NEWARK, Ohio, Jan. 17, 2006 (PRIMEZONE) -- Park National Corporation (Park) (AMEX:PRK) today announced earnings for 2005. Net income for the year totaled $95.238 million, a 4.1 percent increase over 2004's earnings of $91.507 million. Diluted earnings per share for 2005 increased 5.1 percent from $6.32 in 2004 to $6.64 for 2005. Park also announced a regular cash dividend of $.92 per share, payable on March 10, 2006 to shareholders of record on February 22, 2006.
For the fourth quarter of 2005, Park reported net income of $22.831 million, or $1.61 in diluted earnings per share, compared to the same period's net income in 2004 of $20.897 million, or $1.44 in diluted earnings per share. The fourth quarter showed an increase of 9.3 percent in net income and 11.0 percent in diluted earnings per share.
Park National Corporation is an Ohio-based bank holding company headquartered in Newark, Ohio. It holds more than $5.4 billion in assets. Its 12 community banks and two specialty financing companies consist of 134 offices (and 137 ATMs) in 29 Ohio counties.
Its significant subsidiaries include The Park National Bank, Fairfield National Division, The Richland Trust Company, Century National Bank, The First-Knox National Bank, Farmers and Savings Division, United Bank, N.A., Second National Bank, The Security National Bank and Trust Co., Unity National Division, The Citizens National Bank of Urbana, First Clermont Division, Scope Aircraft Finance, and Guardian Finance. For more information, visit www.parknationalcorp.com.
PARK NATIONAL CORPORATION
FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
DECEMBER 31, 2005
INCOME STATEMENT
THREE MONTHS ENDED TWELVE MONTHS ENDED
DECEMBER 31, DECEMBER 31,
PERCENT PERCENT
2005 2004 CHANGE 2005 2004 CHANGE
---- ---- ------ ---- ---- ------
NET
INTEREST
INCOME $55,156 $53,343 3.40% $220,564 $212,291 3.90%
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PROVISION FOR
LOAN LOSSES 1,400 2,485 -43.66% 5,407 8,600 -37.13%
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OTHER INCOME 14,889 12,714 17.11% 59,609 52,641 13.24%
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GAIN (LOSS)
ON SALE OF
SECURITIES 0 (899) 96 (793)
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OTHER EXPENSE 36,358 33,378 8.93% 139,438 126,290 10.41%
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INCOME BEFORE
TAXES 32,287 29,295 10.21% 135,424 129,249 4.78%
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NET INCOME 22,831 20,897 9.25% 95,238 91,507 4.08%
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NET INCOME
PER SHARE
- BASIC 1.62 1.46 10.96% 6.68 6.38 4.70%
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NET INCOME
PER SHARE -
DILUTED 1.61 1.44 11.81% 6.64 6.32 5.06%
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CASH
DIVIDENDS
PER SHARE 0.92 0.90 2.22% 3.620 3.414 6.03%
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RATIOS AND
OTHER
INFORMATION
RETURN ON
AVERAGE
ASSETS 1.66% 1.64% 1.71% 1.81%
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RETURN ON
AVERAGE
EQUITY 16.33% 14.99% 17.03% 17.00%
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YIELD ON
EARNING
ASSETS 6.41% 5.88% 6.17% 5.80%
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COST OF PAYING
LIABILITIES 2.46% 1.65% 2.19% 1.52%
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NET INTEREST
MARGIN 4.39% 4.55% 4.34% 4.56%
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EFFICIENCY
RATIO 51.48% 49.95% 49.32% 47.11%
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NET LOAN
CHARGE-OFFS $2,073 $3,346 $5,890 $7,864
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NET
CHARGE-OFFS
AS A PERCENT
OF LOANS 0.25% 0.46% 0.18% 0.28%
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BALANCE SHEET
AT DECEMBER 31, PERCENT
2005 2004 CHANGE
---- ---- ------
INVESTMENTS $1,663,342 $1,926,782 -13.67%
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LOANS 3,328,112 3,120,608 6.65%
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LOAN LOSS
RESERVE 69,694 68,328 2.00%
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GOODWILL AND
OTHER
INTANGIBLES 69,188 40,887 69.22%
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TOTAL ASSETS 5,436,048 5,412,584 0.43%
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DEPOSITS 3,757,757 3,689,861 1.84%
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BORROWINGS 1,028,858 1,074,024 -4.21%
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EQUITY 558,430 562,561 -0.73%
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BOOK VALUE
PER SHARE 39.63 39.28 0.89%
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NONPERFORMING
LOANS 22,363 23,334 -8.15%
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NONPERFORMING
ASSETS 24,731 26,014 -8.51%
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PAST DUE 90
DAY LOANS 7,661 5,439 40.85%
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RATIOS
LOANS/ASSETS 61.22% 57.65%
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NONPERFORMING
LOANS/LOANS 0.67% 0.75%
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PAST DUE 90
DAY
LOANS/LOANS 0.23% 0.17%
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LOAN LOSS
RESERVE/LOANS 2.09% 2.19%
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EQUITY/ASSETS 10.27% 10.39%
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PARK NATIONAL CORPORATION
Consolidated Balance Sheets
(dollars in thousands, except share data)
December 31,
-------------------------
2005 2004
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Assets
Cash and due from banks $169,690 $155,529
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Money market instruments 4,283 6,300
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Interest bearing deposits 300 2,096
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Investment securities 1,663,342 1,926,782
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Loans (net of unearned interest) 3,328,112 3,120,608
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Allowance for possible loan losses 69,694 68,328
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Loans, net 3,258,418 3,052,280
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Bank premises and equipment, net 47,172 43,179
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Other assets 292,843 226,418
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Total assets $5,436,048 $5,412,584
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Liabilities and Stockholders' Equity
Deposits:
Noninterest bearing $667,328 $630,882
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Interest bearing 3,090,429 3,058,979
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Total deposits 3,757,757 3,689,861
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Borrowings 1,028,858 1,074,024
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Other liabilities 91,003 86,138
