FIRST FINANCIAL BANCORP /OH/ - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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EX-99.2 - EXHIBIT 99.2 - FIRST FINANCIAL BANCORP /OH/	exh992earningsrelease4q1.htm
8-K - 8-K - FIRST FINANCIAL BANCORP /OH/	a8kearningsrelease4q16.htm

EXHIBIT 99.1

First Financial Bancorp. Reports Fourth Quarter and Full Year 2016 Financial Results and Announces Dividend Increase

Full Year Earnings per Share Increased 18% Compared to 2015;

Quarterly Shareholder Dividend Increased to $0.17 per Share

Cincinnati, Ohio - January 19, 2017 - First Financial Bancorp. (Nasdaq: FFBC) (“First Financial” or the “Company”) announced financial results for the fourth quarter and full year 2016. For the three months ended December 31, 2016, the Company reported net income of $23.3 million, or $0.38 per diluted common share. These results compare to net income of $22.9 million, or $0.37 per diluted common share, for the third quarter of 2016 and $19.8 million, or $0.32 per diluted common share, for the fourth quarter of 2015. For the twelve months ended December 31, 2016, First Financial had earnings per diluted common share of $1.43 compared to $1.21 for the same period in 2015.

Return on average assets for the fourth quarter of 2016 was 1.11% while return on average tangible common equity was 14.19%. These compare to a return on average assets of 1.09% and return on average tangible common equity of 14.08% in the third quarter of 2016 and a return on average assets of 0.99% and a return on average tangible common equity of 12.98% in the fourth quarter of 2015.

First Financial's Board of Directors also announced a 6.3% increase in the quarterly dividend to $0.17 per share, payable on April 3, 2017 to shareholders of record as of March 2, 2017.

Fourth quarter and full year 2016 highlights include:


•	Net income increased $0.4 million, or 1.9%, compared to the linked quarter; $13.5 million, or 17.9%, increase for the full year


•	Loan balances declined $32.0 million, or 0.6%, compared to the linked quarter; loan balances increased $368.7 million, or 6.8%, for the full year


•	Total deposits increased $187.1 million, or 3.0%, from the linked quarter; $346.2 million, or 5.6% increase for the full year


•	Net interest margin increased 5 basis points compared to the linked quarter to 3.66%; 3.71% on a fully tax equivalent basis


•	Continued solid fourth quarter and full year credit performance with lower nonaccrual, nonperforming and classified asset balances


•	Linked quarter improvement in capital ratios; tier 1 capital ratio of 10.46%, total capital ratio of 13.1% and leverage ratio of 8.59%


•	Disciplined expense management reflected in fourth quarter efficiency ratio of 57.6%; 58.8% for the full year

Claude Davis, Chief Executive Officer, commented, “We are extremely pleased with another solid quarter, which was our 105^thconsecutive quarter of profitability. Proactive balance sheet management and an improved net interest margin resulted in strong quarterly earnings. Capital ratios improved during

the period and our fourth quarter results continued to reflect a steady credit environment and disciplined expense management."

"Looking at full year results, 2016 was a particularly strong year for First Financial. With recent acquisitions fully integrated, we were able to concentrate our efforts on organic growth and delivering exceptional client service. These efforts led to a 17.9% increase in full year net income as well as 6.8% and 5.6% loan and deposit growth, respectively.”

"As we head into 2017, we will continue to focus on organic growth and capitalizing on the momentum generated by our 2016 efforts. We believe our balance sheet is well positioned for the current interest rate environment and our capital levels and earnings consistency position us to take advantage of strategic opportunities should they arise. Our company remains positioned for continued success and further progress toward our stated goal of sustained top quartile performance in the new year."

This release announcing our fourth quarter and full year 2016 financial results includes an accompanying slide presentation, which management intends to refer to during the conference call on Friday, January 20, 2017.

Teleconference / Webcast Information

First Financial’s executive management will host a conference call to discuss the Company’s financial and operating results on Friday, January 20, 2017 at 8:30 a.m. Eastern Standard Time. Members of the public who would like to listen to the conference call should dial (877) 506-6873 (U.S. toll free), (855) 669-9657 (Canada toll free) or +1 (412) 380-2003 (International) (no passcode required). The number should be dialed five to ten minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company’s website at www.bankatfirst.com. A replay of the conference call will be available beginning one hour after the completion of the live call at (877) 344-7529 (U.S. toll free), (855) 669-9658 (Canada toll free) and +1 (412) 317-0088 (International); conference number 10084369. The webcast will be archived on the Investor Relations section of the Company’s website for 12 months.

Press Release and Additional Information on Website

This press release as well as supplemental information and any non-GAAP reconciliations related to this release is available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com.

About First Financial Bancorp.

First Financial Bancorp. is a Cincinnati, Ohio based bank holding company. As of December 31, 2016, the Company had $8.4 billion in assets, $5.8 billion in loans, $6.5 billion in deposits and $865.2 million in shareholders’ equity. The Company’s subsidiary, First Financial Bank, founded in 1863, provides banking and financial services products through its four lines of business: Commercial and Private Banking, Retail Banking, Investment Commercial Real Estate and Commercial Finance. These business units provide traditional banking services to business and retail clients. Commercial and Private Banking includes First Financial Wealth Management, which provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $2.4 billion in assets under management as of December 31, 2016. The Company’s primary operating markets are located in Ohio, Indiana and Kentucky where it operates 102 banking centers, while the Commercial Finance business lends into targeted industry verticals on a nationwide basis. Additional information about the Company, including its products, services and banking locations is available at www.bankatfirst.com.

Forward-Looking Statement

This earnings release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not based on historical or current facts, but rather on our current beliefs, expectations, assumptions and projections about our business, the economy and other future conditions. Forward-looking statements often include words such as ‘‘believes,’’ ‘‘anticipates,’’ “likely,” “expected,” ‘‘intends,’’ “could,” “should,” and other similar references to future periods. Examples of forward-looking statements include, but are not limited to, statements we make about (i) our future operating or financial performance, including revenues, income or loss and earnings or loss per share, (ii) future common stock dividends, (iii) our capital structure, including future capital levels, (iv) our plans, objectives and strategies, and (v) the assumptions that underlie our forward-looking statements.

