EX-99.1 2 a8k2q19earningsreleaseex99.htm EXHIBIT 99.1 Document
Exhibit 99.1
yellowbara08.jpgbancorplogo.jpg                                        
First Financial Bancorp Announces Second Quarter Financial Results

•
Second Quarter 2019 Earnings per Diluted Share Increased 13% from First Quarter 2019
•
7.8% Loan Growth on an Annualized Basis
•
Board Approves Dividend Increase

Cincinnati, Ohio - July 18, 2019 - First Financial Bancorp. (Nasdaq: FFBC) (“First Financial” or the “Company”) announced financial results for the second quarter 2019 and an increase in the quarterly dividend from $0.22 to $0.23 per share, payable on September 16, 2019 to shareholders of record as of September 2, 2019.

For the three months ended June 30, 2019, the Company reported net income of $52.7 million, or $0.53 per diluted common share. These results compare to net income of $45.8 million, or $0.47 per diluted common share, for the first quarter of 2019 and $36.4 million, or $0.37 per diluted common share, for the second quarter of 2018. Second quarter 2019 income before taxes was negatively impacted by $5.2 million of severance and merger related costs. For the six months ended June 30, 2019, First Financial had earnings per diluted common share of $1.00 compared to $0.83 for the same period in 2018.

Return on average assets for the second quarter of 2019 was 1.50% while return on average tangible common equity was 17.33%. These compare to returns on average assets of 1.33% and 1.05%, and returns on average tangible common equity of 15.95% and 13.75%, in the first quarter of 2019 and the second quarter of 2018, respectively.

Second quarter 2019 highlights include:

•
After adjustments(1) for merger-related and nonrecurring items:
◦
Net income of $0.58 per diluted common share
◦
1.63% return on average assets
◦
18.87% return on average tangible common equity

•
Loan balances grew 7.8% on an annualized basis
◦
$171.6 million increase compared to the linked quarter

•
Net interest margin of 4.04% on a fully tax-equivalent basis(1) 
◦
6 basis point reduction from the linked quarter driven by higher funding costs and day count

•
Noninterest income increased 29.1% compared to the linked quarter
◦
Driven by record client derivative fees and solid mortgage banking activity combined with higher bankcard and service charge income

•
Noninterest expenses of $84.4 million, or $78.9 million as adjusted(1)
◦
Efficiency ratio of 53.8% for the second quarter; 50.3% as adjusted(1) 
    
•
Provision expense of $6.7 million; primarily impacted by additional reserves required for the franchise relationship discussed in the first quarter

•
Strong capital ratios
◦
Total capital of 14.21%; Tier 1 common equity of 12.02%; Tangible common equity of 9.34%
◦
Tangible book value increased to $12.79
____________________________________________________________________________________________(1) Financial information in this release that is described as “adjusted” or that is presented on a fully tax equivalent basis is non-GAAP. For details on the calculation of these non-GAAP financial measures and a reconciliation to the GAAP financial measure, see the sections titled “Use of Non-GAAP Financial Measures” in this release and “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.

1

Archie Brown, President and Chief Executive Officer, commented, “The second quarter of 2019 was another highly successful one for First Financial, and further demonstrates the consistency and capabilities of the Company. Loan growth, net interest margin, fee income and efficiency all met or surpassed our expectations resulting in adjusted(1) earnings per share of $0.58 and a top quartile adjusted(1) return on assets of 1.63%.”
Mr. Brown continued, “We remain optimistic about the prospect of sustained success in the near term. We were particularly pleased with the level of loan growth during the quarter, in addition to record fee income and prudent expense management. While we face some pressure on the margin given the expected rate environment, we are working to mitigate the potential impact through disciplined deposit pricing initiatives. Aside from additional provision related to the workout of the franchise credit disclosed last quarter, credit costs were better than expectations and overall credit remains stable."

Mr. Brown concluded, "We were excited to announce the acquisition of Bannockburn Global Forex, LLC, which will enhance our capabilities to serve middle market clients, broaden our customer base and drive higher fee income. Additionally, we are pleased to announce an increase in the quarterly dividend to $0.23, reflecting our commitment to deploying capital in a way that sustains financial and operating success in addition to directly rewarding shareholders. While the announced acquisition impacted potential share repurchase activity during the quarter, our strong capital levels provide the flexibility for further additional capital deployment opportunities in the future."
Full detail of the Company’s second quarter and year to date performance is provided in the accompanying financial statements and slide presentation.

Teleconference / Webcast Information
First Financial’s executive management will host a conference call to discuss the Company’s financial and operating results on Friday, July 19, 2019 at 8:30 a.m. Eastern Time. Members of the public who would like to listen to the conference call should dial (877) 506-6873 (U.S. toll free), (855) 669-9657 (Canada toll free) or +1 (412) 380-2003 (International) (no passcode required). The number should be dialed five to ten minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company’s website at www.bankatfirst.com. A replay of the conference call will be available beginning one hour after the completion of the live call at (877) 344-7529 (U.S. toll free), (855) 669-9658 (Canada toll free) and +1 (412) 317-0088 (International); conference number 10133133. The webcast will be archived on the Investor Relations section of the Company’s website for 12 months.

Press Release and Additional Information on Website
This press release as well as supplemental information are available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com.

Use of Non-GAAP Financial Measures
This earnings release contains GAAP financial measures and Non-GAAP financial measures where management believes it to be helpful in understanding the Company’s results of operations or financial position. Where Non-GAAP financial measures are used, the comparable GAAP financial measures, as well as a reconciliation to the comparable GAAP financial measure, can be found in the section titled “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.




2

Forward-Looking Statement
Certain statements contained in this report which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Words such as ‘‘believes,’’ ‘‘anticipates,’’ “likely,” “expected,” “estimated,” ‘‘intends’’ and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.  Examples of forward-looking statements include, but are not limited to, statements we make about (i) our future operating or financial performance, including revenues, income or loss and earnings or loss per share, (ii) future common stock dividends, (iii) our capital structure, including future capital levels, (iv) our plans, objectives and strategies, and (v) the assumptions that underlie our forward-looking statements.

As with any forecast or projection, forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances that may cause actual results to differ materially from those set forth in the forward-looking statements. Forward-looking statements are not historical facts but instead express only management’s beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management’s control. It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements. Important factors that could cause actual results to differ materially from those in our forward-looking statements include the following, without limitation: (i) economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company’s business; (ii) the effect of and changes in policies and laws or regulatory agencies, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and other legislation and regulation relating to the banking industry; (iii) management’s ability to effectively execute its business plans; (iv) mergers and acquisitions, including costs or difficulties related to the integration of acquired companies; (v) the possibility that any of the anticipated benefits of the Company’s merger with MainSource Financial Group, Inc. will not be realized or will not be realized within the expected time period; (vi) the effect of changes in accounting policies and practices; (vii) changes in consumer spending, borrowing and saving and changes in unemployment; (viii) changes in customers’ performance and creditworthiness; and (ix) the costs and effects of litigation and of unexpected or adverse outcomes in such litigation. Additional factors that may cause our actual results to differ materially from those described in our forward-looking statements can be found in our Form 10-K for the year ended December 31, 2018, as well as our other filings with the SEC, which are available on the SEC website at www.sec.gov.

All forward-looking statements included in this filing are made as of the date hereof and are based on information available at the time of the filing.  Except as required by law, the Company does not assume any obligation to update any forward-looking statement.

About First Financial Bancorp.
First Financial Bancorp. is a Cincinnati, Ohio based bank holding company. As of June 30, 2019, the Company had $14.4 billion in assets, $9.0 billion in loans, $10.1 billion in deposits and $2.2 billion in shareholders’ equity. The Company’s subsidiary, First Financial Bank, founded in 1863, provides banking and financial services products through its six lines of business: Commercial, Retail Banking, Investment Commercial Real Estate, Mortgage Banking, Commercial Finance and Wealth Management. These business units provide traditional banking services to business and retail clients. Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $2.8 billion in assets under management as of June 30, 2019. The Company operated 159 banking centers as of June 30, 2019, primarily in Ohio, Indiana and Kentucky, while the Commercial Finance business lends into targeted industry verticals on a nationwide basis. Additional information about the Company, including its products, services and banking locations, is available at www.bankatfirst.com.


