Attached files
| file | filename |
|---|---|
| 8-K - FIRST M&F CORP/MS | v219119_8k.htm |
|
First M&F Corp. Investor Information
|
|
CONTACT:
|
John G. Copeland
EVP & Chief Financial Officer
(662) 289-8594
|
April 19, 2011
FOR IMMEDIATE RELEASE
First M&F Profitable for Fifth Consecutive Quarter, Earnings Improve, Credit Issues Stable
KOSCIUSKO, Miss. - First M&F Corp. (NASDAQ: FMFC) reported a profit today for the first quarter ended March 31, 2011 of $950,000. Net income allocated to common shareholders was $515,000 or $0.06 basic and diluted earnings per share compared to a profit of $413,000 or $0.05 basic and diluted earnings per share for the first quarter of 2010. Hugh S. Potts, Jr., CEO and Chairman of the Board, commented, “It is encouraging to see earnings of $0.06 per share this quarter to make five consecutive quarters of profitable operations and credit issues closer to resolution.”
Net Interest Income
Net interest income was up by 13.20% compared to the first quarter of 2010, with the net interest margin increasing to 3.59% on a tax equivalent basis in the first quarter of 2011 as compared to 3.16% in the first quarter of 2010. The most significant contributor to the increase in net interest income was the increase in net interest spread as deposits continued to be repriced lower in the continuing low rate environment. Mr. Potts commented, “The Company’s net interest margin is improving through pricing and balance sheet management as well as the decline in non-performing asset drag.”
The net interest margin for the fourth quarter of 2010 was 3.57% as compared to 3.60% for the third quarter of 2010 and 3.40% for the second quarter of 2010. Loans Held for Investment yields decreased slightly to 5.92% in the first quarter of 2011 from 5.93% in the first quarter of 2010. Overall loan yields improved slightly from the fourth quarter of 2010 to the first quarter. Average total loans were $1.061 billion for the first quarter of 2011 as compared to $1.048 billion for the fourth quarter of 2010 and $1.068 billion during the first quarter of 2010. Loans decreased by $8.885 million in the first quarter of 2011 but grew by $13.133 million in the fourth quarter of 2010. Deposit costs decreased in the first quarter of 2011 from the fourth quarter of 2010 continuing a trend in declining deposit costs dating back to the fourth quarter of 2007 as costs have reflected the low-rate environment since then. Deposit costs were 1.31% in the first quarter of 2011 as compared to 1.80% in the first quarter of 2010.
Deposits grew by $24.664 million, or 1.79% during the first quarter of 2011, primarily from public funds. Management plans to continue to focus on core deposit growth for 2011 to offset the influence that the low rate environment may have on the net interest margin. Loans as a percentage of assets were 65.40% at March 31, 2011 as compared to 64.22% at March 31, 2010 and 66.10% at December 31, 2010. Loans grew by less than 1.00% since the first quarter of 2010 while deposits grew by 1.90%.
Non-interest Income
Non-interest income, excluding securities transactions and other-than-temporary impairment on securities, for the first quarter of 2011 was down 2.56% compared to the first quarter of 2010, with deposit-related income down by .89% and mortgage income up by 3.79%. Insurance agency commissions were down by less than 1.00%.
A major part of non-interest income is from deposit sources. Deposit revenues, although slightly down overall, continue to be supported by debit card fee income, which increased by 29.24% in the first quarter of 2011 over 2010. The drop in overall deposit revenues was due to a fall off in overdraft fee income, which decreased by 12.34% as the volume of overdrafts fell.
Including securities gains and losses and impairments, non-interest income was up 2.28% over the year ago quarter.
Non-interest Expenses
Non-interest expenses were up by 10.46% in the first quarter of 2011 as compared to the first quarter of 2010. Salaries and benefits expense increased by only 1.92% while the major contributor to the overall non-interest expense increase was the 416% increase in foreclosed property expense as credit issues began to culminate in foreclosure and disposal of other real estate.
