SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES
EXCHANGE ACT OF 1934
Date
of Report (Date of earliest event reported): July 28, 2008
NBT
BANCORP INC.
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(Exact
name of registrant as specified in its
charter)
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DELAWARE
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0-14703
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16-1268674
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(State
or other jurisdiction of incorporation)
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(Commission
File Number)
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(IRS
Employer Identification No.)
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52
SOUTH BROAD STREET, NORWICH, NEW YORK 13815
(Address
of principal executive offices)
Registrant's
telephone number, including area code: (607) 337-2265
Check
the appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
o Written communication
pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
ITEM
2.02 Results of Operations and Financial Condition
On
July 28, 2008, NBT Bancorp Inc. issued a press release describing its results of
operations for the quarter and six months ending June 30, 2008 and announcing a
quarterly dividend of $0.20 per share to be paid on September 15, 2008 to
shareholders of record on September 1, 2008. That press release is furnished as
Exhibit 99.1 hereto.
ITEM
9.01 Financial Statements and Exhibits
(d)
The following is being furnished herewith:
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Exhibit
No.
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Exhibit
Description
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Press
release text of NBT Bancorp Inc. dated July 28,
2008
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SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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NBT
BANCORP INC.
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||
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(Registrant)
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||
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/s/
Michael J. Chewens
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Michael J. Chewens
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Senior
Executive Vice President,
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Chief
Financial Officer and Corporate
Secretary
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Date:
July 29, 2008
Exhibit
99.1
Page
1 of 10
FOR
IMMEDIATE RELEASE
ATTENTION:
FINANCIAL AND BUSINESS EDITORS
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Contact:
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Martin
A. Dietrich, CEO
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Michael
J. Chewens, CFO
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NBT
Bancorp Inc.
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52
South Broad Street
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Norwich,
NY 13815
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607-337-6119
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NBT
BANCORP INC. ANNOUNCES SECOND QUARTER EARNINGS OF $0.45 PER SHARE, UP 25% FROM
THE SECOND QUARTER OF 2007; DECLARES CASH DIVIDEND
NORWICH,
NY (July 28, 2008) – NBT Bancorp Inc. (NBT) (NASDAQ: NBTB) reported today that
net income per diluted share for the three months ended June 30, 2008 was $0.45
per share, up $0.09, or 25.0%, from $0.36 per share for the three months ended
June 30, 2007. Return on average assets and return on average equity
were 1.12% and 14.49%, respectively, for the three months ended June 30, 2008,
compared with 0.95% and 11.90%, respectively, for the three months ended June
30, 2007. Net income for the three months ended June 30, 2008 was
$14.7 million, up $2.6 million, or 21.5%, from the three months ended June 30,
2007. The increase in net income for the three months ended June 30,
2008 compared with the three months ended June 30, 2007 was primarily the result
of an increase in net interest income, an increase in noninterest income, and a
decrease in the provision for loan and lease losses, partially offset by an
increase in noninterest expense.
Net
income per diluted share for the six months ended June 30, 2008 was $0.88 per
share, up $0.11, or 14.3%, from $0.77 per share for the six months ended June
30, 2007. Return on average assets and return on average equity were
1.10% and 14.09%, respectively, for the six months ended June 30, 2008, compared
with 1.04% and 12.98%, respectively, for the six months ended June 30,
2007. Net income for the six months ended June 30, 2008 was $28.4
million, up $2.2 million, or 8.3%, from the six months ended June 30,
2007. The increase in net income for the six months ended June 30,
2008 compared with the six months ended June 30, 2007 was primarily the result
of increases in net interest income and noninterest income, partially offset by
an increase in noninterest expense.
NBT
President and CEO Martin A. Dietrich said: “We are very pleased with our
earnings through the first six months of 2008. Even though the
economy is creating unique challenges for the banking industry, we were able to
post record earnings per share through the first half of this
year. We continue to see growth in noninterest income, which was up
17.3% for the second quarter of 2008, compared with the second quarter of 2007,
primarily due to our continued focus on fee initiatives and other areas of
noninterest income. Our net interest margin continues to climb
despite the difficult rate environment. Our net interest margin was
3.94% for the second quarter of 2008, up from 3.84% for the first quarter of
2008 and up from 3.63% for the second quarter of 2007. This increase,
coupled with the continued growth in our earning assets, has resulted in a 4.4%
increase in net interest income over the first quarter of 2008 and in an 11.2%
increase over the second quarter of 2007. In addition, we maintain
capital levels in excess of regulatory standards for “well-capitalized”
institutions. As of June 30, 2008, NBT’s ratio of core capital to
tangible assets stands at 7.23%, while the applicable regulatory standard to be
determined as “well-capitalized” is 5%. We have also seen improvement
in our asset quality. Our delinquency ratio improved to 0.68% for the
period ending June 30, 2008, compared with 0.85% for the period ending June 30,
2007. Solid operating results from all areas of the bank have
contributed to our strong first half performance.”
Loan
and Lease Quality and Provision for Loan and Lease Losses
Nonperforming
loans at June 30, 2008 were $22.8 million or 0.63% of total loans and leases
compared with $30.4 million or 0.87% at March 31, 2008, and $34.4 million or
1.00% at June 30, 2007. The decrease in nonperforming loans at June
30, 2008 was primarily the result of $7.8 million in net charge-offs during the
second quarter related primarily to one large commercial loan, which had been
previously identified and reserved for in 2007. The allowance for
loan and lease losses totaled $54.5 million at June 30, 2008, as compared with
$56.5 million at March 31, 2008, and $57.1 million at June 30,
2007.
