com
###
Except for historical information contained herein, the matters
discussed in this news release, and other information contained in the
Company's SEC filings, may express "forward-looking statements". Those
"forward-looking statements" may involve risk and uncertainties, including
statements concerning future events or performance and assumptions and other
statements that are other than statements of historical facts. The Company
wishes to caution readers not to place undue reliance on any forward-looking
statements, which speak only as of the date made. Readers are advised that
various factors --- including, but not limited to changes in laws, regulations
or Generally Accepted Accounting Principles; the Company's competitive
position within the markets served of increasing consolidation within the
banking industry; certain customers and vendors of critical systems or
services having failed to comply with Year 2000 programming issues; unforeseen
changes in interest rates; any unforeseen downturns in the local, regional or
national economies --- could cause the Company's actual results or
circumstances for future periods to differ materially from those anticipated
or projected.
Banknorth does not undertake, and specifically disclaims any obligation,
to publicly release the result of any revisions that may be made to any
forward-looking statements to reflect the occurrence of unanticipated events
or circumstances after the date of such statements.
-MORE-
(SEE ATTACHED FINANCIAL RESULTS)
Banknorth Group, Inc.
Comparative Financial Results
(In thousands, except share and per share data)
Page 1 of 6
<TABLE>
<CAPTION>
Income Statements For the three months ended December 31,
- ---------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Interest income $82,690 $78,656 $ 4,034 5.1%
Interest expense 37,209 36,106 1,103 3.1%
Net interest income 45,481 42,550 2,931 6.9%
Provision for loan losses 2,600 2,335 265 11.3%
-------------------------------------------
Net interest income after provision
for loan losses 42,881 40,215 2,666 6.6%
Non-interest income:
Investment management fees 4,821 3,791 1,030 27.2%
Service charges on deposit accounts 3,251 2,969 282 9.5%
Mortgage banking 743 1,391 (648) -46.6%
Card services 920 686 234 34.1%
ATMs 669 635 34 5.4%
Bank-owned life insurance 819 569 250 43.9%
Net securities transactions 0 526 (526) -100.0%
Net gain on curtailment of pension plan 0 0 0 --
Bank-owned life insurance claim 0 0 0 --
Other non-interest income 1,549 1,079 470 43.6%
-------------------------------------------
Non-interest income 12,772 11,646 1,126 9.7%
Non-interest expenses:
Compensation and benefits 16,908 17,554 (646) -3.7%
Occupancy, equipment and software 5,682 4,852 830 17.1%
Data processing fees 1,333 1,472 (139) -9.4%
Legal and professional fees 1,760 1,502 258 17.2%
Advertising and marketing 1,130 922 208 22.6%
Printing and supplies 765 847 (82) -9.7%
Communications 916 773 143 18.5%
Goodwill amortization 2,233 1,779 454 25.5%
Capital securities expense 789 789 0 0.0%
Merger and acquisition related expenses 0 21,968 (21,968) -100.0%
Other expenses 5,884 4,086 1,798 44.0%
Non-interest expenses 37,400 56,544 (19,144) -33.9%
Income before income taxes 18,253 (4,683) 22,936 489.8%
Income taxes 4,999 (321) 5,320 1657.3%
-------------------------------------------
NET INCOME $13,254 $(4,362) $17,616 403.9%
-------------------------------------------
Net income, as reported $13,254 $(4,362) $17,616 403.9%
Less "non-operating" income items,
included above:
Net securities transactions 0 526 (526) -100.0%
Net gain on curtailment of pension plan 0 0 0 0.0%
Bank-owned life insurance claim 0 0 0 0.0%
-------------------------------------------
Total "non-operating" income items 0 526 (526) -100.0%
Income taxes on "non-operating" income
items 0 184 (184) -100.0%
-------------------------------------------
"Non-operating" income items, net
of taxes 0 342 (342) -100.0%
-------------------------------------------
Add "non-operating" expense items,
included above:
Merger and acquisition related expenses 0 21,968 (21,968) -100.0%
Payment of mgmt fees to our defined
benefit pension plan 937 0 937 100.0%
Income taxes on non-operating expense
items 328 5,710 (5,382) -94.3%
-------------------------------------------
"Non-operating" expense items,
net of taxes 609 16,258 (15,649) -96.3%
-------------------------------------------
Income from operations $13,863 $11,554 $ 2,309 20.0%
Cash income from operations (1) $15,202 $12,622 $ 2,579 20.4%
<FN>
<F1> Income from operations, excluding goodwill amortization expense, net of
income tax effect.