Credit Quality
Annualized net loan charge-offs as a percent of average loans for the first quarter of 2011 were 0.60% as compared to 1.99% for the same period in 2010. Non-accrual and 90-day past due loans as a percent of total loans were 3.58% at the end of the first quarter of 2011 as compared to 4.21% at the end of the 2010 quarter
The allowance for loan losses as a percentage of loans was 1.62% at March 31, 2011 as compared to 2.03% at March 31, 2010. The provision for loan losses increased to $2.580 million in the first quarter of 2011 from $2.280 million in the first quarter of 2010. Mr. Potts commented, “Our pre-tax, pre-provision, pre-credit earnings shield has held steady with some improvement over the last five quarters. This enables us to produce positive earnings even after addressing credit issues, including the disposal of Other Real Estate. This is a good sign as we move beyond current credit issues to a more profitable future.”
Balance Sheet
Total assets at March 31, 2011 were $1.608 billion as compared to $1.604 billion at the end of 2010 and $1.623 billion at March 31, 2010. Total loans held to maturity were $1.051 billion compared to $1.060 billion at the end of 2010 and $1.042 billion at March 31, 2010. Deposits were $1.400 billion compared to $1.375 billion at the end of 2010 and $1.374 billion at March 31, 2010. Total capital was $107.679 million, while common equity was $91.006 million or $9.98 in book value per share at March 31, 2011.
Conclusion
“Progress out of the recession has been real, measurable and deliberate,” said Mr. Potts. “The national economy and real estate values have not allowed for a quick or robust recovery but we are making progress.”
In conclusion Mr. Potts said, “First M&F is slowly building capital through retained earnings while navigating very choppy economic seas. The storm has passed. The incidence of new credit issues has slowed. The disposition of other real estate is deliberate but moving in the right direction and losses on loans are in decline. The Company is not yet back to normal earnings or credit quality but the path toward normalcy is before us.”
About First M&F Corporation
First M&F Corp., the parent of M&F Bank, is committed to proceed with its mission of making the mid-south better through the delivery of excellence in financial services to 33 communities in Mississippi, Alabama, Tennessee and Florida.
Caution Concerning Forward-Looking Statements
This document includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in economic, business, competitive, market and regulatory factors. More detailed information about those factors is contained in First M&F Corporation's filings with the Securities and Exchange Commission.
|
First M&F Corporation
|
||||||||||||
|
Condensed Consolidated Statements of Condition (Unaudited)
|
||||||||||||
|
(In thousands, except share data)
|
||||||||||||
|
March 31
|
December 31
|
March 31
|
||||||||||
|
2011
|
2010
|
2010
|
||||||||||
|
Cash and due from banks
|
36,184 | 45,099 | 37,834 | |||||||||
|
Interest bearing bank balances
|
80,408 | 72,103 | 82,126 | |||||||||
