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): October 27, 2008
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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:
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o
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Written
communication pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
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o
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Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
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o
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Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
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o
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Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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ITEM
2.02 Results of Operations and Financial Condition
On
October 27, 2008, NBT Bancorp Inc. issued a press release describing its results
of operations for the quarter and nine months ending September 30, 2008 and
announcing a quarterly dividend of $0.20 per share to be paid on December 15,
2008 to shareholders of record on December 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 October 27,
2008
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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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/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:
October 28, 2008
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
NBT
Bancorp Inc.
52 South
Broad Street
Norwich,
NY 13815
607-337-6119
NBT
BANCORP INC. ANNOUNCES THIRD QUARTER EARNINGS OF $0.46 PER SHARE; DECLARES CASH
DIVIDEND
NORWICH,
NY (October 27, 2008) – NBT Bancorp Inc. (NBT) (NASDAQ: NBTB) reported today net
income per diluted share for the three months ended September 30, 2008 of $0.46
per share, which is the same per share earnings as the third quarter last
year. Similarly, net income for the three months ended September 30,
2008 was $15.1 million, the same as net income for the third quarter last
year. Return on average assets and return on average equity were
1.13% and 14.58%, respectively, for the three months ended September 30, 2008,
compared with 1.17% and 15.41%, respectively, for the three months ended
September 30, 2007.
Net
income per diluted share for the nine months ended September 30, 2008 was $1.34
per share, up $0.12, or 9.8%, from $1.22 per share for the nine months ended
September 30, 2007. Return on average assets and return on average
equity were 1.11% and 14.26%, respectively, for the nine months ended September
30, 2008, compared with 1.08% and 13.77%, respectively, for the nine months
ended September 30, 2007. Net income for the nine months ended
September 30, 2008 was $43.5 million, up $2.1 million, or 5.1%, from the nine
months ended September 30, 2007. The increase in net income for the
nine months ended September 30, 2008 compared with the nine months ended
September 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 Dietrich said: “Given the current economic conditions
and the credit crisis throughout our financial system, many challenges face the
banking industry today. Despite these challenges, we are extremely
pleased with our earnings through the first nine months of
2008. While many banks are currently distracted by major credit
problems, we have maintained focus on our diligent underwriting practices and
are proud of our disciplined credit culture. We continue to maintain
our capital above the minimum levels required to be “well capitalized” by our
regulators. Our efforts to stimulate our noninterest income growth
through various fee income initiatives and other areas of noninterest income
continue to produce outstanding results. Noninterest income is up
19.1% year to date as of September 30, 2008, as compared with the same period
last year. In addition, we continue to grow our net interest income
in this rate environment by strategically managing earning assets and interest
bearing liabilities. Our net interest margin was 3.91% for the nine
months ended September 30, 2008, up from 3.61% for the same period in
2007. We will continue to navigate through these difficult economic
times focused on positioning our company for continued future
success.”
Loan
and Lease Quality and Provision for Loan and Lease Losses
Nonperforming
loans at September 30, 2008 were $24.7 million or 0.69% of total loans and
leases compared with $30.6 million or 0.88% at December 31, 2007, and $30.7
million or 0.90% at September 30, 2007. The decrease in nonperforming
loans at September 30, 2008 from December 31, 2007 and September 30, 2007 was
primarily the result of net charge-offs during the nine month period ending
September 30, 2008 related to two large commercial loans, both of which had been
previously identified and one of the two reserved for in 2007. The
allowance for loan and lease losses totaled $55.8 million at September 30, 2008,
as compared with $54.2 million at December 31, 2007, and $54.8 million at
September 30, 2007.