</FN>
</TABLE>
Banknorth Group, Inc.
Comparative Financial Results
(In thousands, except share and per share data)
Page 2 of 6
<TABLE>
<CAPTION>
Income Statements For the years ended December 31,
- ----------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Interest income $319,584 $308,701 $10,883 3.5%
Interest expense 141,602 144,658 (3,056) -2.1%
--------------------------------------------
Net interest income 177,982 164,043 13,939 8.5%
Provision for loan losses 9,475 9,345 130 1.4%
--------------------------------------------
Net interest income after provision
for loan losses 168,507 154,698 13,809 8.9%
Non-interest income:
Investment management fees 19,455 12,838 6,617 51.5%
Service charges on deposit accounts 13,077 11,657 1,420 12.2%
Mortgage banking 4,081 5,492 (1,411) -25.7%
Card services 3,047 2,227 820 36.8%
ATMs 2,718 2,258 460 20.4%
Bank-owned life insurance 2,654 2,229 425 19.1%
Net securities transactions 374 519 (145) 27.9%
Net gain on curtailment of pension plan 2,577 0 2,577 100.0%
Bank-owned life insurance claim 1,389 0 1,389 100.0%
Other non-interest income 5,733 4,253 1,480 34.8%
--------------------------------------------
Non-interest income 55,105 41,473 13,632 32.9%
Non-interest expenses:
Compensation and benefits 67,879 65,545 2,334 3.6%
Occupancy, equipment and software 22,357 19,218 3,139 16.3%
Data processing fees 6,758 6,889 (131) -1.9%
Legal and professional fees 5,117 5,145 (28) -0.5%
Advertising and marketing 4,716 3,870 846 21.9%
Printing and supplies 3,047 3,071 (24) -0.8%
Communications 3,775 2,963 812 27.4%
Goodwill amortization 8,864 5,743 3,121 54.3%
Capital securities expense 3,156 3,156 0 0.0%
Merger and acquisition related expenses 1,233 21,968 (20,735) -94.4%
Other expenses 18,615 15,168 3,447 22.7%
--------------------------------------------
Non-interest expenses 145,517 152,736 (7,219) -4.7%
--------------------------------------------
Income before income taxes 78,095 43,435 34,660 79.8%
Income taxes 23,559 14,515 9,044 62.3%
--------------------------------------------
NET INCOME $ 54,536 $ 28,920 $25,616 88.6%
--------------------------------------------
Net income, as reported $ 54,536 $ 28,920 $25,616 88.6%
Less "non-operating" income items,
included above:
Net securities transactions 374 519 (145) -27.9%
Net gain on curtailment of pension plan 2,577 0 2,577 100.0%
Bank-owned life insurance claim 1,389 0 1,389 100.0%
--------------------------------------------
Total "non-operating" income items 4,340 519 3,821 736.2%
Income taxes on "non-operating" income
items 1,196 186 1,010 543.0%
--------------------------------------------
"Non-operating" income items,
net of taxes 3,144 333 2,811 844.1%
--------------------------------------------
Add "non-operating" expense items,
included above:
Merger and acquisition related expenses 1,233 21,968 (20,735) -94.4%
Payment of mgmt fees to our defined
benefit pension plan 937 0 937 100.0%
Income taxes on non-operating expense
items 773 5,710 (4,937) -86.5%
--------------------------------------------
"Non-operating" expense items,
net of taxes 1,397 16,258 (14,861) -91.4%
--------------------------------------------
Income from operations $ 52,789 $ 44,845 $ 7,944 17.7%
Cash income from operations (1) $ 58,107 $ 48,291 $ 9,816 20.3%
<FN>
<F1> Income from operations, excluding goodwill amortization expense, net of
income tax effect.