|
Federal funds sold
|
25,000 | 25,000 | 42,000 | |||||||||
|
Securities available for sale (cost of
|
||||||||||||
|
$294,351, $274,421 and $285,849)
|
296,242 | 276,929 | 289,354 | |||||||||
|
Loans held for sale
|
2,586 | 6,242 | 8,698 | |||||||||
|
Loans
|
1,051,261 | 1,060,146 | 1,042,429 | |||||||||
|
Allowance for loan losses
|
17,043 | 16,025 | 21,115 | |||||||||
|
Net loans
|
1,034,218 | 1,044,121 | 1,021,314 | |||||||||
|
Bank premises and equipment
|
40,516 | 40,696 | 42,141 | |||||||||
|
Accrued interest receivable
|
6,719 | 6,380 | 7,040 | |||||||||
|
Other real estate
|
29,660 | 31,125 | 31,460 | |||||||||
|
Other intangible assets
|
4,906 | 5,013 | 5,333 | |||||||||
|
Other assets
|
51,061 | 51,256 | 55,801 | |||||||||
|
Total assets
|
1,607,500 | 1,603,964 | 1,623,101 | |||||||||
|
Non-interest bearing deposits
|
208,457 | 212,199 | 217,683 | |||||||||
|
Interest bearing deposits
|
1,191,619 | 1,163,213 | 1,156,315 | |||||||||
|
Total deposits
|
1,400,076 | 1,375,412 | 1,373,998 | |||||||||
|
Federal funds and repurchase agreements
|
14,561 | 33,481 | 14,225 | |||||||||
|
Other borrowings
|
48,527 | 50,416 | 91,240 | |||||||||
|
Junior subordinated debt
|
30,928 | 30,928 | 30,928 | |||||||||
|
Accrued interest payable
|
1,367 | 1,470 | 2,489 | |||||||||
|
Other liabilities
|
4,362 | 5,192 | 5,385 | |||||||||
|
Total liabilities
|
1,499,821 | 1,496,899 | 1,518,265 | |||||||||
|
Preferred stock, 30,000 shares issued and outstanding
|
16,673 | 16,390 | 28,900 | |||||||||
|
Common stock, 9,115,770, 9,106,803 and 9,069,346
|
||||||||||||
|
shares issued & outstanding
|
45,579 | 45,534 | 45,347 | |||||||||
|
Additional paid-in capital
|
31,873 | 31,883 | 31,928 | |||||||||
|
Nonvested restricted stock awards
|
783 | 784 | 780 | |||||||||
|
Retained earnings (deficit)
|
12,651 | 12,225 | (2,270 | ) | ||||||||
|
Accumulated other comprehensive income
|
120 | 249 | 151 | |||||||||
|
Total equity
|
107,679 | 107,065 | 104,836 | |||||||||
|
Total liabilities & equity
|
1,607,500 | 1,603,964 | 1,623,101 | |||||||||
|
First M&F Corporation and Subsidiary
|
||||||||
|
Condensed Consolidated Statements of Income (Unaudited)
|
||||||||
|
(In thousands, except share data)
|
||||||||
|
Three Months Ended March 31
|
||||||||
|
2011
|
2010
|
|||||||
|
Interest and fees on loans
|
15,375 | 15,388 | ||||||
|
Interest on loans held for sale
|
41 | 78 | ||||||
|
Taxable investments
|
1,771 | 2,045 | ||||||
|
Tax exempt investments
|
314 | 430 | ||||||
|
Federal funds sold
|
16 | 26 | ||||||
|
Interest bearing bank balances
|
52 | 45 | ||||||
|
Total interest income
|
17,569 | 18,012 | ||||||
|
Interest on deposits
|
3,847 | 5,190 | ||||||
|
Interest on fed funds and repurchase agreements
|
15 | 19 | ||||||
|
Interest on other borrowings
|
524 | 1,066 | ||||||
|
Interest on subordinated debt
|
458 | 496 | ||||||
|
Total interest expense
|
4,844 | 6,771 | ||||||
|
Net interest income
|
12,725 | 11,241 | ||||||
|
Provision for possible loan losses
|
2,580 | 2,280 | ||||||
|
Net interest income after loan loss
|
10,145 | 8,961 | ||||||
|
Service charges on deposits
|
