Attached files
Exhibit 99.1
Bryn Mawr Bank Corporation
FOR RELEASE: IMMEDIATELY | Ted Peters, Chairman | |||
FOR MORE INFORMATION CONTACT: | 610-581-4800 J. Duncan Smith, CFO 610-526-2466 |
Bryn Mawr Bank Corporation Opens 2011 with a Strong First Quarter
BRYN MAWR, Pa., April 28, 2011Bryn Mawr Bank Corporation (NASDAQ: BMTC), (the Corporation), parent of The Bryn Mawr Trust Company (the Bank), today announced diluted earnings per share of $0.38 for the three months ended March 31, 2011, an increase of $0.13 per share, or 52%, as compared to diluted earnings per share of $0.25 for the same period in 2010. Net income for the three months ended March 31, 2011 was $4.7 million, an increase of $2.5 million, or 112.1%, as compared to net income of $2.2 million for the same period in 2010. Total assets as of March 31, 2011 were $1.71 billion as compared to $1.73 billion and $1.22 billion as of December 31, 2010 and March 31, 2010, respectively.
On April 27, 2011, the Board of Directors of the Corporation declared a quarterly dividend of $0.15 per share. The dividend is payable June 1, 2011, to shareholders of record as of May 10, 2011.
The merger with First Keystone Financial, Inc., (the Merger), which was completed on July 1, 2010, is the primary cause of the increases in assets and liabilities between March 31, 2011 and March 31, 2010. In addition, the Merger, which included the acquisition of $275 million of loans, $101 million of investment securities, $321 million of deposits and $106 million of borrowings, as well as eight full-service branch locations, accounts for a significant portion of the increases in both income and expense items for the three months ended March 31, 2011, as compared to the same period in 2010.
Ted Peters, Chairman and Chief Executive Officer, commented, We are very pleased with our first quarter earnings which were a result of lower credit costs, an improved net interest margin, a healthy increase in our Wealth divisions revenue, and the successful integration of the First Keystone branches. Mr. Peters added, Loan demand is starting to pick up, and we are optimistic about maintaining this positive momentum for the remainder of 2011.
On February 18, 2011, the Corporation entered into a definitive agreement to acquire the Private Wealth Management Group of the Hershey Trust Company. The acquisition, which is anticipated to close in the second quarter of 2011, subject to certain conditions and regulatory approvals, is expected to increase the assets under management of the Corporations Wealth Management Division by approximately $1.1 billion. Mr. Peters commented, We are very excited about the pending Hershey transaction, adding that, it steers us firmly in the direction of attaining our goal of $5 billion in wealth assets under management. As of March 31, 2011, Wealth Management Division assets under management, administration, brokerage and supervision were $3.6 billion.
SIGNIFICANT ITEMS OF NOTE
| Net income for the three months ended March 31, 2011 increased $2.5 million, as compared to the same period in 2010. The increase is attributable to a $4.3 million increase in net interest income, a $1.8 million decrease in the provision for loan and lease losses, a $359 thousand increase in fees for wealth management services, a $209 thousand decrease in professional fees and a $466 thousand increase in other operating income. These increases were partially offset by a $1.1 million decrease in the gain on sale of available for sale securities, a $127 thousand decrease in the gain on sale of residential mortgage loans and a $543 thousand increase in other operating expenses. In addition, directly related to the operation of the newly-acquired First Keystone branches, were increases of $1.2 million in salaries and benefits expenses and $603 thousand in occupancy-related expenses for the three months ended March 31, 2011, as compared to the same period in 2010. |
| Revenue from the Wealth Management Division for the three months ended March 31, 2011 was $4.2 million, an increase of 9.4% from the $3.8 million generated in the same period in 2010. Wealth Management Division assets under management, administration, |
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supervision and brokerage as of March 31, 2011 were $3.6 billion, an increase of $187.8 million, or 5.5%, from December 31, 2010, and a $491.1 million, or 15.8%, increase from March 31, 2010. These increases are due largely to the continued successes of new initiatives within the division as well as asset appreciation resulting from improvements in the financial markets. |
| Net gain on the sale of residential mortgage loans for the three months ended March 31, 2011 was $398 thousand as compared to $525 thousand for the same period in 2010. The 24.2% decrease is attributable to the Corporations decision to retain a larger portion of originated residential mortgage loans in its portfolio, rather than sell them, thus decreasing the net gain on their sales. |
| The allowance for loan and lease losses (the Allowance), as of March 31, 2011, of $10.6 million, was 0.87% of portfolio loans and leases, as compared to $10.3 million or 0.86% of portfolio loans and leases and $9.7 million or 1.09% of portfolio loans and leases as of December 31, 2010 and March 31, 2010, respectively. In calculating the Allowance as a percentage of portfolio loans and leases, portfolio loans and leases include loans and leases originated by the Bank (originated loans and leases), as well as loans acquired in the Merger. In accordance with accounting principles generally accepted in the United States (GAAP), the loan portfolio acquired in the Merger was recorded at its fair value without its previously recorded Allowance. The Allowance related to originated loans and leases, as a percentage of originated loans and leases (a non-GAAP measure*), was 1.08%, as of both March 31, 2011 and December 31, 2010. |
*see non-GAAP measure to GAAP measure reconciliation on page 9, below.
