NEWS RELEASE
	Contact:	Donald P. Hileman
		President and CEO
		(419) 782-5104
		dhileman@first-fed.com

 

Exhibit 99.1

For Immediate Release

 

FIRST DEFIANCE FINANCIAL CORP. REVISES 2014 EARNINGS UPWARD BY $0.06 PER DILUTED SHARE FOR ADJUSTED TAX EXPENSE

 

DEFIANCE, OHIO (February 17, 2015) – First Defiance Financial Corp. (NASDAQ: FDEF) announced today an upward adjustment of $551,000, or $0.06 per diluted common share, to its previously reported fourth quarter and full year 2014 net income. The adjustment relates to First Defiance's provision for income taxes for the fourth quarter and has no effect on any other previously reported period. The adjustment to the provision for income taxes reflects the utilization of capital loss carryforwards greater than previously identified. As a result, the provision for income taxes for the quarter and full year ended December 31, 2014 was previously overstated by $551,000.

 

First Defiance's revised earnings of $6.4 million, or $0.65 per diluted common share, for the quarter ended December 31, 2014, compares to $5.1 million or $0.50 per diluted common share for the fourth quarter a year ago. For the year ended December 31, 2014, First Defiance's net income increased to $24.3 million, or $2.44 per diluted common share, compared to $22.2 million, or $2.19 per diluted common share, in 2013.

 

The attached financial statements and highlights reflect the adjustment to the provision for income taxes and related effects on net income, earnings per common share, liabilities, stockholders equity, common book value and tangible common book value per share, and financial ratios for return on average assets, return on average equity, shareholders’ equity/assets, common dividend payout ratio and effective tax rate.

 

First Defiance Financial Corp.

 

First Defiance Financial Corp., headquartered in Defiance, Ohio, is the holding company for First Federal Bank of the Midwest and First Insurance Group. First Federal operates 33 full-service branches and 43 ATM locations in northwest Ohio, southeast Michigan and northeast Indiana and a loan production office in Columbus, Ohio. First Insurance Group is a full-service insurance agency with five offices throughout northwest Ohio.

 

For more information, visit the company’s Web site at www.fdef.com.

 

Financial Statements and Highlights Follow-

 

 

Safe Harbor Statement

 

This news release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21 B of the Securities Act of 1934, as amended, which are intended to be safe harbors created thereby. Those statements may include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, forecasts and plans of First Defiance Financial Corp. and its management, and specifically include statements regarding: changes in economic conditions, the nature, extent and timing of governmental actions and reforms, future movements of interest rates, the production levels of mortgage loan generation, the ability to continue to grow loans and deposits, the ability to benefit from a changing interest rate environment, the ability to sustain credit quality ratios at current or improved levels, the ability to sell real estate owned properties, continued strength in the market area for First Federal Bank of the Midwest, and the ability of the Company to grow in existing and adjacent markets. These forward-looking statements involve numerous risks and uncertainties, including those inherent in general and local banking, insurance and mortgage conditions, competitive factors specific to markets in which the Company and its subsidiaries operate, future interest rate levels, legislative and regulatory decisions or capital market conditions and other risks and uncertainties detailed from time to time in the Company's Securities and Exchange Commission (SEC) filings, including the Company's Annual Report on Form 10-K for the year ended December 31, 2013. One or more of these factors have affected or could in the future affect the Company's business and financial results in future periods and could cause actual results to differ materially from plans and projections. Therefore, there can be no assurances that the forward-looking statements included in this news release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other persons, that the objectives and plans of the Company will be achieved. All forward-looking statements made in this news release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.

 

 

Consolidated Balance Sheets (Unaudited)

First Defiance Financial Corp.

 

