STILLWATER, Okla., Oct. 22, 2013 (GLOBE NEWSWIRE) -- Southwest Bancorp, Inc. (Nasdaq:OKSB), ("Southwest"), today reported net income available to common shareholders for the third quarter of 2013 of $3.8 million, or $0.19 per diluted share, compared to $4.4 million, or $0.22 per diluted share, for the second quarter of 2013. The second quarter's results included net pre-tax gains of $1.4 million on the sale of other real estate. Net income available to common shareholders for the nine months ended September 30, 2013 totaled $10.6 million, or $0.54 per diluted share, compared to $11.5 million, or $0.59 per diluted share, for the nine months ended September 30, 2012.
Mark Funke, President and CEO, stated, "We are pleased to announce solid core earnings, stabilized credit quality and a continued strong balance sheet structure for the third quarter of 2013. The third quarter marked ongoing progress toward producing consistent, conservative, and sustainable earnings growth for our company. Additionally in the third quarter, we announced that we will be consolidating our two bank charters and adopting the new name of Bank SNB across our three state geographic footprint effective November 16, 2013. These changes will unify our brand as one bank under Southwest Bancorp, Inc. to better serve our clients and prepares us for growth in the future."
Joe Shockley, CFO, stated, "During the quarter, we were pleased to redeem our 10.5% Trust Preferred Securities with par value of $34.5 million on September 16, 2013, which will improve our net interest income by approximately $3.5 million annually. The Company's capital and liquidity remain strong."
Financial Overview
Unless otherwise indicated, the following discussion excludes "covered" assets, which are subject to loss sharing agreements with the FDIC. For information on covered versus noncovered assets, please see the accompanying unaudited financial statement and tables.
Condition: At September 30, 2013, total assets were $2.0 billion, down $59.6 million compared to June 30, 2013, primarily due to a decline in cash and cash equivalents as a result of the Trust Preferred Securities redemption. Total loans were $1.3 billion, flat when compared to June 30, 2013, and total investment securities were $382.0 million as of September 30, 2013, an increase of $9.6 million compared June 30, 2013.
At September 30, 2013, the allowance for loan losses was $40.0 million, flat when compared to June 30, 2013. The allowance for loan losses to portfolio loans was 3.12% as of September 30, 2013 and June 30, 2013. The allowance for loan losses to nonperforming loans was 137.03% as of September 30, 2013, compared to 136.44% as of June 30, 2013.
Nonperforming loans decreased by $0.3 million during the quarter. Other real estate at September 30, 2013 was $0.7 million, an increase of $0.5 million from June 30, 2013 and a decrease of $14.0 million from September 30, 2012. Nonperforming assets were $29.9 million, or 2.33% of portfolio loans and other real estate, as of September 30, 2013, an increase of $0.2 million (1%) from $29.7 million, or 2.30% of portfolio loans and other real estate, as of June 30, 2013.
Total core funding, which includes all non-brokered deposits and sweep repurchase agreements, comprised 98% of total funding as of September 30, 2013 and June 30, 2013. Wholesale funding, including FHLB borrowings, federal funds purchased, and brokered deposits, accounted for 2% of total funding at September 30, 2013 and June 30, 2013. Please see Table 7 for details on core funding and non-brokered deposits, which are non-GAAP financial measures.
The capital ratios of Southwest and each of its banking subsidiaries, as of September 30, 2013, exceeded the criteria for regulatory classification as "well-capitalized". Southwest's total regulatory capital was $315.6 million, for a total risk-based capital ratio of 21.52%, and Tier 1 capital was $296.5 million, for a Tier 1 risk-based capital ratio of 20.22%. Southwest's capital exceeded the minimum to be classified as "well-capitalized" by $168.9 million. Stillwater National Bank, Southwest's principal banking subsidiary, had total regulatory capital of $249.2 million, for a total risk-based capital ratio of 19.27%, and Tier 1 capital of $232.7 million, for a Tier 1 risk-based capital ratio of 17.99%. Stillwater National Bank exceeded the minimum to be classified as "well-capitalized" by $119.9 million. Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by Federal bank regulators.
Third Quarter Results:
Summary: For the third quarter of 2013, net income available to common shareholders was $3.8 million, compared to $4.4 million for the second quarter of 2013, and $4.3 million for the third quarter of 2012. The $0.6 million decrease in net income available to common shareholders compared to the second quarter of 2013 is primarily the result of a $0.2 million increase in noninterest expense and a $0.5 million decrease in the negative provision for loan losses, offset in part by a $0.1 million increase in net interest income.
The $0.5 million decrease in our net income available to common shareholders compared to the third quarter of 2012 is the result of a $3.4 million decrease in net interest income, a $1.4 million decrease in the negative provision for loan losses, and a $0.4 million decrease in noninterest income, offset in part by a $1.6 million decrease in noninterest expense, a $1.6 million decrease in income tax expense, and a $1.5 million decrease primarily in dividends on preferred stock due to the repurchase during 2012.
Net Interest Income: Net interest income totaled $15.3 million for the third quarter of 2013, compared to $15.1 million for the second quarter of 2013, an increase of $0.1 million, or 1%, and to $18.7 million for the third quarter of 2012, a decrease of $3.4 million, or 18%. Net interest margin was 3.11% for the third quarter of 2013, compared to 3.07% for the second quarter of 2013 and 3.59% for the third quarter of 2012. With the rate environment remaining low in the short to mid-term, earning assets are repricing at lower rates. Noncovered loans (including loans held for sale) declined $8.8 million, or 1%, from June 30, 2013, and $176.3 million, or 12%, from September 30, 2012, primarily due to a decline in commercial real estate loans. On September 16, 2013, we redeemed the 10.5% Trust Preferred Securities with par value of $34.5 million.
Provision for Loan Losses and Net Charge-offs: The provision for loan losses is the amount that is required to maintain the allowance for losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs or net recoveries for the period. The provision for loan losses was a credit (or negative provision) of $0.3 million for the third quarter of 2013, compared to a credit of $0.9 million for the second quarter of 2013 and a credit of $1.7 million for third quarter of 2012. For the third quarter of 2013, net recoveries totaled $0.1 million, or (0.02%) (annualized) of average portfolio loans, compared to net charge-offs of $1.6 million, or 0.50% (annualized) of average portfolio loans for the second quarter of 2013, and net recoveries of $1.6 million, or (0.42%) (annualized) of average portfolio loans for the third quarter of 2012.
Noninterest Income: Noninterest income totaled $3.5 million for both the third quarter and second quarter of 2013, compared to $4.0 million for the third quarter of 2012. The decrease from third quarter 2012 includes a $0.5 million decrease in the gain on sales of loans and a $0.1 million decrease in service charges and fees, offset in part by a $0.2 million increase in other noninterest income. For the third quarter 2013, the decrease in gain on sale of loans was offset by the increase in other noninterest income due to a legal settlement.
Noninterest Expense: Noninterest expense totaled $13.0 million for the third quarter of 2013, compared to $12.8 million for the second quarter of 2013 and $14.6 million for the third quarter of 2012.