| Asset quality as of March 31, 2011 remained relatively stable, with nonperforming loans and leases comprising 0.88%, 0.79% and 0.82% of total portfolio loans as of March 31, 2011, December 31, 2010 and September 30, 2010, respectively. Net loan and lease charge-offs for the three months ended March 31, 2011 totaled $911 thousand, as compared to net loan and lease charge-offs of $1.5 million and $3.8 million for the three month periods ended December 31, 2010 and March 31, 2010, respectively. This reduction in net charge-offs, along with the relatively stable loan quality, resulted in a $226 thousand decrease, to $1.3 million, in the provision for loan and lease losses (the Provision) for the three months ended March 31, 2011, as compared to the $1.5 million |
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Provision recorded for the three months ended December 31, 2010, and a $1.8 million decrease from the $3.1 million Provision recorded for the three months ended March 31, 2010. |
| Total portfolio loans and leases of $1.22 billion, as of March 31, 2011, increased $22.7 million, or 1.9%, as compared to $1.20 billion as of December 31, 2010. The growth was concentrated in the residential mortgage, commercial mortgage and construction loan categories of the portfolio. |
| Deposits of $1.32 billion, as of March 31, 2011, decreased $25.4 million, or 1.9%, from $1.34 billion as of December 31, 2010. Significantly contributing to this decline was a $17.1 million decrease in wholesale deposits, as the Corporation has reduced its dependence on these higher-cost funding sources. In addition, declines in other deposit types, which have been observed in prior years, and are considered seasonal, are due to the reduction, during the three months ended March 31, 2011, of temporary year-end deposit inflows. |
| The tax equivalent net interest margin of 4.03%, for the three months ended March 31, 2011, was an increase of 30 basis points from the 3.73% tax equivalent net interest margin for the three months ended December 31, 2010. The primary cause of this increase was the utilization, during the three months ended March 31, 2011, of lower-yielding cash balances to originate higher-yielding loans and to pay off maturing Federal Home Loan Bank advances, along with a continued decline in the cost of interest-bearing liabilities. As compared to the three months ended March 31, 2010, the tax equivalent net interest margin for the three months ended March 31, 2011 remained relatively unchanged, with a 3 basis point decline from 4.06%. |
| Gains on the sale of available for sale investment securities for the three months ended March 31, 2011 were $448 thousand, a decrease of $1.1 million from the $1.5 million recognized in the same period in 2010. The gains recorded during the current quarter resulted primarily from the sale of $26 million of municipal obligations, which helped reduce the credit risk and interest rate risk exposure in the investment portfolio. The municipal sector of the investment portfolio decreased from 10.1% of investment portfolio assets as of December 31, 2010, to 2.2%, as of March 31, 2011. |
| The capital ratios for the Bank and the Corporation, as shown in the table on page 10, indicate levels well above those deemed to be considered well capitalized. The |
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Corporations tangible common equity ratio, as of March 31, 2011, increased 64 basis points, to 8.65%, as compared to 8.01% as of December 31, 2010. The increase was largely due to the $2.9 million increase in retained earnings, along with the $5.7 million in additional capital raised through the Corporations Dividend Reinvestment and Stock Purchase Plan during the first quarter of 2011. |
EARNINGS CONFERENCE CALL
The Corporation will hold an earnings conference call at 8:30 a.m. EST on Friday, April 29, 2011. Interested parties may participate by calling 1-877-317-6789, conference number 449967. A taped replay of the conference call will be available within two hours of the conclusion of the call and will remain available through May 16, 2011. The number to call for the taped replay is 1-877-344-7529 and the Replay Passcode is 449967.
The conference call will be simultaneously broadcast live over the Internet through a webcast on the investor relations portion of the Bryn Mawr Bank Corporations website. To access the call, please visit the website at http://www.bmtc.com/investor_01.cfm. An online archive of the webcast will be available within one hour of the conclusion of the call. The Corporation has also recently expanded its Investor Relations website to include added resources and information for shareholders and interested investors. Interested parties are encouraged to utilize the expanded resources of the site for more information on Bryn Mawr Bank Corporation or by calling Aaron Strenkoski, Vice President Finance/Investor Relations at 610-581-4822.
FORWARD LOOKING STATEMENTS AND SAFE HARBOR
This press release 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 the Corporations future plans, objectives, performance, revenues, growth, profits, operating expenses or the Corporations underlying assumptions. The words may, would, should, could, will, likely, possibly, expect, anticipate, intend, estimate, target, potentially, probably, outlook, predict, contemplate, continue, plan, forecast, project ,are optimistic and believe or other similar words and phrases may identify forward-looking statements. Persons reading this press release are cautioned that such statements
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are only predictions, and that the Corporations 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 Corporations control, could cause our actual results, events or developments, or industry results, to be materially different from any future results, events or developments expressed, implied or anticipated by such forward-looking statements, and so our business and financial condition and results of operations could be materially and adversely affected. 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 on our business and in our market area; changes in the levels of 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 acquisition of First Keystone Financial, Inc. and First Keystone Bank and the anticipated acquisition of the Private Wealth Management Group of the Hershey Trust Company; and other factors as described in our securities filings. All forward-looking statements and information set forth herein are based on Managements current beliefs and assumptions as of the date hereof and speak only as of the date they are made. The Corporation does not undertake to update forward-looking statements.
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.
