TROY, Mich., July 30, 2015 /PRNewswire/ -- Talmer
Bancorp, Inc. (NASDAQ: TLMR) ("Talmer") today reported second
quarter 2015 net income of $17.5
million, compared to $9.4
million for the first quarter of 2015 and $20.6 million for the second quarter of
2014. Earnings per diluted common share were $0.23 for the second quarter of 2015, compared to
$0.12 for the first quarter of 2015
and $0.27 for the second quarter of
2014. In addition, the Board of Directors of Talmer declared a cash
dividend on its Class A common stock of $0.01 per share on July
29, 2015. The dividend will be paid on August 21, 2015, to our Class A common
shareholders of record as of August 10,
2015.
Talmer Bancorp President and CEO David
Provost commented, "We are pleased with underlying trends
this quarter including strong core deposit growth, improved
operating expense trends, quality loan growth and solid revenue
trends from our fee businesses. Core deposit trends benefited
from the continued focus of our retail sales force to drive growth
in key markets in order to fund our strong lending pipelines.
Second quarter loan growth trends were somewhat mitigated by the
strategic sale of $49.9 million of
long-term residential mortgages out of our held for investment
portfolio. Also, overall balances of commercial real estate
loans declined as we focus on increasing our proportionate exposure
to commercial and industrial lending. Net interest income
trends were negatively impacted by higher levels of prepayments,
excess liquidity and the negative yield of the FDIC indemnification
asset. Looking forward, margin and revenue trends should
benefit from the July 1, 2015
expiration of the first and largest of our four non-single family
FDIC loss sharing agreements. Our reported earnings
were impacted by several non-core items: a $3.1 million benefit to earnings due to the
change in fair value of our loan servicing rights, $419 thousand in bank acquisition and due
diligence fees and $1.8 million of
net expense related to the rationalization of corporate real estate
including sales, impairments and lease terminations. The
cumulative impact to our earnings per diluted common share for the
second quarter of 2015 from these non-core items was a benefit of
approximately $0.01 per diluted
common share. We expect to see an incremental improvement in
our core operating efficiency in the third quarter reflecting the
impact of continuing expense management, improving net interest
income trends and additional savings related to the charter
consolidation of Talmer West Bank,
which will be completed in August. Our team remains
optimistic about the substantial growth opportunities in our
existing markets and continues to be well-prepared to pursue
additional acquisitions."
Quarterly Results
Summary
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(Dollars in thousands, except per share data)
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2nd Qtr
2015
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1st Qtr
2015
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2nd Qtr
2014
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Earnings
Summary
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Net interest
income
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$
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49,609
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$
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51,032
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$
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52,378
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Total provision
(benefit) for loan losses
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(7,313)
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1,993
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(4,102)
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Noninterest
income
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22,098
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21,430
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13,951
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Noninterest
expense
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53,293
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56,595
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54,071
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Income before income
taxes
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25,727
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13,874
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16,360
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Income tax provision
(benefit)
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8,179
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4,441
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(4,246)
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Net income
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17,548
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9,433
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20,606
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Per Share
Data
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Diluted earnings per
common share
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$
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0.23
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$
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0.12
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$
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0.27
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Tangible book value
per share (1)
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10.53
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10.37
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10.11
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Average diluted
common shares (in thousands)
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74,900
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75,103
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75,659
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Performance and
Capital Ratios
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Return on average
assets (annualized)
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1.11
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%
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0.62
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%
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1.51
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%
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Return on average
equity (annualized)
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9.26
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4.97
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11.61
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Net interest margin
(fully taxable equivalent) (2)
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3.50
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3.80
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4.34
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Core efficiency ratio
(1)
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68.54
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68.61
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71.97
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Tangible average
equity to tangible average assets (1)
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11.79
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12.31
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12.78
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Common equity tier 1
capital (3)
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13.90
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13.87
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N/A
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Tier 1 leverage ratio
(3)
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11.50
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11.65
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11.71
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Tier 1 risk-based
capital (3)
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13.90
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13.87
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16.16
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Total risk-based
capital (3)
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14.98
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14.97
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17.31
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(1) See section
entitled "Reconciliation of Non-GAAP Financial
Measures."
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(2) Presented on a
tax equivalent basis using a 35% tax rate for all periods
presented.
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(3) First and second
quarter 2015 are estimated. First and second quarter 2015 are under
Basel III transitional and second
quarter 2014 is under Basel
I.
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Second Quarter 2015 Compared to First Quarter
2015
- Net income was $17.5 million, or
$0.23 per diluted average common
share, in the second quarter of 2015, compared to $9.4 million, or $0.12 per diluted average common share, for the
first quarter of 2015. The increase in net income in the second
quarter of 2015 was primarily due to strong credit performance from
both the covered and uncovered loan portfolios, an increase in
mortgage banking and other loan fees, and reductions in
non-interest operating expenses.
- Net total loans increased during the second quarter of 2015 by
$51.5 million. During the second
quarter of 2015, Talmer Bank and
Trust's net total loans grew by $86.6
million, as a result of $121.7
million of net uncovered loan growth, inclusive of
$49.9 million of residential real
estate loan sales during the quarter, partially offset by
$35.1 million of net covered loan
run-off (loans covered by loss share agreements with the FDIC).
Talmer West Bank experienced net
loan run-off of $35.1 million in the
second quarter of 2015.
- Total deposits increased $129.5
million, to $4.9 billion as of
June 30, 2015, compared to
March 31, 2015. Total deposit growth
included increases in time deposits of $114.1 million, demand deposits of $75.5 million, and money market and savings
deposits of $18.8 million. These
increases were partially offset by a substantial decline in other
brokered funds of $78.9 million. The
strong growth in core deposit balances and the decrease in non-core
deposit balances were reflective of management's efforts to
increase core deposit growth achieved through programs initiated in
early 2015.
- Net interest income decreased to $49.6
million in the second quarter of 2015, compared to
$51.0 million in the first quarter of
2015, as the benefits provided by the $122.1
million of average loan increase and the $702 thousand reduction in negative accretion on
the FDIC indemnification asset were more than offset by both a
decline in the yield earned on our loan portfolios and an increase
of $715 thousand in total interest
expense associated with an increase in on balance sheet liquidity.
Our net interest margin declined 30 basis points to 3.50% in the
second quarter of 2015, compared to 3.80% in the first quarter of
2015, due in large part to the decline in yield earned on our loan
portfolios driven by the run-off of loans with higher yields (which
were primarily acquired loans) being replaced with new loans with
lower, current market-competitive rates. Exclusive of the benefit
of excess accretable yield and negative yield on the FDIC
indemnification asset, discussed in detail below, our core net
interest margin in the second quarter of 2015 was 3.41% compared to
3.76% in first quarter of 2015.
- Noninterest income increased $668
thousand to $22.1 million in
the second quarter of 2015, compared to the first quarter of 2015.
Noninterest income was impacted by a benefit to earnings of
$3.1 million due to the change in the
fair value of loan servicing rights, which is a key component of
the $4.7 million of income from
mortgage banking and other loan fees. The benefit provided by the
increase in mortgage banking and other loan fees was partially
offset by a $4.9 million decrease in
FDIC loss sharing income, driven primarily by the increase in
amounts due to the FDIC in accordance with our loss sharing
agreements related to the significant credit recoveries on covered
loans in the second quarter of 2015.
- Noninterest expense decreased $3.3
million, to $53.3 million in
the second quarter of 2015, compared to the first quarter of 2015.
The decrease in noninterest expense includes decreases in
transaction and integration related expenses of $2.9 million primarily related to costs
associated with the acquisition of First of Huron Corp. in the
first quarter of 2015, other expenses of $1.7 million and FDIC loss sharing expense of
$816 thousand. These decreases were
partially offset by $1.8 million of
net expense recognized in the second quarter of 2015 related to our
targeted analysis of property efficiency which included a review of
certain lease contracts resulting in lease buyouts, final sales of
unused properties and impairments recognized due to current
appraisals on owned properties under review for potential upcoming
sales.
- Total shareholder's equity of $766.4
million as of June 30, 2015,
increased $12.6 million compared to
March 31, 2015. The increase is
primarily the result of second quarter of 2015 net income of
$17.5 million, partially offset by a
decrease in accumulated other comprehensive income due to a decline
in the fair value of our investment securities portfolio.
Income Statement
Net Interest Income and Net Interest Margin
Net interest income for the second quarter of 2015 was
$49.6 million, compared to
$51.0 million in the prior
quarter. Our net interest margin was 3.50% in the second
quarter of 2015, a decrease of 30 basis points from 3.80% in the
first quarter of 2015. The decline in our net interest margin
in the second quarter was due to a combination of several
factors. The largest factor affecting the change in our net
interest margin was a decline in the yield earned on our loan
portfolios due to a combination of causes including the run-off of
higher yielding loans (which were primarily acquired loans) being
replaced with newly originated loans at current market rates, a
decrease in the benefit provided from discount accretion on our
purchased credit impaired loan portfolio and a market driven
decline in interest rates on our adjustable-rate loans.