		December 31,				December 31,
(in thousands)		2014				2013
Assets
Cash and cash equivalents
Cash and amounts due from depository institutions		$	41,936			$	36,318
Interest-bearing deposits			71,000				143,000
			112,936				179,318
Securities
Available-for sale, carried at fair value			239,321				198,170
Held-to-maturity, carried at amortized cost			313				387
			239,634				198,557
Loans			1,646,786				1,580,448
Allowance for loan losses			(24,766	)			(24,950	)
Loans, net			1,622,020				1,555,498
Loans held for sale			4,535				9,120
Mortgage servicing rights			9,012				9,106
Accrued interest receivable			6,037				5,778
Federal Home Loan Bank stock			13,802				19,350
Bank Owned Life Insurance			47,013				42,715
Office properties and equipment			40,496				38,597
Real estate and other assets held for sale			6,181				5,859
Goodwill			61,525				61,525
Core deposit and other intangibles			2,395				3,497
Deferred taxes			-				565
Other assets			13,366				7,663
Total Assets		$	2,178,952			$	2,137,148
Liabilities and Stockholders’ Equity
Non-interest-bearing deposits		$	379,552			$	348,943
Interest-bearing deposits			1,381,261				1,386,849
Total deposits			1,760,813				1,735,792
Advances from Federal Home Loan Bank			21,544				22,520
Notes payable and other interest-bearing liabilities			54,759				51,919
Subordinated debentures			36,083				36,083
Advance payments by borrowers for tax and insurance			2,309				1,519
Deferred Taxes			1,176				-
Other liabilities			22,763				17,168
Total Liabilities			1,899,447				1,865,001
Stockholders’ Equity
Preferred stock			-				-
Common stock, net			127				127
Common stock warrant			878				878
Additional paid-in-capital			136,266				136,403
Accumulated other comprehensive income			4,114				545
Retained earnings			200,600				182,290
Treasury stock, at cost			(62,480	)			(48,096	)
Total stockholders’ equity			279,505				272,147
Total Liabilities and Stockholders’ Equity		$	2,178,952			$	2,137,148

 

  

Consolidated Statements of Income (Unaudited)

First Defiance Financial Corp.

 

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(in thousands, except per share amounts)		2014				2013				2014				2013
Interest Income:
Loans		$	17,788			$	17,037			$	68,682			$	68,077
Investment securities			1,719				1,397				6,575				5,596
Interest-bearing deposits			66				108				349				282
FHLB stock dividends			140				195				642				826
Total interest income			19,713				18,737				76,248				74,781
Interest Expense:
Deposits			1,293				1,399				5,283				5,913
FHLB advances and other			131				136				528				434
Subordinated debentures			148				149				587				601
Notes Payable			40				44				161				222
Total interest expense			1,612				1,728				6,559				7,170
Net interest income			18,101				17,009				69,689				67,611
Provision for loan losses			162				475				1,117				1,824
Net interest income after provision for loan losses			17,939				16,534				68,572				65,787
Non-interest Income:
Service fees and other charges			2,766				2,506				10,258				10,045
Mortgage banking income			1,270				1,324				5,602				8,443
Gain on sale of non-mortgage loans			102				49				181				101
Gain on sale of securities			1				-				932				97
Impairment on securities			-				(337	)			-				(337	)
Insurance commissions			2,219				2,089				9,859				9,627
Trust income			345				274				1,240				969
Income from Bank Owned Life Insurance			218				211				1,802				883
Other non-interest income			421				415				1,767				950
Total Non-interest Income			7,342				6,531				31,641				30,778
Non-interest Expense:
Compensation and benefits			9,075				8,310				35,543				34,301
Occupancy			1,778				1,733				6,683				6,970
FDIC insurance premium			332				359				1,419				1,616
Financial institutions tax			239				486				1,762				2,323
Data processing			1,523				1,313				5,856				5,125
Amortization of intangibles			269				296				1,102				1,241
Other non-interest expense			3,753				3,490				14,393				13,476
Total Non-interest Expense			16,969				15,987				66,758				65,052
Income before income taxes			8,312				7,078				33,455				31,513
Income taxes			1,957				1,991				9,163				9,278
Net Income		$	6,355			$	5,087			$	24,292			$	22,235
Earnings per common share:
Basic		$	0.68			$	0.52			$	2.55			$	2.28
Diluted		$	0.65			$	0.50			$	2.44			$	2.19
Average Shares Outstanding:
Basic			9,316				9,766				9,511				9,764
Diluted			9,801				10,198				9,975				10,171

  

 

Financial Summary and Comparison (Unaudited)

First Defiance Financial Corp.

