Attached files
| file | filename |
|---|---|
| 8-K/A - AMENDMENT NO. 1 TO FORM 8-K - IBERIABANK CORP | d426383d8ka.htm |
| EX-99.1 - EXHIBIT 99.1 - IBERIABANK CORP | d426383dex991.htm |
 Exhibit 99.2
3Q12 Earnings Conference Call
3Q12 Earnings Conference Call
Supplemental Presentation
Supplemental Presentation
October 23, 2012
October 23, 2012 |
 2
Safe Harbor Language
Safe Harbor Language
To the extent that statements in this presentation and the accompanying press
release relate to future plans, objectives, financial results or performance
of IBERIABANK Corporation, these statements are deemed to be
forward-looking statements within the meaning of the Private Securities Litigation Reform Act of
1995. Such statements, which are based on management’s current
information, estimates and assumptions and the current economic
environment, are generally identified by the use of the words “plan”, “believe”,
“expect”,
“intend”,
“anticipate”,
“estimate”,
“project”
or
similar
expressions.
IBERIABANK
Corporation’s
actual
strategies and results in future periods may differ materially from those
currently expected due to various risks and uncertainties.
Actual results could differ materially because of factors such as the current
level of market volatility and our ability to execute our growth strategy,
including the availability of future FDIC-assisted failed bank
opportunities, unanticipated losses related to the integration of, and refinements to purchase accounting
adjustments for, acquired businesses and assets and assumed liabilities in these
transactions, adjustments of fair values of acquired assets and assumed
liabilities and of deferred taxes in acquisitions, credit risk of our
customers, effects of the on-going correction in residential real estate
prices and reduced levels of home sales, sufficiency of our allowance for
loan losses, changes in interest rates, access to funding sources, reliance on
the services of executive management, competition for loans, deposits and
investment dollars, reputational risk and social factors, changes in
government regulations and legislation, increases in FDIC insurance
assessments, geographic concentration of our markets and economic conditions in
these markets, rapid changes in the financial services industry, dependence
on our operational, technological, and organizational systems or
infrastructure, hurricanes and other adverse weather events, the volatility and low trading volume of
our common sock, and valuation of intangible assets. These and other factors
that may cause actual results to differ materially from these
forward-looking statements are discussed in the Company’s Annual Report on Form
10-K and other filings with the Securities and Exchange Commission (the
“SEC”), available at the SEC’s website, http://www.sec.gov,
and the Company’s website, http://www.iberiabank.com, under the heading
“Investor Information.”
All information in this presentation and the accompanying press release is as of
the date of this release. The Company undertakes no duty to update
any forward-looking statement to conform to the statement to actual
results or changes in the Company’s expectations. Certain tabular presentations may not
reconcile because of rounding. |
 33 •
Stable net interest margin; tax-equivalent revenues up $8 million, or
6% (24% annualized)
