UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

 

Washington, D.C.  20549

 

______________

 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

 

______________

 

Date of Report (Date of earliest event reported):  July 29, 2014

 

 

FIDELITY D & D BANCORP, INC.

(Exact name of registrant as specified in its charter)

 

 

 

 

 

 

 

Pennsylvania

 

333-90273

 

23-3017653

(State or other

jurisdiction of

incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

 

 

 

 

 

 

Blakely and Drinker Streets, Dunmore, PA       18512

(Address of principal executive offices)              (Zip Code)

Registrant’s telephone number, including area code: (570) 342-8281

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

[  ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[  ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR

240.14d-2(b))

[  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act  (17 CFR

240.13e-4(c))


 

 

FIDELITY D & D BANCORP, INC.

CURRENT REPORT ON FORM 8-K

 

ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION

 

On July 29, 2014, Fidelity  D & D Bancorp, Inc. issued a press release describing its results of operations for the quarter and year-to-date periods ended June 30, 2014.  A copy of the related press release is being furnished as Exhibit 99.1 to this Form 8-K.

 

The information in this Item 2.02 is being furnished and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing.

 

 

 

ITEM 9.01 Financial Statements and Exhibits.

 

(d) Exhibits.

 

Exhibit NumberDescription

 

99.1Copy of the Press Release, dated July 29, 2014.

 

 


 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

FIDELITY D & D BANCORP, INC.

 

 

 

 

 

 

Date:  July 29, 2014

By: /s/ Salvatore R. DeFrancesco, Jr.

 

        Salvatore R. DeFrancesco, Jr.

 

        Treasurer and Chief Financial Officer

 

 

 

 


 

 

EXHIBIT INDEX

 

 

 

 

EXHIBIT NO.

 

99.1                       Copy of the Press Release, dated July 29, 2014.


 

 

Exhibit 99.1 

FIDELITY D & D BANCORP, INC.

FOR IMMEDIATE RELEASE

 

Date:  July 29, 2014

Contacts:

 

 

 

 

 

 

 

 

 

 

Daniel J. Santaniello

Salvatore R. DeFrancesco, Jr.

President and Chief Executive Officer

Treasurer and Chief Financial Officer

570-504-8035

570-504-8000

 

FIDELITY D & D BANCORP, INC.

REPORTS SECOND QUARTER 2014 FINANCIAL RESULTS

 

Dunmore, PA – Fidelity D & D Bancorp, Inc. (OTC Bulletin Board: FDBC), parent company of The Fidelity Deposit and Discount Bank, announced net income for the quarter ended June 30, 2014 of $1.6 million, a $0.1 million, or 8%, increase compared to the same 2013 quarter.  Earnings improvement occurred by expanding net interest income by 5%, while the decline in other income and incurring higher operating expenses was offset by the drop in provision for loan losses compared to the previous year’s second quarter.  Net interest income improvement was derived from the Company’s successful growth over the past year; with an over $37 million growth in quarterly average earning assets funded by a $31 million increase in average deposit balances, plus an $8 million average balance expansion of shareholder’s equity.  The return on average assets (ROA) was 1.01% and 1.00%, respectively for the second quarter of 2014 and 2013.  Earnings per share on a diluted basis were $0.67 and $0.64 for the three months ended June 30, 2014 and 2013, respectively.

 

“Fidelity is very pleased with the 8% increase in earnings for the 2nd quarter of 2014 when compared to the same period in 2013,” stated Daniel J. Santaniello, President and Chief Executive Officer.  “The Second quarter earnings reflected ongoing loan growth, strong fee income, continued credit quality improvement and disciplined expense management.  The positive growth in the balance sheet and income statement are a result of the Bank’s commitment to building strong relationships through knowledgeable bankers and a dedication to continuous improvement.”

 

Net income for the six months ended June 30, 2014 was $3.1 million, an increase of $0.2 million, or 6%, compared to net income of $2.9 million for the six months ended June 30, 2013. The year-to-date period earnings improvement occurred from producing more net interest income, with lower provision for loan losses almost off-setting the decline in other income, while other expenses remained flat compared to the prior year-to-date period.  ROA was 0.96% for the six months ended June 30, 2014 and 2013.  Earnings per share were $1.28 and $1.24 for the six months ended June 30, 2014 and 2013, respectively.

