-- After tax earnings of $3.2 million and diluted EPS of $0.07, as compared to diluted LPS of ($0.57) for fourth quarter 2008 and EPS of $0.51 for first quarter 2008. -- Pre-tax earnings, excluding provision expense and net securities gains, improved 6.3% from first quarter 2008. -- Net interest margin of 3.67% up 14 basis points versus 3.53% for first quarter 2008 and down 4 basis points from 3.71% for fourth quarter 2008. -- Efficiency ratio improved to 52.3% compared to 54.0% for first quarter 2008 and 59.1% for fourth quarter 2008.Capital, Credit, and Other
-- Tangible common equity and Tier 1 regulatory capital ratios of 5.36% and 11.85%, respectively, increased from year-end 2008. -- Loan loss reserves increased to 2.15% of total loans as compared to 1.75% at December 31, 2008, with first quarter 2009 provision exceeding charge-offs by $22 million. -- Non-performing loans, including loans past due 90 days, increased to 4.80% of total loans compared to 3.21% at December 31, 2008. -- Net securities gains realized of $8.2 million; tax benefits recognized of $4.0 million.First Midwest Bancorp, Inc. (the "Company" or "First Midwest") (
Excess Over Minimum Required "Well- Minimums at March December Capitalized" March 31, 31, 2009 31, 2008 Level 2009 -------- -------- ---------- ----------- (Amounts in millions) Regulatory Capital Ratios: Tier 1 Risk Based 11.85% 11.60% 6.00% 98% $386 Total Risk Based Capital 14.62% 14.36% 10.00% 46% $305 Tier 1 Leverage Capital 9.60% 9.41% 5.00% 92% $375 Regulatory Capital Ratios, Excluding Preferred Equity: Tier 1 Risk Based 8.93% 8.68% 6.00% 49% $193 Total Risk Based Capital 11.70% 11.44% 10.00% 17% $112 Tier 1 Leverage Capital 7.23% 7.04% 5.00% 45% $182 Tangible Common Equity Ratios: Tangible Common Equity 5.36% 5.23% N/A N/A N/A Tangible Common Equity, Excluding OCI 5.83% 5.45% N/A N/A N/AOn March 16, 2009, the Company announced, in an effort to build capital during this period of economic uncertainty, a reduction in its quarterly common stock dividend from $0.225 per share to $0.010 per share. This dividend action will enable the retention of approximately $42 million in capital over the course of a year. The Board of Directors reviews the Company's capital plan each quarter, giving cognizance to the current and expected operating environment as well as an evaluation of various capital alternatives. Consistent with its dividend history, First Midwest would look to return to a more normalized dividend level as circumstances permit. About the Company First Midwest is the premier relationship-based banking franchise in the growing Chicagoland banking market. As one of the Chicago metropolitan area's largest independent bank holding companies, First Midwest provides the full range of both business and retail banking and trust and investment management services through some 100 offices located in 62 communities, primarily in metropolitan Chicago. First Midwest was recently recognized by the Alfred P. Sloan awards for Business Excellence in Workforce Flexibility in the greater Chicago Area. Safe Harbor Statement This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts but instead represent only the Company's beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company's control. It is possible that actual results and the Company's financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. For a discussion of some of the risks and important factors that could affect the Company's future results, see "Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2008 and other reports filed with the Securities and Exchange Commission. Forward-looking statements represent management's best judgment as of the date hereof based on currently available information. Except as required by law, the Company undertakes no duty to update the contents of this press release after the date hereof. Conference Call A conference call to discuss the Company's results, outlook and related matters will be held on Wednesday, April 22, 2009 at 10:00 a.m. (ET). Members of the public who would like to listen to the conference call should dial 1-866-713-8395 (U.S. domestic) or 1-617-597-5309 (international) and enter passcode number 697 31 099. The number should be dialed at least 10 minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast through the Investor Relations section of the Company's website, www.firstmidwest.com/aboutinvestor_overview.asp. There is no charge to access the call. For those unable to listen to the live broadcast, a replay will be available on the Company's website or by dialing 1-888-286-8010 (U.S. domestic) or 1-617-801-6888 (international) passcode number 172 71 558, beginning approximately one hour after the event through 11:59 p.m. (ET) on April 29, 2009. Please direct any questions regarding obtaining access to the conference call to First Midwest Bancorp, Inc. Investor Relations, via e-mail, at investor.relations@firstmidwest.com. Accompanying Financial Statements and Tables Accompanying this press release is the following unaudited financial information:
-- Operating Highlights, Balance Sheet Highlights, Stock Performance Data, and Capital Ratios (1 page) -- Condensed Consolidated Statements of Condition (1 page) -- Condensed Consolidated Statements of Income (1 page) -- Loan Portfolio Composition (1 page) -- Asset Quality (1 page)Press Release and Additional Information Available on Website This press release, the accompanying financial statements and tables, and certain additional unaudited Selected Financial Information (totaling 3 pages) are available through the "Investor Relations" section of First Midwest's website at http://www.firstmidwest.com/aboutinvestor_selected.asp.
