BBVA USA Bancshares, Inc. - FORM 8-K - EX-99.1 - EXHIBIT 99.1

Attached files

file	filename
8-K - 8-K - BBVA USA Bancshares, Inc.	bbvacompass123120148k.htm

Exhibit 99.1

Fourth quarter earnings increase 49% from prior year

BBVA Compass reports earnings of $467million for the full-year of 2014, up 12% from prior year


◦	Total loans end the year at $57.5 billion, up 13% from prior year levels; funded loan originations up 8% to $17.7 billion driven by strong commercial demand


◦	Total deposits increase 12% to $61.2 billion, driven by a 16% increase in interest bearing transaction accounts


◦	Key credit quality metrics show continued improvement; nonperforming asset ratio drops to 0.73% from 1.09% and net charge-off ratio declines to 0.22%


◦	Diversification of fee-based businesses spurs 7% increase in noninterest income; focus on improving efficiency and costs controls results in 1% decline in noninterest expenses

HOUSTON, February 4, 2015 - BBVA Compass Bancshares, Inc., a Sunbelt-based bank holding company (BBVA Compass), reported today net income attributable to shareholder of $467 million for the full-year of 2014, a 12 percent increase compared to $418 million earned for the full-year of 2013. Return on average assets and return on average tangible equity¹ for the twelve months of 2014 were 0.60 percent and 7.03 percent, respectively.

Net income attributable to shareholder for the fourth quarter of 2014 was $102 million, a 49 percent increase from the $69 million earned during the fourth quarter of 2013. Return on average assets and return on average tangible equity¹ for the fourth quarter of 2014 were 0.49 percent and 5.97 percent, respectively.

“BBVA Compass delivered outstanding financial results in 2014 despite the prolonged low-interest rate environment, which continues to impede revenue growth across our industry,” said Manolo Sánchez, chairman and CEO of BBVA Compass. “We delivered robust balance sheet growth with double-digit increases in both total loans and total deposits. We funded a record $17.7 billion of new customer loans, with strong commercial demand driving loan growth. What’s more, our focus on deposits met with continued success as total deposits increased $6.8 billion during the year, led by a 16 percent increase in interest bearing transaction accounts.”

Sánchez noted that balance sheet growth did not come at the expense of maintaining sound risk and underwriting standards. Credit quality metrics showed further improvement as nonperforming assets as a percentage of loans, other real estate and other repossessed assets dropped to 0.73 percent and net charge-offs as a percentage of average loans declined to 22 basis points compared to 44 basis points for the full-year of 2013.

“While compressed spreads tempered the positive impact of balance sheet growth on net interest income, efforts to further diversify and expand fee-based businesses resulted in a 7 percent increase in noninterest income,” Sánchez said. “We also did a good job curbing costs, as disciplined expense management led to a 1 percent decrease in total noninterest expenses.”

Total shareholder’s equity ended the fourth quarter of 2014 at $12.0 billion, a 4 percent increase from $11.5 billion at the end of the fourth quarter of 2013. Accordingly, regulatory capital ratios remain significantly above “well-capitalized” guidelines.

During the fourth quarter, BBVA Compass announced a new $11 billion community development program designed to support low- and moderate-income individuals and neighborhoods and boost economic development across all communities in the markets it serves.

Over the next five years, the bank intends to originate $2.1 billion in mortgage loans to low- and moderate-income (LMI) homebuyers and in LMI neighborhoods, $6.2 billion for small business lending, $1.8 billion for community development lending, and make $900 million in community development investments. The bank also plans to unveil new delivery channels, products and services for LMI individuals in 2015.

¹ Average tangible equity is a non-GAAP financial measure that we believe aids in understanding certain areas of our performance. The calculation of this measure is included on the page titled Non-GAAP Reconciliation.



Contact details:
Jena Moreno		Ed Bilek
Corporate Communications		Investor Relations
Tel. 713.831.5867		Tel. 205.297.3331
jena.moreno@bbva.com		ed.bilek@bbva.com

About BBVA Compass

BBVA Compass Bancshares, Inc. is a Sunbelt-based bank holding company whose lead subsidiary, BBVA Compass, operates 672 branches, including 341 in Texas, 89 in Alabama, 77 in Arizona, 62 in California, 45 in Florida, 38 in Colorado and 20 in New Mexico. BBVA Compass ranks among the top 25 largest U.S. commercial banks based on deposit market share and ranks among the largest banks in Alabama (2nd), Texas (4th) and Arizona (5th). BBVA Compass has been recognized as one of the leading small business lenders by the Small Business Administration (SBA) and in 2014 ranked 12^th nationally in total SBA loan volume. BBVA Compass earned the top ranking with customers in American Banker’s 2014 annual reputation survey of the top 25 largest U.S. retail banks. Additional information about BBVA Compass can be found under the Investor Relations tab at www.bbvacompass.com, by following @BBVACompassNews on Twitter or visiting newsroom.bbvacompass.com.