Our net interest margin benefitted from discount accretion on
our purchased credit impaired loan portfolio, a component of the
accretable yield. The accretable yield for purchased credit
impaired loans includes both the expected coupon of the loan and
the discount accretion, and is recognized as interest income over
the expected remaining life of the loans. For the second and
first quarters of 2015, the yield on uncovered loans was 4.62% and
4.90%, respectively, while the yield generated using only the
expected coupon would have been 4.14% and 4.36%,
respectively. For the second and first quarters of 2015, the
yield on covered loans was 12.48% and 12.83%, respectively, while
the yield generated using only the expected coupon would have been
6.17% and 7.44%, respectively. The difference between the
actual yield earned on total loans and the yield generated based on
the contractual coupon (not including any interest income for loans
in nonaccrual status) represents excess accretable yield. Our
net interest margin is also adversely impacted by the negative
yield on the FDIC indemnification asset. Because our
quarterly cash flow re-estimations have continued to result in
improvements in the overall expected cash flows on covered loans,
our expected payment from the FDIC under our loss share agreements
has declined, resulting in a negative yield on the FDIC
indemnification asset. This negative yield on the FDIC
indemnification asset partially offsets the benefits provided by
the excess accretable yield. This negative yield was 73.00%,
representing $8.5 million, for the
second quarter of 2015 compared to a negative yield of 60.03%,
representing $9.3 million, for the
first quarter of 2015. The combination of the excess
accretable yield on both covered and uncovered loans, offset by the
negative yield on the FDIC indemnification asset, benefitted net
interest margin by seven basis points in the second quarter of 2015
compared to four basis points in the first quarter of 2015.
Therefore, excluding the benefit of excess accretable yield and
negative yield on the FDIC indemnification asset, our net interest
margin in the second quarter of 2015 was 3.41% compared to 3.76% in
the first quarter of 2015. The decrease in the core net
interest margin in the second quarter of 2015 is primarily due to a
decrease in the yield earned on our loan portfolio discussed
previously.
Noninterest Income
Noninterest income increased $668
thousand to $22.1 million in
the second quarter of 2015, compared to the first quarter of
2015. The increase is primarily the result of an increase in
mortgage banking and other loan fees of $6.0
million, partially offset by a $4.9
million increase in the net amounts due to the FDIC
resulting from higher recoveries on covered loans, recognized
within "FDIC loss sharing income," and a decline in accelerated
discount on acquired loans of $754
thousand. Accelerated discount on acquired loans results
from the accelerated recognition of a portion of the loan discount
that would have been recognized over the expected life of the loan
and occurs when a loan is paid in full or otherwise settled.
The increase in mortgage banking and other loan fees was impacted
by a benefit to earnings of $3.1
million due to the change in the fair value of loan
servicing rights. In the first quarter of 2015, the change in
the fair value of loan servicing rights was a detriment of
$4.1 million. The change in the fair
value of loan servicing rights in the second quarter was due mainly
to upward movements in market interest rates during the period.
As we have noted in prior quarters, we have chosen not to hedge
our investment in loan servicing rights. Since our loan
servicing rights are accounted for under the fair value measurement
method, decreases in interest rates generally result in a detriment
to earnings due to an anticipated increase in prepayments speeds,
whereas increases in interest rates generally result in a benefit
to earnings due to the opposite effect. The large majority of
our servicing rights were acquired on January 1, 2013 in our acquisition of First Place
Bank. While there has been meaningful reported earnings
volatility due to our decision not to hedge our loan servicing
rights, the cumulative acquisition-to-date benefit to pre-tax
earnings due to the changes in fair value has been approximately
$3.0 million since the acquisition of
First Place Bank on January 1,
2013.
Noninterest Expense
Noninterest expense in the second quarter of 2015 decreased
$3.3 million, to $53.3 million, compared to the first quarter of
2015. The decrease in noninterest expense includes a decrease
in transaction and integration related expenses of $2.9 million and other spending cuts made within
other noninterest expenses. Partially offsetting these
declines was $1.8 million of net
expense recognized in the second quarter of 2015 related to our
targeted analysis of property efficiency which included a review of
certain lease contracts resulting in lease buyouts, final sales of
unused properties and impairments taken on owned properties under
review for potential upcoming sales. We anticipate the cost
savings related to the early exit of leases and sales of unoccupied
properties to reduce occupancy and equipment expense by
approximately $650 thousand in the
second half of 2015 and approximately $950
thousand for the full year 2016.
Our core efficiency ratio was 68.54% and 68.61%, for the second
and first quarters of 2015, respectively. While we were able
to reduce our core operating expenses $2.2
million in the second quarter of 2015, compared to the first
quarter of 2015, this decrease was mostly offset by a decrease in
core revenue, driven by the decline in net interest income
discussed previously. The efficiency ratio is a measure of
noninterest expense as a percent of net interest income and
noninterest income. The core efficiency ratio begins with the
efficiency ratio and then excludes certain items deemed by
management to not be related to regular operations. The
second quarter of 2015 core efficiency ratio excludes the benefit
provided by the fair value adjustment to our loan servicing rights
of $3.1 million, transaction and
integration related costs of $419
thousand, property efficiency review expenses of
$1.8 million and the FDIC loss
sharing income, which was a detriment of $5.9 million. The first quarter of 2015
core efficiency ratio excludes the fair value adjustment to our
loan servicing rights of a negative $4.1
million, transaction and integration related costs of
$3.3 million and the FDIC loss
sharing income, which was a detriment of $1.1 million.
Credit Quality
The second quarter of 2015 resulted in a total net benefit for
loan losses of $7.3 million, compared
to a net provision of $2.0 million in
the first quarter of 2015. The decrease in the net provision
for loan losses was primarily due to unanticipated payments
received on loans previously charged-off.
The provision for loan losses on uncovered loans in the second
quarter of 2015 decreased $2.3
million to $1.1 million,
compared to the first quarter of 2015. At June 30, 2015, the allowance for loan losses on
uncovered loans was $36.6 million, or
0.86% of total uncovered loans, compared to $34.5 million, or 0.83% of total uncovered loans,
at March 31, 2015. The increase
in allowance for loan losses on uncovered loans for the quarter was
primarily due to impairment resulting from our quarterly
re-estimation of cash flows for our uncovered purchased credit
impaired loans and the impact of organic loan growth.
The net benefit for loan losses on covered loans in the second
quarter of 2015 increased $7.0
million to a benefit of $8.4
million, compared to the first quarter of 2015. The
net benefit for loan losses on covered loans in the second quarter
of 2015 was largely driven by the benefit received from significant
recoveries on loans previously charged-off. The majority of
these recoveries are offset by amounts owed to the FDIC related to
the associated charge-offs previously claimed with the FDIC
recognized as a reduction to FDIC loss sharing income. At
June 30, 2015, the allowance for loan
losses on covered loans was $16.3
million, or 5.83% of total covered loans, compared to
$18.0 million, or 5.66% of total
covered loans at March 31,
2015. The decrease in allowance for loan losses on covered
loans primarily reflects the relief of allowance resulting from
payments received on covered loans previously carrying an allowance
for loan loss, partially offset by impairment resulting from our
quarterly re-estimations of cash flows for our covered purchased
credit impaired loans.
During the second quarter of 2015, we completed re-estimations
of cash flow expectations for purchased credit impaired loans
acquired in each of our acquisitions. For the re-estimations,
loans with changes in cash flow expectations resulted in net
additional loan loss provisions of $2.6
million ($1.2 million covered
and $1.4 million uncovered).
The re-estimations also resulted in a $21.6
million improvement in the gross cash flow expectations for
purchased credit impaired loans, which will be recognized
prospectively as an increase in the accretable yield. The
improvement in cash flows on covered loans will be partially offset
by a continued reduction in the FDIC indemnification asset, which
will impact future earnings through negative accretion. For
loans with cash flow expectation improvements, any previously
recorded impairment is reversed with any additional increase in
cash flows recognized prospectively as an increase in the
accretable yield.
All of our acquired loan portfolios are continuing to perform
significantly better than initially anticipated. We believe
improvements in performance are primarily due to the strengthening
economy and the efforts made by our Special Assets team that
manages our acquired loan portfolios. Similar to the second
quarter 2015 re-estimations, the prior re-estimations of cash flows
have indicated better overall expected performance in our acquired
loan portfolio than originally anticipated at acquisition.
Balance Sheet and Capital Management
Total assets increased $137.4
million to $6.4 billion at
June 30, 2015 compared to
$6.3 billion at December 31, 2014. The primary drivers of
the increase in assets in the quarter ended June 30, 2015 were increases in securities
available-for-sale of $114.9 million,
net total loans of $51.5 million and
loans held for sale of $50.5 million,
partially offset by a decrease in cash and cash equivalents of
$75.3 million. The increase in
securities available-for-sale reflects management's decision to
invest liquid assets while retaining accessibility to the funds for
potential liquidity needs. The increase in loans held for sale
primarily reflects strong mortgage banking loan production during
the second quarter of 2015 and the strategic decision to increase
the percentage of loans sold to the secondary market.
Net total loans at June 30, 2015
increased $51.5 million to
$4.5 billion, compared to
March 31, 2015. During the
second quarter of 2015, Talmer Bank
and Trust's net total loans grew by $86.6
million, as a result of $121.7
million of net uncovered loan growth, inclusive of
$49.9 million of residential real
estate loan sales during the quarter, partially offset by
$35.1 million of net covered loan
run-off. The net uncovered loan growth of $86.6 million was driven primarily by growth in
our commercial and industrial and real estate construction loan
portfolios, partially offset by a decrease in our residential real
estate loan portfolio primarily due to the loan pool sale discussed
previously and a modest decrease in commercial real estate
loans. Talmer West Bank
experienced net loan run-off of $35.1
million in the second quarter of 2015. We continue to
be focused on sourcing quality loan growth to overcome the run-off
of higher-yielding acquired loans. Acquired loans, which
total $1.6 billion, or 36.4% of total
loans, at June 30, 2015 are reported
on the balance sheet at the contractual balance, net of remaining
discount resulting from acquisition accounting and charge-offs
taken since acquisition.
