Attached files
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| 8-K - MIDDLEBURG FINANCIAL CORP | f8kmbrg.htm |
Exhibit 99.1
E A R N I N G S R E L E A S E
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Press Contacts:
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Gary R. Shook, President & CEO
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540-687-4801 or
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pres@middleburgbank.com
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Raj Mehra, EVP & CFO
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540-687-4816 or
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cfo@middleburgbank.com
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Jeffrey H. Culver, EVP & COO
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703-737-3470 or
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coo@middleburgbank.com
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MIDDLEBURG FINANCIAL CORPORATION ANNOUNCES SECOND QUARTER 2011 RESULTS
MIDDLEBURG, VA. – August 2, 2011 – Middleburg Financial Corporation (the “Company”) (Nasdaq: MBRG), today announced net income of $1.2 million for the quarter ending June 30, 2011 representing an increase of 66% over the same quarter in 2010.
“The positive trends experienced by the Company in the first quarter of 2011 have continued into the second quarter. We achieved growth in both loans and deposits, an improved net interest margin, and a decline in our ratio of non performing assets to total assets during the quarter.” commented Gary R. Shook, president and chief executive officer. He continued, “While our year over year quarterly earnings growth of 66% is certainly gratifying, we still face uncertainty on the problem loan front as well as with the regulatory direction of the banking industry in general. We will continue to focus our efforts on increasing profitability and expanding offerings in our existing corporate footprint. Additionally, we are pleased to have received approval from the regulators for a full service banking office in Richmond, Virginia. The office will be shared with Middleburg Trust Company, a wholly owned subsidiary of the Company located in Richmond.”
Second Quarter 2011 Highlights:
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Net income of $1.2 million or $0.17 per diluted share, up 66% compared to second quarter of 2010;
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Net interest margin of 3.78% compared to margin of 3.67% for second quarter of 2010;
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Total revenue of $15.4 million, up 6.4% compared to second quarter of 2010;
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Loan growth of 2.4% during the quarter;
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Total assets of $1.1 billion, an increase of 5.6% from March 31, 2011;
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Deposits increased $43.0 million or 5.0% during the quarter;
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Provision for loan losses for quarter decreased by 15.8% compared to second quarter of 2010; and
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Capital ratios continue to be strong: Tangible Common Equity Ratio of 8.47%, Total Risk-Based Capital Ratio of 14.2%, Tier I Risk-Based Capital Ratio of 12.9%, and a Tier 1 Leverage Ratio of 9.1% at June 30, 2011.
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Total Revenue
Total revenue was $15.4 million in the quarter ended June 30, 2011 compared to $14.0 million in the previous quarter and $14.5 million in the quarter ended June 30, 2010, representing an increase of 10.0% compared to the previous linked quarter and an increase of 6.4% compared to the calendar quarter ended June 30, 2010.
Net interest income was $9.4 million during the three months ended June 30, 2011, which was 4.0% higher than the quarter ended March 31, 2011 and an increase of 11.4% compared to the quarter ended June 30, 2010. The average yield on earning assets was 4.86% for the quarter ended June 30, 2011 compared to 4.91% for the previous quarter and 5.22% for the quarter ended June 30, 2010, representing a decrease of 5 basis points from the previous quarter and a decrease of 36 basis points from the quarter ended June 30, 2010. Average earning assets increased 3.5% compared to the previous quarter. Loan growth and an increase in investment securities drove the increase in earning assets during the second quarter. The decrease in yields on earning assets from the previous quarter reflected a 12 basis point decrease in yields for the loan portfolio partially offset by an increase of 28 basis points in the yield of the securities portfolio.
The average cost of interest bearing liabilities was 1.26% for the quarter ended June 30, 2011, compared to 1.30% in the previous quarter, and 1.82% for the quarter ended June 30, 2010, representing a decrease of 4 basis points from the previous quarter and a decrease of 56 basis points from the quarter ended June 30, 2010. Costs for wholesale borrowings decreased by 11 basis points during the quarter, while costs for retail deposits decreased by 3 basis points during the same period. The decline in the cost of retail deposits was driven by a 2 basis point decline in the cost of interest checking deposits. The cost of time deposits decreased by 7 basis points during the quarter as maturing CD’s re-priced at lower rates. Cost of funds is calculated by dividing annualized total interest expense by the sum of average interest bearing liabilities and average demand deposits. Cost of funds was 1.11% for the quarter ended June 30, 2011 compared to 1.14% for the quarter ended March 31, 2011, a decrease of 3 basis points from the previous quarter
The net interest margin for the three months ended June 30, 2011 was 3.78%, compared to 3.80% for the previous quarter, and 3.67% for the quarter ended June 30, 2010, representing a decrease of 2 basis points from the previous quarter and in increase of 11 basis points compared to the quarter ended June 30, 2010.
The Company’s net interest margin is not a measurement under accounting principles generally accepted in the United States, but it is a common measure used by the financial services industry to determine how profitably earning assets are funded. The Company’s net interest margin is calculated by dividing tax equivalent net interest income by total average earning assets. Tax equivalent net interest income is calculated by grossing up interest income for the amounts that are non-taxable (i.e., municipal income) then subtracting interest expense. The tax rate utilized is 34%. Details on the calculation of the net interest margin are included in the “Key Statistics” table.
Non-interest income increased by $1.1 million or 22.4% when comparing the quarter ended June 30, 2011 to the previous quarter, and declined by $33,000 or 0.5% compared to the calendar quarter ended June 30, 2010. The primary reason for the higher non-interest income in the second quarter of 2011 relative to the prior quarter was an increase in gain-on-sale revenues from the Company’s mortgage operations.
Southern Trust Mortgage originated $153.0 million in mortgage loans during the quarter ended June 30, 2011 compared to $136.4 million originated during the previous quarter, an increase of 12.2%, and $194.0 million originated during the quarter ended June 30, 2010, a decrease of 21.1% when comparing calendar quarters. Gains on mortgage loan sales increased by 38.2% when comparing the quarter ended June 30, 2011 to the previous quarter. Gains on mortgage loan sales increased by 2.4% when comparing the quarter ended June 30, 2011 to the quarter ended June 30, 2010. The increase in gain-on-sale revenue in the second quarter of 2011 was driven by an increase in margins during the second quarter.