Contact Information
Investors/Analysts                    Media
Jamie Anderson                        Lauren Ponti-Zins
Chief Financial Officer                    Marketing Specialist
(513) 887-5400                        (513) 246-2137
InvestorRelations@bankatfirst.com            media@bankatfirst.com    

3


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Selected Financial Information
June 30, 2019
(unaudited)


Contents
Page
Consolidated Financial Highlights
2
Consolidated Statements of Income
3
Consolidated Quarterly Statements of Income
4-5
Consolidated Statements of Condition
6
Average Consolidated Statements of Condition
7
Net Interest Margin Rate / Volume Analysis
8-9
Credit Quality
10
Capital Adequacy
11



    
FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended,
 
Six months ended,
 
Jun. 30,
 
Mar. 31,
 
Dec. 31,
 
Sep. 30,
 
Jun. 30,
 
June 30,
 
2019
 
2019
 
2018
 
2018
 
2018
 
2019
 
2018
RESULTS OF OPERATIONS
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
52,703

 
$
45,839

 
$
55,014

 
$
50,657

 
$
36,418

 
$
98,542

 
$
66,924

Net earnings per share - basic
$
0.54

 
$
0.47

 
$
0.56

 
$
0.52

 
$
0.37

 
$
1.01

 
$
0.84

Net earnings per share - diluted
$
0.53

 
$
0.47

 
$
0.56

 
$
0.51

 
$
0.37

 
$
1.00

 
$
0.83

Dividends declared per share
$
0.22

 
$
0.22

 
$
0.20

 
$
0.20

 
$
0.19

 
$
0.44

 
$
0.38

 
 
 
 
 
 
 
 
 
 
 
 
 
 
KEY FINANCIAL RATIOS
 
 
 
 
 
 
 
 
 
 
 
 
 
Return on average assets
1.50
%
 
1.33
%
 
1.59
%
 
1.45
 %
 
1.05
%
 
1.42
%
 
1.18
%
Return on average shareholders' equity
9.85
%
 
8.88
%
 
10.68
%
 
9.94
 %
 
7.36
%
 
9.37
%
 
9.19
%
Return on average tangible shareholders' equity
17.33
%
 
15.95
%
 
19.63
%
 
18.52
 %
 
13.75
%
 
16.66
%
 
15.12
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net interest margin
3.99
%
 
4.05
%
 
4.16
%
 
4.06
 %
 
4.10
%
 
4.02
%
 
3.98
%
Net interest margin (fully tax equivalent) (1)
4.04
%
 
4.10
%
 
4.21
%
 
4.12
 %
 
4.15
%
 
4.07
%
 
4.03
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending shareholders' equity as a percent of ending assets
15.16
%
 
15.14
%
 
14.86
%
 
14.70
 %
 
14.46
%
 
15.16
%
 
14.46
%
Ending tangible shareholders' equity as a percent of:
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending tangible assets
9.34
%
 
9.15
%
 
8.79
%
 
8.53
 %
 
8.30
%
 
9.34
%
 
8.30
%
Risk-weighted assets
11.84
%
 
11.61
%
 
11.20
%
 
10.77
 %
 
10.52
%
 
11.84
%
 
10.52
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average shareholders' equity as a percent of average assets
15.22
%
 
15.01
%
 
14.84
%
 
14.62
 %
 
14.33
%
 
15.12
%
 
12.87
%
Average tangible shareholders' equity as a percent of
 
 
 
 
 
 
 
 
 
 
 
 
 
    average tangible assets
9.26
%
 
8.95
%
 
8.66
%
 
8.42
 %
 
8.16
%
 
9.11
%
 
8.24
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Book value per share
$
22.18

 
$
21.60

 
$
21.23

 
$
20.79

 
$
20.56

 
$
22.18

 
$
20.56

Tangible book value per share
$
12.79

 
$
12.19

 
$
11.72

 
$
11.25

 
$
11.01

 
$
12.79

 
$
11.01

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common equity tier 1 ratio (2)
12.02
%
 
12.03
%
 
11.87
%
 
11.52
 %
 
11.15
%
 
12.02
%
 
11.15
%
Tier 1 ratio (2)
12.42
%
 
12.43
%
 
12.28
%
 
11.93
 %
 
11.55
%
 
12.42
%
 
11.55
%
Total capital ratio (2)
14.21
%
 
14.24
%
 
14.10
%
 
13.77
 %
 
13.36
%
 
14.21
%
 
13.36
%
Leverage ratio (2)
10.02
%
 
9.84
%
 
9.71
%
 
9.41
 %
 
9.06
%
 
10.02
%
 
9.06
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
AVERAGE BALANCE SHEET ITEMS
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans (3)
$
8,852,662

 
$
8,773,310

 
$
8,766,302

 
$
8,848,710

 
$
8,933,400

 
$
8,813,206

 
$
7,483,004

FDIC indemnification asset
—

 
—

 
—

 
—

 
—

 
—

 
747

Investment securities
3,408,994

 
3,355,732

 
3,204,758

 
3,168,044

 
3,157,339

 
3,382,510

 
2,603,139

Interest-bearing deposits with other banks
33,255

 
34,709

 
32,013

 
39,873

 
29,261

 
33,978

 
28,173

  Total earning assets
$
12,294,911

 
$
12,163,751

 
$
12,003,073

 
$
12,056,627

 
$
12,120,000

 
$
12,229,694

 
$
10,115,063

Total assets
$
14,102,733

 
$
13,952,551

 
$
13,768,958

 
$
13,822,675

 
$
13,956,360

 
$
14,028,058

 
$
11,407,429

Noninterest-bearing deposits
$
2,484,214

 
$
2,457,587

 
$
2,476,773

 
$
2,388,976

 
$
2,421,230

 
$
2,470,974

 
$
1,998,251

Interest-bearing deposits
7,612,146

 
7,610,092

 
7,573,069

 
7,499,112

 
7,961,405

 
7,611,125

 
6,654,334

  Total deposits
$
10,096,360

 
$
10,067,679

 
$
10,049,842

 
$
9,888,088

 
$
10,382,635

 
$
10,082,099

 
$
8,652,585

Borrowings
$
1,656,570

 
$
1,587,068

 
$
1,509,642

 
$
1,748,415

 
$
1,408,024

 
$
1,622,011

 
$
1,138,931

Shareholders' equity
$
2,146,997

 
$
2,094,234

 
$
2,042,884

 
$
2,021,400

 
$
2,000,093

 
$
2,120,762

 
$
1,467,741

 
 
 
 
 
 
 
 
 
 
 
 
 
 
CREDIT QUALITY RATIOS
 
 
 
 
 
 
 
 
 
 
 
 
Allowance to ending loans
0.69
%
 
0.64
%
 
0.64
%
 
0.65
 %
 
0.61
%
 
0.69
%
 
0.61
%
Allowance to nonaccrual loans
119.86
%
 
95.40
%
 
79.97
%
 
136.22
 %
 
133.65
%
 
119.86
%
 
133.65
%
Allowance to nonperforming loans
69.33
%
 
68.94
%
 
65.13
%
 
92.08
 %
 
86.80
%
 
69.33
%
 
86.80
%
Nonperforming loans to total loans
0.99
%
 
0.93
%
 
0.98
%
 
0.71
 %
 
0.70
%
 
0.99
%
 
0.70
%
Nonperforming assets to ending loans, plus OREO
1.00
%
 
0.95
%
 
1.00
%
 
0.73
 %
 
0.72
%
 
1.00
%
 
0.72
%
Nonperforming assets to total assets
0.62
%
 
0.60
%
 
0.63
%
 
0.47
 %
 
0.46
%
 
0.62
%
 
0.46
%
Classified assets to total assets
1.02
%
 
1.01
%
 
0.94
%
 
1.00
 %
 
1.00
%
 
1.02
%
 
1.00
%
Net charge-offs to average loans (annualized)
0.08
%
 
0.64
%
 
0.29
%
 
(0.02
)%
 
0.18
%
 
0.36
%
 
0.16
%

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
(2) June 30, 2019 regulatory capital ratios are preliminary.
(3) Includes loans held for sale.


