Attached files
| file | filename |
|---|---|
| EX-99.1 - PRESS RELEASE - OCTOBER 26, 2016 - MIDSOUTH BANCORP INC | mslq209302016er-8kex991.htm |
| 8-K - MIDSOUTH BANCORP FORM 8-K - MIDSOUTH BANCORP INC | form8-kxoctober26.htm |
3Q16 Energy Update
3Q 16 Energy Highlights
Energy outstandings down $6.5 million in 3Q, or 2.6%, to $243.3
million
19.1% of loans, down from 19.8% at 6/30/16
Direct C&I – 82% of balances, Indirect – 18% (CRE and RRE)
C&I Wtd Average Maturity – 3.5 years
Energy reserve stands at 4.6% of energy loans at 9/30/16
Reserves on C&I energy loans 5.2%; Other energy related 2.5%
Two energy-related C/Os during quarter totaling $20,000
One energy-related impairment totaling $284,000 identified during 3Q
and one impairment increase of $310,000 on an impaired loan
identified prior to 3Q16
Cycle to date NCO’s - $2.9 million or 1.09% of 12/31/14 energy loans
2
3Q 16 Energy Highlights (cont’d)
Total criticized energy loans 47.1% of total energy loans
vs. 37.2% at 6/30/16
Total criticized up $21.8 million to $114.7 million (up 24%)
Twelve energy-related rating changes during quarter
5 relationships downgraded to Special Mention (SM) - $24.6 Million
5 relationships downgraded to Substandard (SS) - $24.4 Million
2 SNC related downgrades of $15.0 million
2 relationships upgraded to Pass - $3.3 million
2 Shared National Credits – $15.0 million or 6% of energy loans
Unfunded Commitments – Only 31% of outstanding balances
$74.6 million at 9/30/16 - Utilization rate of 43.3% vs. 42.3% at 6/30/16
A/R – 86% of commitments, Equipment 6%, CRE 4%
A/R customers have lockbox agreements and/or at minimum provide
monthly borrowing base certificates
Houston non-owner occupied CRE - $30.2 million, 2.4% of total loans
3
Energy Portfolio as of 09/30/2016 (*)
*Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
($’s in Millions)
4
Collateral
Total $’s
(Millions)
% of Energy
Portfolio
# of
Loans
# of
Relationships
Avg $ per
Relationship
Wt'd Avg
Maturity (Yrs)
Accounts Receivables $ 42.4 17.4% 70 65 $ 0.7 0.2
Barges, Crew Boats, Marine Vessel 65.4 26.9% 33 24 2.7 5.9
Equipment 81.4 33.5% 183 89 0.9 3.5
Inventory 2.2 0.9% 6 6 0.4 2.3
CD/Mkt. Securities 2.9 1.2% 18 14 0.2 1.3
All Other 3.9 1.6% 100 87 0.0 0.0
Sub Total C & I $ 198.2 81.5% 410 285 $ 0.70 3.5
Commercial Real Estate 41.2 16.9% 75 63 0.7 10.9
Consumer Real Estate 3.5 1.4% 44 40 0.1 11.0
Other 0.4 0.2% 24 24 0.0 0.0
Sub Total Non C & I $ 45.1 18.5% 143 127 $ 0.36 10.8
Total $ 243.3 100.0% 553 412 $ 0.59 4.9
Past Due Energy Loans as of 09/30/2016 (*)
*Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
> 30 days + nonaccruals =
13.99% of energy loans
($’s in Millions)
5
Collateral
Total $’s
(Millions)
% of
Energy
Portfolio
Total Past
Due $’s
(Millions)
% of
Energy
Portfolio
0-29
30-59
60-89
90+
Non-
Accruals
Accounts Receivables $ 42.4 17.4% $ 1.65 0.7% $ 0.24 $ 0.33 0.04 - $ 1.03
Barges, Crew Boats, Marine Vessel 65.4 26.9% 21.76 8.9% 0.56 - - - 21.20
Equipment 81.4 33.5% 9.68 4.0% 2.43 1.74 0.58 0.04 4.89
Commercial Real Estate 41.2 16.9% 5.00 2.1% 0.89 0.41 - - 3.71
Consumer Real Estate 3.5 1.4% 0.15 0.1% 0.11 0.04 - - -
Inventory 2.2 0.9% 0.50 0.2% 0.50 - - - -
CD/Mkt. Securities 2.9 1.2% 1.04 0.4% 1.04 - - - -
All Other 4.3 1.8% 0.16 0.1% 0.14 0.01 - - 0.01
Total $ 243.3 100.0% $ 39.94 16.4% $ 5.91 $ 2.53 $ 0.62 $ 0.04 $ 30.84
Accruing – Past Due ($ Millions)
Energy Loans by Risk Rating & Loan Type as of 09/30/2016 (*)
($’s in Millions)
*Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
6
Risk Rating
Rating
# C & I
R/E
Comm
Consumer
Real
Estate
CD/Mkt.