The revenues and expenses of Southern Trust Mortgage for the three month period ended June 30, 2011 is reflected in the Company’s financial statements on a consolidated basis following generally accepted accounting principles in the United States. The outstanding equity interest not held by the Company is reported on the Company’s balance sheet as “Non-controlling interest in consolidated subsidiary” and the earnings or loss attributable to the non-controlling interest is reported on the Company’s statement of income as “Net (income) / loss attributable to non-controlling interest.”
Trust and investment advisory service fees earned by Middleburg Trust Company (“MTC”) increased by 13.4% when comparing the quarter ended June 30, 2011 to the previous quarter, and increased by 12.3% compared to the quarter ended June 30, 2010. Trust and investment advisory fees are based primarily upon the market value of the accounts under administration. Total consolidated assets under administration by MTC were at $1.4 billion at June 30, 2011, an increase of 16.7% relative to March 31, 2011 and an increase of 27.2% relative to June 30, 2010.
Net securities gains were $87,000 during the quarter ended June 30, 2011 compared to net securities gains of $35,000 during the previous quarter and net securities losses of $37,000 during the quarter ended June 30, 2010.
Non-Interest Expense
Non-interest expense in the second quarter of 2011 increased by 5.9% compared to the previous quarter and increased by 5.6% compared to the quarter ended June 30, 2010.
Salaries and employee benefit expenses increased by $497,000 or 6.8% when comparing the second quarter of 2011 to the previous quarter, primarily due to an increase in commission expenses for mortgage loan officers. Expenses related to Other Real Estate Owned (OREO) increased by $262,000 or 76.2% when comparing the second quarter of 2011 to the previous quarter. Advertising expenses increased by $129,000 or 82.6% during the quarter as a result of expenses for bank-wide campaigns related to CD’s and loans and advertising at the mortgage company. Other expenses, which include expenses such as supplies, travel and entertainment expenses fell by $338,000 or 19.8% when comparing the quarter ended June 30, 2011 to the previous quarter.
The Company’s efficiency ratio which is represented by the ratio of non-interest expense to the sum of tax equivalent net interest income and non-interest income, excluding securities gains and losses, was 82.79% for the second quarter of 2011, compared to an efficiency ratio of 84.96% in the quarter ending March 31, 2011.
Asset Quality and Provision for Loan Losses
The provision for loan losses in the quarter ended June 30, 2011 was $1,087,000 compared to a $454,000 provision in the previous quarter and a provision of $1,291,000 in the quarter ended June 30, 2010, representing an increase of 139.4% from the previous quarter and a decrease of 15.8% from the quarter ended June 30, 2010.
The Allowance for Loan and Lease Losses (ALLL) at June 30, 2011 was $15.1 million representing 2.22% of total portfolio loans outstanding versus 2.20% at March 31, 2011 and 1.54% of total portfolio loans at June 30, 2010.
Loans that were delinquent for more than 90 days and still accruing were $3.2 million as of June 30, 2011 compared to $6.6 million as of March 31, 2011, representing a decrease of 50.8% during the quarter. The primary reason for the decrease in delinquent loans in the second quarter was because a large credit that was more than 90 days delinquent in the first quarter was moved to non-accrual status in the second quarter.
Non-accrual loans were $32.3 million at the end of the second quarter compared to $27.6 million as of March 31, 2011, representing an increase of 16.9% during the second quarter. The primary reason for the increase in non-accrual loans in the second quarter was because a large credit that was more than 90 days delinquent in the first quarter was moved to non-accrual status in the second quarter. Restructured loans were $112,000 at the end of the second quarter compared to $1.2 million as of March 31, 2011, representing a decrease of 91% during the quarter. The primary reason for the decrease in restructured loans in the second quarter was because certain loans that were classified as restructured as of March 31, 2011 were paid off in the second quarter. Other Real Estate Owned (OREO) was $6.2 million as of June 30, 2011 compared to $7.8 million as of March 31, 2011, representing a decrease of 20.5% during the second quarter. Non-performing assets were $41.9 million or 3.6% of total assets at June 30, 2011, compared to $43.3 million or 4.0% of total assets as of March 31, 2011.
Total Consolidated Assets
Total assets at June 30, 2011 were $1.1 billion, an increase of $60.4 million or 5.5% compared to total assets at March 31, 2011.
Growth in total portfolio loans was $15.8 million or 2.4% for the second quarter. The securities portfolio increased by $35.0 million or 13.5% in the second quarter relative to the previous quarter. Balances of mortgages held for sale increased by $14.3 million or 41.5% in the second quarter of 2011. Cash balances and deposits at other banks decreased by 4.4% in the second quarter of 2011.
Deposits and Other Borrowings
Total deposits increased by $43.0 million or 5.0% in the second quarter. Brokered deposits, including CDARS program funds, were $92.8 million at June 30, 2011, unchanged from March 31, 2011. FHLB advances were $77.9 million at June 30, 2011, up $5.0 million from March 31, 2011, or an increase of 6.8%.
Equity and Capital
Total shareholders’ equity at June 30, 2011 was $102.7 million, compared to shareholders’ equity of $98.4 million as of March 31, 2011. Retained earnings at June 30, 2011 were $39.3 million compared to $38.5 million at March 31, 2011. The book value of the Company’s common stock at June 30, 2011 was $14.68 per share.
The Company’s total risk-based capital ratio increased from 14.1% at December 31, 2010 to 14.2% at June 30, 2011, the Tier 1 risk-based capital ratio increased from 12.8% to 12.9% and the Tier 1 Leverage Ratio increased from 9.0% to 9.1% during the same period.
Caution about Forward Looking Statements
Certain information contained in this discussion may include “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to the Company’s future operations and are generally identified by phrases such as “the Company expects,” “the Company believes” or words of similar import. Although the Company believes that its expectations with respect to the forward-looking statements are based upon reliable assumptions within the bounds of its 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. For details on factors that could affect expectations, see the risk factors and other cautionary language included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010, and other filings with the Securities and Exchange Commission.
About Middleburg Financial Corporation
Middleburg Financial Corporation is headquartered in Middleburg, Virginia and has two wholly owned subsidiaries, Middleburg Bank and Middleburg Investment Group, Inc. Middleburg Bank serves communities in Virginia with financial centers in Ashburn, Gainesville, Leesburg, Marshall, Middleburg, Purcellville, Reston, Warrenton and Williamsburg. Middleburg Investment Group owns Middleburg Trust Company, which is headquartered in Richmond, Virginia with offices in Middleburg, Alexandria and Williamsburg. Middleburg Financial Corporation is also the majority owner of Southern Trust Mortgage, which is based in Virginia Beach and provides mortgages through 17 offices in 11 states.