</FN>
</TABLE>
Page 3 of 6
<TABLE>
<CAPTION>
Per Share Information For the three months ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Basic wtd. avg number of shares outstanding 23,560,684 23,203,556 357,128 1.5%
Basic earnings per share (Basic EPS)
Net income $0.56 $(0.19) $0.75 394.7%
Income from operations 0.59 0.50 0.09 18.0%
Cash income from operations 0.65 0.54 0.11 20.4%
Diluted wtd. avg number of shares outstanding 23,845,836 23,552,615 293,221 1.2%
Diluted earnings per share (Diluted EPS)
Net income $0.56 $(0.19) $0.75 394.7%
Income from operations 0.58 0.49 0.09 18.4%
Cash income from operations 0.64 0.54 0.10 18.5%
Shares outstanding, net treasury shares, p.e. 23,447,731 23,179,092 268,639 1.2%
Book value, p.e. $14.56 $13.86 $0.70 5.0%
Tangible book value, p.e. 11.52 10.40 1.12 10.8%
Closing price at period end (2) $26.75 $37.63 $(10.88) -28.9%
Price / Diluted net income EPS (last 4 qtrs) 11.6 30.8 (19.2) -62.3%
Price / Diluted income from operations EPS
(last 4 qtrs) 12.0 19.9 (7.9) -39.7%
Price / Diluted cash income from operations
EPS (last 4 qtrs) 10.9 18.4 (7.5) -40.8%
<FN>
<F2> Closing price per share represents the historical price per share of
Banknorth Group. Inc.
</FN>
</TABLE>
<TABLE>
<CAPTION>
Ratios and Other Information For the three months ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Return on average total assets:
Net income 1.16% -0.41% 1.57% 382.9%
Income from operations 1.22% 1.08% 0.14% 13.0%
Return on average shareholders' equity:
Net income 15.52% -5.12% 20.64% 403.1%
Income from operations 16.23% 13.57% 2.66% 19.6%
Stratevest total assets under management $4,243,066 $4,136,343 $106,723 2.6%
Managed assets with discretionary powers 2,931,685 2,747,025 184,660 6.7%
Net interest income, f.t.e. basis $ 46,325 $ 42,950 $ 3,375 7.9%
Net interest margin 4.40% 4.31% 0.09% 2.1%
Price / Tangible book value, p.e. 232.2% 361.8% -129.7% -35.8%
Total non-interest income from operations/total
gross revenue (fte) 21.61% 20.57% 1.05% 5.1%
Efficiency ratio 58.82% 59.71% -0.89% -1.5%
Effective tax rate 27.39% 6.85% 20.53% 299.5%
Loans charged off, net of recoveries $ 1,588 $ 1,743 $ (155) -8.9%
NPAs as a % of total assets, p.e. 0.32% 0.55% -0.23% -41.8%
Allow. for loan losses as % of NPLs, p.e. 339.74% 212.14% 127.60% 60.1%
Allow. for loan losses as % total loans, p.e. 1.57% 1.57% 0.00% 0.0%
Shareholders' equity to total assets, p.e. 7.44% 7.30% 0.14% 1.9%
Tangible shareholders' equity to tangible
assets, p.e. 5.98% 5.58% 0.40% 7.2%
</TABLE>
Page 4 of 6
<TABLE>
<CAPTION>
Per Share Information For the years ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Basic wtd. avg number of shares outstanding 23,435,122 23,277,560 157,562 0.7%
Basic earnings per share (Basic EPS)
Net income $2.33 $1.24 $1.09 87.9%
Income from operations 2.25 1.93 0.32 16.6%
Cash income from operations 2.48 2.07 0.41 19.8%
Diluted wtd. avg number of shares outstanding 23,734,591 23,669,540 65,051 0.3%
Diluted earnings per share (Diluted EPS)
Net income $2.30 $1.22 $1.08 88.5%
Income from operations 2.22 1.89 0.33 17.5%
Cash income from operations 2.45 2.04 0.41 20.1%
Shares outstanding, net treasury shares, p.e. 23,447,731 23,179,092 268,639 1.2%
Book value, p.e. $14.56 $13.86 $0.70 5.0%
Tangible book value, p.e. 11.52 10.40 1.12 10.8%
Closing price at period end (2) $26.75 $37.63 $(10.88) -28.9%
Price / Diluted net income EPS (last 4 qtrs) 11.6 30.8 (19.2) -62.3%
Price / Diluted income from operations
EPS (last 4 qtrs) 12.0 19.9 (7.9) -39.7%
Price / Diluted cash income from operations
EPS (last 4 qtrs) 10.9 18.4 (7.5) -40.8%
<FN>
<F2> Closing price per share represents the historical price per share of
Banknorth Group. Inc.