Securities Other
3Q16
Total
3Q16 % of
Energy
Portfolio
2Q16
Total
2Q16 %
of Energy
Portfolio
Prime 1 - - - $ 1.7 - $ 1.7 0.7% $ 1.5 0.6 %
Excellent 2 0.8 0.3 - 0.4 - 1.5 0.6% 2.0 0.8 %
Above Average 3 34.6 2.1 0.3 - - 37.0 15.2% 58.0 23.2 %
Satisfactory 4 63.2 20.2 2.8 0.8 1.4 88.4 36.3% 95.4 38.2 %
Total Pass Rated $ 98.6 $ 22.6 $ 3.1 $ 2.9 $ 1.4 $ 128.6 52.9% $ 156.8 62.8 %
Other Assets
Special Mention 5 26.0 11.0 0.4 - - 37.4 15.4% 39.3 15.7 %
Substandard 6 70.7 6.2 0.3 - 0.1 77.3 31.8% 53.6 21.5 %
Doubtful 7 0.0 - - - 0.0 0.0 0.0% 0.0 0.0 %
Total $ 195.3 $ 39.8 $ 3.8 $ 2.9 $ 1.5 $ 243.3 100.0% $ 249.8 100.0 %
Energy Loans by Risk Rating & Collateral as of 09/30/2016 (*)
($’s in Millions)
*Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
7
Collateral
Pass
Other Assets
Special
Mention
Substandard
Doubtful
3Q16
Total
3Q16 % of
Energy
Portfolio
2Q16
Total
2Q16 % of
Energy
Portfolio
Accounts Receivables $ 13.6 $ 16.4 $ 12.4 - $ 42.4 17.4% $ 42.0 16.8%
Barges, Crew Boats, Marine Vessel 28.2 0.6 36.6 - 65.4 26.9% 67.9 27.2%
Equipment 51.3 8.5 21.6 - 81.4 33.5% 82.2 32.9%
Commercial Real Estate 23.9 11.0 6.3 - 41.2 16.9% 45.1 18.1%
Real Estate 2.9 0.4 0.2 - 3.5 1.4% 3.7 1.5%
Inventory 1.7 0.5 - - 2.2 0.9% 2.2 0.9%
CD Secured 2.9 - - - 2.9 1.2% 2.4 1.0%
All Other 4.1 0.1 0.1 0.0 4.3 1.8% 4.2 1.7%
Total $ 128.6 $ 37.5 $ 77.2 $ 0.0 $ 243.3 100.0% $ 249.8 100.0%
Energy Loans by Type of Facility as of 09/30/2016 (*)
* Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
8
Facility Type
Bal 09.30.16
($'s in Millions)
% of
Energy
Portfolio
Bal 06.30.16
($'s in Millions)
% of
Energy
Portfolio
Net Change
3Q16
Closed-End LOC $ 176.2 72.4 % $ 185.7 74.3 % - $ 9.5
Revolving LOC 59.7 24.5 % 56.8 22.7 % 2.9
Other 7.4 3.1 % 7.3 2.9 % 0.1
Total $ 243.3 100.0 % $ 249.8 100.0 % - $ 6.5
Energy Loans Unfunded Commitment as of 09/30/2016 (*)
* Includes loans where the borrower's ability to repay could be disproportionately impacted by prolonged low oil and gas prices
Combined utilization rate (including straight lines of credit) was 43.3% compared to 42.3% at
06/30/2016.
Revolving Lines of Credit ($’s in Millions)
9
Collateral
Original Line
Amount
Current
Balance
Unfunded
Amount
Accounts Receivables $ 106.6 $ 42.3 $ 64.3
Barges, Crew Boats, Marine Vessel 0.5 - 0.4
Equipment 16.6 11.8 4.8
Commercial Real Estate 5.1 2.0 3.1
Real Estate 0.8 0.4 0.4
Inventory 0.8 0.7 0.1
CD Secured 2.3 1.6 0.7
All Other 1.5 0.7 0.9
Total $ 134.2 $ 59.7 $ 74.6