About BBVA Group

BBVA Compass Bancshares, Inc. is a wholly owned subsidiary of BBVA (NYSE: BBVA) (MAD: BBVA). BBVA is a customer-centric global financial services group founded in 1857. The Group has a solid position in Spain, is the largest financial institution in Mexico and has leading franchises in South America and the Sunbelt region of the United States. Its diversified business is geared toward high-growth markets and relies on technology as a key sustainable competitive advantage. Corporate responsibility is at the core of its business model. BBVA fosters financial education and inclusion, and supports scientific research and culture. It operates with the highest integrity, a long-term vision and applies the best practices. The Group is present in the main sustainability indexes. More information about the BBVA Group can be found at www.bbva.com.

Forward-Looking Statements

Certain statements in this press release may contain forward-looking statements about the Company and its industry that involve substantial risks and uncertainties. Statements other than statements of current or historical fact, including statements regarding our future financial condition, results of operations, business plans, liquidity, cash flows, projected costs, and the impact of any laws or regulations applicable to the Company, constitute forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “projects,” “may,” “will,” “should,” and other similar expressions are intended to identify these forward-looking statements. These forward-looking statements reflect the Company’s views regarding future events and financial performance. Such statements are subject to risks, uncertainties, assumptions and other important factors, many of which may be beyond the Company’s control, that could cause actual results to differ materially from anticipated results. If the Company’s assumptions and estimates are incorrect, or if the Company becomes subject to significant limitations as the result of litigation or regulatory action, then the Company’s actual results could vary materially from those expressed or implied in these forward-looking statements. The forward-looking statements are and will be based on the Company’s then current views and assumptions regarding future events and speak only as of their dates made. The Company assumes no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by securities law. For further information regarding risks and uncertainties associated with the Company’s business, please refer to the “Risk Factors” section of the Company’s Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 28, 2014, as updated by our subsequent SEC filings.

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Three Months Ended December 31,						%		Years Ended December 31,						%
	2014			2013			Change		2014			2013			Change
EARNINGS SUMMARY
Net interest income	$	509,453		$	507,509		—		$	1,985,494		$	2,042,681		(3	)
Noninterest income [a]	230,784			191,074			21		864,695			801,644			8
Total revenue [a]	740,237			698,583			6		2,850,189			2,844,325			—
Investment securities gain (loss), net	5,434			(1,659		)	NM		53,042			31,371			69
Gain (loss) on prepayment of FHLB advances	—			—			NM		(315		)	21,775			NM
Provision for loan losses	19,914			26,160			(24	)	106,301			107,546			(1	)
Noninterest expense	583,481			576,671			1		2,180,752			2,199,175			(1	)
Pretax income	142,276			94,093			51		615,863			590,750			4
Income tax expense	39,864			24,787			61		147,331			170,820			(14	)
Net income	102,412			69,306			48		468,532			419,930			12
Net income attributable to noncontrolling interests	204			486			(58	)	1,976			2,094			(6	)
Net income attributable to shareholder	$	102,208		$	68,820		49		$	466,556		$	417,836		12

SELECTED RATIOS
Return on average assets	0.49		%	0.38		%			0.60		%	0.60		%
Return on average tangible equity [b]	5.97			4.31					7.03			6.77
Average common equity to average assets	14.52			15.94					15.28			16.12
Average loans to average total deposits	92.31			93.96					93.18			91.26
Tier I capital ratio [c]	10.94			11.62					10.94			11.62
Tier 1 common capital ratio [b] [c]	10.74			11.39					10.74			11.39
Total capital ratio [c]	12.81			13.74					12.81			13.74
Leverage ratio [c]	9.09			9.87					9.09			9.87
[a] Excludes net gain on sales of investment securities and gain (loss) on prepayment of FHLB advances.
[b] Non-GAAP measure that we believe aids in understanding certain areas of our performance. The calculation of this measure is included on the page titled Non-GAAP Reconciliation.
[c] Current period regulatory capital ratios are estimated.
NM = Not meaningful

