Attached files
| file | filename |
|---|---|
| 8-K - PPBI 8K 2011 INVESTOR PRESENTATION - PACIFIC PREMIER BANCORP INC | ppbi_8k-2011junepres.htm |
www.ppbi.com
Investor Presentation
Investor Presentation
First Quarter 2011
First Quarter 2011
Steven R. Gardner
Steven R. Gardner
President & CEO
President & CEO
1
www.ppbi.com
This presentation contains forward-looking statements regarding events or future financial performance
of the Company, including statements with respect to our objectives and strategies, and the results of
our operations and our business. These statements are based on management's current expectations and
beliefs concerning future developments and their potential effects on the Company. There can be no
assurance that future developments affecting the Company will be the same as those anticipated by
management. Actual results may differ from those projected in the forward-looking statements. We
caution readers of this presentation not to place undue reliance on these forward-looking statements as
a number of risks could cause future results to differ materially from these statements. These risks
include, but are not limited to, the following: changes in the performance of the financial markets;
changes in the demand for and market acceptance of the Company's products and services; changes in
general economic conditions including interest rates, presence of competitors with greater financial
resources, and the impact of competitive projects and pricing; the effect of the Company's policies; the
continued availability of adequate funding sources; and various legal, regulatory and litigation risks; as
well as those additional risks identified in risks factors discussed in the reports filed by the Company
with the SEC, which are available on its website at www.sec.gov. The Company does not undertake
any obligation to update any forward-looking statements for any reason, even if new information
becomes available or other events occur in the future.
of the Company, including statements with respect to our objectives and strategies, and the results of
our operations and our business. These statements are based on management's current expectations and
beliefs concerning future developments and their potential effects on the Company. There can be no
assurance that future developments affecting the Company will be the same as those anticipated by
management. Actual results may differ from those projected in the forward-looking statements. We
caution readers of this presentation not to place undue reliance on these forward-looking statements as
a number of risks could cause future results to differ materially from these statements. These risks
include, but are not limited to, the following: changes in the performance of the financial markets;
changes in the demand for and market acceptance of the Company's products and services; changes in
general economic conditions including interest rates, presence of competitors with greater financial
resources, and the impact of competitive projects and pricing; the effect of the Company's policies; the
continued availability of adequate funding sources; and various legal, regulatory and litigation risks; as
well as those additional risks identified in risks factors discussed in the reports filed by the Company
with the SEC, which are available on its website at www.sec.gov. The Company does not undertake
any obligation to update any forward-looking statements for any reason, even if new information
becomes available or other events occur in the future.
2
www.ppbi.com
• In 1983, Pacific Premier Bank (the
“Bank”) was founded and later expanded
into subprime lending
“Bank”) was founded and later expanded
into subprime lending
• By 1999, growing losses prompted the
Bank to refocus its strategy
Bank to refocus its strategy
• In 2000, the current management team
took over and developed a three phase
strategic plan to transform the Bank from
a nationwide subprime lender into a
traditional Community Bank
took over and developed a three phase
strategic plan to transform the Bank from
a nationwide subprime lender into a
traditional Community Bank
Phase 1 - Recapitalize Pacific Premier
• Issued $12 million note and warrants
• Lowered the risk profile of the Bank
Phase 2 - Return to Profitability
• Grew the balance sheet
• Raised $27 million via secondary offering
Phase 3 - Commercial Bank Model
• Diversify loan and deposit portfolios
• Raised $15 million Offensive Capital
• Q1 2011 closed on FDIC acquisition of
Canyon National Bank
Canyon National Bank
3
www.ppbi.com
|
Headquarters:
|
Costa Mesa, CA
|
|
Business Focus:
|
Small and middle market
