Attached files
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| 8-K - INDEPENDENT BANK CORP. 8-K - INDEPENDENT BANK CORP | a50036337.htm |
Exhibit 99.1
Independent Bank Corp. Reports Third Quarter Net Income of $12.0 Million
Continued Strong Performance Leads to 8% Increase in Earnings Per Share
ROCKLAND, Mass.--(BUSINESS WIRE)--October 20, 2011--Independent Bank Corp., (NASDAQ: INDB), parent of Rockland Trust Company, today announced net income of $12.0 million for the third quarter of 2011, or $0.56 on a diluted earnings per share basis. The results of the third quarter 2011 represent increases of $0.04 or 7.7% on a diluted per share basis as compared to the linked quarter results and $0.03 or 5.7% versus prior year results. Net income for the year-to-date period improved by 20.7%, or 18.5% on a diluted earnings per share basis as compared to the year ago period.
Christopher Oddleifson, the President and Chief Executive Officer of Independent Bank Corp. and Rockland Trust Company, stated: “Despite the challenging operating environment, we continue to deliver quality results. Our strong focus on the customer is a winning strategy, as consumers and businesses demonstrate that they value Rockland Trust’s knowledgeable, accessible bankers; innovative products and services; and fair, transparent pricing. Our balance sheet remains in excellent shape with solid credit quality and capital levels, and the recent expansion of our commercial lending and wealth management franchises will help us sustain our momentum.”
BALANCE SHEET
Total assets of $4.9 billion at September 30, 2011 are up $56.8 million from the prior quarter.
Total loans remained consistent at $3.7 billion at September 30, 2011, compared with the prior quarter and have grown by 6.3% since December 31, 2010 on an annualized basis. The economic uncertainty combined with a seasonally slow summer produced flat loan growth, but the Company’s pipeline continues to remain robust, as companies continue to find the value proposition of high service and flexible solutions, offered by the Company, an attractive alternative to the national banks.
Deposits remained consistent at $3.8 billion at September 30, 2011, as compared to the prior quarter. Core deposits increased by $30.5 million to $3.1 billion and grew to 83.1% of total deposits. The Company’s cost of deposits continued its steady decline to 0.37% for the quarter. The Company is experiencing robust organic household growth as seen in the core deposit growth of 10.4% compared to the year ago period.
The securities portfolio of $521.6 million decreased by $25.9 million compared to the linked quarter primarily due to pay-downs and reduced reinvestment activity due to unattractive yields.
Stockholders’ equity at September 30, 2011 increased by 1.2% to $461.1 million as compared to the balance at June 30, 2011. The Tier 1 leverage capital ratio at September 30, 2011 increased slightly to 8.59% compared with prior quarter at 8.54%, maintaining the Company’s well-capitalized position.
NET INTEREST INCOME
Net interest income of $41.7 million was down slightly as compared to the prior quarter primarily due to the impact of the prolonged low rate environment. The net interest margin in the third quarter of 2011 declined to 3.84%, compared to 3.97%, in the linked quarter, due to the continued reduction in interest rates driven by the global economic conditions and a modestly asset sensitive interest rate position.
NON-INTEREST INCOME
The Company recorded non-interest income of $12.3 million during the third quarter of 2011 which represents a $1.2 million, or 8.6%, decrease from the prior quarter. Significant changes in non-interest income included the following:
- Investment management revenue decreased by $112,000, or 3.1%, reflective of lower stock market valuations. Assets under management in the investment management division were $1.6 billion at September 30, 2011, a decrease of $109.7 million compared to June 30, 2011.
- Non-interest income in the second quarter benefited from the sale of securities, resulting in a gain of $723,000. There were no gains on sale of securities during the third quarter of the year.
- Mortgage banking income increased by $224,000, or 32.8%, reflective of increased volumes of mortgage originations, due to the lower rate environment.
- Other non-interest income decreased by $615,000, or 39.1%, mainly due to higher unrealized losses on the Company’s trading assets of $569,000.
NON-INTEREST EXPENSE
The Company recorded non-interest expense of $35.4 million in the third quarter of 2011, a decrease of $1.4 million, or 3.9%, when compared to the quarter ended June 30, 2011. Significant changes in non-interest expense included the following:
- Salary and employee benefits increased $806,000, or 4.1% primarily related to incremental hiring and expansion of the commercial banking business to support growth initiatives.
- Other non-interest expense decreased by $2.1 million, or 19.2%, which is primarily attributable to reductions in credit-related loan workout expenses and OREO property write-downs of $667,000, and decreases in advertising expense of $903,000.
The Company generated a return on average assets and a return on average common equity in the third quarter of 2011 of 0.99% and 10.28%, respectively, as compared to 0.95% and 9.78% for the quarter ended June 30, 2011.
ASSET QUALITY
The Company continued to maintain a solid credit profile during the quarter. Net charge-offs decreased to $1.4 million, or 0.15%, on an annualized basis of average loans for the third quarter of 2011 compared to $3.3 million, or 0.36%, for the quarter ended June 30, 2011. The provision for loan losses was $2.0 million and $3.5 million for the quarters ended September 30, 2011 and June 30, 2011, respectively. Nonperforming loans increased to $26.6 million, or 0.72% of total loans at September 30, 2011, from $21.9 million, or 0.59% of total loans at June 30, 2011. Delinquency as a percentage of loans increased to 0.89% at September 30, 2011 compared to 0.83% at June 30, 2011.
The allowance for loan losses was $47.3 million at September 30, 2011, compared with the prior quarter level of $46.6 million. The Company’s allowance for loan losses was 1.27%, as a percentage of total loans at September 30, 2011, compared to 1.25%, at June 30, 2011.
Christopher Oddleifson and Denis K. Sheahan, Chief Financial Officer, of Independent Bank Corp. and Rockland Trust Company, will host a conference call to discuss third quarter earnings at 10:00 a.m. Eastern Time on Friday, October 21, 2011. Internet access to the call is available on the Company’s website at www.RocklandTrust.com or by telephonic access by dial-in at 1-877-317-6789 reference: INDB. A replay of the call will be available by calling 1-877-344-7529, Replay Pass code: 10005109. The webcast replay will be available until October 21, 2012.
Independent Bank Corp., which has Rockland Trust Company as a wholly-owned bank subsidiary, has $4.9 billion in assets. Rockland Trust offers a wide range of commercial banking products and services, retail banking products and services, business and consumer loans, insurance products and services, and investment management services. To find out why Rockland Trust is the bank Where Each Relationship Matters®, visit www.RocklandTrust.com.