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Bryn Mawr Bank Corporation
Consolidated Statements of Income(unaudited)
(Dollars in thousands, except per share data)
For The Three Months Ended | ||||||||||||||||||||
Mar 31, 2011 |
Dec 31, 2010 |
Sept 30, 2010 |
June 30, 2010 |
Mar 31, 2010 |
||||||||||||||||
Interest income |
$ | 18,226 | $ | 18,605 | $ | 18,473 | $ | 13,824 | $ | 13,894 | ||||||||||
Interest expense |
2,819 | 3,405 | 3,691 | 2,773 | 2,777 | |||||||||||||||
Net interest income |
15,407 | 15,200 | 14,782 | 11,051 | 11,117 | |||||||||||||||
Provision for loan and lease losses |
1,285 | 1,511 | 4,236 | 994 | 3,113 | |||||||||||||||
Net interest income after provision for loan and lease losses |
14,122 | 13,689 | 10,546 | 10,057 | 8,004 | |||||||||||||||
Fees for wealth management services |
4,190 | 4,081 | 3,689 | 3,898 | 3,831 | |||||||||||||||
Loan servicing and other fees |
461 | 443 | 422 | 379 | 381 | |||||||||||||||
Service charges on deposits |
580 | 645 | 672 | 488 | 501 | |||||||||||||||
Net gain on sale of residential mortgage loans |
398 | 2,398 | 1,189 | 606 | 525 | |||||||||||||||
Net gain on sale of available for sale investments |
448 | 398 | 259 | | 1,544 | |||||||||||||||
Capital gains distributions |
42 | 271 | | | | |||||||||||||||
Net (loss) gain on sale of other real estate owned (OREO) |
(19 | ) | | 38 | | (152 | ) | |||||||||||||
BOLI income |
115 | 135 | 131 | | | |||||||||||||||
Other operating income |
995 | 902 | 653 | 519 | 529 | |||||||||||||||
Non-interest income |
7,210 | 9,273 | 7,053 | 5,890 | 7,159 | |||||||||||||||
Salaries and wages |
6,341 | 7,150 | 7,047 | 5,345 | 5,287 | |||||||||||||||
Employee benefits |
1,735 | 1,416 | 1,646 | 1,364 | 1,558 | |||||||||||||||
Occupancy and bank premises |
1,286 | 1,177 | 1,195 | 901 | 984 | |||||||||||||||
Furniture fixtures and equipment |
896 | 931 | 695 | 557 | 595 | |||||||||||||||
Advertising |
264 | 321 | 303 | 256 | 262 | |||||||||||||||
Net impairment (recovery) of mortgage servicing rights |
8 | (356 | ) | 168 | 177 | 41 | ||||||||||||||
Amortization of mortgage servicing rights |
169 | 301 | 206 | 210 | 199 | |||||||||||||||
Intangible asset amortization |
161 | 164 | 166 | 77 | 77 | |||||||||||||||
FDIC insurance |
480 | 522 | 416 | 299 | 314 | |||||||||||||||
Merger related / due diligence expense |
307 | 437 | 4,292 | 637 | 347 | |||||||||||||||
Impairment of OREO |
127 | | 381 | | | |||||||||||||||
Professional fees |
410 | 603 | 459 | 459 | 619 | |||||||||||||||
Other operating expenses |
2,013 | 2,098 | 2,391 | 1,821 | 1,470 | |||||||||||||||
Non-interest expense |
14,197 | 14,764 | 19,365 | 12,103 | 11,753 | |||||||||||||||
Income (loss) before income taxes |
7,135 | 8,198 | (1,766 | ) | 3,844 | 3,410 | ||||||||||||||
Income tax expense (benefit) |
2,419 | 2,633 | (746 | ) | 1,438 | 1,187 | ||||||||||||||
Net income (loss) |
$ | 4,716 | $ | 5,565 | $ | (1,020 | ) | $ | 2,406 | $ | 2,223 | |||||||||
Per share data: |
||||||||||||||||||||
Weighted average shares outstanding |
12,344,710 | 12,192,260 | 12,184,447 | 9,740,089 | 8,893,997 | |||||||||||||||
Dilutive potential common shares |
14,401 | 10,742 | | 12,476 | 11,017 | |||||||||||||||
Adjusted weighted average dilutive shares |
12,359,111 | 12,203,002 | 12,184,447 | 9,752,565 | 8,905,014 | |||||||||||||||
Basic earnings per common share |
$ | 0.38 | $ | 0.46 | $ | (0.08 | ) | $ | 0.25 | $ | 0.25 | |||||||||
Diluted earnings per common share |
$ | 0.38 | $ | 0.46 | $ | (0.08 | ) | $ | 0.25 | $ | 0.25 | |||||||||
Dividend declared per share |
$ | 0.15 | $ | 0.14 | $ | 0.14 | $ | 0.14 | $ | 0.14 | ||||||||||
Effective tax rate |
33.9 | % | 32.1 | % | (42.2 | )% | 37.4 | % | 34.8 | % | ||||||||||
Net interest margin |
4.03 | % | 3.73 | % | 3.66 | % | 3.80 | % | 4.06 | % | ||||||||||
Net income, exclusive of merger-related expense (a non-GAAP measure)* |
$ | 4,916 | $ | 5,849 | $ | 1,770 | $ | 2,820 | $ | 2,449 |
* | See non-GAAP Financial Measures below |
Bryn Mawr Bank Corporation
Consolidated Selected Financial Data(unaudited)
(Dollars in thousands, except per share data )
March 31, 2011
For the period end: | 2011 1Q |
2010 4Q |
2010 3Q |
2010 2Q |
2010 1Q |
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Asset Quality Data |
||||||||||||||||||||
Nonaccrual loans and leases |
$ | 10,776 | $ | 9,497 | $ | 8,709 | $ | 9,072 | $ | 5,880 | ||||||||||
90 + days past due loansstill accruing |
5 | 10 | 902 | 892 | 1,015 | |||||||||||||||
Nonperforming loans and leases |
10,781 | 9,507 | 9,611 | 9,964 | 6,895 | |||||||||||||||
Other real estate owned |
2,341 | 2,527 | 1,170 | 1,970 | | |||||||||||||||
