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8-K - 8-K - COBIZ FINANCIAL INC | cobz-20130718x8k.htm |
CoBiz Financial Announces Second Quarter 2013 Results
Reports 31% increase in net income available to common shareholders
Denver -- CoBiz Financial Inc. (NASDAQ: COBZ), a financial services company with $2.7 billion in assets, announced net income available to common shareholders of $7.1 million for the second quarter of 2013, or $0.18 per diluted common share. Net income available to common shareholders for the second quarter of 2012 was $5.4 million, or $0.14 per diluted common share.
Return on average assets for the second quarter of 2013 increased to 1.09% from 1.00% in the second quarter of 2012, and return on average shareholders’ equity increased to 10.93% for the second quarter of 2013 from 10.22% for the prior-year quarter.
Financial Highlights – Second quarter 2013
· |
Loans increased by $92.0 million, or 19% annualized, from the first quarter of 2013 (linked-quarter). |
· |
Continued credit improvement led to a negative provision for loan losses of $1.1 million for the current quarter. |
· |
An increase in fee income coupled with a reduction in noninterest expenses led to an improvement in the efficiency ratio to 71.2% for the second quarter of 2013 versus 75.8% for the first quarter of 2013 and 74.3% for the second quarter of 2012. |
· |
The net interest margin (NIM) decreased nine basis points from the first quarter of 2013. |
Financial Summary
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Quarter ended |
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2Q13 change vs. |
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(in thousands, except per share amounts) |
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2Q13 |
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1Q13 |
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2Q12 |
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1Q13 |
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2Q12 |
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Net interest income before provision |
$ |
23,365 |
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$ |
23,185 |
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$ |
23,624 |
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$ |
180 | 0.8% |
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$ |
(259) |
(1.1)% |
Provision for loan losses |
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(1,065) |
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(1,590) |
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(1,820) |
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525 |
(33.0)% |
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755 |
(41.5)% |
Net interest income after provision |
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24,430 |
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24,775 |
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25,444 |
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(345) |
(1.4)% |
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(1,014) |
(4.0)% |
Total noninterest income |
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8,425 |
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6,476 |
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6,570 |
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1,949 | 30.1% |
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1,855 | 28.2% |
Total noninterest expense |
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21,594 |
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22,581 |
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22,589 |
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(987) |
(4.4)% |
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(995) |
(4.4)% |
Net income before income taxes |
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11,261 |
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8,670 |
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9,425 |
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2,591 | 29.9% |
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1,836 | 19.5% |
Provision for income taxes |
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3,999 |
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2,794 |
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3,230 |
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1,205 | 43.1% |
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769 | 23.8% |
Income from continuing operations |
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7,262 |
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5,876 |
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6,195 |
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1,386 | 23.6% |
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1,067 | 17.2% |
Discontinued operations, net of tax |
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- |
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173 |
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(45) |
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(173) |
(100.0)% |
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45 |
(100.0)% |
Net income |
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7,262 |
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6,049 |
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6,150 |
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1,213 | 20.1% |
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1,112 | 18.1% |
Preferred stock dividends |
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(143) |
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(514) |
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(717) |
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371 |
(72.2)% |
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574 |
(80.1)% |
Net income available to common shareholders |
$ |
7,119 |
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$ |
5,535 |
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$ |
5,433 |
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$ |
1,584 | 28.6% |
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$ |
1,686 | 31.0% |
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Diluted earnings per common share |
$ |
0.18 |
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$ |
0.14 |
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$ |
0.14 |
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$ |
0.04 | 28.6% |
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$ |
0.04 | 28.6% |
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KEY RATIOS |
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Net interest margin |
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3.85% |
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3.94% |
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4.19% |
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Efficiency ratio |
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71.20% |
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75.80% |
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74.32% |
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Return on average assets |
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1.09% |
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0.94% |
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1.00% |
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Return on average shareholders' equity |
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10.93% |
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9.43% |
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10.22% |
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Noninterest income as a percentage of operating revenues |
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26.50% |
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21.83% |
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21.76% |
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“It was gratifying to see the level of loan activity pick up this quarter, with the bank reporting 19% annualized loan growth. In such a challenging rate environment, quality loan generation is critical to maintaining our net interest income,” said Chairman and CEO Steve Bangert. “However, the momentum wasn’t isolated to the bank, with progress recognized across all our business units. The growth in fee income combined with disciplined expense management allowed our efficiency ratio to improve to 71%.
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“I look forward to building on the success we have seen. We recently announced expansion plans into two new markets within Colorado as well as the formation of a dedicated private banking division. I believe our high-touch business banking model will be well received and continue to build on the results we’ve seen in Colorado.”
Loans
· |
Loans at June 30, 2013 were $2.0 billion, an increase of $251.2 million, or 14.2%, from the prior-year quarter. On a linked-quarter basis, loans increased by $92.0 million, or 19% annualized. |
· |
Growth was driven by the Commercial & Industrial (C&I) portfolio, which increased by $70.9 million during the current quarter, and $184.9 million from June 30, 2012. |
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Quarter ended |
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2Q13 change vs. |
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(in thousands) |
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2Q13 |
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1Q13 |
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2Q12 |
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1Q13 |
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2Q12 |
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LOANS |
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Commercial & industrial |
$ |
813,186 |
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$ |
742,239 |
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$ |
628,327 |
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$ |
70,947 | 9.6% |
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$ |
184,859 | 29.4% |
Owner-occupied real estate |
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442,132 |
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438,118 |
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431,968 |
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4,014 | 0.9% |
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10,164 | 2.4% |
Investor real estate |
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442,447 |
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451,053 |
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400,673 |
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(8,606) |
(1.9)% |
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41,774 | 10.4% |
Land acquisition & development |
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36,795 |
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38,054 |
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56,455 |
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(1,259) |
(3.3)% |
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(19,660) |
(34.8)% |
Real estate - construction |
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58,332 |
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46,346 |
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65,761 |
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11,986 | 25.9% |
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(7,429) |
(11.3)% |
Consumer |
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168,606 |
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157,973 |
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132,510 |
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10,633 | 6.7% |
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36,096 | 27.2% |
Other |
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56,346 |
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52,023 |
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50,994 |
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4,323 | 8.3% |
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5,352 | 10.5% |
Total loans |
$ |
2,017,844 |
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$ |
1,925,806 |
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$ |
1,766,688 |
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$ |
92,038 | 4.8% |
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$ |
251,156 | 14.2% |
· |
Loan activity accelerated during the second quarter of 2013 after a relatively slow first quarter. New loans of $149.1 million were added during the second quarter, and advances on existing lines totaled $96.1 million. |
· |
New and advanced loans were offset by paydowns and maturities of $151.2 million during the second quarter of 2013. |
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Quarter ended |
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(in thousands) |
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2Q13 |
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1Q13 |
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4Q12 |
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3Q12 |
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2Q12 |
Loans - beginning balance |
$ |
1,925,806 |
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$ |
1,926,432 |
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$ |
1,811,407 |
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$ |
1,766,688 |
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$ |
1,678,447 |
New credit extended |
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149,053 |
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78,587 |
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205,723 |
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134,767 |
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164,414 |
Credit advanced |
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96,122 |
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72,487 |
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82,306 |
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54,642 |
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77,683 |
Paydowns & maturities |
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(151,176) |
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(150,878) |
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(172,540) |
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(141,705) |
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(152,017) |
Gross loan charge-offs |
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(1,961) |
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(822) |
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(464) |
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(2,985) |
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(1,839) |
Loans - ending balance |
$ |
2,017,844 |
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$ |
1,925,806 |
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$ |
1,926,432 |
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$ |
1,811,407 |
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$ |
1,766,688 |
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Net change - loans outstanding |
$ |
92,038 |
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$ |
(626) |
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$ |
115,025 |
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$ |
44,719 |
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$ |
88,241 |
· |
Gross credit commitments increased by $45.0 million, or 17.0% annualized, on a linked-quarter basis and by $135.8 million, or 13.9%, from June 30, 2012. |
· |
Total line utilization was 40.3% at June 30, 2013, as compared to 37.9% and 42.0% at March 31, 2013 and June 30, 2012, respectively. |
Investment Securities
· |
The Company had investment securities available for sale (AFS) with a carrying value of $552.9 million at June 30, 2013, a $7.0 million increase from March 31, 2013. |
2 | Page
o |
Due to the shift in the yield curve, the unrealized gain on the AFS investment portfolio decreased $8.8 million from March 31, 2013 to $8.4 million at June 30, 2013. |
· |
Investment securities classified as held to maturity increased $6.9 million from March 31, 2013 to $12.4 million at June 30, 2013. |
· |
Other investments totaled $10.8 million at June 30, 2013, an increase of $2.5 million from March 31, 2013. |
Deposits and Customer Repurchase Agreements (Repo)
· |
Customer Funding at June 30, 2013 was $2.2 billion, an increase of $95.2 million from June 30, 2012. On a linked-quarter basis, Customer Funding declined $20.6 million. |
· |
Noninterest-bearing demand (NIB) accounts increased $31.1 million on a linked-quarter basis, increasing the percentage of NIB to total deposits to 42.5% at June 30, 2013 from 40.4% at March 31, 2013. |
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Quarter ended |
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2Q13 change vs. |
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(in thousands) |
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2Q13 |
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1Q13 |