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MIDDLEBURG FINANCIAL CORPORATION
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CONSOLIDATED STATEMENTS OF INCOME
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(In thousands, except for per share data)
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Unaudited
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Unaudited
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For the Six Months
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For the Three Months
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Ended June 30,
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Ended June 30,
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2011
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2010
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2011
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2010
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INTEREST INCOME
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Interest and fees on loans
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$ | 19,466 | $ | 20,829 | $ | 9,731 | $ | 10,384 | ||||||||
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Interest and dividends on securities available for sale
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Taxable
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3,150 | 2,028 | 1,751 | 1,090 | ||||||||||||
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Tax-exempt
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1,165 | 1,293 | 604 | 600 | ||||||||||||
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Dividends
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72 | 43 | 36 | 22 | ||||||||||||
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Interest on deposits in banks and federal funds sold
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60 | 63 | 33 | 28 | ||||||||||||
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Total interest and dividend income
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23,913 | 24,256 | 12,155 | 12,124 | ||||||||||||
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INTEREST EXPENSE
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Interest on deposits
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4,640 | 6,251 | 2,332 | 3,077 | ||||||||||||
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Interest on securities sold under agreements to
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repurchase
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125 | 80 | 69 | 60 | ||||||||||||
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Interest on short-term borrowings
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116 | 111 | 53 | 67 | ||||||||||||
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Interest on long-term debt
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602 | 926 | 306 | 488 | ||||||||||||
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Total interest expense
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5,483 | 7,368 | 2,760 | 3,692 | ||||||||||||
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NET INTEREST INCOME
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18,430 | 16,888 | 9,395 | 8,432 | ||||||||||||
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Provision for loan losses
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1,541 | 2,220 | 1,087 | 1,291 | ||||||||||||
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NET INTEREST INCOME AFTER PROVISION
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FOR LOAN LOSSES
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16,889 | 14,668 | 8,308 | 7,141 | ||||||||||||
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NONINTEREST INCOME
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Service charges on deposit accounts
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1,015 | 909 | 526 | 468 | ||||||||||||
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Trust services income
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1,850 | 1,690 | 983 | 875 | ||||||||||||
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Gains on loans held for sale
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6,785 | 6,474 | 3,938 | 3,844 | ||||||||||||
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Gains (losses) on securities available for sale, net
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122 | 469 | 87 | (37 | ) | |||||||||||
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Total other-than-temporary impairment losses
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(17 | ) | (300 | ) | - | (98 | ) | |||||||||
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Portion of (gain) loss recognized in other
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comprehensive income
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16 | 52 | - | 1 | ||||||||||||
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Net impairment losses
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(1 | ) | (248 | ) | - | (97 | ) | |||||||||
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Commissions on investment sales
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365 | 311 | 185 | 167 | ||||||||||||
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Fees on mortgages held for sale
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241 | 834 | 87 | 476 | ||||||||||||
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Other service charges, commissions and fees
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249 | 256 | 134 | 143 | ||||||||||||
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Bank-owned life insurance
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262 | 255 | 139 | 130 | ||||||||||||
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Other operating income (losses)
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105 | 179 | (55 | ) | 88 | |||||||||||
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Total noninterest income
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10,993 | 11,129 | 6,024 | 6,057 | ||||||||||||
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NONINTEREST EXPENSE
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Salaries and employees' benefits
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15,129 | 14,381 | 7,813 | 7,457 | ||||||||||||
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Net occupancy and equipment expense
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3,316 | 3,094 | 1,640 | 1,490 | ||||||||||||
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Advertising
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441 | 428 | 285 | 248 | ||||||||||||
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Computer operations
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708 | 668 | 343 | 340 | ||||||||||||
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Other real estate owned
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950 | 505 | 606 | 295 | ||||||||||||
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Other taxes
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402 | 397 | 205 | 201 | ||||||||||||
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Federal deposit insurance expense
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765 | 1,153 | 358 | 352 | ||||||||||||
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Other operating expenses
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3,478 | 3,583 | 1,703 | 1,883 | ||||||||||||
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Total noninterest expense
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25,189 | 24,209 | 12,953 | 12,266 | ||||||||||||
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Income before income taxes
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2,693 | 1,588 | 1,379 | 932 | ||||||||||||
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Income tax expense
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618 | 162 | 301 | 75 | ||||||||||||
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NET INCOME
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2,075 | 1,426 | 1,078 | 857 | ||||||||||||
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Net (income) loss attributable to non-
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controlling interest
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351 | 112 | 121 | (133 | ) | |||||||||||
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Net income attributable to Middleburg
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Financial Corporation
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$ | 2,426 | $ | 1,538 | $ | 1,199 | $ | 724 | ||||||||