This press release contains certain “forward-looking statements” with respect to the financial condition, results of operations and business of the Company. Actual results may differ from those contemplated by these statements. The Company wishes to caution readers not to place undue reliance on any forward-looking statements. The Company disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise.
This press release contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Operating earnings, which is a non-GAAP financial measure, excludes gain or loss due to items that management does not believe are related to its core banking business, such as gains or losses on the sales of securities, merger and acquisition expenses, and other items. The Company’s management uses operating earnings to measure the strength of the Company’s core banking business and to identify trends that may to some extent be obscured by gains or losses which management deems not to be core to the Company’s operations. The Company has included information on operating earnings because management believes that investors may find it useful to have access to the same analytical tool used by management and may also find that it facilitates the comparison of the Company to other companies in the financial services industry. Non-GAAP operating earnings should not be viewed as a substitute for operating results determined in accordance with GAAP. An item which management deems to be non-core and excludes when computing non-GAAP operating earnings can be of substantial importance to the Company’s results for any particular quarter or year. The Company’s non-GAAP operating earnings are not necessarily comparable to non-GAAP performance measures which may be presented by other companies.
|
INDEPENDENT BANK CORP. FINANCIAL SUMMARY |
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| (Unaudited - Dollars in Thousands) | ||||||||||||||||||
| % Change | % Change | |||||||||||||||||
| CONSOLIDATED BALANCE SHEETS | September 30, | June 30, | September 30, | Sept. 2011 vs. | Sept. 2011 vs. | |||||||||||||
| 2011 | 2011 | 2010 | June 2011 | Sept. 2010 | ||||||||||||||
| Assets | ||||||||||||||||||
| Cash and Due From Banks | $ | 53,821 | $ | 56,679 | $ | 54,207 | -5.04 | % | -0.71 | % | ||||||||
| Interest Earning Deposits with Banks | 180,352 | 129,420 | 222,392 | 39.35 | % | -18.90 | % | |||||||||||
| Fed Funds Sold | 667 | 1,197 | 526 | -44.28 | % | 26.81 | % | |||||||||||
| Securities | ||||||||||||||||||
| Trading Assets | 7,984 | 8,539 | 7,418 | -6.50 | % | 7.63 | % | |||||||||||
| Securities Available for Sale | 293,073 | 305,895 | 436,887 | -4.19 | % | -32.92 | % | |||||||||||
| Securities Held to Maturity | 220,552 | 233,109 | 180,623 | -5.39 | % | 22.11 | % | |||||||||||
| Total Securities | 521,609 | 547,543 | 624,928 | -4.74 | % | -16.53 | % | |||||||||||
| Loans Held for Sale | 22,156 | 12,255 | 21,321 | 80.79 | % | 3.92 | % | |||||||||||
| Loans | ||||||||||||||||||
| Commercial and Industrial | 567,552 | 568,022 | 438,873 | -0.08 | % | 29.32 | % | |||||||||||
| Commercial Real Estate | 1,815,063 | 1,801,026 | 1,641,356 | 0.78 | % | 10.58 | % | |||||||||||
| Commercial Construction | 119,309 | 130,303 | 144,109 | -8.44 | % | -17.21 | % | |||||||||||
| Small Business | 77,230 | 78,905 | 79,897 | -2.12 | % | -3.34 | % | |||||||||||
| Total Commercial | 2,579,154 | 2,578,256 | 2,304,235 | 0.03 | % | 11.93 | % | |||||||||||
| Residential Real Estate | 441,600 | 454,597 | 503,471 | -2.86 | % | -12.29 | % | |||||||||||
| Residential Construction | 6,306 | 6,404 | 5,449 | -1.53 | % | 15.73 | % | |||||||||||
| Consumer - Home Equity | 648,475 | 632,735 | 517,962 | 2.49 | % | 25.20 | % | |||||||||||
| Total Consumer Real Estate | 1,096,381 | 1,093,736 | 1,026,882 | 0.24 | % | 6.77 | % | |||||||||||
| Total Other Consumer | 47,590 | 53,239 | 76,926 | -10.61 | % | -38.14 | % | |||||||||||
| Total Loans | 3,723,125 | 3,725,231 | 3,408,043 | -0.06 | % | 9.25 | % | |||||||||||
| Less - Allowance for Loan Losses | (47,278 | ) | (46,637 | ) | (45,619 | ) | 1.37 | % | 3.64 | % | ||||||||
| Net Loans | 3,675,847 | 3,678,594 | 3,362,424 | -0.07 | % | 9.32 | % | |||||||||||
| Federal Home Loan Bank Stock | 35,854 | 35,854 | 35,854 | 0.00 | % | 0.00 | % | |||||||||||
| Bank Premises and Equipment | 47,646 | 46,368 | 45,420 | 2.76 | % | 4.90 | % | |||||||||||
| Goodwill and Core Deposit Intangible | 141,103 | 141,489 | 142,422 | -0.27 | % | -0.93 | % | |||||||||||
| Other Assets | 220,711 | 193,544 | 194,297 | 14.04 | % | 13.59 | % | |||||||||||
| Total Assets | $ | 4,899,766 | $ | 4,842,943 | $ | 4,703,791 | 1.17 | % | 4.17 | % | ||||||||
| Liabilities and Stockholders' Equity | ||||||||||||||||||
| Deposits | ||||||||||||||||||
| Demand Deposits | $ | 977,323 | $ | 913,960 | $ | 805,491 | 6.93 | % | 21.33 | % | ||||||||