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2Q12 |
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1Q13 |
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2Q12 |
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DEPOSITS AND CUSTOMER REPURCHASE AGREEMENTS |
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NOW and money market |
$ |
797,179 |
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$ |
846,204 |
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$ |
767,102 |
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$ |
(49,025) |
(5.8)% |
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$ |
30,077 | 3.9% |
Interest-bearing demand |
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101,194 |
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118,085 |
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115,684 |
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(16,891) |
(14.3)% |
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(14,490) |
(12.5)% |
Savings |
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11,612 |
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11,429 |
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10,278 |
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183 | 1.6% |
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1,334 | 13.0% |
Certificates of deposits under $100 |
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29,359 |
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29,889 |
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31,399 |
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(530) |
(1.8)% |
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(2,040) |
(6.5)% |
Certificates of deposits $100 and over |
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136,077 |
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143,529 |
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166,938 |
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(7,452) |
(5.2)% |
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(30,861) |
(18.5)% |
Reciprocal CDARS |
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95,157 |
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81,631 |
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94,336 |
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13,526 | 16.6% |
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821 | 0.9% |
Total interest-bearing deposits |
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1,170,578 |
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1,230,767 |
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1,185,737 |
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(60,189) |
(4.9)% |
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(15,159) |
(1.3)% |
Noninterest-bearing demand deposits |
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865,393 |
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834,337 |
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761,252 |
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31,056 | 3.7% |
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104,141 | 13.7% |
Customer repurchase agreements |
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133,402 |
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124,882 |
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127,144 |
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8,520 | 6.8% |
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6,258 | 4.9% |
Total deposits and customer repurchase agreements |
$ |
2,169,373 |
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$ |
2,189,986 |
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$ |
2,074,133 |
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$ |
(20,613) |
(0.9)% |
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$ |
95,240 | 4.6% |
Allowance for Loan and Credit Losses and Credit Quality
· |
Nonperforming assets (NPAs) were $32.8 million at June 30, 2013, as compared to $38.6 million at June 30, 2012. |
· |
Classified loans decreased from the linked- and prior-year quarter ends by 5.0% and 34.5%, respectively. |
· |
Due to the reduction in problem loans, a negative provision for loan losses of $1.1 million was recorded during the second quarter of 2013. |
· |
The Company recognized net loan charge-offs of $0.6 million in the second quarter of 2013, compared to net charge-offs of $0.4 million in the first quarter of 2013 and net recoveries of $0.1 million in the second quarter of 2012. |
· |
As a result of the improvement in credit quality measures, the Allowance for Loan and Credit Losses (Allowance) to loan ratio decreased to 2.14% at June 30, 2013 from 2.33% at March 31, 2013. |
· |
The coverage of Allowance to nonperforming loans increased to 168.7% at June 30, 2013 from 145.6% at March 31, 2013. |
3 | Page
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Quarter ended |
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(in thousands) |
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2Q13 |
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1Q13 |
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2Q12 |
ALLOWANCE FOR LOAN AND CREDIT LOSSES |
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Beginning allowance for loan losses |
$ |
44,874 |
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$ |
46,866 |
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$ |
52,778 |
Provision for loan losses |
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(1,065) |
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(1,590) |
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(1,820) |
Net recovery (charge-off) |
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(577) |
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(402) |
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143 |
Ending allowance for loan losses |
$ |
43,232 |
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$ |
44,874 |
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$ |
51,101 |
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Beginning allowance for credit losses |
$ |
- |
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$ |
- |
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$ |
35 |
Provision for credit losses |
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- |
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- |
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- |
Ending allowance for credit losses |
$ |
- |
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$ |
- |
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$ |
35 |
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Total provision for loan and credit losses |
$ |
(1,065) |
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$ |
(1,590) |
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$ |
(1,820) |
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CREDIT QUALITY |
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Nonaccrual loans |
$ |
25,634 |
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$ |
30,420 |
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$ |
24,950 |
Loans 90 days or more past due and accruing interest |
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- |
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407 |
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- |
Total nonperforming loans |
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25,634 |
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30,827 |
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24,950 |
OREO and repossessed assets |
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7,185 |
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8,420 |
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13,651 |
Total nonperforming assets |
$ |
32,819 |
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$ |
39,247 |
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$ |
38,601 |
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Performing renegotiated loans |
$ |
29,623 |
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$ |
31,619 |
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$ |
36,010 |
Classified loans |
$ |
64,300 |
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$ |
67,677 |
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$ |
98,136 |
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ASSET QUALITY MEASURES |
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Nonperforming assets to total assets |
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1.20% |
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1.50% |
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1.53% |
Nonperforming loans to total loans |
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1.27% |
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1.60% |
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1.41% |
Nonperforming loans and OREO to total loans and OREO |
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1.62% |
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2.03% |
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2.17% |
Allowance for loan and credit losses to total loans |
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2.14% |
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2.33% |
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2.89% |
Allowance for loan and credit losses to nonperforming loans |
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168.65% |
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145.57% |
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204.95% |
Shareholders’ Equity
· |
Total shareholders’ equity increased $3.2 million from March 31, 2013 to $266.7 million at June 30, 2013. |
o |
Total accumulated other comprehensive income included within total shareholders’ equity declined by $3.6 million. The recent rise in interest rates reduced the unrealized net gain on the Company’s AFS investments and had a corresponding decrease on the unrealized net loss on the derivative portfolio. |
· |
Tangible common equity decreased to 7.5% of tangible assets at June 30, 2013 from 7.8% at March 31, 2013. |
· |
The Board of Directors of the Company declared a quarterly cash dividend of $0.03 per common share. The dividend will be paid on August 5, 2013 to shareholders of record on July 29, 2013. |
4 | Page
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Quarter ended |
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(in thousands, except per share amounts) |
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2Q13 |
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1Q13 |
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2Q12 |
EQUITY MEASURES |
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Common shareholders' equity |
$ |
209,341 |
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$ |
206,179 |
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$ |
186,097 |
Total shareholders' equity |
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266,679 |
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|
263,517 |
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|
243,435 |
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Common shares outstanding at period end |
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40,282 |
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40,197 |
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39,708 |
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Book value per common share |
$ |
5.20 |
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$ |
5.13 |
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$ |
4.69 |
Tangible book value per common share * |
$ |
5.12 |
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$ |
5.05 |
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$ |
4.60 |
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Tangible common equity to tangible assets * |
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7.54% |
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7.75% |
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7.23% |
Tangible equity to tangible assets * |
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9.63% |
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9.94% |
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9.50% |
Tier 1 capital ratio |
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** |
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14.72% |
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15.01% |
Total-risk based capital ratio |
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** |
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16.93% |
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17.32% |
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* See accompanying Reconciliation of Non-GAAP measures to GAAP |
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** Ratios unavailable at the time of release |
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Net Interest Income and Margin
· |
Net interest income on a tax-equivalent basis was $24.0 million for the second quarter of 2013, an increase of $0.2 million from the prior linked-quarter. |
· |
The NIM contracted by nine basis points on a linked-quarter basis to 3.85% mainly due to decreases in earning asset yields, primarily loan yields. |
· |
Average earning assets of $2.5 billion increased $53.8 million on a linked-quarter basis. |
o |
From the first quarter of 2013, average net loans increased $55.6 million, average federal funds sold and interest earning deposits increased $3.2 million, and average investments decreased $5.0 million. |
· |
The yield on average earning assets decreased 11 basis points to 4.16% from 4.27% on a linked-quarter basis. |
· |
The rate paid on average interest-bearing liabilities decreased five basis points on a linked-quarter basis from 0.77% to 0.72%. |
Noninterest Income
· |
As a percentage of total operating revenue, noninterest income increased to 26.5% for the second quarter of 2013 from 21.8% for both the linked- and prior-year quarters. |
· |
The Company observed increases across all noninterest income categories and operating units compared to the linked- and prior-year quarters. |
· |
The linked-quarter increase in other income is primarily attributable to a change in the fair value of the Company’s interest rate swap portfolio. |
5 | Page
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|
|
|
|
|
|
|
|
|
|
||||||
|
|
Quarter ended |
|
|
2Q13 change vs. |
|||||||||||
(in thousands) |
|
2Q13 |
|
|
1Q13 |
|
2Q12 |
|
|
1Q13 |
|
|
2Q12 |
|||
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposit service charges |
$ |
1,352 |
|
$ |
1,328 |
|
$ |
1,221 |
|
$ |
24 | 1.8% |
|
$ |
131 | 10.7% |
Investment advisory income |
|
1,295 |
|
|
1,112 |
|
|
951 |
|
|
183 | 16.5% |
|
|
344 | 36.2% |
Insurance income |
|
3,210 |
|
|
2,510 |
|
|
2,517 |
|
|
700 | 27.9% |
|
|
693 | 27.5% |
Investment banking income |
|
576 |
|
|
66 |
|
|
148 |
|
|
510 | 772.7% |
|
|
428 | 289.2% |
Other income |
|
1,992 |
|
|
1,460 |
|
|
1,733 |
|
|
532 | 36.4% |
|
|
259 | 14.9% |
Total noninterest income |
$ |
8,425 |
|
$ |
6,476 |
|
$ |
6,570 |
|
$ |
1,949 | 30.1% |
|
$ |
1,855 | 28.2% |
Operating Expenses
· |
The Company’s efficiency ratio for the second quarter of 2013 was 71.2% compared to 74.3% for the second quarter of 2012 and 75.8% for the first quarter of 2013. |
· |
The increase in compensation-related expenses over the linked-quarter is attributed to the impact of annual cost of living and merit increases effective in the second quarter 2013. |
· |
The reduction in other operating expenses from the linked- and prior-year quarters is primarily due to a reduction in loan workout and OREO expenses. |
· |
In the second quarter of 2013, the Company recorded net gains on OREO, investments and other assets. |
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Quarter ended |
|
|
2Q13 change vs. |
|||||||||||
(in thousands) |
|
2Q13 |
|
|
1Q13 |
|
2Q12 |
|
|
1Q13 |
|
|
2Q12 |
|||
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
$ |
14,720 |
|
$ |
14,484 |
|
$ |
13,790 |
|
$ |
236 | 1.6% |
|
$ |
930 | 6.7% |
Stock-based compensation expense |
|
746 |
|
|
748 |
|
|
511 |
|
|
(2) |
(0.3)% |
|
|
235 | 46.0% |
Occupancy expenses, premises and equipment |
|
3,155 |
|
|
3,304 |
|
|
3,335 |
|
|
(149) |
(4.5)% |
|
|
(180) |
(5.4)% |
Amortization of intangibles |
|
159 |
|
|
200 |
|
|
133 |
|
|
(41) |
(20.5)% |
|
|
26 | 19.5% |
Other operating expenses |
|
3,853 |
|
|
3,926 |
|
|
4,291 |
|
|
(73) |
(1.9)% |
|
|
(438) |
(10.2)% |
(Gain) loss on OREO, repossessed assets and other |
|
(561) |
|
|
(70) |
|
|
1,070 |
|
|
(491) | 701.4% |
|
|
(1,631) |
(152.4)% |
(Gain) loss on investment securities |
|
(478) |
|
|
(11) |
|
|
(541) |
|
|
(467) | 4,245.5% |
|
|
63 |
(11.6)% |
Total noninterest expense |
$ |
21,594 |
|
$ |
22,581 |
|
$ |
22,589 |
|
$ |
(987) |
(4.4)% |
|
$ |
(995) |
(4.4)% |
Earnings Conference Call
In conjunction with this release, you are invited to listen to the Company's conference call on Friday, July 19, 2013, at 9:00 am MDT with Steve Bangert, CoBiz chairman and CEO. The call can be accessed via the Internet at http://www.videonewswire.com/event.asp?id=94876 or by telephone at 877.493.9121, (conference ID # 15554382). International callers may dial: 973.582.2750.