•
Organic loan growth:
•
Core deposit growth:
•
Good growth in service charge income and fee income businesses
•
Service Charges –
5% increase over 2Q12
•
Mortgage –
highest quarter production level in our Company’s history
•
Title –
highest quarterly revenue in past 5 years
•
Capital Markets –
anticipate a very good fourth quarter of 2012
•
Process improvement initiative
•
Closing ten branches –
to date closed four of ten
•
Staff efficiency improvement
•
Retail/Business Banking sales effectiveness
•
Risk adjusted profitability and risk management
Introductory Comments
Introductory Comments
Third Quarter 2012 –
Core Performance
$329 million since June 30, 2012 (+20% annualized)
$821 million since year-end 2011 (+18% annualized)
$273 million since June 30, 2012 (+15% annualized)
$699 million since year-end 2011 (+14% annualized)
|
 4
•
Florida Gulf acquisition:
•
3Q12 asset quality ratios (NPAs, past dues, classified assets, and
net charge-offs) were strong and stable
•
Provision for 3Q12 of $4.1 million (down $4.8 million, or 54%,
compared to 2Q12); reflects recognition of $1.3 million in FDIC
impairment and $1.5 million credit impairment from non-covered
acquired loans
•
Fabulous client growth in multiple markets
•
Our investments in markets and businesses are showing very good
progress
Introductory Comments
Introductory Comments
Third Quarter 2012 –
Initiatives
4
Consummated on July 31, 2012
Branch and operating system conversion
completed over weekend of August 18-19, 2012
Acquisition and conversion costs of $4.8 million
($1.0 million below projection) |
 5
Financial Overview
Financial Overview
Performance Metrics –
Yields and Costs
•
Investment yield declined
18 bps due to prepayment
speeds and reinvesting
cash flows at lower yields
•
Net covered loan yield up
19 bps as base yield
improved
•
Non-covered loan yield
down 13 bps
•
Deposit costs declined 7
bps; continued future re-
pricing opportunities (next
slide)
•
Average noninterest
bearing deposits up $133
million (+8%)
•
Spread held flat and
margin declined 1 basis
point to 3.58%
6/30/2012
9/30/2012
Investment Securities
2.40%
2.22%
(18)
bps
Covered Loans & Loss Share Receivable
5.23%
5.42%
19
bps
Noncovered Loans
4.68%
4.55%
(13)
bps
Loans & Loss Share Receivable
4.80%
4.71%
(9)
bps
Mortgage Loans Held For Sale
3.64%
3.21%
(43)
bps
Other Earning Assets
0.84%
0.85%
1
bps
Total Earning Assets
4.20%
4.14%
(6)
bps
Interest Bearing Deposits
0.65%
0.58%
(7)
bps
Short-Term Borrowings
0.24%
0.21%
(3)
bps
Long-Term Borrowings
3.07%
3.10%
3
bps
Total Interest Bearing Liabilities
0.76%
0.69%
(7)
bps
Net Interest Spread
3.45%
3.45%
0
bps
Net Interest Margin
3.59%
3.58%
(1)
bps
* Earning asset yields are shown on a fully taxable equivalent basis.
%/Basis Point
Change
For Quarter Ended: |
 6
Financial Overview
Financial Overview
Quarterly Repricing Schedule
•
$1.6 Billion in time deposits re-price over next 12 months at weighted average
0.78% rate •
During 3Q12, new and re-priced time deposits were booked at an average cost of
0.57% $ in millions
Note: Amounts exclude repricing of assets and liabilities from prior
quarters 4Q12
1Q13
2Q13
3Q13
4Q13
Cash Equivalents
Balance
474.9
$
-
$
-
$
-
$
-
$
Rate
0.58%
0.00%
0.00%
0.00%
0.00%
Investments
Balance
116.4
$
120.8
$
154.0
$
128.6
$
111.6
$
Rate
3.29%
3.14%
2.74%
3.02%
3.02%
Loans