| Savings and Interest Checking Accounts | 1,424,060 | 1,479,365 | 1,314,273 | -3.74 | % | 8.35 | % | |||||||||||
| Money Market | 744,682 | 722,234 | 731,091 | 3.11 | % | 1.86 | % | |||||||||||
| Time Certificates of Deposit | 641,468 | 671,003 | 766,303 | -4.40 | % | -16.29 | % | |||||||||||
| Total Deposits | 3,787,533 | 3,786,562 | 3,617,158 | 0.03 | % | 4.71 | % | |||||||||||
| Borrowings | ||||||||||||||||||
| Federal Home Loan Bank Borrowings | 257,873 | 258,012 | 302,545 | -0.05 | % | -14.77 | % | |||||||||||
| Fed Funds Purchased and Assets Sold | ||||||||||||||||||
| Under Repurchase Agreements | 216,331 | 183,166 | 180,326 | 18.11 | % | 19.97 | % | |||||||||||
| Junior Subordinated Debentures | 61,857 | 61,857 | 61,857 | 0.00 | % | 0.00 | % | |||||||||||
| Subordinated Debentures | 30,000 | 30,000 | 30,000 | 0.00 | % | 0.00 | % | |||||||||||
| Other Borrowings | 2,203 | 2,635 | 2,701 | -16.39 | % | -18.44 | % | |||||||||||
| Total Borrowings | 568,264 | 535,670 | 577,429 | 6.08 | % | -1.59 | % | |||||||||||
| Total Deposits and Borrowings | 4,355,797 | 4,322,232 | 4,194,587 | 0.78 | % | 3.84 | % | |||||||||||
| Other Liabilities | 82,903 | 65,009 | 83,543 | 27.53 | % | -0.77 | % | |||||||||||
| Stockholders' Equity | ||||||||||||||||||
| Common Stock | 212 | 212 | 210 | 0.00 | % | 0.95 | % | |||||||||||
| Additional Paid in Capital | 232,845 | 231,987 | 226,255 | 0.37 | % | 2.91 | % | |||||||||||
| Retained Earnings | 232,369 | 224,488 | 201,950 | 3.51 | % | 15.06 | % | |||||||||||
| Accumulated Other Comprehensive Income/(Loss), Net of Tax | (4,360 | ) | (985 | ) | (2,754 | ) | 342.64 | % | 58.32 | % | ||||||||
| Total Stockholders' Equity | 461,066 | 455,702 | 425,661 | 1.18 | % | 8.32 | % | |||||||||||
| Total Liabilities and Stockholders' Equity | $ | 4,899,766 | $ | 4,842,943 | $ | 4,703,791 | 1.17 | % | 4.17 | % | ||||||||
| CONSOLIDATED STATEMENTS OF INCOME | Three Months Ended | |||||||||||||||||
| % Change | % Change | |||||||||||||||||
| September 30, | June 30, | September 30, | Sept. 2011 vs. | Sept. 2011 vs. | ||||||||||||||
| 2011 | 2011 | 2010 | June 2011 | Sept. 2010 | ||||||||||||||
| INTEREST INCOME | ||||||||||||||||||
| Interest on Fed Funds Sold and Short Term Investments | $ | 49 | $ | 14 | $ | 135 | 250.00 | % | -63.70 | % | ||||||||
| Interest and Dividends on Securities | 5,007 | 5,452 | 5,843 | -8.16 | % | -14.31 | % | |||||||||||
| Interest on Loans | 43,763 | 43,938 | 44,436 | -0.40 | % | -1.51 | % | |||||||||||
| Interest on Loans Held for Sale | 116 | 70 | 174 | 65.71 | % | -33.33 | % | |||||||||||
| Total Interest Income | 48,935 | 49,474 | 50,588 | -1.09 | % | -3.27 | % | |||||||||||
| INTEREST EXPENSE | ||||||||||||||||||
| Interest on Deposits | 3,419 | 3,544 | 4,801 | -3.53 | % | -28.79 | % | |||||||||||
| Interest on Borrowed Funds | 3,842 | 3,854 | 4,590 | -0.31 | % | -16.30 | % | |||||||||||
| Total Interest Expense | 7,261 | 7,398 | 9,391 | -1.85 | % | -22.68 | % | |||||||||||
| Net Interest Income | 41,674 | 42,076 | 41,197 | -0.96 | % | 1.16 | % | |||||||||||
| Less - Provision for Loan Losses | 2,000 | 3,482 | 3,500 | -42.56 | % | -42.86 | % | |||||||||||
| Net Interest Income after Provision for Loan Losses | 39,674 | 38,594 | 37,697 | 2.80 | % | 5.24 | % | |||||||||||
| NON-INTEREST INCOME | ||||||||||||||||||
| Service Charges on Deposit Accounts | 4,223 | 4,192 | 3,178 | 0.74 | % | 32.88 | % | |||||||||||
| Interchange and ATM Fees | 2,005 | 1,974 | 1,263 | 1.57 | % | 58.75 | % | |||||||||||
| Investment Management | 3,491 | 3,603 | 2,851 | -3.11 | % | 22.45 | % | |||||||||||
| Mortgage Banking Income | 907 | 683 | 1,469 | 32.80 | % | -38.26 | % | |||||||||||
| BOLI Income | 757 | 860 | 901 | -11.98 | % | -15.98 | % | |||||||||||
| Net Gain/(Loss) on Sale of Securities | - | 723 | (22 | ) | 100.00 | % | -100.00 | % | ||||||||||
| Gross Change on Write-Down of Certain Investments to Fair Value | (318 | ) | 170 | 207 | -287.06 | % | -253.62 | % | ||||||||||
| Less: Portion of Other-Than-Temporary Impairment Losses Recognized in Other Comprehensive Income | 290 | (306 | ) | (214 | ) | -194.77 | % | -235.51 | % | |||||||||
| Net Loss on Write-Down of Certain Investments to Fair Value | (28 | ) | (136 | ) | (7 | ) | -79.41 | % | 300.00 | % | ||||||||
| Other Non-Interest Income | 960 | 1,575 | 2,021 | -39.05 | % | -52.50 | % | |||||||||||
| Total Non-Interest Income | 12,315 | 13,474 | 11,654 | -8.60 | % | 5.67 | % | |||||||||||
| NON-INTEREST EXPENSE | ||||||||||||||||||
| Salaries and Employee Benefits | 20,568 | 19,762 | 19,792 | 4.08 | % | 3.92 | % | |||||||||||
| Occupancy and Equipment Expenses | 4,107 | 4,263 | 3,839 | -3.66 | % | 6.98 | % | |||||||||||
| Data Processing and Facilities Management | 1,152 | 1,038 | 1,404 | 10.98 | % | -17.95 | % | |||||||||||
| FDIC Assessment | 691 | 778 | 1,352 | -11.18 | % | -48.89 | % | |||||||||||