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Earnings per share:
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Basic
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$ | 0.35 | $ | 0.22 | $ | 0.17 | $ | 0.10 | ||||||||
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Diluted
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$ | 0.35 | $ | 0.22 | $ | 0.17 | $ | 0.10 | ||||||||
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Dividends per common share
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$ | 0.10 | $ | 0.20 | $ | 0.05 | $ | 0.10 | ||||||||
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MIDDLEBURG FINANCIAL CORPORATION
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CONSOLIDATED BALANCE SHEETS
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(In thousands, except for share and per share data)
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(Unaudited)
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(Unaudited)
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June 30,
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March 31,
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December 31,
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2011
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2011
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2010
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ASSETS
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Cash and due from banks
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$ | 19,598 | $ | 22,060 | $ | 21,955 | ||||||
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Interest-bearing deposits with other institutions
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38,988 | 39,237 | 42,769 | |||||||||
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Total cash and cash equivalents
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58,586 | 61,297 | 64,724 | |||||||||
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Securities available for sale
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293,393 | 258,412 | 252,042 | |||||||||
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Loans held for sale
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48,689 | 34,407 | 59,361 | |||||||||
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Restricted securities, at cost
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6,932 | 6,746 | 6,296 | |||||||||
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Loans receivable, net of allowance for loan losses of $15,073 at June 30,
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2011, $14,575 at March 31, 2011, and $14,967 at December 31, 2010
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663,242 | 647,985 | 644,345 | |||||||||
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Premises and equipment, net
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21,393 | 20,908 | 21,112 | |||||||||
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Goodwill and identified intangibles
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6,286 | 6,317 | 6,360 | |||||||||
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Other real estate owned, net of valuation allowance of $1,006 at June 30,
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2011, $1,187 at March 31, 2011, and $1,486 at December 31, 2010
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6,255 | 7,825 | 8,394 | |||||||||
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Prepaid federal deposit insurance
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4,454 | 4,791 | 5,154 | |||||||||
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Accrued interest receivable and other assets
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35,437 | 35,601 | 36,779 | |||||||||
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TOTAL ASSETS
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$ | 1,144,667 | $ | 1,084,289 | $ | 1,104,567 | ||||||
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LIABILITIES
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Deposits:
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Non-interest-bearing demand deposits
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$ | 131,191 | $ | 122,888 | $ | 130,488 | ||||||
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Savings and interest-bearing demand deposits
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460,518 | 448,065 | 436,718 | |||||||||
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Time deposits
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316,776 | 294,502 | 323,100 | |||||||||
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Total deposits
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908,485 | 865,455 | 890,306 | |||||||||
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Securities sold under agreements to repurchase
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35,210 | 27,963 | 25,562 | |||||||||
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Short-term borrowings
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5,692 | 4,244 | 13,320 | |||||||||
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Long-term debt
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77,912 | 72,912 | 62,912 | |||||||||
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Subordinated notes
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5,155 | 5,155 | 5,155 | |||||||||
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Accrued interest payable and other liabilities
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7,405 | 7,353 | 7,319 | |||||||||
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Commitments and contingent liabilities
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- | - | - | |||||||||
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TOTAL LIABILITIES
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1,039,859 | 983,082 | 1,004,574 | |||||||||
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SHAREHOLDERS' EQUITY
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Common stock ($2.50 par value; 20,000,000 shares authorized,
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7,000,824 issued; 6,996,932, 6,942,315, and 6,925,437 outstanding at
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June 30, 2011, March 31, 2011, and December 31, 2010, respectively)
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17,331 | 17,314 | 17,314 | |||||||||
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Capital surplus
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43,150 | 43,105 | 43,058 | |||||||||
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Retained earnings
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39,322 | 38,473 | 37,593 | |||||||||
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Accumulated other comprehensive income (loss)
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2,908 | (480 | ) | (1,012 | ) | |||||||
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Total Middleburg Financial Corporation shareholders' equity
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102,711 | 98,412 | 96,953 | |||||||||
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Non-controlling interest in consolidated subsidiary
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2,097 | 2,795 | 3,040 | |||||||||
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TOTAL SHAREHOLDERS' EQUITY
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104,808 | 101,207 | 99,993 | |||||||||
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TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
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$ | 1,144,667 | $ | 1,084,289 | $ | 1,104,567 |
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QUARTERLY SUMMARY INCOME STATEMENTS
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MIDDLEBURG FINANCIAL CORPORATION
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(Unaudited. Dollars in thousands except per share data)
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For the Three Months Ended
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Jun. 30, 2011
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Mar. 31, 2011
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Dec. 31, 2010
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Sep. 30, 2010
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Jun. 30, 2010
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Interest and Dividend Income
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Interest and fees on loans
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$ | 9,731 | $ | 9,735 | $ | 9,887 | $ | 9,832 | $ | 10,384 | ||||||||||
