BRYN MAWR BANK CORP - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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8-K - FORM 8-K - BRYN MAWR BANK CORP	d574484d8k.htm

Second Quarter

2013

Update

June 30, 2013

(as of July 26, 2013)

Bryn Mawr Bank

Corporation

NASDAQ: BMTC

Strong -

Stable -

Secure

Exhibit 99.1

Safe Harbor

This presentation contains statements which, to the extent that they are not

recitations of historical fact may constitute forward-looking statements for purposes of

the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as

amended.

Please see the section titled Safe Harbor beginning on slide 31 for more information

regarding these types of statements.

The

information

contained

this

presentation

correct

only

July

26,

2013.

Our

business, financial condition, results of operations and prospects may have changed

since that date, and we do not undertake to update such information.

Bryn Mawr Bank Corporation

Profile

Founded in 1889 –

125 year history

A unique business model with a traditional commercial bank ($2 billion)

and a trust company ($6.9 billion) under one roof at June 30, 2013

Wholly-owned subsidiary –

The Bryn Mawr Trust Company

Largest community bank in Philadelphia’s affluent western suburbs

Three wealth acquisitions and two bank acquisitions completed since 2008

Southeast PA / DE Branch Footprint

•

19 BMTC Full-Service Branch Locations

Investment Considerations

Quarterly dividend of $0.17 per share

Profitability Ratios:

Profitability Ratios, Excluding Tax-Effected Due Diligence and Merger-

Related Expenses (non-GAAP measures)*:

Qtr 2013

Full Year 2012

Return on average assets (“ROA”)

1.28%

1.08%

1.15%

Return on average equity (“ROE”)

11.90%

10.56%

10.91%

Return on average tangible equity

(“ROTE”)

16.00%

14.42%

14.55%

Qtr 2013

Full Year 2012

ROA, excluding tax-effected due diligence and merger-

related expenses (a non-GAAP measure)*

1.36%

1.16%

1.25%

ROE, excluding tax-effected due diligence and merger-

related expenses (a non-GAAP measure)*

12.72%

11.32%

11.79%

ROTE, excluding tax-effected due diligence and

merger-related expenses (a non-GAAP measure)*

17.10%

15.46%

15.73%

* See Non-GAAP Measures disclosure beginning on slide 35

Comments on BMTC from Bank Analysts

“Going forward, despite macroeconomic headwinds, we believe

management’s efforts are likely to translate into meaningful core EPS

growth.”

(Merion Capital Group, April 2013)

“Continue to build solid franchise.”

(Janney, April 2013)

“Remains one of our top small-cap ideas.”

(Keefe, Bruyette & Woods, April 2013)

“BMTC continues to be the buyer of choice.”

(Sandler O’Neill, April 2013)

Quarter 2013 BMTC Stock Performance

Closing price on December 31, 2012:

$22.27

Closing price on June 30, 2013:

$23.93

Dividends declared per share –

6 months 2013:

$0.34

Security or Index

Year to Date

2013 Return

3 Year Annualized

Return**

Trailing 12-Month

Dividend Yield

BMTC*

9.06%

17.40%

2.76%

NASDAQ Bank Index*

19.24%

6.63%

2.02%

KBW Bank Index*

20.95%

7.98%

1.75%

*Source: Bloomberg

** Annualized return -1/1/2010 to 12/31/2012

Consistent BMTC Annual Dividend

Year

Diluted

Earnings

Per Share

Annual

Dividend

Yield Year-

End

Dividend

Payout Ratio

2009

$1.18

$0.56

3.71%

47.5%

2010

$0.85

$0.56

3.21%

65.9%

2011

$1.54

$0.60

3.08%

39.0%

2012

$1.60

$0.64

2.87%

40.0%

Qtr

2013

$0.40

$0.68*

Qtr

2013

$0.46

$0.68*

*Annualized

Growth

Initiatives

2013 Strategic Initiatives

3-8-3 Strategic Plan

billion

Banking

assets

billion

Wealth

assets

–

years

(December 2014)

Approved by the Board of Directors on May 8, 2012

Organic

growth

–

opportunistic

expansion

Inorganic

growth

criterion

Acquisitions

strategic

and

accretive to earnings in first 12 months (excluding merger costs)

2013 Strategic Initiatives -

continued

Focus on the net interest margin

Concentrate on growing fee-based income

Continued emphasis on strong credit quality

Integrate, streamline and assimilate recent acquisitions into more

effective and efficient bank and wealth operations

Upgrade and enhance IT infrastructure throughout the organization

Financial

Review

Financial Highlights

Qtr

2013

Qtr

2013

Qtr

2012

Qtr

2012

Qtr

2012

Total assets

($ in billions)