The
Company recorded a provision for loan and lease losses of $5.8 million during
the second quarter of 2008 compared with $6.5 million and $9.8 million for the
three months ending March 31, 2008 and June 30, 2007,
respectively. Net charge-offs totaled $7.8 million for the three
month period ending June 30, 2008, up from $4.2 million for the three months
ending March 31, 2008, and up from $3.3 million for the three months ended June
30, 2007. The decrease in the provision for loan and lease losses for
the three months ended June 30, 2008 was due primarily to improvement in
nonperforming and classified loans. The increase in net charge-offs
for the three months ended June 30, 2008 was due primarily to a charge-off
related to one large commercial loan, which had been previously identified and
reserved for in 2007. Net charge-offs to average loans and leases for
the three months ended June 30, 2008 were 0.88%, compared with 0.48% for the
three months ended March 31, 2008 and 0.38% for the three months ended June 30,
2007. The Company’s allowance for loan and lease losses was 1.51% of
loans and leases at June 30, 2008, compared with 1.61% at March 31, 2008 and
1.66% at June 30, 2007.
The
Company recorded a provision for loan and lease losses of $12.3 million during
the six months ended June 30, 2008 as compared with $11.9 million for the six
months ended June 30, 2007. Net charge-offs totaled $12.0 million for
the six months ended June 30, 2008, up from $5.4 million for the same period a
year ago. The increase in net charge-offs for the six months ended
June 30, 2008 was due primarily to additional charge-offs in the first and
second quarters of 2008 related to one large commercial loan, which had been
previously identified and reserved for in 2007. Net charge-offs to
average loans and leases for the six months ended June 30, 2008 were 0.68%,
compared with 0.32% for the six months ended June 30, 2007.
Net
Interest Income
Net
interest income was up 11.2% to $46.0 million for the three months ended June
30, 2008 compared with $41.4 million for the three months ended June 30, 2007.
The Company’s fully taxable equivalent (FTE) net interest margin increased from
3.63% for the three months ended June 30, 2007 to 3.94% for the three months
ended June 30, 2008. In addition, the Company experienced a 2.7%
growth in average earning assets for the three months ending June 30, 2008 as
compared to the three months ending June 30, 2007, due primarily to an increase
in average loans and leases. Although the yield on interest earning
assets decreased 44 basis points, the yield on interest bearing liabilities
declined 88 basis points, which contributed to the increase in the net interest
margin for the three months ended June 30, 2008 compared to the same period for
2007. The yield on money market deposit accounts declined from 3.44%
for the three months ended June 30, 2007 to 1.65% for the three months ended
June 30, 2008, while the yield on time deposits decreased 85 basis points for
the same period. The yield on short term borrowings declined 255
basis points for the three months ended June 30, 2008 as compared to the three
months ended June 30, 2007 as a result of the 325 basis points drop in the Fed
Funds Target Rate from 5.25% at June 30, 2007 to 2.00% at June 30,
2008.
Net
interest income was up 9.9% to $90.1 million for the six months ended June 30,
2008 compared with $82.0 million for the six months ended June 30, 2007. The
Company’s FTE net interest margin increased from 3.63% for the six months ended
June 30, 2007 to 3.89% for the six months ended June 30, 2008. In
addition, the Company experienced a 2.2% growth in average earning assets for
the six months ending June 30, 2008 as compared to the six months ending June
30, 2007 due primarily to an increase in average loans and
leases. Although the yield on interest earning assets decreased 34
basis points, the yield on interest bearing liabilities declined 69 basis
points, which contributed to the increase in the net interest margin from the
six months ended June 30, 2007. The yield on money market deposit
accounts declined from 3.44% for the six months ended June 30, 2007 to 2.01% for
the six months ended June 30, 2008, while the yield on time deposits decreased
58 basis points for the same period. The yield on short term
borrowings declined 205 basis points for the six months ended June 30, 2008 as
compared to the six months ended June 30, 2007 as a result of the 325 basis
points drop in the Fed Funds Target Rate from 5.25% at June 30, 2007 to 2.00% at
June 30, 2008.
Noninterest
Income
Noninterest
income for the three months ended June 30, 2008 was $16.4 million, up $2.4
million or 17.3% from $14.0 million for the same period in 2007. The
increase in noninterest income was due primarily to an increase in fees from
service charges on deposit accounts and ATM and debit cards, which collectively
increased $2.2 million as the Company continued to focus on enhancing fee income
through various initiatives. In addition, trust administration income
increased $0.3 million for the three month period ended June 30, 2008, compared
with the same period in 2007. This increase stems primarily from an
increase in customer accounts resulting from successful business
development. Broker/dealer and insurance revenue increased
approximately $0.3 million for the three month period ended June 30, 2008 as we
expanded our sales force and increased the number of accounts being
serviced. Other noninterest income decreased $0.4 million for the
three month period ended June 30, 2008, compared with the same period in
2007. Net securities gains for the three month periods ended
June 30, 2008 and 2007 were nominal and had no significant effect on noninterest
income.