 

		Three Months Ended												Twelve Months Ended
		December 31,												December 31,
(dollars in thousands, except per share data)		2014				2013				% change				2014				2013				% change
Summary of Operations
Tax-equivalent interest income (1)		$	20,174			$	19,143				5.4	%		$	78,046			$	76,413				2.1	%
Interest expense			1,612				1,728				(6.7	)			6,559				7,170				(8.5	)
Tax-equivalent net interest income (1)			18,562				17,415				6.6				71,487				69,243				3.2
Provision for loan losses			162				475				(65.9	)			1,117				1,824				(38.8	)
Tax-equivalent NII after provision for loan loss (1)			18,400				16,940				8.6				70,370				67,419				4.4
Investment Securities gains			1				-				NM				932				97				NM
Non-interest income (excluding securities gains/losses)			7,341				6,810				7.8				30,709				30,810				(0.3	)
Non-interest expense			16,969				15,929				6.5				66,758				64,844				3.0
Income taxes			1,957				1,991				(1.7	)			9,163				9,278				(1.2	)
Net Income			6,355				5,087				24.9				24,292				22,235				9.3
Tax equivalent adjustment (1)			461				406				13.5				1,798				1,632				10.2
At Period End
Assets			2,178,952				2,137,148				2.0
Earning assets			1,975,757				1,950,475				1.3
Loans			1,646,786				1,580,448				4.2
Allowance for loan losses			24,766				24,950				(0.7	)
Deposits			1,760,813				1,735,792				1.4
Stockholders’ equity			279,505				272,147				2.7
Average Balances
Assets			2,184,792				2,124,109				2.9				2,162,468				2,052,250				5.4
Earning assets			1,964,074				1,915,508				2.5				1,947,078				1,845,462				5.5
Loans			1,615,657				1,543,057				4.7				1,574,753				1,528,176				3.0
Deposits and interest-bearing liabilities			1,879,918				1,833,291				2.5				1,862,834				1,766,579				5.4
Deposits			1,764,908				1,719,319				2.7				1,750,184				1,661,895				5.3
Stockholders’ equity			278,944				270,856				3.0				276,537				265,065				4.3
Stockholders’ equity / assets			12.77	%			12.75	%			0.1				12.79	%			12.92	%			(1.0	)
Per Common Share Data
Net Income
Basic		$	0.68			$	0.52				30.8			$	2.55			$	2.28				11.8
Diluted			0.65				0.50				30.0				2.44				2.19				11.4
Dividends			0.175				0.10				75.0				0.625				0.40				56.3
Market Value:
High		$	35.70			$	27.25				31.0			$	35.70			$	27.25				31.0
Low			26.95				23.31				15.6				24.24				23.31				4.0
Close			34.06				25.97				31.2				34.06				25.97				31.2
Common Book Value			30.17				27.91				8.1				30.17				27.91				8.1
Tangible Common Book Value			23.25				21.22				9.6				23.25				21.22				9.6
Shares outstanding, end of period (000)			9,235				9,720				(5.0	)			9,235				9,720				(5.0	)
Performance Ratios (annualized)
Tax-equivalent net interest margin (1)			3.76	%			3.61	%			4.2				3.68	%			3.76	%			(2.1	)
Return on average assets			1.15	%			0.95	%			21.5				1.12	%			1.08	%			3.7
Return on average equity			9.04	%			7.45	%			21.3				8.78	%			8.39	%			4.7
Efficiency ratio (2)			65.51	%			65.75	%			(0.4	)			65.32	%			64.81	%			0.8
Effective tax rate			23.54	%			28.13	%			(16.3	)			27.39	%			29.44	%			(7.0	)
Dividend payout ratio (basic)			25.74	%			19.23	%			33.8				24.51	%			17.54	%			39.7

 

(1)

Interest income on tax-exempt securities and loans has been adjusted to a tax-equivalent basis using the statutory federal income tax rate of 35%

(2)

Efficiency ratio = Non-interest expense divided by sum of tax-equivalent net interest income plus non-interest income, excluding securities gains or losses, net.

 

NM Percentage change not meaningful

 

  

Income from Mortgage Banking

 

Revenue from sales and servicing of mortgage loans consisted of the following:

 

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(dollars in thousands)		2014				2013				2014				2013
Gain from sale of mortgage loans		$	734			$	756			$	3,335			$	5,716
Mortgage loan servicing revenue (expense):
Mortgage loan servicing revenue			900				918				3,552				3,564
Amortization of mortgage servicing rights			(375	)			(346	)			(1,401	)			(2,098	)
Mortgage servicing rights valuation adjustments			11				(4	)			116				1,261
			536				568				2,267				2,727
Total revenue from sale and servicing of mortgage loans		$	1,270			$	1,324			$	5,602			$	8,443

 

  

Yield Analysis

First Defiance Financial Corp.