2


FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
 
 
 
 
 
Three months ended,
 
Six months ended,
 
June 30,
 
June 30,
 
2019
 
2018
 
% Change
 
2019
 
2018
 
% Change
Interest income
 
 
 
 
 
 
 
 
 
 
 
  Loans and leases, including fees
$
126,365

 
$
122,290

 
3.3
 %
 
$
249,421

 
$
197,210

 
26.5
 %
  Investment securities

 
 
 
 
 
 
 
 
 
 
     Taxable
23,616

 
20,844

 
13.3
 %
 
47,851

 
34,514

 
38.6
 %
     Tax-exempt
4,336

 
4,068

 
6.6
 %
 
8,594

 
5,725

 
50.1
 %
        Total investment securities interest
27,952

 
24,912

 
12.2
 %
 
56,445

 
40,239

 
40.3
 %
  Other earning assets
206

 
177

 
16.4
 %
 
416

 
284

 
46.5
 %
       Total interest income
154,523

 
147,379

 
4.8
 %
 
306,282

 
237,733

 
28.8
 %
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense
 
 
 
 
 
 
 
 
 
 
 
  Deposits
20,612

 
14,794

 
39.3
 %
 
39,855

 
25,092

 
58.8
 %
  Short-term borrowings
6,646

 
4,132

 
60.8
 %
 
12,606

 
6,795

 
85.5
 %
  Long-term borrowings
4,963

 
4,474

 
10.9
 %
 
10,004

 
6,055

 
65.2
 %
      Total interest expense
32,221

 
23,400

 
37.7
 %
 
62,465

 
37,942

 
64.6
 %
      Net interest income
122,302

 
123,979

 
(1.4
)%
 
243,817

 
199,791

 
22.0
 %
  Provision for loan and lease losses
6,658

 
3,735

 
78.3
 %
 
20,741

 
6,038

 
243.5
 %
      Net interest income after provision for loan and lease losses
115,644

 
120,244

 
(3.8
)%
 
223,076

 
193,753

 
15.1
 %
 
 
 
 
 
 
 
 
 
 
 
 
Noninterest income
 
 
 
 
 
 
 
 
 
 
 
  Service charges on deposit accounts
9,819

 
9,568

 
2.6
 %
 
18,722

 
14,607

 
28.2
 %
  Trust and wealth management fees
3,943

 
3,697

 
6.7
 %
 
8,013

 
7,651

 
4.7
 %
  Bankcard income
6,497

 
5,343

 
21.6
 %
 
12,083

 
8,737

 
38.3
 %
  Client derivative fees
4,905

 
1,463

 
235.3
 %
 
6,609

 
3,220

 
105.2
 %
  Net gains from sales of loans
3,432

 
2,316

 
48.2
 %
 
5,322

 
2,904

 
83.3
 %
  Net gains (losses) on sale of investment securities
(37
)
 
(30
)
 
23.3
 %
 
(215
)
 
(30
)
 
616.7
 %
  Other
6,079

 
5,899

 
3.1
 %
 
10,931

 
8,105

 
34.9
 %
      Total noninterest income
34,638

 
28,256

 
22.6
 %
 
61,465

 
45,194

 
36.0
 %
 
 
 
 
 
 
 
 
 
 
 
 
Noninterest expenses
 
 
 
 
 
 
 
 
 
 
 
  Salaries and employee benefits
53,985

 
55,531

 
(2.8
)%
 
101,897

 
86,633

 
17.6
 %
  Net occupancy
5,596

 
6,631

 
(15.6
)%
 
12,226

 
11,128

 
9.9
 %
  Furniture and equipment
4,222

 
5,298

 
(20.3
)%
 
7,638

 
7,338

 
4.1
 %
  Data processing
4,984

 
14,304

 
(65.2
)%
 
10,111

 
17,976

 
(43.8
)%
  Marketing
1,976

 
2,644

 
(25.3
)%
 
3,582

 
3,445

 
4.0
 %
  Communication
747

 
1,118

 
(33.2
)%
 
1,475

 
1,577

 
(6.5
)%
  Professional services
2,039

 
5,659

 
(64.0
)%
 
4,291

 
7,857

 
(45.4
)%
  State intangible tax
1,307

 
1,078

 
21.2
 %
 
2,617

 
1,843

 
42.0
 %
  FDIC assessments
1,065

 
1,323

 
(19.5
)%
 
2,015

 
2,217

 
(9.1
)%
  Intangible amortization
2,044

 
2,364

 
(13.5
)%
 
4,089

 
2,644

 
54.7
 %
  Other
6,413

 
6,805

 
(5.8
)%
 
12,936

 
12,385

 
4.4
 %
      Total noninterest expenses
84,378

 
102,755

 
(17.9
)%
 
162,877

 
155,043

 
5.1
 %
Income before income taxes
65,904

 
45,745

 
44.1
 %
 
121,664

 
83,904

 
45.0
 %
Income tax expense
13,201

 
9,327

 
41.5
 %
 
23,122

 
16,980

 
36.2
 %
      Net income
$
52,703

 
$
36,418

 
44.7
 %
 
$
98,542

 
$
66,924

 
47.2
 %
 
 
 
 
 
 
 
 
 
 
 
 
ADDITIONAL DATA
 
 
 
 
 
 
 
 
 
 
 
Net earnings per share - basic
$
0.54

 
$
0.37

 
 
 
$
1.01

 
$
0.84

 
 
Net earnings per share - diluted
$
0.53

 
$
0.37

 
 
 
$
1.00

 
$
0.83

 
 
Dividends declared per share
$
0.22

 
$
0.19

 
 
 
$
0.44

 
$
0.38

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Return on average assets
1.50
%
 
1.05
%
 
 
 
1.42
%
 
1.18
%
 
 
Return on average shareholders' equity
9.85
%
 
7.36
%
 
 
 
9.37
%
 
9.19
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest income
$
154,523

 
$
147,379

 
4.8
 %
 
$
306,282

 
$
237,733

 
28.8
 %
Tax equivalent adjustment
1,416

 
1,420

 
(0.3
)%
 
2,939

 
2,138

 
37.5
 %
   Interest income - tax equivalent
155,939

 
148,799

 
4.8
 %
 
309,221

 
239,871

 
28.9
 %
Interest expense
32,221

 
23,400

 
37.7
 %
 
62,465

 
37,942

 
64.6
 %
   Net interest income - tax equivalent
$
123,718

 
$
125,399

 
(1.3
)%
 
$
246,756

 
$
201,929

 
22.2
 %
 
 
 
 
 
 
 
 
 
 
 
 
Net interest margin
3.99
%
 
4.10
%
 
 
 
4.02
%
 
3.98
%
 
 
Net interest margin (fully tax equivalent) (1)
4.04
%
 
4.15
%
 
 
 
4.07
%
 
4.03
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Full-time equivalent employees
2,076

 
2,118

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
 
 
 
 
 
 
 
 
 
 
 
 

3

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
2019
 
Second
 
First
 
Full
 
% Change
 
Quarter
 
Quarter
 
Year
 
Linked Qtr.
Interest income
 
 
 
 
 
 
 
  Loans and leases, including fees
$
126,365

 
$
123,056

 
$
249,421

 
2.7
 %
  Investment securities
 
 
 
 
 
 
 
     Taxable
23,616

 
24,235

 
47,851

 
(2.6
)%
     Tax-exempt
4,336

 
4,258

 
8,594

 
1.8
 %
        Total investment securities interest
27,952

 
28,493

 
56,445

 
(1.9
)%
  Other earning assets
206

 
210

 
416

 
(1.9
)%
       Total interest income
154,523

 
151,759

 
306,282

 
1.8
 %
 
 
 
 
 
 
 
 
Interest expense
 
 
 
 
 
 
 
  Deposits
20,612

 
19,243

 
39,855

 
7.1
 %
  Short-term borrowings
6,646

 
5,960

 
12,606

 
11.5
 %
  Long-term borrowings
4,963

 
5,041

 
10,004

 
(1.5
)%
      Total interest expense
32,221

 
30,244

 
62,465

 
6.5
 %
      Net interest income
122,302

 
121,515

 
243,817

 
0.6
 %
  Provision for loan and lease losses
6,658

 
14,083

 
20,741

 
(52.7
)%
      Net interest income after provision for loan and lease losses
115,644

 
107,432

 
223,076

 
7.6
 %
 
 
 
 
 
 
 
 
Noninterest income
 
 
 
 
 
 
 
  Service charges on deposit accounts
9,819

 
8,903

 
18,722

 
10.3
 %
  Trust and wealth management fees
3,943

 
4,070

 
8,013

 
(3.1
)%
  Bankcard income
6,497

 
5,586

 
12,083

 
16.3
 %
  Client derivative fees
4,905

 
1,704

 
6,609

 
187.9
 %
  Net gains from sales of loans
3,432

 
1,890

 
5,322

 
81.6
 %
  Net gains (losses) on sale of investment securities
(37
)
 
(178
)
 
(215
)
 
79.2
 %
  Other
6,079

 
4,852

 
10,931

 
25.3
 %
      Total noninterest income
34,638

 
26,827

 
61,465

 
29.1
 %
 
 
 
 
 
 
 
 
Noninterest expenses
 
 
 
 
 