Explanation of the Company’s Use of Non-GAAP Financial Measures
This earnings release contains GAAP financial measures and non-GAAP financial measures where management believes it to be helpful in understanding our results of operations and reflects the basis on which management internally reviews financial performance and capital adequacy. We believe these measures provide important supplemental information to investors. However, you should not rely on non-GAAP financial measures alone as measures of our performance. Please see the accompanying Reconciliation of Non-GAAP Measures to GAAP for additional information.
Contact Information
CoBiz Financial Inc.
Lyne Andrich 303.312.3458
6 | Page
About CoBiz Financial
CoBiz Financial (NASDAQ:COBZ) is a $2.7 billion financial services company that serves the complete financial needs of businesses, business owners and professionals in Colorado and Arizona. The Company provides commercial banking services through Colorado Business Bank and Arizona Business Bank; wealth planning and investment management through CoBiz Wealth Management; property and casualty insurance brokerage and employee benefits through CoBiz Insurance; and investment banking services through Green Manning & Bunch.
Forward-Looking Information
This release contains forward-looking statements that describe CoBiz's future plans, strategies and expectations. Forward-looking statements include statements about future performance and results of operations. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate" or words of similar meaning, or future or conditional verbs such as "would”, "could", “should” or "may." Forward-looking statements speak only as of the date they are made. All forward-looking statements are based on assumptions and involve risks and uncertainties, many of which are beyond our control and which may cause our actual results, performance or achievements to differ materially from the results, performance or achievements contemplated by the forward-looking statements. Such risks and uncertainties include, among other things:
· |
Risks and uncertainties described in our reports filed with the Securities and Exchange Commission, including our most recent Form 10-K. |
· |
Competitive pressures among depository and other financial institutions nationally and in our market areas may increase significantly. |
· |
Adverse changes in the economy or business conditions, either nationally or in our market areas, could increase credit-related losses and expenses and/or limit growth. |
· |
Increases in defaults by borrowers and other delinquencies could result in increases in our provision for losses on loans and related expenses. |
· |
Our ability to manage growth effectively, including the successful expansion of our customer support, administrative infrastructure and internal management systems, could adversely affect our results of operations and prospects. |
· |
Fluctuations in interest rates and market prices could reduce our net interest margin and asset valuations and increase our expenses. |
· |
Our net interest margin may be negatively impacted if we are unable to profitably deploy excess cash into higher yielding loans or investments. |
· |
The consequences of continued bank acquisitions and mergers in our market areas, resulting in fewer but much larger and financially stronger competitors, could increase competition for financial services to our detriment. |
· |
Our continued growth will depend in part on our ability to enter new markets successfully and capitalize on other growth opportunities. |
· |
Changes in legislative or regulatory requirements applicable to us and our subsidiaries and implementation of current legislative or regulatory requirements could increase costs, limit certain operations and adversely affect results of operations. |
· |
Changes in tax requirements, including tax rate changes, new tax laws and revised tax law interpretations may increase our tax expense or adversely affect our customers' businesses. |
In light of these risks, uncertainties and assumptions, you should not place undue reliance on any forward-looking statements in this release. We undertake no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise.
7 | Page
|
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|
|
|
|
|
CoBiz Financial Inc. |
|||||||||||
June 30, 2013 |
|||||||||||
(unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||
(in thousands, except per share amounts) |
2013 |
|
2012 |
|
2013 |
|
2012 |
||||
INCOME STATEMENT DATA |
|
|
|
|
|
|
|
|
|
|
|
Interest income |
$ |
26,160 |
|
$ |
26,842 |
|
$ |
52,212 |
|
$ |
53,436 |
Interest expense |
|
2,795 |
|
|
3,218 |
|
|
5,662 |
|
|
6,509 |
NET INTEREST INCOME BEFORE PROVISION |
|
23,365 |
|
|
23,624 |
|
|
46,550 |
|
|
46,927 |
Provision for loan losses |
|
(1,065) |
|
|
(1,820) |
|
|
(2,655) |
|
|
(1,890) |
NET INTEREST INCOME AFTER PROVISION |
|
24,430 |
|
|
25,444 |
|
|
49,205 |
|
|
48,817 |
Noninterest income |
|
8,425 |
|
|
6,570 |
|
|
14,901 |
|
|
13,487 |
Noninterest expense |
|
21,594 |
|
|
22,589 |
|
|
44,175 |
|
|
46,000 |
INCOME BEFORE INCOME TAXES |
|
11,261 |
|
|
9,425 |
|
|
19,931 |
|
|
16,304 |
Provision for income taxes |
|
3,999 |
|
|
3,230 |
|
|
6,793 |
|
|
5,610 |
NET INCOME FROM CONTINUING OPERATIONS |
|
7,262 |
|
|
6,195 |
|
|
13,138 |
|
|
10,694 |
Income (loss) from discontinued operations, net of tax |
|
- |
|
|
(45) |
|
|
173 |
|
|
(4) |
NET INCOME |
$ |
7,262 |
|
$ |
6,150 |
|
$ |
13,311 |
|
$ |
10,690 |
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock dividends |
|
(143) |
|
|
(717) |
|
|
(657) |
|
|
(1,434) |
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS |
$ |
7,119 |
|
$ |
5,433 |
|
$ |
12,654 |
|
$ |
9,256 |
|
|
|
|
|
|
|
|
|
|
|
|
EARNINGS PER COMMON SHARE |
|
|
|
|
|
|
|
|
|
|
|
BASIC |
$ |
0.18 |
|
$ |
0.14 |
|
$ |
0.32 |
|
$ |
0.24 |
DILUTED |
$ |
0.18 |
|
$ |
0.14 |
|
$ |
0.32 |
|
$ |
0.24 |
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY MEASURES |
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding at period end (in thousands) |
|
|
|
|
|
40,282 |
|
|
39,708 | ||
Book value per common share |
|
|
|
|
|
|
$ |
5.20 |
|
$ |
4.69 |
Tangible book value per common share * |
|
|
|
|
|
|
$ |
5.12 |
|
$ |
4.60 |
Tangible common equity to tangible assets * |
|
|
|
|
|
|
|
7.54% |
|
|
7.23% |
Tangible equity to tangible assets * |
|
|
|
|
|
|
|
9.63% |
|
|
9.50% |
|
|
|
|
|
|
|
|
|
|
|
|
* See accompanying Reconciliation of Non-GAAP Measures to GAAP |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PERIOD END BALANCES |
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
|
|
|
|
|
$ |
2,738,749 |
|
$ |
2,530,133 |
Investments |
|
|
|
|
|
|
|
576,045 |
|
|
623,879 |
Loans |
|
|
|
|
|
|
|
2,017,844 |
|
|
1,766,688 |
Intangible assets |
|
|
|
|
|
|
|
3,112 |
|
|
3,439 |
Deposits |
|
|
|
|
|
|
|
2,035,971 |
|
|
1,946,989 |
Subordinated debentures |
|
|
|
|
|
|
|
93,150 |
|
|