 

		Three Months Ended December 31,
		(dollars in thousands)
		2014												2013
		Average								Yield				Average								Yield
		Balance				Interest(1)				Rate(2)				Balance				Interest(1)				Rate(2)
Interest-earning assets:
Loans receivable		$	1,615,657			$	17,833				4.38	%		$	1,543,057			$	17,055				4.39	%
Securities			238,553				2,135				3.65	%			187,230				1,785				3.82	%
Interest Bearing Deposits			96,062				66				0.27	%			165,871				108				0.26	%
FHLB stock			13,802				140				4.02	%			19,350				195				4.00	%
Total interest-earning assets			1,964,074				20,174				4.09	%			1,915,508				19,143				3.97	%
Non-interest-earning assets			220,718												208,601
Total assets		$	2,184,792											$	2,124,109
Deposits and Interest-bearing liabilities:
Interest bearing deposits		$	1,393,584			$	1,293				0.37	%		$	1,382,526			$	1,399				0.40	%
FHLB advances and other			21,628				131				2.40	%			22,604				136				2.39	%
Subordinated debentures			36,128				148				1.63	%			36,129				149				1.64	%
Notes payable			57,254				40				0.28	%			55,239				44				0.32	%
Total interest-bearing liabilities			1,508,594				1,612				0.42	%			1,496,498				1,728				0.46	%
Non-interest bearing deposits			371,324				-				-				336,793				-				-
Total including non-interest-bearing demand deposits			1,879,918				1,612				0.34	%			1,833,291				1,728				0.37	%
Other non-interest-bearing liabilities			25,930												19,962
Total liabilities			1,905,848												1,853,253
Stockholders' equity			278,944												270,856
Total liabilities and stockholders' equity		$	2,184,792											$	2,124,109
Net interest income; interest rate spread						$	18,562				3.67	%						$	17,415				3.51	%
Net interest margin (3)											3.76	%											3.61	%
Average interest-earning assets  to average interest bearing liabilities											130	%											128	%

 

		Twelve Months Ended December 31,
		2014												2013
		Average								Yield				Average								Yield
		Balance				Interest(1)				Rate				Balance				Interest(1)				Rate
Interest-earning assets:
Loans receivable		$	1,574,753			$	68,828				4.37	%		$	1,528,176			$	68,147				4.46	%
Securities			223,534				8,227				3.79	%			191,039				7,158				3.78	%
Interest Bearing Deposits			134,114				349				0.26	%			106,742				282				0.26	%
FHLB stock			14,677				642				4.37	%			19,505				826				4.23	%
Total interest-earning assets			1,947,078				78,046				4.01	%			1,845,462				76,413				4.14	%
Non-interest-earning assets			215,390												206,788
Total assets		$	2,162,468											$	2,052,250
Deposits and Interest-bearing liabilities:
Interest bearing deposits		$	1,399,507			$	5,283				0.38	%		$	1,353,304			$	5,913				0.44	%
FHLB advances and other			21,995				528				2.40	%			17,709				434				2.45	%
Subordinated debentures			36,131				587				1.62	%			36,133				601				1.66	%
Notes payable			54,524				161				0.30	%			50,842				222				0.44	%
Total interest-bearing liabilities			1,512,157				6,559				0.43	%			1,457,988				7,170				0.49	%
Non-interest bearing deposits			350,677				-				-				308,591				-				-
Total including non-interest-bearing demand deposits			1,862,834				6,559				0.35	%			1,766,579				7,170				0.41	%
Other non-interest-bearing liabilities			23,097												20,606
Total liabilities			1,885,931												1,787,185
Stockholders' equity			276,537												265,065
Total liabilities and stockholders' equity		$	2,162,468											$	2,052,250
Net interest income; interest rate spread						$	71,487				3.57	%						$	69,243				3.65	%
Net interest margin (3)											3.68	%											3.76	%
Average interest-earning assets  to average interest bearing liabilities											129	%											127	%

 

(1)

Interest on certain tax exempt loans and securities is not taxable for Federal income tax purposes. In order to compare the tax-exempt yields on these assets to taxable yields, the interest earned on these assets is adjusted to a pre-tax equivalent amount based on the marginal corporate federal income tax rate of 35%.

(2)

Annualized

(3)

Net interest margin is net interest income divided by average interest-earning assets.

 

  

Selected Quarterly Information

First Defiance Financial Corp.