The $0.2 million increase in noninterest expense from second quarter of 2013 primarily consists of a $1.0 million increase in other real estate expense, due to decreased net gains on sales of other real estate properties from those generated in the second quarter of this year, offset in part by a $0.4 million decrease in personnel expense, a $0.3 million decrease in general and administrative expense, and a $0.2 million decrease in the provision for unfunded loan commitments.
The $1.6 million decrease in noninterest expense from third quarter of 2012 consists of a $1.7 million decrease in other real estate expense due to decreased expenses and write-downs as a result of fewer other real estate properties. Also included in the decline from third quarter of 2012 is a $0.3 million decrease in general and administrative expense, which is primarily the result of decreased consulting fees, legal fees, and miscellaneous expenses, and a $0.1 million decrease in FDIC and other insurance expense, offset in part by a $0.3 million increase in personnel expense and a $0.2 million increase in provision for unfunded loan commitments.
Income Tax: Income tax expense totaled $2.3 million for the third quarter of 2013, compared to $2.2 million for the second quarter of 2013 and $3.9 million for the third quarter of 2012. The income tax expense fluctuates in relation to pre-tax income levels. The third quarter of 2013 effective tax rate was 38.01%.
Year-to-date Results:
Summary: Net income available to common shareholders was $10.6 million as of September 30, 2013, compared to $11.5 million as of September 30, 2012. The $0.9 million decrease in our net income available to common shareholders from September 30, 2012 is primarily the result of a $13.3 million decrease in net interest income and a $0.5 million decrease in noninterest income, offset in part by a $5.4 million decrease in noninterest expense, a $3.7 million decrease primarily in dividends on preferred stock due to the repurchase during 2012, a $3.0 million decrease in income tax expense, and a $0.7 million decrease in the provision for loan losses.
Net Interest Income: Net interest income totaled $46.0 million for the first nine months of 2013, compared to $59.3 million for the first nine months of 2012, a decrease of $13.3 million, or 22%. Lower average loan volume was the primary cause of this decrease. Year-to-date net interest margin was 3.11%, compared to 3.71% for 2012. With the rate environment remaining low, earning assets are repricing at lower rates.
Provision for Loan Losses and Net Charge-offs: The provision for loan losses is the amount of expense that is required to maintain the allowance for losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs for the period. The provision for loan losses was a credit (or negative provision) of $0.7 million for the first nine months of 2013, compared to an expense of $22,000 for the first nine months of 2012. Net charge-offs totaled $5.9 million, or 0.61% (annualized) of average portfolio loans year-to-date as of September 30, 2013, compared to $1.0 million, or 0.08% (annualized) of average portfolio loans for the same period of 2012.
Noninterest Income: Noninterest income totaled $10.6 million for the first nine months of 2013, compared to $11.1 million for the first nine months of 2012. The decrease consists of a $0.7 million decline in service charges and fees, offset in part by a $0.2 million increase in other noninterest income.
Noninterest Expense: Noninterest expense totaled $40.2 million for the first nine months of 2013, compared to $45.7 million for the first nine months of 2012. The decrease consists of a $5.1 million decrease in other real estate expense, which is primarily due to net gains recognized on the sale of other real estate properties combined with decreased expenses associated with other real estate properties. Also included in the decline from the first nine months of 2012 is a $1.6 million decrease in general and administrative expense, which is primarily the result of lower legal fees, consulting fees, other loan costs, and bank exam fees, and a $0.7 million decrease in FDIC and other insurance expense, offset in part by a $1.9 million increase in personnel expense.
Income Tax: Income tax expense totaled $6.4 million for the first nine months of 2013, compared to $9.4 million for the first nine months of 2012. The income tax expense fluctuates in relation to pre-tax income levels. The year-to-date effective tax rate was 37.81% as of September 30, 2013.
Southwest Bancorp and Subsidiaries
Southwest is the bank holding company for Stillwater National Bank and Trust Company ("Stillwater National") and Bank of Kansas. Through its subsidiaries, commercial and consumer lending, deposit and investment services, specialized cash management, and other financial services are offered from offices in Oklahoma, Texas, and Kansas. Stillwater National was chartered in 1894 and Southwest was organized in 1981 as the holding company. At September 30, 2013, Southwest had total assets of $2.0 billion, deposits of $1.6 billion, and shareholders' equity of $252.8 million.
Southwest's area of expertise focuses on the special financial needs of healthcare and health professionals, businesses and their managers and owners, commercial lending, energy banking, and commercial real estate borrowers. The strategic focus on healthcare lending was established in 1974. Southwest and its subsidiaries provide credit and other services, such as deposits, cash management, and document imaging for physicians and other healthcare practitioners to start or develop their practices and finance the development and purchase of medical offices, clinics, surgical care centers, hospitals, and similar facilities. As of September 30, 2013, approximately $456.5 million, or 36%, of noncovered loans were loans to individuals and businesses in the healthcare industry. Regular market reviews are conducted of current and potential healthcare lending business and the appropriate concentrations within healthcare based upon economic and regulatory conditions.
Southwest's common stock is traded on the NASDAQ Global Select Market under the symbol OKSB.
Caution About Forward-Looking Statements
Southwest makes forward-looking statements in this news release that are subject to risks and uncertainties. These statements are intended to be covered by the safe harbor provision for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.
These forward-looking statements include:
- Statements of Southwest's goals, intentions, and expectations;
- Estimates of risks and of future costs and benefits;
- Expectations regarding Southwest's future financial performance and the financial performance of its operating segments;
- Expectations regarding regulatory actions;
- Expectations regarding Southwest's ability to utilize tax loss benefits;
- Assessments of loan quality, probable loan losses, and the amount and timing of loan payoffs;
- Estimates of the value of assets held for sale or available for sale; and
- Statements of Southwest's ability to achieve financial and other goals.
These forward-looking statements are subject to significant uncertainties because they are based upon: the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters. These other matters include, among other things, the direct and indirect effects of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators. Because of these uncertainties, the actual future results may be materially different from the results indicated by these forward-looking statements. In addition, Southwest's past growth and performance do not necessarily indicate future results. For other factors, risks, and uncertainties that could cause actual results to differ materially from estimates and projections contained in forward-looking statements, please read Southwest's reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2012. You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, specifically those under the heading "Risk Factors".
The cautionary statements in this release also identify important factors and possible events that involve risk and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. These forward-looking statements speak only as of the date on which the statements were made. Southwest does not intend, and undertakes no obligation, to update or revise any forward-looking statements contained in this release, whether as a result of differences in actual results, changes in assumptions, or changes in other factors affecting such statements, except as required by law.