First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Operating Highlights Unaudited Quarters Ended ------------------------------------- (Amounts in thousands except per March 31, December March 31, share data) 2009 31, 2008 2008 ----------- ----------- ----------- Net income (loss) $ 5,727 $ (26,890) $ 25,038 Net income (loss) applicable to common shares 3,155 (27,568) 24,979 Diluted earnings per share $ 0.07 $ (0.57) $ 0.51 Return on average equity 1.78% (13.92%) 13.75% Return on average assets 0.15% (1.31%) 1.25% Net interest margin 3.67% 3.71% 3.53% Efficiency ratio 52.33% 59.06% 54.02% Balance Sheet Highlights Unaudited As Of ------------------------------------- (Dollar amounts in thousands except March 31, December March 31, per share data) 2009 31, 2008 2008 ----------- ----------- ----------- Total assets $ 8,252,576 $ 8,528,341 $ 8,315,368 Total loans 5,387,128 5,360,063 5,045,765 Total deposits 5,508,382 5,585,754 5,721,562 Total stockholders equity 903,612 908,279 737,927 Common stockholders equity 710,612 715,949 737,927 Book value per common share $ 14.61 $ 14.72 $ 15.20 Period end common shares outstanding 48,628 48,630 48,561 Capital Ratios Unaudited As Of ------------------------------------- March 31, December March 31, 2009 31, 2008 2008 ----------- ----------- ----------- Regulatory capital ratios: Total capital to risk-weighted assets 14.62% 14.36% 11.63% Tier 1 capital to risk-weighted assets 11.85% 11.60% 9.08% Tier 1 leverage to average assets 9.60% 9.41% 7.51% Regulatory capital ratios, excluding preferred equity: Total capital to risk-weighted assets 11.70% 11.44% 11.63% Tier 1 capital to risk-weighted assets 8.93% 8.68% 9.08% Tier 1 leverage to average assets 7.23% 7.04% 7.51% Tangible common equity ratios: Tangible common equity to tangible assets 5.36% 5.23% 5.62% Tangible common equity, excluding other comprehensive loss, to tangible assets 5.83% 5.45% 5.73% First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Condensed Consolidated Statements of Condition Unaudited March 31, ------------------------ (Amounts in thousands) 2009 2008 ----------- ----------- Assets Cash and due from banks $ 103,586 $ 171,037 Funds sold and other short-term investments 3,741 1,808 Trading account securities 10,885 17,305 Securities available-for-sale 1,901,919 2,100,602 Securities held to maturity, at amortized cost 81,566 95,651 Federal Home Loan Bank and Federal Reserve Bank stock, at cost 54,768 54,767 Loans 5,387,128 5,045,765 Reserve for loan losses (116,001) (64,780) ----------- ----------- Net loans 5,271,127 4,980,985 ----------- ----------- Foreclosed real estate 38,984 8,607 Premises, furniture, and equipment 117,880 123,257 Investment in bank owned life insurance 199,070 203,987 Goodwill and other intangible assets 283,570 287,141 Accrued interest receivable and other assets 185,480 270,221 ----------- ----------- Total assets $ 8,252,576 $ 8,315,368 =========== =========== Liabilities and Stockholders' Equity Deposits Transactional deposits $ 3,522,289 $ 3,562,499 Time deposits 1,943,076 2,131,759 Brokered deposits 43,017 27,304 ----------- ----------- Total deposits 5,508,382 5,721,562 Borrowed funds 1,535,752 1,413,726 Subordinated debt 232,375 232,509 Accrued interest payable and other liabilities 72,455 209,644 ----------- ----------- Total liabilities 7,348,964 7,577,441 ----------- ----------- Preferred stock 189,768 - Common stock 613 613 Additional paid-in capital 211,325 206,011 Retained earnings 851,339 854,931 Accumulated other comprehensive (loss) (37,470) (9,333) Treasury stock, at cost (311,963) (314,295) ----------- ----------- Total stockholders' equity 903,612 737,927 ----------- ----------- Total liabilities and