93,150 |
Common shareholders' equity |
|
|
|
|
|
|
|
209,341 |
|
|
186,097 |
Total shareholders' equity |
|
|
|
|
|
|
|
266,679 |
|
|
243,435 |
Interest-earning assets |
|
|
|
|
|
|
|
2,564,833 |
|
|
2,355,707 |
Interest-bearing liabilities |
|
|
|
|
|
|
|
1,552,129 |
|
|
1,480,256 |
|
|
|
|
|
|
|
|
|
|
|
|
BALANCE SHEET AVERAGES |
|
|
|
|
|
|
|
|
|
|
|
Average assets |
|
|
|
|
|
|
$ |
2,639,671 |
|
$ |
2,450,965 |
Average investments |
|
|
|
|
|
|
|
560,949 |
|
|
632,007 |
Average loans |
|
|
|
|
|
|
|
1,941,758 |
|
|
1,680,561 |
Average deposits |
|
|
|
|
|
|
|
2,045,158 |
|
|
1,890,100 |
Average subordinated debentures |
|
|
|
|
|
|
|
93,150 |
|
|
93,150 |
Average shareholders' equity |
|
|
|
|
|
|
|
263,296 |
|
|
233,546 |
Average interest-earning assets |
|
|
|
|
|
|
|
2,474,898 |
|
|
2,279,515 |
Average interest-bearing liabilities |
|
|
|
|
|
|
|
1,515,022 |
|
|
1,463,434 |
8 | Page
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|
|
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|
|
|
|
|
CoBiz Financial Inc. |
|||||||||||
June 30, 2013 |
|||||||||||
(unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended June 30, |
|
|
Six months ended June 30, |
||||||
(in thousands) |
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
PROFITABILITY MEASURES |
|
|
|
|
|
|
|
|
|
|
|
Net interest margin |
|
3.85% |
|
|
4.19% |
|
|
3.90% |
|
|
4.21% |
Efficiency ratio |
|
71.20% |
|
|
74.32% |
|
|
73.43% |
|
|
75.55% |
Return on average assets |
|
1.09% |
|
|
1.00% |
|
|
1.02% |
|
|
0.88% |
Return on average shareholders' equity |
|
10.93% |
|
|
10.22% |
|
|
10.19% |
|
|
9.20% |
Noninterest income as a percentage of operating revenues |
|
26.50% |
|
|
21.76% |
|
|
24.25% |
|
|
22.32% |
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY |
|
|
|
|
|
|
|
|
|
|
|
Nonperforming loans |
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
|
|
|
|
|
|
$ |
25,634 |
|
$ |
24,950 |
Loans 90 days or more past due and accruing interest |
|
|
|
|
|
|
|
- |
|
|
- |
Total nonperforming loans |
|
|
|
|
|
|
|
25,634 |
|
|
24,950 |
OREO & repossessed assets |
|
|
|
|
|
|
|
7,185 |
|
|
13,651 |
Total nonperforming assets |
|
|
|
|
|
|
$ |
32,819 |
|
$ |
38,601 |
|
|
|
|
|
|
|
|
|
|
|
|
Performing renegotiated loans |
|
|
|
|
|
|
$ |
29,623 |
|
$ |
36,010 |
Classified loans |
|
|
|
|
|
|
$ |
64,300 |
|
$ |
98,136 |
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs |
|
|
|
|
|
|
$ |
(2,783) |
|
$ |
(5,151) |
Recoveries |
|
|
|
|
|
|
|
1,804 |
|
|
2,513 |
Net charge-offs |
|
|
|
|
|
|
$ |
(979) |
|
$ |
(2,638) |
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming assets to total assets |
|
|
|
|
|
|
|
1.20% |
|
|
1.53% |
Nonperforming loans to total loans |
|
|
|
|
|
|
|
1.27% |
|
|
1.41% |
Nonperforming loans and OREO to total loans and OREO |
|
|
|
|
|
|
|
1.62% |
|
|
2.17% |
Allowance for loan and credit losses to total loans |
|
|
|
|
|
|
|
2.14% |
|
|
2.89% |
Allowance for loan and credit losses to nonperforming loans |
|
|
|
|
|
|
|
168.65% |
|
|
204.95% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
NPAs as a |
||||||
NONPERFORMING ASSETS BY MARKET |
|
Colorado |
|
|
Arizona |
|
|
Total |
|
|
in Category |
|
% |
Commercial |
$ |
1,791 |
|
$ |
1,108 |
|
$ |
2,899 |
|
$ |
813,186 |
|
0.36% |
Real estate - mortgage |
|
2,414 |
|
|
17,679 |
|
|
20,093 |
|
|
884,579 |
|
2.27% |
Land acquisition & development |
|
1,262 |
|
|
936 |
|
|
2,198 |
|
|
36,795 |
|
5.97% |
Real estate - construction |
|
261 |
|
|
- |
|
|
261 |
|
|
58,332 |
|
0.45% |
Consumer |
|
183 |
|
|
- |
|
|
183 |
|
|
168,606 |
|
0.11% |
Other loans |
|
- |
|
|
- |
|
|
- |
|
|
56,346 |
|
0.00% |
OREO & repossessed assets |
|
5,994 |
|
|
1,191 |
|
|
7,185 |
|
|
7,185 |
|
- |
NPAs |
$ |
11,905 |
|
$ |
20,914 |
|
$ |
32,819 |
|
$ |
2,025,029 |
|
1.62% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total loans |
$ |
1,497,577 |
|
$ |
520,267 |
|
$ |
2,017,844 |
|
|
|
|
|
Total loans and OREO |
|
1,503,571 |
|
|
521,458 |
|
|
2,025,029 |
|
|
|
|
|
Nonperforming loans to loans |
|
0.39% |
|
|
3.79% |
|
|
1.27% |
|
|
|
|
|
Nonperforming loans and OREO to total loans and OREO |
|
0.79% |
|
|
4.01% |
|
|
1.62% |
|
|
|
|
|
9 | Page
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||||||
CoBiz Financial Inc. |
||||||||||||||||||||
June 30, 2013 |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Three months ended |
||||||||||||||||||
|
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
||||||
(in thousands) |
|
2013 |
|
|
2013 |
|
|
2012 |
|
|
2012 |
|
|
2012 |
||||||
COMMERCIAL BANKING |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
26,068 |
|
$ |
25,958 |
|
$ |
26,158 |
|
$ |
26,364 |
|
$ |
26,759 | ||||||
Total interest expense |
|
1,330 |
|
|
1,424 |
|
|
1,577 |
|
|
1,730 |
|
|
1,766 | ||||||
Net interest income |
|
24,738 |
|
|
24,534 |
|
|
24,581 |
|
|
24,634 |
|
|
24,993 | ||||||
Provision for loan losses |
|
(822) |
|
|
(1,031) |
|
|
(18) |
|
|
(2,324) |
|
|
(1,841) | ||||||
Net interest income (loss) after provision |
|
25,560 |
|
|
25,565 |
|
|
24,599 |
|
|
26,958 |
|
|
26,834 | ||||||
Noninterest income |
|
3,236 |
|
|
2,681 |
|
|
3,756 |
|
|
2,495 |
|
|
2,965 | ||||||
Noninterest expense |
|
8,917 |
|
|
8,215 |
|
|
8,631 |
|
|
7,261 |
|
|
7,424 | ||||||
Operating income |
|
19,879 |
|
|
20,031 |
|
|
19,724 |
|
|
22,192 |
|
|
22,375 | ||||||
Amortization of intangibles |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Provision (benefit) for income taxes |
|
7,139 |
|
|
7,149 |
|
|
7,226 |
|
|
8,374 |
|
|
8,161 | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
12,740 |
|
$ |
12,882 |
|
$ |
12,498 |
|
$ |
13,818 |
|
$ |
14,214 | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
5,042 |
|
|
5,477 |
|
|
4,806 |
|
|
5,704 |
|
|
5,377 | ||||||
Net income |
$ |
7,698 |
|
$ |
7,405 |
|
$ |
7,692 |
|
$ |
8,114 |
|
$ |
8,837 | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
INVESTMENT BANKING |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
1 |
|
$ |
1 |
|
$ |
1 |
|
$ |
1 |
|
$ |
1 | ||||||
Total interest expense |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Net interest income |
|
1 |
|
|
1 |
|
|
1 |
|
|
1 |
|
|
1 | ||||||
Provision for loan losses |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Net interest income (loss) after provision |
|
1 |
|
|
1 |
|
|
1 |
|
|
1 |
|
|
1 | ||||||
Noninterest income |
|
576 |
|
|
66 |
|
|
3,358 |
|
|
253 |
|
|
148 | ||||||
Noninterest expense |
|
916 |
|
|
845 |
|
|
1,630 |
|
|
833 |
|
|
823 | ||||||
Operating income |
|
(339) |
|
|
(778) |
|
|
1,729 |
|
|
(579) |
|
|
(674) | ||||||
Amortization of intangibles |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Provision (benefit) for income taxes |
|
(122) |
|
|
(314) |
|
|
679 |
|
|
(266) |
|
|
(260) | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
(217) |
|
$ |
(464) |
|
$ |
1,050 |
|
$ |
(313) |
|
$ |
(414) | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
42 |
|
|
40 |
|
|
36 |
|
|
33 |