Southwest is required under generally accepted accounting principles to evaluate subsequent events and their impact, if any, on its financial statements as of September 30, 2013 through the date its financial statements are filed with the Securities and Exchange Commission. The September 30, 2013 financial statements included in this release will be adjusted if necessary to properly reflect the impact of subsequent events on estimates used to prepare those statements.
| Financial Tables | |
| Unaudited Financial Highlights | Table 1 |
| Unaudited Consolidated Statements of Financial Condition | Table 2 |
| Unaudited Consolidated Statements of Operations | Table 3 |
| Unaudited Average Balances, Yields, and Rates-Quarterly | Table 4 |
| Unaudited Average Balances, Yields, and Rates-Year-to-date | Table 5 |
| Unaudited Quarterly Summary Loan Data | Table 6 |
| Unaudited Quarterly Summary Financial Data | Table 7 |
| Unaudited Quarterly Supplemental Analytical Data | Table 8 |
| SOUTHWEST BANCORP, INC. | Table 1 | ||||
| UNAUDITED FINANCIAL HIGHLIGHTS | |||||
| (Dollars in thousands, except per share) | |||||
| Third Quarter | Second Quarter | Third Quarter | |||
| QUARTERLY HIGHLIGHTS | 2013 | % Change | 2012 | % Change | |
| Operations | |||||
| Net interest income | $15,273 | $15,134 | 1 % | $18,682 | (18)% |
| Provision for loan losses | (329) | (876) | (62) | (1,726) | (81) |
| Noninterest income | 3,547 | 3,491 | 2 | 3,950 | (10) |
| Noninterest expense | 13,019 | 12,839 | 1 | 14,591 | (11) |
| Income before taxes | 6,130 | 6,662 | (8) | 9,767 | (37) |
| Taxes on income | 2,330 | 2,248 | 4 | 3,880 | (40) |
| Net income | 3,800 | 4,414 | (14) | 5,887 | (35) |
| Net income available to common shareholders | 3,800 | 4,414 | (14) | 4,344 | (13) |
| Diluted earnings per share | 0.19 | 0.22 | (14) | 0.22 | (14) |
| Balance Sheet | |||||
| Total assets | 1,972,367 | 2,031,962 | (3) | 2,151,153 | (8) |
| Loans held for sale | 3,641 | 7,217 | (50) | 34,749 | (90) |
| Noncovered portfolio loans | 1,284,004 | 1,289,226 | (0) | 1,429,165 | (10) |
| Covered portfolio loans | 18,980 | 21,646 | (12) | 28,197 | (33) |
| Total deposits | 1,583,791 | 1,615,961 | (2) | 1,743,673 | (9) |
| Total shareholders' equity | 252,802 | 249,420 | 1 | 244,821 | 3 |
| Book value per common share | 12.83 | 12.67 | 1 | 12.88 | (0) |
| Key Ratios | |||||
| Net interest margin | 3.11% | 3.07% | 3.59% | ||
| Efficiency ratio | 69.18 | 68.93 | 64.47 | ||
| Total capital to risk-weighted assets | 21.52 | 23.78 | 20.64 | ||
| Nonperforming loans to portfolio loans - noncovered | 2.27 | 2.29 | 1.88 | ||
| Shareholders' equity to total assets | 12.82 | 12.27 | 11.61 | ||
| Tangible common equity to tangible assets* | 12.76 | 12.22 | 11.33 | ||
| Return on average assets (annualized) | 0.75 | 0.87 | 1.07 | ||
| Return on average common equity (annualized) | 5.99 | 7.00 | 7.11 | ||
| Return on average tangible common equity (annualized)** | 6.02 | 7.03 | 7.15 | ||
| Nine Months | |||||
| YEAR-TO-DATE HIGHLIGHTS | 2013 | 2012 | % Change | ||
| Operations | |||||
| Net interest income | $46,013 | $59,278 | (22)% | ||
| Provision for loan losses | (707) | 22 | (3,314) | ||
| Noninterest income | 10,575 | 11,065 | (4) | ||
| Noninterest expense | 40,246 | 45,669 | (12) | ||
| Income before taxes | 17,049 | 24,652 | (31) | ||
| Taxes on income | 6,446 | 9,437 | (32) | ||
| Net income | 10,603 | 15,215 | (30) | ||
| Net income available to common shareholders | 10,603 | 11,476 | (8) | ||
| Diluted earnings per share | 0.54 | 0.59 | (8) | ||
| Balance Sheet | |||||
| Total assets | 1,972,367 | 2,151,153 | (8) | ||
| Loans held for sale | 3,641 | 34,749 | (90) | ||
| Noncovered portfolio loans | 1,284,004 | 1,429,165 | (10) | ||
| Covered portfolio loans | 18,980 | 28,197 | (33) | ||
| Total deposits | 1,583,791 | 1,743,673 | (9) | ||
| Total shareholders' equity | 252,802 | 244,821 | 3 | ||
| Book value per common share | 12.83 | 12.88 | (0) | ||
| Key Ratios | |||||
| Net interest margin | 3.11% | 3.71% | |||
| Efficiency ratio (GAAP-based) | 71.12 | 64.92 | |||
| Total capital to risk-weighted assets | 21.52 | 20.64 | |||
| Nonperforming loans to portfolio loans - noncovered | 2.27 | 1.88 | |||
| Shareholders' equity to total assets | 12.82 | 11.61 | |||
| Tangible common equity to tangible assets* | 12.76 | 11.33 | |||
| Return on average assets (annualized) | 0.69 | 0.89 | |||
| Return on average common equity (annualized) | 5.64 | 6.24 | |||
| Return on average tangible common equity (annualized)** | 5.67 | 6.41 | |||
| Balance sheet amounts and ratios are as of period end unless otherwise noted. |
| * This is a Non-GAAP financial measure. Please see Table 8 for a reconciliation to the most directly comparable GAAP based measure. |
| ** This is a Non-GAAP financial measure. |
| Please see accompanying tables for additional financial information. |
| SOUTHWEST BANCORP, INC. | Table 2 | ||
| UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION | |||
| (Dollars in thousands) | |||
| September 30, | December 31, | September 30, | |
| 2013 | 2012 | 2012 | |
| Assets | |||
| Cash and due from banks | $31,043 | $45,045 | $25,524 |
| Interest-bearing deposits | 214,241 | 243,034 | 164,712 |
| Cash and cash equivalents | 245,284 | 288,079 | 190,236 |
| Securities held to maturity (fair values of $12,177, $13,659, and $13,854, respectively) | 11,739 | 12,797 | 12,942 |