The FDIC indemnification asset balance was $37.0 million at June 30,
2015. Of this amount, we expect approximately $19.7 million to be collected from the FDIC and
the remaining $17.3 million to be
amortized prior to the end of the associated loss share agreements,
as a result of expected improvements in cash flow expectations on
covered loans. Management is closely monitoring the outcome of
anticipated losses on covered assets and has proactively reviewed
the portfolios of covered loans and other real estate that are
under loss share agreements that are expiring to evaluate the
appropriateness of the associated remaining FDIC indemnification
asset.
Total liabilities were $5.7
billion at June 30, 2015
compared to $5.5 billion at
March 31, 2015. The
$124.9 million increase in
liabilities in the quarter ended June 30,
2015 was primarily due to an increase in total deposits of
$129.5 million. Total deposit
growth included time deposits of $114.1
million, noninterest-bearing demand deposits of $37.9 million, interest-bearing demand deposits
of $37.6 million and money market and
savings deposits of $18.8 million,
partially offset by a decrease in other brokered funds of
$78.9 million. The strong
growth in core deposit balances and the decrease in non-core
deposit balances were reflective of management's efforts to
increase core deposit growth achieved through programs initiated in
early 2015.
Total shareholders' equity of $766.4
million as of June 30, 2015,
increased $12.6 million compared to
March 31, 2015. The increase is
primarily the result of second quarter of 2015 net income of
$17.5 million, partially offset by a
decrease in accumulated other comprehensive income due to a decline
in the fair value of our investment securities
portfolio. Our Tier 1 leverage ratio was 11.50% at
June 30, 2015, compared to 11.65% at
March 31, 2015.
Key Performance Goals
Our near-term focus continues to be on driving quality loan and
core deposit growth and realizing additional operating synergies as
we move toward fully integrating our acquired banks and
consolidating charters. We are also continuing to make
progress on reducing the complexity of our business and believe
opportunities exist to improve balance sheet efficiency and better
leverage our capital position in the near term. Continuing
merger activity in our market area offers the potential for
additional growth opportunities; however, we will remain
disciplined in our evaluation of the risks and challenges in each
and every deal. Recent trends in operating expenses and
ongoing investment in core growth provide momentum in our pursuit
of delivering a sustainable 1%+ core return on assets.
Conference Call and Webcast
Talmer Bancorp, Inc. will host a live conference webcast to
review second quarter 2015 financial results at 10:00 a.m. ET on Thursday,
July 30, 2015. The webcast may be accessed through Talmer's
Investor Relations page at www.talmerbank.com where a link
will be provided. Interested parties may also access the conference
call by calling (888) 317-6003 (event ID No. 6109317) or
internationally at (412) 317-6061. A replay of the webcast
will be available for approximately 90 days after the event on
Talmer's Investor Relations page at www.talmerbank.com.
About Talmer Bancorp, Inc.
Headquartered in Troy,
Michigan, Talmer Bancorp, Inc. is the holding company for
Talmer Bank and Trust and
Talmer West Bank. These banks,
operating through branches and lending offices in Michigan, Ohio, Illinois, Indiana, Maryland and Nevada, offer a full suite of commercial and
retail banking, mortgage banking, wealth management and trust
services to small and medium-sized businesses and individuals.
This press release contains both financial measures based on
accounting principles generally accepted in the United States (GAAP) and non-GAAP based
financial measures, which are used where management believes it to
be helpful in understanding Talmer Bancorp Inc.'s results of
operations or financial position. Where non-GAAP financial
measures are used, the comparable GAAP financial measure, as well
as reconciliation to the comparable GAAP financial measure, can be
found in this press release. These disclosures should not be viewed
as a substitute for operating results determined in accordance with
GAAP, nor are they necessarily comparable to non-GAAP performance
measures that may be presented by other companies.
Forward-looking Statements
Some of the statements in this press release and our conference
call are "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995.
Forward-looking statements can be identified by words such
as: "intend," "plan," "seek," "believe," "expect,"
"strategy," "future," "likely," "may," "should," "will" and similar
references to future periods. Examples of forward-looking
statements, including, among others, statements related to our
future expectations, including all statements under the heading
entitled "Key Performance Goals," statements about our anticipation
of favorable loan growth through the remainder of the year, the
expected benefits to margin and revenue as our FDIC loss share
agreements expire, expected incremental improvement in our core
operating efficiency in the third quarter reflecting the continued
impact of expense management and improving net interest income
trends, anticipated cost savings related to the early exit of
leases and sales of unoccupied properties and statements regarding
growth opportunities in our markets. Forward-looking statements are
neither historical facts nor assurances of future performance.
Instead, they are based only on our current beliefs, expectations
and assumptions regarding the future of our business, future plans
and strategies, projections, anticipated events and trends, the
economy and other future conditions. Because forward-looking
statements relate to the future, they are subject to risks,
uncertainties and other factors, such as a downturn in the economy,
unanticipated losses related to the integration of, and accounting
for, our acquisition transactions, access to funding sources,
greater than expected noninterest expenses, volatile credit and
financial markets both domestic and foreign, potential
deterioration in real estate values, regulatory changes, excessive
loan losses, as well as additional risks and uncertainties
contained in the "Risk Factors" and the forward-looking statement
disclosure contained in our Annual Report on Form 10-K for the most
recently ended fiscal year, any of which could cause actual results
to differ materially from future results expressed or implied by
those forward-looking statements. All forward-looking
statements speak only as of the date on which it is made. We
undertake no obligation to update or revise any forward-looking
statements, whether written or oral, that may be made from time to
time, whether as a result of new information, future events or
otherwise.
Talmer Bancorp,
Inc.
Consolidated
Balance Sheets
(Unaudited)
|
|
(Dollars in thousands, except per share data)
|
June 30,
2015
|
|
March 31,
2015 (1)
|
|
December 31,
2014
|
|
June 30,
2014
|
Assets
|
|
|
|
|
|
|
|
Cash and due from
banks
|
$
|
79,357
|
|
$
|
77,957
|
|
$
|
86,185
|
|
$
|
107,292
|
Interest-bearing
deposits with other banks
|
161,201
|
|
303,926
|
|
96,551
|
|
218,309
|
Federal funds sold
and other short-term investments
|
170,000
|
|
104,000
|
|
71,000
|
|
77,000
|
Total cash and cash
equivalents
|
410,558
|
|
485,883
|
|
253,736
|
|
402,601
|
Securities
available-for-sale
|
845,319
|
|
730,393
|
|
740,819
|
|
731,700
|
Federal Home Loan
Bank stock
|
25,418
|
|
20,744
|
|
20,212
|
|
16,541
|
Loans held for sale,
at fair value
|
117,042
|
|
66,556
|
|
93,453
|
|
136,089
|
Loans:
|
|
Residential real
estate (includes $20.9 million, $21.7 million, $18.3 million and
$18.5 million, respectively, measured at fair value) (1)
|
1,434,678
|
|
1,474,025
|
|
1,426,012
|
|
1,362,869
|
Commercial real
estate
|
1,395,783
|
|
1,404,662
|
|
1,310,938
|
|
1,131,348
|
Commercial and
industrial
|
1,066,353
|
|
948,303
|
|
869,477
|
|
647,090
|
Real estate
construction (includes $0, $431 thousand, $1.2 million, and $0,
respectively, respectively, measured at fair value) (1)
|
175,192
|
|
140,705
|
|
131,686
|
|
112,866
|
Consumer
|
172,120