Balance
4,032.3
$
428.1
$
437.1
$
373.4
$
311.0
$
Rate
3.74%
5.07%
5.12%
5.18%
4.10%
Time Deposits
Balance
541.7
$
380.8
$
362.7
$
299.7
$
124.6
$
Rate
0.79%
0.84%
0.70%
0.80%
1.22%
Borrowed Funds
Balance
665.1
$
7.1
$
37.7
$
2.3
$
1.0
$
Rate
0.80%
3.28%
3.44%
4.48%
4.28% |
 7
Financial Overview
Financial Overview
Interest Rate Risk Simulations
Source: Bancware model, as of September 30, 2012
* Assumes instantaneous and parallel shift in interest rates
•
Slightly asset sensitive from an interest rate risk position
•
Degree is a function of the reaction of competitors to changes In
deposit pricing
•
Forward curve has a positive impact over 12 months
Base
Blue
Forward
Change In:
-200 bp*
-100 bp*
Case
+100 bp*
+200 bp*
Chip
Curve
Net Interest
Income
-0.2%
-0.1%
0.0%
3.0%
6.8%
0.2%
0.7%
Economic
Value of
Equity
-1.7%
-0.9%
0.0%
9.0%
13.4%
0.0%
-0.3% |
 8
Financial Overview
Financial Overview
Performance Metrics –
Quarterly Trends
•
Stable margin
•
Average earning
assets up $333
million (+3%)
•
T/E net interest
income up $4
million (+4%)
•
Provision of $4
million:
•
Net charge-offs:
$1.9 million
•
Covered loan
provision: $1.3
million
•
Non-covered
acquired loan
provision: $1.5
million
•
Organic loan
provision: $1.2
million
•
Legacy asset quality measures remained stable in 3Q12
•
Strong capital position compared to peers
•
Repurchased 805,120 shares at average cost of $47.35 per share
•
A total of 46,692 shares remain under current authorized program
9/30/2011
12/31/2011
3/31/2012
6/30/2012
9/30/2012
Net Income ($ in thousands)
16,347
$
17,357
$
19,393
$
12,560
$
21,234
$
69%
Per Share Data:
Fully Diluted Earnings
0.54
$
0.59
$
0.66
$
0.43
$
0.73
$
71%
Operating Earnings (Non-GAAP)
0.70
0.69
0.62
0.54
0.83
55%
Pre-provision Operating Earnings (Non-GAAP)
0.83
0.78
0.68
0.73
0.92
26%
Tangible Book Value
36.41
36.80
37.23
37.28
37.07
-1%
Key Ratios:
Return on Average Assets
0.56%
0.59%
0.67%
0.43%
0.69%
26
bps
Return on Average Common Equity
4.31%
4.65%
5.21%
3.36%
5.56%
220
bps
Return on Average Tangible Common Equity (Non-GAAP)
6.22%
6.72%
7.43%
4.86%
7.91%
305
bps
Net Interest Margin (TE)*
3.58%
3.62%
3.59%
3.59%
3.58%
(1)
bps
Tangible Efficiency Ratio (TE)* (Non-GAAP)
75.0%
75.2%
74.6%
78.2%
74.3%
(393)
bps
Tangible Common Equity Ratio
9.64%
9.52%
9.64%
9.37%
9.01%
(36)
bps
Tier 1 Leverage Ratio
10.42%
10.45%
10.51%
10.42%
10.01%
(41)
bps
Tier 1 Common Ratio (Non-GAAP)
13.90%
13.55%
13.48%
12.97%
12.04%
(93)
bps
Total Risk Based Capital Ratio
16.61%
16.20%
16.10%
15.54%
14.54%
(100)
bps
Net Charge-Offs to Average Loans**
0.12%
0.31%
0.09%
0.07%
0.11%
4
bps
Nonperforming Assets to Total Assets**
0.89%
0.87%
0.83%
0.84%
0.81%
(3)
bps
* Fully taxable equivalent basis.
** Excluding FDIC Covered Assets and acquired impaired loans.
For Quarter Ended:
%/Basis Point
Change |
 9
Financial Overview
Financial Overview
Low Risk Balance Sheet At September 30, 2012
35% Of Balance Sheet In Very Low Risk Components
9
Cash and
Equivalents,
5%
Investment
Securities,
16%
Mortgage
Loans Held
For Sale, 2%
Acquired
Loans
-
Fair
Value, 0.6%
Loans -
FDIC
Covered, 9%
FDIC Loss
Share
Receivable,
3%
Loans -
Noncovered,
56%
Other Assets,
9% |
 10
Financial Overview
Financial Overview
Non-Interest Income Trends
•
Continued rebound in service charge income (+5%)
•
Strong mortgage loan income continued
•
