Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - Atlantic Union Bankshares Corp | d8k.htm |
 Investor Presentation
Investor Presentation
August 2011
August 2011
Exhibit 99.1 |
 Agenda
Overview
Financial Performance
Near-Term Outlook
Q & A
2 |
 Forward Looking Statement
Certain statements in this report may constitute “forward-looking
statements” within the
meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking
statements
are
statements
that
include
projections,
predictions,
expectations or beliefs
about future events or results or otherwise and are not statements of
historical fact. Such statements are often characterized by
the use of qualified words (and their derivatives)
such as “expect,”
“believe,”
“estimate,”
“plan,”
“project,”
“anticipate”
or other statements
concerning opinions or judgment of the Company and its management about
future events. Although the Company believes that its
expectations with respect
to forward-looking
statements are based upon reasonable assumptions within the bounds of its
existing knowledge of its business and operations, there can be no
assurance that actual results, performance or achievements of the
Company will not differ materially from any future results,
performance or achievements expressed or implied by such forward-looking
statements. Actual future results and trends may differ materially
from historical results or those anticipated depending on a variety
of factors, including, but not limited to, the effects of and
changes in: general economic conditions, the interest rate environment,
legislative and regulatory requirements, competitive pressures, new
products and delivery systems, inflation, changes in the stock and
bond markets, technology, and consumer spending and savings
habits. The Company does not update any forward-looking
statements that may be made from time to
time
by
or
on
behalf
of
the Company.
3 |
 Overview
One of the largest financial services organizations
headquartered in Virginia
Holding company formed in 1993 –
Banking history in
some communities goes back more than 100 years
Assets of $3.8 Billion
Comprehensive financial services provider offering:
banking, mortgage, investment, trust and insurance
4 |
 Investment Highlights
Uniquely
positioned
in
Virginia
–
locations,
products and services
Branch footprint provides a competitive
advantage
Experienced management team
Proven acquirer and integrator
Proven financial performance
5 |
 Virginia Population Expansion
Source: Weldon Cooper Center, UVA
6 |
 Union First Market
Footprint
7
Only community bank with a
presence in top 7 Virginia banking
markets
More than 160 ATMs
Along major corridors (I-95 & I-64)
Stable/Growing markets
Economically diverse markets |
 Diversity Supports Growth in Virginia
Charlottesville
University of Virginia & Medical College
High tech and professional businesses
Virginia Beach -
Norfolk
Military
Shipbuilding
Tourism
Fredericksburg
Defense and security contractors
Health care
Retail
Northern Virginia
Nation’s Capital
Defense and security
contractors
Associations (lobbyists)
High tech
Richmond
State Capital
Fortune 500 headquarters (6)
Finance and insurance
Fort Lee doubling in size
VCU & VCU Medical Center
8 |
 Risk Management
Risk
Mitigation
Practices
Forward looking
Move early to protect
Special Assets Committee
Weekly meetings
Lending Philosophy
In-market lender
Community bank lending
Granular portfolio analysis
Full guarantees of commercial
credits
9
Control Environment
Strong internal policies
Active compliance, audit teams
Positive regulatory relations
Acted
Early
In
The
Current
Cycle
Reappraised loans
Received additional collateral
where necessary
Working with clients |
 Financial Performance |
 Strong Balance Sheet
Assets ($M)
Deposits ($M)
Loans ($M)
11 |
 Investment Portfolio Highlights
Total Portfolio is $591 MM or
15.3% of assets
Did not invest in
Pooled TRUPs
Data as of Q2 2011
12
Investment Portfolio
% of
Portfolio
$ in thousands
U.S. government and agency securities
1.6%
$ 9,313