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Average for Three Months					Average for Year Ended					Ending Balance
	Ended December 31,				%	Ended December 31,				%	December 31,				%
	2014		2013		Change	2014		2013		Change	2014		2013		Change
BALANCE SHEET HIGHLIGHTS
Total loans	$	56,419,150	$	50,506,422	12	$	54,423,885	$	47,959,849	13	$	57,526,600	$	50,814,125	13
Total investment securities	11,023,444		9,921,998		11	10,541,348		10,100,601		4	11,585,629		9,832,281		18
Earning assets	69,447,957		60,532,456		15	65,574,287		58,197,813		13	72,344,332		60,726,001		19
Total assets	82,702,903		72,099,576		15	77,520,755		70,309,637		10	83,152,427		71,965,476		16
Noninterest bearing demand deposits	17,473,984		15,492,506		13	16,633,240		14,586,725		14	17,169,412		15,377,844		12
Interest bearing transaction accounts	30,695,786		26,298,335		17	28,896,496		25,961,989		11	31,176,846		26,969,845		16
Total transaction accounts	48,169,770		41,790,841		15	45,529,736		40,548,714		12	48,346,258		42,347,689		14
Total deposits	61,116,755		53,755,937		14	58,407,635		52,553,744		11	61,189,716		54,437,490		12
Shareholder's equity	12,005,933		11,491,753		4	11,841,999		11,337,388		4	12,003,574		11,487,759		4

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	2014												2013
	December 31			September 30			June 30			March 31			December 31
NONPERFORMING ASSETS
Nonaccrual loans	$	322,654		$	344,937		$	341,807		$	388,597		$	441,718
Loans 90 days or more past due [a]	71,454			76,196			76,219			83,490			82,814
TDRs 90 days or more past due	1,722			991			629			204			1,317
Total nonperforming loans [b]	395,830			422,124			418,655			472,291			525,849
Other real estate owned, net (OREO)	20,600			17,058			21,113			25,817			23,228
Other repossessed assets	3,920			3,618			2,796			3,313			$	3,360
Total nonperforming assets	$	420,350		$	442,800		$	442,564		$	501,421		$	552,437

TDRs accruing and past due less than 90 days	$	161,261		$	170,789		$	177,630		$	202,075		$	208,391

Covered loans [c]	495,190			580,756			613,152			701,158			734,190
Covered nonperforming loans [c]	48,071			56,221			59,331			63,664			62,038
Covered nonperforming assets [c]	51,989			59,609			62,824			67,500			66,151

Total nonperforming loans as a % of loans	0.69		%	0.76		%	0.77		%	0.89		%	1.03		%
Total nonperforming loans as a % of loans, excluding covered loans	0.61			0.67			0.67			0.78			0.93
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets	0.73			0.80			0.81			0.95			1.09
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets, excluding covered assets	0.65			0.70			0.71			0.83			0.97
[a] Excludes loans classified as troubled debt restructuring (TDRs).
[b] Includes loans held for sale.
[c] Covered assets includes loans and OREO acquired from the FDIC subject to loss sharing agreements.



	Three Months Ended
	2014												2013
	December 31			September 30			June 30			March 31			December 31
ALLOWANCE FOR LOAN LOSSES
Balance at beginning of period	$	695,878		$	714,760		$	707,665		$	700,719		$	717,937
Net charge-offs (NCO)	30,751			22,751			38,157			30,320			43,378
Provision for loan losses	19,914			3,869			45,252			37,266			26,160
Balance at end of period	$	685,041		$	695,878		$	714,760		$	707,665		$	700,719

Allowance for loan losses as a % of total loans	1.19		%	1.27		%	1.32		%	1.34		%	1.38		%
Allowance for loan losses as a % of nonperforming loans [a]	173.06			164.85			170.73			149.84			133.25
Allowance for loan losses as a % of nonperforming assets [a]	162.97			157.15			161.50			141.13			126.84

Annualized as a % of average loans:
NCO - QTD	0.22			0.16			0.28			0.24			0.34
NCO - YTD	0.22			0.23			0.26			0.24			0.44
[a] Includes loans held for sale that are on nonaccrual status.