Title insurance revenue up 5%
•
IBERIA Financial Services Revenues up 7%
Originations up 20%
Sales up 26%
Margins improved
Revenue up 28%
Small buyback costs
Pipeline stable during
the quarter and
increased in October
Noninterest Income ($000s)
4Q11
1Q12
2Q12
3Q12
$ Change
% Change
Service Charges on Deposit Accounts
6,613
$
5,980
$
6,625
$
6,952
$
327
$
5%
ATM / Debit Card Fee Income
1,997
2,024
2,166
2,377
211
10%
BOLI Proceeds and CSV Income
899
951
905
916
11
1%
Gain on Sale of Loans, Net
13,173
13,619
18,078
23,085
5,007
28%
Gain (Loss) on Sale of Investments, Net
793
2,836
901
41
(860)
-95%
Title Revenue
4,846
4,533
5,339
5,623
284
5%
Broker Commissions
2,457
3,060
3,102
3,092
(10)
0%
All Other Noninterest Income
4,677
4,393
4,578
4,467
(111)
-2%
Total Noninterest Income
35,455
$
37,396
$
41,694
$
46,553
$
4,859
$
12%
3Q12 vs. 2Q12 |
 11
Financial Overview
Financial Overview
Non-Interest Expense
•
Process improvement initiatives
expense in 3Q12 totaling $1.6 million:
Branch closure costs ($0.3 million)
Consulting/professional ($0.6 million)
Severance ($0.7 million)
•
One-time merger-related expense of $3.0
million for Florida Gulf conversion
•
Mortgage commission growth due to
volume increase in loan production
•
Compensation increase due to Houston
and other revenue producers
•
One-time occupancy costs:
Hurricane Isaac cost of $73,000
Facility termination cost of $110,000
•
Total expenses were flat in 3Q12, excluding Florida Gulf operating expenses
Noninterest Expense ($000s)
4Q11
1Q12
2Q12
3Q12
Florida
Gulf
3Q12 Ex-
FL Gulf
$ Change
% Change
Mortgage Commissions
3,922
$
3,229
$
5,612
$
6,006
$
-
$
6,006
$
394
$
7%
Hospitalization Expense
3,349
3,817
3,404
3,773
-
3,773
369
11%
Other Salaries and Benefits
44,039
47,522
48,011
49,270
602
48,667
656
1%
Salaries and Employee Benefits
51,310
$
54,568
$
57,028
$
59,049
$
602
$
58,447
$
1,419
$
2%
Credit/Loan Related
4,094
4,027
4,835
4,846
36
4,810
(25)
-1%
Occupancy and Equipment
12,498
12,677
12,852
13,500
193
13,306
454
4%
Amortization of Acquisition Intangibles
1,384
1,290
1,289
1,287
-
1,287
(2)
0%
All Other Noninterest Expense
25,987
26,373
27,105
26,611
122
26,489
(616)
-2%
Nonint. Exp. (Ex-Non-Operating Exp.)
95,272
$
98,935
$
103,109
$
105,293
$
955
$
104,339
$
1,230
$
1%
Severance
206
219
1,053
712
-
712
(341)
-32%
Branch Closure Costs
-
-
2,743
284
-
284
(2,459)
-90%
Consulting and Professional
193
220
1,661
574
-
574
(1,087)
-65%
Nonint. Exp. Excluding Merger-Related
95,671
$
99,374
$
108,566
$
106,864
$
955
$
105,909
$
(2,657)
-2%
Merger-Related Expenses
4,055
$
500
$
456
$
2,985
$
-
$
2,985
2,529
554%
Total Noninterest Expense
99,726
$
99,873
$
109,022
$
109,848
$
955
$
108,894
$
(128)
0%
Tangible
Efficiency
Ratio
-
excl
Nonop
Exp
72.2%
75.5%
74.4%
71.2%
3Q12 Ex-FL Gulf vs. 2Q12 |
 12
Financial Overview
Financial Overview
Non-Operating Items –
3Q12
•
Acquisition and conversion-related costs of $3.0 million in 3Q12 ($0.07
EPS) •
3Q12 Severance, branch closure, and professional expenses of $1.6 million ($0.04
EPS) •
3Q12 FDIC covered loan losses of $1.3 million ($0.03 EPS)
•
3Q12 Losses on acquired non-covered impaired loans of $1.5 million ($0.03
EPS) Pre-tax
After-tax
Per share
Pre-tax
After-tax
Per share
Pre-tax
After-tax
Per share
Net Income (GAAP)
22,398
$
16,347
$
0.54
$
16,949
$
12,560
$
0.43
$
29,378
$
21,234