| Other Non-Interest Expense | 8,905 | 11,015 | 8,153 | -19.16 | % | 9.22 | % | |||||||||||
| Total Non-Interest Expense | 35,423 | 36,856 | 34,540 | -3.89 | % | 2.56 | % | |||||||||||
| INCOME BEFORE INCOME TAXES | 16,566 | 15,212 | 14,811 | 8.90 | % | 11.85 | % | |||||||||||
| PROVISION FOR INCOME TAXES | 4,607 | 4,092 | 3,666 | 12.59 | % | 25.67 | % | |||||||||||
| NET INCOME | $ | 11,959 | $ | 11,120 | $ | 11,145 | 7.54 | % | 7.30 | % | ||||||||
| BASIC EARNINGS PER SHARE | $ | 0.56 | $ | 0.52 | $ | 0.53 | 7.69 | % | 5.66 | % | ||||||||
| DILUTED EARNINGS PER SHARE | $ | 0.56 | $ | 0.52 | $ | 0.53 | 7.69 | % | 5.66 | % | ||||||||
| BASIC AVERAGE SHARES | 21,463,714 | 21,441,864 | 20,981,372 | |||||||||||||||
| DILUTED AVERAGE SHARES | 21,476,791 | 21,481,023 | 21,034,165 | |||||||||||||||
|
PERFORMANCE RATIOS: |
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| Net Interest Margin (FTE) | 3.84 | % | 3.97 | % | 3.89 | % | ||||||||||||
| Return on Average Assets | 0.99 | % | 0.95 | % | 0.95 | % | ||||||||||||
| Return on Average Common Equity | 10.28 | % | 9.78 | % | 10.38 | % | ||||||||||||
|
RECONCILIATION TABLE - NON-GAAP FINANCIAL INFORMATION |
||||||||||||||||||
| NET INCOME AVAILABLE TO COMMON SHAREHOLDERS (GAAP) | $ | 11,959 | $ | 11,120 | $ | 11,145 | 7.54 | % | 7.30 | % | ||||||||
| Non-Interest Income Components | ||||||||||||||||||
| (Less)/Add - (Gain)/Loss on Sale of Securities, net of tax | - | (428 | ) | 13 | ||||||||||||||
| NET OPERATING EARNINGS | $ | 11,959 | $ | 10,692 | $ | 11,158 | 11.85 | % | 7.18 | % | ||||||||
| Diluted Earnings Per Share, on an Operating Basis | $ | 0.56 | $ | 0.50 | $ | 0.53 | 12.00 | % | 5.66 | % | ||||||||
| CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
| Nine Months Ended | % Change | ||||||||||
| September 30, | September 30, | Sept. 2011 vs. | |||||||||
| 2011 | 2010 | Sept. 2010 | |||||||||
| INTEREST INCOME | |||||||||||
| Interest on Fed Funds Sold and Short Term Investments | $ | 80 | $ | 267 | -70.04 | % | |||||
| Interest and Dividends on Securities | 16,065 | 18,830 | -14.68 | % | |||||||
| Interest on Loans | 130,917 | 133,267 | -1.76 | % | |||||||
| Interest on Loans Held for Sale | 305 | 390 | -21.79 | % | |||||||
| Total Interest Income | 147,367 | 152,754 | -3.53 | % | |||||||
| INTEREST EXPENSE | |||||||||||
| Interest on Deposits | 10,448 | 16,225 | -35.61 | % | |||||||
| Interest on Borrowed Funds | 11,696 | 13,955 | -16.19 | % | |||||||
| Total Interest Expense | 22,144 | 30,180 | -26.63 | % | |||||||
| Net Interest Income | 125,223 | 122,574 | 2.16 | % | |||||||
| Less - Provision for Loan Losses | 7,682 | 15,081 | -49.06 | % | |||||||
| Net Interest Income after Provision for Loan Losses | 117,541 | 107,493 | 9.35 | % | |||||||
| NON-INTEREST INCOME | |||||||||||
| Service Charges on Deposit Accounts | 12,374 | 9,566 | 29.35 | % | |||||||
| Interchange and ATM Fees | 5,681 | 3,611 | 57.32 | % | |||||||
| Investment Management | 10,310 | 8,768 | 17.59 | % | |||||||
| Mortgage Banking Income | 2,637 | 3,091 | -14.69 | % | |||||||
| BOLI Income | 2,323 | 2,353 | -1.27 | % | |||||||
| Net Gain on Sale of Securities | 723 | 458 | 57.86 | % | |||||||
| Gross Change on Write-Down of Certain Investments to Fair Value | 101 | 325 | -68.92 | % | |||||||
| Less: Portion of Other-Than-Temporary Impairment Losses Recognized in Other Comprehensive Income | (305 | ) | (594 | ) | -48.65 | % | |||||
| Net Loss on Write-Down of Certain Investments to Fair Value | (204 | ) | (269 | ) | -24.16 | % | |||||
| Other Non-Interest Income | 4,542 | 5,065 | -10.33 | % | |||||||
| Total Non-Interest Income | 38,386 | 32,643 | 17.59 | % | |||||||
| NON-INTEREST EXPENSE | |||||||||||
| Salaries and Employee Benefits | 60,582 | 56,662 | 6.92 | % | |||||||
| Occupancy and Equipment Expenses | 12,946 | 12,068 | 7.28 | % | |||||||
| Data Processing and Facilities Management | 3,828 | 4,195 | -8.75 | % | |||||||
| FDIC Assessment | 2,760 | 3,944 | -30.02 | % | |||||||
| Other Non-Interest Expense | 28,644 | 26,189 | 9.37 | % | |||||||
| Total Non-Interest Expense | 108,760 | 103,058 | 5.53 | % | |||||||
| INCOME BEFORE INCOME TAXES | 47,167 | 37,078 | 27.21 | % | |||||||
| PROVISION FOR INCOME TAXES | 12,900 | 8,676 | 48.69 | % | |||||||
| NET INCOME | $ | 34,267 | $ | 28,402 | 20.65 | % | |||||
| BASIC EARNINGS PER SHARE | $ | 1.60 | $ | 1.35 | 18.52 | % | |||||
| DILUTED EARNINGS PER SHARE | $ | 1.60 | $ | 1.35 | 18.52 | % | |||||
| BASIC AVERAGE SHARES | 21,401,885 | 20,961,378 | |||||||||
| DILUTED AVERAGE SHARES | 21,434,337 | 21,035,914 | |||||||||
|
PERFORMANCE RATIOS: |
|||||||||||
| Net Interest Margin (FTE) | 3.94 | % | 3.97 | % | |||||||
| Return on Average Assets | 0.97 | % | 0.83 | % | |||||||
| Return on Average Common Equity | 10.10 | % | 8.98 | % | |||||||
|
RECONCILIATION TABLE - NON-GAAP FINANCIAL INFORMATION |
|||||||||||
| NET INCOME AVAILABLE TO COMMON SHAREHOLDERS (GAAP) | $ | 34,267 | $ | 28,402 | 20.65 | % | |||||