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Three Months Ended December 31,
	2014							2013
	Average Balance			Income/Expense		Yield/ Rate		Average Balance			Income/ Expense		Yield/Rate
YIELD/RATE ANALYSIS
(Taxable Equivalent Basis)
Assets
Earning assets:
Loans	$	56,419,150		$	561,422	3.95	%	$	50,506,422		$	535,388	4.21	%
Investment securities available for sale [a]	9,583,937			47,503		1.97		8,352,631			46,740		2.22
Investment securities held to maturity	1,394,926			9,835		2.80		1,535,107			10,720		2.77
Other earning assets	2,005,363			6,262		1.24		104,036			615		2.35
Total earning assets [a]	69,403,376			625,022		3.57		60,498,196			593,463		3.89
Allowance for loan losses	(692,839		)					(717,913		)
Unrealized gain (loss) on securities available for sale	44,581							34,260
Other assets	13,947,785							12,285,033
Total assets	$	82,702,903						$	72,099,576

Liabilities and Shareholders' Equity
Interest bearing liabilities:
Interest bearing demand deposits	$	7,311,384		$	2,920	0.16		$	7,240,082		$	2,940	0.16
Savings and money market accounts	23,384,402			27,750		0.47		19,058,253			15,779		0.33
Certificates and other time deposits	12,783,269			40,280		1.25		11,847,529			33,099		1.11
Foreign office deposits	163,716			84		0.20		117,567			61		0.21
Total interest bearing deposits	43,642,771			71,034		0.65		38,263,431			51,879		0.54
FHLB and other borrowings	4,799,343			20,010		1.65		4,508,823			17,205		1.51
Federal funds purchased and securities sold under agreement to repurchase	1,084,679			918		0.34		964,386			505		0.21
Other short-term borrowings	1,448,610			4,802		1.32		12,916			31		0.95
Total interest bearing liabilities	50,975,403			96,764		0.75		43,749,556			69,620		0.63
Noninterest bearing deposits	17,473,984							15,492,506
Other noninterest bearing liabilities	2,247,583							1,365,761
Total liabilities	70,696,970							60,607,823
Shareholder's equity	12,005,933							11,491,753
Total liabilities and shareholder's equity	$	82,702,903						$	72,099,576

Net interest income/ net interest spread				528,258		2.82	%				523,843		3.26	%
Net yield on earning assets						3.02	%						3.44	%

Total taxable equivalent adjustment				18,805							16,334

Net interest income				$	509,453						$	507,509
[a] Excludes adjustment for market valuation.

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Years Ended December 31,
	2014							2013
	Average Balance			Income/ Expense		Yield/ Rate		Average Balance			Income/ Expense		Yield/ Rate
YIELD/RATE ANALYSIS
(Taxable Equivalent Basis)
Assets
Earning assets:
Loans	$	54,423,885		$	2,139,429	3.93	%	$	47,959,849		$	2,149,731	4.48	%
Investment securities available for sale [a]	9,052,396			198,732		2.20		8,462,224			185,624		2.19
Investment securities held to maturity	1,447,636			40,145		2.77		1,539,945			43,467		2.82
Other earning assets	609,054			8,434		0.01		137,363			3,171		0.02
Total earning assets [a]	65,532,971			2,386,740		3.64		58,099,381			2,381,993		4.10
Allowance for loan losses	(703,902		)					(752,801		)
Unrealized gain (loss) on securities available for sale	41,316							98,432
Other assets	12,650,370							12,864,625
Total assets	$	77,520,755						$	70,309,637

Liabilities and Shareholders' Equity
Interest bearing liabilities:
Interest bearing demand deposits	$	7,280,418		11,986		0.16		$	6,824,450		11,377		0.17
Savings and money market accounts	21,616,078			87,672		0.41		19,137,539			71,860		0.38
Certificates and other time deposits	12,745,974			151,997		1.19		11,886,386			128,600		1.08
Foreign office deposits	131,925			259		0.20		118,644			263		0.22
Total interest bearing deposits	41,774,395			251,914		0.60		37,967,019			212,100		0.56
FHLB and other borrowings	4,254,352			68,957		1.62		4,269,521			66,275		1.55
Federal funds purchased and securities sold under agreement to repurchase	935,439			2,302		0.25		979,759			2,082		0.21
Other short-term borrowings	385,461			5,318		1.38		12,739			118		0.93
Total interest bearing liabilities	47,349,647			328,491		0.69		43,229,038			280,575		0.65
Noninterest bearing deposits	16,633,240							14,586,725
Other noninterest bearing liabilities	1,695,869							1,156,486
Total liabilities	65,678,756							58,972,249
Shareholder's equity	11,841,999							11,337,388
Total liabilities and shareholder's equity	$	77,520,755						$	70,309,637

Net interest income/ net interest spread				2,058,249		2.95	%				2,101,418		3.45	%
Net yield on earning assets						3.14	%						3.62	%

Total taxable equivalent adjustment				72,755							58,737

Net interest income				$	1,985,494						$	2,042,681
[a] Excludes adjustment for market valuation.