$
0.73
$
Merger-related expenses
4,259
2,769
0.09
456
296
0.01
2,985
1,940
0.07
Severance expenses
1,601
1,041
0.03
1,053
685
0.02
712
463
0.02
Branch closure expenses
-
-
-
2,743
1,783
0.06
284
185
0.01
Professsional expenses
291
189
0.01
1,661
1,080
0.04
574
373
0.01
Litigation settlement
(250)
(163)
(0.00)
-
-
-
-
-
-
Gain on sale of investments
(1,206)
(784)
0.03
(901)
(586)
(0.02)
(41)
(27)
(0.00)
Operating earnings (Non-GAAP)
27,094
19,399
0.70
21,961
15,818
0.54
33,892
24,168
0.83
Covered loan provision for loan losses
(175)
(114)
(0.00)
1,435
933
0.03
1,300
845
0.03
Acquired loan provision for loan losses
-
-
-
3,189
2,073
0.07
1,509
981
0.03
Other provision for loan losses
6,302
4,096
0.13
4,271
2,776
0.09
1,244
809
0.03
Pre-provision operating earnings (Non-GAAP)
33,221
$
23,381
$
0.82
$
30,856
$
21,600
$
0.73
$
37,945
$
26,803
$
0.92
$
Dollar Amount
Dollar Amount
Dollar Amount
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(dollars in thousands)
For The Quarter Ended
September 30, 2011
June 30, 2012
September 30, 2012 |
 13
•
Improve long-term operating efficiency, risk-
adjusted profitability, and long-term growth
prospects of franchise
Long Term Initiatives
Long Term Initiatives
Third Quarter 2012
Outside professionals
and dedicated internal
resources
Closing branches, staff
reductions, process
improvements
3Q12 cost of $1 million
and $0.03 EPS
4Q12 cost of $2 million
and $0.03 EPS
Benefit of $6 million
annually, or $0.13 EPS
Expect acquisition and
conversion related
costs of approximately
$1 million pre-tax in
4Q12
$ in millions
Expenses
2Q12
3Q12
4Q12
1Q13
Total
Branch Closure Cost - Phase 1
2.7
$
0.3
$
0.8
$
-
$
3.8
$
Branch Closure Cost - Phase 2
0.3
0.3
0.6
$
Severance Expense - Phase 1
1.0
0.4
0.1
-
1.5
$
Severance Expense - Phase 2
0.1
0.1
0.2
$
Professional Services
1.7
0.6
0.3
0.1
2.7
Total Expense
5.4
$
1.3
$
1.6
$
0.5
$
8.8
$
Benefits
2Q12
3Q12
4Q12
1Q13
Full Year
2013
Facilities Expense - Phase 1
0.0
$
0.2
$
0.2
$
0.9
$
Salary and Benefits - Phase 1
0.4
0.7
0.6
2.5
Facilities Expense - Phase 2
0.4
Salary and Benefits - Phase 2
0.3
Other
0.7
0.8
0.4
1.8
Total Benefits
1.1
$
1.6
$
1.2
$
5.9
$
2Q12
3Q12
4Q12
1Q13
Total
Merger Related Expenses
0.5
$
3.0
$
1.0
$
-
$
4.5
$ |
 14
Asset Quality
Asset Quality
Reported and Non-Covered Portfolio Trends
Non-Covered Portfolio excludes the impact of all FDIC-assisted acquisitions and acquired
impaired loans from OMNI , Cameron, and Florida Gulf ($thousands)
1Q12
2Q12
3Q12
1Q12
2Q12
3Q12
Nonaccruals
677,619
$
625,939
$
567,153
$
61,160
$
66,545
$
66,348
$
OREO & Foreclosed
126,657
129,917
129,173
17,740
18,681
18,467
90+ Days Past Due
7,320
8,270
5,539
3,338
1,275
3,786
Nonperforming Assets
811,596
$
764,126
$
701,865
$
82,238
$
86,501
$
88,601
$
NPAs/Assets
6.88%
6.30%
5.60%
0.83%
0.84%
0.81%
NPAs/(Loans + OREO)
10.67%
9.71%
8.40%
1.33%
1.33%
1.26%
LLR/Loans
2.37%
2.42%
2.45%
1.21%
1.19%
1.10%
Net Charge-Offs/Loans
0.09%
0.06%
0.10%
0.09%
0.07%
0.11%
Past Dues:
30-89 Days Past Due
35,228
$
46,391
$
59,063
$
15,429
$
16,833
$
21,029
$
90+ days Past Due
7,320
8,270
5,539
3,338
1,275
3,786
Nonaccual Loans
677,619
625,939
567,153
61,160
66,545
66,348
Total 30+ Past Dues
720,167
$
680,600
$
631,755
$
79,927
$
84,653
$
91,163
$
% Loans
9.63%
8.80%
7.68%
1.29%
1.30%
1.30%
Total Portfolio
Non-Covered Portfolio (excl.