|
|
41 | ||||||
Net income (loss) |
$ |
(259) |
|
$ |
(504) |
|
$ |
1,014 |
|
$ |
(346) |
|
$ |
(455) | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
WEALTH MANAGEMENT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
- |
|
$ |
1 |
|
$ |
- |
|
$ |
- |
|
$ |
- |
||||||
Total interest expense |
|
13 |
|
|
10 |
|
|
8 |
|
|
10 |
|
|
13 | ||||||
Net interest income |
|
(13) |
|
|
(9) |
|
|
(8) |
|
|
(10) |
|
|
(13) | ||||||
Provision for loan losses |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Net interest income (loss) after provision |
|
(13) |
|
|
(9) |
|
|
(8) |
|
|
(10) |
|
|
(13) | ||||||
Noninterest income |
|
1,299 |
|
|
1,112 |
|
|
1,109 |
|
|
1,176 |
|
|
951 | ||||||
Noninterest expense |
|
1,074 |
|
|
1,059 |
|
|
1,372 |
|
|
1,050 |
|
|
1,176 | ||||||
Operating income |
|
212 |
|
|
44 |
|
|
(271) |
|
|
116 |
|
|
(238) | ||||||
Amortization of intangibles |
|
21 |
|
|
22 |
|
|
22 |
|
|
22 |
|
|
22 | ||||||
Provision (benefit) for income taxes |
|
74 |
|
|
15 |
|
|
(112) |
|
|
32 |
|
|
(107) | ||||||
Net income (loss) from continuing operations |
|
117 |
|
|
7 |
|
|
(181) |
|
|
62 |
|
|
(153) | ||||||
Income (loss) from discontinued operations, net of tax |
|
- |
|
|
173 |
|
|
453 |
|
|
(125) |
|
|
(45) | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
117 |
|
$ |
180 |
|
$ |
272 |
|
$ |
(63) |
|
$ |
(198) | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
97 |
|
|
105 |
|
|
165 |
|
|
150 |
|
|
161 | ||||||
Net income (loss) |
$ |
20 |
|
$ |
75 |
|
$ |
107 |
|
$ |
(213) |
|
$ |
(359) |
10 | Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
CoBiz Financial Inc. |
||||||||||||||||||||
June 30, 2013 |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Three months ended |
||||||||||||||||||
|
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
||||||
(in thousands) |
|
2013 |
|
|
2013 |
|
|
2012 |
|
|
2012 |
|
|
2012 |
||||||
INSURANCE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
2 |
|
$ |
1 |
|
$ |
1 |
|
$ |
2 |
|
$ |
1 | ||||||
Total interest expense |
|
5 |
|
|
5 |
|
|
2 |
|
|
- |
|
|
- |
||||||
Net interest income |
|
(3) |
|
|
(4) |
|
|
(1) |
|
|
2 |
|
|
1 | ||||||
Provision for loan losses |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Net interest income (loss) after provision |
|
(3) |
|
|
(4) |
|
|
(1) |
|
|
2 |
|
|
1 | ||||||
Noninterest income |
|
3,210 |
|
|
2,510 |
|
|
2,341 |
|
|
2,412 |
|
|
2,517 | ||||||
Noninterest expense |
|
2,573 |
|
|
2,315 |
|
|
2,276 |
|
|
2,201 |
|
|
2,208 | ||||||
Operating income |
|
634 |
|
|
191 |
|
|
64 |
|
|
213 |
|
|
310 | ||||||
Amortization of intangibles |
|
138 |
|
|
178 |
|
|
172 |
|
|
243 |
|
|
110 | ||||||
Provision (benefit) for income taxes |
|
197 |
|
|
79 |
|
|
(40) |
|
|
(9) |
|
|
81 | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
299 |
|
$ |
(66) |
|
$ |
(68) |
|
$ |
(21) |
|
$ |
119 | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
123 |
|
|
116 |
|
|
92 |
|
|
86 |
|
|
107 | ||||||
Net income (loss) |
$ |
176 |
|
$ |
(182) |
|
$ |
(160) |
|
$ |
(107) |
|
$ |
12 | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
CORPORATE SUPPORT AND OTHER |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
89 |
|
$ |
91 |
|
$ |
83 |
|
$ |
82 |
|
$ |
81 | ||||||
Total interest expense |
|
1,447 |
|
|
1,428 |
|
|
1,452 |
|
|
1,462 |
|
|
1,439 | ||||||
Net interest income |
|
(1,358) |
|
|
(1,337) |
|
|
(1,369) |
|
|
(1,380) |
|
|
(1,358) | ||||||
Provision for loan losses |
|
(243) |
|
|
(559) |
|
|
(319) |
|
|
(182) |
|
|
21 | ||||||
Net interest income (loss) after provision |
|
(1,115) |
|
|
(778) |
|
|
(1,050) |
|
|
(1,198) |
|
|
(1,379) | ||||||
Noninterest income |
|
104 |
|
|
107 |
|
|
108 |
|
|
64 |
|
|
(11) | ||||||
Noninterest expense |
|
7,955 |
|
|
9,947 |
|
|
9,105 |
|
|
10,348 |
|
|
10,826 | ||||||
Operating income |
|
(8,966) |
|
|
(10,618) |
|
|
(10,047) |
|
|
(11,482) |
|
|
(12,216) | ||||||
Amortization of intangibles |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Provision (benefit) for income taxes |
|
(3,289) |
|
|
(4,135) |
|
|
(3,826) |
|
|
(4,410) |
|
|
(4,645) | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
(5,677) |
|
$ |
(6,483) |
|
$ |
(6,221) |
|
$ |
(7,072) |
|
$ |
(7,571) | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
(5,304) |
|
|
(5,738) |
|
|
(5,099) |
|
|
(5,973) |
|
|
(5,686) | ||||||
Net loss |
$ |
(373) |
|
$ |
(745) |
|
$ |
(1,122) |
|
$ |
(1,099) |
|
$ |
(1,885) | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
CONSOLIDATED |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income Statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total interest income |
$ |
26,160 |
|
$ |
26,052 |
|
$ |
26,243 |
|
$ |
26,449 |
|
$ |
26,842 | ||||||
Total interest expense |
|
2,795 |
|
|
2,867 |
|
|
3,039 |
|
|
3,202 |
|
|
3,218 | ||||||
Net interest income |
|
23,365 |
|
|
23,185 |
|
|
23,204 |
|
|
23,247 |
|
|
23,624 | ||||||
Provision for loan losses |
|
(1,065) |
|
|
(1,590) |
|
|
(337) |
|
|
(2,506) |
|
|
(1,820) | ||||||
Net interest income (loss) after provision |
|
24,430 |
|
|
24,775 |
|
|
23,541 |
|
|
25,753 |
|
|
25,444 | ||||||
Noninterest income |
|
8,425 |
|
|
6,476 |
|
|
10,672 |
|
|
6,400 |
|
|
6,570 | ||||||
Noninterest expense |
|
21,435 |
|
|
22,381 |
|
|
23,014 |
|
|
21,693 |
|
|
22,456 | ||||||
Operating income |
|
11,420 |
|
|
8,870 |
|
|
11,199 |
|
|
10,460 |
|
|
9,558 | ||||||
Amortization of intangibles |
|
159 |
|
|
200 |
|
|
194 |
|
|
265 |
|
|
133 | ||||||
Provision (benefit) for income taxes |
|
3,999 |
|
|
2,794 |
|
|
3,927 |
|
|
3,721 |
|
|
3,230 | ||||||
Net income (loss) from continuing operations |
|
7,262 |
|
|
5,876 |
|
|
7,078 |
|
|
6,474 |
|
|
6,195 | ||||||
Income (loss) from discontinued operations, net of tax |
|
- |
|
|
173 |
|
|
453 |
|
|
(125) |
|
|
(45) | ||||||
Net income (loss) before management |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
fees and overhead allocations |
$ |
7,262 |
|
$ |
6,049 |
|
$ |
7,531 |
|
$ |
6,349 |
|
$ |
6,150 | ||||||
Management fees and overhead |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
allocations, net of tax |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
- |
||||||
Net income |
$ |
7,262 |
|
$ |
6,049 |
|
$ |
7,531 |
|
$ |
6,349 |
|
$ |
6,150 |
11 | Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CoBiz Financial Inc. |
||||||||||||||
June 30, 2013 |
||||||||||||||
(unaudited) |
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|||||||||||||
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|||||
(in thousands, except per share amounts) |
2013 |
|
2013 |
|
2012 |
|
2012 |
|
2012 |
|||||
Interest income |
$ |
26,160 |
|
$ |
26,052 |
|
$ |
26,243 |
|
$ |
26,449 |
|
$ |
26,842 |
Interest expense |
|
2,795 |
|
|
2,867 |
|
|
3,039 |
|
|
3,202 |
|
|
3,218 |
Net interest income before provision |
|
23,365 |
|
|
23,185 |
|
|
23,204 |
|
|
23,247 |
|
|
23,624 |
Provision for loan losses |
|
(1,065) |
|
|
(1,590) |
|
|
(337) |
|
|
(2,506) |