| Securities available for sale (amortized cost of $371,433, $358,317, and $361,379, respectively) | 370,262 | 364,315 | 368,557 |
| Loans held for sale | 3,641 | 31,682 | 34,749 |
| Noncovered loans receivable | 1,284,004 | 1,321,346 | 1,429,165 |
| Less: Allowance for loan losses | (40,013) | (46,494) | (43,607) |
| Net noncovered loans receivable | 1,243,991 | 1,274,852 | 1,385,558 |
| Covered loans receivable (includes loss share: $4,282, $6,714, and $7,333, respectively) | 18,980 | 25,707 | 28,197 |
| Less: Allowance for loan losses | (68) | (224) | (138) |
| Net covered loans receivable | 18,912 | 25,483 | 28,059 |
| Net loans receivable | 1,262,903 | 1,300,335 | 1,413,617 |
| Accrued interest receivable | 5,725 | 6,365 | 7,347 |
| Income tax receivable | 1,807 | 24,525 | 24,549 |
| Premises and equipment, net | 21,283 | 21,691 | 22,197 |
| Noncovered other real estate | 676 | 11,315 | 14,683 |
| Covered other real estate | 1,017 | 3,643 | 4,142 |
| Goodwill | 1,214 | 1,214 | 1,214 |
| Other intangible assets, net | 5,022 | 4,864 | 4,786 |
| Other assets | 41,794 | 51,430 | 52,134 |
| Total assets | $1,972,367 | $2,122,255 | $2,151,153 |
| Liabilities | |||
| Deposits: | |||
| Noninterest-bearing demand | $436,904 | $424,008 | $429,407 |
| Interest-bearing demand | 106,176 | 112,012 | 113,677 |
| Money market accounts | 423,720 | 423,417 | 385,296 |
| Savings accounts | 39,727 | 37,693 | 36,461 |
| Time deposits of $100,000 or more | 270,916 | 351,273 | 389,969 |
| Other time deposits | 306,348 | 361,175 | 388,863 |
| Total deposits | 1,583,791 | 1,709,578 | 1,743,673 |
| Accrued interest payable | 840 | 1,116 | 944 |
| Other liabilities | 9,878 | 13,180 | 13,058 |
| Other borrowings | 78,663 | 70,362 | 66,694 |
| Subordinated debentures | 46,393 | 81,963 | 81,963 |
| Total liabilities | 1,719,565 | 1,876,199 | 1,906,332 |
| Shareholders' equity | |||
| Common stock -- $1 par value; 40,000,000 shares authorized; | |||
| 19,703,313, 19,529,705, and 19,448,312 shares issued and outstanding, respectively | 19,703 | 19,530 | 19,448 |
| Additional paid-in capital | 99,488 | 99,705 | 98,903 |
| Retained earnings | 135,696 | 125,093 | 124,123 |
| Accumulated other comprehensive income (loss) | (2,085) | 1,728 | 2,347 |
| Total shareholders' equity | 252,802 | 246,056 | 244,821 |
| Total liabilities and shareholders' equity | $1,972,367 | $2,122,255 | $2,151,153 |
| SOUTHWEST BANCORP, INC. | Table 3 | ||||
| UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||
| (Dollars in thousands, except per share) | |||||
| For the three months ended | For the nine months | ||||
| September 30, | June 30, | September 30, | ended September 30, | ||
| 2013 | 2013 | 2012 | 2013 | 2012 | |
| Interest income | |||||
| Loans | $ 16,242 | $ 16,415 | $ 20,496 | $ 49,663 | $ 65,581 |
| Investment securities | 1,623 | 1,594 | 1,934 | 4,908 | 6,019 |
| Other interest-earning assets | 270 | 255 | 186 | 765 | 563 |
| Total interest income | 18,135 | 18,264 | 22,616 | 55,336 | 72,163 |
| Interest expense | |||||
| Interest-bearing deposits | 1,317 | 1,442 | 2,251 | 4,411 | 7,689 |
| Other borrowings | 225 | 222 | 225 | 667 | 671 |
| Subordinated debentures | 1,320 | 1,466 | 1,458 | 4,245 | 4,525 |
| Total interest expense | 2,862 | 3,130 | 3,934 | 9,323 | 12,885 |
| Net interest income | 15,273 | 15,134 | 18,682 | 46,013 | 59,278 |
| Provision for loan losses | (329) | (876) | (1,726) | (707) | 22 |
| Net interest income after provision for loan losses | 15,602 | 16,010 | 20,408 | 46,720 | 59,256 |
| Noninterest income | |||||
| Service charges and fees | 2,589 | 2,607 | 2,730 | 7,856 | 8,588 |
| Gain on sales of loans | 619 | 831 | 1,106 | 2,264 | 2,223 |
| Gain on investment securities | -- | -- | -- | -- | 35 |
| Other noninterest income | 339 | 53 | 114 | 455 | 219 |
| Total noninterest income | 3,547 | 3,491 | 3,950 | 10,575 | 11,065 |
| Noninterest expense | |||||
| Salaries and employee benefits | 7,645 | 8,039 | 7,362 | 23,820 | 21,963 |
| Occupancy | 2,721 | 2,679 | 2,729 | 7,974 | 7,909 |
| FDIC and other insurance | 413 | 400 | 539 | 1,304 | 2,021 |
| Other real estate, net | (387) | (1,394) | 1,267 | (1,428) | 3,698 |
| General and administrative | 2,627 | 3,115 | 2,694 | 8,576 | 10,078 |
| Total noninterest expense | 13,019 | 12,839 | 14,591 | 40,246 | 45,669 |
| Income before taxes | 6,130 | 6,662 | 9,767 | 17,049 | 24,652 |
| Taxes on income | 2,330 | 2,248 | 3,880 | 6,446 | 9,437 |
| Net income | $ 3,800 | $ 4,414 | $ 5,887 | $ 10,603 | $ 15,215 |
| Net income available to common shareholders | $ 3,800 | $ 4,414 | $ 4,344 | $ 10,603 | $ 11,476 |
| Basic earnings per common share | $ 0.19 | $ 0.22 | $ 0.22 | $ 0.53 | $ 0.59 |
| Diluted earnings per common share | 0.19 | 0.22 | 0.22 | 0.54 | 0.59 |
| Common dividends declared per share | -- | -- | -- | -- | -- |
| SOUTHWEST BANCORP, INC. | Table 4 | |||||
| UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES - QUARTERLY | ||||||
| (Dollars in thousands) | ||||||
| For the three months ended | ||||||
| September 30, 2013 | June 30, 2013 | |||||
| Average | Average | Average | Average | |||
| Balance | Interest | Yield/Rate | Balance | Interest | Yield/Rate | |
| Assets | ||||||
| Noncovered loans | $1,277,747 | $15,837 | 4.92% | $1,296,589 | $16,018 | 4.96% |
| Covered loans | 20,271 | 405 | 7.93 | 22,361 | 397 | 7.12 |
| Investment securities | 364,746 | 1,623 | 1.76 | 374,353 | 1,594 | 1.71 |
| Other interest-earning assets | 287,968 | 270 | 0.37 | 282,067 | 255 | 0.36 |