 
 
  Salaries and employee benefits
53,985

 
47,912

 
101,897

 
12.7
 %
  Net occupancy
5,596

 
6,630

 
12,226

 
(15.6
)%
  Furniture and equipment
4,222

 
3,416

 
7,638

 
23.6
 %
  Data processing
4,984

 
5,127

 
10,111

 
(2.8
)%
  Marketing
1,976

 
1,606

 
3,582

 
23.0
 %
  Communication
747

 
728

 
1,475

 
2.6
 %
  Professional services
2,039

 
2,252

 
4,291

 
(9.5
)%
  State intangible tax
1,307

 
1,310

 
2,617

 
(0.2
)%
  FDIC assessments
1,065

 
950

 
2,015

 
12.1
 %
  Intangible amortization
2,044

 
2,045

 
4,089

 
0.0
 %
  Other
6,413

 
6,523

 
12,936

 
(1.7
)%
      Total noninterest expenses
84,378

 
78,499

 
162,877

 
7.5
 %
Income before income taxes
65,904

 
55,760

 
121,664

 
18.2
 %
Income tax expense
13,201

 
9,921

 
23,122

 
33.1
 %
      Net income
$
52,703

 
$
45,839

 
$
98,542

 
15.0
 %
 
 
 
 
 
 
 
 
ADDITIONAL DATA
 
 
 
 
 
 
 
Net earnings per share - basic
$
0.54

 
$
0.47

 
$
1.01

 
 
Net earnings per share - diluted
$
0.53

 
$
0.47

 
$
1.00

 
 
Dividends declared per share
$
0.22

 
$
0.22

 
$
0.44

 
 
 
 
 
 
 
 
 
 
Return on average assets
1.50
%
 
1.33
%
 
1.42
%
 
 
Return on average shareholders' equity
9.85
%
 
8.88
%
 
9.37
%
 
 
 
 
 
 
 
 
 
 
Interest income
$
154,523

 
$
151,759

 
$
306,282

 
1.8
 %
Tax equivalent adjustment
1,416

 
1,523

 
2,939

 
(7.0
)%
   Interest income - tax equivalent
155,939

 
153,282

 
309,221

 
1.7
 %
Interest expense
32,221

 
30,244

 
62,465

 
6.5
 %
   Net interest income - tax equivalent
$
123,718

 
$
123,038

 
$
246,756

 
0.6
 %
 
 
 
 
 
 
 
 
Net interest margin
3.99
%
 
4.05
%
 
4.02
%
 
 
Net interest margin (fully tax equivalent) (1)
4.04
%
 
4.10
%
 
4.07
%
 
 
 
 
 
 
 
 
 
 
Full-time equivalent employees
2,076

 
2,087

 
 
 
 
 
 
 
 
 
 
 
 
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
 
 
 
 
 
 
 
 

4

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
2018
 
Fourth
 
Third
 
Second
 
First
 
Full
 
Quarter
 
Quarter
 
Quarter
 
Quarter
 
Year
Interest income
 
 
 
 
 
 
 
 
 
  Loans and leases, including fees
$
126,580

 
$
123,397

 
$
122,290

 
$
74,920

 
$
447,187

  Investment securities
 
 
 
 
 
 
 
 
 
     Taxable
22,761

 
21,801

 
20,844

 
13,670

 
79,076

     Tax-exempt
3,896

 
3,807

 
4,068

 
1,657

 
13,428

        Total investment securities interest
26,657

 
25,608

 
24,912

 
15,327

 
92,504

  Other earning assets
192

 
215

 
177

 
107

 
691

       Total interest income
153,429

 
149,220

 
147,379

 
90,354

 
540,382

 
 
 
 
 
 
 
 
 
 
Interest expense
 
 
 
 
 
 
 
 
 
  Deposits
17,198

 
14,672

 
14,794

 
10,298

 
56,962

  Short-term borrowings
5,186

 
6,052

 
4,132

 
2,663

 
18,033

  Long-term borrowings
5,086

 
5,011

 
4,474

 
1,581

 
16,152

      Total interest expense
27,470

 
25,735

 
23,400

 
14,542

 
91,147

      Net interest income
125,959

 
123,485

 
123,979

 
75,812

 
449,235

  Provision for loan and lease losses
5,310

 
3,238

 
3,735

 
2,303

 
14,586

      Net interest income after provision for loan and lease losses
120,649

 
120,247

 
120,244

 
73,509

 
434,649

 
 
 
 
 
 
 
 
 


Noninterest income
 
 
 
 
 
 
 
 
 
  Service charges on deposit accounts
10,185

 
10,316

 
9,568

 
5,039

 
35,108

  Trust and wealth management fees
3,703

 
3,728

 
3,697

 
3,954

 
15,082

  Bankcard income
6,247

 
5,261

 
5,343

 
3,394

 
20,245

  Client derivative fees
1,433

 
3,029

 
1,463

 
1,757

 
7,682

  Net gains from sales of loans
1,428

 
1,739

 
2,316

 
588

 
6,071

  Net gains on sale of investment securities
36

 
(167
)
 
(30
)
 
0

 
(161
)
  Other
6,472

 
4,778

 
5,899

 
2,206

 
19,355

      Total noninterest income
29,504

 
28,684

 
28,256

 
16,938

 
103,382

 
 
 
 
 
 
 
 
 
 
Noninterest expenses
 
 
 
 
 
 
 
 
 
  Salaries and employee benefits
51,505

 
50,852

 
55,531

 
31,102

 
188,990

  Net occupancy
6,322

 
6,765

 
6,631

 
4,497

 
24,215

  Furniture and equipment
3,498

 
4,072

 
5,298

 
2,040

 
14,908

  Data processing
5,599

 
4,502

 
14,304

 
3,672

 
28,077

  Marketing
1,651

 
2,502

 
2,644

 
801

 
7,598

  Communication
805

 
785

 
1,118

 
459

 
3,167

  Professional services
1,794

 
2,621

 
5,659

 
2,198

 
12,272

  State intangible tax
1,086

 
1,223

 
1,078

 
765

 
4,152

  FDIC assessments
1,018

 
734

 
1,323

 
894

 
3,969

  Intangible amortization
2,229

 
2,486

 
2,364

 
280

 
7,359

  Other
7,845

 
8,873

 
6,805

 
5,580

 
29,103

      Total noninterest expenses
83,352

 
85,415

 
102,755

 
52,288

 
323,810

Income before income taxes
66,801

 
63,516

 
45,745

 
38,159

 
214,221

Income tax expense (benefit)
11,787

 
12,859

 
9,327

 
7,653

 
41,626

      Net income
$
55,014

 
$
50,657

 
$
36,418

 
$
30,506

 
$
172,595

 
 
 
 
 
 
 
 
 


ADDITIONAL DATA
 
 
 
 
 
 
 
 
 
Net earnings per share - basic
$
0.56

 
$
0.52

 
$
0.37

 
$
0.49

 
$
1.95

Net earnings per share - diluted
$
0.56

 
$
0.51

 
$
0.37

 
$
0.49

 
$
1.93

Dividends declared per share
$
0.20

 
$
0.20

 
$
0.19

 
$
0.19

 
$
0.78

 
 
 
 
 
 
 
 
 
 
Return on average assets
1.59
%
 
1.45
%
 
1.05
%
 
1.40
%
 
1.37
%
Return on average shareholders' equity
10.68
%
 
9.94
%
 
7.36
%
 
13.31
%
 
9.85
%
 
 
 
 
 
 
 
 
 
 
Interest income
$
153,429

 
$
149,220

 
$
147,379

 
$
90,354

 
$
540,382

Tax equivalent adjustment
1,442

 
1,567

 
1,420

 
718

 
5,147

   Interest income - tax equivalent
154,871

 
150,787

 
148,799

 
91,072

 
545,529

Interest expense
27,470

 
25,735

 
23,400

 
14,542

 
91,147

   Net interest income - tax equivalent
$
127,401

 
$
125,052

 
$
125,399

 
$
76,530

 
$
454,382

 
 
 
 
 
 
 
 
 
 
Net interest margin
4.16
%
 
4.06
%
 
4.10
%
 
3.80
%
 
4.05
%
Net interest margin (fully tax equivalent) (1)
4.21
%
 
4.12
%
 
4.15
%
 
3.84
%
 
4.10
%
 
 
 
 
 
 
 
 
 
 
Full-time equivalent employees
2,073

 
2,028

 
2,118

 
1,289

 
 
 
 
 
 
 
 
 
 
 
 
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

5


FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Jun. 30,
 
Mar. 31,
 
Dec. 31,
 
Sep. 30,
 
Jun. 30,
 
% Change
 
% Change
 
2019
 
2019
 
2018
 
2018
 
2018
 
Linked Qtr.
 