|
|
187,698
|
|
164,524
|
|
42,034
|
Total loans,
excluding covered loans
|
4,244,126
|
|
4,155,393
|
|
3,902,637
|
|
3,296,207
|
Less:
Allowance for loan losses - uncovered
|
(36,566)
|
|
(34,477)
|
|
(33,819)
|
|
(24,360)
|
Net loans -
excluding covered loans
|
4,207,560
|
|
4,120,916
|
|
3,868,818
|
|
3,271,847
|
Covered
loans
|
280,847
|
|
317,593
|
|
346,490
|
|
459,280
|
Less:
Allowance for loan losses - covered
|
(16,340)
|
|
(17,988)
|
|
(21,353)
|
|
(32,743)
|
Net loans -
covered
|
264,507
|
|
299,605
|
|
325,137
|
|
426,537
|
Net total
loans
|
4,472,067
|
|
4,420,521
|
|
4,193,955
|
|
3,698,384
|
Premises and
equipment
|
44,857
|
|
48,150
|
|
48,389
|
|
58,798
|
FDIC indemnification
asset
|
36,997
|
|
50,702
|
|
67,026
|
|
102,694
|
Other real estate
owned and repossessed assets
|
46,373
|
|
42,921
|
|
48,743
|
|
52,365
|
Loan servicing
rights
|
58,894
|
|
54,409
|
|
70,598
|
|
74,104
|
Core deposit
intangible
|
14,131
|
|
14,796
|
|
13,035
|
|
15,378
|
Goodwill
|
3,524
|
|
3,524
|
|
—
|
|
—
|
FDIC
receivable
|
5,543
|
|
7,839
|
|
6,062
|
|
7,198
|
Company-owned life
insurance
|
104,972
|
|
103,924
|
|
97,782
|
|
95,580
|
Income tax
benefit
|
188,755
|
|
182,554
|
|
177,472
|
|
189,667
|
Other
assets
|
43,173
|
|
47,273
|
|
40,982
|
|
30,550
|
Total
assets
|
$
|
6,417,623
|
|
$
|
6,280,189
|
|
$
|
5,872,264
|
|
$
|
5,611,649
|
Liabilities
|
|
|
|
Deposits:
|
|
|
|
Noninterest-bearing
demand deposits
|
$
|
1,002,053
|
|
$
|
964,163
|
|
$
|
887,567
|
|
$
|
958,278
|
Interest-bearing
demand deposits
|
821,557
|
|
784,001
|
|
660,697
|
|
697,031
|
Money market and
savings deposits
|
1,276,726
|
|
1,257,919
|
|
1,170,236
|
|
1,330,036
|
Time
deposits
|
1,427,126
|
|
1,312,992
|
|
1,188,178
|
|
1,187,661
|
Other brokered
funds
|
380,611
|
|
459,499
|
|
642,185
|
|
123,528
|
Total
deposits
|
4,908,073
|
|
4,778,574
|
|
4,548,863
|
|
4,296,534
|
FDIC clawback
liability
|
28,588
|
|
27,881
|
|
26,905
|
|
26,309
|
FDIC warrants
payable
|
4,441
|
|
4,472
|
|
4,633
|
|
4,493
|
Short-term
borrowings
|
253,945
|
|
216,747
|
|
135,743
|
|
238,826
|
Long-term
debt
|
414,947
|
|
462,493
|
|
353,972
|
|
266,407
|
Other
liabilities
|
41,223
|
|
36,173
|
|
40,541
|
|
51,135
|
Total
liabilities
|
5,651,217
|
|
5,526,340
|
|
5,110,657
|
|
4,883,704
|
Shareholders'
equity
|
|
|
|
Preferred stock -
$1.00 par value
|
|
|
|
Authorized -
20,000,000 shares at 6/30/2015, 3/31/2015, 12/31/2014 and
6/30/2014
|
|
|
|
Issued and
outstanding - 0 shares at 6/30/2015, 3/31/2015, 12/31/2014 and
6/30/2014
|
—
|
|
—
|
|
—
|
|
—
|
Common
stock:
|
|
|
|
Class A Voting
Common Stock - $1.00 par value
|
|
|
|
Authorized -
198,000,000 shares at 6/30/2015, 3/31/2015, 12/31/2014 and
6/30/2014
|
|
|
|
Issued and
outstanding -71,128,894 shares at 6/30/2015, 70,938,113 shares at
3/31/2015, 70,532,122 shares at 12/31/2014 and 70,451,057 shares at
6/30/2014
|
71,129
|
|
70,938
|
|
70,532
|
|
70,451
|
Class B
Non-Voting Common Stock - $1.00 par value
|
|
Authorized -
2,000,000 shares at 6/30/2015, 3/31/2015, 12/31/2014 and
6/30/2014
|
|
Issued and
outstanding - 0 shares at 6/30/2015, 3/31/2015, 12/31/2014 and
6/30/2014
|
—
|
|
—
|
|
—
|
|
—
|
Additional
paid-in-capital
|
385,686
|
|
385,755
|
|
405,436
|
|
404,079
|
Retained
earnings
|
307,355
|
|
290,516
|
|
281,789
|
|
251,182
|
Accumulated other
comprehensive income, net of tax
|
2,236
|
|
6,640
|
|
3,850
|
|
2,233
|
Total
shareholders' equity
|
766,406
|
|
753,849
|
|
761,607
|
|
727,945
|
Total liabilities
and shareholders' equity
|
$
|
6,417,623
|
|
$
|
6,280,189
|
|
$
|
5,872,264
|
|
$
|
5,611,649
|
|
(1) First quarter
2015 information has been revised to reflect the impact to the
financial statements from adjustments to the acquisition date
fair
value of certain assets and
liabilities in the First of Huron Corporation (Signature Bank)
acquisition within the measurement period. These
adjustments decreased first quarter
2015 net income and period end equity by $4 thousand compared to
previously reported levels.
|
Talmer Bancorp,
Inc.
Consolidated
Statements of Income
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 30,
|
|
Six months ended
June 30,
|
(Dollars in thousands, except per share data)
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Interest
income
|
|
|
|
|
|
|
|
|
Interest and fees on
loans
|
|
$
|
58,319
|
|
|
$
|
56,774
|
|
|
$
|
118,257
|
|
|
$
|
110,275
|
|
Interest on
investments
|
|
|
|
|
|
|
|
|
Taxable
|
|
2,375
|
|
|
2,139
|
|
|
4,698
|
|
|
4,005
|
|
Tax-exempt
|
|
1,658
|
|
|
1,213
|
|
|
3,273
|
|
|
3,178
|
|
Total interest on
securities
|
|
4,033
|
|
|
3,352
|
|
|
7,971
|
|
|
7,183
|
|
Interest on
interest-earning cash balances
|
|
117
|
|
|
171
|
|
|
203
|
|
|
387
|
|
Interest on federal
funds and other short-term investments
|
|
269
|
|
|
131
|
|
|
434
|
|
|
271
|
|
Dividends on FHLB
stock
|
|
224
|
|
|
291
|
|
|
469
|
|
|
513
|
|
FDIC indemnification
asset
|
|
(8,548)
|
|
|
(5,506)
|
|
|
(17,798)
|
|
|
(12,224)
|
|
Total interest
income
|
|
54,414
|
|
|
55,213
|
|
|
109,536
|
|
|
106,405
|
|
Interest
Expense
|
|
|
|
|
|
|
|
|
Interest-bearing
demand deposits
|
|
382
|
|
|
216
|
|
|
672
|
|
|
440
|
|
Money market and
savings deposits
|
|
562
|
|
|
492
|
|
|
1,033
|
|
|
986
|
|
Time
deposits
|
|
2,131
|
|
|
1,432
|
|
|
3,958
|
|
|
2,923
|
|
Other brokered
funds
|
|
607
|
|
|
35
|
|
|
1,230
|
|
|
64
|
|
Interest on
short-term borrowings
|
|
209
|
|
|
33
|
|
|
288
|
|
|
208
|
|
Interest on long-term
debt
|
|
914
|
|
|
627
|
|
|
1,714
|
|
|
1,201
|
|
Total interest
expense
|
|
4,805
|
|
|
2,835
|
|
|
8,895
|
|
|
5,822
|
|
Net interest
income
|
|
49,609
|
|
|
52,378
|
|
|
100,641
|
|
|
100,583
|
|
Provision for loan
losses - uncovered
|
|
1,069
|
|
|
3,219
|
|
|
4,481
|
|
|
9,643
|
|
Benefit for loan
losses - covered
|
|
(8,382)
|
|
|
(7,321)
|
|
|
(9,801)
|
|
|
(9,819)
|
|
Net interest
income after provision for loan losses
|
|
56,922
|
|
|
56,480
|
|
|
105,961
|
|
|
100,759
|
|
Noninterest
income
|
|
|
|
|
|
|
|
|
Deposit fee
income
|
|
2,561
|
|
|
3,188
|
|
|
4,881
|
|
|
6,486
|
|
Mortgage banking and
other loan fees
|
|
4,698
|
|
|
(1,122)
|
|
|
3,437
|
|
|
(37)
|
|
Net gain on sales of
loans
|
|
8,748
|
|
|
5,681
|
|
|
17,366
|
|
|
8,725
|
|
Bargain purchase
gain
|
|
—
|
|
|
—
|
|
|
—
|
|
|
41,977
|
|
FDIC loss sharing
income
|
|
(5,928)
|
|
|
(3,434)
|
|
|
(6,996)
|
|
|
(3,547)
|
|
Accelerated discount
on acquired loans
|
|
7,444
|
|
|
4,326
|
|
|
15,642
|
|
|
10,792
|
|
Net gain (loss) on
sales of securities
|
|
6
|
|
|
—
|
|
|
(101)
|
|
|
(2,310)
|
|
Other
income
|
|
4,569
|
|
|
5,312
|
|
|
9,299
|
|
|
9,605
|
|
Total noninterest
income
|
|
22,098
|
|
|
13,951
|
|
|
43,528
|
|
|
71,691
|
|
Noninterest
expense
|
|
|
|
|
|
|
|
|
Salary and employee
benefits
|
|
28,685
|
|
|
30,466
|
|
|
57,897
|
|
|
66,317
|
|
Occupancy and
equipment expense
|
|
8,415
|
|
|
7,871
|
|
|
16,081
|
|
|
16,914
|
|
Data processing
fees
|
|
1,805
|
|
|
2,260
|
|
|
3,659
|
|
|
4,000
|
|
Professional service
fees
|
|
3,275
|
|
|
2,628
|
|
|
6,818
|
|
|
6,665
|
|
FDIC loss sharing
expense
|
|
133
|
|
|
983
|
|
|
1,082
|
|
|
1,507
|
|
Bank acquisition and
due diligence fees
|
|
419
|
|
|
268
|
|
|
1,831
|
|
|
3,197
|
|
Marketing
expense
|
|
1,483
|
|
|
1,605
|
|
|
2,578
|
|
|
2,696
|
|
Other employee
expense
|
|
826
|
|
|
752
|
|
|
1,760
|
|
|
1,395
|
|
Insurance
expense
|
|
1,527
|
|
|
868
|
|
|
3,057
|
|
|
2,699
|
|
Other
expense
|
|
6,725
|
|
|
6,370
|
|
|
15,125
|
|
|
14,129
|
|
Total noninterest
expense
|
|
53,293
|
|
|
54,071
|
|
|
109,888
|
|
|
119,519
|
|
Income before income
taxes
|
|
25,727
|
|
|
16,360
|
|
|
39,601
|
|
|
52,931
|
|
Income tax provision
(benefit)
|
|
8,179
|
|
|
(4,246)
|
|
|
12,620
|
|
|
(5,902)
|
|
Net
income
|
|
$
|
17,548
|
|
|
$
|
20,606
|
|
|
$
|
26,981
|
|
|
$
|
58,833
|
|
Earnings per
common share:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.25
|
|
|
$
|
0.29
|
|
|
$
|
0.38
|
|
|
$
|
0.85
|
|
Diluted
|
|
$
|
0.23
|
|
|
$
|
0.27
|
|
|
$
|
0.36
|
|
|
$
|
0.79
|
|
Average common
shares outstanding - basic
|
|
70,301
|
|
|
70,021
|
|
|
70,259
|
|
|
69,071
|
|
Average common
shares outstanding - diluted
|
|
74,900
|
|
|
75,659
|
|
|
75,046
|
|
|
74,531
|
|
Total comprehensive
income
|
|
$
|
13,144
|
|
|
$
|
25,254
|
|
|
$
|
25,367
|
|
|
$
|
69,062
|
|
Talmer Bancorp,
Inc.