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Year Ended							Three Months Ended
	December 31,					%		2014									2013
	2014			2013		Change		December 31		September 30		June 30		March 31			December 31
NONINTEREST INCOME
Service charges on deposit accounts	$	222,685		$	221,413	1		$	56,799	$	57,537	$	54,958	$	53,391		$	56,812
Card and merchant processing fees	107,891			102,189		6		26,432		28,682		28,473		24,304			25,320
Retail investment sales	108,477			97,276		12		25,424		27,645		28,844		26,564			25,552
Investment banking and advisory fees	87,454			47,604		84		24,228		18,750		22,280		22,196			13,958
Asset management fees	42,772			40,939		4		10,813		10,666		10,535		10,758			9,796
Corporate and correspondent investment sales	29,635			35,674		(17	)	7,619		5,388		7,972		8,656			8,720
Mortgage banking income	24,551			35,399		(31	)	5,627		8,498		6,150		4,276			3,178
Bank owned life insurance	18,616			17,747		5		5,809		4,603		4,237		3,967			4,846
Other	222,614			203,403		9		68,033		54,809		50,532		49,240			42,892
	864,695			801,644		8		230,784		216,578		213,981		203,352			191,074
Investment securities gains, net	53,042			31,371		69		5,434		9,710		21,464		16,434			(1,659		)
Gain (loss) on prepayment of FHLB and other borrowings	(315		)	21,775		NM		—		143		—		(458		)	—
Total noninterest income	$	917,422		$	854,790	7		$	236,218	$	226,431	$	235,445	$	219,328		$	189,415

NONINTEREST EXPENSE
Salaries, benefits and commissions	$	1,072,269		$	1,005,244	7		$	281,065	$	265,334	$	263,301	$	262,569		$	261,643
FDIC indemnification expense	115,049			267,159		(57	)	34,313		18,748		30,370		31,618			55,453
Professional services	207,679			191,402		9		59,027		52,463		49,790		46,399			58,204
Equipment	223,963			208,059		8		58,401		56,355		55,469		53,738			59,070
Net occupancy	158,379			157,737		—		39,865		39,357		40,200		38,957			40,115
Marketing	35,991			37,352		(4	)	5,894		11,587		9,986		8,524			9,212
Communications	24,608			25,965		(5	)	6,003		5,964		6,294		6,347			7,392
Amortization of intangibles	50,856			60,691		(16	)	24,556		12,635		13,631		12,534			14,305
Other	291,958			245,566		19		74,357		70,699		76,221		58,181			71,277
Total noninterest expense	$	2,180,752		$	2,199,175	(1	)	$	583,481	$	533,142	$	545,262	$	518,867		$	576,671
NM = Not meaningful

BBVA COMPASS BANCSHARES, INC. (Unaudited) (Dollars in thousands)

	Three Months Ended December 31,				Years Ended December 31,
	2014		2013		2014		2013
NON-GAAP RECONCILIATION

Computation of Average Tangible Equity:
Total stockholder's equity	$	12,005,933	11,491,753		$	11,841,999	11,337,388
Less: Goodwill and other intangibles	5,198,332		5,116,852		5,175,940		5,132,741
Tangible common equity	$	6,807,601	6,374,901		$	6,666,059	6,204,647

Computation of Tier 1 Tangible Common Equity:
Total stockholder's equity	$	11,974,683	$	11,458,752	$	11,974,683	$	11,458,752
Less: Goodwill and other intangibles	5,153,119		5,110,834		5,153,119		5,110,834
Tier 1 tangible common equity	$	6,821,564	$	6,347,918	$	6,821,564	$	6,347,918

BBVA COMPASS BANCSHARES, INC SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited) (Dollars in thousands)

	At or Quarter Ended December 31, 2014
	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Nonaccrual		Accruing TDRs		Not Past Due or Impaired		Total		Net Charge Offs (Recoveries)

Commercial, financial and agricultural	$	10,829	$	5,765	$	1,610	$	61,157	$	10,127	$	23,739,049	$	23,828,537	$	712
Real estate – construction	1,954		994		477		7,964		2,112		2,141,151		2,154,652		(1,539		)
Commercial real estate – mortgage	9,813		4,808		628		89,736		39,841		9,732,380		9,877,206		3,180
Residential real estate – mortgage	45,279		16,510		2,598		108,357		69,408		13,680,504		13,922,656		3,848
Equity lines of credit	9,929		4,395		2,679		32,874		—		2,254,907		2,304,784		2,128
Equity loans	6,357		3,268		997		19,029		41,197		564,120		634,968		755
Credit card	5,692		3,921		9,441		—		—		611,402		630,456		8,209
Consumer – direct	9,542		1,826		2,296		799		298		638,166		652,927		4,756
Consumer – indirect	35,366		7,935		2,771		2,624		—		2,821,712		2,870,408		8,367
Covered loans	6,678		4,618		47,957		114		—		435,823		495,190		335
Total loans	$	141,439	$	54,040	$	71,454	$	322,654	$	162,983	$	56,619,214	$	57,371,784	$	30,751
Loans held for sale	$	240	$	—	$	—	$	—	$	—	$	154,576	$	154,816	$	—