</FN>
</TABLE>
<TABLE>
<CAPTION>
Ratios and Other Information For the years ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Return on average total assets:
Net income 1.23% 0.71% 0.52% 73.2%
Income from operations 1.19% 1.10% 0.09% 8.2%
Return on average shareholders' equity:
Net income 16.59% 8.95% 7.64% 85.4%
Income from operations 16.06% 13.88% 2.18% 15.7%
Stratevest total assets under management $4,243,066 $4,136,343 $106,723 2.6%
Managed assets with discretionary powers 2,931,685 2,747,025 184,660 6.7%
Net interest income, f.t.e. basis $ 180,907 $ 165,605 $ 15,302 9.2%
Net interest margin 4.41% 4.34% 0.07% 1.6%
Price / Tangible book value, p.e. 232.2% 361.8% -129.6% -35.8%
Total non-interest income from operations/total
gross revenue (fte) 21.91% 19.83% 2.09% 10.5%
Efficiency ratio 57.88% 59.78% -1.90% -3.2%
Effective tax rate 30.17% 33.42% -3.25% -9.7%
Loans charged off, net of recoveries $6,835 $5,559 $1,276 23.0%
NPAs as a % of total assets, p.e. 0.32% 0.55% -0.23% -41.8%
Allow. for loan losses as % of NPLs, p.e. 339.74% 212.14% 127.60% 60.1%
Allow. for loan losses as % total loans, p.e. 1.57% 1.57% 0.00% 0.0%
Shareholders' equity to total assets, p.e. 7.44% 7.30% 0.14% 1.9%
Tangible shareholders' equity to tangible
assets, p.e. 5.98% 5.58% 0.40% 7.2%
</TABLE>
Page 5 of 6
<TABLE>
<CAPTION>
Balance Sheets, Period End Balances as of
- ---------------------------------------------------------------------------------------------------
12-31-99 12-31-98 Change %
-------- -------- ------ -
<S> <C> <C> <C> <C>
Loans $3,009,997 $2,837,106 $172,891 6.1%
Loans held for sale 15,098 42,996 (27,898) -64.9%
Securities available for sale 1,155,022 1,127,865 27,157 2.4%
Investment securities, held to maturity 15,819 20,545 (4,726) -23.0%
Money market investments 25,790 4,900 20,890 426.3%
-------------------------------------------------
Total earning assets 4,221,726 4,033,412 188,314 4.7%
Allowance for loan losses (47,177) (44,537) 2,640 5.9%
Cash and due from banks 148,057 164,826 (16,769) -10.2%
Goodwill 71,117 80,224 (9,107) -11.4%
Other assets 195,013 168,956 26,057 15.4%
-------------------------------------------------
Total assets $4,588,736 $4,402,881 $185,855 4.2%
--------------------------------------------------
Deposits:
Non-interest bearing $ 510,652 $ 546,192 $(35,540) -6.5%
Interest bearing 3,085,092 3,093,305 (8,213) -0.3%
Total deposits 3,595,744 3,639,497 (43,753) -1.2%
Short-term borrowed funds 513,424 281,634 231,790 82.3%
Long-term debt 65,490 74,325 (8,835) -11.9%
Other liabilities 42,781 56,163 (13,382) -23.8%
Guaranteed preferred beneficial interests in
Corporation's junior subordinated debentures 30,000 30,000 0 0.0%
Shareholders' equity 341,297 321,262 20,035 6.2%
-------------------------------------------------
Total liabilities, guaranteed preferred
beneficial interests and shareholders'
equity $4,588,736 $4,402,881 $185,855 4.2%
-------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Average Balance Sheets For the three months ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Loans $2,963,522 $2,755,824 $207,698 7.5%
Loans held for sale 17,191 36,490 (19,299) -52.9%
Securities available for sale 1,152,471 1,123,294 29,177 2.6%
Investment securities, held to maturity 16,034 22,892 (6,858) -30.0%
Money market investments 7,668 22,376 (14,708) -65.7%
-------------------------------------------------
Total earning assets 4,156,886 3,960,876 196,010 4.9%
Allowance for loan losses (46,888) (43,219) 3,669 8.5%
Cash and due from banks 146,027 120,166 25,861 21.5%
Goodwill 72,324 55,250 17,074 30.9%
Other assets 185,774 149,067 36,707 24.6%
-------------------------------------------------
Total assets $4,514,123 $4,242,140 $271,983 6.4%
-------------------------------------------------
Deposits:
Non-interest bearing $ 535,956 $ 477,977 $ 57,979 12.1%
Interest bearing 3,098,836 2,957,814 141,022 4.8%
Total deposits 3,634,792 3,435,791 199,001 5.8%
Short-term borrowed funds 397,300 320,459 76,841 24.0%
Long-term debt 68,521 74,634 (6,113) -8.2%
Other liabilities 44,716 43,466 1,250 2.9%
Guaranteed preferred beneficial interests in
Corporation's junior subordinated debentures 30,000 30,000 0 0.0%
Shareholders' equity 338,794 337,790 1,004 0.3%
-------------------------------------------------
Total liabilities, guaranteed preferred
beneficial interests and shareholders'
equity $4,514,123 $4,242,140 $271,983 6.4%
-------------------------------------------------
<FN>
Note: All share and per share data has been restated to give retroactive
effect to stock splits.