Total nonperforming assets |
$ | 13,122 | $ | 12,034 | $ | 10,781 | $ | 11,934 | $ | 6,895 | ||||||||||
Troubled debt restructurings included in nonperforming |
$ | 2,229 | $ | 1,879 | $ | 657 | $ | 2,711 | $ | 1,844 | ||||||||||
Troubled debt restructurings in compliance with modified terms |
4,766 | 4,693 | 2,417 | 2,000 | 3,894 | |||||||||||||||
Total troubled debt restructurings |
$ | 6,995 | $ | 6,572 | $ | 3,074 | $ | 4,711 | $ | 5,738 | ||||||||||
Nonperforming loans and leases / portfolio loans |
0.88 | % | 0.79 | % | 0.82 | % | 1.11 | % | 0.77 | % | ||||||||||
Nonperforming assets / assets |
0.77 | % | 0.69 | % | 0.63 | % | 0.93 | % | 0.56 | % | ||||||||||
Net loan charge-offs (annualized)/ average loans |
0.22 | % | 0.46 | % | 1.17 | % | 0.18 | % | 1.52 | % | ||||||||||
Net lease charge-offs (annualized)/ average leases |
3.26 | % | 2.16 | % | 4.81 | % | 5.90 | % | 6.32 | % | ||||||||||
Net loan and lease charge-offs (annualized)/ average loans and leases |
0.30 | % | 0.52 | % | 1.29 | % | 0.40 | % | 1.70 | % | ||||||||||
Delinquency rateloans and leases >30days |
1.14 | % | 1.28 | % | 1.62 | % | 1.37 | % | 1.10 | % | ||||||||||
Delinquent loans and leases30-89 days |
$ | 2,604 | $ | 5,570 | $ | 8,283 | $ | 2,481 | $ | 2,917 | ||||||||||
Delinquency rateloans and leases 30-89 days |
0.22 | % | 0.48 | % | 0.71 | % | 0.28 | % | 0.33 | % | ||||||||||
Changes in the Allowance for loan and lease losses |
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Balance, beginning of period |
$ | 10,275 | $ | 10,297 | $ | 9,841 | $ | 9,740 | $ | 10,424 | ||||||||||
Charge-offs |
(1,042 | ) | (1,743 | ) | (3,934 | ) | (1,071 | ) | (3,946 | ) | ||||||||||
Recoveries |
131 | 210 | 154 | 178 | 149 | |||||||||||||||
Net (charge-offs) / recoveries |
(911 | ) | (1,533 | ) | (3,780 | ) | (893 | ) | (3,797 | ) | ||||||||||
Provision for loan and lease losses |
1,285 | 1,511 | 4,236 | 994 | 3,113 | |||||||||||||||
Balance, end of period |
$ | 10,649 | $ | 10,275 | $ | 10,297 | $ | 9,841 | $ | 9,740 | ||||||||||
Allowance for loan and lease losses / loans and leases |
0.87 | % | 0.86 | % | 0.88 | % | 1.09 | % | 1.09 | % | ||||||||||
Allowance for originated loan and lease losses / total originated loans and leases(2) |
1.08 | % | 1.08 | % | 1.12 | % | 1.09 | % | 1.09 | % | ||||||||||
Allowance for loan and lease losses / nonperforming loans and leases |
98.8 | % | 108.1 | % | 107.1 | % | 98.8 | % | 141.3 | % |
Bryn Mawr Bank Corporation
Consolidated Selected Financial Data(unaudited)
(Dollars in thousands, except per share data )
March 31, 2011
For the period and period end: | 2011 1Q |
2010 4Q |
2010 3Q |
2010 2Q |
2010 1Q |
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Selected ratios (annualized): |
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Return on average assets |
1.13 | % | 1.25 | % | -0.29 | % | 0.77 | % | 0.76 | % | ||||||||||
Return on average shareholders' equity |
11.65 | % | 13.87 | % | -2.55 | % | 8.10 | % | 8.59 | % | ||||||||||
Yield on loans and leases* |
5.65 | % | 5.70 | % | 5.72 | % | 5.72 | % | 5.76 | % | ||||||||||
Yield on interest earning assets* |
4.76 | % | 4.56 | % | 4.57 | % | 4.74 | % | 5.06 | % | ||||||||||
Cost of interest bearing funds |
0.93 | % | 1.04 | % | 1.09 | % | 1.22 | % | 1.28 | % | ||||||||||
Net interest margin* |
4.03 | % | 3.73 | % | 3.66 | % | 3.80 | % | 4.06 | % | ||||||||||
Book value per share |
$ | 13.61 | $ | 13.24 | $ | 12.99 | $ | 12.72 | $ | 11.86 | ||||||||||
Tangible book value per share |
$ | 11.65 | $ | 11.21 | $ | 11.03 | $ | 11.62 | $ | 10.56 | ||||||||||
Period end shares outstanding |
12,538,926 | 12,195,240 | 12,190,991 | 10,550,619 | 8,958,970 | |||||||||||||||
Selected data: |
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Mortgage loans originated |
$ | 38,144 | $ | 107,905 | $ | 67,304 | $ | 28,349 | $ | 24,346 | ||||||||||
Mortgage loans soldservicing retained |
$ | 13,302 | $ | 77,448 | $ | 34,874 | $ | 17,358 | $ | 18,737 | ||||||||||
Mortgage loans soldservicing released |
948 | 677 | 2,234 | 3,370 | 1,747 | |||||||||||||||
Total mortgage loans sold |
$ | 14,250 | $ | 78,125 | $ | 37,108 | $ | 20,728 | $ | 20,484 | ||||||||||
Mortgage loans serviced for others |
$ | 596,655 | $ | 605,485 | $ | 578,293 | $ | 519,153 | $ | 520,023 | ||||||||||
Total Wealth assets under management / administration / supervision / brokerage(1) |
$ | 3,600,649 | $ | 3,412,890 | $ | 3,291,293 | $ | 3,100,162 | $ | 3,109,563 | ||||||||||
* | Yield on loans and leases, interest earning assets and net interest margin are calculated on a tax equivalent basis. |