| Total interest-earning assets | 1,950,732 | 18,135 | 3.69 | 1,975,370 | 18,264 | 3.71 |
| Other assets | 57,622 | 63,390 | ||||
| Total assets | $2,008,354 | $2,038,760 | ||||
| Liabilities and Shareholders' Equity | ||||||
| Interest-bearing demand deposits | $117,124 | $35 | 0.12% | $126,250 | $37 | 0.12% |
| Money market accounts | 416,839 | 182 | 0.17 | 420,477 | 190 | 0.18 |
| Savings accounts | 38,992 | 10 | 0.10 | 38,833 | 12 | 0.12 |
| Time deposits | 600,321 | 1,090 | 0.72 | 633,647 | 1,203 | 0.76 |
| Total interest-bearing deposits | 1,173,276 | 1,317 | 0.45 | 1,219,207 | 1,442 | 0.47 |
| Other borrowings | 75,822 | 225 | 1.18 | 71,857 | 222 | 1.24 |
| Subordinated debentures | 75,004 | 1,320 | 7.04 | 81,963 | 1,466 | 7.15 |
| Total interest-bearing liabilities | 1,324,102 | 2,862 | 0.86 | 1,373,027 | 3,130 | 0.91 |
| Noninterest-bearing demand deposits | 422,203 | 402,224 | ||||
| Other liabilities | 10,319 | 10,561 | ||||
| Shareholders' equity | 251,730 | 252,948 | ||||
| Total liabilities and shareholders' equity | $2,008,354 | $2,038,760 | ||||
| Net interest income and spread | $15,273 | 2.83% | $15,134 | 2.80% | ||
| Net interest margin (1) | 3.11% | 3.07% | ||||
| Average interest-earning assets to average interest-bearing liabilities | 147.32% | 143.87% | ||||
| (1) Net interest margin = annualized net interest income / average interest-earning assets |
| SOUTHWEST BANCORP, INC. | Table 5 | |||||
| UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES - YEAR-TO-DATE | ||||||
| (Dollars in thousands) | ||||||
| For the nine months ended September 30, | ||||||
| 2013 | 2012 | |||||
| Average | Average | Average | Average | |||
| Balance | Interest | Yield/Rate | Balance | Interest | Yield/Rate | |
| Assets | ||||||
| Noncovered loans | $1,301,446 | $48,369 | 4.97% | $1,574,095 | $63,861 | 5.42% |
| Covered loans | 22,492 | 1,294 | 7.69 | 32,490 | 1,720 | 7.07 |
| Investment securities | 373,150 | 4,908 | 1.76 | 339,776 | 6,019 | 2.37 |
| Other interest-earning assets | 279,549 | 765 | 0.37 | 188,264 | 563 | 0.40 |
| Total interest-earning assets | 1,976,637 | 55,336 | 3.74 | 2,134,625 | 72,163 | 4.52 |
| Other assets | 69,423 | 149,193 | ||||
| Total assets | $2,046,060 | $2,283,818 | ||||
| Liabilities and Shareholders' Equity | ||||||
| Interest-bearing demand deposits | $125,598 | $117 | 0.12% | $118,036 | $178 | 0.20% |
| Money market accounts | 418,973 | 608 | 0.19 | 375,634 | 750 | 0.27 |
| Savings accounts | 38,850 | 34 | 0.12 | 35,237 | 39 | 0.15 |
| Time deposits | 638,739 | 3,652 | 0.76 | 875,012 | 6,722 | 1.03 |
| Total interest-bearing deposits | 1,222,160 | 4,411 | 0.48 | 1,403,919 | 7,689 | 0.73 |
| Other borrowings | 72,491 | 667 | 1.23 | 59,846 | 671 | 1.50 |
| Subordinated debentures | 79,618 | 4,245 | 7.11 | 81,963 | 4,525 | 7.36 |
| Total interest-bearing liabilities | 1,374,269 | 9,323 | 0.91 | 1,545,728 | 12,885 | 1.11 |
| Noninterest-bearing demand deposits | 409,393 | 388,370 | ||||
| Other liabilities | 11,047 | 48,851 | ||||
| Shareholders' equity | 251,351 | 300,869 | ||||
| Total liabilities and shareholders' equity | $2,046,060 | $2,283,818 | ||||
| Net interest income and spread | $46,013 | 2.83% | $59,278 | 3.41% | ||
| Net interest margin (1) | 3.11% | 3.71% | ||||
| Average interest-earning assets to average interest-bearing liabilities | 143.83% | 138.10% | ||||
| (1) Net interest margin = annualized net interest income / average interest-earning assets |
| SOUTHWEST BANCORP, INC. | Table 6 | ||||||
| UNAUDITED QUARTERLY SUMMARY LOAN DATA | |||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| LOAN COMPOSITION | |||||||
| Noncovered: | |||||||
| Real estate mortgage: | |||||||
| Commercial | $743,858 | $786,686 | $819,873 | $870,977 | $898,453 | $931,239 | $996,486 |
| One-to-four family residential | 80,561 | 77,445 | 73,911 | 70,952 | 74,081 | 74,390 | 76,287 |
| Real estate construction: | |||||||
| Commercial | 162,995 | 158,907 | 139,462 | 130,753 | 206,342 | 211,098 | 222,678 |
| One-to-four family residential | 4,464 | 5,241 | 5,015 | 3,656 | 3,438 | 4,184 | 3,814 |
| Commercial | 263,598 | 235,667 | 232,224 | 240,498 | 244,018 | 263,085 | 273,324 |
| Installment and consumer: | |||||||
| Guaranteed student loans | 4,471 | 4,520 | 4,576 | 4,680 | 4,872 | 5,153 | 5,276 |
| Other | 27,698 | 27,977 | 28,553 | 31,512 | 32,710 | 33,555 | 31,766 |
| Total noncovered loans, including held for sale | 1,287,645 | 1,296,443 | 1,303,614 | 1,353,028 | 1,463,914 | 1,522,704 | 1,609,631 |
| Less allowance for loan losses | (40,013) | (40,270) | (42,639) | (46,494) | (43,607) | (43,807) | (45,023) |
| Total noncovered loans, net | $1,247,632 | $1,256,173 | $1,260,975 | $1,306,534 | $1,420,307 | $1,478,897 | $1,564,608 |
| Covered: | |||||||
| Real estate mortgage: | |||||||
| Commercial | $13,577 | $15,452 | $16,970 | $18,298 | $20,664 | $21,472 | $22,607 |
| One-to-four family residential | 4,084 | 4,253 | 4,458 | 4,881 | 5,059 | 5,432 | 5,766 |
| Real estate construction: | |||||||
| Commercial | 312 | 320 | 367 | 382 | 419 | 1,627 | 2,344 |
| Commercial | 967 | 1,554 | 1,715 | 2,037 | 1,937 | 2,033 | 2,401 |
| Installment and consumer | 40 | 67 | 91 | 109 | 118 | 148 | 196 |
| Total covered loans | 18,980 | 21,646 | 23,601 | 25,707 | 28,197 | 30,712 | 33,314 |
| Less allowance for loan losses | (68) | (82) | (214) | (224) | (138) | (91) | (60) |
| Total covered loans, net | $18,912 | $21,564 | $23,387 | $25,483 | $28,059 | $30,621 | $33,254 |