$2.01

$2.03

$2.04

$1.81

$1.85

Portfolio loans & leases

($ in billions)

$1.43

$1.41

$1.40

$1.31

$1.30

Total deposits

($ in billions)

$1.55

$1.61

$1.63

$1.40

$1.43

Total wealth assets

($ in billions)

$6.85

$6.99

$6.66

$6.48

$6.28

Market capitalization

($ in millions)

$323.7

$314.3

$298.7

$296.8

$280.1

Net income

($ in millions)

$6.25

$5.32

$5.30

$5.43

$5.35

Tax-equivalent net interest margin

3.98%

3.85%

3.86%

3.78%

3.84%

Non-interest income as a

percentage of total revenue

42%

40%

44%

43%

42%

Financial Highlights -

continued

Qtr

2013

Qtr

2013

Qtr

2012

Qtr

2012

Qtr

2012

Diluted earnings per common

$0.46

$0.40

$0.41

$0.40

Dividends declared

$0.17

$0.16

Book value per share, end of

quarter

$15.71

$15.57

$15.17

$15.02

$14.73

Tangible book value per

share, end of quarter

$11.75

$11.55

$11.08

$11.14

$10.77

Tangible common equity ratio,

end of quarter

8.21%

7.98%

7.60%

8.58%

8.07%

Efficiency ratio

66.5%

69.3%

70.1%

67.0%

66.4%

Efficiency ratio, excluding tax-

effected due diligence and

merger-related expenses

(a non-GAAP measure)*

65.1%

67.7%

67.6%

66.3%

64.3%

* See Non-GAAP Measures Disclosure beginning on slide 35

Quarterly Net Interest Margin

(On a tax-equivalent basis)

Quarterly Non-Interest Income

(As a % of Total Revenue)

Capital Considerations and Objectives

Maintain a “well-capitalized”

capital position including a target tangible

common equity to tangible asset ratio of 8.00%

Selectively add capital to maintain capital levels and fund asset growth and

acquisitions

Strong emphasis on retained earnings going forward

Shelf Registration (Form S-3) of $150 million provides the ability to raise

capital as needed including through a Dividend Reinvestment and Stock

Purchase Plan with Request For Waiver Program

Capital Position -

Bryn Mawr Bank Corporation

6/30/2013

3/31/2013

12/31/2012

Tier I

11.47%

11.33%

11.02%

Total (Tier II)

12.44%

12.32%

12.02%

Tier I Leverage

9.00%

8.58%

8.72%

Tangible Common

Equity

8.21%

7.98%

7.60%

Capital Position –

Bryn Mawr Trust Company

6/30/2013

3/31/2013

12/31/2012

Tier I

11.58%

11.52%

11.20%

Total (Tier II)

12.55%

12.51%

12.20%

Tier I Leverage

9.07%

8.70%

8.84%

Tangible Common

Equity

8.29%

8.11%

7.72%

Wealth

Division

Review

Wealth Assets Under Management, Administration,

Supervision and Brokerage

(Period-end $ in billions)

Wealth Management Fees

($ in millions)

Wealth Division Highlights

Wealth

Management

(Bryn

Mawr,

Hershey

and

Devon,

PA)

$4.47 billion in assets

Integrated solutions to protect and preserve wealth

Financial Planning

Estate Planning

Retirement Planning

Investment Management

Custody Services

Philanthropic Services

Fiduciary Trust Services

Multi-family Office

Tax Services

Long-standing client relationships

Integration of operations of all three trust entities is underway

Wealth Division Highlights -

continued

Bryn Mawr Asset Management (Bryn Mawr, PA)

$328 million in assets

Brokerage services, asset allocation, open platform with objective advice

“Lift Out”

strategy with other opportunities being continuously evaluated

BMTC of Delaware (Greenville, DE)

$1.5 billion in assets

Provides

corporate

fiduciary

and

administrative

trustee

services

under

Delaware law and the full spectrum of tax advantaged strategies

Lower margin business with full year profitability expected in 2013

Lau Associates (Greenville, DE)

$590 million in assets

Fee-only, independent multi-family office providing highly personalized

service and sophisticated financial planning

Credit

Review

Portfolio Loan & Lease Growth

(Period-end $ in millions)

* From 2010 forward, includes the addition of the First Keystone

loan portfolio.