|
|
(1,820) |
Net interest income after provision |
|
24,430 |
|
|
24,775 |
|
|
23,541 |
|
|
25,753 |
|
|
25,444 |
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposit service charges |
$ |
1,352 |
|
$ |
1,328 |
|
$ |
1,220 |
|
$ |
1,218 |
|
$ |
1,221 |
Investment advisory income |
|
1,295 |
|
|
1,112 |
|
|
1,109 |
|
|
1,176 |
|
|
951 |
Insurance income |
|
3,210 |
|
|
2,510 |
|
|
2,341 |
|
|
2,412 |
|
|
2,517 |
Investment banking income |
|
576 |
|
|
66 |
|
|
3,358 |
|
|
253 |
|
|
148 |
Other income |
|
1,992 |
|
|
1,460 |
|
|
2,644 |
|
|
1,341 |
|
|
1,733 |
Total noninterest income |
|
8,425 |
|
|
6,476 |
|
|
10,672 |
|
|
6,400 |
|
|
6,570 |
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
$ |
14,720 |
|
$ |
14,484 |
|
$ |
15,526 |
|
$ |
14,004 |
|
$ |
13,790 |
Stock-based compensation expense |
|
746 |
|
|
748 |
|
|
450 |
|
|
499 |
|
|
511 |
Occupancy expenses, premises and equipment |
|
3,155 |
|
|
3,304 |
|
|
3,393 |
|
|
3,307 |
|
|
3,335 |
Amortization of intangibles |
|
159 |
|
|
200 |
|
|
193 |
|
|
265 |
|
|
133 |
Other operating expenses |
|
3,853 |
|
|
3,926 |
|
|
4,331 |
|
|
3,818 |
|
|
4,291 |
Net loss on securities, other assets and OREO |
|
(1,039) |
|
|
(81) |
|
|
(685) |
|
|
65 |
|
|
529 |
Total noninterest expense |
|
21,594 |
|
|
22,581 |
|
|
23,208 |
|
|
21,958 |
|
|
22,589 |
Net income before income taxes |
|
11,261 |
|
|
8,670 |
|
|
11,005 |
|
|
10,195 |
|
|
9,425 |
Provision for income taxes |
|
3,999 |
|
|
2,794 |
|
|
3,927 |
|
|
3,721 |
|
|
3,230 |
Net income from continuing operations |
|
7,262 |
|
|
5,876 |
|
|
7,078 |
|
|
6,474 |
|
|
6,195 |
Income (loss) from discontinued operations, net of tax |
|
- |
|
|
173 |
|
|
453 |
|
|
(125) |
|
|
(45) |
Net income |
$ |
7,262 |
|
$ |
6,049 |
|
$ |
7,531 |
|
$ |
6,349 |
|
$ |
6,150 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock dividends |
|
(143) |
|
|
(514) |
|
|
(664) |
|
|
(717) |
|
|
(717) |
Net income available to common shareholders |
$ |
7,119 |
|
$ |
5,535 |
|
$ |
6,867 |
|
$ |
5,632 |
|
$ |
5,433 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
$ |
0.18 |
|
$ |
0.14 |
|
$ |
0.17 |
|
$ |
0.14 |
|
$ |
0.14 |
Diluted |
$ |
0.18 |
|
$ |
0.14 |
|
$ |
0.17 |
|
$ |
0.14 |
|
$ |
0.14 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PROFITABILITY MEASURES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest margin |
|
3.85% |
|
|
3.94% |
|
|
3.89% |
|
|
4.00% |
|
|
4.19% |
Efficiency ratio |
|
71.20% |
|
|
75.80% |
|
|
70.30% |
|
|
75.28% |
|
|
74.32% |
Return on average assets |
|
1.09% |
|
|
0.94% |
|
|
1.15% |
|
|
1.00% |
|
|
1.00% |
Return on average shareholders' equity |
|
10.93% |
|
|
9.43% |
|
|
11.77% |
|
|
10.23% |
|
|
10.22% |
Noninterest income as a percentage of operating revenues |
|
26.50% |
|
|
21.83% |
|
|
31.50% |
|
|
21.59% |
|
|
21.76% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY MEASURES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding at period end (in thousands) |
|
40,282 |
|
|
40,197 |
|
|
39,790 |
|
|
39,729 |
|
|
39,708 |
Diluted weighted average common shares outstanding (in thousands) |
|
39,580 |
|
|
39,362 |
|
|
39,164 |
|
|
39,122 |
|
|
39,029 |
Book value per common share |
$ |
5.20 |
|
$ |
5.13 |
|
$ |
5.02 |
|
$ |
4.88 |
|
$ |
4.69 |
Tangible book value per common share * |
$ |
5.12 |
|
$ |
5.05 |
|
$ |
4.93 |
|
$ |
4.80 |
|
$ |
4.60 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity to tangible assets * |
|
7.54% |
|
|
7.75% |
|
|
7.40% |
|
|
7.45% |
|
|
7.23% |
Tangible equity to tangible assets * |
|
9.63% |
|
|
9.94% |
|
|
9.56% |
|
|
9.69% |
|
|
9.50% |
Tier 1 capital ratio |
|
** |
|
|
14.72% |
|
|
14.29% |
|
|
15.08% |
|
|
15.01% |
Total risk based capital ratio |
|
** |
|
|
16.93% |
|
|
16.51% |
|
|
17.35% |
|
|
17.32% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* See accompanying Reconciliation of Non-GAAP Measures to GAAP |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
** Ratios unavailable at the time of release |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12 | Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CoBiz Financial Inc. |
||||||||||||||
June 30, 2013 |
||||||||||||||
(unaudited) |
||||||||||||||
|
At |
|||||||||||||
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|||||
(in thousands) |
2013 |
|
2013 |
|
2012 |
|
2012 |
|
2012 |
|||||
PERIOD END BALANCES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
$ |
2,738,749 |
|
$ |
2,620,512 |
|
$ |
2,653,641 |
|
$ |
2,559,954 |
|
$ |
2,530,133 |
Investments |
|
576,045 |
|
|
559,607 |
|
|
571,665 |
|
|
601,230 |
|
|
623,879 |
Loans |
|
2,017,844 |
|
|
1,925,806 |
|
|
1,926,432 |
|
|
1,811,407 |
|
|
1,766,688 |
Intangible assets |
|
3,112 |
|
|
3,373 |
|
|
3,573 |
|
|
3,148 |
|
|
3,439 |
Deposits |
|
2,035,971 |
|
|
2,065,104 |
|
|
2,129,260 |
|
|
2,048,776 |
|
|
1,946,989 |
Subordinated debentures |
|
93,150 |
|
|
93,150 |
|
|
93,150 |
|
|
93,150 |
|
|
93,150 |
Common shareholders' equity |
|
209,341 |
|
|
206,179 |
|
|
199,713 |
|
|
193,692 |
|
|
186,097 |
Total shareholders' equity |
|
266,679 |
|
|
263,517 |
|
|
257,051 |
|
|
251,030 |
|
|
243,435 |
Interest-earning assets |
|
2,564,833 |
|
|
2,449,800 |
|
|
2,473,847 |
|
|
2,382,653 |
|
|
2,355,707 |
Interest-bearing liabilities |
|
1,552,129 |
|
|
1,487,799 |
|
|
1,490,901 |
|
|
1,443,399 |
|
|
1,480,256 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LOANS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial |
$ |
813,186 |
|
$ |
742,239 |
|
$ |
729,442 |
|
$ |
663,880 |
|
$ |
628,327 |
Real estate - mortgage |
|
884,579 |
|
|
889,171 |
|
|
880,377 |
|
|
850,824 |
|
|
832,641 |
Land acquisition & development |
|
36,795 |
|
|
38,054 |
|
|
53,562 |
|
|
54,220 |
|
|
56,455 |
Real estate - construction |
|
58,332 |
|
|
46,346 |
|
|
67,022 |
|
|
56,180 |
|
|
65,761 |
Consumer |
|
168,606 |
|
|
157,973 |
|
|
149,638 |
|
|
137,299 |
|
|
132,510 |
Other |
|
56,346 |
|
|
52,023 |
|
|
46,391 |
|
|
49,004 |
|
|
50,994 |
Gross loans |
|
2,017,844 |
|
|
1,925,806 |
|
|
1,926,432 |
|
|
1,811,407 |
|
|
1,766,688 |
Less allowance for loan losses |
|
(43,232) |
|
|
(44,874) |
|
|
(46,866) |
|
|
(46,437) |
|
|
(51,101) |
Total net loans |
$ |
1,974,612 |
|
$ |
1,880,932 |
|
$ |
1,879,566 |
|
$ |
1,764,970 |
|
$ |
1,715,587 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DEPOSITS AND CUSTOMER REPURCHASE AGREEMENTS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market |
$ |
797,179 |
|
$ |
846,204 |
|
$ |
866,250 |
|
$ |
813,202 |
|
$ |
767,102 |
Interest-bearing demand |
|
101,194 |
|
|
118,085 |
|
|
118,433 |
|
|
117,915 |
|
|
115,684 |
Savings |
|
11,612 |
|
|
11,429 |
|
|
24,813 |
|
|
10,659 |
|
|
10,278 |
Certificates of deposits under $100 |
|
29,359 |
|
|
29,889 |
|
|
30,058 |
|
|
30,574 |
|
|
31,399 |
Certificates of deposits $100 and over |
|
136,077 |
|
|
143,529 |
|
|
148,184 |
|
|
162,595 |
|
|
166,938 |
Reciprocal CDARS |
|
95,157 |
|
|
81,631 |
|
|
82,127 |
|
|
90,468 |
|
|
94,336 |