Noninterest
income for the six months ended June 30, 2008 was $32.5 million, up $5.8 million
or 21.9% from $26.7 million for the same period in 2007. The increase
in noninterest income was due primarily to an increase in fees from service
charges on deposit accounts and ATM and debit cards, which collectively
increased $4.4 million as the Company focused on enhancing fee income through
various initiatives. In addition, trust administration income
increased $0.6 million for the six month period ended June 30, 2008, compared
with the same period in 2007. This increase stems primarily from an
increase in customer accounts resulting from successful business
development. Broker/dealer and insurance revenue increased
approximately $0.3 million for the six month period ended June 30, 2008 as we
expanded our sales force and increased the number of accounts being
serviced. Net securities gains for the six month periods ended
June 30, 2008 and 2007 were nominal and had no significant effect on noninterest
income.
Noninterest
Expense and Income Tax Expense
Noninterest
expense for the three months ended June 30, 2008 was $35.4 million, up from
$28.0 million for the same period in 2007. Office expenses, such as supplies and
postage, occupancy, equipment and data processing and communications charges
were $9.7 million for the three months ended June 30, 2008, up $1.1 million, or
13.2%, from $8.6 million for the three months ended June 30,
2007. This increase was due primarily to an increase in expenses
related to the five new branches the Company has opened within the past eight
months. Salaries and employee benefits increased $3.9 million, or
29.8%, for the three months ended June 30, 2008 compared with the same period in
2007. This increase was due primarily to increases in full time
employees during 2008 and reduced levels of incentive compensation in
2007. Professional fees and outside services increased $0.6 million
for the three month period ended June 30, 2008, compared with the same period in
2007, due primarily to fees and costs related to the aforementioned noninterest
income initiatives. Other operating expenses were $5.2 million for
the three months ended June 30, 2008, up $1.4 million or 34.6%, from $3.8
million for the three months ended June 30, 2008. This increase was
primarily due to increases in advertising expenses. Income tax
expense for the three month period ended June 30, 2008 was $6.5 million, up from
$5.5 million for the same period in 2007. The effective rates were
30.9% and 31.3% for the three month periods ended June 30, 2008 and 2007,
respectively.
Noninterest
expense for the six months ended June 30, 2008 was $69.5 million, up from $58.9
million for the same period in 2007. Office expenses, such as supplies and
postage, occupancy, equipment and data processing and communications charges
were $19.7 million for the six months ended June 30, 2008, up $1.8 million, or
10.1%, from $17.9 million for the six months ended June 30,
2007. This increase was due primarily to an increase in expenses
related to the aforementioned branch openings. Salaries and employee
benefits increased $4.7 million, or 16.2%, for the six months ended June 30,
2008 compared with the same period in 2007. This increase was due
primarily to increases in full time employees during 2008 and reduced levels of
incentive compensation in 2007. Professional fees and outside
services increased $2.0 million for the six month period ended June 30, 2008,
compared with the same period in 2007, due primarily to fees and costs related
to the aforementioned noninterest income initiatives. Other operating
expenses were $8.4 million for the six months ended June 30, 2008, up $1.4
million or 20.0%, from $7.0 million for the six months ended June 30,
2008. This increase was primarily due to increases in advertising
expenses. Income tax expense for the six month period ended June 30,
2008 was $12.5 million, up from $11.7 million for the same period in
2007. The effective rates were 30.5% and 30.9% for the six month
periods ended June 30, 2008 and 2007, respectively.
Balance
Sheet
Total
assets were $5.3 billion at June 30, 2008, up $107.7 million or 2.1% from $5.2
billion at December 31, 2007, and up $187.9 million or 3.7% from $5.1 billion at
June 30, 2007. Loans and leases were $3.6 billion at June 30, 2008,
up $147.0 million or 4.3% from $3.5 billion at December 31, 2007, and up $170.6
million or 5.0% from $3.4 billion at June 30, 2007. The increase in loans and
leases at June 30, 2008 as compared to December 31, 2007 and June 30, 2007 was
due in large part to an increase in consumer loans of approximately $113.6
million and $150.4 million, respectively. Total deposits were $3.9
billion at June 30, 2008, up $67.0 million or 1.7% from December 31, 2007, and
down $20.1 million or 0.5% from June 30, 2007. The increase from
December 31, 2007 was due in large part to a $33.6 million, or 5.0%, increase in
demand deposits and a $29.4 million, or 1.8%, increase in savings, NOW, and
money market accounts. Stockholders’ equity was $403.9 million,
representing a total equity to total assets ratio of 7.61% at June 30, 2008,
compared with $397.3 million or a total equity to total assets ratio of 7.64% at
December 31, 2007, and $390.9 million or a total equity to total assets ratio of
7.63% at June 30, 2007.
Stock
Repurchase Program
Under
previously disclosed stock repurchase plans, the Company purchased
272,840 shares of its common stock during the six month period ended June
30, 2008, for a total of $5.9 million at an average price of $21.77 per
share. At June 30, 2008, there were 1,203,040 shares available for
repurchase under previously announced plans.
Dividend
Declared
The NBT
Board of Directors declared a third quarter cash dividend of $0.20 per share at
a meeting held today. The dividend will be paid on September 15, 2008, to
shareholders of record as of September 1, 2008.