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Interest on securities available for sale
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Taxable
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1,751 | 1,399 | 1,539 | 1,166 | 1,090 | |||||||||||||||
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Exempt from federal income taxes
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604 | 561 | 600 | 621 | 600 | |||||||||||||||
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Dividends
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36 | 36 | 30 | 32 | 22 | |||||||||||||||
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Interest on federal funds sold and other
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33 | 27 | 32 | 36 | 28 | |||||||||||||||
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Total interest and dividend income
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$ | 12,155 | $ | 11,758 | $ | 12,088 | $ | 11,687 | $ | 12,124 | ||||||||||
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Interest Expense
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Interest on deposits
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$ | 2,332 | $ | 2,308 | $ | 2,623 | $ | 3,160 | $ | 3,077 | ||||||||||
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Interest on securities sold under agreements to repurchase
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69 | 56 | 61 | 63 | 60 | |||||||||||||||
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Interest on short-term borrowings
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53 | 63 | 148 | 134 | 67 | |||||||||||||||
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Interest on long-term debt
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306 | 296 | 246 | 372 | 488 | |||||||||||||||
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Total interest expense
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$ | 2,760 | $ | 2,723 | $ | 3,078 | $ | 3,729 | $ | 3,692 | ||||||||||
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Net interest income
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$ | 9,395 | $ | 9,035 | $ | 9,010 | $ | 7,958 | $ | 8,432 | ||||||||||
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Provision for loan losses
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1,087 | 454 | 655 | 9,130 | 1,291 | |||||||||||||||
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Net interest income (loss) after provision
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for loan losses
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$ | 8,308 | $ | 8,581 | $ | 8,355 | $ | (1,172 | ) | $ | 7,141 | |||||||||
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Other Income
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Trust services income
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$ | 983 | $ | 867 | $ | 838 | $ | 807 | $ | 875 | ||||||||||
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Service charges on deposit accounts
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526 | 489 | 488 | 487 | 468 | |||||||||||||||
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Net gains (losses) on securities available for sale
|
87 | 35 | 109 | 288 | (37 | ) | ||||||||||||||
|
Total other-than-temporary impairment gain (loss) on securities
|
- | (17 | ) | (44 | ) | (557 | ) | (97 | ) | |||||||||||
|
Portion of (gain) loss recognized in other comprehensive income
|
- | 16 | (85 | ) | (169 | ) | - | |||||||||||||
|
Net other-than-temporary impairment loss
|
- | (1 | ) | (129 | ) | (726 | ) | (97 | ) | |||||||||||
|
Commissions on investment sales
|
185 | 180 | 169 | 142 | 167 | |||||||||||||||
|
Bank owned life insurance
|
139 | 123 | 112 | 136 | 130 | |||||||||||||||
|
Gain on loans held for sale
|
3,938 | 2,847 | 5,537 | 5,147 | 3,844 | |||||||||||||||
|
Fees on loans held for sale
|
87 | 154 | 570 | 477 | 476 | |||||||||||||||
|
Other service charges, commissions and fees
|
134 | 115 | 114 | 97 | 143 | |||||||||||||||
|
Other operating income (loss)
|
(55 | ) | 160 | 169 | 42 | 88 | ||||||||||||||
|
Total other income
|
$ | 6,024 | $ | 4,969 | $ | 7,977 | $ | 6,897 | $ | 6,057 | ||||||||||
|
Other Expense
|
||||||||||||||||||||
|
Salaries and employee benefits
|
$ | 7,813 | $ | 7,316 | $ | 7,748 | $ | 7,665 | $ | 7,457 | ||||||||||
|
Net occupancy expense of premises
|
1,640 | 1,676 | 1,598 | 1,557 | 1,490 | |||||||||||||||
|
Other taxes
|
205 | 197 | 200 | 201 | 201 | |||||||||||||||
|
Advertising
|
285 | 156 | 386 | 257 | 248 | |||||||||||||||
|
Computer operations
|
343 | 365 | 316 | 340 | 340 | |||||||||||||||
|
Other real estate owned
|
606 | 344 | 842 | 666 | 295 | |||||||||||||||
|
Audits and examinations
|
156 | 126 | 219 | 96 | 162 | |||||||||||||||
|
Legal fees
|
176 | 89 | 50 | 96 | 167 | |||||||||||||||
|
FDIC insurance
|
358 | 407 | 386 | 368 | 352 | |||||||||||||||
|
Other operating expenses
|
1,371 | 1,560 | 2,401 | 3,141 | 1,554 | |||||||||||||||
|
Total other expense
|
$ | 12,953 | $ | 12,236 | $ | 14,146 | $ | 14,387 | $ | 12,266 | ||||||||||
|
Income (loss) before income taxes
|
$ | 1,379 | $ | 1,314 | $ | 2,186 | $ | (8,662 | ) | $ | 932 | |||||||||
|
Income tax expense (benefit)
|
301 | 317 | 573 | (3,297 | ) | 75 | ||||||||||||||
|
Net income (loss)
|
$ | 1,078 | $ | 997 | $ | 1,613 | $ | (5,365 | ) | $ | 857 | |||||||||
|
Less: Net (income) loss attributable to non-controlling interest
|
121 | 230 | (51 | ) | (423 | ) | (133 | ) | ||||||||||||
|
Net income (loss) attributable to Middleburg Financial Corporation
|
$ | 1,199 | $ | 1,227 | $ | 1,562 | $ | (5,788 | ) | $ | 724 | |||||||||
|
Net income (loss) per common share, basic
|
$ | 0.17 | $ | 0.18 | $ | 0.23 | $ | (0.83 | ) | $ | 0.10 | |||||||||
|
Net income (loss) per common share, diluted
|
$ | 0.17 | $ | 0.18 | $ | 0.23 | $ | (0.83 | ) | $ | 0.10 | |||||||||
|
Dividends per common share
|
$ | 0.05 | $ | 0.05 | $ | 0.05 | 0.10 | $ | 0.10 |
|
MIDDLEBURG FINANCIAL CORPORATION
|
||||||||||||||||||||
|
KEY STATISTICS
|
||||||||||||||||||||
|
(Unaudited. Dollars in thousands except per share data)
|
For the Three Months Ended
|
|||||||||||||||||||
|
Jun 30, 2011
|
Mar 31, 2011
|
Dec 31, 2010
|
Sep 30, 2010
|
Jun 30, 2010
|
||||||||||||||||
|
Net income (loss)
|
$ | 1,199 | $ | 1,227 | $ | 1,562 | $ | (5,788 | ) | $ | 724 | |||||||||
|
Earnings (loss) per share, basic
|
$ | 0.17 | $ | 0.18 | $ | 0.23 | $ | (0.83 | ) | $ | 0.10 | |||||||||
|
Earnings (loss) per share, diluted
|
$ | 0.17 | $ | 0.18 | $ | 0.23 | $ | (0.83 | ) | $ | 0.10 | |||||||||
|
Dividend per share
|
$ | 0.05 | $ | 0.05 | $ | 0.05 | $ | 0.10 | $ | 0.10 | ||||||||||
|
Return on average total assets - Year to Date
|
0.45 | % | 0.46 | % | -0.25 | % | -2.11 | % | 0.28 | % | ||||||||||
|
Return on average total equity - Year to Date
|
4.95 | % | 5.11 | % | -2.71 | % | -22.03 | % | 2.85 | % | ||||||||||
|
Dividend payout ratio
|
29.41 | % | 27.78 | % | 22.21 | % |
NA
|
100.00 | % | |||||||||||
|
Non-interest revenue to total revenue (1)
|
38.72 | % | 35.02 | % | 39.82 | % | 38.56 | % | 34.05 | % | ||||||||||
|
Net interest margin (2)
|
3.78 | % | 3.80 | % | 3.60 | % | 3.27 | % | 3.67 | % | ||||||||||
|
Yield on average earning assets
|
4.86 | % | 4.91 | % | 4.78 | % | 4.74 | % | 5.22 | % | ||||||||||
|
Yield on average interest-bearing liabilities
|
1.26 | % | 1.30 | % | 1.41 | % | 1.73 | % | 1.82 | % | ||||||||||
|
Net interest spread
|
3.60 | % | 3.61 | % | 3.37 | % | 3.01 | % | 3.40 | % | ||||||||||
|
Non-interest income to average assets (3)
|
2.17 | % | 1.82 | % | 2.88 | % | 2.69 | % | 2.39 | % | ||||||||||
|
Non-interest expense to average assets (3)
|
4.67 | % | 4.53 | % | 5.09 | % | 5.29 | % | 4.73 | % | ||||||||||
|
Efficiency ratio - QTD (Tax Equiv) (4)
|
82.79 | % | 84.96 | % | 81.42 | % | 91.77 | % | 81.78 | % | ||||||||||
|
(1)
|
Excludes securities gains and losses including OTTI adjustments.
|
|
(2)
|
The net interest margin is calculated by dividing tax equivalent net interest income by total average earning assets. Tax equivalent net interest income is calculated by grossing up interest income for the amounts that are non taxable (i.e., municipal income) then subtracting interest expense. The tax rate utilized is 34%. The Company’s net interest margin is a common measure used by the financial service industry to determine how profitably earning assets are funded. Because the Company earns a fair amount of non taxable interest income due to the mix of securities in its investment security portfolio, net interest income for the ratio is calculated on a tax equivalent basis as described above. This calculation excludes net securities gains and losses.
|
|
(3)
|
Ratios are computed by dividing annualized income and expense amounts by quarterly average assets.