| Non-Interest Income Components | |||||||||||
| Less - Net Gain on Sale of Securities, net of tax | (428 | ) | (271 | ) | |||||||
| Non-Interest Expense Components | |||||||||||
| Add - Fair Value Mark on a Terminated Hedging Relationship | - | 328 | |||||||||
| NET OPERATING EARNINGS | $ | 33,839 | $ | 28,459 | 18.91 | % | |||||
| Diluted Earnings Per Share, on an Operating Basis | $ | 1.58 | $ | 1.35 | 17.04 | % | |||||
| RECONCILIATION TABLE - NON-GAAP FINANCIAL INFORMATION | ||||||||||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||
| % Change | % Change | % Change | ||||||||||||||||||||||||||||||
| September 30, | June 30, | September 30, | Sept. 2011 vs. | Sept. 2011 vs. | September 30, | September 30, | Sept. 2011 vs. | |||||||||||||||||||||||||
| 2011 | 2011 | 2010 | June 2011 | Sept. 2010 | 2011 | 2010 | Sept. 2010 | |||||||||||||||||||||||||
| Non-Interest Income GAAP | $ | 12,315 | $ | 13,474 | $ | 11,654 | -8.60 | % | 5.67 | % | $ | 38,386 | $ | 32,643 | 17.59 | % | ||||||||||||||||
| (Less)/Add - Net (Gain)/Loss on Sale of Securities | - | (723 | ) | 22 | -100.00 | % | -100.00 | % | (723 | ) | (458 | ) | 57.86 | % | ||||||||||||||||||
| Add - Other-Than-Temporary-Impairment on Securities | 28 | 136 | 7 | -79.41 | % | 300.00 | % | 204 | 269 | -24.16 | % | |||||||||||||||||||||
| Non-Interest Income as Adjusted | $ | 12,343 | $ | 12,887 | $ | 11,683 | -4.22 | % | 5.65 | % | $ | 37,867 | $ | 32,454 | 16.68 | % | ||||||||||||||||
| Non-Interest Expense GAAP | $ | 35,423 | $ | 36,856 | $ | 34,540 | -3.89 | % | 2.56 | % | $ | 108,760 | $ | 103,058 | 5.53 | % | ||||||||||||||||
| Less - Fair Value Mark on a Terminated Hedging Relationship | - | - |
- |
n/a | n/a | - | (554 | ) | -100.00 | % | ||||||||||||||||||||||
| Non-Interest Expense as Adjusted | $ | 35,423 | $ | 36,856 | $ | 34,540 | -3.89 | % | 2.56 | % | $ | 108,760 | $ | 102,504 | 6.10 | % | ||||||||||||||||
| Certain non-core items are included in the computation of earnings in accordance with United States of America generally accepted accounting principles (“GAAP”) in both 2011 and 2010 as indicated by the table above. In an effort to provide investors with information regarding the Company's results, the Company has disclosed the following non-GAAP information, which management believes provides useful information to the investor. This information should not be viewed as a substitute for operating results determined in accordance with GAAP, nor is it necessarily comparable to non-GAAP information which may be presented by other companies. | ||||||||||||||||||||||||||||||||
|
ASSET QUALITY |
Nonperforming Assets | Net Charge-Offs | Net Charge-Offs | |||||||||||||||||||||||||||||
| At | For the Three Months Ending | For the Nine Months Ending | ||||||||||||||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | June 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
| 2011 | 2011 | 2010 | 2011 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||||||
| Nonperforming Loans | ||||||||||||||||||||||||||||||||
| Commercial & Industrial Loans | $ | 1,836 | $ | 2,674 | $ | 4,417 | $ | 672 | $ | 749 | $ | 1,429 | $ | 2,107 | $ | 3,772 | ||||||||||||||||
| Small Business Loans | 1,032 | 1,130 | 909 | 368 | 292 | 515 | 898 | 1,567 | ||||||||||||||||||||||||
| Commercial Real Estate Loans | 10,673 | 7,007 | 8,966 | (281 | ) | 1,236 | 851 | 1,557 | 4,569 | |||||||||||||||||||||||
| Residential Real Estate Loans | 10,420 | 8,546 | 7,863 | 88 | 280 | 24 | 490 | 452 | ||||||||||||||||||||||||
| Installment Loans - Home Equity | 2,009 | 1,977 | 1,881 | 320 | 488 | (38 | ) | 882 | 430 | |||||||||||||||||||||||
| Installment Loans - Other | 655 | 592 | 651 | 192 | 244 | 391 | 725 | 1,033 | ||||||||||||||||||||||||
| Total Nonperforming Loans / Total Net Charge-offs | $ | 26,625 | $ | 21,926 | $ | 24,687 | $ | 1,359 | $ | 3,289 | $ | 3,172 | $ | 6,659 | $ | 11,823 | ||||||||||||||||
| Non-Accrual Securities | 1,255 | 1,587 | 1,017 | |||||||||||||||||||||||||||||
| Other Assets in Possession | 270 | 40 | 74 | |||||||||||||||||||||||||||||
| Other Real Estate Owned | 8,497 | 7,410 | 9,011 | |||||||||||||||||||||||||||||
| Nonperforming Assets | $ | 36,647 | $ | 30,963 | $ | 34,789 | ||||||||||||||||||||||||||
| Nonperforming Loans/Gross Loans | 0.72 | % | 0.59 | % | 0.72 | % | ||||||||||||||||||||||||||
| Allowance for Loan Losses/Nonperforming Loans | 177.57 | % | 212.70 | % | 184.79 | % | ||||||||||||||||||||||||||
| Gross Loans/Total Deposits | 98.30 | % | 98.38 | % | 94.22 | % | ||||||||||||||||||||||||||
| Allowance for Loan Losses/Total Loans | 1.27 | % | 1.25 | % | 1.34 | % | ||||||||||||||||||||||||||
| Net charge-offs to average loans (quarter annualized) | 0.15 | % | 0.36 | % | 0.37 | % | ||||||||||||||||||||||||||
| Net charge-offs to average loans (year-to-date annualized) | 0.24 | % | 0.46 | % | ||||||||||||||||||||||||||||