	At or Quarter Ended September 30, 2014
	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Nonaccrual		Accruing TDRs		Not Past Due or Impaired		Total		Net Charge Offs (Recoveries)

Commercial, financial and agricultural	$	12,846	$	3,261	$	838	$	79,577	$	10,444	$	22,403,990	$	22,510,956	$	(414	)
Real estate – construction	526		109		464		9,928		672		1,966,085		1,977,784		(977		)
Commercial real estate – mortgage	7,716		3,129		3,448		92,718		43,023		9,348,527		9,498,561		247
Residential real estate – mortgage	37,711		20,447		2,474		104,192		72,590		13,369,402		13,606,816		3,223
Equity lines of credit	8,046		3,966		3,308		34,115		—		2,210,126		2,259,561		2,221
Equity loans	5,624		2,746		1,068		18,637		42,595		558,377		629,047		1,142
Credit card	5,566		3,718		8,774		—		—		612,942		631,000		7,570
Consumer – direct	7,751		1,678		1,984		402		57		598,108		609,980		4,482
Consumer – indirect	30,348		6,379		1,389		1,596		—		2,665,060		2,704,772		4,553
Covered loans	9,741		4,512		52,449		3,772		2,399		507,883		580,756		704
Total loans	$	125,875	$	49,945	$	76,196	$	344,937	$	171,780	$	54,240,500	$	55,009,233	$	22,751
Loans held for sale	$	—	$	—	$	—	$	—	$	—	$	190,882	$	190,882	$	—



	At or Quarter Ended June 30, 2014
	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Nonaccrual		Accruing TDRs		Not Past Due or Impaired		Total		Net Charge Offs (Recoveries)

Commercial, financial and agricultural	$	8,399	$	3,520	$	2,311	$	72,606	$	10,491	$	22,268,502	$	22,365,829	$	11,584
Real estate – construction	923		418		1,138		9,401		2,244		1,778,056		1,792,180		1,070
Commercial real estate – mortgage	5,675		3,358		221		88,554		45,836		9,317,448		9,461,092		4,062
Residential real estate – mortgage	43,219		15,305		2,332		110,077		73,329		13,111,778		13,356,040		2,030
Equity lines of credit	9,113		4,776		2,044		35,552		—		2,186,966		2,238,451		6,204
Equity loans	6,364		2,666		833		19,571		42,460		537,900		609,794		1,345
Credit card	5,186		3,766		8,737		—		—		619,215		636,904		8,857
Consumer – direct	8,859		1,441		2,194		282		67		551,106		563,949		4,071
Consumer – indirect	24,633		4,585		1,231		1,611		—		2,416,342		2,448,402		2,614
Covered loans	7,184		4,182		55,178		4,153		3,832		538,623		613,152		(3,680		)
Total loans	$	119,555	$	44,017	$	76,219	$	341,807	$	178,259	$	53,325,936	$	54,085,793	$	38,157
Loans held for sale	$	70	$	—	$	—	$	—	$	—	$	211,809	$	211,879	$	—



	At or Quarter Ended March 31, 2014
	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Nonaccrual		Accruing TDRs		Not Past Due or Impaired		Total		Net Charge Offs (Recoveries)

Commercial, financial and agricultural	$	10,240	$	2,277	$	1,403	$	103,133	$	21,244	$	21,601,190	$	21,739,487	$	(51	)
Real estate – construction	3,346		147		1,337		10,999		2,436		1,711,285		1,729,550		(915		)
Commercial real estate – mortgage	12,173		3,070		626		106,295		59,543		9,121,321		9,303,028		2,023
Residential real estate – mortgage	42,003		15,432		2,632		107,601		72,043		12,746,663		12,986,374		6,057
Equity lines of credit	10,249		9,068		5,285		33,178		—		2,161,082		2,218,862		4,838
Equity loans	8,410		3,970		825		20,130		43,078		540,349		616,762		2,119
Credit card	5,742		4,254		9,965		—		—		614,305		634,266		8,679
Consumer – direct	7,375		1,509		2,814		355		79		501,665		513,797		3,942
Consumer – indirect	18,980		3,569		497		1,349		—		2,226,493		2,250,888		3,754
Covered loans	8,088		11,378		58,106		5,557		3,856		614,173		701,158		(126		)
Total loans	$	126,606	$	54,674	$	83,490	$	388,597	$	202,279	$	51,838,526	$	52,694,172	$	30,320
Loans held for sale	$	—	$	—	$	—	$	—	$	—	$	101,615	$	101,615	$	—