As with any forecast or projection, forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances that may cause actual results to differ materially from those set forth in the forward-looking statements. Important factors that could cause actual results to differ materially from those in our forward-looking statements include the following, without limitation: (i) economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company’s business; (ii) the effect of and changes in policies and laws or regulatory agencies, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and other legislation and regulation relating to the banking industry; (iii) management’s ability to effectively execute its business plans; (iv) mergers and acquisitions, including costs or difficulties related to the integration of acquired companies; (v) the Company’s ability to comply with the terms of loss sharing agreements with the FDIC; (vi) the effect of changes in accounting policies and practices; (vii) changes in consumer spending, borrowing and saving and changes in unemployment; (viii) changes in customers’ performance and creditworthiness; and (ix) the costs and effects of litigation and of unexpected or adverse outcomes in such litigation. Additional factors that may cause our actual results to differ materially from those described in our forward-looking statements can be found in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015, as well as its other filings with the SEC, which are available on the SEC website at www.sec.gov.

Forward-looking statements are meaningful only on the date when such statements are made. We undertake no obligation to update any forward-looking statement to reflect events or circumstances that may arise after the date on which a forward-looking statement is made.

Contact Information

Investors/Analysts Media

John Gavigan Adam Kiefaber

Chief Financial Officer Media Relations

(513) 887-5400 (513) 979-5735

InvestorRelations@bankatfirst.com adam.kiefaber@bankatfirst.com

Selected Financial Information

December 31, 2016

(unaudited)



Contents	Page
Consolidated Financial Highlights	2
Consolidated Statements of Income	3
Consolidated Quarterly Statements of Income	4-5
Consolidated Statements of Condition	6
Average Consolidated Statements of Condition	7
Net Interest Margin Rate / Volume Analysis	8-9
Credit Quality	10
Capital Adequacy	11



FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
(Unaudited)

	Three Months Ended,															Twelve months ended,
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Dec. 31,
	2016			2016			2016			2016			2015			2016			2015
RESULTS OF OPERATIONS
Net income	$	23,294		$	22,850		$	22,568		$	19,814		$	19,820		$	88,526		$	75,063
Net earnings per share - basic	$	0.38		$	0.37		$	0.37		$	0.32		$	0.33		$	1.45		$	1.23
Net earnings per share - diluted	$	0.38		$	0.37		$	0.36		$	0.32		$	0.32		$	1.43		$	1.21
Dividends declared per share	$	0.16		$	0.16		$	0.16		$	0.16		$	0.16		$	0.64		$	0.64

KEY FINANCIAL RATIOS
Return on average assets	1.11		%	1.09		%	1.11		%	0.98		%	0.99		%	1.07		%	1.00		%
Return on average shareholders' equity	10.73		%	10.62		%	10.84		%	9.70		%	9.62		%	10.48		%	9.33		%
Return on average tangible shareholders' equity	14.19		%	14.08		%	14.49		%	13.06		%	12.98		%	13.96		%	12.66		%

Net interest margin	3.66		%	3.61		%	3.61		%	3.62		%	3.63		%	3.62		%	3.60		%
Net interest margin (fully tax equivalent) ⁽¹⁾	3.71		%	3.66		%	3.67		%	3.68		%	3.69		%	3.68		%	3.66		%

Ending shareholders' equity as a percent of ending assets	10.25		%	10.29		%	10.19		%	10.09		%	9.93		%	10.25		%	9.93		%
Ending tangible shareholders' equity as a percent of:
Ending tangible assets	7.96		%	7.97		%	7.85		%	7.71		%	7.53		%	7.96		%	7.53		%
Risk-weighted assets	9.73		%	9.63		%	9.51		%	9.49		%	9.47		%	9.73		%	9.47		%

Average shareholders' equity as a percent of average assets	10.33		%	10.29		%	10.21		%	10.12		%	10.29		%	10.24		%	10.73		%
Average tangible shareholders' equity as a percent of
average tangible assets	8.01		%	7.96		%	7.83		%	7.71		%	7.83		%	7.89		%	8.13		%

Book value per share	$	13.96		$	13.90		$	13.67		$	13.36		$	13.13		$	13.96		$	13.13
Tangible book value per share	$	10.56		$	10.50		$	10.26		$	9.94		$	9.69		$	10.56		$	9.69

Common equity tier 1 ratio ⁽²⁾	10.46		%	10.20		%	10.07		%	10.16		%	10.28		%	10.46		%	10.28		%
Tier 1 ratio ⁽²⁾	10.46		%	10.20		%	10.07		%	10.16		%	10.29		%	10.46		%	10.29		%
Total capital ratio ⁽²⁾	13.10		%	12.82		%	12.70		%	12.84		%	13.04		%	13.10		%	13.04		%
Leverage ratio ⁽²⁾	8.59		%	8.45		%	8.38		%	8.27		%	8.33		%	8.59		%	8.33		%

AVERAGE BALANCE SHEET ITEMS
Loans ⁽³⁾	$	5,780,865		$	5,743,773		$	5,569,080		$	5,417,812		$	5,248,465		$	5,628,617		$	4,962,834
FDIC indemnification asset	12,782			14,031			15,404			17,138			18,437			14,831			20,274
Investment securities	1,816,944			1,811,240			1,869,540			1,938,772			1,934,173			1,858,878			1,832,430
Interest-bearing deposits with other banks	19,557			22,116			21,687			24,291			18,920			21,907			24,430
Total earning assets	$	7,630,148		$	7,591,160		$	7,475,711		$	7,398,013		$	7,219,995		$	7,524,233		$	6,839,968
Total assets	$	8,359,912		$	8,322,156		$	8,203,837		$	8,118,945		$	7,950,278		$	8,251,703		$	7,504,069
Noninterest-bearing deposits	$	1,544,598		$	1,453,842		$	1,441,068		$	1,386,768		$	1,402,283		$	1,456,802		$	1,339,802
Interest-bearing deposits	5,012,613			4,746,887			4,867,439			4,749,253			4,845,056			4,844,243			4,568,637
Total deposits	$	6,557,211		$	6,200,729		$	6,308,507		$	6,136,021		$	6,247,339		$	6,301,045		$	5,908,439
Borrowings	$	815,928		$	1,153,042		$	965,951		$	1,065,739		$	763,408		$	1,000,079		$	697,422
Shareholders' equity	$	863,509		$	856,296		$	837,412		$	821,588		$	817,756		$	844,784		$	804,916

CREDIT QUALITY RATIOS
Allowance to ending loans	1.01		%	1.00		%	0.99		%	0.98		%	0.99		%	1.01		%	0.99		%
Allowance to nonaccrual loans	326.91		%	314.84		%	254.56		%	244.16		%	190.73		%	326.91		%	190.73		%
Allowance to nonperforming loans	120.83		%	114.17		%	112.74		%	103.07		%	93.89		%	120.83		%	93.89		%
Nonperforming loans to total loans	0.83		%	0.87		%	0.88		%	0.95		%	1.06		%	0.83		%	1.06		%
Nonperforming assets to ending loans, plus OREO	0.94		%	1.00		%	1.04		%	1.16		%	1.30		%	0.94		%	1.30		%
Nonperforming assets to total assets	0.64		%	0.69		%	0.72		%	0.78		%	0.86		%	0.64		%	0.86		%
Net charge-offs to average loans (annualized)	0.17		%	0.05		%	0.08		%	0.10		%	0.14		%	0.10		%	0.18		%

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

(2) December 31, 2016 regulatory capital ratios are preliminary.