| LOANS BY SEGMENT | |||||||
| Oklahoma banking | $681,749 | $656,356 | $628,747 | $652,121 | $704,916 | $751,758 | $810,217 |
| Texas banking | 414,433 | 444,327 | 495,815 | 520,481 | 560,197 | 588,370 | 616,455 |
| Kansas banking | 206,802 | 210,189 | 195,355 | 174,451 | 192,249 | 189,292 | 177,508 |
| Subtotal | 1,302,984 | 1,310,872 | 1,319,917 | 1,347,053 | 1,457,362 | 1,529,420 | 1,604,180 |
| Secondary market | 3,641 | 7,217 | 7,298 | 31,682 | 34,749 | 23,996 | 38,765 |
| Total loans | $1,306,625 | $1,318,089 | $1,327,215 | $1,378,735 | $1,492,111 | $1,553,416 | $1,642,945 |
| NONPERFORMING LOANS BY TYPE | |||||||
| Construction & development | $5,659 | $5,989 | $6,409 | $3,355 | $3,436 | $3,608 | $3,768 |
| Commercial real estate | 12,203 | 12,325 | 13,362 | 18,337 | 20,576 | 4,932 | 6,821 |
| Commercial | 10,887 | 10,719 | 11,861 | 15,232 | 1,791 | 10,878 | 2,209 |
| One-to-four family residential | 396 | 418 | 651 | 1,310 | 949 | 1,125 | 1,508 |
| Consumer | 55 | 64 | 73 | 160 | 131 | 176 | 118 |
| Total nonperforming loans - noncovered | $29,200 | $29,515 | $32,356 | $38,394 | $26,883 | $20,719 | $14,424 |
| NONPERFORMING LOANS BY SEGMENT | |||||||
| Oklahoma banking | $3,279 | $1,678 | $2,000 | $2,956 | $4,369 | $2,979 | $3,550 |
| Texas banking | 24,963 | 26,294 | 28,817 | 33,756 | 19,940 | 14,894 | 5,703 |
| Kansas banking | 958 | 1,543 | 1,539 | 1,682 | 2,574 | 2,846 | 5,171 |
| Total nonperforming loans - noncovered | $29,200 | $29,515 | $32,356 | $38,394 | $26,883 | $20,719 | $14,424 |
| OTHER REAL ESTATE BY TYPE | |||||||
| Construction & development | $676 | $145 | $215 | $215 | $445 | $2,585 | $3,542 |
| Commercial real estate | -- | -- | 9,207 | 11,003 | 14,130 | 14,129 | 14,854 |
| One-to-four family residential | -- | -- | -- | 97 | 108 | 549 | 933 |
| Total other real estate - noncovered | $676 | $145 | $9,422 | $11,315 | $14,683 | $17,263 | $19,329 |
| Continued | |||||||
| SOUTHWEST BANCORP, INC. | Table 6 | ||||||
| UNAUDITED QUARTERLY SUMMARY LOAN DATA | Continued | ||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| OTHER REAL ESTATE BY SEGMENT | |||||||
| Oklahoma banking | $-- | $-- | $1,980 | $3,393 | $6,178 | $6,178 | $6,273 |
| Texas banking | -- | -- | 7,227 | 7,227 | 7,227 | 9,162 | 9,846 |
| Kansas banking | 676 | 145 | 215 | 695 | 1,278 | 1,923 | 3,210 |
| Total other real estate - noncovered | $676 | $145 | $9,422 | $11,315 | $14,683 | $17,263 | $19,329 |
| POTENTIAL PROBLEM LOANS BY TYPE | |||||||
| Construction & development | 22,222 | 20,745 | 19,968 | 22,077 | 22,565 | 25,563 | 33,907 |
| Commercial real estate | 62,475 | 62,166 | 60,329 | 58,549 | 53,725 | 71,537 | 67,654 |
| Commercial | 10,028 | 10,136 | 8,220 | 12,526 | 9,305 | 12,753 | 23,506 |
| One-to-four family residential | 414 | 1,071 | 1,129 | 1,147 | 1,157 | 1,230 | 1,253 |
| Consumer | -- | -- | -- | 62 | -- | -- | -- |
| Total potential problem loans - noncovered | $95,139 | $94,118 | $89,646 | $94,361 | $86,752 | $111,083 | $126,320 |
| POTENTIAL PROBLEM LOANS BY SEGMENT | |||||||
| Oklahoma banking | $31,345 | $31,495 | $32,246 | $30,875 | $39,606 | $48,038 | $44,122 |
| Texas banking | 59,561 | 58,710 | 51,978 | 58,377 | 43,313 | 59,368 | 79,735 |
| Kansas banking | 4,233 | 3,913 | 5,422 | 5,109 | 3,833 | 3,677 | 2,463 |
| Total potential problem loans - noncovered | $95,139 | $94,118 | $89,646 | $94,361 | $86,752 | $111,083 | $126,320 |
| LOANS OUT OF MARKET | |||||||
| Net balance of loans out of market: | |||||||
| Arizona | $30,516 | $31,564 | $33,017 | $40,326 | $41,255 | $39,449 | $34,749 |
| Iowa | 22,438 | 22,537 | 22,659 | 22,826 | 22,958 | 23,022 | 23,130 |
| Colorado | 12,358 | 8,586 | 3,067 | 3,110 | 3,119 | 3,111 | 3,104 |
| North Carolina | 10,161 | 300 | 407 | 65 | 604 | 682 | 771 |
| Kentucky | 10,088 | 11,860 | 10,144 | 8,691 | 7,517 | 9,455 | 517 |
| California | 9,472 | 9,632 | 10,866 | 9,791 | 9,684 | 9,922 | 10,252 |
| Mississippi | 8,929 | 9,233 | 9,170 | 9,239 | 9,842 | -- | -- |
| South Carolina | 7,125 | 7,165 | 7,205 | 7,244 | 7,283 | 7,320 | -- |
| Florida | 6,314 | 6,346 | 6,333 | 6,254 | 6,204 | 6,240 | 6,269 |
| Tennessee | 6,136 | 6,171 | 6,246 | 6,204 | 6,232 | 6,310 | 6,368 |
| Other | 17,716 | 21,914 | 18,923 | 29,915 | 31,143 | 31,737 | 37,730 |
| Total loans out of market | $141,253 | $135,308 | $128,037 | $143,665 | $145,841 | $137,248 | $122,890 |
| Nonperforming loans out of market: | |||||||
| Arizona | $11,205 | $12,167 | $13,419 | $11,599 | $250 | $256 | $261 |
| New York | 1,033 | 1,048 | -- | -- | -- | -- | -- |
| Florida | 258 | 264 | 270 | 275 | 281 | 287 | 293 |
| Colorado | -- | -- | 131 | 131 | 131 | 131 | 131 |
| Other | -- | 1 | -- | 59 | -- | -- | -- |
| Total nonperforming out of market | $12,496 | $13,480 | $13,820 | $12,064 | $662 | $674 | $685 |
| Potential problem loans out of market: | |||||||
| Iowa | $11,645 | $11,719 | $11,792 | $11,868 | $11,941 | $11,970 | $12,035 |
| New Jersey | 1,170 | 1,244 | -- | -- | -- | -- | -- |
| California | 499 | 512 | 524 | 536 | 548 | 559 | 570 |
| Florida | 71 | 75 | 80 | 85 | 90 | 95 | 100 |
| Arizona | -- | -- | -- | 9,037 | -- | -- | -- |
| Total potential problem out of market | $13,385 | $13,550 | $12,396 | $21,526 | $12,579 | $12,624 | $12,705 |
| Continued | |||||||
| SOUTHWEST BANCORP, INC. | Table 6 | ||||||
| UNAUDITED QUARTERLY SUMMARY LOAN DATA | Continued | ||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| ALLOWANCE ACTIVITY | |||||||