Comp Qtr.
ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
     Cash and due from banks
$
169,694

 
$
169,004

 
$
236,221

 
$
193,288

 
$
216,667

 
0.4
 %
 
(21.7
)%
     Interest-bearing deposits with other banks
101,668

 
50,224

 
37,738

 
28,989

 
37,915

 
102.4
 %
 
168.1
 %
     Investment securities available-for-sale
3,152,970

 
3,113,811

 
2,779,255

 
2,626,726

 
2,654,909

 
1.3
 %
 
18.8
 %
     Investment securities held-to-maturity
154,327

 
158,305

 
429,328

 
434,369

 
443,957

 
(2.5
)%
 
(65.2
)%
     Other investments
127,439

 
115,731

 
115,660

 
115,757

 
95,004

 
10.1
 %
 
34.1
 %
     Loans held for sale
20,244

 
8,217

 
4,372

 
13,277

 
15,821

 
146.4
 %
 
28.0
 %
     Loans and leases
 
 
 
 
 
 
 
 
 
 
 
 
 
       Commercial and industrial
2,547,997

 
2,543,427

 
2,514,661

 
2,426,590

 
2,440,596

 
0.2
 %
 
4.4
 %
       Lease financing
90,638

 
95,573

 
93,415

 
95,317

 
96,198

 
(5.2
)%
 
(5.8
)%
       Construction real estate
497,683

 
458,113

 
548,935

 
565,077

 
555,468

 
8.6
 %
 
(10.4
)%
       Commercial real estate
3,903,654

 
3,802,179

 
3,754,681

 
3,868,143

 
3,888,993

 
2.7
 %
 
0.4
 %
       Residential real estate
1,015,820

 
975,120

 
955,646

 
932,962

 
918,904

 
4.2
 %
 
10.5
 %
       Home equity
787,139

 
797,118

 
817,282

 
816,133

 
835,031

 
(1.3
)%
 
(5.7
)%
       Installment
89,149

 
90,689

 
93,212

 
97,413

 
100,726

 
(1.7
)%
 
(11.5
)%
       Credit card
48,706

 
46,982

 
46,382

 
45,741

 
48,665

 
3.7
 %
 
0.1
 %
          Total loans
8,980,786

 
8,809,201

 
8,824,214

 
8,847,376

 
8,884,581

 
1.9
 %
 
1.1
 %
       Less:
 
 
 
 
 
 
 
 
 
 
 
 
 
          Allowance for loan and lease losses
61,549

 
56,722

 
56,542

 
57,715

 
54,076

 
8.5
 %
 
13.8
 %
                Net loans
8,919,237

 
8,752,479

 
8,767,672

 
8,789,661

 
8,830,505

 
1.9
 %
 
1.0
 %
     Premises and equipment
211,313

 
210,676

 
215,652

 
219,940

 
223,950

 
0.3
 %
 
(5.6
)%
     Goodwill
879,727

 
879,727

 
880,251

 
881,033

 
883,025

 
0.0
 %
 
(0.4
)%
     Other intangibles
36,349

 
38,571

 
40,805

 
43,356

 
42,891

 
(5.8
)%
 
(15.3
)%
     Accrued interest and other assets
664,695

 
577,518

 
479,706

 
496,271

 
475,523

 
15.1
 %
 
39.8
 %
       Total Assets
$
14,437,663

 
$
14,074,263

 
$
13,986,660

 
$
13,842,667

 
$
13,920,167

 
2.6
 %
 
3.7
 %
 
 
 
 
 
 
 
 
 
 
 
 
 
 
LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
     Deposits
 
 
 
 
 
 
 
 
 
 
 
 
 
       Interest-bearing demand
$
2,332,692

 
$
2,235,036

 
$
2,307,071

 
$
2,284,271

 
$
2,440,088

 
4.4
 %
 
(4.4
)%
       Savings
2,953,114

 
3,100,894

 
3,167,325

 
3,134,944

 
3,087,683

 
(4.8
)%
 
(4.4
)%
       Time
2,321,908

 
2,309,810

 
2,173,564

 
1,957,574

 
2,104,044

 
0.5
 %
 
10.4
 %
          Total interest-bearing deposits
7,607,714

 
7,645,740

 
7,647,960

 
7,376,789

 
7,631,815

 
(0.5
)%
 
(0.3
)%
       Noninterest-bearing
2,501,290

 
2,488,157

 
2,492,434

 
2,375,845

 
2,471,932

 
0.5
 %
 
1.2
 %
          Total deposits
10,109,004

 
10,133,897

 
10,140,394

 
9,752,634

 
10,103,747

 
(0.2
)%
 
0.1
 %
     Federal funds purchased and securities sold
 
 
 
 
 
 
 
 
 
 
 
 
 
         under agreements to repurchase
260,621

 
95,015

 
183,591

 
123,452

 
88,070

 
174.3
 %
 
195.9
 %
     FHLB short-term borrowings
1,052,700

 
952,400

 
857,100

 
1,170,800

 
1,100,233

 
10.5
 %
 
(4.3
)%
          Total short-term borrowings
1,313,321

 
1,047,415

 
1,040,691

 
1,294,252

 
1,188,303

 
25.4
 %
 
10.5
 %
     Long-term debt
547,042

 
546,423

 
570,739

 
570,037

 
469,423

 
0.1
 %
 
16.5
 %
          Total borrowed funds
1,860,363

 
1,593,838

 
1,611,430

 
1,864,289

 
1,657,726

 
16.7
 %
 
12.2
 %
     Accrued interest and other liabilities
280,107

 
216,109

 
156,587

 
190,224

 
145,757

 
29.6
 %
 
92.2
 %
       Total Liabilities
12,249,474

 
11,943,844

 
11,908,411

 
11,807,147

 
11,907,230

 
2.6
 %
 
2.9
 %
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
     Common stock
1,623,699

 
1,622,554

 
1,633,256

 
1,633,828

 
1,632,572

 
0.1
 %
 
(0.5
)%
     Retained earnings
657,730

 
626,408

 
600,014

 
564,545

 
533,319

 
5.0
 %
 
23.3
 %
     Accumulated other comprehensive income (loss)
5,193

 
(19,635
)
 
(44,408
)
 
(52,897
)
 
(43,008
)
 
(126.4
)%
 
(112.1
)%
     Treasury stock, at cost
(98,433
)
 
(98,908
)
 
(110,613
)
 
(109,956
)
 
(109,946
)
 
(0.5
)%
 
(10.5
)%
       Total Shareholders' Equity
2,188,189

 
2,130,419

 
2,078,249

 
2,035,520

 
2,012,937

 
2.7
 %
 
8.7
 %
       Total Liabilities and Shareholders' Equity
$
14,437,663

 
$
14,074,263

 
$
13,986,660

 
$
13,842,667

 
$
13,920,167

 
2.6
 %
 
3.7
 %


6


FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
 
 
 
 
 
 
 
Quarterly Averages
 
Year-to-Date Averages
 
Jun. 30,
 
Mar. 31,
 
Dec. 31,
 
Sep. 30,
 
Jun. 30,
 
June 30,
 
2019
 
2019
 
2018
 
2018
 
2018
 
2019
 
2018
ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
     Cash and due from banks
$
173,278

 
$
181,695

 
$
213,927

 
$
199,843

 
$
224,824

 
$
177,463

 
$
170,760

     Federal funds sold
0

 
0

 
0

 
0

 
786

 
0

 
395

     Interest-bearing deposits with other banks
33,255

 
34,709

 
32,013

 
39,873

 
28,475

 
33,978

 
27,778

     Investment securities
3,408,994

 
3,355,732

 
3,204,758

 
3,168,044

 
3,157,339

 
3,382,510

 
2,603,139

     Loans held for sale
13,258

 
6,392

 
10,411

 
15,270

 
14,462

 
9,844

 
11,831

     Loans and leases

 

 
 
 
 
 
 
 
 
 
 