Page 2 of
10
The
Company recorded a provision for loan and lease losses of $7.2 million during
the third quarter of 2008 compared with $4.8 million for the three months ending
September 30, 2007. The increase in the provision for loan and lease
losses for the three months ended September 30, 2008 compared to the three
months ended September 30, 2007 was due primarily to an additional charge off in
the third quarter of 2008 related to the aforementioned large commercial loan
which had not previously been reserved for. Net charge-offs totaled
$5.9 million for the three month period ending September 30, 2008, down from
$7.0 million for the three months ended September 30, 2007. The
decrease in net charge-offs for the three months ended September 30, 2008
compared to the three months ended September 30, 2007 was due primarily to
agricultural loan credit charge-offs in the third quarter of 2007, which did not
repeat in the third quarter of 2008. Net charge-offs to average loans
and leases for the three months ended September 30, 2008 were 0.65%, compared
with 0.82% for the three months ended September 30, 2007. The
Company’s allowance for loan and lease losses was 1.55% of loans and leases at
September 30, 2008, compared with 1.57% at December 31, 2008 and 1.60% at
September 30, 2007.
The
Company recorded a provision for loan and lease losses of $19.5 million during
the nine months ended September 30, 2008 as compared with $16.7 million for the
nine months ended September 30, 2007. Net charge-offs totaled $17.8
million for the nine months ended September 30, 2008, up from $12.4 million for
the same period a year ago. The increase in net charge-offs for the
nine months ended September 30, 2008 was due primarily to additional charge-offs
in 2008 related to two large commercial loans, which had been previously
identified and reserved for in 2007 and an additional charge-off related to one
of the aforementioned large commercial loans in the third quarter, which had not
previously been reserved for. Net charge-offs to average loans and
leases for the nine months ended September 30, 2008 were 0.67%, compared with
0.49% for the nine months ended September 30, 2007.
Net
Interest Income
Net
interest income was up 14.2% to $47.0 million for the three months ended
September 30, 2008 compared with $41.2 million for the three months ended
September 30, 2007. The Company’s fully taxable equivalent (FTE) net interest
margin increased from 3.56% for the three months ended September 30, 2007 to
3.94% for the three months ended September 30, 2008. In addition, the
Company experienced a 3.1% growth in average earning assets for the three months
ending September 30, 2008 as compared to the three months ending September 30,
2007, due primarily to an increase in average loans and
leases. Although the yield on interest earning assets decreased 47
basis points, the yield on interest bearing liabilities declined 98 basis
points, which contributed to the increase in the net interest margin for the
three months ended September 30, 2008 compared to the same period for
2007. The yield on money market deposit accounts declined from 3.38%
for the three months ended September 30, 2007 to 1.83% for the three months
ended September 30, 2008, while the yield on time deposits decreased 113 basis
points for the same period. The yield on short term borrowings
declined 282 basis points for the three months ended September 30, 2008 as
compared to the three months ended September 30, 2007 as a result of the 275
basis point drop in the Fed Funds Target Rate from 4.75% at September 30, 2007
to 2.00% at September 30, 2008.
Page 3 of
10
Net
interest income was up 11.3% to $137.1 million for the nine months ended
September 30, 2008 compared with $123.2 million for the nine months ended
September 30, 2007. The Company’s FTE net interest margin increased from 3.61%
for the nine months ended September 30, 2007 to 3.91% for the nine months ended
September 30, 2008. In addition, the Company experienced a 2.5%
growth in average earning assets for the nine months ending September 30, 2008
as compared to the nine months ending September 30, 2007 due primarily to an
increase in average loans and leases. Although the yield on interest
earning assets decreased 38 basis points, the yield on interest bearing
liabilities declined 79 basis points, which contributed to the increase in the
net interest margin from the nine months ended September 30,
2007. The yield on money market deposit accounts declined from 3.42%
for the nine months ended September 30, 2007 to 1.95% for the nine months ended
September 30, 2008, while the yield on time deposits decreased 75 basis points
for the same period. The yield on short term borrowings declined 223
basis points for the nine months ended September 30, 2008 as compared to the
nine months ended September 30, 2007 as a result of the aforementioned 275 basis
point drop in the Fed Funds Target Rate.
Noninterest
Income
Noninterest
income for the three months ended September 30, 2008 was $19.0 million, up $2.5
million or 14.7% from $16.5 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 $1.4 million as the benefits of various initiatives continued to
enhance fee income. In addition, broker/dealer and insurance revenue
increased approximately $1.3 million for the three month period ended September
30, 2008 due primarily to revenue generated by Mang Insurance Agency, LLC, which
was acquired during the third quarter of 2008. Other noninterest
income decreased $0.2 million for the three month period ended September 30,
2008, compared with the same period in 2007. Net securities gains for
the three month periods ended September 30, 2008 and 2007 were approximately
$1.5 million for both periods.