(1) | Brokerage Assets represent assets held at a registered broker dealer under a networking agreement. |
Non-GAAP Financial Measures: (2)
Net income, exclusive of due diligence and merger related expense (a non-GAAP measure)
Net income as reported (GAAP measure) |
$ | 4,716 | $ | 5,565 | $ | (1,020 | ) | $ | 2,406 | $ | 2,223 | |||||||||
Tax effected due diligence and merger related expense (tax rate of 35%) |
200 | 284 | 2,790 | 414 | 226 | |||||||||||||||
Net income, exclusive of due diligence and merger related expense (non-GAAP measure) |
$ | 4,916 | $ | 5,849 | $ | 1,770 | $ | 2,820 | $ | 2,449 | ||||||||||
Allowance for originated loan and lease losses / total originated loans and leases (a non-GAAP measure)
Allowance for loan and lease losses (GAAP measure) |
$ | 10,649 | $ | 10,275 | $ | 10,297 | $ | 9,841 | $ | 9,740 | ||||||||||
Less: allowance for loan and lease losses related to acquired loans |
28 | | | | | |||||||||||||||
Allowance for loan and lease losses related to originated loans and leases (non-GAAP measure) |
$ | 10,621 | $ | 10,275 | $ | 10,297 | $ | 9,841 | $ | 9,740 | ||||||||||
Total portfolio loans and leases (GAAP measure) |
$ | 1,219,449 | $ | 1,196,717 | $ | 1,176,438 | $ | 899,290 | $ | 893,100 | ||||||||||
Less: acquired loans |
233,435 | 244,833 | 259,982 | | | |||||||||||||||
Total originated loans and leases (non-GAAP measure) |
$ | 986,014 | $ | 951,884 | $ | 916,456 | $ | 899,290 | $ | 893,100 | ||||||||||
Allowance for loan and lease losses / total portfolio loans and leases (GAAP measure) |
0.87 | % | 0.86 | % | 0.88 | % | 1.09 | % | 1.09 | % | ||||||||||
Allowance related to originated loan and lease losses / total originated loans and leases (non-GAAP measure) |
1.08 | % | 1.08 | % | 1.12 | % | 1.09 | % | 1.09 | % |
(2) | The Corporation believes that the presentation of these non-GAAP financial measures provide useful supplemental information that is essential to an investor's proper understanding of the financial condition of the Corporation. These non-GAAP measures should not be viewed as a substitute for the financial measures determined in accordance with GAAP, nor is it necessarily comparable to a non-GAAP performance measure that may be presented by other companies. The reconcilation of the GAAP to non-GAAP measure is included above. |
Bryn Mawr Bank Corporation
Consolidated Selected Financial Data(unaudited)
(Dollars in thousands, except per share data )
March 31, 2011
Investment Portfolio ($'s in thousands) |
As of March 31, 2011 | As of December 31, 2010 | As of March 31, 2010 | |||||||||||||||||||||||||||||||||
SECURITY DESCRIPTION |
Amortized |
Fair Value |
Net Unrealized |
Amortized |
Fair Value |
Net Unrealized |
Amortized |
Fair Value |
Net Unrealized |
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U. S. treasury obligations |
$ | 5,010 | $ | 5,119 | $ | 109 | $ | 5,011 | $ | 5,145 | $ | 134 | $ | | $ | | $ | | ||||||||||||||||||
Obligations of U. S. government and agencies |
136,685 | 136,553 | (132 | ) | 156,301 | 156,638 | 337 | 94,774 | 94,808 | 34 | ||||||||||||||||||||||||||
State & political subdivisions |
6,386 | 6,436 | 50 | 32,013 | 32,272 | 259 | 24,270 | 24,431 | 161 | |||||||||||||||||||||||||||
Mortgage backed securities |
91,721 | 92,347 | 626 | 72,907 | 73,527 | 620 | 15,503 | 15,904 | 401 | |||||||||||||||||||||||||||
Collateralized mortgage obligations |
1,744 | 1,773 | 29 | 2,068 | 2,098 | 30 | | | | |||||||||||||||||||||||||||
Equity securities |
243 | 264 | 21 | 243 | 256 | 13 | | | | |||||||||||||||||||||||||||
Other debt securities |
1,400 | 1,400 | | 1,750 | 1,750 | | 1,250 | 1,250 | | |||||||||||||||||||||||||||
Bondmutual funds |
34,729 | 34,993 | 264 | 34,491 | 34,722 | 231 | 37,115 | 37,423 | 308 | |||||||||||||||||||||||||||
Corporate bonds |
10,756 | 10,606 | (150 | ) | 10,803 | 10,644 | (159 | ) | | | | |||||||||||||||||||||||||
Total Investment Portfolio |
$ | 288,674 | $ | 289,491 | $ | 817 | $ | 315,587 | $ | 317,052 | $ | 1,465 | $ | 172,912 | $ | 173,816 | $ | 904 | ||||||||||||||||||
Capital Ratios
Bryn Mawr Trust Company Consolidated |
Regulatory Minimum To Be Well Capitalized |
3/31/2011 | 12/31/2010 | 9/30/2010 | 6/30/2010 | 3/31/2010 | ||||||||||||||||||
Tier I Capital to Risk Weighted Assets (RWA) |
6.00 | % | 11.45 | % | 11.05 | % | 10.37 | % | 10.72 | % | 9.32 | % | ||||||||||||
Total (Tier II) Capital to RWA |
10.00 | % | 13.91 | % | 13.47 | % | 12.77 | % | 13.73 | % | 12.41 | % | ||||||||||||
Tier I Leverage Ratio |
5.00 | % | 9.29 | % | 8.62 | % | 8.27 | % | 9.29 | % | 8.28 | % | ||||||||||||
Tangible Common Equity Ratio |