 

The Company’s assets increased $26.5 million, or 4%, to total $650.3 million at June 30, 2014 from $623.8 million at December 31, 2013.  The first half of 2014 growth resulted primarily from adding $18.0 million in net loan balances and $5.3 million in securities.  This earning asset growth was supported by deploying $13.2 million of availability on short-term borrowings plus the $8.8 million in deposit growth and $3.9 million increase of shareholder’s equity.

 

Net interest income was $5.4 million for the quarter ended June 30, 2014, up $0.2 million, or 5%, compared to $5.2 million for the quarter ended June 30, 2013.  This resulted from a larger but lower-yielding average earning asset base which was primarily funded by deposit growth.  This activity pressured net interest spread


 

 

down 5 basis points and brought net interest margin down to 3.79% for the second quarter of 2014 compared to 3.84% for same 2013 quarterly period.

 

Net interest income increased $306 thousand, or 3%, to $10.7 million for the six months ended June 30, 2014 from $10.4 million recorded during the same period of 2013.  Net interest margin was 3.79% during the first half of 2014 compared to 3.84% during the first half of 2013, a decline of 5 basis points.  This decline resulted from growth in the average earning assets base, stemming from average loan balance growth of $31.2 million that lowered yield on interest-earning assets by 10 basis points, while the rate on interest-bearing liabilities only declined by 5 basis points.

 

The provision for loan losses was halved at $300 thousand for the second quarter ending June 30, 2014 compared to $600 thousand provided for the same 2013 quarter.  Provision for loan losses was $0.6 million for the six months ending June 30, 2014, compared to $1.2 million for the same 2013 period.  The allowance for loan losses was 1.82% of total loans at June 30, 2014, up from 1.78% at June 30, 2013 from the reduction in non-accrual loans to total loans from 1.44% at June 30, 2013 to 0.82% at June 30, 2014.

 

Total other income recorded for the quarter ended June 30, 2014 was $1.8 million compared with $2.1 million for the same quarter in 2013.  The decrease in other income was primarily due to the $266 thousand reduction in total gains recognized from the sale of loans with $41 less loan service charge activities.  These reductions were partially off-set by the net improvement from $85 thousand more gains recognized on the sale of securities plus revenue increases of $33 thousand more rental income, $32 thousand more net mortgage servicing fees, $25 thousand additional interchange fees and $13 thousand more financial service fees, all earned from reoccurring traditional commercial banking and asset management services, that were reduced by a $67 thousand loss on disposal of equipment, $28 thousand lower deposit service charges collected and a $20 thousand decline in fiduciary fees.

 

Total other income for the six months ended June 30, 2014 was $3.6 million compared to $4.1 million for the same period in 2013.  The revenue decrease in the comparative periods resulted primarily from $642 thousand reduction in gains from the sale of loans and $158 thousand less loan service charge activities.  These were partially off-set by the $173 thousand more gains realized from the sale on investment securities for the six months ended June 30, 2014 compared to the same 2013 period.

 

Total other operating expenses were $4.8 million, $155 thousand more compared to $4.6 million for the quarters ending June 30, 2014 and 2013, respectively.  The other operating expenses increased primarily from fewer number of loans booked, from refinancing activity that capitalized $99 thousand more loan origination costs in the 2013 quarter than in the same 2014 period. Also, occupancy and equipment costs increased $70 thousand, salary and benefit expenses added $66 thousand, advertising and marketing costs were up $59 thousand and automated transaction processing costs increased $39 thousand over the 2013 second quarter coupled with a $48 thousand sales-tax refund that reduced the prior years’ second quarter other expenses.  These expense increases were off-set by $98 thousand lower loan collections and $37 thousand less other real estate costs, along with a $44 thousand reduced FDIC assessment and $14 thousand decline in supply and postage expenses recorded during the second quarter 2014, when compared to the same 2013 quarter.

 

Total other operating expenses were $9.5 million each for the six months ending June 30, 2014 and 2013.  The current period included $162 thousand less capitalized loan origination costs, with $139 thousand more marketing expenses from an educational improvement tax credit donation, $132 thousand additional premises and equipment expenses, $65 thousand greater automated transaction processing costs and $62 thousand additional professional services; almost off-set by $246 thousand fewer loan collection expenses,


 

 

$172 thousand reduced PA shares tax from awarded educational improvement tax credits, $95 thousand less other real estate costs and $71 thousand lower FDIC assessments.