Noninterest
income for the nine months ended September 30, 2008 was $51.5 million, up $8.3
million or 19.1% from $43.2 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 $5.8 million as the benefits of various initiatives continued to
enhance fee income. In addition, trust administration income
increased $0.7 million for the nine month period ended September 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 $1.6 million for the nine month period ended September 30, 2008
primarily due to the aforementioned acquisition. Net securities gains
for the nine month periods ended September 30, 2008 and 2007 were approximately
$1.5 million for both periods.
Noninterest
Expense and Income Tax Expense
Noninterest
expense for the three months ended September 30, 2008 was $37.1 million, up from
$31.2 million for the same period in 2007. Salaries and employee
benefits increased $1.0 million, or 6.1%, for the three months ended September
30, 2008 compared with the same period in 2007. This increase was due
primarily to increases in full time equivalent employees during 2008 largely due
to new branch activity as well as the aforementioned
acquisition. Occupancy, equipment and data processing and
communications charges were $8.4 million for the three months ended September
30, 2008, up $0.9 million, or 12.2%, from $7.5 million for the three months
ended September 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 year. The Company recorded an impairment on lease
residual assets totaling $2.0 million as a result of a growth in losses incurred
from the sales of certain returned leased vehicles. Other operating
expenses were $5.3 million for the three months ended September 30, 2008, up
$1.9 million from $3.4 million for the three months ended September 30,
2007. This increase resulted primarily from the aforementioned losses
incurred from sales of certain returned lease vehicles totaling approximately
$0.9 million during the third quarter of 2008 due to reduced values of the
vehicles. In addition, Federal Deposit Insurance Corporation (“FDIC”)
insurance premiums increased approximately $0.5 million for the three month
period ending September 30, 2008 as compared to the same period in
2007. Income tax expense for the three month period ended September
30, 2008 was $6.7 million, up from $6.6 million for the same period in
2007. The effective rates were 30.7% and 30.2% for the three month
periods ended September 30, 2008 and 2007, respectively.
Page 4 of
10
Noninterest
expense for the nine months ended September 30, 2008 was $106.5 million, up from
$90.1 million for the same period in 2007. Salaries and employee
benefits increased $5.7 million, or 12.6%, for the nine months ended September
30, 2008 compared with the same period in 2007. This increase was due
primarily to increases in full time equivalent employees during 2008 largely due
to new branch activity as well as the aforementioned acquisition, and reduced
levels of incentive compensation in 2007. Occupancy, equipment and
data processing and communications charges were $25.4 million for the nine
months ended September 30, 2008, up $2.6 million, or 11.8%, from $22.8 million
for the nine months ended September 30, 2007. This increase was due
primarily to an increase in expenses related to the aforementioned branch
openings. Professional fees and outside services increased $2.0
million for the nine month period ended September 30, 2008, compared with the
same period in 2007, due primarily to fees and costs related to the
aforementioned noninterest income initiatives. Loan collection and
other real estate owned expenses were $1.8 million for the nine month period
ended September 30, 2008, up from $1.0 million for same period in
2007. The Company recorded an impairment on lease residual assets
totaling $2.0 million as a result of a growth in losses incurred from the sales
of certain returned leased vehicles. Other operating expenses were
$13.7 million for the nine months ended September 30, 2008, up $3.3 million from
$10.4 million for the nine months ended September 30, 2007. This
increase resulted primarily from the aforementioned losses incurred from sales
of certain returned lease vehicles totaling approximately $1.0 million during
the period due to reduced values of the vehicles. In addition, FDIC
insurance premiums increased approximately $0.6 million for the nine month
period ending September 30, 2008 as compared to the same period in
2007. Income tax expense for the nine month period ended
September 30, 2008 was $19.2 million, up from $18.3 million for the same period
in 2007. The effective rates were 30.6% and 30.7% for the nine month
periods ended September 30, 2008 and 2007, respectively.