8.78 | % | 8.42 | % | 8.20 | % | 8.65 | % | 7.50 | % | ||||||||||||||
Bryn Mawr Bank Corporation |
||||||||||||||||||||||||
Tier I Capital to Risk Weighted Assets (RWA) |
6.00 | % | 12.07 | % | 11.30 | % | 10.82 | % | 11.95 | % | 9.70 | % | ||||||||||||
Total (Tier II) Capital to RWA |
10.00 | % | 14.52 | % | 13.71 | % | 13.21 | % | 14.95 | % | 12.78 | % | ||||||||||||
Tier I Leverage Ratio |
5.00 | % | 9.80 | % | 8.85 | % | 8.65 | % | 10.38 | % | 8.63 | % | ||||||||||||
Tangible Common Equity Ratio |
8.65 | % | 8.01 | % | 7.95 | % | 9.66 | % | 7.82 | % |
Bryn Mawr Bank Corporation
Consolidated Balance Sheets(unaudited)
(Dollars in thousands)
For the period ended: | Mar 31, 2011 |
Dec 31, 2010 |
Sept 30, 2010 |
June 30, 2010 |
Mar 31, 2010 |
|||||||||||||||
Assets |
||||||||||||||||||||
Interest bearing deposits with banks |
$ | 68,568 | $ | 78,410 | $ | 42,089 | $ | 43,943 | $ | 71,680 | ||||||||||
Money market funds |
401 | 113 | 223 | 86 | 402 | |||||||||||||||
Investment securitiesAFS |
289,491 | 317,052 | 356,838 | 254,888 | 173,816 | |||||||||||||||
Loans held for sale |
1,554 | 4,838 | 4,686 | 4,254 | 2,214 | |||||||||||||||
Portfolio loans: |
||||||||||||||||||||
Consumer |
11,594 | 12,200 | 13,255 | 12,272 | 12,059 | |||||||||||||||
Commercial & industrial |
240,313 | 239,366 | 239,823 | 235,080 | 234,300 | |||||||||||||||
Commercial mortgages |
391,642 | 385,615 | 358,486 | 278,614 | 275,068 | |||||||||||||||
Construction |
55,823 | 45,303 | 48,674 | 43,787 | 41,506 | |||||||||||||||
Residential mortgages |
277,571 | 261,983 | 251,836 | 108,009 | 110,412 | |||||||||||||||
Home equity lines & loans |
208,107 | 216,853 | 226,765 | 180,826 | 175,748 | |||||||||||||||
Leases |
34,399 | 35,397 | 37,599 | 40,702 | 44,007 | |||||||||||||||
Total portfolio loans and leases |
1,219,449 | 1,196,717 | 1,176,438 | 899,290 | 893,100 | |||||||||||||||
Earning assets |
1,579,463 | 1,597,130 | 1,580,274 | 1,202,461 | 1,141,212 | |||||||||||||||
Cash and due from banks |
11,609 | 10,961 | 11,090 | 14,593 | 17,995 | |||||||||||||||
Allowance for loan and lease losses |
(10,649 | ) | (10,275 | ) | (10,297 | ) | (9,841 | ) | (9,740 | ) | ||||||||||
Premises and equipment |
28,996 | 29,158 | 29,340 | 21,779 | 21,724 | |||||||||||||||
Accrued interest receivable |
6,151 | 6,470 | 6,623 | 4,773 | 4,498 | |||||||||||||||
Mortgage servicing rights |
4,879 | 4,925 | 4,008 | 3,759 | 3,994 | |||||||||||||||
Goodwill |
17,659 | 17,660 | 16,671 | 6,301 | 6,301 | |||||||||||||||
Other intangible assets |
6,902 | 7,064 | 7,228 | 5,267 | 5,344 | |||||||||||||||
Bank owned life insurance ("BOLI") |
19,087 | 18,972 | 18,838 | | | |||||||||||||||
FHLB stock |
13,516 | 14,227 | 14,976 | 7,916 | 7,916 | |||||||||||||||
Deferred income taxes |
14,527 | 14,551 | 15,071 | 4,596 | 4,960 | |||||||||||||||
Other investments |
5,203 | 5,156 | 3,246 | 3,086 | 3,145 | |||||||||||||||
Other assets |
16,598 | 15,769 | 17,116 | 15,982 | 13,862 | |||||||||||||||
Total assets |
$ | 1,713,941 | $ | 1,731,768 | $ | 1,714,184 | $ | 1,280,672 | $ | 1,221,211 | ||||||||||
Liabilities and shareholders' equity |
||||||||||||||||||||
Interest-bearing checking |
$ | 227,256 | $ | 234,107 | $ | 206,091 | $ | 149,762 | $ | 143,735 | ||||||||||
Money market |
345,703 | 327,824 | 324,384 | 261,578 | 244,747 | |||||||||||||||
Savings |
131,671 | 134,163 | 140,296 | 98,760 | 103,233 | |||||||||||||||
Other wholesale deposits |
65,574 | 80,112 | 63,376 | 63,260 | 47,687 | |||||||||||||||
Wholesale time deposits |
34,639 | 37,201 | 36,582 | 33,421 | 43,352 | |||||||||||||||
Time deposits |
240,207 | 245,669 | 261,839 | 141,803 | 136,927 | |||||||||||||||
Interest-bearing deposits |
1,045,050 | 1,059,076 | 1,032,568 | 748,584 | 719,681 | |||||||||||||||
Non-interest bearing deposits |
271,010 | 282,356 | 227,080 | 204,898 | 194,697 | |||||||||||||||
Total deposits |
1,316,060 | 1,341,432 | 1,259,648 | 953,482 | 914,378 | |||||||||||||||
Subordinated debentures |
22,500 | 22,500 | 22,500 | 22,500 | 22,500 | |||||||||||||||
Junior subordinated debentures |
12,017 | 12,029 | 12,041 | | | |||||||||||||||
Short-term borrowings |
23,326 | 10,051 | 11,883 | | | |||||||||||||||
FHLB advances and other borrowings |
147,238 | 160,144 | 223,809 | 141,671 | 144,290 | |||||||||||||||
Other liabilities |
22,161 | 24,194 | 25,976 | 28,838 | 33,772 | |||||||||||||||
Shareholders' equity |
170,639 | 161,418 | 158,327 | 134,181 | 106,271 | |||||||||||||||
Total liabilities and shareholders' equity |
$ | 1,713,941 | $ | 1,731,768 | $ | 1,714,184 | $ | 1,280,672 | $ | 1,221,211 | ||||||||||
Consolidated Quarterly Average Balance Sheets(unaudited)