Consolidated
Statements of Income
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
2015
|
|
2014
|
(Dollars in thousands, except per share data)
|
|
2nd
Qtr
|
|
1st Qtr
(1)
|
|
4th
Qtr
|
|
3rd
Qtr
|
|
2nd
Qtr
|
Interest
income
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on
loans
|
|
$
|
58,319
|
|
|
$
|
59,938
|
|
|
$
|
58,271
|
|
|
$
|
58,128
|
|
|
$
|
56,774
|
|
Interest on
investments
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
2,375
|
|
|
2,323
|
|
|
2,263
|
|
|
2,241
|
|
|
2,139
|
|
Tax-exempt
|
|
1,658
|
|
|
1,615
|
|
|
1,610
|
|
|
1,444
|
|
|
1,213
|
|
Total interest on
securities
|
|
4,033
|
|
|
3,938
|
|
|
3,873
|
|
|
3,685
|
|
|
3,352
|
|
Interest on
interest-earning cash balances
|
|
117
|
|
|
86
|
|
|
94
|
|
|
159
|
|
|
171
|
|
Interest on federal
funds and other short-term investments
|
|
269
|
|
|
165
|
|
|
126
|
|
|
130
|
|
|
131
|
|
Dividends on FHLB
stock
|
|
224
|
|
|
245
|
|
|
177
|
|
|
177
|
|
|
291
|
|
FDIC indemnification
asset
|
|
(8,548)
|
|
|
(9,250)
|
|
|
(7,539)
|
|
|
(6,663)
|
|
|
(5,506)
|
|
Total interest
income
|
|
54,414
|
|
|
55,122
|
|
|
55,002
|
|
|
55,616
|
|
|
55,213
|
|
Interest
Expense
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
demand deposits
|
|
382
|
|
|
290
|
|
|
194
|
|
|
190
|
|
|
216
|
|
Money market and
savings deposits
|
|
562
|
|
|
471
|
|
|
457
|
|
|
487
|
|
|
492
|
|
Time
deposits
|
|
2,131
|
|
|
1,827
|
|
|
1,546
|
|
|
1,611
|
|
|
1,432
|
|
Other brokered
funds
|
|
607
|
|
|
623
|
|
|
527
|
|
|
288
|
|
|
35
|
|
Interest on
short-term borrowings
|
|
209
|
|
|
79
|
|
|
90
|
|
|
122
|
|
|
33
|
|
Interest on long-term
debt
|
|
914
|
|
|
800
|
|
|
725
|
|
|
701
|
|
|
627
|
|
Total interest
expense
|
|
4,805
|
|
|
4,090
|
|
|
3,539
|
|
|
3,399
|
|
|
2,835
|
|
Net interest
income
|
|
49,609
|
|
|
51,032
|
|
|
51,463
|
|
|
52,217
|
|
|
52,378
|
|
Provision for loan
losses - uncovered
|
|
1,069
|
|
|
3,412
|
|
|
5,655
|
|
|
7,784
|
|
|
3,219
|
|
Benefit for loan
losses - covered
|
|
(8,382)
|
|
|
(1,419)
|
|
|
(2,661)
|
|
|
(6,275)
|
|
|
(7,321)
|
|
Net interest
income after provision for loan losses
|
|
56,922
|
|
|
49,039
|
|
|
48,469
|
|
|
50,708
|
|
|
56,480
|
|
Noninterest
income
|
|
|
|
|
|
|
|
|
|
|
Deposit fee
income
|
|
2,561
|
|
|
2,320
|
|
|
2,692
|
|
|
3,047
|
|
|
3,188
|
|
Mortgage banking and
other loan fees
|
|
4,698
|
|
|
(1,261)
|
|
|
(865)
|
|
|
2,065
|
|
|
(1,122)
|
|
Net gain on sales of
loans
|
|
8,748
|
|
|
8,618
|
|
|
4,939
|
|
|
4,083
|
|
|
5,681
|
|
Net gain on sale of branches
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,410
|
|
|
—
|
|
FDIC loss sharing
income
|
|
(5,928)
|
|
|
(1,068)
|
|
|
(244)
|
|
|
(2,420)
|
|
|
(3,434)
|
|
Accelerated discount
on acquired loans
|
|
7,444
|
|
|
8,198
|
|
|
3,742
|
|
|
3,663
|
|
|
4,326
|
|
Net gain (loss) on
sales of securities
|
|
6
|
|
|
(107)
|
|
|
—
|
|
|
244
|
|
|
—
|
|
Other
income
|
|
4,569
|
|
|
4,730
|
|
|
5,570
|
|
|
4,882
|
|
|
5,312
|
|
Total noninterest
income
|
|
22,098
|
|
|
21,430
|
|
|
15,834
|
|
|
29,974
|
|
|
13,951
|
|
Noninterest
expense
|
|
|
|
|
|
|
|
|
|
|
Salary and employee
benefits
|
|
28,685
|
|
|
29,212
|
|
|
25,632
|
|
|
29,795
|
|
|
30,466
|
|
Occupancy and
equipment expense
|
|
8,415
|
|
|
7,666
|
|
|
6,911
|
|
|
7,981
|
|
|
7,871
|
|
Data processing
fees
|
|
1,805
|
|
|
1,854
|
|
|
789
|
|
|
1,610
|
|
|
2,260
|
|
Professional service
fees
|
|
3,275
|
|
|
3,543
|
|
|
3,323
|
|
|
2,964
|
|
|
2,628
|
|
FDIC loss sharing
expense
|
|
133
|
|
|
949
|
|
|
406
|
|
|
245
|
|
|
983
|
|
Bank acquisition and
due diligence fees
|
|
419
|
|
|
1,412
|
|
|
329
|
|
|
239
|
|
|
268
|
|
Marketing
expense
|
|
1,483
|
|
|
1,095
|
|
|
1,226
|
|
|
1,001
|
|
|
1,605
|
|
Other employee
expense
|
|
826
|
|
|
934
|
|
|
658
|
|
|
621
|
|
|
752
|
|
Insurance
expense
|
|
1,527
|
|
|
1,530
|
|
|
1,615
|
|
|
1,383
|
|
|
868
|
|
Other
expense
|
|
6,725
|
|
|
8,400
|
|
|
7,209
|
|
|
5,424
|
|
|
6,370
|
|
Total noninterest
expense
|
|
53,293
|
|
|
56,595
|
|
|
48,098
|
|
|
51,263
|
|
|
54,071
|
|
Income before income
taxes
|
|
25,727
|
|
|
13,874
|
|
|
16,205
|
|
|
29,419
|
|
|
16,360
|
|
Income tax provision
(benefit)
|
|
8,179
|
|
|
4,441
|
|
|
3,703
|
|
|
9,904
|
|
|
(4,246)
|
|
Net
income
|
|
$
|
17,548
|
|
|
$
|
9,433
|
|
|
$
|
12,502
|
|
|
$
|
19,515
|
|
|
$
|
20,606
|
|
Earnings per
common share:
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.25
|
|
|
$
|
0.13
|
|
|
$
|
0.18
|
|
|
$
|
0.28
|
|
|
$
|
0.29
|
|
Diluted
|
|
$
|
0.23
|
|
|
$
|
0.12
|
|
|
$
|
0.16
|
|
|
$
|
0.26
|
|
|
$
|
0.27
|
|
Average common
shares outstanding - basic
|
|
70,301
|
|
|
70,216
|
|
|
70,136
|
|
|
70,092
|
|
|
70,021
|
|
Average common
shares outstanding - diluted
|
|
74,900
|
|
|
75,103
|
|
|
75,759
|
|
|
75,752
|
|
|
75,659
|
|
Total comprehensive
income
|
|
$
|
13,144
|
|
|
$
|
12,227
|
|
|
$
|
14,265
|
|
|
$
|
19,369
|
|
|
$
|
25,254
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) First quarter
2015 information is revised to reflect the impact to the financial
statements from adjustments to the acquisition date fair value
of
certain assets and liabilities in
the First of Huron Corporation (Signature Bank) acquisition within
the measurement period. These adjustments
decreased first quarter 2015 net
income and period end equity by $4 thousand compared to previously
reported levels.