Corporate
Overview
NBT is a
financial holding company headquartered in Norwich, NY, with total assets of
$5.3 billion at June 30, 2008. The company primarily operates through NBT Bank,
N.A., a full-service community bank with two divisions, and through two
financial services companies. NBT Bank, N.A. has 124 locations,
including 85 NBT Bank offices in upstate New York and 39 Pennstar Bank offices
in northeastern Pennsylvania. EPIC Advisors, Inc., based in Rochester, NY, is a
full-service 401(k) plan recordkeeping firm. Hathaway Insurance Agency, Inc.,
based in Gloversville, NY, is a full-service insurance agency. As
filed on Form 8-K on July 9, 2008, NBT Bancorp Inc. signed a definitive
agreement to acquire Mang Insurance Agency on July 3, 2008 and the acquisition
is expected to close in the third quarter of 2008. More information
about NBT and its divisions can be found on the Internet at: www.nbtbancorp.com,
www.nbtbank.com,
www.pennstarbank.com,
www.epic1st.com and www.hathawayagency.com.
Forward-Looking
Statements
This news
release contains forward-looking statements. These forward-looking statements
involve risks and uncertainties and are based on the beliefs and assumptions of
the management of NBT Bancorp and its subsidiaries and on the information
available to management at the time that these statements were made. There are a
number of factors, many of which are beyond NBT’s control, that could cause
actual conditions, events or results to differ significantly from those
described in the forward-looking statements. Factors that may cause actual
results to differ materially from those contemplated by such forward-looking
statements include, among others, the following possibilities: (1) competitive
pressures among depository and other financial institutions may increase
significantly; (2) revenues may be lower than expected; (3) changes in the
interest rate environment may reduce interest margins; (4) general economic
conditions, either nationally or regionally, may be less favorable than
expected, resulting in, among other things, a deterioration in credit quality
and/or a reduced demand for credit; (5) legislative or regulatory changes,
including changes in accounting standards and tax laws, may adversely affect the
businesses in which NBT is engaged; (6) competitors may have greater financial
resources and develop products that enable such competitors to compete more
successfully than NBT; and (7) adverse changes may occur in the securities
markets or with respect to inflation. Forward-looking statements speak only as
of the date they are made. Except as required by law, NBT does not undertake to
update forward-looking statements to reflect subsequent circumstances or
events.
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NBT
Bancorp Inc. and Subsidiaries
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||||||||||||||||
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SELECTED
FINANCIAL HIGHLIGHTS
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||||||||||||||||
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(unaudited)
|
||||||||||||||||
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Net
|
Percent
|
|||||||||||||||
|
2008
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2007
|
Change
|
Change
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|||||||||||||
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(dollars
in thousands, except per share data)
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||||||||||||||||
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Three
Months Ended June 30,
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||||||||||||||||
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Net
Income
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$ | 14,657 | $ | 12,064 | $ | 2,593 | 21 | % | ||||||||
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Diluted
Earnings Per Share
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$ | 0.45 | $ | 0.36 | $ | 0.09 | 25 | % | ||||||||
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Weighted
Average Diluted
|
||||||||||||||||
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Common
Shares Outstanding
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32,241,642 | 33,936,096 | -1,694,454 | -5 | % | |||||||||||
|
Return
on Average Assets (1)
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1.12 | % | 0.95 | % | 0.17 | % | 18 | % | ||||||||