|
|
(4)
|
The efficiency ratio is not a measurement under accounting principles generally accepted in the United States. It is calculated by dividing non interest expense by the sum of tax equivalent net interest income and non interest income excluding gains and losses on the investment portfolio. The tax rate utilized is 34%. The Company calculates this ratio in order to evaluate its overhead structure or how effectively it is operating.
|
|
MIDDLEBURG FINANCIAL CORPORATION
|
||||||||||||||||||||
|
SELECTED FINANCIAL DATA BY QUARTER
|
||||||||||||||||||||
|
(Unaudited. Dollars in thousands except per share data)
|
Jun 30, 2011
|
Mar 31, 2011
|
Dec 31, 2010
|
Sep 30, 2010
|
Jun 30, 2010
|
|||||||||||||||
|
BALANCE SHEET RATIOS
|
||||||||||||||||||||
|
Loans to deposits (Including HFS)
|
80.02 | % | 80.53 | % | 80.72 | % | 81.69 | % | 83.43 | % | ||||||||||
|
Portfolio loans to deposits
|
74.66 | % | 76.56 | % | 74.05 | % | 73.05 | % | 76.16 | % | ||||||||||
|
Average interest-earning assets to
|
||||||||||||||||||||
|
average-interest bearing liabilities
|
117.42 | % | 117.58 | % | 118.50 | % | 117.22 | % | 117.69 | % | ||||||||||
|
PER SHARE DATA
|
||||||||||||||||||||
|
Dividends
|
$ | 0.05 | $ | 0.05 | $ | 0.05 | $ | 0.10 | $ | 0.10 | ||||||||||
|
Book value (MFC Shareholders)
|
$ | 14.68 | $ | 14.18 | $ | 14.02 | $ | 14.22 | $ | 14.84 | ||||||||||
|
Tangible book value (3)
|
$ | 13.78 | $ | 13.27 | $ | 13.10 | $ | 13.29 | $ | 13.91 | ||||||||||
|
SHARE PRICE DATA
|
||||||||||||||||||||
|
Closing price
|
$ | 14.94 | $ | 17.75 | $ | 14.26 | $ | 14.08 | $ | 13.91 | ||||||||||
|
Diluted earnings multiple (1)
|
21.97 | 24.65 | 15.50 |
NA
|
34.78 | |||||||||||||||
|
Book value multiple(2)
|
1.02 | 1.25 | 1.02 | 0.99 | 0.94 | |||||||||||||||
|
COMMON STOCK DATA
|
||||||||||||||||||||
|
Outstanding shares at end of period
|
6,996,932 | 6,942,315 | 6,925,437 | 6,915,687 | 6,914,687 | |||||||||||||||
|
Weighted average shares O/S Basic - QTD
|
6,977,503 | 6,940,154 | 6,937,801 | 6,934,366 | 6,911,744 | |||||||||||||||
|
Weighted average shares O/S, diluted - QTD
|
6,980,331 | 6,943,189 | 6,938,359 | 6,934,366 | 6,924,338 | |||||||||||||||
|
CAPITAL RATIOS
|
||||||||||||||||||||
|
Capital to Assets - Common shareholders
|
8.97 | % | 9.08 | % | 8.79 | % | 8.85 | % | 9.67 | % | ||||||||||
|
Capital to Assets - with Noncontrolling Interest
|
9.16 | % | 9.33 | % | 9.05 | % | 9.13 | % | 9.92 | % | ||||||||||
|
Tangible common equity ratio (4)
|
8.47 | % | 8.54 | % | 8.26 | % | 8.32 | % | 9.11 | % | ||||||||||
|
Total risk based capital ratio
|
14.16 | % | 14.52 | % | 14.10 | % | 13.54 | % | 14.58 | % | ||||||||||
|
Tier 1 risk based capital ratio
|
12.90 | % | 13.26 | % | 12.84 | % | 12.29 | % | 13.33 | % | ||||||||||
|
Leverage ratio
|
9.11 | % | 9.38 | % | 9.04 | % | 9.08 | % | 10.58 | % | ||||||||||
|
CREDIT QUALITY
|
||||||||||||||||||||
|
Net charge-offs to average loans
|
0.08 | % | 0.12 | % | 0.22 | % | 0.47 | % | 0.15 | % | ||||||||||
|
Total non-performing loans to total portfolio loans
|
5.26 | % | 5.36 | % | 4.66 | % | 4.69 | % | 2.81 | % | ||||||||||
|
Total non-performing assets to total assets
|
3.66 | % | 3.99 | % | 3.54 | % | 3.50 | % | 2.64 | % | ||||||||||
|
Non-accrual loans to:
|
||||||||||||||||||||
|
total loans
|
4.76 | % | 4.17 | % | 4.46 | % | 4.57 | % | 1.87 | % | ||||||||||
|
total assets
|
2.82 | % | 2.55 | % | 2.66 | % | 2.69 | % | 1.15 | % | ||||||||||
|
Allowance for loan losses to:
|
||||||||||||||||||||
|
total portfolio loans
|
2.22 | % | 2.20 | % | 2.27 | % | 2.42 | % | 1.54 | % | ||||||||||
|
non-performing assets
|
35.97 | % | 33.65 | % | 38.29 | % | 40.84 | % | 35.98 | % | ||||||||||
|
non-accrual loans
|
46.67 | % | 52.74 | % | 50.93 | % | 53.04 | % | 82.51 | % | ||||||||||
|
NON-PERFORMING ASSETS:
|
||||||||||||||||||||
|
Loans delinquent over 90 days and still accruing
|
$ | 3,242 | $ | 6,593 | $ | 909 | $ | 388 | $ | 6,188 | ||||||||||
|
Non-accrual loans
|
32,298 | 27,638 | 29,385 | 29,923 | 12,211 | |||||||||||||||
|
Restructured Loans
|
112 | 1,254 | 1,254 | 404 | 1,346 | |||||||||||||||
|
Other real estate owned and repossessed assets
|
6,255 | 7,825 | 8,394 | 8,142 | 8,257 | |||||||||||||||
|
Total non-performing assets
|
$ | 41,907 | $ | 43,310 | $ | 39,942 | $ | 38,857 | $ | 28,002 | ||||||||||
|
NET LOAN CHARGE-OFFS:
|
||||||||||||||||||||
|
Loans charged off
|
$ | 621 | $ | 933 | $ | 1,600 | $ | 3,351 | $ | 1,142 | ||||||||||
|
Recoveries
|
(32 | ) | (87 | ) | (42 | ) | (16 | ) | (56 | ) | ||||||||||
|
Net charge-offs
|
$ | 589 | $ | 846 | $ | 1,558 | $ | 3,335 | $ | 1,086 | ||||||||||
|
PROVISION FOR LOAN LOSSES
|
$ | 1,087 | $ | 454 | $ | 655 | $ | 9,130 | $ | 1,291 | ||||||||||
|
ALLOWANCE FOR LOAN LOSS SUMMARY
|
||||||||||||||||||||
|
Balance at the beginning of period
|
$ | 14,575 | $ | 14,967 | $ | 15,870 | $ | 10,075 | $ | 9,870 | ||||||||||
|
Provision
|
1,087 | 454 | 655 | 9,130 | 1,291 | |||||||||||||||
|
Net charge-offs
|
(589 | ) | (846 | ) | (1,558 | ) | (3,335 | ) | (1,086 | ) | ||||||||||
|
Balance at the end of period
|
$ | 15,073 | $ | 14,575 | $ | 14,967 | $ | 15,870 | $ | 10,075 | ||||||||||
|
(1)
|
The diluted earnings multiple is calculated by dividing the period’s closing market price per share by the annualized diluted earnings per share for the period. The diluted earnings multiple is a measure of how much an investor may be willing to pay for $1.00 of the Company’s earnings. In quarters where the Company incurs net losses, the diluted earnings multiple is not meaningful and is shown as “NA”.