	At or Quarter Ended December 31, 2013
	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Nonaccrual		Accruing TDRs		Not Past Due or Impaired		Total		Net Charge Offs (Recoveries)

Commercial, financial and agricultural	$	9,485	$	6,111	$	2,212	$	128,231	$	25,548	$	20,037,622	$	20,209,209	$	10,205
Real estate – construction	4,258		1,862		240		14,183		3,801		1,712,004		1,736,348		(43		)
Commercial real estate – mortgage	9,521		4,869		797		129,672		59,727		8,901,743		9,106,329		5,980
Residential real estate – mortgage	48,597		22,629		2,460		102,904		74,236		12,456,053		12,706,879		8,608
Equity lines of credit	12,230		6,252		5,109		31,431		—		2,181,345		2,236,367		7,039
Equity loans	7,630		3,170		1,167		20,447		42,850		568,804		644,068		2,341
Credit card	5,955		4,676		10,277		—		—		639,165		660,073		7,578
Consumer – direct	8,736		3,000		2,402		540		91		501,803		516,572		3,732
Consumer – indirect	24,945		5,276		1,540		1,523		—		2,083,697		2,116,981		3,494
Covered loans	8,254		4,171		56,610		5,428		3,455		656,272		734,190		(5,556		)
Total loans	$	139,611	$	62,016	$	82,814	$	434,359	$	209,708	$	49,738,508	$	50,667,016	$	43,378
Loans held for sale	$	—	$	—	$	—	$	7,359	$	—	$	139,750	$	147,109	$	—

BBVA COMPASS BANCSHARES, INC. BALANCE SHEET (Unaudited) (In Thousands)

	2014												2013
	December 31,			September 30,			June 30,			March 31,			December 31,
Assets:
Cash and due from banks	$	2,764,345		$	4,643,636		$	3,232,911		$	4,257,226		$	3,563,349
Federal funds sold, securities purchased under agreements to resell and interest bearing deposits	624,060			271,898			31,291			16,446			35,111
Cash and cash equivalents	3,388,405			4,915,534			3,264,202			4,273,672			3,598,460
Trading account assets	2,834,397			515,136			356,889			342,963			319,930
Investment securities available for sale	10,237,275			9,326,413			8,972,237			8,533,722			8,313,085
Investment securities held to maturity	1,348,354			1,417,985			1,448,192			1,493,396			1,519,196
Loans held for sale	154,816			190,882			211,879			101,615			147,109
Loans	57,371,784			55,009,233			54,085,793			52,694,172			50,667,016
Allowance for loan losses	(685,041		)	(695,878		)	(714,760		)	(707,665		)	(700,719		)
Net loans	56,686,743			54,313,355			53,371,033			51,986,507			49,966,297
Premises and equipment, net	1,351,479			1,333,008			1,359,750			1,387,812			1,420,988
Bank owned life insurance	694,335			695,842			691,445			687,200			683,224
Goodwill	5,046,847			5,060,924			5,076,142			5,077,223			4,971,645
Other intangible assets	70,784			82,840			95,475			107,110			109,040
Other real estate owned	20,600			17,058			21,113			25,817			23,228
Other assets	1,318,392			1,323,212			878,743			940,190			893,274
Total assets	$	83,152,427		$	79,192,189		$	75,747,100		$	74,957,227		$	71,965,476
Liabilities:
Deposits:
Noninterest bearing	$	17,169,412		$	16,979,235		$	16,321,003		$	16,322,699		$	15,377,844
Interest bearing	44,020,304			43,291,723			41,797,403			40,762,511			39,059,646
Total deposits	61,189,716			60,270,958			58,118,406			57,085,210			54,437,490
FHLB and other borrowings	4,809,843			4,551,050			3,958,497			4,257,587			4,298,707
Federal funds purchased and securities sold under agreements to repurchase	1,129,503			809,053			864,263			957,378			852,570
Other short-term borrowings	2,545,724			246,835			15,705			28,822			5,591
Accrued expenses and other liabilities	1,474,067			1,387,240			940,691			898,396			883,359
Total liabilities	71,148,853			67,265,136			63,897,562			63,227,393			60,477,717
Shareholder’s Equity:
Common stock — $0.01 par value	2,230			2,230			2,230			2,230			2,207
Surplus	15,285,991			15,333,316			15,383,867			15,383,954			15,273,218
Retained deficit	(3,262,181		)	(3,364,389		)	(3,507,192		)	(3,614,263		)	(3,728,737		)
Accumulated other comprehensive loss	(51,357		)	(73,846		)	(58,295		)	(71,547		)	(87,936		)
Total BBVA Compass Bancshares, Inc. shareholder’s equity	11,974,683			11,897,311			11,820,610			11,700,374			11,458,752
Noncontrolling interests	28,891			29,742			28,928			29,460			29,007
Total shareholder’s equity	12,003,574			11,927,053			11,849,538			11,729,834			11,487,759
Total liabilities and shareholder’s equity	$	83,152,427		$	79,192,189		$	75,747,100		$	74,957,227		$	71,965,476