2,458 | 2,480 | ||||||
|
Mortgage banking income
|
356 | 343 | ||||||
|
Agency commission income
|
892 | 898 | ||||||
|
Fiduciary and brokerage income
|
133 | 121 | ||||||
|
Other income
|
839 | 959 | ||||||
|
Other-than-temporary impairment on securities, net of
|
||||||||
|
$56 and $69 recognized in other
|
||||||||
|
comprehensive income
|
(296 | ) | (202 | ) | ||||
|
Gains on AFS securities
|
1,349 | 1,004 | ||||||
|
Total noninterest income
|
5,731 | 5,603 | ||||||
|
Salaries and employee benefits
|
6,956 | 6,825 | ||||||
|
Net occupancy expense
|
989 | 969 | ||||||
|
Equipment expenses
|
466 | 651 | ||||||
|
Software and processing expenses
|
398 | 402 | ||||||
|
FDIC insurance assessments
|
774 | 846 | ||||||
|
Foreclosed property expenses
|
2,353 | 456 | ||||||
|
Intangible asset amortization and impairment
|
107 | 106 | ||||||
|
Other expenses
|
2,768 | 3,154 | ||||||
|
Total noninterest expense
|
14,811 | 13,409 | ||||||
|
Net income before taxes
|
1,065 | 1,155 | ||||||
|
Income tax expense
|
115 | 301 | ||||||
|
Net income
|
950 | 854 | ||||||
|
Net income attributable to noncontrolling interests
|
- | 1 | ||||||
|
Net income attributable to First M&F Corp
|
950 | 853 | ||||||
|
Earnings Per Common Share Calculations:
|
||||||||
|
Net income attributable to First M&F Corp
|
950 | 853 | ||||||
|
Dividends and accretion on preferred stock
|
(432 | ) | (437 | ) | ||||
|
Net income applicable to common stock
|
518 | 416 | ||||||
|
Earnings attributable to participating securities
|
3 | 3 | ||||||
|
Net income allocated to common shareholders
|
515 | 413 | ||||||
|
Weighted average shares (basic)
|
9,109,095 | 9,069,346 | ||||||
|
Weighted average shares (diluted)
|
9,109,095 | 9,069,346 | ||||||
|
Basic earnings per share
|
$ | 0.06 | $ | 0.05 | ||||
|
Diluted earnings per share
|
$ | 0.06 | $ | 0.05 | ||||
|
First M&F Corporation
|
||||||||||||||||
|
Financial Highlights
|
||||||||||||||||
|
YTD Ended
|
YTD Ended
|
YTD Ended
|
YTD Ended
|
|||||||||||||
|
March 31
|
December 31
|
March 31
|
December 31
|
|||||||||||||
|
2011
|
2010
|
2010
|
2009
|
|||||||||||||
|
Performance Ratios:
|
||||||||||||||||
|
Return on assets (annualized)
|
0.24 | % | 0.25 | % | 0.21 | % | -3.63 | % | ||||||||
|
Return on equity (annualized) (a)
|
3.58 | % | 3.74 | % | 3.28 | % | -42.97 | % | ||||||||
|
Return on common equity (annualized) (a)
|
2.31 | % | 2.87 | % | 2.20 | % | -53.73 | % | ||||||||
|
Efficiency ratio (c)
|
79.26 | % | 78.47 | % | 78.16 | % | 89.87 | % | ||||||||
|
Net interest margin (annualized, tax-equivalent)
|
3.59 | % | 3.43 | % | 3.16 | % | 3.29 | % | ||||||||
|
Net charge-offs to average loans (annualized)
|
0.60 | % | 1.65 | % | 1.99 | % | 4.50 | % | ||||||||
|
Nonaccrual loans to total loans
|
3.55 | % | 3.11 | % | 4.01 | % | 4.17 | % | ||||||||
|
90 day accruing loans to total loans
|
0.03 | % | 0.09 | % | 0.20 | % | 0.23 | % | ||||||||
|
QTD Ended
|
QTD Ended
|
QTD Ended
|
QTD Ended
|
|||||||||||||
|
March 31
|
December 31
|
September 30
|
June 30
|
|||||||||||||
|
Per Common Share (diluted):
|
2011 | 2010 | 2010 | 2010 | ||||||||||||
|
Net income
|