(3) Includes loans held for sale.



FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)

	Three months ended,								Twelve months ended,
	Dec. 31,								Dec. 31,
	2016			2015			% Change		2016			2015			% Change
Interest income
Loans, including fees	$	67,883		$	62,502		8.6	%	$	262,703		$	230,246		14.1	%
Investment securities
Taxable	10,698			10,702			0.0	%	43,103			39,577			8.9	%
Tax-exempt	1,134			1,192			(4.9	)%	4,535			4,611			(1.6	)%
Total investment securities interest	11,832			11,894			(0.5	)%	47,638			44,188			7.8	%
Other earning assets	(1,068		)	(1,164		)	8.2	%	(4,391		)	(4,675		)	(6.1	)%
Total interest income	78,647			73,232			7.4	%	305,950			269,759			13.4	%

Interest expense
Deposits	6,026			5,172			16.5	%	22,613			19,474			16.1	%
Short-term borrowings	915			434			110.8	%	4,506			1,364			230.4	%
Long-term borrowings	1,540			1,543			(0.2	)%	6,160			2,419			154.7	%
Total interest expense	8,481			7,149			18.6	%	33,279			23,257			43.1	%
Net interest income	70,166			66,083			6.2	%	272,671			246,502			10.6	%
Provision for loan and lease losses	2,761			1,864			48.1	%	10,140			9,641			5.2	%
Net interest income after provision for loan and lease losses	67,405			64,219			5.0	%	262,531			236,861			10.8	%

Noninterest income
Service charges on deposit accounts	5,041			4,755			6.0	%	18,933			19,015			(0.4	)%
Trust and wealth management fees	3,241			3,086			5.0	%	13,200			13,128			0.5	%
Bankcard income	3,136			3,077			1.9	%	12,132			11,578			4.8	%
Client derivative fees	466			945			(50.7	)%	4,570			4,389			4.1	%
Net gains from sales of loans	1,711			1,325			29.1	%	6,804			6,471			5.1	%
Net gains on sale of investment securities	0			2			(100.0	)%	234			1,505			(84.5	)%
FDIC loss sharing income	(419		)	(164		)	155.5	%	(1,563		)	(2,487		)	(37.2	)%
Accelerated discount on covered / formerly covered loans	1,197			785			52.5	%	3,850			10,791			(64.3	)%
Other	2,573			2,008			28.1	%	11,441			10,812			5.8	%
Total noninterest income	16,946			15,819			7.1	%	69,601			75,202			(7.4	)%

Noninterest expenses
Salaries and employee benefits	31,127			29,632			5.0	%	122,361			111,792			9.5	%
Net occupancy	4,338			4,337			0.0	%	18,329			18,232			0.5	%
Furniture and equipment	2,181			2,185			(0.2	)%	8,663			8,722			(0.7	)%
Data processing	3,095			2,843			8.9	%	11,406			10,863			5.0	%
Marketing	1,458			1,052			38.6	%	3,965			3,723			6.5	%
Communication	404			502			(19.5	)%	1,889			2,161			(12.6	)%
Professional services	1,731			1,833			(5.6	)%	6,303			9,622			(34.5	)%
State intangible tax	117			598			(80.4	)%	2,034			2,331			(12.7	)%
FDIC assessments	1,001			1,139			(12.1	)%	4,293			4,446			(3.4	)%
Loss (gain) - other real estate owned	(953		)	772			(223.4	)%	(1,212		)	1,861			(165.1	)%
Loss sharing expense	141			414			(65.9	)%	696			1,865			(62.7	)%
Other	5,523			5,977			(7.6	)%	22,674			25,512			(11.1	)%
Total noninterest expenses	50,163			51,284			(2.2	)%	201,401			201,130			0.1	%
Income before income taxes	34,188			28,754			18.9	%	130,731			110,933			17.8	%
Income tax expense	10,894			8,934			21.9	%	42,205			35,870			17.7	%
Net income	$	23,294		$	19,820		17.5	%	$	88,526		$	75,063		17.9	%

ADDITIONAL DATA
Net earnings per share - basic	$	0.38		$	0.33				$	1.45		$	1.23
Net earnings per share - diluted	$	0.38		$	0.32				$	1.43		$	1.21
Dividends declared per share	$	0.16		$	0.16				$	0.64		$	0.64

Return on average assets	1.11		%	0.99		%			1.07		%	1.00		%
Return on average shareholders' equity	10.73		%	9.62		%			10.48		%	9.33		%

Interest income	$	78,647		$	73,232		7.4	%	$	305,950		$	269,759		13.4	%
Tax equivalent adjustment	1,077			1,046			3.0	%	4,215			4,017			4.9	%
Interest income - tax equivalent	79,724			74,278			7.3	%	310,165			273,776			13.3	%
Interest expense	8,481			7,149			18.6	%	33,279			23,257			43.1	%
Net interest income - tax equivalent	$	71,243		$	67,129		6.1	%	$	276,886		$	250,519		10.5	%

Net interest margin	3.66		%	3.63		%			3.62		%	3.60		%
Net interest margin (fully tax equivalent) ⁽¹⁾	3.71		%	3.69		%			3.68		%	3.66		%

Full-time equivalent employees	1,420			1,400

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
N/M = Not meaningful.



FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)

	2016
	Fourth			Third			Second			First			Full			% Change
	Quarter			Quarter			Quarter			Quarter			Year			Linked Qtr.
Interest income
Loans, including fees	$	67,883		$	66,997		$	64,424		$	63,399		$	262,703		1.3	%
Investment securities
Taxable	10,698			10,326			10,706			11,373			43,103			3.6	%
Tax-exempt	1,134			1,083			1,156			1,162			4,535			4.7	%
Total investment securities interest	11,832			11,409			11,862			12,535			47,638			3.7	%
Other earning assets	(1,068		)	(1,081		)	(1,103		)	(1,139		)	(4,391		)	1.2	%
Total interest income	78,647			77,325			75,183			74,795			305,950			1.7	%

Interest expense
Deposits	6,026			5,600			5,457			5,530			22,613			7.6	%
Short-term borrowings	915			1,368			1,053			1,170			4,506			(33.1	)%
Long-term borrowings	1,540			1,539			1,541			1,540			6,160			0.1	%
Total interest expense	8,481			8,507			8,051			8,240			33,279			(0.3	)%
Net interest income	70,166			68,818			67,132			66,555			272,671			2.0	%
Provision for loan and lease losses	2,761			1,687			4,037			1,655			10,140			63.7	%
Net interest income after provision for loan and lease losses	67,405			67,131			63,095			64,900			262,531			0.4	%

Noninterest income
Service charges on deposit accounts	5,041			5,056			4,455			4,381			18,933			(0.3	)%
Trust and wealth management fees	3,241			3,236			3,283			3,440			13,200			0.2	%
Bankcard income	3,136			2,984			3,130			2,882			12,132			5.1	%
Client derivative fees	466			1,210			1,799			1,095			4,570			(61.5	)%
Net gains from sales of loans	1,711			2,066			1,846			1,181			6,804			(17.2	)%
Net gains on sale of investment securities	0			398			(188		)	24			234			(100.0	)%
FDIC loss sharing income	(419		)	(638		)	59			(565		)	(1,563		)	(34.3	)%
Accelerated discount on covered / formerly covered loans	1,197			491			1,191			971			3,850			143.8	%
Other	2,573			2,146			4,619			2,103			11,441			19.9	%
Total noninterest income	16,946			16,949			20,194			15,512			69,601			0.0	%

Noninterest expenses
Salaries and employee benefits	31,127			32,093			29,526			29,615			122,361			(3.0	)%
Net occupancy	4,338			4,543			4,491			4,957			18,329			(4.5	)%
Furniture and equipment	2,181			2,139			2,130			2,213			8,663			2.0	%
Data processing	3,095			2,828			2,765			2,718			11,406			9.4	%
Marketing	1,458			641			801			1,065			3,965			127.5	%
Communication	404			527			477			481			1,889			(23.3	)%
Professional services	1,731			1,460			1,299			1,813			6,303			18.6	%
State intangible tax	117			639			639			639			2,034			(81.7	)%
FDIC assessments	1,001			1,048			1,112			1,132			4,293			(4.5	)%
Loss (gain) - other real estate owned	(953		)	(112		)	43			(190		)	(1,212		)	750.9	%
Loss sharing expense	141			270			(12		)	297			696			(47.8	)%
Other	5,523			5,029			6,142			5,980			22,674			9.8	%
Total noninterest expenses	50,163			51,105			49,413			50,720			201,401			(1.8	)%
Income before income taxes	34,188			32,975			33,876			29,692			130,731			3.7	%
Income tax expense	10,894			10,125			11,308			9,878			42,205			7.6	%
Net income	$	23,294		$	22,850		$	22,568		$	19,814		$	88,526		1.9	%

ADDITIONAL DATA
Net earnings per share - basic	$	0.38		$	0.37		$	0.37		$	0.32		$	1.45
Net earnings per share - diluted	$	0.38		$	0.37		$	0.36		$	0.32		$	1.43
Dividends declared per share	$	0.16		$	0.16		$	0.16		$	0.16		$	0.64

Return on average assets	1.11		%	1.09		%	1.11		%	0.98		%	1.07		%
Return on average shareholders' equity	10.73		%	10.62		%	10.84		%	9.70		%	10.48		%

Interest income	$	78,647		$	77,325		$	75,183		$	74,795		$	305,950		1.7	%
Tax equivalent adjustment	1,077			1,028			1,058			1,052			4,215			4.8	%
Interest income - tax equivalent	79,724			78,353			76,241			75,847			310,165			1.7	%
Interest expense	8,481			8,507			8,051			8,240			33,279			(0.3	)%
Net interest income - tax equivalent	$	71,243		$	69,846		$	68,190		$	67,607		$	276,886		2.0	%

Net interest margin	3.66		%	3.61		%	3.61		%	3.62		%	3.62		%
Net interest margin (fully tax equivalent)⁽¹⁾	3.71		%	3.66		%	3.67		%	3.68		%	3.68		%

Full-time equivalent employees	1,420			1,402			1,403			1,390

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.



FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)

	2015
	Fourth			Third			Second			First			Full
	Quarter			Quarter			Quarter			Quarter			Year
Interest income
Loans, including fees	$	62,502		$	58,694		$	54,586		$	54,464		$	230,246
Investment securities
Taxable	10,702			9,986			9,281			9,608			39,577
Tax-exempt	1,192			1,163			1,139			1,117			4,611
Total investment securities interest	11,894			11,149			10,420			10,725			44,188
Other earning assets	(1,164		)	(1,168		)	(1,162		)	(1,181		)	(4,675		)
Total interest income	73,232			68,675			63,844			64,008			269,759

Interest expense
Deposits	5,172			4,861			4,621			4,820			19,474
Short-term borrowings	434			374			253			303			1,364
Long-term borrowings	1,543			281			296			299			2,419
Total interest expense	7,149			5,516			5,170			5,422			23,257
Net interest income	66,083			63,159			58,674			58,586			246,502
Provision for loan and lease losses	1,864			2,647			3,070			2,060			9,641
Net interest income after provision for loan and lease losses	64,219			60,512			55,604			56,526			236,861

Noninterest income
Service charges on deposit accounts	4,755			4,934			4,803			4,523			19,015
Trust and wealth management fees	3,086			3,134			3,274			3,634			13,128
Bankcard income	3,077			2,909			2,972			2,620			11,578
Client derivative fees	945			1,604			878			962			4,389
Net gains from sales of loans	1,325			1,758			1,924			1,464			6,471
Net gains on sale of investment securities	2			409			1,094			0			1,505
FDIC loss sharing income	(164		)	(973		)	(304		)	(1,046		)	(2,487		)
Accelerated discount on covered / formerly covered loans	785			3,820			4,094			2,092			10,791
Other	2,008			2,760			2,680			3,364			10,812
Total noninterest income	15,819			20,355			21,415			17,613			75,202