</FN>
</TABLE>
Page 6 of 6
<TABLE>
<CAPTION>
Balance Sheets, Period End Balances as of
- ---------------------------------------------------------------------------------------------------
12-31-98 12-31-97 Change %
-------- -------- ------ -
<S> <C> <C> <C> <C>
Loans $2,837,106 $2,642,094 $195,012 7.4%
Loans held for sale 42,996 24,958 18,038 72.3%
Securities available for sale 1,127,865 958,553 169,312 17.7%
Investment securities, held to maturity 20,545 58,626 (38,081) -65.0%
Money market investments 4,900 71 4,829 6801.4%
-------------------------------------------------
Total earning assets 4,033,412 3,684,302 349,110 9.5%
Allowance for loan losses (44,537) (38,551) 5,986 15.5%
Cash and due from banks 164,826 112,297 52,529 46.8%
Goodwill 80,224 31,119 49,105 157.8%
Other assets 168,956 141,794 27,162 19.2%
-------------------------------------------------
Total assets $4,402,881 $3,930,961 $471,920 12.0%
-------------------------------------------------
Deposits:
Non-interest bearing $ 546,192 $ 430,373 $115,819 26.9%
Interest bearing 3,093,305 2,623,261 470,044 17.9%
-------------------------------------------------
Total deposits 3,639,497 3,053,634 585,863 19.2%
Short-term borrowed funds 281,634 449,935 (168,301) -37.4%
Long-term debt 74,325 42,249 32,076 75.9%
Other liabilities 56,163 37,015 19,148 51.7%
Guaranteed preferred beneficial interests in
Corporation's junior subordinated debentures 30,000 30,000 0 0.0%
Shareholders' equity 321,262 318,128 3,134 1.0%
-------------------------------------------------
Total liabilities, guaranteed preferred
beneficial interests and shareholders'
equity $4,402,881 $3,930,961 $471,920 12.0%
-------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Average Balance Sheets For the years ended December 31,
- ---------------------------------------------------------------------------------------------------
1999 1998 Change %
---- ---- ------ -
<S> <C> <C> <C> <C>
Loans $2,893,810 $2,684,169 $209,641 7.8%
Loans held for sale 26,360 35,708 (9,348) -26.2%
Securities available for sale 1,134,876 1,038,077 96,799 9.3%
Investment securities, held to maturity 18,124 36,016 (17,892) -49.7%
Money market investments 16,339 26,027 (9,688) -37.2%
-------------------------------------------------
Total earning assets 4,089,509 3,819,997 269,512 7.1%
Allowance for loan losses (46,538) (41,144) 5,394 13.1%
Cash and due from banks 132,024 105,642 26,382 25.0%
Goodwill 75,274 35,797 39,477 110.3%
Other assets 171,991 142,327 29,664 20.8%
-------------------------------------------------
Total assets $4,422,260 $4,062,619 $359,641 8.9%
-------------------------------------------------
Deposits:
Non-interest bearing $ 512,856 $ 429,272 $ 83,584 19.5%
Interest bearing 3,083,635 2,784,701 298,934 10.7%
Total deposits 3,596,491 3,213,973 382,518 11.9%
Short-term borrowed funds 348,538 390,641 (42,103) -10.8%
Long-term debt 72,130 63,776 8,354 13.1%
Other liabilities 46,314 41,108 5,206 12.7%
Guaranteed preferred beneficial interests in
Corporation's junior subordinated debentures 30,000 30,000 0 0.0%
Shareholders' equity 328,787 323,121 5,666 1.8%
-------------------------------------------------
Total liabilities, guaranteed preferred
beneficial interests and shareholders'
equity $4,422,260 $4,062,619 $359,641 8.9%
-------------------------------------------------
<FN>
Note: All share and per share data has been restated to give retroactive
effect to stock splits.
</FN>
</TABLE>