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Return
on Average Equity (1)
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14.49 | % | 11.90 | % | 2.59 | % | 22 | % | ||||||||
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Net
Interest Margin (2)
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3.94 | % | 3.63 | % | 0.31 | % | 9 | % | ||||||||
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Six
Months Ended June 30,
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||||||||||||||||
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Net
Income
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$ | 28,373 | $ | 26,196 | $ | 2,177 | 8 | % | ||||||||
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Diluted
Earnings Per Share
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$ | 0.88 | $ | 0.77 | $ | 0.11 | 14 | % | ||||||||
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Weighted
Average Diluted
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||||||||||||||||
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Common
Shares Outstanding
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32,246,644 | 34,195,110 | -1,948,466 | -6 | % | |||||||||||
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Return
on Average Assets (1)
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1.10 | % | 1.04 | % | 0.06 | % | 6 | % | ||||||||
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Return
on Average Equity (1)
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14.09 | % | 12.98 | % | 1.11 | % | 9 | % | ||||||||
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Net
Interest Margin (2)
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3.89 | % | 3.63 | % | 0.26 | % | 7 | % | ||||||||
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Asset
Quality
|
June
30,
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December
31,
|
June
30,
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|||||||||||||
|
2008
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2007
|
2007
|
||||||||||||||
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Nonaccrual
Loans
|
$ | 22,039 | $ | 29,697 | $ | 33,730 | ||||||||||
|
90
Days Past Due and Still Accruing
|
$ | 717 | $ | 882 | $ | 689 | ||||||||||
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Total
Nonperforming Loans
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$ | 22,756 | $ | 30,579 | $ | 34,419 | ||||||||||
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Other
Real Estate Owned
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$ | 1,140 | $ | 560 | $ | 981 | ||||||||||
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Total
Nonperforming Assets
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$ | 23,896 | $ | 31,139 | $ | 35,400 | ||||||||||
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Past
Due Loans
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$ | 24,484 | $ | 25,914 | $ | 29,332 | ||||||||||
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Allowance
for Loan and Lease Losses
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$ | 54,510 | $ | 54,183 | $ | 57,058 | ||||||||||
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Year-to-Date
(YTD) Net Charge-Offs
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$ | 11,954 | $ | 26,498 | $ | 5,395 | ||||||||||
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Allowance
for Loan and Lease Losses to Total Loans and Leases
|
1.51 | % | 1.57 | % | 1.66 | % | ||||||||||
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Total
Nonperforming Loans to Total Loans and Leases
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0.63 | % | 0.88 | % | 1.00 | % | ||||||||||
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Total
Nonperforming Assets to Total Assets
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0.45 | % | 0.60 | % | 0.69 | % | ||||||||||
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Past
Due Loans to Total Loans and Leases
|
0.68 | % | 0.75 | % | 0.85 | % | ||||||||||
|
Allowance
for Loan and Lease Losses to Total Nonperforming Loans
|
239.54 | % | 177.19 | % | 165.77 | % | ||||||||||
|
Net
Charge-Offs to YTD Average Loans and Leases
|
0.68 | % | 0.77 | % | 0.32 | % | ||||||||||
|
Capital
|
||||||||||||||||
|
Equity
to Assets
|
7.61 | % | 7.64 | % | 7.63 | % | ||||||||||
|
Book
Value Per Share
|