Acquired impaired loans) |
 15
Asset Quality
Asset Quality
Commentary For Quarter Ending June 30, 2012
Asset Quality Summary
Excludes FDIC covered assets and acquired impaired loans
•
Total criticized
loans equal $395
million (29% of
Tier1 capital plus
ALLL); $248 million
in classified and
$147 million special
mention
•
TDRs equal $21.8
million (0.3% of
total loans)
•
3Q12 Provision
expense for this
portfolio was $1
million –
down $3
million compared to
2Q12
($ thousands)
9/30/2011
6/30/2012
9/30/2012
Year/Year
Qtr/Qtr
Nonperforming Assets
89,791
$
86,501
$
88,601
$
-1%
2%
Past Due Loans
97,660
84,653
91,164
-7%
8%
Classified Assets
196,537
200,872
247,923
26%
23%
Nonperforming Assets/Assets
0.89%
0.84%
0.81%
(8)
(3)
NPAs/(Loans + OREO)
1.57%
1.33%
1.26%
(31)
(7)
Classified Assets/Total Assets
2.09%
1.94%
2.28%
19
34
(Past Dues & Nonaccruals)/Loans
1.70%
1.30%
1.30%
(40)
(0)
Provision For Loan Losses
6,302
$
4,271
$
1,244
$
-80%
-71%
Net Charge-Offs/(Recoveries)
1,711
1,102
1,923
12%
74%
Provision Less Net Charge-Offs
4,592
$
3,169
$
(679)
$
-115%
-121%
Net Charge-Offs/Average Loans
0.12%
0.07%
0.11%
(1)
4
Reserve For Loan Losses/Loans
1.34%
1.19%
1.10%
(24)
(9)
%/Basis Point Change
For Quarter Ended: |
 16
Markets
Markets
Loan Growth
•
Organic loan
growth of $1.9
billion or 47%
since December
2009 (17%
annualized)
•
FDIC covered
loan portfolio
declined $531
million or -32%
since December
2009 (-12%
annualized)
Sterling Bank FDIC-
Assisted Acquisition
$ in millions
* Organic loan growth excludes loans acquired in non-covered transactions (e.g
OMNI , Cameron, and Florida Gulf) -$150
-$100
-$50
$0
$50
$100
$150
$200
$250
$300
$350
Mar-10
Jun-10
Sep-10
Dec-10
Mar-11
Jun-11
Sep-11
Dec-11
Mar-12
Jun-12
Sep-12
$64
$58
$43
$173
$149
$257
$109
$262
$164
$329
$329
Organic Loan Growth *
Covered Loan Portfolio |
 17
Markets
Markets
Loan Originations 3Q12 –Top Markets
$ in millions
•
$1 billion in total
funded loans and
unfunded loan
commitments
originated in 3Q12
•
Tremendous
growth in Houston
•
Recently added
new team
members in
Houston
•
Exceptional growth
in other markets in
which we have
invested heavily
$0
$20
$40
$60
$80
$100
$120
$140
$160
$180
$200
Little Rock
Mobile
Lafayette
Memphis
Baton
Rouge
Birmingham
New Orleans
Houston
Loan Commitments
Loan Fundings
$35
$35
$57
$87
$90
$192
$153
$105 |
 18
Markets
Markets
Net Loan Growth 3Q12 –Top Markets
$ in millions
•
Diversified
strength
throughout our
franchise
•
Strong growth
net of loan pay-
downs
•
Strongest
markets are
Houston and
New Orleans
•
Small business
lending is a
potential growth
engine
$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
Mobile
Montgomery
Birmingham
Naples
Baton
Rouge
Memphis
New Orleans
Houston
$12
$12
$28
$33
$35
$90
$71
$42
Loan Growth |
 19
•
Organic core
deposit growth of
$1.5 billion or
30% since
December 2010
(17% annualized)
•
Organic non-
interest bearing
deposit growth of
$622 million or
71% since
December 2010
(40% annualized)
•
Cost of core
deposits has
fallen 36 bps to
0.32% since
December 2010
Excludes acquired deposits
Markets
Markets
Organic Deposit Growth
$ in millions
-$300