 

Fidelity D & D Bancorp, Inc. serves Lackawanna and Luzerne Counties through The Fidelity Deposit and Discount Bank’s 11 community banking office locations, including wealth management assistance through providing fiduciary activities with the Bank’s full trust powers; as well as offering a full array of asset management services.  The Bank's deposits are insured by the Federal Deposit Insurance Corporation up to the full extent permitted by law.

 

Forward-looking statements

Certain of the matters discussed in this press release may constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and as such may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. The words “expect,” “anticipate,” “intend,” “plan,” “believe,” “estimate,” and similar expressions are intended to identify such forward-looking statements.

 

The Company’s actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, without limitation:

 

·

the effects of economic deterioration on current customers, specifically the effect of the economy on loan customers’ ability to repay loans;

·

the costs and effects of litigation and of unexpected or adverse outcomes in such litigation;

·

the impact of new laws and regulations, including the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and the regulations promulgated there under;

·

the adequacy of the allowance for loan losses;

·

impacts of the new capital and liquidity requirements of the Basel III standards and other regulatory pronouncements, regulations and rules;

·

governmental monetary and fiscal policies, as well as legislative and regulatory changes;

·

effects of short- and long-term federal budget and tax negotiations and their effect on economic and business conditions;

·

the effect of changes in accounting policies and practices, as may be adopted by banking regulatory agencies, as well as the Financial Accounting Standards Board and other accounting standard setters;

·

the risks of changes in interest rates on the level and composition of deposits, loan demand, and the values of loan collateral, securities and interest rate protection agreements, as well as interest rate risks;

·

the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds and other financial institutions operating in our market area and elsewhere, including institutions operating locally, regionally, nationally and internationally, together with such competitors offering banking products and services by mail, telephone, computer and the internet;

·

technological changes;

·

acquisitions and integration of acquired businesses;

·

the failure of assumptions underlying the establishment of reserves for loan and lease losses and estimations of values of collateral and various financial assets and liabilities;

·

volatility in the securities markets;

·

disruptions due to flooding, severe weather, or other natural disasters or Acts of God;

·

acts of war or terrorism; and

·

disruption of credit and equity markets.

 

For more information please visit our investor relations web site located through www.bankatfidelity.com.


 

 

 

 

FIDELITY D & D BANCORP, INC.

Unaudited Condensed Consolidated Balance Sheets

(dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

At Period End:

June 30, 2014

December 31, 2013

Assets

 

 

 

 

  Total cash and cash equivalents

$

14,439 

$

13,218 

  Investment securities

 

102,699 

 

97,423 

  Federal Home Loan Bank Stock

 

2,954 

 

2,640 

  Loans and leases

 

497,133 

 

479,061 

  Allowance for loan losses

 

(9,029)

 

(8,928)

  Premises and equipment, net

 

14,341 

 

13,602 

  Life insurance cash surrender value

 

10,569 

 

10,402 

  Other assets

 

17,200 

 

16,407 

 

 

 

 

 

     Total assets

$

650,306 

$

623,825 

 

 

 

 

 

Liabilities

 

 

 

 

  Non-interest-bearing deposits

$

126,008 

$

122,919 

  Interest-bearing deposits

 

412,495 

 

406,779 

      Total deposits

 

538,503 

 

529,698 

  Short-term borrowings

 

21,872 

 

8,642 

  Long-term debt

 

16,000 

 

16,000 

  Other liabilities

 

4,005 

 

3,425 

     Total liabilities

 

580,380 

 

557,765 

 

 

 

 

 

  Shareholders' equity

 

69,926 

 

66,060 

 

 

 

 

 

     Total liabilities and shareholders' equity

$

650,306 

$

623,825 

 

 

 

 

 

 

 

 

 

 

Average Year-To-Date Balances:

June 30, 2014

December 31, 2013

Assets

 

 

 

 

  Total cash and cash equivalents

$

22,131 

$

19,703 

  Investment securities

 

104,623 

 

103,563 

  Loans and leases, net

 

477,102 

 