0.06 | 0.03 | 1.49 | 0.09 | ||||||||||||
|
Cash dividends paid
|
0.01 | 0.01 | 0.01 | 0.01 | ||||||||||||
|
Book value
|
9.98 | 9.96 | 10.18 | 8.68 | ||||||||||||
|
Closing stock price
|
4.08 | 3.74 | 3.38 | 3.86 | ||||||||||||
|
Loan Portfolio Composition: (in thousands)
|
||||||||||||||||
|
Commercial, financial and agricultural
|
137,620 | 133,226 | 137,824 | 139,103 | ||||||||||||
|
Non-residential real estate
|
642,372 | 646,731 | 626,747 | 615,571 | ||||||||||||
|
Residential real estate
|
189,290 | 195,184 | 196,299 | 196,547 | ||||||||||||
|
Home equity loans
|
38,622 | 40,305 | 40,523 | 41,254 | ||||||||||||
|
Consumer loans
|
43,357 | 44,700 | 45,620 | 45,640 | ||||||||||||
|
Total loans
|
1,051,261 | 1,060,146 | 1,047,013 | 1,038,115 | ||||||||||||
|
Deposit Composition: (in thousands)
|
||||||||||||||||
|
Noninterest-bearing deposits
|
208,457 | 212,199 | 220,556 | 227,825 | ||||||||||||
|
NOW deposits
|
411,898 | 364,209 | 307,533 | 312,828 | ||||||||||||
|
MMDA deposits
|
161,959 | 166,455 | 162,955 | 145,798 | ||||||||||||
|
Savings deposits
|
116,714 | 114,769 | 117,175 | 114,426 | ||||||||||||
|
Core certificates of deposit under $100,000
|
261,087 | 268,272 | 267,350 | 278,177 | ||||||||||||
|
Core certificates of deposit $100,000 and over
|
222,617 | 234,500 | 228,543 | 245,182 | ||||||||||||
|
Brokered certificates of deposit under $100,000
|
2,880 | 3,074 | 3,005 | 5,322 | ||||||||||||
|
Brokered certificates of deposit $100,000 and over
|
14,464 | 11,934 | 14,762 | 14,253 | ||||||||||||
|
Total deposits
|
1,400,076 | 1,375,412 | 1,321,879 | 1,343,811 | ||||||||||||
|
Nonperforming Assets: (in thousands)
|
||||||||||||||||
|
Nonaccrual loans
|
37,407 | 33,127 | 37,082 | 35,603 | ||||||||||||
|
Other real estate
|
29,660 | 31,125 | 38,631 | 31,231 | ||||||||||||
|
Investment securities
|
639 | 698 | 596 | 660 | ||||||||||||
|
Total nonperforming assets
|
67,706 | 64,950 | 76,309 | 67,494 | ||||||||||||
|
Accruing loans past due 90 days or more
|
338 | 951 | 858 | 1,307 | ||||||||||||
|
Restructured loans (accruing)
|
16,320 | 18,052 | 18,518 | 15,374 | ||||||||||||
|
Total nonaccrual loan to loans
|
3.55 | % | 3.11 | % | 3.53 | % | 3.41 | % | ||||||||
|
Total nonperforming credit assets to loans and ORE
|
6.19 | % | 5.85 | % | 6.95 | % | 6.22 | % | ||||||||
|
Total nonperforming assets to assets ratio
|
4.21 | % | 4.05 | % | 4.93 | % | 4.30 | % | ||||||||
|
Allowance For Loan Loss Activity: (in thousands)
|
||||||||||||||||
|
Beginning balance
|
16,025 | 20,077 | 18,301 | 21,115 | ||||||||||||
|
Provision for loan loss
|
2,580 | 2,280 | 2,280 | 2,380 | ||||||||||||
|
Charge-offs
|
(2,147 | ) | (6,536 | ) | (1,485 | ) | (5,706 | ) | ||||||||
|
Recoveries
|
585 | 204 | 981 | 512 | ||||||||||||
|
Ending balance
|
17,043 | 16,025 | 20,077 | 18,301 | ||||||||||||
|
First M&F Corporation
|
||||||||||||||||
|
Financial Highlights
|
||||||||||||||||
|
QTD Ended
|
QTD Ended
|
QTD Ended
|
QTD Ended
|
|||||||||||||
|
March 31
|
December 31
|
September 30
|
June 30
|
|||||||||||||
|
2011
|
2010
|
2010
|
2010
|
|||||||||||||
|
Condensed Income Statements: (in thousands)