|
|
|
|
|
Talmer Bancorp,
Inc. Loan Data (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
June 30,
2015
|
|
March 31,
2015 (1)
|
|
December 31,
2014
|
|
September 30,
2014
|
|
June 30,
2014
|
Uncovered
loans
|
|
|
|
|
|
|
|
|
|
Residential real
estate
|
$
|
1,434,678
|
|
|
$
|
1,474,025
|
|
|
$
|
1,426,012
|
|
|
$
|
1,430,939
|
|
|
$
|
1,362,869
|
|
Commercial real
estate
|
|
|
|
|
|
|
|
|
|
Non-owner
occupied
|
924,174
|
|
|
919,043
|
|
|
888,650
|
|
|
814,179
|
|
|
731,743
|
|
Owner-occupied
|
445,927
|
|
|
459,002
|
|
|
417,843
|
|
|
379,964
|
|
|
371,406
|
|
Farmland
|
25,682
|
|
|
26,617
|
|
|
4,445
|
|
|
19,218
|
|
|
28,199
|
|
Total
commercial real estate
|
1,395,783
|
|
|
1,404,662
|
|
|
1,310,938
|
|
|
1,213,361
|
|
|
1,131,348
|
|
Commercial and
industrial
|
1,066,353
|
|
|
948,303
|
|
|
869,477
|
|
|
790,867
|
|
|
647,090
|
|
Real estate
construction
|
175,192
|
|
|
140,705
|
|
|
131,686
|
|
|
102,920
|
|
|
112,866
|
|
Consumer
|
172,120
|
|
|
187,698
|
|
|
164,524
|
|
|
93,246
|
|
|
42,034
|
|
Total uncovered
loans
|
4,244,126
|
|
|
4,155,393
|
|
|
3,902,637
|
|
|
3,631,333
|
|
|
3,296,207
|
|
Covered
loans
|
|
|
|
|
|
|
|
|
|
Residential real
estate
|
96,371
|
|
|
103,429
|
|
|
108,226
|
|
|
113,228
|
|
|
117,507
|
|
Commercial real
estate
|
|
|
|
|
|
|
|
|
|
Non-owner
occupied
|
85,889
|
|
|
97,661
|
|
|
108,692
|
|
|
121,491
|
|
|
142,846
|
|
Owner-occupied
|
53,614
|
|
|
63,031
|
|
|
70,492
|
|
|
80,990
|
|
|
91,829
|
|
Farmland
|
4,395
|
|
|
6,684
|
|
|
7,478
|
|
|
17,015
|
|
|
21,541
|
|
Total
commercial real estate
|
143,898
|
|
|
167,376
|
|
|
186,662
|
|
|
219,496
|
|
|
256,216
|
|
Commercial and
industrial
|
24,794
|
|
|
29,384
|
|
|
32,648
|
|
|
47,252
|
|
|
60,497
|
|
Real estate
construction
|
7,426
|
|
|
8,443
|
|
|
9,389
|
|
|
13,734
|
|
|
14,391
|
|
Consumer
|
8,358
|
|
|
8,961
|
|
|
9,565
|
|
|
10,082
|
|
|
10,669
|
|
Total covered
loans
|
280,847
|
|
|
317,593
|
|
|
346,490
|
|
|
403,792
|
|
|
459,280
|
|
Total
loans
|
$
|
4,524,973
|
|
|
$
|
4,472,986
|
|
|
$
|
4,249,127
|
|
|
$
|
4,035,125
|
|
|
$
|
3,755,487
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) First quarter
2015 information is revised to reflect the impact from adjustments
to the acquisition date fair value of certain loans in the
First
of Huron Corporation (Signature
Bank) acquisition within the measurement period.
These adjustments decreased first quarter 2015 total
loans by $691 thousand, compared to
previously reported levels.
|
Talmer Bancorp,
Inc. Impaired Loans (Unaudited)
|
|
|
|
|
|
2015
|
|
2014
|
(Dollars in
thousands)
|
2nd
Qtr
|
|
1st
Qtr
|
|
4th
Qtr
|
|
3rd
Qtr
|
|
2nd
Qtr
|
Uncovered
|
|
|
|
|
|
|
|
|
|
Nonperforming
troubled debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
$
|
4,364
|
|
|
$
|
4,418
|
|
|
$
|
3,984
|
|
|
$
|
2,284
|
|
|
$
|
1,920
|
|
Commercial
real estate
|
4,652
|
|
|
4,031
|
|
|
2,644
|
|
|
3,122
|
|
|
2,842
|
|
Commercial and
industrial
|
414
|
|
|
43
|
|
|
180
|
|
|
135
|
|
|
541
|
|
Real estate
construction
|
202
|
|
|
147
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Consumer
|
91
|
|
|
89
|
|
|
83
|
|
|
84
|
|
|
90
|
|
Total
nonperforming troubled debt restructurings
|
9,723
|
|
|
8,728
|
|
|
6,891
|
|
|
5,625
|
|
|
5,393
|
|
Nonaccrual loans
other than nonperforming troubled debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
15,769
|
|
|
13,683
|
|
|
13,390
|
|
|
13,449
|
|
|
11,708
|
|
Commercial
real estate
|
11,075
|
|
|
11,120
|
|
|
11,112
|
|
|
9,456
|
|
|
6,590
|
|
Commercial and
industrial
|
2,705
|
|
|
1,892
|
|
|
3,370
|
|
|
14,339
|
|
|
2,074
|
|
Real estate
construction
|
236
|
|
|
—
|
|
|
174
|
|
|
253
|
|
|
158
|
|
Consumer
|
217
|
|
|
254
|
|
|
174
|
|
|
161
|
|
|
76
|
|
Total
nonaccrual loans other than nonperforming troubled debt
restructurings
|
30,002
|
|
|
26,949
|
|
|
28,220
|
|
|
37,658
|
|
|
20,606
|
|
Total
nonaccrual loans
|
39,725
|
|
|
35,677
|
|
|
35,111
|
|
|
43,283
|
|
|
25,999
|
|
Other real estate
owned and repossessed assets (1)
|
37,612
|
|
|
30,761
|
|
|
36,872
|
|
|
32,046
|
|
|
39,848
|
|
Total
nonperforming assets
|
77,337
|
|
|
66,438
|
|
|
71,983
|
|
|
75,329
|
|
|
65,847
|
|
Performing troubled
debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
2,392
|
|
|
1,875
|
|
|
1,368
|
|
|
1,802
|
|
|
1,628
|
|
Commercial
real estate
|
3,741
|
|
|
2,625
|
|
|
3,785
|
|
|
2,961
|
|
|
2,588
|
|
Commercial and
industrial
|
2,597
|
|
|
2,171
|
|
|
840
|
|
|
652
|
|
|
995
|
|
Real estate
construction
|
131
|
|
|
89
|
|
|
90
|
|
|
92
|
|
|
94
|
|
Consumer
|
233
|
|
|
220
|
|
|
234
|
|
|
56
|
|
|
29
|
|
Total
performing troubled debt restructurings
|
9,094
|
|
|
6,980
|
|
|
6,317
|
|
|
5,563
|
|
|
5,334
|
|
Total
uncovered impaired assets
|
$
|
86,431
|
|
|
$
|
73,418
|
|
|
$
|
78,300
|
|
|
$
|
80,892
|
|
|
$
|
71,181
|
|
Loans 90 days or more
past due and still accruing, excluding loans accounted for under
ASC 310-30
|
$
|
340
|
|
|
$
|
72
|
|
|
$
|
53
|
|
|
$
|
595
|
|
|
$
|
305
|
|
Covered
|
|
|
|
|
|
|
|
|
|
Nonperforming
troubled debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
$
|
1,606
|
|
|
$
|
1,623
|
|
|
$
|
1,363
|
|
|
$
|
1,304
|
|
|
$
|
1,408
|
|
Commercial
real estate
|
14,717
|
|
|
13,617
|
|
|
14,343
|
|
|
4,144
|
|
|
4,861
|
|
Commercial and
industrial
|
1,652
|
|
|
1,476
|
|
|
2,043
|
|
|
2,438
|
|
|
2,089
|
|
Real estate
construction
|
336
|
|
|
267
|
|
|
272
|
|
|
614
|
|
|
595
|
|
Consumer
|
20
|
|
|
28
|
|
|
13
|
|
|
42
|
|
|
15
|
|
Total
nonperforming troubled debt restructurings
|
18,331
|
|
|
17,011
|
|
|
18,034
|
|
|
8,542
|
|
|
8,968
|
|
Nonaccrual loans
other than nonperforming troubled debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
465
|
|
|
441
|
|
|
485
|
|
|
433
|
|
|
426
|
|
Commercial
real estate
|
251
|
|
|
1,180
|
|
|
1,380
|
|
|
1,313
|
|
|
1,489
|
|
Commercial and
industrial
|
717
|
|
|
1,233
|
|
|
1,517
|
|
|
1,653
|
|
|
1,751
|
|
Real estate
construction
|
29
|
|
|
451
|
|
|
441
|
|
|
441
|
|
|
439
|
|
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
Total
nonaccrual loans other than nonperforming troubled debt
restructurings
|
1,462
|
|
|
3,305
|
|
|
3,823
|
|
|
3,840
|
|
|
4,106
|
|
Total
nonaccrual loans
|
19,793
|
|
|
20,316
|
|
|
21,857
|
|
|
12,382
|
|
|
13,074
|
|
Other real estate
owned and repossessed assets
|
8,261
|
|
|
10,709
|
|
|
10,719
|
|
|
11,835
|
|
|
10,975
|
|
Total
nonperforming assets
|
28,054
|
|
|
31,025
|
|
|
32,576
|
|
|
24,217
|
|
|
24,049
|
|
Performing troubled
debt restructurings
|
|
|
|
|
|
|
|
|
|
Residential
real estate
|
3,584
|
|
|
3,069
|
|
|
3,046
|
|
|
2,860
|
|
|
2,821
|
|
Commercial
real estate
|
3,055
|
|
|
8,923
|
|
|
9,017
|
|
|
14,915
|
|
|
16,102
|
|
Commercial and
industrial
|
569
|
|
|
993
|
|
|
1,137
|
|
|
2,119
|
|
|
2,962
|
|
Real estate
construction
|
300
|
|
|
256
|
|
|
264
|
|
|
108
|
|
|
109
|
|
Consumer
|
7
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Total
performing troubled debt restructurings
|
7,515
|
|
|
13,241
|
|
|
13,464
|
|
|
20,002
|
|
|
21,994
|
|
Total covered
impaired assets
|
$
|
35,569
|
|
|
$
|
44,266
|
|
|
$
|
46,040
|
|
|
$
|
44,219
|
|
|
$
|
46,043
|
|
Loans 90 days or more
past due and still accruing, excluding loans accounted for under
ASC 310-30
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
49
|
|
(1) Excludes closed
branches and operating facilities.