452,898 

  Premises and equipment, net

 

14,053 

 

13,852 

  Other assets

 

27,373 

 

28,756 

 

 

 

 

 

     Total assets

$

645,282 

$

618,772 

 

 

 

 

 

Liabilities

 

 

 

 

  Non-interest-bearing deposits

$

128,406 

$

126,149 

  Interest-bearing deposits

 

412,885 

 

396,411 

      Total deposits

 

541,291 

 

522,560 

  Short-term borrowings and long-term debt

 

32,204 

 

31,524 

  Other liabilities

 

3,769 

 

3,803 

     Total liabilities

 

577,264 

 

557,887 

 

 

 

 

 

  Shareholders' equity

 

68,018 

 

60,885 

 

 

 

 

 

     Total liabilities and shareholders' equity

$

645,282 

$

618,772 

 

 

 

 

 

 


 

 

FIDELITY D & D BANCORP, INC.

Unaudited Condensed Consolidated Statements of Income

(dollars in thousands)

 

.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

 

 

Jun. 30, 2014

 

Jun. 30, 2013

 

Jun. 30, 2014

 

Jun. 30, 2013

 

 

Interest income

 

 

 

 

 

 

 

 

 

 

  Loans and leases

$

5,524 

$

5,456 

$

10,931 

$

10,925 

 

 

  Securities and other

 

621 

 

456 

 

1,216 

 

955 

 

 

 

 

 

 

 

 

 

 

 

 

 

     Total interest income

 

6,145 

 

5,912 

 

12,147 

 

11,880 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

 

 

 

 

 

 

 

 

  Deposits

 

498 

 

511 

 

987 

 

1,026 

 

 

  Borrowings and debt

 

223 

 

221 

 

441 

 

441 

 

 

 

 

 

 

 

 

 

 

 

 

 

     Total interest expense

 

721 

 

732 

 

1,428 

 

1,467 

 

 

 

 

 

 

 

 

 

 

 

 

 

     Net interest income

 

5,424 

 

5,180 

 

10,719 

 

10,413 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Provision for loan losses

 

(300)

 

(600)

 

(600)

 

(1,150)

 

 

  Other income

 

1,821 

 

2,051 

 

3,559 

 

4,119 

 

 

  Other expenses

 

(4,761)

 

(4,606)

 

(9,546)

 

(9,487)

 

 

  Provision for income taxes

 

(557)

 

(512)

 

(1,049)

 

(988)

 

 

     Net income

$

1,627 

$

1,513 

$

3,083 

$

2,907 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Jun. 30, 2014

 

Mar. 31, 2014

 

Dec. 31, 2013

 

Sep. 30, 2013

 

Jun. 30, 2013

Interest income

 

 

 

 

 

 

 

 

 

 

  Loans and leases

$

5,524 

$

5,407 

$

5,438 

$

5,455 

$

5,456 

  Securities and other

 

621 

 

595 

 

581 

 

499 

 

456 

 

 

 

 

 

 

 

 

 

 

 

     Total interest income

 

6,145 

 

6,002 

 

6,019 

 

5,954 

 

5,912 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

 

 

 

 

 

 

 

 

  Deposits

 

498 

 

489 

 

530 

 

525 

 

511 

  Borrowings and debt

 

223 

 

218 

 

223 

 

223 

 

221 

 

 

 

 

 

 

 

 

 

 

 

     Total interest expense

 

721 

 

707 

 

753 

 

748 

 

732 

 

 

 

 

 

 

 

 

 

 

 

     Net interest income

 

5,424 

 

5,295 

 

5,266 

 

5,206 

 

5,180 

 

 

 

 

 

 

 

 

 

 

 

  Provision for loan losses

 

(300)

 

(300)

 

(950)

 

(450)

 

(600)

  Other income

 

1,821 

 

1,738 

 

4,514 

 

1,908 

 

2,051 

  Other expenses

 

(4,761)

 

(4,785)

 

(4,989)

 

(4,644)

 

(4,606)

  Provision for income taxes

 

(557)

 

(492)

 

(1,131)

 

(515)

 

(512)

     Net income

$

1,627 

$

1,456 

$

2,710 

$

1,505 

$

1,513 

 

 

 

 

 

 

 

 

 

 

 


 

 

FIDELITY D & D BANCORP, INC.