|
||||||||||||||||
|
Interest income
|
17,569 | 17,603 | 17,855 | 18,222 | ||||||||||||
|
Interest expense
|
4,844 | 5,235 | 5,561 | 6,324 | ||||||||||||
|
Net interest income
|
12,725 | 12,368 | 12,294 | 11,898 | ||||||||||||
|
Provision for loan losses
|
2,580 | 2,280 | 2,280 | 2,380 | ||||||||||||
|
Noninterest revenues
|
5,731 | 4,956 | 4,746 | 5,216 | ||||||||||||
|
Noninterest expenses
|
14,811 | 14,628 | 13,111 | 13,342 | ||||||||||||
|
Net income before taxes
|
1,065 | 416 | 1,649 | 1,392 | ||||||||||||
|
Income tax expense (benefit)
|
115 | (226 | ) | 407 | 120 | |||||||||||
|
Noncontrolling interest
|
- | 1 | (3 | ) | - | |||||||||||
|
Net income
|
950 | 641 | 1,245 | 1,272 | ||||||||||||
|
Preferred dividends
|
(432 | ) | (375 | ) | (441 | ) | (439 | ) | ||||||||
|
Gain on exchange of preferred stock (Note 1)
|
- | - | 12,867 | - | ||||||||||||
|
Net income applicable to common stock
|
518 | 266 | 13,671 | 833 | ||||||||||||
|
Earnings (loss) attributable to participating securities
|
3 | (1 | ) | 106 | 7 | |||||||||||
|
Net income allocated to common shareholders
|
515 | 267 | 13,565 | 826 | ||||||||||||
|
Tax-equivalent net interest income
|
12,955 | 12,624 | 12,563 | 12,180 | ||||||||||||
|
Selected Average Balances: (in thousands)
|
||||||||||||||||
|
Assets
|
1,622,363 | 1,574,426 | 1,553,415 | 1,598,285 | ||||||||||||
|
Loans held for investment
|
1,056,903 | 1,041,453 | 1,046,242 | 1,038,148 | ||||||||||||
|
Earning assets
|
1,463,032 | 1,404,766 | 1,384,289 | 1,438,166 | ||||||||||||
|
Deposits
|
1,403,733 | 1,341,738 | 1,331,624 | 1,362,362 | ||||||||||||
|
Equity
|
107,633 | 109,110 | 108,535 | 105,381 | ||||||||||||
|
Common equity
|
91,102 | 90,612 | 79,547 | 76,582 | ||||||||||||
|
Selected Ratios:
|
||||||||||||||||
|
Return on average assets (annualized)
|
0.24 | % | 0.16 | % | 0.32 | % | 0.32 | % | ||||||||
|
Return on average equity (annualized) (a)
|
3.58 | % | 2.33 | % | 4.55 | % | 4.84 | % | ||||||||
|
Return on average common equity (annualized) (a)
|
2.31 | % | 1.16 | % | 4.01 | % | 4.37 | % | ||||||||
|
Average equity to average assets
|
6.63 | % | 6.93 | % | 6.99 | % | 6.59 | % | ||||||||
|
Tangible equity to tangible assets (b)
|
6.41 | % | 6.38 | % | 6.72 | % | 6.56 | % | ||||||||
|
Tangible common equity to tangible assets (b)
|
5.37 | % | 5.36 | % | 5.67 | % | 4.70 | % | ||||||||
|
Net interest margin (annualized, tax-equivalent)
|
3.59 | % | 3.57 | % | 3.60 | % | 3.40 | % | ||||||||
|
Efficiency ratio (c)
|
79.26 | % | 83.22 | % | 75.75 | % | 76.69 | % | ||||||||
|
Net charge-offs to average loans (annualized)
|
0.60 | % | 2.41 | % | 0.19 | % | 2.01 | % | ||||||||
|
Nonaccrual loans to total loans
|
3.55 | % | 3.11 | % | 3.53 | % | 3.41 | % | ||||||||
|
90 day accruing loans to total loans
|
0.03 | % | 0.09 | % | 0.08 | % | 0.13 | % | ||||||||
|
Price to book
|
0.41 | x | 0.38 | x | 0.33 | x | 0.44 | x | ||||||||
|
Price to earnings
|
17.00 | x | 31.17 | x | 0.57 | x | 10.72 | x | ||||||||
|
First M&F Corporation
|
|||||||||||||||||
|
Financial Highlights
|
|||||||||||||||||
|
Historical Earnings Trends:
|
Earnings
|
Earnings
|
|||||||||||||||
|
Applicable to
|
Allocated to
|
||||||||||||||||
|
Common
|
Common
|
||||||||||||||||
|
Earnings
|
Stock
|
Shareholders
|
EPS
|
||||||||||||||
|
(in thousands)
|
(in thousands)
|
(in thousands)
|
(diluted)
|
||||||||||||||
| 1Q 2011 | 950 | 518 | 515 | 0.06 | |||||||||||||
| 4Q 2010 | 641 | 266 | 267 | 0.03 | |||||||||||||
| 3Q 2010 | 1,245 | 13,671 | 13,565 | 1.49 | |||||||||||||
| 2Q 2010 | 1,272 | 833 | 826 | 0.09 | |||||||||||||
| 1Q 2010 | 853 | 416 | 413 | 0.05 | |||||||||||||
| 4Q 2009 | (27,311 | ) | (27,747 | ) | (27,488 | ) | (3.03 | ) | |||||||||
| 3Q 2009 | (136 | ) | (571 | ) | (580 | ) | (0.06 | ) | |||||||||
| 2Q 2009 | (5,111 | ) | (5,550 | ) | (5,498 | ) | (0.61 | ) | |||||||||
| 1Q 2009 | (27,241 | ) | (27,395 | ) | (27,089 | ) | (2.99 | ) | |||||||||
|
Revenue Statistics:
|
Non-interest
|
Non-interest
|
|||||||||||||||
|
Revenues
|
Revenues to
|
Revenues to
|
|||||||||||||||
|
Per FTE
|
Ttl. Revenues
|
Avg. Assets
|
|||||||||||||||
|
(thousands)
|
(percent)
|
(percent)
|
|||||||||||||||
| 1Q 2011 | 37.9 | 30.67 | % | 1.43 | % | ||||||||||||
| 4Q 2010 | 35.4 | 28.19 | % | 1.25 | % | ||||||||||||
| 3Q 2010 | 34.9 | 27.42 | % | 1.21 | % | ||||||||||||
| 2Q 2010 | 35.1 | 29.98 | % | 1.31 | % | ||||||||||||
| 1Q 2010 | 34.4 | 32.66 | % | 1.39 | % | ||||||||||||
| 4Q 2009 | 32.8 | 26.09 | % | 1.05 | % | ||||||||||||
| 3Q 2009 | 34.4 | 29.81 | % | 1.30 | % | ||||||||||||
| 2Q 2009 | 31.2 | 29.92 | % | 1.24 | % | ||||||||||||
| 1Q 2009 | 32.3 | 29.81 | % | 1.28 | % | ||||||||||||
|
Expense Statistics:
|
Non-interest
|
||||||||||||||||
|
Expense to
|
Efficiency
|
||||||||||||||||
|
Avg. Assets
|
Ratio
|
||||||||||||||||
|
(percent)
|
(percent) (c)
|
||||||||||||||||
| 1Q 2011 | 3.70 | % | 79.26 | % | |||||||||||||
| 4Q 2010 | 3.69 | % | 83.22 | % | |||||||||||||
| 3Q 2010 | 3.35 | % | 75.75 | % | |||||||||||||
| 2Q 2010 | 3.35 | % | 76.69 | % | |||||||||||||
| 1Q 2010 | 3.32 | % | 78.16 | % | |||||||||||||
| 4Q 2009 | 8.25 | % | 106.73 | % | |||||||||||||
| 3Q 2009 | 3.41 | % | 78.34 | % | |||||||||||||
| 2Q 2009 | 3.94 | % | 95.10 | % | |||||||||||||
| 1Q 2009 | 7.65 | % | 80.41 | % | |||||||||||||
|
First M&F Corporation
|
||||||||||||||||
|
Average Balance Sheets/Yields and Costs (tax-equivalent)
|
||||||||||||||||
|
(In thousands with yields and costs annualized)
|
QTD March 2011
|
QTD March 2010
|
||||||||||||||
|
Average
|
Average
|
|||||||||||||||
|
Balance
|
Yield/Cost
|
Balance
|
Yield/Cost
|
|||||||||||||
|
Interest bearing bank balances
|
93,864 | 0.22 | % | 81,226 | 0.22 | % | ||||||||||
|
Federal funds sold
|
25,000 | 0.25 | % | 49,848 | 0.21 | % | ||||||||||
|
Taxable investments (amortized cost)
|
249,061 | 2.88 | % | 236,038 | 3.51 | % | ||||||||||
|
Tax-exempt investments (amortized cost)
|
33,939 | 5.98 | % | 46,541 | 5.98 | % | ||||||||||
|
Loans held for sale
|
4,265 | 3.85 | % | 11,506 | 2.76 | % | ||||||||||
|
Loans held for investment
|
1,056,903 | 5.92 | % | 1,056,177 | 5.93 | % | ||||||||||
|
Total earning assets
|
1,463,032 | 4.93 | % | 1,481,336 | 5.02 | % | ||||||||||
|
Non-earning assets