$ | 12.56 | $ | 12.29 | $ | 11.72 | ||||||||||
|
Tangible
Book Value Per Share
|
$ | 9.05 | $ | 8.78 | $ | 8.29 | ||||||||||
|
Tier
1 Leverage Ratio
|
7.23 | % | 7.14 | % | 7.37 | % | ||||||||||
|
Tier
1 Capital Ratio
|
9.67 | % | 9.85 | % | 10.21 | % | ||||||||||
|
Total
Risk-Based Capital Ratio
|
10.92 | % | 11.10 | % | 11.46 | % | ||||||||||
|
Quarterly
Common Stock Price
|
2008
|
2007
|
2006
|
|||||||||||||||||||||
|
Quarter
End
|
High
|
Low
|
High
|
Low
|
High
|
Low
|
||||||||||||||||||
|
March
31
|
$ | 23.65 | $ | 17.95 | $ | 25.81 | $ | 21.73 | $ | 23.90 | $ | 21.02 | ||||||||||||
|
June
30
|
$ | 25.00 | $ | 20.33 | 23.45 | 21.80 | 23.24 | 21.03 | ||||||||||||||||
|
September
30
|
23.80 | 17.10 | 24.57 | 21.44 | ||||||||||||||||||||
|
December
31
|
25.00 | 20.58 | 26.47 | 22.36 | ||||||||||||||||||||
(1) Annualized
(2) Calculated
on a FTE basis
NBT
Bancorp Inc. and Subsidiaries
SELECTED
FINANCIAL HIGHLIGHTS
(unaudited)
|
2008
|
2007
|
Net
Change
|
Percent
Change
|
|||||||||||||
|
(dollars
in thousands, except per share data)
|
||||||||||||||||
|
Balance
Sheet as of June 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,602,895 | $ | 3,432,300 | $ | 170,595 | 5 | % | ||||||||
|
Earning
Assets
|
$ | 4,898,448 | $ | 4,756,527 | $ | 141,921 | 3 | % | ||||||||
|
Total
Assets
|
$ | 5,309,500 | $ | 5,121,634 | $ | 187,866 | 4 | % | ||||||||
|
Deposits
|
$ | 3,939,113 | $ | 3,959,166 | $ | (20,053 | ) | -1 | % | |||||||
|
Stockholders’
Equity
|
$ | 403,872 | $ | 390,934 | $ | 12,938 | 3 | % | ||||||||
|
Average
Balances
|
||||||||||||||||
|
Three
Months Ended June 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,561,632 | $ | 3,423,130 | $ | 138,502 | 4 | % | ||||||||
|
Securities
Available For Sale (excluding unrealized gains or losses)
|
$ | 1,101,362 | $ | 1,128,973 | $ | (27,611 | ) | -2 | % | |||||||
|
Securities
Held To Maturity
|
$ | 157,822 | $ | 148,467 | $ | 9,355 | 6 | % | ||||||||
|
Regulatory
Equity Investment
|
$ | 41,274 | $ | 32,576 | $ | 8,698 | 27 | % | ||||||||
|
Short-Term
Interest Bearing Accounts
|
$ | 7,100 | $ | 8,618 | $ | (1,518 | ) | -18 | % | |||||||
|
Total
Earning Assets
|
$ | 4,869,190 | $ | 4,741,764 | $ | 127,426 | 3 | % | ||||||||
|
Total
Assets
|
$ | 5,241,686 | $ | 5,098,649 | $ | 143,037 | 3 | % | ||||||||
|
Interest
Bearing Deposits
|
$ | 3,196,393 | $ | 3,307,241 | $ | (110,848 | ) | -3 | % | |||||||
|
Non-Interest
Bearing Deposits
|
$ | 668,299 | $ | 627,172 | $ | 41,127 | 7 | % | ||||||||
|
Short-Term
Borrowings
|
$ | 257,376 | $ | 250,112 | $ | 7,264 | 3 | % | ||||||||
|
Long-Term
Borrowings
|
$ | 643,758 | $ | 449,464 | $ | 194,294 | 43 | % | ||||||||
|
Total
Interest Bearing Liabilities
|
$ | 4,097,527 | $ | 4,006,817 | $ | 90,710 | 2 | % | ||||||||
|
Stockholders’
Equity
|
$ | 406,709 | $ | 406,741 | $ | (32 | ) | 0 | % | |||||||
|
Average
Balances
|
||||||||||||||||
|
Six
Months Ended June 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,513,996 | $ | 3,410,928 | $ | 103,068 | 3 | % | ||||||||
|
Securities
Available For Sale (excluding unrealized gains or losses)
|
$ | 1,110,809 | $ | 1,126,209 | $ | (15,400 | ) | -1 | % | |||||||
|
Securities
Held To Maturity
|
$ | 155,341 | $ | 144,683 | $ | 10,658 | 7 | % | ||||||||
|
Regulatory
Equity Investment
|
$ | 39,391 | $ | 33,684 | $ | 5,707 | 17 | % | ||||||||
|
Short-Term
Interest Bearing Accounts
|
$ | 7,750 | $ | 8,934 | $ | (1,184 | ) | -13 | % | |||||||
|
Total
Earning Assets
|
$ | 4,827,287 | $ | 4,724,438 | $ | 102,849 | 2 | % | ||||||||
|
Total
Assets
|
$ | 5,203,015 | $ | 5,083,653 | $ | 119,362 | 2 | % | ||||||||
|
Interest
Bearing Deposits
|
$ | 3,214,697 | $ | 3,276,368 | $ | (61,671 | ) | -2 | % | |||||||
|
Non-Interest
Bearing Deposits
|
$ | 663,858 | $ | 622,083 | $ | 41,775 | 7 | % | ||||||||
|
Short-Term
Borrowings
|
$ | 280,476 | $ | 257,687 | $ | 22,789 | 9 | % | ||||||||
|
Long-Term
Borrowings
|
$ | 572,026 | $ | 465,655 | $ | 106,371 | 23 | % | ||||||||
|
Total
Interest Bearing Liabilities
|
$ | 4,067,199 | $ | 3,999,710 | $ | 67,489 | 2 | % | ||||||||
|
Stockholders’
Equity
|
$ | 404,937 | $ | 407,128 | $ | (2,191 | ) | -1 | % | |||||||
|
NBT
Bancorp Inc. and Subsidiaries
|
June 30,
|
December 31,
|
June 30,
|
|||||||||
|
Consolidated
Balance Sheets (unaudited)
|
2008
|
2007
|
2007
|
|||||||||
|
(in
thousands)
|
||||||||||||
|
ASSETS
|
||||||||||||
|
Cash
and due from banks
|
$ | 145,635 | $ | 155,495 | $ | 134,058 | ||||||
|