Unaudited Condensed Consolidated Balance Sheets

(dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At Period End:

 

Jun. 30, 2014

 

Mar. 31, 2014

 

Dec. 31, 2013

 

Sep. 30, 2013

 

Jun. 30, 2013

Assets

 

 

 

 

 

 

 

 

 

 

  Total cash and cash equivalents

$

14,439 

$

32,099 

$

13,218 

$

35,885 

$

15,266 

  Investment securities

 

102,699 

 

102,213 

 

97,423 

 

103,111 

 

96,466 

  Federal Home Loan Bank Stock

 

2,954 

 

2,176 

 

2,640 

 

2,160 

 

3,214 

  Loans and leases

 

497,133 

 

484,015 

 

479,061 

 

464,008 

 

465,351 

  Allowance for loan losses

 

(9,029)

 

(8,899)

 

(8,928)

 

(8,405)

 

(8,296)

  Premises and equipment, net

 

14,341 

 

14,410 

 

13,602 

 

13,709 

 

13,802 

  Life insurance cash surrender value

 

10,569 

 

10,485 

 

10,402 

 

10,316 

 

10,231 

  Other assets

 

17,200 

 

17,930 

 

16,407 

 

19,510 

 

19,141 

 

 

 

 

 

 

 

 

 

 

 

     Total assets

$

650,306 

$

654,429 

$

623,825 

$

640,294 

$

615,175 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

  Non-interest-bearing deposits

$

126,008 

$

132,096 

$

122,919 

$

134,114 

$

127,268 

  Interest-bearing deposits

 

412,495 

 

422,670 

 

406,779 

 

410,716 

 

392,255 

      Total deposits

 

538,503 

 

554,766 

 

529,698 

 

544,830 

 

519,523 

  Short-term borrowings

 

21,872 

 

12,327 

 

8,642 

 

14,197 

 

16,199 

  Long-term debt

 

16,000 

 

16,000 

 

16,000 

 

16,000 

 

16,000 

  Other liabilities

 

4,005 

 

3,487 

 

3,425 

 

3,471 

 

3,550 

     Total liabilities

 

580,380 

 

586,580 

 

557,765 

 

578,498 

 

555,272 

 

 

 

 

 

 

 

 

 

 

 

  Shareholders' equity

 

69,926 

 

67,849 

 

66,060 

 

61,796 

 

59,903 

 

 

 

 

 

 

 

 

 

 

 

     Total liabilities and shareholders' equity

$

650,306 

$

654,429 

$

623,825 

$

640,294 

$

615,175 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Quarterly Balances:

 

Jun. 30, 2014

 

Mar. 31, 2014

 

Dec. 31, 2013

 

Sep. 30, 2013

 

Jun. 30, 2013

Assets

 

 

 

 

 

 

 

 

 

 

  Total cash and cash equivalents

$

19,461 

$

24,831 

$

17,177 

$

18,296 

$

13,554 

  Investment securities

 

106,034 

 

103,197 

 

104,729 

 

102,617 

 

102,335 

  Loans and leases, net

 

482,406 

 

471,738 

 

462,528 

 

456,479 

 

450,684 

  Premises and equipment, net

 

14,428 

 

13,674 

 

13,692 

 

13,841 

 

13,838 

  Other assets

 

27,098 

 

27,651 

 

29,173 

 

29,622 

 

28,441 

 

 

 

 

 

 

 

 

 

 

 

     Total assets

$

649,427 

$

641,091 

$

627,299 

$

620,855 

$

608,852 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

  Non-interest-bearing deposits

$

129,069 

$

127,736 

$

126,200 

$

124,794 

$

122,805 

  Interest-bearing deposits

 

415,555 

 

410,185 

 

404,633 

 

400,305 

 

390,392 

      Total deposits

 

544,624 

 

537,921 

 

530,833 

 

525,099 

 

513,197 

  Short-term borrowings and long-term debt

 

31,907 

 

32,503 

 

30,058 

 

31,263 

 

31,199 

  Other liabilities

 

3,942 

 

3,595 

 

3,848 

 

3,892 

 

3,657 

     Total liabilities

 

580,473 

 

574,019 

 

564,739 

 

560,254 

 

548,053 

 

 

 

 

 

 

 

 

 

 

 

  Shareholders' equity

 

68,954 

 

67,072 

 

62,560 

 

60,601 

 

60,799 

 

 

 

 

 

 

 

 

 

 

 

     Total liabilities and shareholders' equity

$

649,427 

$

641,091 

$

627,299 

$

620,855 

$

608,852 

 

 

 

 

 

 

 

 

 

 

 


 

 

FIDELITY D & D BANCORP, INC.