|
159,331 | 157,425 | ||||||||||||||
|
Total average assets
|
1,622,363 | 1,638,761 | ||||||||||||||
|
NOW
|
402,801 | 0.81 | % | 330,094 | 1.07 | % | ||||||||||
|
MMDA
|
161,581 | 0.85 | % | 147,128 | 1.08 | % | ||||||||||
|
Savings
|
115,815 | 1.21 | % | 112,260 | 1.33 | % | ||||||||||
|
Certificates of Deposit
|
514,184 | 1.86 | % | 576,885 | 2.50 | % | ||||||||||
|
Short-term borrowings
|
23,917 | 0.25 | % | 13,733 | 0.56 | % | ||||||||||
|
Other borrowings
|
80,261 | 4.97 | % | 131,820 | 4.80 | % | ||||||||||
|
Total interest bearing liabilities
|
1,298,559 | 1.51 | % | 1,311,920 | 2.09 | % | ||||||||||
|
Non-interest bearing deposits
|
209,352 | 213,143 | ||||||||||||||
|
Non-interest bearing liabilities
|
6,819 | 8,114 | ||||||||||||||
|
Preferred equity
|
16,531 | 28,868 | ||||||||||||||
|
Common equity
|
91,102 | 76,716 | ||||||||||||||
|
Total average liabilities and equity
|
1,622,363 | 1,638,761 | ||||||||||||||
|
Net interest spread
|
3.42 | % | 2.92 | % | ||||||||||||
|
Effect of non-interest bearing deposits
|
0.21 | % | 0.29 | % | ||||||||||||
|
Effect of leverage
|
-0.04 | % | -0.05 | % | ||||||||||||
|
Net interest margin, tax-equivalent
|
3.59 | % | 3.16 | % | ||||||||||||
|
Less tax equivalent adjustment:
|
||||||||||||||||
|
Investments
|
0.05 | % | 0.07 | % | ||||||||||||
|
Loans
|
0.01 | % | 0.01 | % | ||||||||||||
|
Reported book net interest margin
|
3.53 | % | 3.08 | % | ||||||||||||
|
First M&F Corporation
|
||||
|
Notes to Financial Schedules
|
||||
|
(a) Return on equity is calculated as: (Net income attributable to First M&F Corp) divided by (Total equity)
|
||||
|
Return on common equity is calculated as: (Net income attributable to First M&F Corp minus preferred dividends) divided by
|
||||
|
(Total First M&F Corp equity minus preferred stock)
|
||||
|
(b) Tangible equity to tangible assets is calculated as: (Total equity minus goodwill and other intangible assets) divided by
|
||||
|
(Total assets minus goodwill and other intangible assets)
|
||||
|
Tangible common equity to tangible assets is calculated as: (Total First M&F Corp equity minus preferred stock minus
|
||||
|
goodwill and other intangible assets) divided by (Total assets minus goodwill and other intangible assets)
|
||||
|
(c) Efficiency ratio is calculated as: (Noninterest expense) divided by (Tax-equivalent net interest income plus
|
||||
|
noninterest revenues)
|
||||
|
Note 1: On September 29, 2010 the Company issued 30,000 shares of Class B, Series CD, par value $1,000 preferred stock to the U.S. Treasury to acquire its 30,000 shares outstanding of Class B, Series A, par value $1,000 preferred stock. The Series CD preferred stock issued has a dividend rate of 2.00%. The estimated fair value of the Series CD preferred stock as of September 29, 2010 was $16,159,000. The Series A preferred stock carried a dividend rate of 5.00% and had a book value of $29,026,000 as of September 29, 2010. The acquisition of the Series A shares in exchange for the Series CD shares resulted in a gain of $12,867,000 which was recorded as a credit to retained earnings.
|
||||