BBVA COMPASS BANCSHARES INCOME STATEMENTS (Unaudited) (In Thousands)

	Three Months Ended
	2014									2013
	December 31		September 30		June 30		March 31			December 31
Interest income:
Interest and fees on loans	$	547,309	$	509,766	$	520,516	$	508,506		$	524,274
Interest on investment securities available for sale	45,786		48,363		48,253		49,090			44,742
Interest on investment securities held to maturity	6,860		6,862		7,003		7,246			7,500
Interest on federal funds sold, securities purchased under agreements to resell and interest bearing deposits	566		47		42		47			28
Interest on trading account assets	5,696		933		578		516			585
Total interest income	606,217		565,971		576,392		565,405			577,129
Interest expense:
Interest on deposits	71,034		66,763		60,901		53,216			51,879
Interest on FHLB and other borrowings	20,010		16,399		16,184		16,364			17,205
Interest on federal funds purchased and securities sold under agreements to repurchase	918		447		437		500			505
Interest on other short-term borrowings	4,802		394		96		26			31
Total interest expense	96,764		84,003		77,618		70,106			69,620
Net interest income	509,453		481,968		498,774		495,299			507,509
Provision for loan losses	19,914		3,869		45,252		37,266			26,160
Net interest income after provision for loan losses	489,539		478,099		453,522		458,033			481,349
Noninterest income:
Service charges on deposit accounts	56,799		57,537		54,958		53,391			56,812
Card and merchant processing fees	26,432		28,682		28,473		24,304			25,320
Retail investment sales	25,424		27,645		28,844		26,564			25,552
Investment banking and advisory fees	24,228		18,750		22,280		22,196			13,958
Asset management fees	10,813		10,666		10,535		10,758			9,796
Corporate and correspondent investment sales	7,619		5,388		7,972		8,656			8,720
Mortgage banking income	5,627		8,498		6,150		4,276			3,178
Bank owned life insurance	5,809		4,603		4,237		3,967			4,846
Investment securities gains, net	5,434		9,710		21,464		16,434			(1,659		)
Gain (loss) on prepayment of FHLB and other borrowings	—		143		—		(458		)	—
Other	68,033		54,809		50,532		49,240			42,892
Total noninterest income	236,218		226,431		235,445		219,328			189,415
Noninterest expense:
Salaries, benefits and commissions	281,065		265,334		263,301		262,569			261,643
FDIC indemnification expense	34,313		18,748		30,370		31,618			55,453
Professional services	59,027		52,463		49,790		46,399			58,204
Equipment	58,401		56,355		55,469		53,738			59,070
Net occupancy	39,865		39,357		40,200		38,957			40,115
Marketing	5,894		11,587		9,986		8,524			9,212
Communications	6,003		5,964		6,294		6,347			7,392
Amortization of intangibles	24,556		12,635		13,631		12,534			14,305
Other	74,357		70,699		76,221		58,181			71,277
Total noninterest expense	583,481		533,142		545,262		518,867			576,671
Net income before income tax expense	142,276		171,388		143,705		158,494			94,093
Income tax expense	39,864		27,770		36,130		43,567			24,787
Net income	102,412		143,618		107,575		114,927			69,306
Less: net income attributable to noncontrolling interests	204		815		504		453			486
Net income attributable to shareholder	$	102,208	$	142,803	$	107,071	$	114,474		$	68,620

Attached files

BBVA USA Bancshares, Inc. Reports

Also read