| Balance, beginning of period | $40,352 | $42,853 | $46,718 | $43,745 | $43,898 | $45,083 | $44,684 |
| Charge offs | 600 | 2,072 | 4,651 | 722 | 2,653 | 2,229 | 1,936 |
| Recoveries | 658 | 447 | 288 | 610 | 4,226 | 1,012 | 619 |
| Net charge offs (recoveries) | (58) | 1,625 | 4,363 | 112 | (1,573) | 1,217 | 1,317 |
| Provision for loan losses | (329) | (876) | 498 | 3,085 | (1,726) | 32 | 1,716 |
| Balance, end of period | $40,081 | $40,352 | $42,853 | $46,718 | $43,745 | $43,898 | $45,083 |
| NET CHARGE OFFS BY TYPE | |||||||
| Construction & development | (20) | 111 | (19) | (22) | (1,823) | (85) | (42) |
| Commercial real estate | 274 | 7 | 416 | (18) | 2,022 | 91 | 14 |
| Commercial | (169) | 1,085 | 3,751 | 239 | (1,894) | 1,228 | 1,211 |
| One-to-four family residential | (165) | 363 | 167 | (40) | 20 | (105) | 123 |
| Consumer | 22 | 59 | 48 | (47) | 102 | 88 | 11 |
| Total net charge offs (recoveries) by type | $(58) | $1,625 | $4,363 | $112 | $(1,573) | $1,217 | $1,317 |
| NET CHARGE OFFS BY SEGMENT | |||||||
| Oklahoma banking | $(203) | $200 | $589 | $(261) | $5 | $(247) | $1,150 |
| Texas banking | (80) | 1,356 | 3,241 | 305 | 857 | 1,139 | 227 |
| Kansas banking | 225 | 69 | 533 | 68 | (2,435) | 325 | (60) |
| Total net charge offs (recoveries) by segment | $(58) | $1,625 | $4,363 | $112 | $(1,573) | $1,217 | $1,317 |
| SOUTHWEST BANCORP, INC. | Table 7 | ||||||
| UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA | |||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| PER SHARE DATA | |||||||
| Basic earnings per common share | $0.19 | $0.22 | $0.12 | $0.05 | $0.22 | $0.15 | $0.21 |
| Diluted earnings per common share | 0.19 | 0.22 | 0.12 | 0.05 | 0.22 | 0.15 | 0.21 |
| Book value per common share | 12.83 | 12.67 | 12.72 | 12.60 | 12.59 | 12.35 | 12.21 |
| Tangible book value per share* | 12.77 | 12.60 | 12.66 | 12.54 | 12.53 | 12.29 | 12.15 |
| COMMON STOCK | |||||||
| Shares issued and outstanding | 19,703,313 | 19,692,606 | 19,692,038 | 19,529,721 | 19,448,312 | 19,447,202 | 19,445,913 |
| OTHER FINANCIAL DATA | |||||||
| Investment securities | $382,001 | $372,403 | $365,605 | $377,112 | $381,499 | $340,378 | $333,860 |
| Loans held for sale | 3,641 | 7,217 | 7,297 | 31,682 | 34,749 | 23,996 | 38,765 |
| Noncovered portfolio loans | 1,284,004 | 1,289,226 | 1,296,317 | 1,321,346 | 1,429,165 | 1,498,708 | 1,570,866 |
| Total noncovered loans | 1,287,645 | 1,296,443 | 1,303,614 | 1,353,028 | 1,463,914 | 1,522,704 | 1,609,631 |
| Covered portfolio loans | 18,980 | 21,646 | 23,601 | 25,707 | 28,197 | 30,712 | 33,314 |
| Total assets | 1,972,367 | 2,031,962 | 2,091,694 | 2,122,255 | 2,151,153 | 2,264,123 | 2,268,264 |
| Total deposits | 1,583,791 | 1,615,961 | 1,677,668 | 1,709,578 | 1,743,673 | 1,788,379 | 1,806,780 |
| Other borrowings | 78,663 | 74,334 | 70,872 | 70,362 | 66,694 | 68,477 | 55,139 |
| Subordinated debentures | 46,393 | 81,963 | 81,963 | 81,963 | 81,963 | 81,963 | 81,963 |
| Total shareholders' equity | 252,802 | 249,420 | 250,509 | 246,056 | 244,821 | 309,003 | 306,046 |
| Mortgage servicing portfolio | 383,400 | 368,825 | 356,032 | 343,397 | 329,184 | 305,465 | 301,378 |
| INTANGIBLE ASSET DATA | |||||||
| Goodwill | $1,214 | $1,214 | $1,214 | $1,214 | $1,214 | $1,214 | $1,214 |
| Core deposit intangible | 2,185 | 2,306 | 2,424 | 2,543 | 2,664 | 2,785 | 2,906 |
| Mortgage servicing rights | 2,837 | 2,675 | 2,445 | 2,321 | 2,122 | 1,975 | 1,952 |
| Total intangible assets | $6,236 | $6,195 | $6,083 | $6,078 | $6,000 | $5,974 | $6,072 |
| Intangible amortization expense | $314 | $313 | $410 | $283 | $283 | $282 | $296 |
| DEPOSIT COMPOSITION | |||||||
| Non-interest bearing demand | $436,904 | $412,176 | $416,979 | $424,008 | $429,407 | $421,083 | $395,141 |
| Interest-bearing demand | 106,176 | 138,502 | 125,914 | 112,012 | 113,677 | 119,929 | 119,759 |
| Money market accounts | 423,720 | 408,145 | 437,629 | 423,417 | 385,296 | 361,839 | 349,419 |
| Savings accounts | 39,727 | 38,611 | 39,733 | 37,693 | 36,461 | 35,610 | 34,679 |
| Time deposits of $100,000 or more | 270,916 | 295,179 | 317,270 | 351,273 | 389,969 | 431,317 | 464,876 |
| Other time deposits | 306,348 | 323,348 | 340,143 | 361,175 | 388,863 | 418,601 | 442,906 |
| Total deposits** | $1,583,791 | $1,615,961 | $1,677,668 | $1,709,578 | $1,743,673 | $1,788,379 | $1,806,780 |
| OFFICES AND EMPLOYEES | |||||||
| FTE Employees | 407 | 408 | 412 | 422 | 429 | 430 | 435 |
| Branches | 23 | 22 | 22 | 22 | 23 | 23 | 23 |
| Loan production offices | 0 | 1 | 1 | 1 | 2 | 2 | 2 |
| Assets per employee | $4,846 | $4,980 | $5,077 | $5,029 | $5,014 | $5,265 | $5,214 |
| *This is a Non-GAAP based financial measure. | |||||||
| **Calculation of Non-brokered Deposits and Core Funding (Non-GAAP Financial Measures) | |||||||
| Total deposits | $1,583,791 | $1,615,961 | $1,677,668 | $1,709,578 | $1,743,673 | $1,788,379 | $1,806,780 |
| Less: | |||||||
| Brokered time deposits | 1,343 | 4,904 | 5,760 | 9,865 | 10,197 | 12,238 | 13,307 |
| Other brokered deposits | 3,423 | 3,422 | 3,422 | 3,421 | 4,421 | 4,420 | 6,529 |
| Non-brokered deposits | $1,579,025 | $1,607,635 | $1,668,486 | $1,696,292 | $1,729,055 | $1,771,721 | $1,786,944 |
| Plus: | |||||||
| Sweep repurchase agreements | 53,663 | 49,334 | 45,872 | 45,362 | 41,694 | 43,477 | 30,139 |
| Core funding | $1,632,688 | $1,656,969 | $1,714,358 | $1,741,654 | $1,770,749 | $1,815,198 | $1,817,083 |