stockholders' equity $ 8,252,576 $ 8,315,368 =========== =========== First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Condensed Consolidated Statements of Income Unaudited Quarters Ended ------------------------------- (Amounts in thousands except per share March 31, December March 31, data) 2009 31, 2008 2008 --------- --------- --------- Interest Income Loans $ 65,447 $ 71,849 $ 81,334 Securities 26,030 26,024 27,120 Other 3 60 21 --------- --------- --------- Total interest income 91,480 97,933 108,475 --------- --------- --------- Interest Expense Deposits 18,927 22,802 34,210 Borrowed funds 4,632 6,416 12,076 Subordinated debt 3,702 3,702 3,689 --------- --------- --------- Total interest expense 27,261 32,920 49,975 --------- --------- --------- Net interest income 64,219 65,013 58,500 Provision for loan losses 48,410 42,385 9,060 --------- --------- --------- Net interest income after provision for loan losses 15,809 22,628 49,440 --------- --------- --------- Noninterest Income Service charges on deposit accounts 9,044 11,206 10,422 Trust and investment management fees 3,329 3,420 3,947 Other service charges, commissions, and fees 4,006 4,554 5,002 Card-based fees 3,755 8,868 3,898 Subtotal, fee-based revenues 20,134 23,048 23,269 Bank owned life insurance income 541 (8,858) 2,462 Securities gains (losses), net 8,222 (34,215) 4,968 Other (126) (2,104) (680) --------- --------- --------- Total noninterest income 28,771 (22,129) 30,019 --------- --------- --------- Noninterest Expense Salaries and employee benefits 23,311 20,356 26,190 Net occupancy expense 6,506 5,967 6,151 Equipment expense 2,331 2,454 2,567 Technology and related costs 2,240 1,848 1,771 Other 14,006 15,956 12,664 --------- --------- --------- Total noninterest expense 48,394 46,581 49,343 --------- --------- --------- (Loss) income before taxes (3,814) (46,082) 30,116 Income tax (benefit) expense (9,541) (19,192) 5,078 --------- --------- --------- Net Income (Loss) 5,727 (26,890) 25,038 Preferred dividends (2,563) (712) - Net income applicable to non-vested restricted shares (9) 33 (59) --------- --------- --------- Net Income (Loss) Applicable to Common Shares $ 3,155 $ (27,568) $ 24,979 ========= ========= ========= Diluted Earnings Per Share $ 0.07 (0.57) $ 0.51 Dividends Declared Per Share $ 0.010 0.225 $ 0.310 Weighted Average Diluted Shares Outstanding 48,493 48,508 48,537 First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Percent Change Unaudited As Of From --------------------------------------- ------------------ (Dollar amounts in % of thousands) 3/31/09 Total 12/31/08 3/31/08 12/31/08 3/31/08 ---------- ----- ---------- ---------- -------- ------- Loan Portfolio Composition Commercial and industrial $1,508,175 28.0% $1,490,101 $1,396,665 1.2% 8.0% Agricultural 141,190 2.6% 142,635 200,614 (1.0%) (29.6%) Commercial real estate: Office, retail, and industri- al 1,211,844 22.5% 1,127,689 1,020,403 7.5% 18.8% Residen- tial land and develop- ment 466,195 8.7% 509,059 515,052 (8.4%) (9.5%) Multi- family 257,039 4.8% 237,646 188,474 8.2% 36.4% Other commer- cial real estate 1,073,483 19.9% 1,106,952 952,622 (3.0%) 12.7% ---------- ----- ---------- ---------- -------- ------- Total commer- cial real estate 3,008,561 55.9% 2,981,346 2,676,551 0.9% 12.4% ---------- ----- ---------- ---------- -------- ------- Consumer: Home equity 480,283 8.9% 477,105 459,068 0.7% 4.6% Real estate 1-4 family 185,486 3.4% 198,197 224,895 (6.4%) (17.5%) Other consumer 63,433 1.2% 70,679 87,972 (10.3%) (27.9%) ---------- ----- ---------- ---------- -------- ------- Total consumer 729,202 13.5% 745,981 771,935 (2.2%) (5.5%) ---------- ----- ---------- ---------- -------- ------- Total loans $5,387,128 