2011 1Q |
2010 4Q |
2010 3Q |
2010 2Q |
2010 1Q |
||||||||||||||||
Assets |
||||||||||||||||||||
Interest bearing deposits with banks |
$ | 47,203 | $ | 108,278 | $ | 95,226 | $ | 60,317 | $ | 27,300 | ||||||||||
Money market funds |
177 | 138 | 106 | 248 | 1,426 | |||||||||||||||
Investment securities |
311,181 | 334,252 | 346,275 | 223,901 | 200,482 | |||||||||||||||
Loans held for sale |
2,315 | 5,981 | 3,741 | 3,107 | 2,975 | |||||||||||||||
Portfolio loans and leases |
1,201,797 | 1,185,456 | 1,171,605 | 894,657 | 892,184 | |||||||||||||||
Earning assets |
1,562,673 | 1,634,105 | 1,616,953 | 1,182,230 | 1,124,367 | |||||||||||||||
Cash and due from banks |
12,627 | 13,583 | 12,668 | 10,079 | 10,627 | |||||||||||||||
Allowance for loan and lease losses |
(10,577 | ) | (10,403 | ) | (10,068 | ) | (9,904 | ) | (10,620 | ) | ||||||||||
Premises and equipment |
29,120 | 29,159 | 29,685 | 21,860 | 21,578 | |||||||||||||||
Goodwill |
17,659 | 16,682 | 16,671 | 6,302 | 6,302 | |||||||||||||||
Other intangible assets |
7,001 | 7,164 | 7,331 | 5,311 | 5,388 | |||||||||||||||
Bank owned life insurance |
19,011 | 18,885 | 18,750 | | | |||||||||||||||
Deferred income taxes |
14,566 | 15,143 | 13,310 | 4,800 | 4,734 | |||||||||||||||
Other assets |
44,651 | 43,817 | 44,748 | 31,924 | 31,183 | |||||||||||||||
Total assets |
$ | 1,696,731 | $ | 1,768,135 | $ | 1,750,048 | $ | 1,252,602 | $ | 1,193,559 | ||||||||||
Liabilities and shareholders' equity |
||||||||||||||||||||
Interest-bearing checking |
$ | 227,703 | $ | 237,776 | $ | 215,846 | $ | 150,604 | $ | 143,935 | ||||||||||
Money market |
338,565 | 329,601 | 318,943 | 253,425 | 240,542 | |||||||||||||||
Savings |
131,610 | 142,434 | 141,180 | 101,444 | 99,925 | |||||||||||||||
Other wholesale deposits |
75,884 | 74,330 | 67,596 | 65,576 | 42,030 | |||||||||||||||
Wholesale deposits |
30,723 | 38,863 | 36,864 | 36,387 | 43,026 | |||||||||||||||
Time deposits |
241,503 | 253,631 | 269,653 | 142,552 | 139,959 | |||||||||||||||
Interest-bearing deposits |
1,045,988 | 1,076,635 | 1,050,082 | 749,988 | 709,417 | |||||||||||||||
Non-interest bearing deposits |
275,295 | 280,944 | 226,439 | 193,118 | 189,314 | |||||||||||||||
Total deposits |
1,321,283 | 1,357,579 | 1,276,521 | 943,106 | 898,731 | |||||||||||||||
Subordinated debentures |
22,500 | 22,500 | 22,500 | 22,500 | 22,500 | |||||||||||||||
Junior subordinated debentures |
12,025 | 12,037 | 12,066 | | | |||||||||||||||
Short-term borrowings |
10,155 | 11,827 | 10,848 | | | |||||||||||||||
FHLB advances and other borrowings |
143,327 | 178,372 | 243,698 | 142,876 | 145,995 | |||||||||||||||
Other liabilities |
23,259 | 26,601 | 25,434 | 24,982 | 21,315 | |||||||||||||||
Shareholders' equity |
164,182 | 159,219 | 158,981 | 119,138 | 105,018 | |||||||||||||||
Total liabilities and shareholders' equity |
$ | 1,696,731 | $ | 1,768,135 | $ | 1,750,048 | $ | 1,252,602 | $ | 1,193,559 | ||||||||||
Quarterly Average Balances and Tax Equivalent Income and Expense and Tax Equivalent Yields(unaudited)
1st Quarter 2011 | 4th Quarter 2010 | 3rd Quarter 2010 | 2nd Quarter 2010 | 1st Quarter 2010 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Average Balance |
Interest Income/ Expense |
Average Rates Earned/ Paid |
Average Balance |
Interest Income/ Expense |
Average Rates Earned/ Paid |
Average Balance |
Interest Income/ Expense |
Average Rates Earned/ Paid |
Average Balance |
Interest Income/ Expense |
Average Rates Earned/ Paid |
Average Balance |
Interest Income/ Expense |
Average Rates Earned/ Paid |
|||||||||||||||||||||||||||||||||||||||||||||
Assets: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits with other banks |
$ | 47,203 | $ | 32 | 0.27 | % | $ | 108,208 | $ | 66 | 0.24 | % | $ | 95,226 | $ | 61 | 0.25 | % | $ | 60,317 | $ | 37 | 0.25 | % | $ | 27,300 | $ | 14 | 0.21 | % | ||||||||||||||||||||||||||||||
Money market funds |
177 | | | 138 | | | 106 | | | 248 | | | 1,426 | 1 | 0.28 | % | ||||||||||||||||||||||||||||||||||||||||||||
Investment securities available for sale: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Taxable |
285,506 | 1,312 | 1.86 | % | 305,281 | 1,315 | 1.71 | % | 316,276 | 1,351 | 1.69 | % | 199,106 | 867 | 1.75 | % | 175,632 | 1,021 | 2.36 | % | ||||||||||||||||||||||||||||||||||||||||
Tax-exempt |
25,675 | 244 | 3.85 | % | 28,971 | 273 | 3.74 | % | 29,999 | 272 | 3.60 | % | 24,796 | 271 | 4.38 | % | 24,850 | 278 | 4.54 | % | ||||||||||||||||||||||||||||||||||||||||
Investment securities available for sale |