|
|
|
|
|
|
|
|
|
|
Talmer Bancorp,
Inc. Net Interest Income and Net Interest
Margin (Unaudited)
|
|
|
|
For the three
months ended
|
|
June 30,
2015
|
|
March 31, 2015
(1)
|
|
June 30,
2014
|
(Dollars in
thousands)
|
Average
Balance
|
Interest
(2)
|
Average
Rate (3)
|
|
Average
Balance
|
Interest
(2)
|
Average
Rate (3)
|
|
Average
Balance
|
Interest
(2)
|
Average
Rate (3)
|
Earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning
balances
|
$
|
195,874
|
|
$
|
117
|
|
0.24
|
%
|
|
$
|
156,828
|
|
$
|
86
|
|
0.22
|
%
|
|
$
|
250,239
|
|
$
|
171
|
|
0.28
|
%
|
Federal funds sold
and other short-term investments
|
152,593
|
|
269
|
|
0.71
|
|
|
97,419
|
|
165
|
|
0.69
|
|
|
76,474
|
|
131
|
|
0.69
|
|
Investment securities
(4):
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
527,632
|
|
2,375
|
|
1.81
|
|
|
494,079
|
|
2,323
|
|
1.91
|
|
|
512,692
|
|
2,139
|
|
1.67
|
|
Tax-exempt
|
250,765
|
|
1,658
|
|
3.52
|
|
|
236,469
|
|
1,615
|
|
3.69
|
|
|
176,075
|
|
1,213
|
|
3.73
|
|
Federal Home Loan
Bank stock
|
20,380
|
|
224
|
|
4.40
|
|
|
20,681
|
|
245
|
|
4.81
|
|
|
12,980
|
|
291
|
|
9.01
|
|
Gross uncovered loans
(5)
|
4,250,403
|
|
48,919
|
|
4.62
|
|
|
4,100,575
|
|
49,505
|
|
4.90
|
|
|
3,254,119
|
|
41,198
|
|
5.08
|
|
Gross covered loans
(5)
|
302,078
|
|
9,400
|
|
12.48
|
|
|
329,767
|
|
10,433
|
|
12.83
|
|
|
477,238
|
|
15,576
|
|
13.09
|
|
FDIC indemnification
asset
|
46,971
|
|
(8,548)
|
|
(73.00)
|
|
|
62,485
|
|
(9,250)
|
|
(60.03)
|
|
|
115,565
|
|
(5,506)
|
|
(19.11)
|
|
Total
earning assets
|
5,746,696
|
|
54,414
|
|
3.84
|
%
|
|
5,498,303
|
|
55,122
|
|
4.11
|
%
|
|
4,875,382
|
|
55,213
|
|
4.58
|
%
|
Non-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
86,290
|
|
|
|
|
91,194
|
|
|
|
|
111,501
|
|
|
|
Allowance for loan
losses
|
(51,033)
|
|
|
|
|
(53,268)
|
|
|
|
|
(58,562)
|
|
|
|
Premises and
equipment
|
47,775
|
|
|
|
|
48,376
|
|
|
|
|
57,661
|
|
|
|
Core deposit
intangible
|
14,465
|
|
|
|
|
14,201
|
|
|
|
|
15,740
|
|
|
|
Goodwill
|
3,524
|
|
|
|
|
2,075
|
|
|
|
|
—
|
|
|
|
Other real estate
owned and repossessed assets
|
44,888
|
|
|
|
|
48,562
|
|
|
|
|
56,155
|
|
|
|
Loan servicing
rights
|
55,986
|
|
|
|
|
60,185
|
|
|
|
|
76,431
|
|
|
|
FDIC
receivable
|
6,830
|
|
|
|
|
5,473
|
|
|
|
|
6,380
|
|
|
|
Company-owned life
insurance
|
104,327
|
|
|
|
|
100,923
|
|
|
|
|
90,228
|
|
|
|
Other non-earning
assets
|
236,881
|
|
|
|
|
234,697
|
|
|
|
|
215,431
|
|
|
|
Total
assets
|
$
|
6,296,629
|
|
|
|
|
$
|
6,050,721
|
|
|
|
|
$
|
5,446,347
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand deposits
|
$
|
828,482
|
|
$
|
382
|
|
0.19
|
%
|
|
$
|
772,181
|
|
$
|
290
|
|
0.15
|
%
|
|
$
|
714,231
|
|
$
|
216
|
|
0.12
|
%
|
Money market
and savings deposits
|
1,267,347
|
|
562
|
|
0.18
|
|
|
1,211,958
|
|
471
|
|
0.16
|
|
|
1,352,163
|
|
492
|
|
0.15
|
|
Time
deposits
|
1,353,226
|
|
2,131
|
|
0.63
|
|
|
1,264,103
|
|
1,827
|
|
0.59
|
|
|
1,215,585
|
|
1,432
|
|
0.47
|
|
Other brokered
funds
|
483,716
|
|
607
|
|
0.50
|
|
|
589,239
|
|
623
|
|
0.43
|
|
|
80,478
|
|
35
|
|
0.17
|
|
Short-term
borrowings
|
75,819
|
|
209
|
|
1.10
|
|
|
49,839
|
|
79
|
|
0.65
|
|
|
126,382
|
|
33
|
|
0.11
|
|
Long-term
debt
|
463,210
|
|
914
|
|
0.79
|
|
|
402,023
|
|
800
|
|
0.81
|
|
|
209,721
|
|
627
|
|
1.20
|
|
Total
interest-bearing liabilities
|
4,471,800
|
|
4,805
|
|
0.43
|
%
|
|
4,289,343
|
|
4,090
|
|
0.39
|
%
|
|
3,698,560
|
|
2,835
|
|
0.31
|
%
|
Noninterest-bearing liabilities and shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
demand deposits
|
976,044
|
|
|
|
|
921,359
|
|
|
|
|
965,966
|
|
|
|
FDIC clawback
liability
|
28,087
|
|
|
|
|
27,107
|
|
|
|
|
25,787
|
|
|
|
Other
liabilities
|
62,414
|
|
|
|
|
53,547
|
|
|
|
|
46,052
|
|
|
|
Shareholders'
equity
|
758,284
|
|
|
|
|
759,365
|
|
|
|
|
709,982
|
|
|
|
Total
liabilities and shareholders' equity
|
$
|
6,296,629
|
|
|
|
|
$
|
6,050,721
|
|
|
|
|
$
|
5,446,347
|
|
|
|
Net interest
income
|
|
$
|
49,609
|
|
|
|
|
$
|
51,032
|
|
|
|
|
$
|
52,378
|
|
|
Interest
spread
|
|
|
3.41
|
%
|
|
|
|
3.72
|
%
|
|
|
|
4.27
|
%
|
Net interest
margin as a percentage of interest-earning assets
|
|
3.46
|
%
|
|
|
|
3.76
|
%
|
|
|
|
4.31
|
%
|
Tax equivalent
effect
|
|
|
0.04
|
%
|
|
|
|
0.04
|
%
|
|
|
|
0.03
|
%
|
Net interest
margin as a percentage of interest-earning assets
(FTE)
|
3.50
|
%
|
|
|
|
3.80
|
%
|
|
|
|
4.34
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) First quarter
2015 information is revised to reflect the impact from adjustments
to the acquisition date fair value of certain loans and their
related changes to interest income in the First of Huron
Corporation
(Signature Bank) acquisition within
the measurement period. These adjustments decreased first quarter
2015 interest income by $6 thousand compared to previously reported
levels.
|
(2) Interest income
is shown on actual basis and does not include taxable equivalent
adjustments.
|
(3) Average rates are
presented on an annual basis and include a taxable equivalent
adjustment to interest income of $540 thousand, $534 thousand, and
$425 thousand on tax-exempt securities for the three
months ended June 30, 2015, March
31, 2015, and June 30, 2014, respectively, using the statutory tax
rate of 35%.
|
(4) For presentation
in this table, average balances and the corresponding average rates
for investment securities are based upon historical cost, adjusted
for amortization of premiums and accretion of discounts.
|
(5) Includes
nonaccrual loans.