-$200
-$100
$0
$100
$200
$300
$400
Mar-11
Jun-11
Sep-11
Dec-11
Mar-12
Jun-12
Sep-12
Non-Interest Bearing
Other Core Deposits
Time Deposits
$184
$217
$159
$281
$333
$93
$273 |
 20
Markets
Markets
Core Deposit Growth 3Q12 –Top Markets
$ in millions
•
Balanced core
deposit growth
•
Strength in legacy
franchise and
newer markets
•
Deposit pricing
remains favorable
$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
Mobile
Shreveport
Birmingham
Baton
Rouge
Little Rock
Lafayette
Houston
New Orleans
$13
$16
$21
$23
$34
$45
$52
$81
Core Deposit Growth |
 21
Markets
Markets
Non-Interest Bearing Deposit Growth
$ in millions
•
Since 2010, total
non interest
bearing deposits
have increased
$973 million or
111% (40%
annualized rate)
•
$200 million
increase in 3Q12
or 12% (48%
annualized)
•
Top 3Q12 growth
markets include
New Orleans,
Lafayette, Little
Rock, Houston and
Shreveport
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
4Q10
1Q11
2Q11
3Q11
4Q11
1Q12
2Q12
3Q12
11%
12%
15%
15%
16%
17%
18%
19%
Non Interest Bearing/Total Deposits |
 22
Markets
Markets
3Q12 Highlights
•
Exceptional loan and deposit growth continues
•
Non-FDIC loan growth of $329 million came from a number of
markets and in both commercial and retail markets
•
Houston, New Orleans, Birmingham, and Memphis showed strong
commercial
growth
–
concentrated
in
our
C&I
clients
•
Commercial loans originated and funded in 3Q12 totaled $472 million
with a mix of 47% fixed and 53% floating ($711 in commercial loan
commitments during the quarter)
•
Strong commercial pipeline of over $555 million at quarter-end
•
Retail growth driven by increases in indirect lending and home equity
lines
of
credit
–
arising
from
recent
changes
in
this
business
•
Period-end core deposit growth of $273 million, with non-interest
bearing deposits up $143 million ($132 million linked quarter growth
on an average balance basis). |
 23
Retail and Small Business
Retail and Small Business
3Q12 Progress
•
Since June 30, 2012, we opened two new branch locations, including
Center Street in downtown Little Rock, Arkansas, and our first branch
in Denham Springs, near Baton Rouge, Louisiana
•
Closed four of the 10 branches planned for the second half of 2012
and consolidated one branch in the 3Q 2012
•
Enhanced IBKC’s digital banking tools to better serve clients:
•
Completed Image Deposit Taking Capabilities On ATMs
•
Improved on-line banking application with the launch of bank-to-bank
transfers
and
rollout
of
Direct
Connect
for
Quicken®
and
QuickBooks®
users
•
Experienced increases in both new small business clients and
checking account openings in 3Q12
•
Continued focused effort on consumer lending business through
home equity and indirect auto product marketing |
 24
Wealth And Capital Markets
Wealth And Capital Markets
3Q12 Progress
•
ICP/IWA revenues of
$1.9 million (down 7%
compared to 2Q12)
•
IWA assets under
management
decreased 2%, to $902
million at September
30, 2012
•
ICP brokerage
commission continued
to grow, while
investment banking
activity slowed in 3Q12
•
Research coverage on
57 public energy
companies
•
IFS revenue up 7%, to