311,181 | 1,556 | 2.03 | % | 334,252 | 1,588 | 1.88 | % | 346,275 | 1,623 | 1.86 | % | 223,902 | 1,138 | 2.04 | % | 200,482 | 1,299 | 2.63 | % | ||||||||||||||||||||||||||||||||||||||||
Loans and leases * |
1,204,112 | 16,771 | 5.65 | % | 1,191,437 | 17,110 | 5.70 | % | 1,175,346 | 16,944 | 5.72 | % | 897,764 | 12,801 | 5.72 | % | 895,159 | 12,724 | 5.76 | % | ||||||||||||||||||||||||||||||||||||||||
Total interest earning assets |
1,562,673 | 18,359 | 4.76 | % | 1,634,035 | 18,764 | 4.56 | % | 1,616,953 | 18,628 | 4.57 | % | 1,182,231 | 13,976 | 4.74 | % | 1,124,367 | 14,038 | 5.06 | % | ||||||||||||||||||||||||||||||||||||||||
Cash and due from banks |
12,627 | 13,583 | 12,668 | 10,079 | 10,627 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less allowance for loan and lease losses |
(10,577 | ) | (10,403 | ) | (10,068 | ) | (9,904 | ) | (10,620 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets |
132,008 | 130,920 | 130,495 | 70,196 | 69,185 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets |
$ | 1,696,731 | $ | 1,768,135 | $ | 1,750,048 | $ | 1,252,602 | $ | 1,193,559 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Savings, NOW and market rate deposits |
$ | 697,878 | $ | 718 | 0.42 | % | $ | 709,811 | $ | 793 | 0.44 | % | $ | 675,969 | $ | 841 | 0.49 | % | $ | 505,473 | $ | 666 | 0.53 | % | $ | 484,402 | $ | 656 | 0.55 | % | ||||||||||||||||||||||||||||||
Other wholesale deposits |
75,884 | 70 | 0.37 | % | 74,331 | 88 | 0.47 | % | 67,596 | 81 | 0.48 | % | 65,576 | 79 | 0.48 | % | 42,030 | 51 | 0.49 | % | ||||||||||||||||||||||||||||||||||||||||
Wholesale deposits |
30,723 | 75 | 0.99 | % | 38,862 | 145 | 1.48 | % | 36,864 | 161 | 1.73 | % | 36,387 | 162 | 1.79 | % | 43,026 | 185 | 1.74 | % | ||||||||||||||||||||||||||||||||||||||||
Time deposits |
241,503 | 560 | 0.94 | % | 253,631 | 626 | 0.98 | % | 269,653 | 654 | 0.96 | % | 142,552 | 458 | 1.29 | % | 139,959 | 454 | 1.32 | % | ||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits |
1,045,988 | 1,423 | 0.55 | % | 1,076,635 | 1,652 | 0.61 | % | 1,050,082 | 1,737 | 0.66 | % | 749,988 | 1,365 | 0.73 | % | 709,417 | 1,346 | 0.77 | % | ||||||||||||||||||||||||||||||||||||||||
Subordinated debentures |
22,500 | 277 | 4.99 | % | 22,500 | 282 | 4.97 | % | 22,500 | 293 | 5.17 | % | 22,500 | 280 | 4.99 | % | 22,500 | 273 | 4.92 | % | ||||||||||||||||||||||||||||||||||||||||
Junior subordinated debentures |
12,025 | 271 | 9.14 | % | 12,037 | 272 | 8.97 | % | 12,066 | 223 | 7.33 | % | | | | | | | ||||||||||||||||||||||||||||||||||||||||||
Short-term borrowings |
10,155 | 6 | 0.24 | % | 11,827 | 7 | 0.23 | % | 10,848 | 8 | 0.29 | % | | | | | | | ||||||||||||||||||||||||||||||||||||||||||
FHLB advances and other borrowings |
143,327 | 842 | 2.38 | % | 178,309 | 1,192 | 2.65 | % | 243,698 | 1,430 | 2.33 | % | 142,876 | 1,128 | 3.17 | % | 145,995 | 1,158 | 3.22 | % | ||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities |
1,233,995 | 2,819 | 0.93 | % | 1,301,308 | 3,405 | 1.04 | % | 1,339,194 | 3,691 | 1.09 | % | 915,364 | 2,773 | 1.22 | % | 877,912 | 2,777 | 1.28 | % | ||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits |
275,295 | 280,944 | 226,439 | 193,118 | 189,314 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities |
23,259 | 26,601 | 25,434 | 24,982 | 21,315 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total noninterest-bearing liabilities |
298,554 | 307,545 | 251,873 | 218,100 | 210,629 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities |
1,532,549 | 1,608,853 | 1,591,067 | 1,133,464 | 1,088,541 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shareholders' equity |
164,182 | 159,219 | 158,981 | 119,138 | 105,018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders' equity |
$ | 1,696,731 | $ | 1,768,072 | $ | 1,750,048 | $ | 1,252,602 | $ | 1,193,559 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest income to earning assets |
4.76 | % | 4.56 | % | 4.57 | % | 4.74 | % | 5.06 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest spread |
3.83 | % | 3.52 | % | 3.48 | % | 3.52 | % | 3.78 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Effect of noninterest-bearing sources |
0.20 | % | 0.21 | % | 0.18 | % | 0.32 | % | 0.28 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income/ margin on earning assets |
$ | 15,540 | 4.03 | % | $ | 15,359 | 3.73 | % | $ | 14,937 | 3.66 | % | $ | 11,203 | 3.80 | % | $ | 11,261 | 4.06 | % | ||||||||||||||||||||||||||||||||||||||||
Tax equivalent adjustment |
$ | 133 | 0.04 | % | $ | 159 | 0.04 | % | $ | 155 | 0.04 | % | $ | 144 | 0.05 | % | $ | 144 | 0.05 | % | ||||||||||||||||||||||||||||||||||||||||
* | Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances. |