Total interest-bearing deposits |
|
1,170,578 |
|
|
1,230,767 |
|
|
1,269,865 |
|
|
1,225,413 |
|
|
1,185,737 |
Noninterest-bearing demand deposits |
|
865,393 |
|
|
834,337 |
|
|
859,395 |
|
|
823,363 |
|
|
761,252 |
Customer repurchase agreements |
|
133,402 |
|
|
124,882 |
|
|
127,887 |
|
|
124,836 |
|
|
127,144 |
Total deposits and customer repurchase agreements |
$ |
2,169,373 |
|
$ |
2,189,986 |
|
$ |
2,257,147 |
|
$ |
2,173,612 |
|
$ |
2,074,133 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BALANCE SHEET AVERAGES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average assets |
$ |
2,662,914 |
|
$ |
2,616,170 |
|
$ |
2,600,083 |
|
$ |
2,529,999 |
|
$ |
2,476,936 |
Average investments |
|
558,464 |
|
|
563,461 |
|
|
586,482 |
|
|
607,696 |
|
|
629,087 |
Average loans |
|
1,968,674 |
|
|
1,914,542 |
|
|
1,831,430 |
|
|
1,780,352 |
|
|
1,712,917 |
Average deposits |
|
2,030,209 |
|
|
2,060,274 |
|
|
2,062,306 |
|
|
1,979,267 |
|
|
1,893,456 |
Average subordinated debentures |
|
93,150 |
|
|
93,150 |
|
|
93,150 |
|
|
93,150 |
|
|
93,150 |
Average shareholders' equity |
|
266,526 |
|
|
260,030 |
|
|
254,455 |
|
|
246,783 |
|
|
242,098 |
Average interest-earning assets |
|
2,501,630 |
|
|
2,447,867 |
|
|
2,430,196 |
|
|
2,365,965 |
|
|
2,310,064 |
Average interest-bearing liabilities |
|
1,535,232 |
|
|
1,494,590 |
|
|
1,477,566 |
|
|
1,468,194 |
|
|
1,481,794 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLOWANCE FOR LOAN AND CREDIT LOSSES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beginning allowance for loan losses |
$ |
44,874 |
|
$ |
46,866 |
|
$ |
46,437 |
|
$ |
51,101 |
|
$ |
52,778 |
Provision for loan losses |
|
(1,065) |
|
|
(1,590) |
|
|
(337) |
|
|
(2,506) |
|
|
(1,820) |
Net recovery (charge-off) |
|
(577) |
|
|
(402) |
|
|
766 |
|
|
(2,158) |
|
|
143 |
Ending allowance for loan losses |
$ |
43,232 |
|
$ |
44,874 |
|
$ |
46,866 |
|
$ |
46,437 |
|
$ |
51,101 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beginning allowance for credit losses |
$ |
- |
|
$ |
- |
|
$ |
35 |
|
$ |
35 |
|
$ |
35 |
Provision for credit losses |
|
- |
|
|
- |
|
|
(35) |
|
|
- |
|
|
- |
Ending allowance for credit losses |
$ |
- |
|
$ |
- |
|
$ |
- |
|
$ |
35 |
|
$ |
35 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total provision for loan and credit losses |
$ |
(1,065) |
|
$ |
(1,590) |
|
$ |
(372) |
|
$ |
(2,506) |
|
$ |
(1,820) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
$ |
25,634 |
|
$ |
30,420 |
|
$ |
19,677 |
|
$ |
19,471 |
|
$ |
24,950 |
Loans 90 days or more past due and accruing interest |
|
- |
|
|
407 |
|
|
35 |
|
|
1,183 |
|
|
- |
Total nonperforming loans |
|
25,634 |
|
|
30,827 |
|
|
19,712 |
|
|
20,654 |
|
|
24,950 |
OREO and repossessed assets |
|
7,185 |
|
|
8,420 |
|
|
10,577 |
|
|
13,619 |
|
|
13,651 |
Total nonperforming assets |
$ |
32,819 |
|
$ |
39,247 |
|
$ |
30,289 |
|
$ |
34,273 |
|
$ |
38,601 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Performing renegotiated loans |
$ |
29,623 |
|
$ |
31,619 |
|
$ |
43,321 |
|
$ |
34,637 |
|
$ |
36,010 |
Classified loans |
$ |
64,300 |
|
$ |
67,677 |
|
$ |
81,205 |
|
$ |
90,882 |
|
$ |
98,136 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSET QUALITY MEASURES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming assets to total assets |
|
1.20% |
|
|
1.50% |
|
|
1.14% |
|
|
1.34% |
|
|
1.53% |
Nonperforming loans to total loans |
|
1.27% |
|
|
1.60% |
|
|
1.02% |
|
|
1.14% |
|
|
1.41% |
Nonperforming loans and OREO to total loans and OREO |
|
1.62% |
|
|
2.03% |
|
|
1.56% |
|
|
1.88% |
|
|
2.17% |
Allowance for loan and credit losses to total loans |
|
2.14% |
|
|
2.33% |
|
|
2.43% |
|
|
2.57% |
|
|
2.89% |
Allowance for loan and credit losses to nonperforming loans |
|
168.65% |
|
|
145.57% |
|
|
237.75% |
|
|
225.00% |
|
|
204.95% |
13 | Page
CoBiz Financial Inc. |
||||||||||||||||||||
June 30, 2013 |
||||||||||||||||||||
(unaudited) |
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three months ended, |
|||||||||||||||||||
|
June 30, 2013 |
|
March 31, 2013 |
|
June 30, 2012 |
|||||||||||||||
|
|
|
|
|
Interest |
Average |
|
|
|
|
|
Interest |
Average |
|
|
|
|
|
Interest |
Average |
|
|
Average |
|
|
earned |
yield |
|
|
Average |
|
|
earned |
yield |
|
|
Average |
|
|
earned |
yield |
(in thousands) |
|
balance |
|
|
or paid |
or cost |
|
|
balance |
|
|
or paid |
or cost |
|
|
balance |
|
|
or paid |
or cost |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold and other |
$ |
19,918 |
|
$ |
23 | 0.46% |
|
$ |
16,738 |
|
$ |
27 | 0.65% |
|
$ |
21,379 |
|
$ |
24 | 0.44% |
Investment securities |
|
558,464 |
|
|
4,175 | 2.99% |
|
|
563,461 |
|
|
4,297 | 3.05% |
|
|
629,087 |
|
|
5,331 | 3.39% |
Loans |
|
1,968,674 |
|
|
22,611 | 4.54% |
|
|
1,914,542 |
|
|
22,340 | 4.67% |
|
|
1,712,917 |
|
|
21,937 | 5.07% |
Allowance for loan losses |
|
(45,426) |
|
|
|
|
|
|
(46,874) |
|
|
|
|
|
|
(53,319) |
|
|
|
|
Total interest-earning assets |
$ |
2,501,630 |
|
$ |
26,809 | 4.16% |
|
$ |
2,447,867 |
|
$ |
26,664 | 4.27% |
|
$ |
2,310,064 |
|
$ |
27,292 | 4.57% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets |
|
161,284 |
|
|
|
|
|
|
168,303 |
|
|
|
|
|
|
166,872 |
|
|
|
|
Total assets |
$ |
2,662,914 |
|
|
|
|
|
$ |
2,616,170 |
|
|
|
|
|
$ |
2,476,936 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market |
$ |
816,593 |
|
$ |
695 | 0.34% |
|
$ |
846,187 |
|
$ |
790 | 0.38% |
|
$ |
764,077 |
|
$ |
938 | 0.49% |
Interest-bearing demand |
|
109,991 |
|
|
109 | 0.40% |
|
|
118,934 |
|
|
123 | 0.42% |
|
|
110,928 |
|
|
137 | 0.50% |
Savings |
|
11,498 |
|
|
2 | 0.07% |
|
|
18,488 |
|
|
3 | 0.07% |
|
|
10,386 |
|
|
3 | 0.12% |
Certificates of deposit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reciprocal |
|
88,897 |
|
|
92 | 0.42% |
|
|
81,957 |
|
|
94 | 0.47% |
|
|
94,652 |
|
|
115 | 0.49% |
Under $100 |
|
29,585 |
|
|
38 | 0.52% |
|
|
29,764 |
|
|
40 | 0.55% |
|
|
31,758 |
|
|
50 | 0.63% |
$100 and over |
|
139,585 |
|
|
207 | 0.59% |
|
|
144,534 |
|
|
239 | 0.67% |
|
|
165,506 |
|
|
308 | 0.75% |
Total interest-bearing deposits |
$ |
1,196,149 |
|
$ |
1,143 | 0.38% |
|
$ |
1,239,864 |
|
$ |
1,289 | 0.42% |
|
$ |
1,177,307 |
|
$ |
1,551 | 0.53% |
Other borrowings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities sold under agreements to repurchase |
|
149,203 |
|
|
82 | 0.22% |
|
|
144,737 |
|
|
84 | 0.23% |
|
|
125,525 |
|
|
97 | 0.31% |
Other short-term borrowings |
|
96,730 |
|
|
69 | 0.28% |
|
|
16,839 |
|
|
10 | 0.24% |
|
|
85,812 |
|
|
68 | 0.31% |
Long term-debt |
|
93,150 |
|
|
1,501 | 6.37% |
|
|
93,150 |
|
|
1,484 | 6.37% |
|
|
93,150 |
|
|
1,502 | 6.38% |
Total interest-bearing liabilities |
$ |
1,535,232 |
|
$ |
2,795 | 0.72% |
|
$ |
1,494,590 |
|
$ |
2,867 | 0.77% |
|
$ |
1,481,794 |
|
$ |
3,218 | 0.87% |
Noninterest-bearing demand accounts |
|
834,060 |
|
|
|
|
|
|
820,410 |
|
|
|
|
|
|
716,149 |
|
|
|
|
Total deposits and interest-bearing liabilities |
|
2,369,292 |