|
|
(2)
|
The book value multiple (or price to book ratio) is calculated by dividing the period’s closing market price per share by the period’s book value per share. The book value multiple is a measure used to compare the Company’s market value per share to its book value per share.
|
|
(3)
|
Tangible book value is not a measurement under accounting principles generally accepted in the United States. It is computed by subtracting identified intangible assets and goodwill from total Middleburg Financial Corporation shareholders’ equity and then dividing the result by the number of shares of common stock issued and outstanding at the end of the accounting period.
|
|
(4)
|
The tangible common equity ratio is not a measurement under accounting principles generally accepted in the United States. It is computed by subtracting identified intangible assets and goodwill from total Middleburg Financial Corporation shareholders’ equity and total assets and then dividing the adjusted shareholders’ equity balance by the adjusted total asset balance.
|
|
MIDDLEBURG FINANCIAL CORPORATION
|
||||||||||||||||||||||||
|
Average Balances, Income and Expenses, Yields and Rates
|
||||||||||||||||||||||||
|
Three months ended June 30,
|
||||||||||||||||||||||||
|
2011
|
2010
|
|||||||||||||||||||||||
|
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
|||||||||||||||||||
|
Balance
|
Expense
|
Rate (2)
|
Balance
|
Expense
|
Rate (3)
|
|||||||||||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||||
|
Assets :
|
||||||||||||||||||||||||
|
Securities:
|
||||||||||||||||||||||||
|
Taxable
|
$ | 225,332 | $ | 1,787 | 3.18 | % | $ | 142,279 | $ | 1,112 | 3.13 | % | ||||||||||||
|
Tax-exempt (1)
|
55,400 | 915 | 6.62 | % | 56,248 | 909 | 6.48 | % | ||||||||||||||||
|
Total securities
|
$ | 280,732 | $ | 2,702 | 3.86 | % | $ | 198,527 | $ | 2,021 | 4.08 | % | ||||||||||||
|
Loans (3)
|
701,701 | $ | 9,731 | 5.56 | % | 709,042 | $ | 10,384 | 5.87 | % | ||||||||||||||
|
Interest bearing deposits in
|
||||||||||||||||||||||||
|
other financial institutions
|
47,222 | 32 | 0.27 | % | 47,566 | 28 | 0.24 | % | ||||||||||||||||
|
Total earning assets
|
$ | 1,029,655 | $ | 12,465 | 4.86 | % | $ | 955,135 | $ | 12,433 | 5.22 | % | ||||||||||||
|
Less: allowances for credit losses
|
(14,672 | ) | (9,956 | ) | ||||||||||||||||||||
|
Total nonearning assets
|
94,479 | 92,346 | ||||||||||||||||||||||
|
Total assets
|
$ | 1,109,462 | $ | 1,037,525 | ||||||||||||||||||||
|
Liabilities:
|
||||||||||||||||||||||||
|
Interest-bearing deposits:
|
||||||||||||||||||||||||
|
Checking
|
$ | 294,374 | $ | 490 | 0.67 | % | $ | 286,485 | $ | 579 | 0.81 | % | ||||||||||||
|
Regular savings
|
96,570 | 205 | 0.85 | % | 77,173 | 188 | 0.98 | % | ||||||||||||||||
|
Money market savings
|
58,046 | 94 | 0.65 | % | 51,683 | 107 | 0.83 | % | ||||||||||||||||
|
Time deposits:
|
||||||||||||||||||||||||
|
$100,000 and over
|
139,718 | 633 | 1.82 | % | 158,698 | 1,141 | 2.88 | % | ||||||||||||||||
|
Under $100,000
|
167,780 | 910 | 2.17 | % | 151,141 | 1,062 | 2.82 | % | ||||||||||||||||
|
Total interest-bearing deposits
|
$ | 756,488 | $ | 2,332 | 1.24 | % | $ | 725,180 | $ | 3,077 | 1.70 | % | ||||||||||||
|
Short-term borrowings
|
5,840 | 53 | 3.64 | % | 6,030 | 67 | 4.46 | % | ||||||||||||||||
|
Securities sold under agreements
|
||||||||||||||||||||||||
|
to repurchase
|
32,956 | 69 | 0.84 | % | 24,977 | 61 | 0.98 | % | ||||||||||||||||
|
Long-term debt
|
81,638 | 306 | 1.50 | % | 55,375 | 488 | 3.53 | % | ||||||||||||||||
|
Federal funds purchased
|
3 | - | 0.00 | % | 35 | - | 0.00 | % | ||||||||||||||||
|
Total interest-bearing liabilities
|
$ | 876,925 | $ | 2,760 | 1.26 | % | $ | 811,597 | $ | 3,692 | 1.82 | % | ||||||||||||
|
Non-interest bearing liabilities
|
||||||||||||||||||||||||
|
Demand deposits
|
122,380 | 114,953 | ||||||||||||||||||||||
|
Other liabilities
|
7,863 | 6,328 | ||||||||||||||||||||||
|
Total liabilities
|
$ | 1,007,168 | $ | 932,878 | ||||||||||||||||||||
|
Non-controlling interest
|
1,999 | 2,671 | ||||||||||||||||||||||
|
Shareholders' equity
|
100,295 | 101,976 | ||||||||||||||||||||||
|
Total liabilities and shareholders'
|
||||||||||||||||||||||||
|
equity
|
$ | 1,109,462 | $ | 1,037,525 | ||||||||||||||||||||
|
Net interest income
|
$ | 9,705 | $ | 8,741 | ||||||||||||||||||||
|
Interest rate spread
|
3.60 | % | 3.40 | % | ||||||||||||||||||||
|
Cost of funds
|
1.11 | % | 1.60 | % | ||||||||||||||||||||
|
Interest expense as a percent of
|
||||||||||||||||||||||||
|
average earning assets
|
1.07 | % | 1.55 | % | ||||||||||||||||||||
|
Net interest margin
|
3.78 | % | 3.67 | % | ||||||||||||||||||||
|
(1) Income and yields are reported on tax equivalent basis assuming a federal tax rate of 34%.