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Total liabilities 4,877,618 4,850,023
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Stockholders' Equity:
Common stock (No par value;
20,000,000 shares authorized
in 2005 and 2004; 15,271,574
shares issued in 2005
and 15,269,707 in 2004) 208,365 208,251
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Accumulated other
comprehensive income,
net of taxes (10,143) 12,442
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Retained earnings 476,889 433,260
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Treasury stock (1,178,948
shares in 2005 and 949,480
shares in 2004) (116,681) (91,392)
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Total stockholders' equity 558,430 562,561
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Total liabilities and
stockholders' equity $5,436,048 $5,412,584
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PARK NATIONAL CORPORATION
Consolidated Statements of Income
(dollars in thousands, except per share data)
Three Months Ended Twelve Months Ended
December 31, December 31,
--------------------- ----------------------
2005 2004 2005 2004
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Interest income:
Interest and fees
on loans $59,759 $46,791 $223,868 $178,853
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Interest on:
Obligations of
U.S. Government,
its agencies
and other
securities 19,886 21,092 85,664 86,806
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Obligations of
states and
political
subdivisions 1,037 1,211 4,486 5,115
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Other interest
income 122 136 441 219
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Total interest
income 80,804 69,230 314,459 270,993
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Interest expense:
Interest on
deposits:
Demand and savings
deposits 4,490 2,061 15,091 6,895
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Time deposits 11,502 8,344 41,808 33,103
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Interest on
borrowings 9,656 5,482 36,996 18,704
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Total interest
expense 25,648 15,887 93,895 58,702
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Net interest
income 55,156 53,343 220,564 212,291
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Provision for loan
losses 1,400 2,485 5,407 8,600
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Net interest
income after
provision for
loan losses 53,756 50,858 215,157 203,691
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Other income 14,889 12,714 59,609 52,641
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Gain (loss) on
sale of securities -- (899) 96 (793)
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Other expense:
Salaries and
employee benefits 19,134 18,382 78,498 71,464
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Occupancy expense 2,097 1,757 8,641 7,024
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Furniture and
equipment expense 1,287 1,351 5,278 5,749
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Other expense 13,840 11,888 47,021 42,053
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Total other
expense 36,358 33,378 139,438 126,290
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Income before
federal income
taxes 32,287 29,295 135,424 129,249
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Federal income
taxes 9,456 8,398 40,186 37,742
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Net income $22,831 $20,897 $95,238 $91,507
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Per Share:
Net income -
basic $1.62 $1.46 $6.68 $6.38
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Net income -
diluted $1.61 $1.44 $6.64 $6.32
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Weighted average
shares - basic 14,134,058 14,305,004 14,258,519 14,344,771
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Weighted average
shares - diluted 14,199,455 14,499,782 14,348,243 14,486,327
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PARK NATIONAL CORPORATION
Consolidated Average Balance Sheets
(dollars in thousands)
Three Months Ended Twelve Months Ended
December 31, December 31,
----------------------- ----------------------
2005 2004 2005 2004
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Assets
Cash and due from
banks $148,566 $142,385 $148,303 $142,102
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Money market
instruments 12,713 15,003 11,272 9,328
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Interest bearing
deposits 305 23 986 38
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Investment
securities 1,694,688 1,859,889 1,853,524 1,918,444
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Loans (net of
unearned interest) 3,312,164 2,878,862 3,278,092 2,813,069
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Allowance for
possible loan
losses 71,050 65,220 71,052 64,676
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Loans, net 3,241,114 2,813,642 3,207,040 2,748,393
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Bank premises
and equipment,
net 47,331 37,436 46,418 36,540
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Other assets 302,330 207,089 290,545 194,236
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Total assets $5,447,047 $5,075,467 $5,558,088 $5,049,081
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Liabilities and Stockholders' Equity
Deposits:
Noninterest
bearing $665,426 $605,863 $643,032 $574,560
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Interest bearing 3,135,084 2,944,791 3,187,033 2,946,360
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Total deposits 3,800,510 3,550,654 3,830,065 3,520,920
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Borrowings 1,009,117 896,193 1,091,730 921,278
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Other liabilities 82,760 73,934 77,082 68,608
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Total liabilities 4,892,387 4,520,781 4,998,877 4,510,806
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Stockholders' Equity:
Common stock 208,367 124,922 208,349 110,711
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Accumulated other
comprehensive
income, net of
taxes (10,310) 13,511 1,309 11,293
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Retained earnings 468,847 503,987 448,354 498,192
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Treasury stock (112,244) (87,734) (98,801) (81,921)
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Total
stockholders'
equity 554,660 554,686 559,211 538,275
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Total
liabilities and
stockholders'
equity $5,447,047 $5,075,467 $5,558,088 $5,049,081
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