|
|
|
|
|
|
2,315,000 |
|
|
|
|
|
|
2,197,943 |
|
|
|
|
Other noninterest-bearing liabilities |
|
27,096 |
|
|
|
|
|
|
41,140 |
|
|
|
|
|
|
36,895 |
|
|
|
|
Total liabilities |
|
2,396,388 |
|
|
|
|
|
|
2,356,140 |
|
|
|
|
|
|
2,234,838 |
|
|
|
|
Total equity |
|
266,526 |
|
|
|
|
|
|
260,030 |
|
|
|
|
|
|
242,098 |
|
|
|
|
Total liabilities and equity |
$ |
2,662,914 |
|
|
|
|
|
$ |
2,616,170 |
|
|
|
|
|
$ |
2,476,936 |
|
|
|
|
Net interest income - taxable equivalent |
|
|
|
$ |
24,014 |
|
|
|
|
|
$ |
23,797 |
|
|
|
|
|
$ |
24,074 |
|
Net interest spread |
|
|
|
|
|
3.44% |
|
|
|
|
|
|
3.50% |
|
|
|
|
|
|
3.70% |
Net interest margin |
|
|
|
|
|
3.85% |
|
|
|
|
|
|
3.94% |
|
|
|
|
|
|
4.19% |
Ratio of average interest-earning assets to |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
average interest-bearing liabilities |
|
162.95% |
|
|
|
|
|
|
163.78% |
|
|
|
|
|
|
155.90% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14 | Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CoBiz Financial Inc. |
|||||||||||||
June 30, 2013 |
|||||||||||||
(unaudited) |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the six months ended June 30, |
||||||||||||
|
2013 |
|
2012 |
||||||||||
|
|
|
|
|
Interest |
Average |
|
|
|
|
|
Interest |
Average |
|
|
Average |
|
|
earned |
yield |
|
|
Average |
|
|
earned |
yield |
(in thousands) |
|
balance |
|
|
or paid |
or cost |
|
|
balance |
|
|
or paid |
or cost |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold and other |
$ |
18,337 |
|
$ |
50 | 0.54% |
|
$ |
21,327 |
|
$ |
50 | 0.46% |
Investment securities |
|
560,949 |
|
|
8,472 | 3.02% |
|
|
632,007 |
|
|
10,730 | 3.40% |
Loans |
|
1,941,758 |
|
|
44,951 | 4.60% |
|
|
1,680,561 |
|
|
43,473 | 5.12% |
Allowance for loan losses |
|
(46,146) |
|
|
|
|
|
|
(54,380) |
|
|
|
|
Total interest-earning assets |
$ |
2,474,898 |
|
$ |
53,473 | 4.22% |
|
$ |
2,279,515 |
|
$ |
54,253 | 4.60% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets |
|
164,773 |
|
|
|
|
|
|
171,450 |
|
|
|
|
Total assets |
$ |
2,639,671 |
|
|
|
|
|
$ |
2,450,965 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market |
$ |
831,308 |
|
$ |
1,485 | 0.36% |
|
$ |
765,466 |
|
$ |
1,926 | 0.51% |
Interest-bearing demand |
|
114,438 |
|
|
232 | 0.41% |
|
|
107,044 |
|
|
293 | 0.55% |
Savings |
|
14,973 |
|
|
5 | 0.07% |
|
|
10,632 |
|
|
6 | 0.11% |
Certificates of deposit |
|
|
|
|
|
|
|
|
|
|
|
|
|
Reciprocal |
|
85,446 |
|
|
186 | 0.44% |
|
|
92,080 |
|
|
228 | 0.50% |
Under $100 |
|
29,674 |
|
|
78 | 0.53% |
|
|
32,554 |
|
|
109 | 0.67% |
$100 and over |
|
142,046 |
|
|
446 | 0.63% |
|
|
166,480 |
|
|
635 | 0.77% |
Total interest-bearing deposits |
$ |
1,217,885 |
|
$ |
2,432 | 0.40% |
|
$ |
1,174,256 |
|
$ |
3,197 | 0.55% |
Other borrowings |
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities sold under agreements to repurchase |
|
146,982 |
|
|
166 | 0.22% |
|
|
128,283 |
|
|
204 | 0.31% |
Other short-term borrowings |
|
57,005 |
|
|
79 | 0.28% |
|
|
67,745 |
|
|
104 | 0.30% |
Long term-debt |
|
93,150 |
|
|
2,985 | 6.37% |
|
|
93,150 |
|
|
3,004 | 6.38% |
Total interest-bearing liabilities |
$ |
1,515,022 |
|
$ |
5,662 | 0.75% |
|
$ |
1,463,434 |
|
$ |
6,509 | 0.89% |
Noninterest-bearing demand accounts |
|
827,273 |
|
|
|
|
|
|
715,844 |
|
|
|
|
Total deposits and interest-bearing liabilities |
|
2,342,295 |
|
|
|
|
|
|
2,179,278 |
|
|
|
|
Other noninterest-bearing liabilities |
|
34,080 |
|
|
|
|
|
|
38,141 |
|
|
|
|
Total liabilities |
|
2,376,375 |
|
|
|
|
|
|
2,217,419 |
|
|
|
|
Total equity |
|
263,296 |
|
|
|
|
|
|
233,546 |
|
|
|
|
Total liabilities and equity |
$ |
2,639,671 |
|
|
|
|
|
$ |
2,450,965 |
|
|
|
|
Net interest income - taxable equivalent |
|
|
|
$ |
47,811 |
|
|
|
|
|
$ |
47,744 |
|
Net interest spread |
|
|
|
|
|
3.47% |
|
|
|
|
|
|
3.71% |
Net interest margin |
|
|
|
|
|
3.90% |
|
|
|
|
|
|
4.21% |
Ratio of average interest-earning assets to |
|
|
|
|
|
|
|
|
|
|
|
|
|
average interest-bearing liabilities |
|
163.36% |
|
|
|
|
|
|
155.76% |
|
|
|
|
15 | Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CoBiz Financial Inc. |
||||||||||||||||
June 30, 2013 |
||||||||||||||||
(unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Non-GAAP Measures to GAAP |
||||||||||||||||
(in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The Company believes these non-GAAP measures are useful to obtain an understanding of the operating results of the Company’s core business and reflects the basis on which management internally reviews financial performance and capital adequacy. These non-GAAP measures are not a substitute for operating results determined in accordance with GAAP nor do they necessarily conform to non-GAAP performance measures that may be presented by other companies. |
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following table includes non-GAAP financial measures related to tangible equity, tangible common equity, and tangible assets. These items have been adjusted to exclude intangible assets and preferred stock. |
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At |
||||||||||||
|
|
|
|
June 30, |
|
|
March 31, |
|
December 31, |
|
September 30, |
|
|
June 30, |
||
|
|
|
|
2013 |
|
|
2013 |
|
2012 |
|
2012 |
|
|
2012 |
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders' equity as reported - GAAP |
|
$ |
266,679 |
|
$ |
263,517 |
|
$ |
257,051 |
|
$ |
251,030 |
|
$ |
243,435 |
|
Intangible assets |
|
|
(3,112) |
|
|
(3,373) |
|
|
(3,573) |
|
|
(3,148) |
|
|
(3,439) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
A |
Tangible equity - non-GAAP |
|
|
263,567 |
|
|
260,144 |
|
|
253,478 |
|
|
247,882 |
|
|
239,996 |
|
Preferred stock |
|
|
(57,338) |
|
|
(57,338) |
|
|
(57,338) |
|
|
(57,338) |
|
|
(57,338) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
B |
Tangible common equity - non-GAAP |
|
$ |
206,229 |
|
$ |
202,806 |
|
$ |
196,140 |
|
$ |
190,544 |
|
$ |
182,658 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets as reported - GAAP |
|
$ |
2,738,749 |
|
$ |
2,620,512 |
|
$ |
2,653,641 |
|
$ |
2,559,954 |
|
$ |
2,530,133 |
|
Intangible assets |
|
|
(3,112) |
|
|
(3,373) |
|
|
(3,573) |
|
|
(3,148) |
|
|
(3,439) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
C |
Total tangible assets - non-GAAP |
|
$ |
2,735,637 |
|
$ |
2,617,139 |
|
$ |
2,650,068 |
|
$ |
2,556,806 |
|
$ |
2,526,694 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
D |
Common shares outstanding |
|
|
40,282 |
|
|
40,197 |
|
|
39,790 |
|
|
39,729 |
|
|
39,708 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
B / C |
Tangible common equity to tangible assets - non-GAAP |
|
|
7.54% |
|
|
7.75% |
|
|
7.40% |
|
|
7.45% |
|
|
7.23% |
A / C |
Tangible equity to tangible assets - non-GAAP |
|
|
9.63% |
|
|
9.94% |
|
|
9.56% |
|
|
9.69% |
|
|
9.50% |
B / D |
Tangible book value per common share - non-GAAP |
|
$ |
5.12 |
|
$ |
5.05 |
|
$ |
4.93 |
|
$ |
4.80 |
|
$ |
4.60 |
16 | Page