Short
term interest bearing accounts
|
1,782 | 7,451 | 7,252 | |||||||||
|
Securities
available for sale, at fair value
|
1,104,491 | 1,132,230 | 1,109,543 | |||||||||
|
Securities
held to maturity (fair value of $148,952, $149,519 and $146,944 at June
30, 2008, December 31, 2007 and June 30, 2007,
respectively)
|
148,656 | 149,111 | 147,537 | |||||||||
|
Federal
Reserve and Federal Home Loan Bank stock
|
41,323 | 38,102 | 33,061 | |||||||||
|
Loans
and leases
|
3,602,895 | 3,455,851 | 3,432,300 | |||||||||
|
Less
allowance for loan and lease losses
|
54,510 | 54,183 | 57,058 | |||||||||
|
Net
loans and leases
|
3,548,385 | 3,401,668 | 3,375,242 | |||||||||
|
Premises
and equipment, net
|
64,871 | 64,042 | 65,286 | |||||||||
|
Goodwill
|
103,398 | 103,398 | 103,412 | |||||||||
|
Intangible
assets, net
|
9,404 | 10,173 | 10,998 | |||||||||
|
Bank
owned life insurance
|
44,546 | 43,614 | 42,667 | |||||||||
|
Other
assets
|
97,009 | 96,492 | 92,578 | |||||||||
|
TOTAL
ASSETS
|
$ | 5,309,500 | $ | 5,201,776 | $ | 5,121,634 | ||||||
|
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
||||||||||||
|
Deposits:
|
||||||||||||
|
Demand
(noninterest bearing)
|
$ | 700,279 | $ | 666,698 | $ | 681,732 | ||||||
|
Savings,
NOW, and money market
|
1,643,702 | 1,614,289 | 1,606,473 | |||||||||
|
Time
|
1,595,132 | 1,591,106 | 1,670,961 | |||||||||
|
Total
deposits
|
3,939,113 | 3,872,093 | 3,959,166 | |||||||||
|
Short-term
borrowings
|
205,624 | 368,467 | 290,387 | |||||||||
|
Long-term
debt
|
619,720 | 424,887 | 352,151 | |||||||||
|
Trust
preferred debentures
|
75,422 | 75,422 | 75,422 | |||||||||
|
Other
liabilities
|
65,749 | 63,607 | 53,574 | |||||||||
|
Total
liabilities
|
4,905,628 | 4,804,476 | 4,730,700 | |||||||||
|
Total
stockholders' equity
|
403,872 | 397,300 | 390,934 | |||||||||
|
TOTAL
LIABILITIES AND STOCKHOLDERS' EQUITY
|
$ | 5,309,500 | $ | 5,201,776 | $ | 5,121,634 | ||||||
|
Three
months ended
|
Six
months ended
|
|||||||||||||||
|
NBT
Bancorp Inc. and Subsidiaries
|
June 30,
|
June 30,
|
||||||||||||||
|
Consolidated
Statements of Income (unaudited)
|
2008
|
2007
|
2008
|
2007
|
||||||||||||
|
(in
thousands, except per share data)
|
||||||||||||||||
|
Interest,
fee and dividend income:
|
||||||||||||||||
|
Loans
and leases
|
$ | 57,220 | $ | 60,689 | $ | 115,837 | $ | 120,497 | ||||||||
|
Securities
available for sale
|
13,417 | 13,562 | 27,163 | 27,029 | ||||||||||||
|
Securities
held to maturity
|
1,478 | 1,525 | 2,992 | 2,969 | ||||||||||||
|
Other
|
739 | 719 | 1,514 | 1,459 | ||||||||||||
|
Total
interest, fee and dividend income
|
72,854 | 76,495 | 147,506 | 151,954 | ||||||||||||
|
Interest
expense:
|
||||||||||||||||
|
Deposits
|
18,712 | 26,950 | 41,410 | 52,934 | ||||||||||||
|
Short-term
borrowings
|
1,362 | 2,918 | 3,702 | 6,010 | ||||||||||||
|
Long-term
debt
|
5,629 | 3,997 | 9,931 | 8,483 | ||||||||||||
|
Trust
preferred debentures
|
1,146 | 1,272 | 2,393 | 2,540 | ||||||||||||
|
Total
interest expense
|
26,849 | 35,137 | 57,436 | 69,967 | ||||||||||||
|
Net
interest income
|
46,005 | 41,358 | 90,070 | 81,987 | ||||||||||||
|
Provision
for loan and lease losses
|
5,803 | 9,770 | 12,281 | 11,866 | ||||||||||||
|
Net
interest income after provision for loan and lease losses
|
40,202 | 31,588 | 77,789 | 70,121 | ||||||||||||
|
Noninterest
income:
|
||||||||||||||||
|
Trust
|
2,099 | 1,792 | 3,873 | 3,229 | ||||||||||||
|
Service
charges on deposit accounts
|
6,938 | 4,936 | 13,463 | 9,405 | ||||||||||||
|
ATM
and debit card fees
|
2,225 | 2,041 | 4,322 | 3,937 | ||||||||||||
|
Broker/dealer
and insurance revenue
|
1,366 | 1,093 | 2,473 | 2,176 | ||||||||||||
|
Net
securities gains (losses)
|
18 | 21 | 33 | 16 | ||||||||||||
|
Bank
owned life insurance income
|
480 | 450 | 932 | 884 | ||||||||||||
|
Retirement
plan administration fees
|
1,671 | 1,601 | 3,379 | 3,193 | ||||||||||||
|
Other
|
1,622 | 2,058 | 4,039 | 3,842 | ||||||||||||
|
Total
noninterest income
|
16,419 | 13,992 | 32,514 | 26,682 | ||||||||||||
|
Noninterest
expense:
|
||||||||||||||||
|
Salaries
and employee benefits
|
16,906 | 13,022 | 33,676 | 28,986 | ||||||||||||
|
Office
supplies and postage
|
1,331 | 1,334 | 2,670 | 2,630 | ||||||||||||
|
Occupancy
|
3,427 | 2,585 | 7,037 | 5,754 | ||||||||||||
|
Equipment
|
1,862 | 1,837 | 3,687 | 3,770 | ||||||||||||
|
Professional
fees and outside services
|
2,521 | 1,926 | 5,620 | 3,584 | ||||||||||||
|
Data