Balance
Sheet
Total
assets were $5.3 billion at September 30, 2008, up $133.4 million or 2.6% from
$5.2 billion at December 31, 2007, and up $184.1 million or 3.6% from $5.2
billion at September 30, 2007. Loans and leases were $3.6 billion at
September 30, 2008, up $151.5 million or 4.4% from $3.5 billion at December 31,
2007, and up $185.1 million or 5.4% from $3.4 billion at September 30, 2007. The
increase in loans and leases at September 30, 2008 as compared to December 31,
2007 and September 30, 2007 was due in large part to an increase in consumer
loans of approximately $152.4 million and $168.4 million,
respectively. Total deposits were $4.0 billion at September 30, 2008,
up $118.7 million or 3.1% from December 31, 2007, and up $40.7 million or 1.0%
from September 30, 2007. The increase from December 31, 2007 was due
in large part to a $261.3 million, or 22.6%, increase in NOW and money market
accounts, partially offset by a $178.3 million decrease in time
deposits. The increase from September 30, 2007 was due in large part
to a $288.8 million, or 25.6%, increase in NOW and money market accounts,
partially offset by a $269.9 million decrease in time
deposits. Stockholders’ equity was $421.1 million, representing a
total equity to total assets ratio of 7.89% at September 30, 2008, compared with
$397.3 million or a total equity to total assets ratio of 7.64% at December 31,
2007, and $385.6 million or a total equity to total assets ratio of 7.49% at
September 30, 2007.
Page 5 of
10
Stock
Repurchase Program
Under
previously disclosed stock repurchase plans, the Company purchased 272,840
shares of its common stock during the nine month period ended September 30,
2008, for a total of $5.9 million at an average price of $21.77 per
share. There were no shares purchased during the three month period
ended September 30, 2008. At September 30, 2008, there were 1,203,040
shares available for repurchase under previously announced plans.
Dividend
Declared
The NBT
Board of Directors declared a fourth quarter cash dividend of $0.20 per share at
a meeting held today. The dividend will be paid on December 15, 2008, to
shareholders of record as of December 1, 2008.
Corporate
Overview
NBT is a
financial holding company headquartered in Norwich, NY, with total assets of
$5.3 billion at September 30, 2008. The company primarily operates through NBT
Bank, N.A., a full-service community bank with two divisions, and through three
financial services companies. NBT Bank, N.A. has 122 locations,
including 84 NBT Bank offices in upstate New York and 38 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. On September 1, 2008, NBT Bancorp Inc. acquired Mang
Insurance Agency, a full-service insurance agency based in Binghamton,
NY. More information about NBT and its divisions can be found on the
Internet at: www.nbtbancorp.com,
www.nbtbank.com,
www.pennstarbank.com,
www.hathawayagency.com, www.epic1st.com, and www.manginsurance.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.
Page 6 of
10
NBT
Bancorp Inc. and Subsidiaries
SELECTED
FINANCIAL HIGHLIGHTS
(unaudited)
|
2008
|
2007
|
Net
Change
|
Percent
Change
|
|||||||||||||
|
(dollars
in thousands, except per share data)
|
||||||||||||||||
|
Three
Months Ended September 30,