$2.3 million, compared
to 2Q12
Total Quarterly Revenues
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
1Q11
2Q11
3Q11
4Q11
1Q12
2Q12
3Q12 |
 25
Appendix
Appendix |
 26
Appendix
Appendix
FDIC Covered Loan Portfolio Roll Forward
26
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Covered Loans
1,350,935
55,518
16.139%
1,293,160
52,019
15.968%
1,218,933
51,150
16.661%
1,153,954
55,400
18.878%
Mortgage Loans
218,922
4,799
8.768%
211,640
4,946
9.347%
196,969
5,128
10.414%
169,580
5,306
12.517%
Indirect Automobile
-
-
0.000%
-
-
0.000%
-
-
0.000%
(0)
-
0.000%
Credit Card
957
15
6.246%
901
14
6.199%
862
14
6.629%
853
14
6.746%
Consumer
162,815
3,701
9.019%
155,406
3,895
10.080%
150,236
4,324
11.577%
149,877
5,282
14.020%
Line Of Credit-Consumer Loans
79,220
2,502
12.528%
75,164
2,927
15.663%
72,370
2,953
16.410%
72,598
3,462
18.971%
Commercial & Business Banking
889,481
44,502
19.581%
850,519
40,238
18.719%
798,767
38,731
19.186%
761,048
41,335
21.257%
Loans in Process
(461)
-
0.000%
(469)
-
0.000%
(272)
-
0.000%
(3)
-
0.000%
Overdrafts
0
-
0.000%
0
-
0.000%
0
-
0.000%
0
-
0.000%
FDIC Loss Share Receivable
592,985
(29,255)
-19.305%
573,776
(27,927)
-19.255%
508,443
(28,484)
-22.163%
448,746
(33,488)
-29.201%
Net Covered Loan Portfolio
1,943,920
26,263
5.327%
1,866,937
24,092
5.142%
1,727,375
22,666
5.234%
1,602,700
21,912
5.416%
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Average
Income /
Expense
Average
Yield
Covered Loans
1,350,935
55,518
16.139%
1,293,160
52,019
15.968%
1,218,933
51,150
16.661%
1,153,954
55,400
18.878%
CapitalSouth Bank
209,043
14,372
26.967%
198,491
6,203
12.416%
187,742
7,077
14.966%
169,584
6,480
15.034%
Orion Bank
734,021
29,565
15.817%
710,111
34,820
19.448%
673,068
33,586
19.801%
651,176
35,154
21.221%
Century Bank
281,888
5,261
7.387%
264,864
6,697
10.080%
255,610
6,134
10.080%
244,874
8,047
12.967%
Sterling Bank
125,983
6,319
19.631%
119,694
4,299
14.239%
102,513
4,353
16.829%
88,322
5,718
25.371%
FDIC Loss Share Receivable
592,985
(29,255)
-19.305%
573,776
(27,927)
-19.255%
508,443
(28,484)
-22.163%
448,746
(33,488)
-29.201%
CapitalSouth Bank
56,241
(8,707)
-60.581%
49,433
(1,917)
-15.338%
44,503
(3,285)
-29.204%
40,443
(3,213)
-31.088%
Orion Bank
355,317
(16,430)
-18.095%
349,685
(21,626)
-24.466%
306,347
(21,149)
-27.311%
271,457
(22,983)
-33.130%
Century Bank
137,868
(761)
-2.160%
136,205
(2,380)
-6.913%
119,445
(1,911)
-6.329%
101,167
(3,875)
-14.987%
Sterling Bank
43,559
(3,357)
-30.153%
38,453
(2,004)
-20.621%
38,148
(2,139)
-22.181%
35,680
(3,417)
-37.472%
Net Covered Loan Portfolio
1,943,920
26,263
5.327%
1,866,937
24,092
5.142%
1,727,375
22,666
5.234%
1,602,700
21,912
5.416%
CapitalSouth Bank
265,284
5,665
8.406%
247,924
4,286
6.882%
232,245
3,792
6.493%
210,027
3,267
6.133%
Orion Bank
1,089,338
13,135
4.756%
1,059,796
13,194
4.952%
979,415
12,436
5.033%
922,633
12,171
5.160%
Century Bank
419,756
4,500
4.252%
401,069
4,317
4.309%
375,055
4,224
4.495%
346,041
4,173
4.766%
Sterling Bank
169,542
2,963
6.841%
158,148
2,294
5.763%
140,661
2,214
6.236%
124,002
2,301
7.255%
4Q2011
1Q2012
4Q2011
2Q2012
3Q2012
1Q2012
2Q2012
3Q2012 |