processing and communications
|
3,115 | 2,845 | 6,285 | 5,722 | ||||||||||||
|
Amortization
of intangible assets
|
378 | 410 | 769 | 819 | ||||||||||||
|
Loan
collection and other real estate owned
|
730 | 228 | 1,297 | 605 | ||||||||||||
|
Other
operating
|
5,153 | 3,827 | 8,416 | 7,016 | ||||||||||||
|
Total
noninterest expense
|
35,423 | 28,014 | 69,457 | 58,886 | ||||||||||||
|
Income
before income taxes
|
21,198 | 17,566 | 40,846 | 37,917 | ||||||||||||
|
Income
taxes
|
6,541 | 5,502 | 12,473 | 11,721 | ||||||||||||
|
Net
income
|
$ | 14,657 | $ | 12,064 | $ | 28,373 | $ | 26,196 | ||||||||
|
Earnings
Per Share:
|
||||||||||||||||
|
Basic
|
$ | 0.46 | $ | 0.36 | $ | 0.89 | $ | 0.77 | ||||||||
|
Diluted
|
$ | 0.45 | $ | 0.36 | $ | 0.88 | $ | 0.77 | ||||||||
|
NBT
Bancorp Inc. and Subsidiaries
|
2Q
|
1Q
|
4Q
|
3Q
|
2Q
|
|||||||||||||||
|
Quarterly
Consolidated Statements of Income (unaudited)
|
2008
|
2008
|
2007
|
2007
|
2007
|
|||||||||||||||
|
(in
thousands, except per share data)
|
||||||||||||||||||||
|
Interest,
fee and dividend income:
|
||||||||||||||||||||
|
Loans
and leases
|
$ | 57,220 | $ | 58,617 | $ | 60,817 | $ | 61,183 | $ | 60,689 | ||||||||||
|
Securities
available for sale
|
13,417 | 13,746 | 13,971 | 13,847 | 13,562 | |||||||||||||||
|
Securities
held to maturity
|
1,478 | 1,514 | 1,458 | 1,471 | 1,525 | |||||||||||||||
|
Other
|
739 | 775 | 736 | 680 | 719 | |||||||||||||||
|
Total
interest, fee and dividend income
|
72,854 | 74,652 | 76,982 | 77,181 | 76,495 | |||||||||||||||
|
Interest
expense:
|
||||||||||||||||||||
|
Deposits
|
18,712 | 22,698 | 26,578 | 27,062 | 26,950 | |||||||||||||||
|
Short-term
borrowings
|
1,362 | 2,340 | 3,048 | 3,885 | 2,918 | |||||||||||||||
|
Long-term
debt
|
5,629 | 4,302 | 4,233 | 3,770 | 3,997 | |||||||||||||||
|
Trust
preferred debentures
|
1,146 | 1,247 | 1,270 | 1,277 | 1,272 | |||||||||||||||
|
Total
interest expense
|
26,849 | 30,587 | 35,129 | 35,994 | 35,137 | |||||||||||||||
|
Net
interest income
|
46,005 | 44,065 | 41,853 | 41,187 | 41,358 | |||||||||||||||
|
Provision
for loan and lease losses
|
5,803 | 6,478 | 13,440 | 4,788 | 9,770 | |||||||||||||||
|
Net
interest income after provision for loan and lease losses
|
40,202 | 37,587 | 28,413 | 36,399 | 31,588 | |||||||||||||||
|
Noninterest
income:
|
||||||||||||||||||||
|
Trust
|
2,099 | 1,774 | 1,584 | 1,701 | 1,792 | |||||||||||||||
|
Service
charges on deposit accounts
|
6,938 | 6,525 | 7,142 | 6,195 | 4,936 | |||||||||||||||
|
ATM
and debit card fees
|
2,225 | 2,097 | 2,089 | 2,159 | 2,041 | |||||||||||||||
|
Broker/dealer
and insurance fees
|
1,366 | 1,107 | 1,052 | 1,027 | 1,093 | |||||||||||||||
|
Net
securities gains (losses)
|
18 | 15 | 613 | 1,484 | 21 | |||||||||||||||
|
Bank
owned life insurance income
|
480 | 452 | 480 | 467 | 450 | |||||||||||||||
|
Retirement
plan administration fees
|
1,671 | 1,708 | 1,557 | 1,586 | 1,601 | |||||||||||||||
|
Other
|
1,622 | 2,417 | 1,973 | 1,908 | 2,058 | |||||||||||||||
|
Total
noninterest income
|
16,419 | 16,095 | 16,490 | 16,527 | 13,992 | |||||||||||||||
|
Noninterest
expense:
|
||||||||||||||||||||
|
Salaries
and employee benefits
|
16,906 | 16,770 | 14,654 | 15,876 | 13,022 | |||||||||||||||
|
Office
supplies and postage
|
1,331 | 1,339 | 1,136 | 1,354 | 1,334 | |||||||||||||||
|
Occupancy
|
3,427 | 3,610 | 2,948 | 2,928 | 2,585 | |||||||||||||||
|
Equipment
|
1,862 | 1,825 | 1,855 | 1,797 | 1,837 | |||||||||||||||
|
Professional
fees and outside services
|
2,521 | 3,099 | 3,295 | 2,256 | 1,926 | |||||||||||||||
|
Data
processing and communications
|
3,115 | 3,170 | 2,899 | 2,779 | 2,845 | |||||||||||||||
|
Amortization
of intangible assets
|
378 | 391 | 413 | 413 | 410 | |||||||||||||||
|
Loan
collection and other real estate owned
|
730 | 567 | 597 | 431 | 228 | |||||||||||||||
|
Other
operating
|
5,153 | 3,263 | 4,607 | 3,393 | 3,827 | |||||||||||||||
|
Total
noninterest expense
|
35,423 | 34,034 | 32,404 | 31,227 | 28,014 | |||||||||||||||
|
Income
before income taxes
|
21,198 | 19,648 | 12,499 | 21,699 | 17,566 | |||||||||||||||
|
Income
taxes
|
6,541 | 5,932 | 3,514 | 6,552 | 5,502 | |||||||||||||||
|
Net
income
|
$ | 14,657 | $ | 13,716 | $ | 8,985 | $ | 15,147 | $ | 12,064 | ||||||||||
|
Earnings
per share:
|
||||||||||||||||||||
|
Basic
|
$ | 0.46 | $ | 0.43 | $ | 0.28 | $ | 0.46 | $ | 0.36 | ||||||||||
|
Diluted
|
$ | 0.45 | $ | 0.43 | $ | 0.28 | $ | 0.46 | $ | 0.36 | ||||||||||