businesses |
|
Total Assets:
|
$956.5 million
|
|
Branches:
|
9 locations
|
|
TCE:
|
8.11%
|
|
FD book value:
|
$ 7.64
|
|
ROAA:
|
2.16%
|
|
ROAE :
|
23.25%
|
At March 31, 2011
4
www.ppbi.com
Strong Management Team
|
Name
|
Position
|
Age
|
Experience
|
|
Steve Gardner
|
President & CEO
|
50
|
27
|
|
Kent Smith
|
EVP & Chief Financial Officer
|
49
|
25
|
|
Eddie Wilcox
|
EVP & Chief Banking Officer
|
44
|
22
|
|
Mike Karr
|
EVP & Chief Credit Officer
|
42
|
21
|
|
Steve Arnold
|
SVP & General Counsel
|
41
|
19
|
|
Tom Rice
|
SVP & Chief Information Officer
|
39
|
18
|
5
www.ppbi.com
|
|
(dollars in thousands, except per share data)
|
||||
|
Balance Sheets
|
QTD
3/31/11
|
QTD
12/31/10
|
QTD
9/30/10
|
QTD
6/30/10
|
QTD
3/31/10
|
|
Total assets
|
$ 956,482
|
$ 826,816
|
$ 821,320
|
$ 797,242
|
$ 767,644
|
|
Net loans
|
691,074
|
555,538
|
543,284
|
543,023
|
537,882
|
|
Total deposits
|
832,786
|
659,240
|
656,791
|
632,043
|
612,901
|
|
Total borrowings
|
38,810
|
78,810
|
76,810
|
76,810
|
76,810
|
|
|
|||||
|
Statements of Operations
|
|
|
|
|
|
|
Net interest income
|
$ 9,102
|
$ 7,533
|
$ 7,402
|
$ 6,842
|
$ 6,660
|
|
Provision for loan losses
|
106
|
0
|
397
|
639
|
1,056
|
|
Noninterest income
|
5,239
|
14
|
674
|
(1,038)
|
(726)
|
|
Noninterest expense
|
6,359
|
5,009
|
4,809
|
4,808
|
4,322
|
|
Net income
|
4,772
|
1,600
|
1,845
|
337
|
456
|
|
|
|
|
|
|
|
|
Bank Capital Ratios
|
|
|
|
|
|
|
Tier 1 leverage
|
9.09
|
10.29
|
10.15
|
10.30
|
10.01
|
|
Tier 1 risk based
|
10.29
|
14.03
|
14.01
|
13.88
|
13.96
|
|
Total risk based
|
11.40
|
15.28
|
15.26
|
15.13
|
15.21
|
6
www.ppbi.com
7
www.ppbi.com
• Expansion opportunities - FDIC and traditional M&A
• Relationship banking - small/middle market businesses
• Proactive credit management
• Potential to grow fee income/consumer products
Develop the Bank into one of Southern California’s
top performing commercial banks
top performing commercial banks
8
www.ppbi.com
Texas ratio defined as NPAs + 90 days PD / tangible common equity plus
loan loss reserves; Circle radius represents 100 miles
loan loss reserves; Circle radius represents 100 miles
SoCal Stressed Institutions
|
Possible failures as of March 31, 2011 within
100 miles of Costa Mesa, California
|
||
|
|
Texas Ratio
|
# of Institutions
|
|
Near term
|
100% +
|
10
|
|
Longer term
|
50% to 100%
|
31
|
Possible near and longer term failures
Texas Ratio > 100%
Texas Ratio b/t 50-100%
Source: SNL Financial
9
www.ppbi.com
Strong Core Deposit Growth
1.07%
1.40%
1.78%
Cost - 3.28%
10
www.ppbi.com
0.39%
0.72%
0.93%
Cost - 1.18%
11
www.ppbi.com
At March 31, 2011
(in millions)
12
www.ppbi.com
• Overall Underwriting Philosophy:
• Global cash flow focused
• Loans:
• Business - owner occupied CRE and C&I
• Investor owned CRE approach
• No CRE TDR, no covenant lite, no high risk lending
• Personal guarantees, cross collateral and cross guarantees
• Proactive Portfolio Management
13
www.ppbi.com
At March 31, 2011
(in millions)
14
www.ppbi.com
|
|
Average
Loan Size
|
Average
Rate |
Seasoning
(months) |
LTV
|
DCR
|
|
Real estate loans:
|
|
|
|
|
|
|
Multi-family
|
$ 1,002,000
|
6.17%
|
54
|
70%
|
1.20
|
|
Non O/O CRE
|
$ 998,000
|
6.73%
|
51
|
61%
|
1.33
|
|
Res. 1-4 1st
|
$ 178,000
|
5.45%
|
42
|
68%
|
----
|
|
Business loans:
|
|
|
|
|
|
|
O/O CRE
|
$ 631,000
|
6.52%
|
64
|
53%
|
----
|
|
C & I
|
$ 237,000
|
6.40%
|
37
|
----
|
----
|
|
SBA
|
$ 113,000
|
5.82%
|
29
|
----
|
----
|
At March 31, 2011
15
www.ppbi.com
|
|
3/31/11
|
12/31/10
|
12/31/09
|
12/31/08
|
|
Balance
|
$235.4
|
$243.6
|
$278.7
|
$287.6
|
|
Avg. balance
|
$1.002
|
$1.041
|
$1.053
|
$1.053
|
|
Rate
|
6.17%
|
6.21%
|
6.20%
|
6.30%
|
|
LTV
|
70%
|
69%
|
67%
|
65%
|
|
DCR
|
1.20
|
1.20
|
1.20
|
1.47
|
(dollars in millions)
16
www.ppbi.com
Non-owner occupied CRE
|
|
3/31/11
|
12/31/10
|
12/31/09
|
12/31/08
|
|
Balance
|
$156.6
|
$130.5
|
$149.6
|
$163.4
|
|
Avg. balance
|
$.998
|
$1.165
|
$1.216
|
$1.202
|
|
Rate
|
6.73%
|
6.66%
|
6.85%
|
7.04%
|
|
LTV
|
61%
|
59%
|
59%
|
57%
|
|
DCR
|
1.33
|
1.30
|
1.42
|
1.54
|
(dollars in millions)
17
www.ppbi.com
Strong Loan Performance
Delinquency to Total Loans
California peer group consists of all insured California institutions in the FFIEC database
CNB Acquisition
2/11/11
18
www.ppbi.com
Proactive Asset Management
California peer group consists of all insured California institutions in the FFIEC database
Nonperforming Assets to Total Assets
CNB Acquisition
2/11/11
19
www.ppbi.com
• Bank gaining market share from competitors
• So. CA still one of the best banking markets
• Target rich environment for acquisitions
• Proven management team and track record
20
www.ppbi.com
Questions?
Questions?
21