       Commercial and industrial
2,533,981

 
2,509,274

 
2,402,296

 
2,392,229

 
2,421,244

 
2,521,696

 
2,641,410

       Lease financing
94,458

 
91,043

 
94,111

 
94,030

 
94,431

 
92,760

 
88,837

       Construction real estate
457,962

 
496,153

 
567,086

 
570,125

 
577,883

 
476,952

 
510,949

       Commercial real estate
3,834,404

 
3,762,314

 
3,793,376

 
3,887,748

 
3,923,784

 
3,798,558

 
2,772,050

       Residential real estate
989,923

 
961,584

 
941,047

 
918,361

 
929,667

 
975,832

 
686,525

       Home equity
789,087

 
807,768

 
813,779

 
822,834

 
825,236

 
798,376

 
629,998

       Installment
89,778

 
91,270

 
95,779

 
99,907

 
99,896

 
90,520

 
93,818

       Credit card
49,811

 
47,512

 
48,417

 
48,206

 
46,797

 
48,668

 
47,586

          Total loans
8,839,404

 
8,766,918

 
8,755,891

 
8,833,440

 
8,918,938

 
8,803,362

 
7,471,173

       Less:
 
 
 
 
 
 
 
 
 
 
 
 
 
          Allowance for loan and lease losses
58,335

 
57,088

 
58,216

 
55,877

 
55,318

 
57,715

 
55,168

                Net loans
8,781,069

 
8,709,830

 
8,697,675

 
8,777,563

 
8,863,620

 
8,745,647

 
7,416,005

     Premises and equipment
211,714

 
213,208

 
218,430

 
222,718

 
230,475

 
212,457

 
178,534

     Goodwill
879,726

 
878,541

 
878,669

 
882,917

 
883,179

 
879,137

 
545,507

     Other intangibles
37,666

 
39,900

 
42,305

 
43,830

 
44,383

 
38,777

 
24,141

     Accrued interest and other assets
563,773

 
532,544

 
470,770

 
472,617

 
508,817

 
548,245

 
429,339

       Total Assets
$
14,102,733

 
$
13,952,551

 
$
13,768,958

 
$
13,822,675

 
$
13,956,360

 
$
14,028,058

 
$
11,407,429

 
 
 
 
 
 
 
 
 
 
 
 
 
 
LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
     Deposits
 
 
 
 
 
 
 
 
 
 
 
 
 
       Interest-bearing demand
$
2,334,322

 
$
2,269,948

 
$
2,342,528

 
$
2,334,305

 
$
2,573,150

 
$
2,302,313

 
$
1,997,574

       Savings
3,057,100

 
3,115,557

 
3,156,789

 
3,149,871

 
3,196,059

 
3,086,167

 
2,825,437

       Time
2,220,724

 
2,224,587

 
2,073,752

 
2,014,936

 
2,192,196

 
2,222,645

 
1,831,323

          Total interest-bearing deposits
7,612,146

 
7,610,092

 
7,573,069

 
7,499,112

 
7,961,405

 
7,611,125

 
6,654,334

       Noninterest-bearing
2,484,214

 
2,457,587

 
2,476,773

 
2,388,976

 
2,421,230

 
2,470,974

 
1,998,251

          Total deposits
10,096,360

 
10,067,679

 
10,049,842

 
9,888,088

 
10,382,635

 
10,082,099

 
8,652,585

     Federal funds purchased and securities sold
 
 
 
 
 
 
 
 
 
 
 
 
 
          under agreements to repurchase
126,872

 
103,147

 
65,805

 
112,308

 
97,708

 
115,075

 
85,355

     FHLB short-term borrowings
982,993

 
913,974

 
873,533

 
1,076,106

 
818,909

 
948,674

 
743,693

          Total short-term borrowings
1,109,865

 
1,017,121

 
939,338

 
1,188,414

 
916,617

 
1,063,749

 
829,048

     Long-term debt
546,705

 
569,947

 
570,304

 
560,001

 
491,407

 
558,262

 
309,883

       Total borrowed funds
1,656,570

 
1,587,068

 
1,509,642

 
1,748,415

 
1,408,024

 
1,622,011

 
1,138,931

     Accrued interest and other liabilities
202,806

 
203,570

 
166,590

 
164,772

 
165,608

 
203,186

 
148,172

       Total Liabilities
11,955,736

 
11,858,317

 
11,726,074

 
11,801,275

 
11,956,267

 
11,907,296

 
9,939,688

 
 
 
 
 
 
 
 
 
 
 
 
 
 
SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
     Common stock
1,622,994

 
1,625,228

 
1,632,361

 
1,633,129

 
1,632,569

 
1,624,105

 
1,105,669

     Retained earnings
635,629

 
610,737

 
576,145

 
542,835

 
517,548

 
623,252

 
510,384

     Accumulated other comprehensive loss
(12,889
)
 
(39,796
)
 
(55,161
)
 
(44,505
)
 
(39,117
)
 
(26,268
)
 
(36,217
)
     Treasury stock, at cost
(98,737
)
 
(101,935
)
 
(110,461
)
 
(110,059
)
 
(110,907
)
 
(100,327
)
 
(112,095
)
       Total Shareholders' Equity
2,146,997

 
2,094,234

 
2,042,884

 
2,021,400

 
2,000,093

 
2,120,762

 
1,467,741

       Total Liabilities and Shareholders' Equity
$
14,102,733

 
$
13,952,551

 
$
13,768,958

 
$
13,822,675

 
$
13,956,360

 
$
14,028,058

 
$
11,407,429

 
 
 
 
 
 
 
 
 
 
 
 
 
 


7


FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS
(Dollars in thousands)
(Unaudited)
 
 
 
 
 
 
 Quarterly Averages
Year-to-Date Averages
 
 
June 30, 2019
 
March 31, 2019
 
June 30, 2018
June 30, 2019
 
June 30, 2018
 
 
Balance
 
Yield
 
Balance
 
Yield
 
Balance
 
Yield
Balance
 
Yield
 
Balance
 
Yield
Earning assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
      Investment securities
 
$
3,408,994

 
3.29
%
 
$
3,355,732

 
3.44
%
 
$
3,157,339

 
3.16
%
$
3,382,510

 
3.37
%
 
$
2,603,139

 
3.12
%
      Interest-bearing deposits with other banks
 
33,255

 
2.48
%
 
34,709

 
2.45
%
 
29,261

 
2.43
%
33,978

 
2.47
%
 
28,173

 
2.03
%
    Gross loans (1)
 
8,852,662

 
5.73
%
 
8,773,310

 
5.69
%
 
8,933,400

 
5.49
%
8,813,206

 
5.71
%
 
7,483,751

 
5.31
%
       Total earning assets
 
12,294,911

 
5.04
%
 
12,163,751

 
5.06
%
 
12,120,000

 
4.88
%
12,229,694

 
5.05
%
 
10,115,063

 
4.74
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nonearning assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Allowance for loan and lease losses
 
(58,335
)
 
 
 
(57,088
)
 
 
 
(55,318
)
 
 
(57,715
)
 
 
 
(55,168
)
 
 
    Cash and due from banks
 
173,278

 
 
 
181,695

 
 
 
224,824

 
 
177,463

 
 
 
170,760

 
 
    Accrued interest and other assets
 
1,692,879

 
 
 
1,664,193

 
 
 
1,666,854

 
 
1,678,616

 
 
 
1,176,774

 
 
       Total assets
 
$
14,102,733

 
 
 
$
13,952,551

 
 
 
$
13,956,360

 
 
$
14,028,058

 
 
 
$
11,407,429

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
      Interest-bearing demand
 
$
2,334,322

 
0.60
%
 
$
2,269,948

 
0.50
%
 
$
2,573,150

 
0.36
%
$
2,302,313

 
0.55
%
 
$
1,997,574

 
0.37
%
      Savings
 
3,057,100

 
0.78
%
 
3,115,557

 
0.76
%
 
3,196,059

 
0.54
%
3,086,167

 
0.77
%
 
2,825,437

 
0.58
%
      Time
 
2,220,724

 
2.02
%
 
2,224,587

 
1.94
%
 
2,192,196

 
1.50
%
2,222,645

 
1.98
%
 
1,831,323

 
1.47
%
    Total interest-bearing deposits
 
7,612,146

 
1.09
%
 
7,610,092

 
1.03
%
 
7,961,405

 
0.75
%
7,611,125

 
1.06
%
 
6,654,334

 
0.76
%
    Borrowed funds
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
      Short-term borrowings
 
1,109,865

 
2.40
%
 
1,017,121

 
2.38
%
 
916,617

 
1.81
%
1,063,749

 
2.39
%
 
829,048

 
1.65
%
      Long-term debt
 
546,705

 
3.64
%
 
569,947

 
3.59
%
 
491,407

 
3.65
%
558,262

 
3.61
%
 
309,883

 
3.94
%
        Total borrowed funds
 
1,656,570

 
2.81
%
 
1,587,068

 
2.81
%
 
1,408,024

 
2.45
%
1,622,011

 
2.81
%
 
1,138,931

 
2.28
%
       Total interest-bearing liabilities
 
9,268,716

 
1.39
%
 
9,197,160

 
1.33
%
 
9,369,429

 
1.00
%
9,233,136

 
1.36
%
 
7,793,265

 
0.98
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Noninterest-bearing liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Noninterest-bearing demand deposits
 