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||||||||||||||||
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Net
Income
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$ | 15,083 | $ | 15,147 | $ | (64 | ) | 0 | % | |||||||
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Diluted
Earnings Per Share
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$ | 0.46 | $ | 0.46 | $ | 0.00 | 0 | % | ||||||||
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Weighted
Average Diluted Common Shares Outstanding
|
32,453,307 | 32,921,286 | -467,979 | -1 | % | |||||||||||
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Return
on Average Assets (1)
|
1.13 | % | 1.17 | % | -0.04 | % | -3 | % | ||||||||
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Return
on Average Equity (1)
|
14.58 | % | 15.41 | % | -0.83 | % | -5 | % | ||||||||
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Net
Interest Margin (2)
|
3.94 | % | 3.56 | % | 0.38 | % | 11 | % | ||||||||
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Nine
Months Ended September 30,
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||||||||||||||||
|
Net
Income
|
$ | 43,456 | $ | 41,343 | $ | 2,113 | 5 | % | ||||||||
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Diluted
Earnings Per Share
|
$ | 1.34 | $ | 1.22 | $ | 0.12 | 10 | % | ||||||||
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Weighted
Average Diluted Common Shares Outstanding
|
32,315,744 | 33,765,835 | -1,450,091 | -4 | % | |||||||||||
|
Return
on Average Assets (1)
|
1.11 | % | 1.08 | % | 0.03 | % | 3 | % | ||||||||
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Return
on Average Equity (1)
|
14.26 | % | 13.77 | % | 0.49 | % | 4 | % | ||||||||
|
Net
Interest Margin (2)
|
3.91 | % | 3.61 | % | 0.30 | % | 8 | % | ||||||||
|
Asset
Quality
|
September
30,
2008
|
December
31,
2007
|
September
30,
2007
|
|||||||||||||
|
Nonaccrual
Loans
|
$ | 23,031 | $ | 29,697 | $ | 29,087 | ||||||||||
|
90
Days Past Due and Still Accruing
|
$ | 1,691 | $ | 882 | $ | 1,620 | ||||||||||
|
Total
Nonperforming Loans
|
$ | 24,722 | $ | 30,579 | $ | 30,707 | ||||||||||
|
Other
Real Estate Owned
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$ | 855 | $ | 560 | $ | 917 | ||||||||||
|
Total
Nonperforming Assets
|
$ | 25,577 | $ | 31,139 | $ | 31,624 | ||||||||||
|
Past
Due Loans
|
$ | 24,880 | $ | 25,914 | $ | 24,044 | ||||||||||
|
Allowance
for Loan and Lease Losses
|
$ | 55,803 | $ | 54,183 | $ | 54,808 | ||||||||||
|
Year-to-Date
(YTD) Net Charge-Offs
|
$ | 17,840 | $ | 26,498 | $ | 12,433 | ||||||||||
|
Allowance
for Loan and Lease Losses to Total Loans and Leases
|
1.55 | % | 1.57 | % | 1.60 | % | ||||||||||
|
Total
Nonperforming Loans to Total Loans and Leases
|
0.69 | % | 0.88 | % | 0.90 | % | ||||||||||
|
Total
Nonperforming Assets to Total Assets
|
0.48 | % | 0.60 | % | 0.61 | % | ||||||||||
|
Past
Due Loans to Total Loans and Leases
|
0.69 | % | 0.75 | % | 0.70 | % | ||||||||||
|
Allowance
for Loan and Lease Losses to Total Nonperforming Loans
|
225.72 | % | 177.19 | % | 178.49 | % | ||||||||||
|
Net
Charge-Offs to YTD Average Loans and Leases (1)
|
0.67 | % | 0.77 | % | 0.49 | % | ||||||||||
|
Capital
|
||||||||||||||||
|
Equity
to Assets
|
7.89 | % | 7.64 | % | 7.49 | % | ||||||||||