Noninterest expenses
Salaries and employee benefits	29,632			27,768			27,451			26,941			111,792
Net occupancy	4,337			4,510			4,380			5,005			18,232
Furniture and equipment	2,185			2,165			2,219			2,153			8,722
Data processing	2,843			2,591			2,657			2,772			10,863
Marketing	1,052			810			973			888			3,723
Communication	502			531			558			570			2,161
Professional services	1,833			4,092			1,727			1,970			9,622
State intangible tax	598			579			577			577			2,331
FDIC assessments	1,139			1,103			1,114			1,090			4,446
Loss (gain) - other real estate owned	772			196			419			474			1,861
Loss sharing expense	414			574			576			301			1,865
Other	5,977			8,073			6,135			5,327			25,512
Total noninterest expenses	51,284			52,992			48,786			48,068			201,130
Income before income taxes	28,754			27,875			28,233			26,071			110,933
Income tax expense	8,934			9,202			9,284			8,450			35,870
Net income	$	19,820		$	18,673		$	18,949		$	17,621		$	75,063

ADDITIONAL DATA
Net earnings per share - basic	$	0.33		$	0.31		$	0.31		$	0.29		$	1.23
Net earnings per share - diluted	$	0.32		$	0.30		$	0.31		$	0.29		$	1.21
Dividends declared per share	$	0.16		$	0.16		$	0.16		$	0.16		$	0.64

Return on average assets	0.99		%	0.97		%	1.05		%	0.99		%	1.00		%
Return on average shareholders' equity	9.62		%	9.12		%	9.49		%	9.06		%	9.33		%

Interest income	$	73,232		$	68,675		$	63,844		$	64,008		$	269,759
Tax equivalent adjustment	1,046			1,000			988			983			4,017
Interest income - tax equivalent	74,278			69,675			64,832			64,991			273,776
Interest expense	7,149			5,516			5,170			5,422			23,257
Net interest income - tax equivalent	$	67,129		$	64,159		$	59,662		$	59,569		$	250,519

Net interest margin	3.63		%	3.61		%	3.56		%	3.61		%	3.60		%
Net interest margin (fully tax equivalent)⁽¹⁾	3.69		%	3.67		%	3.62		%	3.67		%	3.66		%

Full-time equivalent employees	1,400			1,394			1,366			1,353

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.



FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)

	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			% Change		% Change
	2016			2016			2016			2016			2015			Linked Qtr.		Comparable Qtr.
ASSETS
Cash and due from banks	$	121,598		$	117,982		$	106,174		$	102,675		$	114,841		3.1	%	5.9	%
Interest-bearing deposits with other banks	82,450			16,765			18,911			15,582			33,734			391.8	%	144.4	%
Investment securities available-for-sale	1,039,870			1,120,494			1,114,349			1,164,319			1,190,642			(7.2	)%	(12.7	)%
Investment securities held-to-maturity	763,254			628,497			670,111			702,315			726,259			21.4	%	5.1	%
Other investments	51,077			51,170			51,261			53,255			53,725			(0.2	)%	(4.9	)%
Loans held for sale	13,135			17,414			10,494			15,369			20,957			(24.6	)%	(37.3	)%
Loans and leases
Commercial and industrial	1,781,948			1,782,782			1,794,533			1,744,732			1,663,102			0.0	%	7.1	%
Lease financing	93,108			96,046			100,263			101,135			93,986			(3.1	)%	(0.9	)%
Construction - real estate	399,434			380,349			374,949			341,453			311,712			5.0	%	28.1	%
Commercial - real estate	2,427,577			2,468,083			2,363,456			2,261,857			2,258,297			(1.6	)%	7.5	%
Residential - real estate	500,980			507,715			512,800			508,512			512,311			(1.3	)%	(2.2	)%
Home equity	460,388			463,702			467,549			466,010			466,629			(0.7	)%	(1.3	)%
Installment	50,639			47,825			46,917			41,627			41,506			5.9	%	22.0	%
Credit card	43,408			43,009			40,746			39,283			41,217			0.9	%	5.3	%
Total loans	5,757,482			5,789,511			5,701,213			5,504,609			5,388,760			(0.6	)%	6.8	%
Less
Allowance for loan and lease losses	57,961			57,618			56,708			53,732			53,398			0.6	%	8.5	%
Net loans	5,699,521			5,731,893			5,644,505			5,450,877			5,335,362			(0.6	)%	6.8	%
Premises and equipment	131,579			132,082			133,969			138,036			136,603			(0.4	)%	(3.7	)%
Goodwill and other intangibles	210,625			210,888			211,199			211,533			211,865			(0.1	)%	(0.6	)%
Accrued interest and other assets	324,858			341,296			349,129			339,593			323,423			(4.8	)%	0.4	%
Total Assets	$	8,437,967		$	8,368,481		$	8,310,102		$	8,193,554		$	8,147,411		0.8	%	3.6	%

LIABILITIES
Deposits
Interest-bearing demand	$	1,513,771		$	1,494,529		$	1,436,078		$	1,430,963		$	1,414,291		1.3	%	7.0	%
Savings	2,142,189			2,005,407			1,974,449			1,922,892			1,945,805			6.8	%	10.1	%
Time	1,321,843			1,346,736			1,279,934			1,414,313			1,406,124			(1.8	)%	(6.0	)%
Total interest-bearing deposits	4,977,803			4,846,672			4,690,461			4,768,168			4,766,220			2.7	%	4.4	%
Noninterest-bearing	1,547,985			1,492,011			1,429,163			1,408,609			1,413,404			3.8	%	9.5	%
Total deposits	6,525,788			6,338,683			6,119,624			6,176,777			6,179,624			3.0	%	5.6	%
Federal funds purchased and securities sold
under agreements to repurchase	120,212			77,936			80,084			75,499			89,325			54.2	%	34.6	%
FHLB short-term borrowings	687,700			848,300			1,035,000			894,400			849,100			(18.9	)%	(19.0	)%
Total short-term borrowings	807,912			926,236			1,115,084			969,899			938,425			(12.8	)%	(13.9	)%
Long-term debt	119,589			119,549			119,596			119,556			119,540			0.0	%	0.0	%
Total borrowed funds	927,501			1,045,785			1,234,680			1,089,455			1,057,965			(11.3	)%	(12.3	)%
Accrued interest and other liabilities	119,454			122,876			109,075			100,735			100,446			(2.8	)%	18.9	%
Total Liabilities	7,572,743			7,507,344			7,463,379			7,366,967			7,338,035			0.9	%	3.2	%

SHAREHOLDERS' EQUITY
Common stock	570,382			569,199			567,687			567,497			571,155			0.2	%	(0.1	)%
Retained earnings	437,188			423,800			410,893			398,224			388,240			3.2	%	12.6	%
Accumulated other comprehensive loss	(28,443		)	(17,522		)	(17,688		)	(23,209		)	(30,580		)	62.3	%	(7.0	)%
Treasury stock, at cost	(113,903		)	(114,340		)	(114,169		)	(115,925		)	(119,439		)	(0.4	)%	(4.6	)%
Total Shareholders' Equity	865,224			861,137			846,723			826,587			809,376			0.5	%	6.9	%
Total Liabilities and Shareholders' Equity	$	8,437,967		$	8,368,481		$	8,310,102		$	8,193,554		$	8,147,411		0.8	%	3.6	%



FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)

	Quarterly Averages															Year-to-Date Averages
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			December 31,
	2016			2016			2016			2016			2015			2016			2015
ASSETS
Cash and due from banks	$	122,130		$	116,441		$	121,426		$	117,782		$	119,881		$	119,444		$	115,273
Interest-bearing deposits with other banks	19,557			22,116			21,687			24,291			18,920			21,907			24,430
Investment securities	1,816,944			1,811,240			1,869,540			1,938,772			1,934,173			1,858,878			1,832,430
Loans held for sale	14,729			11,197			11,752			13,216			18,677			12,725			12,974
Loans and leases
Commercial and industrial	1,767,570			1,786,461			1,752,237			1,657,279			1,612,485			1,741,084			1,425,032
Lease financing	93,817			96,518			100,103			94,935			89,200			96,337			83,316
Construction - real estate	376,616			380,894			348,100			322,600			295,574			357,171			249,559
Commercial - real estate	2,470,280			2,400,308			2,294,980			2,270,686			2,180,015			2,359,480			2,148,139
Residential - real estate	503,711			512,341			510,262			509,422			505,208			508,929			499,914
Home equity	461,177			466,062			466,170			466,722			465,131			465,025			461,250
Installment	49,071			47,428			44,438			41,698			41,148			45,673			42,967
Credit card	43,894			42,564			41,038			41,254			41,027			42,193			39,683
Total loans	5,766,136			5,732,576			5,557,328			5,404,596			5,229,788			5,615,892			4,949,860
Less
Allowance for loan and lease losses	58,733			58,284			55,504			54,882			53,731			56,860			54,111
Net loans	5,707,403			5,674,292			5,501,824			5,349,714			5,176,057			5,559,032			4,895,749
Premises and equipment	132,414			133,360			137,927			138,377			138,689			135,505			139,846
Goodwill and other intangibles	210,768			211,029			211,363			211,707			211,722			211,215			170,766
Accrued interest and other assets	335,967			342,481			328,318			325,086			332,159			332,997			312,601
Total Assets	$	8,359,912		$	8,322,156		$	8,203,837		$	8,118,945		$	7,950,278		$	8,251,703		$	7,504,069

LIABILITIES
Deposits
Interest-bearing demand	$	1,540,755		$	1,447,226		$	1,483,025		$	1,391,591		$	1,423,915		$	1,465,804		$	1,263,388
Savings	2,093,557			2,015,602			2,042,188			1,938,206			2,005,100			2,022,564			1,971,699
Time	1,378,301			1,284,059			1,342,226			1,419,456			1,416,041			1,355,875			1,333,550
Total interest-bearing deposits	5,012,613			4,746,887			4,867,439			4,749,253			4,845,056			4,844,243			4,568,637
Noninterest-bearing	1,544,598			1,453,842			1,441,068			1,386,768			1,402,283			1,456,802			1,339,802
Total deposits	6,557,211			6,200,729			6,308,507			6,136,021			6,247,339			6,301,045			5,908,439
Federal funds purchased and securities sold
under agreements to repurchase	93,452			87,343			86,457			89,349			79,354			89,157			73,191
FHLB short-term borrowings	602,720			946,096			759,919			856,837			564,522			791,300			552,483
Total short-term borrowings	696,172			1,033,439			846,376			946,186			643,876			880,457			625,674
Long-term debt	119,756			119,603			119,575			119,553			119,532			119,622			71,748
Total borrowed funds	815,928			1,153,042			965,951			1,065,739			763,408			1,000,079			697,422
Accrued interest and other liabilities	123,264			112,089			91,967			95,597			121,775			105,795			93,292
Total Liabilities	7,496,403			7,465,860			7,366,425			7,297,357			7,132,522			7,406,919			6,699,153

SHAREHOLDERS' EQUITY
Common stock	569,779			568,203			567,682			570,558			570,510			569,055			571,549
Retained earnings	430,402			419,901			406,788			395,756			385,295			413,277			371,387
Accumulated other comprehensive loss	(22,436		)	(17,701		)	(21,901		)	(26,165		)	(18,962		)	(22,040		)	(19,271		)
Treasury stock, at cost	(114,236		)	(114,107		)	(115,157		)	(118,561		)	(119,087		)	(115,508		)	(118,749		)
Total Shareholders' Equity	863,509			856,296			837,412			821,588			817,756			844,784			804,916
Total Liabilities and Shareholders' Equity	$	8,359,912		$	8,322,156		$	8,203,837		$	8,118,945		$	7,950,278		$	8,251,703		$	7,504,069



FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS ⁽¹⁾
(Dollars in thousands)
(Unaudited)

	Quarterly Averages															Year-to-Date Averages
	December 31, 2016					September 30, 2016					December 31, 2015					December 31, 2016					December 31, 2015
	Balance			Yield		Balance			Yield		Balance			Yield		Balance			Yield		Balance			Yield
Earning assets
Investments:
Investment securities	$	1,816,944		2.58	%	$	1,811,240		2.50	%	$	1,934,173		2.44	%	$	1,858,878		2.56	%	$	1,832,430		2.41	%
Interest-bearing deposits with other banks	19,557			0.59	%	22,116			0.54	%	18,920			0.29	%	21,907			(4.81	)%	24,430			0.27	%
Gross loans ⁽²⁾	5,793,647			4.57	%	5,757,804			4.54	%	5,266,902			4.62	%	5,643,448			4.60	%	4,983,108			4.53	%
Total earning assets	7,630,148			4.09	%	7,591,160			4.04	%	7,219,995			4.02	%	7,524,233			4.07	%	6,839,968			3.94	%

Nonearning assets
Allowance for loan and lease losses	(58,733		)			(58,284		)			(53,731		)			(56,860		)			(54,111		)
Cash and due from banks	122,130					116,441					119,881					119,444					115,273
Accrued interest and other assets	666,367					672,839					664,133					664,886					602,939
Total assets	$	8,359,912				$	8,322,156				$	7,950,278				$	8,251,703				$	7,504,069