** From 2012 forward, includes the addition of the loans acquired from First Bank of Delaware.

Loan Composition at June 30, 2013

($ in millions)

Total loans and leases of $1,431 million

Commercial Mortgages

(41%)

Commercial & Industrial

(21%)

Home Equity & Consumer

Loans (14%)

Residential Mortgages

(20%)

Construction

(2%)

Leases

(2%)

Quarterly Asset Quality Data

Qtr

2013

Qtr

2013

Qtr

2012

Qtr

2012

Qtr

2012

Non-performing loans and leases as

a % of portfolio loans and leases

0.73%

0.91%

1.06%

1.05%

1.41%

Allowance as a % of portfolio loans

and leases

1.01%

1.03%

1.04%

1.01%

Non-performing assets as a % of

total assets

0.58%

0.66%

0.77%

0.78%

1.03%

Annualized net loan and lease

charge-offs as a % of average

quarterly loans and leases

0.28%

0.22%

0.07%

0.16%

0.28%

Loan and Lease Updates

Current loan pipeline outlook is promising.

Recent hires of experienced lenders coupled with the new team in

Delaware from the recent acquisition (First Bank of Delaware) has

increased new loan opportunities.

The lease portfolio at June 30, 2013 is $37 million, has an average yield of

9.68% and a delinquency rate of 0.5%.

Summary

We believe we are an outstanding franchise in a stable market

Focus on Wealth Services, Business Banking and Residential Mortgage

Diversified income base –

non interest income 42% of total revenue for

the three months ended June 30, 2013

Outstanding loan quality

Sound business strategy, strong asset quality, well capitalized at 6/30/13

and solid risk management procedures serve as a foundation for potential

strategic expansion

Focus on earnings per share growth

Making IT infrastructure investments that will provide longer-term benefits

Ted Peters, Chairman

610-581-4800

tpeters@bmtc.com

Frank Leto, EVP

610-581-4730

fleto@bmtc.com

Joseph Keefer, EVP

610-581-4869

jkeefer@bmtc.com

Duncan Smith, CFO

610-526 –2466

jdsmith@bmtc.com

Chad Fortenbaugh –

Shareholder Relations –

610-581-4823 –

cfortenbaugh@bmtc.com

This presentation contains statements which, to the extent that they are not recitations of

historical fact may constitute forward-looking statements for purposes of the Securities Act of

1933, as amended, and the Securities Exchange Act of 1934, as amended. Such forward-looking

statements may include financial and other projections as well as statements regarding Bryn

Mawr Bank Corporation’s (the “Corporation”) that may include future plans, objectives,

performance, revenues, growth, profits, operating expenses or the Corporation’s underlying

assumptions. The words “may”, “would”, “should”, “could”, “will”, “likely”, “possibly”, “expect,”

“anticipate,”

“intend”, “estimate”, “target”, “potentially”, “probably”, “outlook”, “predict”,

“contemplate”,

“continue”,

“strategic”,

“objective”,

“plan”,

“forecast”,

“project”

and

“believe”

other

similar words, phrases or concepts may identify forward-looking statements. Persons reading or

present at this presentation are cautioned that such statements are only predictions, and that the

Corporation’s actual future results or performance may be materially different.

Such forward-looking statements involve known and unknown risks and uncertainties. A number

of factors, many of which are beyond the Corporation’s control, could cause our actual results,

events or developments, or industry results, to be materially different from any future results,

events

developments

expressed,

implied

anticipated

such

forward-looking

statements,

and so our business and financial condition and results of operations could be materially and

adversely affected.

Safe Harbor

Safe Harbor (continued)

Such factors include, among others, our need for capital, our ability to control operating costs and

expenses, and to manage loan and lease delinquency rates; the credit risks of lending activities

and overall quality of the composition of our loan, lease and securities portfolio; the impact of

economic conditions, consumer and business spending habits, and real estate market conditions

our

business

and

our

market

area;

changes

the

levels

general

interest

rates,

deposit

interest rates, or net interest margin and funding sources; changes in banking regulations and

policies and the possibility that any banking agency approvals we might require for certain

activities will not be obtained in a timely manner or at all or will be conditioned in a manner that

would impair our ability to implement our business plans; changes in accounting policies and

practices; the inability of key third-party providers to perform their obligations to us; our ability to

attract and retain key personnel; competition in our marketplace; war or terrorist activities; material

differences in the actual financial results, cost savings and revenue enhancements associated

with our acquisitions; and other factors as described in our securities filings. All forward-looking

statements and information made herein are based on Management’s current beliefs and

assumptions as of July 26, 2013 and speak only as of that date. The Corporation does not

undertake to update forward-looking statements.