|
Book
Value Per Share
|
$ | 12.95 | $ | 12.29 | $ | 11.97 | ||||||||||
|
Tangible
Book Value Per Share
|
$ | 8.71 | $ | 8.78 | $ | 8.43 | ||||||||||
|
Tier
1 Leverage Ratio
|
7.04 | % | 7.14 | % | 7.06 | % | ||||||||||
|
Tier
1 Capital Ratio
|
9.51 | % | 9.85 | % | 9.77 | % | ||||||||||
|
Total
Risk-Based Capital Ratio
|
10.77 | % | 11.10 | % | 11.02 | % | ||||||||||
|
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
|
$ | 36.47 | $ | 19.05 | 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
Page 7 of
10
SELECTED
FINANCIAL HIGHLIGHTS
(unaudited)
|
2008
|
2007
|
Net
Change
|
Percent
Change
|
|||||||||||||
|
(dollars
in thousands)
|
||||||||||||||||
|
Balance
Sheet as of September 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,607,321 | $ | 3,422,217 | $ | 185,104 | 5 | % | ||||||||
|
Earning
Assets
|
$ | 4,899,934 | $ | 4,757,886 | $ | 142,048 | 3 | % | ||||||||
|
Total
Assets
|
$ | 5,335,158 | $ | 5,151,072 | $ | 184,086 | 4 | % | ||||||||
|
Deposits
|
$ | 3,990,794 | $ | 3,950,065 | $ | 40,729 | 1 | % | ||||||||
|
Stockholders’
Equity
|
$ | 421,128 | $ | 385,646 | $ | 35,482 | 9 | % | ||||||||
|
Average
Balances
|
||||||||||||||||
|
Three
Months Ended September 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,605,700 | $ | 3,437,798 | $ | 167,902 | 5 | % | ||||||||
|
Securities
Available For Sale
|
||||||||||||||||
|
(excluding
unrealized gains or losses)
|
$ | 1,116,089 | $ | 1,142,009 | $ | (25,920 | ) | -2 | % | |||||||
|
Securities
Held To Maturity
|
$ | 148,397 | $ | 144,713 | $ | 3,684 | 3 | % | ||||||||
|
Regulatory
Equity Investment
|
$ | 40,401 | $ | 33,637 | $ | 6,764 | 20 | % | ||||||||
|
Short-Term
Interest Bearing Accounts
|
$ | 4,077 | $ | 7,714 | $ | (3,637 | ) | -47 | % | |||||||
|
Total
Earning Assets
|
$ | 4,914,664 | $ | 4,765,871 | $ | 148,793 | 3 | % | ||||||||
|
Total
Assets
|
$ | 5,301,640 | $ | 5,122,096 | $ | 179,544 | 4 | % | ||||||||
|
Interest
Bearing Deposits
|
$ | 3,258,301 | $ | 3,267,440 | $ | (9,139 | ) | 0 | % | |||||||
|
Non-Interest
Bearing Deposits
|
$ | 706,803 | $ | 656,176 | $ | 50,627 | 8 | % | ||||||||
|
Short-Term
Borrowings
|
$ | 154,567 | $ | 322,245 | $ | (167,678 | ) | -52 | % | |||||||
|
Long-Term
Borrowings
|
$ | 701,155 | $ | 429,459 | $ | 271,696 | 63 | % | ||||||||
|
Total
Interest Bearing Liabilities
|
$ | 4,114,023 | $ | 4,019,144 | $ | 94,879 | 2 | % | ||||||||
|
Stockholders’
Equity
|
$ | 411,459 | $ | 389,863 | $ | 21,596 | 6 | % | ||||||||
|
Average
Balances
|
||||||||||||||||
|
Nine
Months Ended September 30,
|
||||||||||||||||
|
Loans
and Leases
|
$ | 3,544,787 | $ | 3,419,983 | $ | 124,804 | 4 | % | ||||||||
|
Securities
Available For Sale
|
||||||||||||||||
|
(excluding
unrealized gains or losses)
|
$ | 1,112,582 | $ | 1,131,533 | $ | (18,951 | ) | -2 | % | |||||||
|
Securities
Held To Maturity
|
$ | 153,010 | $ | 144,693 | $ | 8,317 | 6 | % | ||||||||
|
Regulatory
Equity Investment
|
$ | 39,730 | $ | 33,668 | $ | 6,062 | 18 | % | ||||||||
|
Short-Term
Interest Bearing Accounts
|
$ | 6,517 | $ | 8,523 | $ | (2,006 | ) | -24 | % | |||||||
|
Total
Earning Assets
|
$ | 4,856,626 | $ | 4,738,400 | $ | 118,226 | 2 | % | ||||||||
|
Total
Assets
|
$ | 5,236,130 | $ | 5,096,608 | $ | 139,522 | 3 | % | ||||||||
|
Interest
Bearing Deposits