| Balance sheet amounts are as of period end unless otherwise noted. | |||||||
| SOUTHWEST BANCORP, INC. | Table 8 | ||||||
| UNAUDITED QUARTERLY SUPPLEMENTAL ANALYTICAL DATA | |||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| PERFORMANCE RATIOS | |||||||
| Return on average assets (annualized) | 0.75% | 0.87% | 0.46% | 0.18% | 1.06% | 0.73% | 0.89% |
| Return on average common equity (annualized) | 5.99 | 7.00 | 3.89 | 1.56 | 7.11 | 5.03 | 7.00 |
| Return on average tangible common equity (annualized)* | 6.02 | 7.03 | 3.90 | 1.56 | 7.15 | 5.06 | 7.03 |
| Net interest margin (annualized) | 3.11 | 3.07 | 3.16 | 3.41 | 3.59 | 3.71 | 3.82 |
| Effective tax rate | 38.01 | 33.74 | 43.88 | 31.45 | 39.73 | 37.12 | 37.50 |
| Efficiency ratio | 69.18 | 68.93 | 75.16 | 79.68 | 64.47 | 71.82 | 58.73 |
| NONPERFORMING ASSETS | |||||||
| Noncovered: | |||||||
| Nonaccrual loans | $29,198 | $29,513 | $32,356 | $35,104 | $26,493 | $20,474 | $14,324 |
| 90 days past due and accruing | 2 | 2 | -- | 3,290 | 390 | 245 | 100 |
| Total nonperforming loans | 29,200 | 29,515 | 32,356 | 38,394 | 26,883 | 20,719 | 14,424 |
| Other real estate | 676 | 145 | 9,422 | 11,315 | 14,683 | 17,263 | 19,329 |
| Total nonperforming assets | $29,876 | $29,660 | $41,778 | $49,709 | $41,566 | $37,982 | $33,753 |
| Performing restructured | $527 | $993 | $512 | $290 | $281 | $328 | $1,700 |
| Potential problem loans | $95,139 | $94,118 | $89,646 | $94,361 | $86,752 | $111,083 | $126,320 |
| Covered: | |||||||
| Nonaccrual loans | $3,480 | $3,062 | $2,873 | $3,595 | $4,809 | $6,067 | $7,015 |
| 90 days past due and accruing | -- | -- | -- | -- | 353 | -- | -- |
| Total nonperforming loans | 3,480 | 3,062 | 2,873 | 3,595 | 5,162 | 6,067 | 7,015 |
| Other real estate | 1,017 | 1,666 | 2,243 | 3,643 | 4,142 | 3,825 | 4,694 |
| Total nonperforming assets | $4,497 | $4,728 | $5,116 | $7,238 | $9,304 | $9,892 | $11,709 |
| Performing restructured | $1,733 | $1,800 | $1,854 | $2,523 | $2,548 | $1,701 | $-- |
| Potential problem loans | $2,030 | $3,352 | $3,986 | $3,155 | $1,621 | $1,573 | $553 |
| ASSET QUALITY RATIOS | |||||||
| Net loan charge-offs to average portfolio loans (annualized) | (0.02)% | 0.50% | 1.32% | 0.03% | (0.42)% | 0.31% | 0.32% |
| Noncovered: | |||||||
| Nonperforming assets to portfolio loans and other real estate | 2.33% | 2.30% | 3.20% | 3.73% | 2.88% | 2.51% | 2.12% |
| Nonperforming loans to portfolio loans | 2.27 | 2.29 | 2.50 | 2.91 | 1.88 | 1.38 | 0.92 |
| Allowance for loan losses to portfolio loans | 3.12 | 3.12 | 3.29 | 3.52 | 3.05 | 2.92 | 2.87 |
| Allowance for loan losses to nonperforming loans | 137.03 | 136.44 | 131.78 | 121.10 | 162.21 | 211.43 | 312.14 |
| Covered: | |||||||
| Nonperforming assets to portfolio loans and other real estate | 22.49% | 20.28% | 19.80% | 24.66% | 28.77% | 28.64% | 30.81% |
| Nonperforming loans to portfolio loans | 18.34 | 14.15 | 12.17 | 13.98 | 18.31 | 19.75 | 21.06 |
| Allowance for loan losses to portfolio loans | 0.36 | 0.38 | 0.91 | 0.87 | 0.49 | 0.30 | 0.18 |
| Allowance for loan losses to nonperforming loans | 1.95 | 2.68 | 7.45 | 6.23 | 2.67 | 1.50 | 0.86 |
| CAPITAL RATIOS | |||||||
| Average total shareholders' equity to average assets | 12.53% | 12.41% | 11.92% | 11.61% | 12.31% | 13.56% | 12.99% |
| Leverage ratio | 14.78 | 16.10 | 15.59 | 15.01 | 14.49 | 16.84 | 16.20 |
| Tier 1 capital to risk-weighted assets | 20.22 | 22.48 | 22.25 | 20.28 | 19.36 | 22.24 | 21.21 |
| Total capital to risk-weighted assets | 21.52 | 23.78 | 23.54 | 21.56 | 20.64 | 23.52 | 22.49 |
| Tangible common equity to tangible assets*** | 12.76 | 12.22 | 11.93 | 11.54 | 11.33 | 10.56 | 10.42 |
| Continued | |||||||
| SOUTHWEST BANCORP, INC. | Table 8 | ||||||
| UNAUDITED QUARTERLY SUPPLEMENTAL ANALYTICAL DATA | Continued | ||||||
| (Dollars in thousands, except per share) | |||||||
| 2013 | 2012 | ||||||
| Sep. 30 | Jun. 30 | Mar. 31 | Dec. 31 | Sep. 30 | Jun. 30 | Mar. 31 | |
| REGULATORY CAPITAL DATA | |||||||
| Tier I capital | $296,488 | $326,831 | $324,659 | $319,665 | $317,665 | $382,263 | $378,949 |
| Total capital | 315,570 | 345,717 | 343,562 | 339,964 | 338,739 | 404,252 | 401,808 |
| Total risk adjusted assets | 1,466,672 | 1,453,878 | 1,459,465 | 1,576,521 | 1,641,121 | 1,719,058 | 1,786,282 |
| Average total assets | 2,006,525 | 2,030,064 | 2,082,789 | 2,130,035 | 2,192,579 | 2,269,640 | 2,339,784 |
| ____________________ | |||||||
| *This is a Non-GAAP based financial measure. | |||||||
| ***Calculation of Tangible Capital to Tangible Assets (Non-GAAP Financial Measure) | |||||||
| Total shareholders' equity | $252,802 | $249,420 | $250,509 | $246,056 | $244,821 | $309,003 | $306,046 |
| Less: | |||||||
| Goodwill | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 |
| Preferred stock | -- | -- | -- | -- | -- | 68,837 | 68,644 |
| Tangible common equity | $251,588 | $248,206 | $249,295 | $244,842 | $243,607 | $238,952 | $236,188 |
| Total assets | $1,972,367 | $2,031,962 | $2,091,694 | $2,122,255 | $2,151,153 | $2,264,123 | $2,268,264 |
| Less goodwill | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 | 1,214 |
| Tangible assets | $1,971,153 | $2,030,748 | $2,090,480 | $2,121,041 | $2,149,939 | $2,262,909 | $2,267,050 |
| Tangible common equity to tangible assets | 12.76% | 12.22% | 11.93% | 11.54% | 11.33% | 10.56% | 10.42% |
| Balance sheet amounts and ratios are as of period end unless otherwise noted. | |||||||