| For the | For the | |||||||||||||||||||||||||||||||
| Three Months Ending | Three Months Ending | |||||||||||||||||||||||||||||||
| September 30, | June 30, | |||||||||||||||||||||||||||||||
|
Nonperforming Assets Reconciliation |
2011 | 2011 | ||||||||||||||||||||||||||||||
| Nonperforming Assets Beginning Balance | $ | 30,963 | $ | 33,856 | ||||||||||||||||||||||||||||
| New to Nonperforming | 12,937 | 9,085 | ||||||||||||||||||||||||||||||
| Loans Charged-Off | (2,171 | ) | (3,587 | ) | ||||||||||||||||||||||||||||
| Loans Paid-Off | (2,708 | ) | (5,130 | ) | ||||||||||||||||||||||||||||
| Loans Transferred to Other Real Estate Owned/Other Assets | (1,458 | ) | (1,172 | ) | ||||||||||||||||||||||||||||
| Loans Restored to Accrual Status | (1,415 | ) | (638 | ) | ||||||||||||||||||||||||||||
| New to Other Real Estate Owned | 1,458 | 1,172 | ||||||||||||||||||||||||||||||
| Sale of Other Real Estate Owned | (300 | ) | (3,214 | ) | ||||||||||||||||||||||||||||
| Other | (659 | ) | 591 | |||||||||||||||||||||||||||||
| Nonperforming Assets Ending Balance | $ | 36,647 | $ | 30,963 | ||||||||||||||||||||||||||||
| September 30, | June 30, | September 30, | ||||||||||||||||||||||||||||||
|
Financial Ratios |
2011 | 2011 | 2010 | |||||||||||||||||||||||||||||
| Book Value per Common Share | $ | 21.48 | $ | 21.24 | $ | 20.08 | ||||||||||||||||||||||||||
| Tangible Common Book Value per Share (proforma to include | ||||||||||||||||||||||||||||||||
| the tax deductibility of goodwill and exclude impact of CPP) - Non-GAAP | $ | 15.85 | $ | 15.60 | $ | 14.34 | ||||||||||||||||||||||||||
| Tangible Common Capital/Tangible Assets | 6.72 | % | 6.68 | % | 6.21 | % | ||||||||||||||||||||||||||
| Tangible Common Capital/Tangible Asset (proforma to include | ||||||||||||||||||||||||||||||||
| the tax deductibility of goodwill and exclude impact of CPP) - Non-GAAP | 7.12 | % | 7.09 | % | 6.64 | % | ||||||||||||||||||||||||||
|
Capital Adequacy |
||||||||||||||||||||||||||||||||
| Tier one leverage capital ratio (1) | 8.59 | % | 8.54 | % | 7.99 | % | ||||||||||||||||||||||||||
| Tier one common ratio (1) | 9.03 | % | 8.85 | % | 8.63 | % | ||||||||||||||||||||||||||
|
INDEPENDENT BANK CORP. SUPPLEMENTAL FINANCIAL INFORMATION |
|||||||||||||||||||||||||||
| CONSOLIDATED AVERAGE BALANCE SHEETS AND AVERAGE RATE DATA | |||||||||||||||||||||||||||
|
(Unaudited - Dollars in Thousands) |
Three Months Ended | ||||||||||||||||||||||||||
| September 30, 2011 | June 30, 2011 | September 30, 2010 | |||||||||||||||||||||||||
| Interest | Interest | Interest | |||||||||||||||||||||||||
| Average | Earned/ | Yield/ | Average | Earned/ | Yield/ | Average | Earned/ | Yield/ | |||||||||||||||||||
| Balance | Paid | Rate | Balance | Paid | Rate | Balance | Paid | Rate | |||||||||||||||||||
| Interest-Earning Assets: | |||||||||||||||||||||||||||
| Interest Earning Deposits with Banks, Federal Funds Sold, and Short Term Investments | $ | 78,285 | $ | 49 | 0.25 | % | $ | 23,049 | $ | 14 | 0.24 | % | $ | 200,862 | $ | 135 | 0.27 | % | |||||||||
| Securities: | |||||||||||||||||||||||||||
| Trading Assets | 8,437 | 72 | 3.39 | % | 8,600 | 71 | 3.31 | % | 7,257 | 61 | 3.33 | % | |||||||||||||||
| Taxable Investment Securities | 526,509 | 4,856 | 3.66 | % | 556,301 | 5,286 | 3.81 | % | 561,240 | 5,618 | 3.97 | % | |||||||||||||||
| Non-taxable Investment Securities (1) | 7,104 | 133 | 7.43 | % | 8,610 | 161 | 7.50 | % | 15,953 | 277 | 6.89 | % | |||||||||||||||
| Total Securities: | 542,050 | 5,061 | 3.70 | % | 573,511 | 5,518 | 3.86 | % | 584,450 | 5,956 | 4.04 | % | |||||||||||||||
| Loans Held for Sale | 12,422 | 116 | 3.70 | % | 8,659 | 70 | 3.24 | % | 15,738 | 174 | 4.39 | % | |||||||||||||||
| Loans | |||||||||||||||||||||||||||
| Commercial and Industrial | 555,745 | 5,840 | 4.17 | % | 535,764 | 5,710 | 4.27 | % | 440,539 | 5,077 | 4.57 | % | |||||||||||||||
| Commercial Real Estate | 1,800,914 | 23,496 | 5.18 | % | 1,787,364 | 23,618 | 5.30 | % | 1,641,627 | 23,736 | 5.74 | % | |||||||||||||||
| Commercial Construction | 129,540 | 1,495 | 4.58 | % | 128,747 | 1,482 | 4.62 | % | 148,151 | 1,792 | 4.80 | % | |||||||||||||||
| Small Business | 77,850 | 1,141 | 5.81 | % | 79,834 | 1,151 | 5.78 | % | 80,740 | 1,221 | 6.00 | % | |||||||||||||||
| Total Commercial | 2,564,049 | 31,972 | 4.95 | % | 2,531,709 | 31,961 | 5.06 | % | 2,311,057 | 31,826 | 5.46 | % | |||||||||||||||
| Residential Real Estate | 450,225 | 4,915 | 4.33 | % | 457,651 | 5,167 | 4.53 | % | 525,003 | 6,174 | 4.67 | % | |||||||||||||||
| Residential Construction | 6,735 | 73 | 4.30 | % | 4,535 | 55 | 4.86 | % | 4,874 | 63 | 5.13 | % | |||||||||||||||
| Consumer - Home Equity | 638,991 | 6,103 | 3.79 | % | 627,832 | 5,920 | 3.78 | % | 507,308 | 4,914 | 3.84 | % | |||||||||||||||