 

(dollars in thousands, except per share data)		4th Qtr 2014				3rd Qtr 2014				2nd Qtr 2014				1st Qtr 2014				4th Qtr 2013
Summary of Operations
Tax-equivalent interest income (1)		$	20,174			$	19,751			$	19,221			$	18,900			$	19,143
Interest expense			1,612				1,623				1,645				1,678				1,728
Tax-equivalent net interest income (1)			18,562				18,128				17,576				17,222				17,415
Provision for loan losses			162				406				446				103				475
Tax-equivalent NII after provision for loan losses (1)			18,400				17,722				17,130				17,119				16,940
Investment securities gains, net of impairment			1				460				471				-				(337	)
Non-interest income (excluding securities gains/losses)			7,341				8,896				7,146				7,326				6,869
Non-interest expense			16,969				16,771				16,357				16,661				15,987
Income taxes			1,957				2,773				2,254				2,179				1,991
Net income			6,355				7,069				5,689				5,179				5,087
Tax equivalent adjustment (1)			461				465				447				426				406
At Period End
Total assets		$	2,178,952			$	2,151,079			$	2,151,490			$	2,163,659			$	2,137,148
Earning assets			1,975,757				1,954,496				1,949,729				1,965,225				1,950,475
Loans			1,646,786				1,636,266				1,581,984				1,563,953				1,580,448
Allowance for loan losses			24,766				24,567				24,627				24,783				24,950
Deposits			1,760,813				1,730,645				1,741,812				1,760,617				1,735,792
Stockholders’ equity			279,505				278,233				276,449				274,877				272,147
Stockholders’ equity / assets			12.83	%			12.93	%			12.85	%			12.70	%			12.73	%
Goodwill			61,525				61,525				61,525				61,525				61,525
Average Balances
Total assets		$	2,184,792			$	2,153,226			$	2,165,486			$	2,146,369			$	2,124,109
Earning assets			1,964,074				1,934,651				1,952,440				1,937,145				1,915,508
Loans			1,615,657				1,586,652				1,551,799				1,544,902				1,543,057
Deposits and interest-bearing liabilities			1,879,918				1,853,271				1,865,824				1,852,322				1,833,291
Deposits			1,764,908				1,738,494				1,756,098				1,741,237				1,719,319
Stockholders’ equity			278,944				276,968				276,490				273,745				270,856
Stockholders’ equity / assets			12.77	%			12.86	%			12.77	%			12.75	%			12.75	%
Per Common Share Data
Net Income:
Basic		$	0.68			$	0.75			$	0.59			$	0.53			$	0.52
Diluted			0.65				0.71				0.57				0.51				0.50
Dividends			0.18				0.15				0.15				0.15				0.10
Market Value:
High		$	35.70			$	29.00			$	29.00			$	28.23			$	27.25
Low			26.95				26.99				26.50				24.24				23.31
Close			34.06				27.01				28.70				27.12				25.97
Common Book Value			30.17				29.60				28.96				28.38				27.91
Shares outstanding, end of period (in thousands)			9,235				9,371				9,515				9,653				9,720
Performance Ratios (annualized)
Tax-equivalent net interest margin (1)			3.76	%			3.73	%			3.62	%			3.61	%			3.61	%
Return on average assets			1.15	%			1.30	%			1.05	%			0.98	%			0.95	%
Return on average equity			9.04	%			10.13	%			8.25	%			7.67	%			7.45	%
Efficiency ratio (2)			65.51	%			62.06	%			66.16	%			67.87	%			65.75	%
Effective tax rate			23.54	%			28.18	%			28.38	%			29.61	%			28.13	%
Common dividend payout ratio (basic)			25.74	%			20.00	%			25.42	%			28.30	%			19.23	%

 

(1)

Interest income on tax-exempt securities and loans has been adjusted to a tax-equivalent basis using the statutory federal income tax rate of 35%

(2)

Efficiency ratio = Non-interest expense divided by sum of tax-equivalent net interest income plus non-interest income, excluding securities gains, net.

 

  

Selected Quarterly Information

First Defiance Financial Corp.

 