|
Talmer Bancorp,
Inc. Net Interest Income and Net Interest
Margin (Unaudited)
|
|
|
|
For the six months
ended
|
|
June 30,
2015
|
|
June 30,
2014
|
(Dollars in
thousands)
|
Average
Balance
|
Interest
(1)
|
Average Rate
(2)
|
|
Average
Balance
|
Interest
(1)
|
Average Rate
(2)
|
Earning
assets:
|
|
|
|
|
|
|
|
Interest-earning
balances
|
$
|
176,459
|
|
$
|
203
|
|
0.23
|
%
|
|
$
|
324,900
|
|
$
|
387
|
|
0.24
|
%
|
Federal funds sold
and other short-term investments
|
125,159
|
|
434
|
|
0.70
|
|
|
73,597
|
|
271
|
|
0.74
|
|
Investment securities
(3):
|
|
|
|
|
|
|
|
Taxable
|
510,948
|
|
4,698
|
|
1.85
|
|
|
500,586
|
|
4,005
|
|
1.61
|
|
Tax-exempt
|
243,657
|
|
3,273
|
|
3.54
|
|
|
174,161
|
|
3,178
|
|
4.97
|
|
Federal Home Loan
Bank stock
|
20,529
|
|
469
|
|
4.61
|
|
|
17,677
|
|
513
|
|
5.86
|
|
Gross uncovered loans
(4)
|
4,175,903
|
|
98,424
|
|
4.75
|
|
|
3,236,360
|
|
80,890
|
|
5.04
|
|
Gross covered loans
(4)
|
315,846
|
|
19,833
|
|
12.66
|
|
|
495,323
|
|
29,385
|
|
11.96
|
|
FDIC indemnification
asset
|
54,685
|
|
(17,798)
|
|
(65.63)
|
|
|
121,740
|
|
(12,224)
|
|
(20.25)
|
|
Total
earning assets
|
5,623,186
|
|
109,536
|
|
3.96
|
%
|
|
4,944,344
|
|
106,405
|
|
4.39
|
%
|
Non-earning
assets:
|
|
|
|
|
|
|
|
Cash and due from
banks
|
88,729
|
|
|
|
|
100,634
|
|
|
|
Allowance for loan
losses
|
(52,145)
|
|
|
|
|
(58,027)
|
|
|
|
Premises and
equipment
|
48,074
|
|
|
|
|
56,694
|
|
|
|
Core deposit
intangible
|
14,334
|
|
|
|
|
12,264
|
|
|
|
Goodwill
|
2,803
|
|
|
|
|
—
|
|
|
|
Other real estate
owned and repossessed assets
|
46,715
|
|
|
|
|
57,847
|
|
|
|
Loan servicing
rights
|
58,074
|
|
|
|
|
78,238
|
|
|
|
FDIC
receivable
|
6,155
|
|
|
|
|
6,722
|
|
|
|
Company-owned life
insurance
|
102,634
|
|
|
|
|
65,732
|
|
|
|
Other non-earning
assets
|
235,798
|
|
|
|
|
215,133
|
|
|
|
Total
assets
|
$
|
6,174,357
|
|
|
|
|
$
|
5,479,581
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
Interest-bearing demand deposits
|
$
|
800,487
|
|
$
|
672
|
|
0.17
|
%
|
|
$
|
711,766
|
|
$
|
440
|
|
0.12
|
%
|
Money market
and savings deposits
|
1,239,805
|
|
1,033
|
|
0.17
|
|
|
1,374,101
|
|
986
|
|
0.14
|
|
Time
deposits
|
1,308,911
|
|
3,958
|
|
0.61
|
|
|
1,268,122
|
|
2,923
|
|
0.46
|
|
Other brokered
funds
|
536,186
|
|
1,230
|
|
0.46
|
|
|
80,240
|
|
64
|
|
0.16
|
|
Short-term
borrowings
|
62,900
|
|
288
|
|
0.92
|
|
|
114,577
|
|
208
|
|
0.37
|
|
Long-term
debt
|
432,786
|
|
1,714
|
|
0.80
|
|
|
210,722
|
|
1,201
|
|
1.15
|
|
Total
interest-bearing liabilities
|
4,381,075
|
|
8,895
|
|
0.41
|
%
|
|
3,759,528
|
|
5,822
|
|
0.31
|
%
|
Noninterest-bearing liabilities and shareholders'
equity:
|
|
|
|
|
|
|
Noninterest-bearing
demand deposits
|
948,856
|
|
|
|
|
951,432
|
|
|
|
FDIC clawback
liability
|
27,600
|
|
|
|
|
25,433
|
|
|
|
Other
liabilities
|
58,004
|
|
|
|
|
43,078
|
|
|
|
Shareholders'
equity
|
758,822
|
|
|
|
|
704,110
|
|
|
|
Total
liabilities and shareholders' equity
|
$
|
6,174,357
|
|
|
|
|
$
|
5,483,581
|
|
|
|
Net interest
income
|
|
$
|
100,641
|
|
|
|
|
$
|
100,583
|
|
|
Interest
spread
|
|
|
3.55
|
%
|
|
|
|
4.08
|
%
|
Net interest
margin as a percentage of interest-earning assets
|
|
3.61
|
%
|
|
|
|
4.10
|
%
|
Tax equivalent
effect
|
|
|
0.03
|
%
|
|
|
|
0.04
|
%
|
Net interest
margin as a percentage of interest-earning assets
(FTE)
|
3.64
|
%
|
|
|
|
4.14
|
%
|
|
(1) Interest income
is shown on actual basis and does not include taxable equivalent
adjustments.
|
(2) Average rates are
presented on an annual basis and include a taxable equivalent
adjustment to interest income of $1.0 million and $1.1 million
on
tax-exempt securities for the six
months ended June 30, 2015 and June 30, 2014, respectively, using
the statutory tax rate of 35%.
|
(3) For presentation
in this table, average balances and the corresponding average rates
for investment securities are based upon historical cost,
adjusted for amortization of
premiums and accretion of discounts.
|
(4) Includes
nonaccrual loans.
|
Talmer Bancorp,
Inc.
Reconciliation of
Non-GAAP Financial Measures (1)
(Unaudited)
|
|
|
|
|
|
2015
|
|
2014
|
(Dollars in
thousands, except per share data)
|
2nd
Quarter
|
|
1st Quarter
(2)
|
|
4th
Quarter
|
|
3rd
Quarter
|
|
2nd
Quarter
|
|
|
|
|
|
|
|
|
|
|
Tangible
shareholders' equity:
|
|
|
|
|
|
|
|
|
|
Total shareholders'
equity
|
$
|
766,406
|
|
|
$
|
753,849
|
|
|
$
|
761,607
|
|
|
$
|
746,652
|
|
|
$
|
727,945
|
|
Less:
|
|
|
|
|
|
|
|
|
|
Core deposit
intangibles
|
14,131
|
|
|
14,796
|
|
|
13,035
|
|
|
13,696
|
|
|
15,378
|
|
Goodwill
|
3,524
|
|
|
3,524
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Tangible
shareholders' equity
|
$
|
748,751
|
|
|
$
|
735,529
|
|
|
$
|
748,572
|
|
|
$
|
732,956
|
|
|
$
|
712,567
|
|
Tangible book
value per share:
|
|
|
|
|
|
|
|
|
|
Shares
outstanding
|
71,129
|
|
|
70,938
|
|
|
70,532
|
|
|
70,504
|
|
|
70,451
|
|
Tangible book value
per share
|
$
|
10.53
|
|
|
$
|
10.37
|
|
|
$
|
10.61
|
|
|
$
|
10.40
|
|
|
$
|
10.11
|
|
Tangible average
equity to tangible average assets:
|
|
|
|
|
|
|
|
|
|
Average
assets
|
$
|
6,296,629
|
|
|
$
|
6,050,721
|
|
|
$
|
5,865,624
|
|
|
$
|
5,747,108
|
|
|
$
|
5,446,347
|
|
Average
equity
|
758,284
|
|
|
759,365
|
|
|
754,722
|
|
|
738,870
|
|
|
709,982
|
|
Average core deposit
intangibles
|
14,465
|
|
|
14,201
|
|
|
13,334
|
|
|
14,398
|
|
|
15,740
|
|
Average
goodwill
|
3,524
|
|
|
2,075
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Tangible average
equity to tangible average assets
|
11.79
|
%
|
|
12.31
|
%
|
|
12.67
|
%
|
|
12.64
|
%
|
|
12.78
|
%
|
Core efficiency
ratio:
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
$
|
49,609
|
|
|
$
|
51,032
|
|
|
$
|
51,463
|
|
|
$
|
52,217
|
|
|
$
|
52,378
|
|
Noninterest
income
|
22,098
|
|
|
21,430
|
|
|
15,834
|
|
|
29,974
|
|
|
13,951
|
|
Total
revenue
|
71,707
|
|
|
72,462
|
|
|
67,297
|
|
|
82,191
|
|
|
66,329
|
|
Less:
|
|
|
|
|
|
|
|
|
|
(Expense)/benefit due
to change in the fair value of loan servicing rights
|
3,146
|
|
|
(4,084)
|
|
|
(3,656)
|
|
|
(176)
|
|
|
(4,200)
|
|
FDIC loss sharing
income
|
(5,928)
|
|
|
(1,068)
|
|
|
(244)
|
|
|
(2,420)
|
|
|
(3,434)
|
|
Net gains on sales of
branches
|
—
|
|
|
—
|
|
|
—
|
|
|
14,410
|
|
|
—
|
|
Total core
revenue
|
74,489
|
|
|
77,614
|
|
|
71,197
|
|
|
70,377
|
|
|
73,963
|
|
Total noninterest
expense
|
53,293
|
|
|
56,595
|
|
|
48,098
|
|
|
51,263
|
|
|
54,071
|
|
Less:
|
|
|
|
|
|
|
|
|
|
Transaction and
integration related costs
|
419
|
|
|
3,347
|
|
|
329
|
|
|
1,428
|
|
|
837
|
|
Property efficiency
review
|
1,820
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Total core
noninterest expense
|
51,054
|
|
|
53,248
|
|
|
47,769
|
|
|
49,835
|
|
|
53,234
|
|
Core efficiency
ratio
|
68.54
|
%
|
|
68.61
|
%
|
|
67.09
|
%
|
|
70.81
|
%
|
|
71.97
|
%
|
|
(1) Management
believes these non-GAAP financial measures provide useful
information to both management and investors that is supplementary
to our financial
condition and results of operations
in accordance with GAAP; however, we do acknowledge that our
non-GAAP financial measures have a number of
limitations. As such, you should not
view these disclosures as a substitute for results determined in
accordance with GAAP, and they are not necessarily
comparable to non-GAAP financial
measures that other companies use.
|
(2) First quarter
2015 information has been revised to reflect the impact to the
financial statements from adjustments to the acquisition date fair
value of certain
assets and liabilities in the First
of Huron Corporation (Signature Bank) acquisition within the
measurement period. These adjustments decreased first quarter
2015 net income and period end
equity by $4 thousand compared to previously reported
levels.
|
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SOURCE Talmer Bancorp, Inc.