| Total Consumer Real Estate | 1,095,951 | 11,091 | 4.01 | % | 1,090,018 | 11,142 | 4.10 | % | 1,037,185 | 11,151 | 4.27 | % | |||||||||||||||
| Total Other Consumer | 49,864 | 978 | 7.78 | % | 56,292 | 1,098 | 7.82 | % | 82,130 | 1,593 | 7.70 | % | |||||||||||||||
| Total Loans: | 3,709,864 | 44,041 | 4.71 | % | 3,678,019 | 44,201 | 4.82 | % | 3,430,372 | 44,570 | 5.15 | % | |||||||||||||||
| Total Interest-Earning Assets | $ | 4,342,621 | $ | 49,267 | 4.50 | % | $ | 4,283,238 | $ | 49,803 | 4.66 | % | $ | 4,231,422 | $ | 50,835 | 4.77 | % | |||||||||
| Cash and Due from Banks | 57,103 | 56,122 | 55,357 | ||||||||||||||||||||||||
| Federal Home Loan Bank Stock | 35,854 | 35,854 | 35,854 | ||||||||||||||||||||||||
| Other Assets | 345,400 | 322,033 | 323,523 | ||||||||||||||||||||||||
| Total Assets | $ | 4,780,978 | $ | 4,697,247 | $ | 4,646,156 | |||||||||||||||||||||
| Interest-bearing Liabilities: | |||||||||||||||||||||||||||
| Deposits: | |||||||||||||||||||||||||||
| Savings and Interest Checking Accounts | $ | 1,364,307 | $ | 839 | 0.24 | % | $ | 1,365,892 | $ | 850 | 0.25 | % | $ | 1,220,073 | $ | 1,040 | 0.34 | % | |||||||||
| Money Market | 723,736 | 763 | 0.42 | % | 723,345 | 815 | 0.45 | % | 757,154 | 1,058 | 0.55 | % | |||||||||||||||
| Time Deposits | 659,154 | 1,817 | 1.09 | % | 669,941 | 1,879 | 1.12 | % | 805,825 | 2,703 | 1.33 | % | |||||||||||||||
| Total interest-bearing deposits: | $ | 2,747,197 | $ | 3,419 | 0.49 | % | $ | 2,759,178 | $ | 3,544 | 0.52 | % | $ | 2,783,052 | $ | 4,801 | 0.68 | % | |||||||||
| Borrowings: | |||||||||||||||||||||||||||
| Federal Home Loan Bank Borrowings | $ | 261,681 | $ | 1,814 | 2.75 | % | $ | 276,984 | $ | 1,743 | 2.52 | % | $ | 302,610 | $ | 2,372 | 3.11 | % | |||||||||
| Federal Funds Purchased and Assets Sold | |||||||||||||||||||||||||||
| Under Repurchase Agreement | 201,588 | 559 | 1.10 | % | 181,631 | 657 | 1.45 | % | 179,983 | 740 | 1.63 | % | |||||||||||||||
| Junior Subordinated Debentures | 61,857 | 922 | 5.91 | % | 61,857 | 913 | 5.92 | % | 61,857 | 931 | 5.97 | % | |||||||||||||||
| Subordinated Debentures | 30,000 | 547 | 7.23 | % | 30,000 | 541 | 7.23 | % | 30,000 | 547 | 7.23 | % | |||||||||||||||
| Other Borrowings | 2,385 | - | 0.00 | % | 2,541 | - | 0.00 | % | 2,602 | - | 0.00 | % | |||||||||||||||
| Total Borrowings: | 557,511 | 3,842 | 2.73 | % | 553,013 | 3,854 | 2.80 | % | 577,052 | 4,590 | 3.16 | % | |||||||||||||||
| Total Interest-Bearing Liabilities | $ | 3,304,708 | $ | 7,261 | 0.87 | % | $ | 3,312,191 | $ | 7,398 | 0.90 | % | $ | 3,360,104 | $ | 9,391 | 1.11 | % | |||||||||
| Demand Deposits | 944,518 | 870,585 | 796,205 | ||||||||||||||||||||||||
| Other Liabilities | 70,380 | 58,621 | 63,790 | ||||||||||||||||||||||||
| Total Liabilities | $ | 4,319,606 | $ | 4,241,397 | $ | 4,220,099 | |||||||||||||||||||||
| Stockholders' Equity | 461,372 | 455,850 | 426,057 | ||||||||||||||||||||||||
| Total Liabilities and Stockholders' Equity | $ | 4,780,978 | $ | 4,697,247 | $ | 4,646,156 | |||||||||||||||||||||
| Net Interest Income | $ | 42,006 | $ | 42,405 | $ | 41,444 | |||||||||||||||||||||
| Interest Rate Spread (2) | 3.63 | % | 3.76 | % | 3.66 | % | |||||||||||||||||||||
| Net Interest Margin (3) | 3.84 | % | 3.97 | % | 3.89 | % | |||||||||||||||||||||
| Supplemental Information: | |||||||||||||||||||||||||||
| Total Deposits, including Demand Deposits | $ | 3,691,715 | $ | 3,419 | $ | 3,629,763 | $ | 3,544 |
|
$ | 3,579,257 | $ | 4,801 | ||||||||||||||
| Cost of Total Deposits | 0.37 | % | 0.39 | % | 0.53 | % | |||||||||||||||||||||
| Total Funding Liabilities, including Demand Deposits | $ | 4,249,226 | $ | 7,261 | $ | 4,182,776 | $ | 7,398 | $ | 4,156,309 | $ | 9,391 | |||||||||||||||
| Cost of Total Funding Liabilities | 0.68 | % | 0.71 | % | 0.90 | % | |||||||||||||||||||||
| (1) The total amount of adjustment to present interest income and yield on a fully tax-equivalent basis is $332, 329, and $247 for the three months ended September 30, 2011, June 30, 2011, and September 30, 2010, respectively. | |||||||||||||||||||||||||||
| (2) Interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. | |||||||||||||||||||||||||||
| (3) Net interest margin represents annualized net interest income as a percentage of average interest-earning assets. | |||||||||||||||||||||||||||
| Nine Months Ended | ||||||||||||||||||
| September 30, 2011 | September 30, 2010 | |||||||||||||||||
| Interest | Interest | |||||||||||||||||
| Average | Earned/ | Yield/ | Average | Earned/ | Yield/ | |||||||||||||
| Balance | Paid | Rate | Balance | Paid | Rate | |||||||||||||
| Interest-Earning Assets: | ||||||||||||||||||
| Interest Earning Deposits with Banks, Federal Funds Sold, and Short Term Investments | $ | 43,181 | $ | 80 | 0.25 | % | $ | 138,319 | $ | 267 | 0.26 | % | ||||||
| Securities: | ||||||||||||||||||
| Trading Assets | 8,388 | 206 | 3.28 | % | 7,143 | 183 | 3.43 | % | ||||||||||