|
||||||||||||||||||||||||
|
(2) All yields and rates have been annualized on a 365 day year.
|
||||||||||||||||||||||||
|
(3) Total average loans include loans on non-accrual status.
|
||||||||||||||||||||||||
|
MIDDLEBURG FINANCIAL CORPORATION
|
||||||||||||||||||||||||
|
Average Balances, Income and Expenses, Yields and Rates
|
||||||||||||||||||||||||
|
Six Months Ended June 30
|
||||||||||||||||||||||||
|
2011
|
2010
|
|||||||||||||||||||||||
|
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
|||||||||||||||||||
|
Balance
|
Expense
|
Rate (2)
|
Balance
|
Expense
|
Rate (3)
|
|||||||||||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||||
|
Assets :
|
||||||||||||||||||||||||
|
Securities:
|
||||||||||||||||||||||||
|
Taxable
|
$ | 215,085 | $ | 3,222 | 3.02 | % | $ | 131,074 | $ | 2,070 | 3.18 | % | ||||||||||||
|
Tax-exempt (1)
|
54,691 | 1,765 | 6.51 | % | 60,067 | 1,959 | 6.58 | % | ||||||||||||||||
|
Total securities
|
$ | 269,776 | $ | 4,987 | 3.73 | % | $ | 191,141 | $ | 4,029 | 4.25 | % | ||||||||||||
|
Loans (3)
|
698,183 | 19,466 | 5.62 | % | 694,025 | 20,829 | 6.05 | % | ||||||||||||||||
|
Interest bearing deposits in
|
||||||||||||||||||||||||
|
other financial institutions
|
44,619 | 60 | 0.27 | % | 46,128 | 63 | 0.28 | % | ||||||||||||||||
|
Total earning assets
|
$ | 1,012,578 | $ | 24,513 | 4.88 | % | $ | 931,294 | $ | 24,921 | 5.40 | % | ||||||||||||
|
Less: allowances for credit losses
|
(14,710 | ) | (9,532 | ) | ||||||||||||||||||||
|
Total nonearning assets
|
94,830 | 91,554 | ||||||||||||||||||||||
|
Total assets
|
$ | 1,092,698 | $ | 1,013,316 | ||||||||||||||||||||
|
Liabilities:
|
||||||||||||||||||||||||
|
Interest-bearing deposits:
|
||||||||||||||||||||||||
|
Checking
|
$ | 290,710 | $ | 976 | 0.68 | % | $ | 283,089 | $ | 1,180 | 0.84 | % | ||||||||||||
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Regular savings
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93,129 | 392 | 0.85 | % | 73,802 | 372 | 1.02 | % | ||||||||||||||||
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Money market savings
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59,451 | 195 | 0.66 | % | 51,321 | 222 | 0.87 | % | ||||||||||||||||
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Time deposits:
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$100,000 and over
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135,205 | 1,238 | 1.85 | % | 160,065 | 2,291 | 2.89 | % | ||||||||||||||||
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Under $100,000
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168,156 | 1,838 | 2.20 | % | 144,086 | 2,185 | 3.06 | % | ||||||||||||||||
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Total interest-bearing deposits
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$ | 746,651 | $ | 4,639 | 1.25 | % | $ | 712,363 | $ | 6,250 | 1.77 | % | ||||||||||||
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Short-term borrowings
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5,789 | 117 | 4.08 | % | 5,428 | 111 | 4.12 | % | ||||||||||||||||
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Securities sold under agreements
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to repurchase
|
31,141 | 125 | 0.81 | % | 23,319 | 81 | 0.70 | % | ||||||||||||||||
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Long-term debt
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78,205 | 602 | 1.55 | % | 50,781 | 926 | 3.68 | % | ||||||||||||||||
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Federal Funds Purchased
|
2 | - | 0.00 | % | 23 | - | 0.00 | % | ||||||||||||||||
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Total interest-bearing liabilities
|
$ | 861,788 | $ | 5,483 | 1.28 | % | $ | 791,914 | $ | 7,368 | 1.88 | % | ||||||||||||
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Non-interest bearing liabilities
|
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Demand Deposits
|
122,370 | 110,496 | ||||||||||||||||||||||
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Other liabilities
|
7,250 | 6,444 | ||||||||||||||||||||||
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Total liabilities
|
$ | 991,408 | $ | 908,854 | ||||||||||||||||||||
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Non-controlling interest
|
2,397 | 2,698 | ||||||||||||||||||||||
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Shareholders' equity
|
98,893 | 101,764 | ||||||||||||||||||||||
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Total liabilities and shareholders'
|
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equity
|
$ | 1,092,698 | $ | 1,013,316 | ||||||||||||||||||||
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Net interest income
|
$ | 19,030 | $ | 17,553 | ||||||||||||||||||||
|
Interest rate spread
|
3.60 | % | 3.52 | % | ||||||||||||||||||||
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Cost of funds
|
1.12 | % | 1.65 | % | ||||||||||||||||||||
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Interest expense as a percent of
|
||||||||||||||||||||||||
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average earning assets
|
1.09 | % | 1.60 | % | ||||||||||||||||||||
|
Net interest margin
|
3.79 | % | 3.80 | % | ||||||||||||||||||||
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(1) Income and yields are reported on tax equivalent basis assuming a federal tax rate of 34%.
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(2) All yields and rates have been annualized on a 365 day year.
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(3) Total average loans include loans on non-accrual status.
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