(dollars in thousands, except per share data)		4th Qtr 2014				3rd Qtr 2014				2nd Qtr 2014				1st Qtr 2014				4th Qtr 2013
Loan Portfolio Composition
One to four family residential real estate		$	206,437			$	209,135			$	199,886			$	196,940			$	195,752
Construction			112,385				116,809				108,478				82,049				86,058
Commercial real estate			840,488				834,443				801,923				809,071				819,618
Commercial			399,730				392,465				390,055				380,144				388,236
Consumer finance			15,466				16,616				15,800				16,346				16,902
Home equity and improvement			111,813				111,151				108,460				106,632				106,930
Total loans			1,686,319				1,680,619				1,624,602				1,591,182				1,613,496
Less:
Loans in process			38,653				43,548				41,874				26,487				32,290
Deferred loan origination fees			880				805				744				742				758
Allowance for loan loss			24,766				24,567				24,627				24,783				24,950
Net Loans		$	1,622,020			$	1,611,699			$	1,557,357			$	1,539,170			$	1,555,498
Allowance for loan loss activity
Beginning allowance		$	24,567			$	24,627			$	24,783			$	24,950			$	25,964
Provision for loan losses			162				406				446				103				475
Credit loss charge-offs:
One to four family residential real estate			61				95				42				228				175
Commercial real estate			505				246				39				228				1,097
Commercial			212				1,272				973				525				670
Consumer finance			1				16				12				11				7
Home equity and improvement			87				42				80				184				144
Total charge-offs			866				1,671				1,146				1,176				2,093
Total recoveries			903				1,205				544				906				604
Net charge-offs (recoveries)			(37	)			466				602				270				1,489
Ending allowance		$	24,766			$	24,567			$	24,627			$	24,783			$	24,950
Credit Quality
Total non-performing loans (1)		$	24,130			$	22,525			$	24,863			$	26,774			$	27,847
Real estate owned (REO)			6,181				5,326				5,554				6,028				5,859
Total non-performing assets (2)		$	30,311			$	27,851			$	30,417			$	32,802			$	33,706
Net charge-offs (recoveries)			(37	)			466				602				270				1,489
Restructured loans, accruing (3)			24,686				26,579				26,975				26,654				27,630
Allowance for loan losses / loans			1.50	%			1.50	%			1.56	%			1.58	%			1.58	%
Allowance for loan losses / non-performing assets			81.71	%			88.21	%			80.96	%			75.55	%			74.02	%
Allowance for loan losses / non-performing loans			102.64	%			109.07	%			99.05	%			92.56	%			89.60	%
Non-performing assets / loans plus REO			1.83	%			1.70	%			1.92	%			2.09	%			2.12	%
Non-performing assets / total assets			1.39	%			1.29	%			1.41	%			1.52	%			1.58	%
Net charge-offs / average loans (annualized)			-0.01	%			0.12	%			0.16	%			0.07	%			0.39	%
Deposit Balances
Non-interest-bearing demand deposits		$	379,552			$	340,575			$	355,268			$	338,412			$	348,943
Interest-bearing demand deposits and money market			727,729				739,292				717,506				740,783				715,939
Savings deposits			203,673				197,464				200,626				199,361				185,121
Retail time deposits less than $100,000			286,904				289,326				299,288				309,758				313,335
Retail time deposits greater than $100,000			162,955				163,988				169,124				172,303				172,454
Total deposits		$	1,760,813			$	1,730,645			$	1,741,812			$	1,760,617			$	1,735,792

 

(1)

Non-performing loans consist of non-accrual loans.

(2)

Non-performing assets are non-performing loans plus real estate and other assets acquired by foreclosure or deed-in-lieu thereof.

(3)

Accruing restructured loans are loans with known credit problems that are not contractually past due and therefore are not included in non-performing loans.

 

  

Loan Delinquency Information

First Defiance Financial Corp.

 

(dollars in thousands)		Total Balance				Current				30 to 89 days past due				Non Accrual Loans
December 31, 2014
One to four family residential real estate		$	206,437			$	201,931			$	1,174			$	3,332
Construction			112,385				112,385				-				-
Commercial real estate			840,488				824,770				544				15,174
Commercial			399,730				394,671				66				4,993
Consumer finance			15,466				15,330				124				12
Home equity and improvement			111,813				109,993				1,201				619
Total loans		$	1,686,319			$	1,659,080			$	3,109			$	24,130
September 30, 2014
One to four family residential real estate		$	209,135			$	205,428			$	654			$	3,053
Construction			116,809				116,809				-				-
Commercial real estate			834,443				820,502				68				13,873
Commercial			392,465				386,266				669				5,530
Consumer finance			16,616				16,524				92				-
Home equity and improvement			111,151				109,937				1,145				69
Total loans		$	1,680,619			$	1,655,466			$	2,628			$	22,525
December 31, 2013
One to four family residential real estate		$	195,752			$	190,854			$	1,625			$	3,273
Construction			86,058				86,058				-				-
Commercial real estate			819,618				803,218				566				15,834
Commercial			388,236				379,889				20				8,327
Consumer finance			16,902				16,771				131				-
Home equity and improvement			106,930				105,211				1,306				413
Total loans		$	1,613,496			$	1,582,001			$	3,648			$	27,847