Interest-bearing liabilities
Deposits:
Interest-bearing demand	$	1,540,755		0.14	%	$	1,447,226		0.15	%	$	1,423,915		0.13	%	$	1,465,804		0.14	%	$	1,263,388		0.10	%
Savings	2,093,557			0.31	%	2,015,602			0.27	%	2,005,100			0.20	%	2,022,564			0.27	%	1,971,699			0.21	%
Time	1,378,301			1.11	%	1,284,059			1.14	%	1,416,041			1.03	%	1,355,875			1.10	%	1,333,550			1.06	%
Total interest-bearing deposits	5,012,613			0.48	%	4,746,887			0.47	%	4,845,056			0.42	%	4,844,243			0.47	%	4,568,637			0.43	%
Borrowed funds
Short-term borrowings	696,172			0.52	%	1,033,439			0.53	%	643,876			0.27	%	880,457			0.51	%	625,674			0.22	%
Long-term debt	119,756			5.10	%	119,603			5.11	%	119,532			5.12	%	119,622			5.15	%	71,748			3.37	%
Total borrowed funds	815,928			1.19	%	1,153,042			1.00	%	763,408			1.03	%	1,000,079			1.07	%	697,422			0.54	%
Total interest-bearing liabilities	5,828,541			0.58	%	5,899,929			0.57	%	5,608,464			0.51	%	5,844,322			0.57	%	5,266,059			0.44	%

Noninterest-bearing liabilities
Noninterest-bearing demand deposits	1,544,598					1,453,842					1,402,283					1,456,802					1,339,802
Other liabilities	123,264					112,089					121,775					105,795					93,292
Shareholders' equity	863,509					856,296					817,756					844,784					804,916
Total liabilities & shareholders' equity	$	8,359,912				$	8,322,156				$	7,950,278				$	8,251,703				$	7,504,069

Net interest income ⁽¹⁾	$	70,166				$	68,818				$	66,083				$	272,671				$	246,502
Net interest spread ⁽¹⁾				3.51	%				3.47	%				3.51	%				3.50	%				3.50	%
Net interest margin ⁽¹⁾				3.66	%				3.61	%				3.63	%				3.62	%				3.60	%


⁽¹⁾ Not tax equivalent.
⁽²⁾ Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans.



FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS ⁽¹⁾
(Dollars in thousands)
(Unaudited)


	Linked Qtr. Income Variance									Comparable Qtr. Income Variance									Year-to-Date Income Variance
	Rate			Volume			Total			Rate			Volume			Total			Rate			Volume		Total
Earning assets
Investment securities	$	386		$	37		$	423		$	701		$	(763	)	$	(62	)	$	2,772		$	678	$	3,450
Interest-bearing deposits with other banks	3			(4		)	(1		)	14			1			15			(1,239		)	121		(1,118		)
Gross loans ⁽²⁾	487			413			900			(610		)	6,072			5,462			3,511			30,348		33,859
Total earning assets	876			446			1,322			105			5,310			5,415			5,044			31,147		36,191

Interest-bearing liabilities
Total interest-bearing deposits	$	107		$	319		$	426		$	653		$	201		$	854		$	1,852		$	1,287	$	3,139
Borrowed funds
Short-term borrowings	(10		)	(443		)	(453		)	412			69			481			1,838			1,304		3,142
Long-term debt	(1		)	2			1			(6		)	3			(3		)	1,276			2,465		3,741
Total borrowed funds	(11		)	(441		)	(452		)	406			72			478			3,114			3,769		6,883
Total interest-bearing liabilities	96			(122		)	(26		)	1,059			273			1,332			4,966			5,056		10,022
Net interest income ⁽¹⁾	$	780		$	568		$	1,348		$	(954	)	$	5,037		$	4,083		$	78		$	26,091	$	26,169


⁽¹⁾ Not tax equivalent.
⁽²⁾ Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans.



FIRST FINANCIAL BANCORP.
CREDIT QUALITY
(Dollars in thousands)
(Unaudited)


	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Full Year			Full Year
	2016			2016			2016			2016			2015			2016			2015
ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY
Balance at beginning of period	$	57,618		$	56,708		$	53,732		$	53,398		$	53,332		$	53,398		$	52,858
Provision for loan and lease losses	2,761			1,687			4,037			1,655			1,864			10,140			9,641
Gross charge-offs
Commercial and industrial	1,590			296			265			479			777			2,630			5,408
Construction - real estate	(2		)	64			28			3			0			93			85
Commercial - real estate	990			1,135			1,596			1,262			4,415			4,983			10,083
Residential - real estate	224			90			28			45			82			387			1,531
Home equity	232			475			398			340			633			1,445			1,891
Installment	60			223			30			73			129			386			509
Other	326			267			357			240			242			1,190			1,049
Total gross charge-offs	3,420			2,550			2,702			2,442			6,278			11,114			20,556
Recoveries
Commercial and industrial	186			327			420			222			841			1,155			3,724
Construction - real estate	51			6			202			26			104			285			253
Commercial - real estate	382			997			681			442			2,927			2,502			5,214
Residential - real estate	54			38			81			63			214			236			558
Home equity	144			257			131			188			104			720			1,001
Installment	118			56			62			99			216			335			463
Other	67			92			64			81			74			304			242
Total recoveries	1,002			1,773			1,641			1,121			4,480			5,537			11,455
Total net charge-offs	2,418			777			1,061			1,321			1,798			5,577			9,101
Ending allowance for loan and lease losses	$	57,961		$	57,618		$	56,708		$	53,732		$	53,398		$	57,961		$	53,398

NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED)
Commercial and industrial	0.32		%	(0.01		)%	(0.04		)%	0.06		%	(0.02		)%	0.08		%	0.12		%
Construction - real estate	(0.06		)%	0.06		%	(0.20		)%	(0.03		)%	(0.14		)%	(0.05		)%	(0.07		)%
Commercial - real estate	0.10		%	0.02		%	0.16		%	0.15		%	0.27		%	0.11		%	0.23		%
Residential - real estate	0.13		%	0.04		%	(0.04		)%	(0.01		)%	(0.10		)%	0.03		%	0.19		%
Home equity	0.08		%	0.19		%	0.23		%	0.13		%	0.45		%	0.16		%	0.19		%
Installment	(0.47		)%	1.40		%	(0.29		)%	(0.25		)%	(0.84		)%	0.11		%	0.11		%
Other	0.75		%	0.50		%	0.83		%	0.47		%	0.51		%	0.64		%	0.66		%
Total net charge-offs	0.17		%	0.05		%	0.08		%	0.10		%	0.14		%	0.10		%	0.18		%

COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
Nonaccrual loans ⁽¹⁾
Commercial and industrial	$	2,419		$	3,201		$	2,980		$	3,917		$	8,405		$	2,419		$	8,405
Construction - real estate	0			0			0			0			0			0			0
Commercial - real estate	6,098			5,985			8,750			8,577			9,418			6,098			9,418
Residential - real estate	5,251			4,759			4,824			4,243			5,027			5,251			5,027
Home equity	3,400			3,815			4,123			5,036			4,898			3,400			4,898
Installment	367			327			433			113			127			367			127
Lease financing	195			214			1,167			121			122			195			122
Nonaccrual loans	17,730			18,301			22,277			22,007			27,997			17,730			27,997
Accruing troubled debt restructurings (TDRs)	30,240			32,164			28,022			30,127			28,876			30,240			28,876
Total nonperforming loans	47,970			50,465			50,299			52,134			56,873			47,970			56,873
Other real estate owned (OREO)	6,284			7,577			9,302			11,939			13,254			6,284			13,254
Total nonperforming assets	54,254			58,042			59,601			64,073			70,127			54,254			70,127
Accruing loans past due 90 days or more	142			130			981			59			108			142			108
Total underperforming assets	$	54,396		$	58,172		$	60,582		$	64,132		$	70,235		$	54,396		$	70,235
Total classified assets	$	125,155		$	142,169		$	143,331		$	133,940		$	132,431		$	125,155		$	132,431

CREDIT QUALITY RATIOS
Allowance for loan and lease losses to
Nonaccrual loans	326.91		%	314.84		%	254.56		%	244.16		%	190.73		%	326.91		%	190.73		%
Nonperforming loans	120.83		%	114.17		%	112.74		%	103.07		%	93.89		%	120.83		%	93.89		%
Total ending loans	1.01		%	1.00		%	0.99		%	0.98		%	0.99		%	1.01		%	0.99		%
Nonperforming loans to total loans	0.83		%	0.87		%	0.88		%	0.95		%	1.06		%	0.83		%	1.06		%
Nonperforming assets to
Ending loans, plus OREO	0.94		%	1.00		%	1.04		%	1.16		%	1.30		%	0.94		%	1.30		%
Total assets	0.64		%	0.69		%	0.72		%	0.78		%	0.86		%	0.64		%	0.86		%
Nonperforming assets, excluding accruing TDRs to
Ending loans, plus OREO	0.42		%	0.45		%	0.55		%	0.62		%	0.76		%	0.42		%	0.76		%
Total assets	0.28		%	0.31		%	0.38		%	0.41		%	0.51		%	0.28		%	0.51		%

(1) Nonaccrual loans include nonaccrual TDRs of $5.1 million, $5.6 million, $8.0 million, $7.5 million, and $9.3 million, as of December 31, 2016, September 30, 2016, June 30, 2016, March 31, 2016, and December 31, 2015, respectively.



FIRST FINANCIAL BANCORP.
CAPITAL ADEQUACY
(Dollars in thousands, except per share data)
(Unaudited)
																Twelve months ended,
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Dec. 31,			Dec. 31,
	2016			2016			2016			2016			2015			2016			2015
PER COMMON SHARE
Market Price
High	$	29.35		$	22.52		$	20.16		$	18.36		$	20.72		$	29.35		$	20.72
Low	$	21.05		$	18.83		$	17.49		$	14.91		$	17.83		$	14.91		$	16.52
Close	$	28.45		$	21.84		$	19.45		$	18.18		$	18.07		$	28.45		$	18.07

Average shares outstanding - basic	61,311,068			61,280,283			61,194,254			61,036,797			60,985,096			61,206,093			61,062,657
Average shares outstanding - diluted	62,080,683			62,086,067			62,027,008			61,840,247			61,861,182			61,985,422			61,847,547
Ending shares outstanding	61,979,552			61,952,873			61,959,529			61,855,027			61,641,680			61,979,552			61,641,680

Total shareholders' equity	$	865,224		$	861,137		$	846,723		$	826,587		$	809,376		$	865,224		$	809,376

REGULATORY CAPITAL ⁽¹⁾	Preliminary															Preliminary
Common equity tier 1 capital	$	703,891		$	688,363		$	673,313		$	658,001		$	648,748		$	703,891		$	648,748
Common equity tier 1 capital ratio	10.46		%	10.20		%	10.07		%	10.16		%	10.28		%	10.46		%	10.28		%
Tier 1 capital	$	703,995		$	688,467		$	673,417		$	658,105		$	648,852		$	703,995		$	648,852
Tier 1 ratio	10.46		%	10.20		%	10.07		%	10.16		%	10.29		%	10.46		%	10.29		%
Total capital	$	881,158		$	865,248		$	849,303		$	831,924		$	822,431		$	881,158		$	822,431
Total capital ratio	13.10		%	12.82		%	12.70		%	12.84		%	13.04		%	13.10		%	13.04		%
Total capital in excess of minimum
requirement	$	300,804		$	282,996		$	272,708		$	273,135		$	317,780		$	300,804		$	317,780
Total risk-weighted assets	$	6,728,737		$	6,750,750		$	6,685,158		$	6,478,716		$	6,308,139		$	6,728,737		$	6,308,139
Leverage ratio	8.59		%	8.45		%	8.38		%	8.27		%	8.33		%	8.59		%	8.33		%

OTHER CAPITAL RATIOS
Ending shareholders' equity to ending assets	10.25		%	10.29		%	10.19		%	10.09		%	9.93		%	10.25		%	9.93		%
Ending tangible shareholders' equity to ending tangible assets	7.96		%	7.97		%	7.85		%	7.71		%	7.53		%	7.96		%	7.53		%
Average shareholders' equity to average assets	10.33		%	10.29		%	10.21		%	10.12		%	10.29		%	10.24		%	10.73		%
Average tangible shareholders' equity to average tangible assets	8.01		%	7.96		%	7.83		%	7.71		%	7.83		%	7.89		%	8.13		%

REPURCHASE PROGRAM ⁽²⁾
Shares repurchased	0			0			0			0			91,032			0			239,967
Average share repurchase price	N/A			N/A			N/A				N/A		$	18.85		N/A			$	18.75
Total cost of shares repurchased	N/A			N/A			N/A				N/A		$	1,716		N/A			$	4,499

⁽¹⁾ 2015 amounts and ratios are calculated under the Basel III standardized approach
⁽²⁾Represents share repurchases as part of publicly announced plans.
N/A = Not applicable

FIRST FINANCIAL BANCORP /OH/ - FORM 8-K - EX-99.1 - EXHIBIT 99.1 - January 20, 2017

Attached files

FIRST FINANCIAL BANCORP /OH/ Reports