| Taxable Investment Securities | 550,425 | 15,573 | 3.78 | % | 562,422 | 18,093 | 4.30 | % | ||||||||||
| Non-taxable Investment Securities (1) | 8,619 | 484 | 7.50 | % | 17,582 | 936 | 7.12 | % | ||||||||||
| Total Securities: | 567,432 | 16,263 | 3.83 | % | 587,147 | 19,212 | 4.37 | % | ||||||||||
| Loans Held for Sale | 11,750 | 305 | 3.47 | % | 10,204 | 390 | 5.11 | % | ||||||||||
| Loans | ||||||||||||||||||
| Commercial and Industrial | 530,774 | 16,951 | 4.27 | % | 406,838 | 14,051 | 4.62 | % | ||||||||||
| Commercial Real Estate | 1,779,379 | 70,310 | 5.28 | % | 1,639,380 | 70,833 | 5.78 | % | ||||||||||
| Commercial Construction | 127,285 | 4,388 | 4.61 | % | 161,823 | 5,967 | 4.93 | % | ||||||||||
| Small Business | 79,314 | 3,471 | 5.85 | % | 81,506 | 3,639 | 5.97 | % | ||||||||||
| Total Commercial | 2,516,752 | 95,120 | 5.05 | % | 2,289,547 | 94,490 | 5.52 | % | ||||||||||
| Residential Real Estate | 458,609 | 15,481 | 4.51 | % | 536,918 | 19,424 | 4.84 | % | ||||||||||
| Residential Construction | 5,005 | 172 | 4.59 | % | 7,146 | 276 | 5.16 | % | ||||||||||
| Consumer - Home Equity | 622,952 | 17,645 | 3.79 | % | 492,048 | 14,140 | 3.84 | % | ||||||||||
| Total Consumer Real Estate | 1,086,566 | 33,298 | 4.10 | % | 1,036,112 | 33,840 | 4.37 | % | ||||||||||
| Total Other Consumer | 56,688 | 3,305 | 7.79 | % | 93,232 | 5,388 | 7.73 | % | ||||||||||
| Total Loans: | 3,660,006 | 131,723 | 4.81 | % | 3,418,891 | 133,718 | 5.23 | % | ||||||||||
| Total Interest-Earning Assets | $ | 4,282,369 | $ | 148,371 | 4.63 | % | $ | 4,154,561 | $ | 153,587 | 4.94 | % | ||||||
| Cash and Due from Banks | 55,101 | 64,314 | ||||||||||||||||
| Federal Home Loan Bank Stock | 35,854 | 35,854 | ||||||||||||||||
| Other Assets | 329,456 | 310,992 | ||||||||||||||||
| Total Assets | $ | 4,702,780 | $ | 4,565,721 | ||||||||||||||
| Interest-bearing Liabilities: | ||||||||||||||||||
| Deposits: | ||||||||||||||||||
| Savings and Interest Checking Accounts | $ | 1,340,077 | $ | 2,449 | 0.24 | % | $ | 1,153,459 | $ | 3,521 | 0.41 | % | ||||||
| Money Market | 723,675 | 2,362 | 0.44 | % | 740,128 | 3,699 | 0.67 | % | ||||||||||
| Time Deposits | 667,279 | 5,636 | 1.13 | % | 845,631 | 9,005 | 1.42 | % | ||||||||||
| Total interest-bearing deposits: | $ | 2,731,031 | $ | 10,447 | 0.51 | % | $ | 2,739,218 | $ | 16,225 | 0.79 | % | ||||||
| Borrowings: | ||||||||||||||||||
| Federal Home Loan Bank Borrowings | $ | 291,103 | $ | 5,468 | 2.51 | % | $ | 322,221 | $ | 7,196 | 2.99 | % | ||||||
| Federal Funds Purchased and Assets Sold | ||||||||||||||||||
| Under Repurchase Agreement | 187,221 | 1,867 | 1.33 | % | 182,456 | 2,391 | 1.75 | % | ||||||||||
| Junior Subordinated Debentures | 61,857 | 2,738 | 5.92 | % | 61,857 | 2,744 | 5.93 | % | ||||||||||
| Subordinated Debentures | 30,000 | 1,624 | 7.24 | % | 30,000 | 1,624 | 7.24 | % | ||||||||||
| Other Borrowings | 2,561 | - | 0.00 | % | 2,704 | - | 0.00 | % | ||||||||||
| Total Borrowings: | 572,742 | 11,697 | 2.73 | % | 599,238 | 13,955 | 3.11 | % | ||||||||||
| Total Interest-Bearing Liabilities | $ | 3,303,773 | $ | 22,144 | 0.90 | % | $ | 3,338,456 | $ | 30,180 | 1.21 | % | ||||||
| Demand Deposits | 882,460 | 750,895 | ||||||||||||||||
| Other Liabilities | 62,968 | 53,622 | ||||||||||||||||
| Total Liabilities | $ | 4,249,201 | $ | 4,142,973 | ||||||||||||||
| Stockholders' Equity | 453,579 | 422,748 | ||||||||||||||||
| Total Liabilities and Stockholders' Equity | $ | 4,702,780 | $ | 4,565,721 | ||||||||||||||
| Net Interest Income | $ | 126,227 | $ | 123,407 | ||||||||||||||
| Interest Rate Spread (2) | 3.73 | % | 3.73 | % | ||||||||||||||
| Net Interest Margin (3) | 3.94 | % | 3.97 | % | ||||||||||||||
| Supplemental Information: | ||||||||||||||||||
| Total Deposits, including Demand Deposits | $ | 3,613,491 | $ | 10,447 | $ | 3,490,113 | $ | 16,225 | ||||||||||
| Cost of Total Deposits | 0.39 | % | 0.62 | % | ||||||||||||||
| Total Funding Liabilities, including Demand Deposits | $ | 4,186,233 | $ | 22,144 | $ | 4,089,351 | $ | 30,180 | ||||||||||
| Cost of Total Funding Liabilities | 0.71 | % | 0.99 | % | ||||||||||||||
| (1) The total amount of adjustment to present interest income and yield on a fully tax-equivalent basis is $1,004 and $833 for the nine months ended September 30, 2011, and September 30, 2010, respectively. | ||||||||||||||||||
| (2) Interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. | ||||||||||||||||||
| (3) Net interest margin represents annualized net interest income as a percentage of average interest-earning assets. | ||||||||||||||||||
| Certain amounts in prior year financial statement have been reclassified to conform to the current year's presentation. | ||||||||||||||||||
CONTACT:
Independent Bank Corp.
Chris Oddleifson,
781-982-6660
President and
Chief Executive Officer
or
Denis
K. Sheahan, 781-982-6341
Chief Financial Officer