2,484,214

 
 
 
2,457,587

 
 
 
2,421,230

 
 
2,470,974

 
 
 
1,998,251

 
 
    Other liabilities
 
202,806

 
 
 
203,570

 
 
 
165,608

 
 
203,186

 
 
 
148,172

 
 
    Shareholders' equity
 
2,146,997

 
 
 
2,094,234

 
 
 
2,000,093

 
 
2,120,762

 
 
 
1,467,741

 
 
       Total liabilities & shareholders' equity
 
$
14,102,733

 
 
 
$
13,952,551

 
 
 
$
13,956,360

 
 
$
14,028,058

 
 
 
$
11,407,429

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
122,302

 
 
 
$
121,515

 
 
 
$
123,979

 
 
$
243,817

 

 
$
199,791

 

Net interest spread
 
 
 
3.65
%
 
 
 
3.73
%
 
 
 
3.88
%
 
 
3.69
%
 
 
 
3.76
%
Net interest margin
 
 
 
3.99
%
 
 
 
4.05
%
 
 
 
4.10
%
 
 
4.02
%
 
 
 
3.98
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax equivalent adjustment
 
 
 
0.05
%
 
 
 
0.05
%
 
 
 
0.05
%
 
 
0.05
%
 
 
 
0.05
%
Net interest margin (fully tax equivalent)
 
 
 
4.04
%
 
 
 
4.10
%
 
 
 
4.15
%
 
 
4.07
%
 
 
 
4.03
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1) Loans held for sale and nonaccrual loans are included in gross loans.
 
 

8

FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1)
(Dollars in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Linked Qtr. Income Variance
 
 Comparable Qtr. Income Variance
 
Year-to-Date Income Variance
 
 
Rate
 
Volume
 
Total
 
Rate
 
Volume
 
Total
 
Rate
 
Volume
 
Total
Earning assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Investment securities
 
$
(1,280
)
 
$
739

 
$
(541
)
 
$
977

 
$
2,063

 
$
3,040

 
$
3,200

 
$
13,006

 
$
16,206

    Interest-bearing deposits with other banks
 
3

 
(7
)
 
(4
)
 
4

 
25

 
29

 
61

 
71

 
132

    Gross loans (2)
 
800

 
2,509

 
3,309

 
5,227

 
(1,152
)
 
4,075

 
14,586

 
37,625

 
52,211

       Total earning assets
 
(477
)
 
3,241

 
2,764

 
6,208

 
936

 
7,144

 
17,847

 
50,702

 
68,549

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Total interest-bearing deposits
 
$
1,137

 
$
232

 
$
1,369

 
$
6,764

 
$
(946
)
 
$
5,818

 
$
9,753

 
$
5,010

 
$
14,763

    Borrowed funds
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Short-term borrowings
 
64

 
622

 
686

 
1,357

 
1,157

 
2,514

 
3,030

 
2,781

 
5,811

    Long-term debt
 
76

 
(154
)
 
(78
)
 
(13
)
 
502

 
489

 
(502
)
 
4,451

 
3,949

       Total borrowed funds
 
140

 
468

 
608

 
1,344

 
1,659

 
3,003

 
2,528

 
7,232

 
9,760

       Total interest-bearing liabilities
 
1,277

 
700

 
1,977

 
8,108

 
713

 
8,821

 
12,281

 
12,242

 
24,523

          Net interest income (1)
 
$
(1,754
)
 
$
2,541

 
$
787

 
$
(1,900
)
 
$
223

 
$
(1,677
)
 
$
5,566

 
$
38,460

 
$
44,026

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1) Not tax equivalent.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(2) Loans held for sale and nonaccrual loans are included in gross loans.
 
 
 
 



9

FIRST FINANCIAL BANCORP.
CREDIT QUALITY
(Dollars in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six months ended
 
Jun. 30,
 
Mar. 31,
 
Dec. 31,
 
Sep. 30,
 
Jun. 30,
 
June 30,
 
June 30,
 
2019
 
2019
 
2018
 
2018
 
2018
 
2019
 
2018
ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY
 
 
 
 
 
 
 
 
 
 
Balance at beginning of period
$
56,722

 
$
56,542

 
$
57,715

 
$
54,076

 
$
54,380

 
$
56,542

 
$
54,021

  Provision for loan and lease losses
6,658

 
14,083

 
5,310

 
3,238

 
3,735

 
20,741

 
6,038

  Gross charge-offs
 
 
 
 
 
 
 
 
 
 
 
 
 
    Commercial and industrial
1,873

 
12,328

 
6,060

 
232

 
4,356

 
14,201

 
5,241

    Lease financing
0

 
100

 
0

 
0

 
0

 
100

 
0

    Construction real estate
0

 
0

 
0

 
0

 
0

 
0

 
0

    Commercial real estate
86

 
1,214

 
1,679

 
902

 
78

 
1,300

 
2,254

    Residential real estate
150

 
82

 
80

 
145

 
101

 
232

 
197

    Home equity
689

 
468

 
747

 
351

 
385

 
1,157

 
627

    Installment
78

 
49

 
158

 
43

 
218

 
127

 
234

    Credit card
289

 
341

 
392

 
390

 
684

 
630

 
938

      Total gross charge-offs
3,165

 
14,582

 
9,116

 
2,063

 
5,822

 
17,747

 
9,491

  Recoveries
 
 
 
 
 
 
 
 
 
 
 
 
 
    Commercial and industrial
291

 
240

 
485

 
627

 
518

 
531

 
954

    Lease financing
0

 
0

 
0

 
0

 
1

 
0

 
1

    Construction real estate
5

 
63

 
0

 
146

 
0

 
68

 
0

    Commercial real estate
254

 
73

 
1,681

 
786

 
887

 
327

 
1,639

    Residential real estate
101

 
36

 
44

 
71

 
70

 
137

 
96

    Home equity
572

 
185

 
274

 
419

 
187

 
757

 
616

    Installment
61

 
48

 
94

 
351

 
82

 
109

 
130

    Credit card
50

 
34

 
55

 
64

 
38

 
84

 
72

      Total recoveries
1,334

 
679

 
2,633

 
2,464

 
1,783

 
2,013

 
3,508

  Total net charge-offs
1,831

 
13,903

 
6,483

 
(401
)
 
4,039

 
15,734

 
5,983

Ending allowance for loan and lease losses
$
61,549

 
$
56,722

 
$
56,542

 
$
57,715

 
$
54,076

 
$
61,549

 
$
54,076

 
 
 
 
 
 
 
 
 
 
 
 
 
 
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED)
 
 
 
 
 
 
 
 
 
 
  Commercial and industrial
0.25
 %
 
1.95
 %
 
0.92
 %
 
(0.07
)%
 
0.64
 %
 
1.09
 %
 
0.33
 %
  Lease financing
0.00
 %
 
0.45
 %
 
0.00
 %
 
0.00
 %
 
0.00
 %
 
0.22
 %
 
0.00
 %
  Construction real estate
0.00
 %
 
(0.05
)%
 
0.00
 %
 
(0.10
)%
 
0.00
 %
 
(0.03
)%
 
0.00
 %
  Commercial real estate
(0.02
)%
 
0.12
 %
 
0.00
 %
 
0.01
 %
 
(0.08
)%
 
0.05
 %
 
0.04
 %
  Residential real estate
0.02
 %
 
0.02
 %
 
0.02
 %
 
0.03
 %
 
0.01
 %
 
0.02
 %
 
0.03
 %
  Home equity
0.06
 %
 
0.14
 %
 
0.23
 %
 
(0.03
)%
 
0.10
 %
 
0.10
 %
 
0.00
 %
  Installment
0.08
 %
 
0.00
 %
 
0.27
 %
 
(1.22
)%
 
0.55
 %
 
0.04
 %
 
0.22
 %
  Credit card
1.92
 %
 
2.62
 %
 
2.76
 %
 
2.68
 %
 
5.54
 %
 
2.26
 %
 
3.67
 %
     Total net charge-offs
0.08
 %
 
0.64
 %
 
0.29
 %
 
(0.02
)%
 
0.18
 %
 
0.36
 %
 
0.16
 %
 
 
 