Safe Harbor (continued)

For a complete discussion of the assumptions, risks and uncertainties related to our business, you

are encouraged to review our filings with the Securities and Exchange Commission, including our

most recent annual report on Form 10-K, as well as any changes in risk factors that we may

identify in our quarterly or other reports filed with the SEC.

This

presentation

for

discussion

purposes

only,

and

shall

not

constitute

any

offer

sell

the

solicitation

offer

buy

any

security,

nor

intended

give

rise

any

legal

relationship

between

the

Corporation

and

you

any

other

person,

nor

recommendation

buy

any

securities or enter into any transaction with the Corporation.

The information contained herein is preliminary and material changes to such information may be

made at any time. If any offer of securities is made, it shall be made pursuant to a definitive

offering memorandum or prospectus (“Offering Memorandum”) prepared by or on behalf of the

Corporation, which would contain material information not contained herein and which shall

supersede, amend and supplement this information in its entirety. Any decision to invest in the

Corporation’s securities should be made after reviewing an Offering Memorandum, conducting

such investigations as the investor deems necessary or appropriate, and consulting the investor’s

own legal, accounting, tax, and other advisors in order to make an independent determination of

the suitability and consequences of an investment in such securities.

Safe Harbor (continued)

No offer to purchase securities of the Corporation will be made or accepted prior to receipt by an

investor of an Offering Memorandum and relevant subscription documentation, all of which must

be reviewed together with the Corporation’s then-current financial statements and, with respect to

the subscription documentation, completed and returned to the Corporation in its entirety. Unless

purchasing in an offering of securities registered pursuant to the Securities Act of 1933, as

amended,

all

investors

must

“accredited

investors”

defined

the

securities

laws

the

United States before they can invest in the Corporation.

*Non GAAP Measures

Our management uses non-GAAP financial measures in their analysis of

our performance and believes that they provide useful supplemental

information that is essential to an investor’s understanding of Bryn Mawr

Bank Corporation’s operating results. These non-GAAP financial measures

should not be viewed as a substitute for financial measures determined in

accordance with GAAP, nor are they necessarily comparable to non-GAAP

performance measures that may be presented by other companies.

A reconciliation from GAAP measures to non-GAAP measures related to

the exclusion of tax-effected due diligence and merger-related expenses is

provided on the following two slides:

*Reconciliation

GAAP

Measures

Non-GAAP

Measures

$ in thousands

Qtr 2013

Net income (a GAAP measure)

$6,252

$5,320

Add: Tax-effected due diligence and

merger-related expenses (35% tax rate)

$447

$464

Net income, excluding tax-effected due

diligence and merger-related expenses

(a non-GAAP measure)

$6,699

$5,784

•Return on average assets, excluding tax-effected due diligence and merger-related expenses (a non-GAAP

measure) is calculated by dividing net income, excluding tax-effected due diligence and merger-related expenses

(a non-GAAP measure) by average assets.

•Return on average equity, excluding tax-effected due diligence and merger-related expenses (a non-GAAP

measure) is calculated by dividing net income, excluding tax-effected due diligence and merger-related expenses

(a non-GAAP measure) by average equity.

•Return on tangible common equity, excluding tax-effected due diligence and merger-related expenses (a non-

GAAP measure) is calculated by dividing net income, excluding tax-effected due diligence and merger-related

expenses (a non-GAAP measure) by average tangible common equity.

*Reconciliation of GAAP Measures to Non-GAAP Measures (cont’d)

$ in thousands

Qtr

2013

Qtr

2013

Qtr

2012

Qtr

2012

Qtr

2012

Non-interest expense

(a GAAP measure)

$20,524

$20,235

$21,089

$18,889

$18,128

Less: Tax-effected due

diligence and merger-related

expenses (35% tax rate)

$447

$464

$774

$205

$594

Non-interest expense,

excluding tax-effected due

diligence and merger-related

expenses (a non-GAAP

measure)

$20,077

$19,771

$20,315

$18,684

$17,534

•The efficiency ratio, excluding tax-effected due diligence and merger-related expenses (a non-GAAP measure),

is calculated by dividing non-interest expense, excluding tax-effected due diligence and merger-related expenses

(a non-GAAP measure) by the sum of net interest income and non-interest income.

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