100.0% $5,360,063 $5,045,765 0.5% 6.8% ========== ===== ========== ========== ======== ======= Commercial Real Estate Detail Office Retail, and Industrial Office $ 404,857 33.4% $ 373,272 $ 326,107 8.5% 24.1% Retail 338,858 28.0% 313,286 279,612 8.2% 21.2% Industrial 468,129 38.6% 441,131 414,684 6.1% 12.9% ---------- ----- ---------- ---------- -------- ------- Total office, retail, and industri- al $1,211,844 100.0% $1,127,689 $1,020,403 7.5% 18.8% ========== ===== ========== ========== ======== ======= Residential Land and Development Structures $ 143,497 30.8% $ 185,929 $ 209,146 (22.8%) (31.4%) Land 322,698 69.2% 323,130 305,906 (0.1%) 5.5% ---------- ----- ---------- ---------- -------- ------- Total residen- tial land and develop- ment $ 466,195 100.0% $ 509,059 $ 515,052 (8.4%) (9.5%) ========== ===== ========== ========== ======== ======= Other Commercial Real Estate Commercial land $ 258,869 24.1% $ 280,120 $ 260,502 (7.6%) (0.6%) 1-4 family investors 189,901 17.7% 193,227 169,768 (1.7%) 11.9% Service stations and truck stops 145,571 13.6% 146,891 117,592 (0.9%) 23.8% Warehouses and storage 89,541 8.3% 85,276 71,921 5.0% 24.5% Hotels 80,365 7.5% 79,186 59,199 1.5% 35.8% Restaurants 49,897 4.6% 48,106 48,147 3.7% 3.6% Medical 37,929 3.5% 42,269 42,912 (10.3%) (11.6%) Automobile dealers 37,627 3.5% 38,505 30,934 (2.3%) 21.6% Mobile home parks 21,559 2.0% 36,790 23,481 (41.4%) (8.2%) Recrea- tional 12,587 1.2% 14,515 16,348 (13.3%) (23.0%) Religious 11,121 1.0% 11,224 11,291 (0.9%) (1.5%) Other 138,516 12.9% 130,843 100,527 5.9% 37.8% ---------- ----- ---------- ---------- -------- ------- Total other commer- cial real estate $1,073,483 100.0% $1,106,952 $ 952,622 (3.0%) 12.7% ========== ===== ========== ========== ======== ======= First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Unaudited As Of ------------------------------------------------- % of (Dollar amounts in Loan % of thousands) 3/31/09 Category Total 12/31/08 3/31/08 -------- -------- --------- -------- -------- Asset Quality Non-accrual loans: Commercial and industrial $ 33,245 2.20% 19.8% $ 15,586 $ 6,770 Office, retail, and industrial 12,769 1.05% 4.6% 2,533 730 Residential land and development 107,766 23.12% 61.9% 97,060 4,081 Multi-family 6,989 2.72% 4.2% 1,387 1,361 Other commercial real estate 16,025 1.49% 5.5% 6,926 255 Consumer 6,747 0.93% 4.0% 4,276 3,876 -------- ======== --------- -------- -------- Total non-accrual loans 183,541 3.41% 100.0% 127,768 17,073 -------- ======== ========= -------- -------- Restructured loans 1,063 7,344 1,942 90 days past due loans (still accruing interest): Commercial and industrial 16,208 1.07% 18.1% $ 6,818 $ 3,926 Agricultural 1,751 1.24% 1.9% 1,751 - Office, retail, and industrial 12,719 1.05% 19.8% 3,214 - Residential land and development 20,593 4.42% 27.3% 8,489 17,438 Multi-family 3,356 1.31% 3.7% 1,881 2,332 Other commercial real estate 8,900 0.83% 17.6% 6,586 2,451 Consumer 10,402 1.43% 11.6% 8,260 5,150 -------- ======== --------- -------- -------- Total 90 days past due loans 73,929 1.37% 100.0% 36,999 31,297 -------- ======== ========= -------- -------- Total non-performing loans $258,533 $172,111 $ 50,252 ======== ======== ======== Foreclosed real estate $ 38,984 24,368 8,607 30-89 days past due loans $ 54,311 1.01% 100.0% $116,206 $185,186 Reserve for loan losses $116,001 - - $ 93,869 $ 64,780 Asset Quality Ratios Non-accrual loans to loans 3.41% - - 2.38% 0.33% Non-performing loans to loans 4.80% - - 3.21% 0.96% Reserve for loan losses to loans 2.15% - - 1.75% 1.24% Reserve for loan losses to non-accrual loans 63% - - 73% 379% Reserve for loan losses to non-performing loans 45% - - 55% 129% ======== ======== ======== ------------------------------------------------- % of (Dollar amounts in Loan % of thousands) 3/31/09 Category Total 12/31/08 3/31/08 -------- -------- --------- -------- -------- Charge-off Data Net loans charged-off: Commercial and industrial $ 12,093 0.80% 46.0% $ 5,601 $ 3,188 Office, retail, and industrial 878 0.07% 3.3% 699 - Residential land and development 10,719 2.30% 40.8% 9,227 559 Multifamily 43 0.02% 0.2% 164 842 Other commercial real estate 69 0.01% 0.3% 397 673 Consumer 2,476 0.34% 9.4% 2,239 818 -------- ======== --------- -------- -------- Total net loans charged-off $ 26,278 1.98% 100.0% $ 18,327 $ 6,080 ======== ======== ========= ======== ======== Net loan charge-offs to average loans (annualized): Quarter-to-date 1.98% - - 1.38% 0.49% Year-to-date 1.98% - - 0.74% 0.49% First Midwest Bancorp, Inc. Press Release Dated April 22, 2009 Securities Available-For-Sale Unaudited Collateralized Other U.S. Mortgage Mortgage State and Treasury Obligations Backed Municipal ------------ ----------- ----------- ----------- As of March 31, 2009 Amortized cost $ 122 $ 598,367 $ 344,503 $ 861,547 Gross unrealized gains (losses): Gross unrealized gains - 14,094 11,575 9,136 Gross unrealized losses - (3,120) (24) (16,134) ------------ ----------- ----------- ----------- Net unrealized gains (losses) - 10,974 11,551 (6,998) ------------ ----------- ----------- ----------- Fair value $ 122 $ 609,341 $ 356,054 $ 854,549 ============ =========== =========== =========== As of December 31, 2008 Amortized cost $ 1,039 $ 694,285 $ 504,918 $ 907,036 Gross unrealized gains (losses): Gross unrealized gains 2 7,668 13,421 12,606 Gross unrealized losses - (3,114) (74) (12,895) ------------ ----------- ----------- ----------- Net unrealized gains (losses) 2 4,554 13,347 (289) ------------ ----------- ----------- ----------- Fair value $ 1,041 $ 698,839 $ 518,265 $ 906,747 ============ =========== =========== =========== As of March 31, 2008 Amortized cost $ 11,533 $ 471,431 $ 533,373 $ 949,107 Gross unrealized gains (losses): Gross unrealized gains 124 4,572 6,096 12,796 Gross unrealized losses - (2,548) (324) (3,164) ------------ ----------- ----------- ----------- Net unrealized gains (losses) 124 2,024 5,772 9,632 ------------ ----------- ----------- ----------- Fair value $ 11,657 $ 473,455 $ 539,145 $ 958,739 ============ =========== =========== =========== Collateralized Debt Unaudited Obligations Other Total ----------- ----------- ----------- As of March 31, 2009 Amortized cost $ 75,922 $ 56,612 $ 1,937,073 Gross unrealized gains (losses): Gross unrealized gains - 104 34,909 Gross unrealized losses (41,395) (9,390) (70,063) ----------- ----------- ----------- Net unrealized gains (losses) (41,395) (9,286) (35,154) ----------- ----------- ----------- Fair value $ 34,527 $ 47,326 $ 1,901,919 =========== =========== =========== As of December 31, 2008 Amortized cost $ 78,883 $ 51,820 $ 2,237,981 Gross unrealized gains (losses): Gross unrealized gains - 213 33,910 Gross unrealized losses (36,797) (2,825) (55,705) ----------- ----------- ----------- Net unrealized gains (losses) (36,797) (2,612) (21,795) ----------- ----------- ----------- Fair value $ 42,086 $ 49,208 $ 2,216,186 =========== =========== =========== As of March 31, 2008 Amortized cost $ 93,232 $ 45,630 $ 2,104,306 Gross unrealized gains (losses): Gross unrealized gains 348 38 23,974 Gross unrealized losses (18,624) (3,018) (27,678) ----------- ----------- ----------- Net unrealized gains (losses) (18,276) (2,980) (3,704) ----------- ----------- ----------- Fair value $ 74,956 $ 42,650 $ 2,100,602 =========== =========== ===========
Contact Information: CONTACT: Paul F. Clemens Chief Financial Officer (630) 875-7347 www.firstmidwest.com