 
 
 
 
 
 
 
 
 
 
 
COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
 
 
  Nonaccrual loans (1)
 
 
 
 
 
 
 
 
 
 
 
 
 
    Commercial and industrial
$
18,502

 
$
19,263

 
$
30,925

 
$
4,310

 
$
3,448

 
$
18,502

 
$
3,448

    Lease financing
295

 
301

 
22

 
0

 
0

 
295

 
0

    Construction real estate
6

 
7

 
9

 
10

 
24

 
6

 
24

    Commercial real estate
15,981

 
21,082

 
20,500

 
20,338

 
21,593

 
15,981

 
21,593

    Residential real estate
11,627

 
13,052

 
13,495

 
11,365

 
9,278

 
11,627

 
9,278

    Home equity
4,745

 
5,581

 
5,580

 
6,018

 
5,820

 
4,745

 
5,820

    Installment
195

 
170

 
169

 
327

 
299

 
195

 
299

      Nonaccrual loans
51,351

 
59,456

 
70,700

 
42,368

 
40,462

 
51,351

 
40,462

  Accruing troubled debt restructurings (TDRs)
37,420

 
22,817

 
16,109

 
20,313

 
21,839

 
37,420

 
21,839

     Total nonperforming loans
88,771

 
82,273

 
86,809

 
62,681

 
62,301

 
88,771

 
62,301

  Other real estate owned (OREO)
1,421

 
1,665

 
1,401

 
1,918

 
1,853

 
1,421

 
1,853

     Total nonperforming assets
90,192

 
83,938

 
88,210

 
64,599

 
64,154

 
90,192

 
64,154

  Accruing loans past due 90 days or more
107

 
178

 
63

 
144

 
327

 
107

 
327

     Total underperforming assets
$
90,299

 
$
84,116

 
$
88,273

 
$
64,743

 
$
64,481


$
90,299

 
$
64,481

Total classified assets
$
147,753

 
$
142,014

 
$
131,668

 
$
138,868

 
$
139,317

 
$
147,753

 
$
139,317

 
 
 
 
 
 
 
 
 
 
 
 
 
 
CREDIT QUALITY RATIOS
 
 
 
 
 
 
 
 
 
 
Allowance for loan and lease losses to
 
 
 
 
 
 
 
 
 
 
 
 
 
     Nonaccrual loans
119.86
 %
 
95.40
 %
 
79.97
 %
 
136.22
 %
 
133.65
 %
 
119.86
 %
 
133.65
 %
     Nonperforming loans
69.33
 %
 
68.94
 %
 
65.13
 %
 
92.08
 %
 
86.80
 %
 
69.33
 %
 
86.80
 %
     Total ending loans
0.69
 %
 
0.64
 %
 
0.64
 %
 
0.65
 %
 
0.61
 %
 
0.69
 %
 
0.61
 %
Nonperforming loans to total loans
0.99
 %
 
0.93
 %
 
0.98
 %
 
0.71
 %
 
0.70
 %
 
0.99
 %
 
0.70
 %
Nonperforming assets to
 
 
 
 
 
 
 
 
 
 
 
 
 
     Ending loans, plus OREO
1.00
 %
 
0.95
 %
 
1.00
 %
 
0.73
 %
 
0.72
 %
 
1.00
 %
 
0.72
 %
     Total assets
0.62
 %
 
0.60
 %
 
0.63
 %
 
0.47
 %
 
0.46
 %
 
0.62
 %
 
0.46
 %
Nonperforming assets, excluding accruing TDRs to
 
 
 
 
 
 
 
 
 
 
 
 
 
     Ending loans, plus OREO
0.59
 %
 
0.69
 %
 
0.82
 %
 
0.50
 %
 
0.48
 %
 
0.59
 %
 
0.48
 %
     Total assets
0.37
 %
 
0.43
 %
 
0.52
 %
 
0.32
 %
 
0.30
 %
 
0.37
 %
 
0.30
 %
Classified assets to total assets
1.02
 %
 
1.01
 %
 
0.94
 %
 
1.00
 %
 
1.00
 %
 
1.02
 %
 
1.00
 %
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1) Nonaccrual loans include nonaccrual TDRs of $11.0 million, $13.1 million, $22.4 million, $4.7 million, and $5.9 million, as of June 30, 2019, March 31, 2019, December 31, 2018, September 30, 2018, and June 30, 2018, respectively.
 
 
 
 
 


10

FIRST FINANCIAL BANCORP.
CAPITAL ADEQUACY
(Dollars in thousands, except per share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
Six months ended,
 
Jun. 30,
 
Mar. 31,
 
Dec. 31,
 
Sep. 30,
 
Jun. 30,
 
June 30,
 
June 30,
 
2019
 
2019
 
2018
 
2018
 
2018
 
2019
 
2018
PER COMMON SHARE
 
 
 
 
 
 
 
 
 
 
 
 
 
Market Price
 
 
 
 
 
 
 
 
 
 
 
 
 
  High
$
25.80

 
$
28.56

 
$
29.58

 
$
32.35

 
$
33.55

 
$
28.56

 
$
33.55

  Low
$
22.16

 
$
23.02

 
$
22.40

 
$
29.40

 
$
28.10

 
$
22.16

 
$
26.40

  Close
$
24.22

 
$
24.06

 
$
23.72

 
$
29.70

 
$
30.65

 
$
24.22

 
$
30.65

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average shares outstanding - basic
98,083,799

 
97,926,088

 
97,424,839

 
97,411,201

 
97,347,533

 
98,005,379

 
79,599,709

Average shares outstanding - diluted
98,648,384

 
98,436,311

 
98,468,237

 
98,484,228

 
98,432,072

 
98,542,947

 
80,629,495

Ending shares outstanding
98,647,690

 
98,613,872

 
97,894,286

 
97,914,526

 
97,904,897

 
98,647,690

 
97,904,897

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total shareholders' equity
$
2,188,189

 
$
2,130,419

 
$
2,078,249

 
$
2,035,520

 
$
2,012,937

 
$
2,188,189

 
$
2,012,937

 
 
 
 
 
 
 
 
 
 
 
 
 
 
REGULATORY CAPITAL
Preliminary
 
 
 
 
 
 
 
 
 
Preliminary
 
 
Common equity tier 1 capital
$
1,281,406

 
$
1,246,004

 
$
1,215,613

 
$
1,177,630

 
$
1,142,718

 
$
1,281,406

 
$
1,142,718

Common equity tier 1 capital ratio
12.02
%
 
12.03
%
 
11.87
%
 
11.52
%
 
11.15
%
 
12.02
%
 
11.15
%
Tier 1 capital
$
1,323,905

 
$
1,287,757

 
$
1,257,366

 
$
1,219,383

 
$
1,184,471

 
$
1,323,905

 
$
1,184,471

Tier 1 ratio
12.42
%
 
12.43
%
 
12.28
%
 
11.93
%
 
11.55
%
 
12.42
%
 
11.55
%
Total capital
$
1,515,382

 
$
1,474,723

 
$
1,444,146

 
$
1,407,252

 
$
1,369,231

 
$
1,515,382

 
$
1,369,231

Total capital ratio
14.21
%
 
14.24
%
 
14.10
%
 
13.77
%
 
13.36
%
 
14.21
%
 
13.36
%
Total capital in excess of minimum requirement
$
395,719

 
$
387,048

 
$
432,832

 
$
397,783

 
$
356,930

 
$
395,719

 
$
356,930

Total risk-weighted assets
$
10,663,459

 
$
10,358,805

 
$
10,241,159

 
$
10,222,466

 
$
10,251,147

 
$
10,663,459

 
$
10,251,147

Leverage ratio
10.02
%
 
9.84
%
 
9.71
%
 
9.41
%
 
9.06
%
 
10.02
%
 
9.06
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
OTHER CAPITAL RATIOS
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending shareholders' equity to ending assets
15.16
%
 
15.14
%
 
14.86
%
 
14.70
%
 
14.46
%
 
15.16
%
 
14.46
%
Ending tangible shareholders' equity to ending tangible assets
9.34
%
 
9.15
%
 
8.79
%
 
8.53
%
 
8.30
%
 
9.34
%
 
8.30
%
Average shareholders' equity to average assets
15.22
%
 
15.01
%
 
14.84
%
 
14.62
%
 
14.33
%
 
15.12
%
 
12.87
%
Average tangible shareholders' equity to average tangible assets
9.26
%
 
8.95
%
 
8.66
%
 
8.42
%
 
8.16
%
 
9.11
%
 
8.24
%

11