Obligations of states and political subdivisions
31.7%
187,417
Corporate and other bonds
2.5%
15,044
Mortgage-backed securities
59.7%
352,651
Federal
Reserve
Bank
stock
–
restricted
1.1%
6,711
Federal
Home
Loan
Bank
stock
–
restricted
2.7%
16,172
Other securities
0.6%
3,752
Total securities
100.0%
$ 591,060 |
 Loan Composition by Type
13
Based on call report filings
6/30/2011
$
% of
Portfolio
Construction, Land Development, and
Other Land
$473.6
16.6%
Commercial Real Estate
$1,086.9
38.0%
Residential 1-4 Family
$448.3
15.7%
Equity Lines of Credit
$301.7
10.6%
Second Mortgages
$62.5
2.2%
Commercial
$165.6
5.8%
Personal
$257.2
9.0%
Credit Cards
$17.3
0.6%
Other
$46.5
1.6%
Gross Loans
$2,859.6
100.0%
Change 3/11 to 6/11
$
% of
Portfolio
% of Type
Construction, Land Development, and Other
Land
-$11.2
-0.7%
-2.3%
Commercial Real Estate
$57.4
1.3%
5.6%
Residential 1-4 Family
$14.8
0.2%
3.4%
Equity Lines of Credit
$3.1
-0.1%
1.0%
Second Mortgages
-$0.1
0.0%
-0.2%
Commercial
$1.7
0.0%
1.0%
Personal
-$7.0
-0.4%
-2.6%
Credit Cards
$0.2
0.0%
1.2%
Other
-$6.2
-0.3%
-11.8%
Gross Loans
$52.7
1.9% |
 Construction & Development
14
6/30/2011
$
%
Raw Land
$105.6
22.3%
Land Development / Commercial Lots
$125.9
26.6%
Construction Loans to Builders
$63.8
13.5%
Residential Non Builder Lots
$42.5
9.0%
Residential Builder Lots
$54.6
11.5%
Commercial Construction
$62.9
13.3%
Consumer Construction
$17.2
3.6%
Other (including loan settlement)
$1.1
0.2%
$473.6
100.0% |
 Commercial Real Estate
15
6/30/2011
Owner Occupied Commercial RE
$462.8
42.6%
Retail
$132.6
12.2%
Office
$126.1
11.6%
Office Warehouse
$100.7
9.3%
Multi Family
$103.9
9.6%
Hotel, Motel, B&B
$58.9
5.4%
Special Use
$59.8
5.5%
Small Mixed Use Building
$34.0
3.1%
Other
$8.0
0.7%
$1,086.8
100.0% |
 Asset Quality
16 |
 NPAs by Type
17
Based on call report filings
6/30/2011
Construction and Land Development
$27.4
30.2%
Commercial
$12.8
14.1%
Commercial Non-Owner Occupied
$1.7
1.9%
Commercial Owner Occupied
$6.6
7.3%
Consumer
$4.6
5.1%
OREO
$35.6
39.3%
OREO / Real Estate Investment
$1.5
1.7%
Other
$0.4
0.4%
$90.6
100.0%
Change 3/11 to 6/11
$
% of
Portfolio
% of Type
Construction and Land Development
-$6.2
-3.0%
-18.5%
Commercial
-$0.4
1.1%
-3.0%
Commercial Non-Owner Occupied
-$3.6
-3.4%
-67.9%
Commercial Owner Occupied
$0.0
0.8%
0.0%
Consumer
$1.6
2.1%
53.3%
OREO
-$1.6
2.5%
-4.3%
OREO / Real Estate Investment
$0.0
0.2%
0.0%
Other
-$0.2
-0.2%
-33.3%
-$10.4
-10.3% |
 NPAs by Market
18
6/30/2011
Charlottesville
$2.8
3.1%
Richmond
$30.1
33.2%
Fredericksburg
$29.2
32.2%
Northern Neck
$11.1
12.3%
Hampton Roads
$4.9
5.4%
Rappahannock
$5.6
6.2%
Northern Virginia
$1.9
2.1%
Other
$5.0
5.5%
$90.6
100.0%
Change 3/11 to 6/11
$
% of
Portfolio
% of
Market
Charlottesville
-$0.2
0.1%
-6.7%
Richmond
-$5.5
-2.0%
-15.4%
Fredericksburg
-$5.4
-2.0%
-15.6%
Northern Neck
$0.5
1.8%
4.7%
Hampton Roads
-$1.1
-0.5%
-18.3%
Rappahannock
$1.3
1.9%
30.2%
Northern Virginia
-$0.3
-0.1%
-13.6%
Other
$0.3
0.9%
6.4%
-$10.4
-10.3% |
 Deposit Composition
19
As of 6/30/11 |
 Capital Strength
20 |
 Net Income Trend
21 |
 Comparative Results
$ in thousands
22 |
 Net Interest Margin
23
*
Includes acquisition accounting impact |
 ROA and ROE Performance
24 |
 Near-Term Outlook/Priorities |
 2011 Outlook
Economic recovery?
Residential real estate exposure will
continue to impact asset quality
Challenging loan market
Competition rational
Expansion opportunities
Organic
Acquisition
26 |
 2011 Priorities
Continued focus on credit quality
Deepen existing relationships
Increase market share
Invest in technology and delivery channels
to increase product offerings
Rolled out mobile banking which will include
text, mobile web and iPhone App (Android
coming soon)
ATM upgrades coming soon
27 |
 Summary
Branch footprint is a competitive advantage
Product and services that compete effectively
with our largest competitors, but we’re able to
maintain low costs
Experienced management team
Proven acquirer and integrator
Strong balance sheet
Proven financial performance in all market
environments
28 |
 Thank You! |