Selected Financial Ratios and Other Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Jun. 30, 2014

 

Mar. 31, 2014

 

Dec. 31, 2013

 

Sep. 30, 2013

 

Jun. 30, 2013

Selected returns and financial ratios

 

 

 

 

 

 

 

 

 

 

  Basic earnings per share

$

0.67 

$

0.61 

$

1.15 

$

0.64 

$

0.64 

  Diluted earnings per share

$

0.67 

 

0.61 

$

1.14 

$

0.64 

$

0.64 

  Dividends per share

$

0.25 

$

0.25 

$

0.35 

$

0.25 

$

0.25 

  Yield on interest-earning assets (FTE)

 

4.27% 

 

4.27% 

 

4.27% 

 

4.26% 

 

4.37% 

  Cost of interest-bearing liabilities

 

0.65% 

 

0.65% 

 

0.69% 

 

0.69% 

 

0.70% 

  Net interest spread

 

3.62% 

 

3.62% 

 

3.58% 

 

3.57% 

 

3.67% 

  Net interest margin

 

3.79% 

 

3.79% 

 

3.76% 

 

3.74% 

 

3.84% 

  Return on average assets

 

1.01% 

 

0.92% 

 

1.71% 

 

0.96% 

 

1.00% 

  Return on average equity

 

9.47% 

 

8.80% 

 

17.19% 

 

9.85% 

 

9.98% 

  Efficiency ratio

 

64.68% 

 

67.89% 

 

67.48% 

 

64.51% 

 

61.90% 

  Expense ratio

 

1.87% 

 

2.06% 

 

2.02% 

 

1.83% 

 

1.69% 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six Months Ended

 

 

 

 

 

 

 

 

Jun. 30, 2014

 

Jun. 30, 2013

 

 

 

 

 

 

  Basic earnings per share

$

1.28 

$

1.24 

 

 

 

 

 

 

  Diluted earnings per share

$

1.28 

$

1.24 

 

 

 

 

 

 

  Dividends per share

$

0.50 

$

0.50 

 

 

 

 

 

 

  Yield on interest-earning assets (FTE)

 

4.27% 

 

4.37% 

 

 

 

 

 

 

  Cost of interest-bearing liabilities

 

0.65% 

 

0.70% 

 

 

 

 

 

 

  Net interest spread

 

3.62% 

 

3.67% 

 

 

 

 

 

 

  Net interest margin

 

3.79% 

 

3.84% 

 

 

 

 

 

 

  Return on average assets

 

0.96% 

 

0.96% 

 

 

 

 

 

 

  Return on average equity

 

9.14% 

 

9.74% 

 

 

 

 

 

 

  Efficiency ratio

 

66.25% 

 

64.02% 

 

 

 

 

 

 

  Expense ratio

 

1.97% 

 

1.81% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other financial data

 

Three Months Ended

 

 

Jun. 30, 2014

 

Mar. 31, 2014

 

Dec. 31, 2013

 

Sep. 30, 2013

 

Jun. 30, 2013

  Book value per share

$

28.90 

$

28.13 

$

27.62 

$

26.06 

$

25.42 

  Equity to assets

 

10.75% 

 

10.37% 

 

10.59% 

 

9.65% 

 

9.74% 

  Allowance for loan losses to:

 

 

 

 

 

 

 

 

 

 

     Total loans

 

1.82% 

 

1.84% 

 

1.86% 

 

1.81% 

 

1.78% 

     Non-accrual loans

 

2.22x

 

2.40x

 

1.58x

 

1.37x

 

1.24x

  Non-accrual loans to total loans

 

0.82% 

 

0.77% 

 

1.18% 

 

1.32% 

 

1.44% 

  Non-performing assets to total assets

 

1.08% 

 

1.07% 

 

1.44% 

 

1.82% 

 

2.03%