|
$ | 3,229,338 | $ | 3,273,359 | $ | (44,021 | ) | -1 | % | |||||||
|
Non-Interest
Bearing Deposits
|
$ | 678,277 | $ | 633,572 | $ | 44,705 | 7 | % | ||||||||
|
Short-Term
Borrowings
|
$ | 238,200 | $ | 279,443 | $ | (41,243 | ) | -15 | % | |||||||
|
Long-Term
Borrowings
|
$ | 615,383 | $ | 453,457 | $ | 161,926 | 36 | % | ||||||||
|
Total
Interest Bearing Liabilities
|
$ | 4,082,921 | $ | 4,006,259 | $ | 76,662 | 2 | % | ||||||||
|
Stockholders’
Equity
|
$ | 407,127 | $ | 401,310 | $ | 5,817 | 1 | % | ||||||||
Page 8 of
10
|
NBT
Bancorp Inc. and Subsidiaries
Consolidated
Balance Sheets (unaudited)
|
September
30,
2008
|
December
31,
2007
|
September
30,
2007
|
|||||||||
|
(in
thousands)
|
||||||||||||
|
ASSETS
|
||||||||||||
|
Cash
and due from banks
|
$ | 141,167 | $ | 155,495 | $ | 139,453 | ||||||
|
Short
term interest bearing accounts
|
2,426 | 7,451 | 9,028 | |||||||||
|
Securities
available for sale, at fair value
|
1,101,103 | 1,132,230 | 1,137,890 | |||||||||
|
Securities
held to maturity (fair value of $144,303, $149,519 and $143,483 at
September 30, 2008, December 31, 2007 and September 30, 2007,
respectively)
|
149,952 | 149,111 | 143,447 | |||||||||
|
Federal
Reserve and Federal Home Loan Bank stock
|
39,122 | 38,102 | 33,218 | |||||||||
|
Loans
and leases
|
3,607,321 | 3,455,851 | 3,422,217 | |||||||||
|
Less
allowance for loan and lease losses
|
55,803 | 54,183 | 54,808 | |||||||||
|
Net
loans and leases
|
3,551,518 | 3,401,668 | 3,367,409 | |||||||||
|
Premises
and equipment, net
|
65,201 | 64,042 | 64,406 | |||||||||
|
Goodwill
|
113,514 | 103,398 | 103,400 | |||||||||
|
Intangible
assets, net
|
24,242 | 10,173 | 10,585 | |||||||||
|
Bank
owned life insurance
|
45,037 | 43,614 | 43,134 | |||||||||
|
Other
assets
|
101,876 | 96,492 | 99,102 | |||||||||
|
TOTAL
ASSETS
|
$ | 5,335,158 | $ | 5,201,776 | $ | 5,151,072 | ||||||
|
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
||||||||||||
|
Deposits:
|
||||||||||||
|
Demand
(noninterest bearing)
|
$ | 703,406 | $ | 666,698 | $ | 671,729 | ||||||
|
Savings,
NOW, and money market
|
1,874,608 | 1,614,289 | 1,595,622 | |||||||||
|
Time
|
1,412,780 | 1,591,106 | 1,682,714 | |||||||||
|
Total
deposits
|
3,990,794 | 3,872,093 | 3,950,065 | |||||||||
|
Short-term
borrowings
|
150,477 | 368,467 | 305,865 | |||||||||
|
Long-term
debt
|
633,462 | 424,887 | 377,119 | |||||||||
|
Trust
preferred debentures
|
75,422 | 75,422 | 75,422 | |||||||||
|
Other
liabilities
|
63,875 | 63,607 | 56,955 | |||||||||
|
Total
liabilities
|
4,914,030 | 4,804,476 | 4,765,426 | |||||||||
|
Total
stockholders' equity
|
421,128 | 397,300 | 385,646 | |||||||||
|
TOTAL
LIABILITIES AND STOCKHOLDERS' EQUITY
|
$ | 5,335,158 | $ | 5,201,776 | $ | 5,151,072 | ||||||
Page 9 of
10
|
Three
months ended
September
30,
|
Nine
months ended
September
30,
|
|||||||||||||||
|
Consolidated
Statements of Income (unaudited)
|
2008
|
2007
|
2008
|
2007
|
||||||||||||
|
(in
thousands, except per share data)
|
||||||||||||||||
|
Interest,
fee and dividend income:
|
||||||||||||||||
|
Loans
and leases
|
$ | 58,154 | $ | 61,183 | $ | 173,991 | $ | 181,680 | ||||||||
|
Securities
available for sale
|
13,451 | 13,847 | 40,614 | 40,876 | ||||||||||||
|
Securities
held to maturity
|
1,343 | 1,471 | 4,335 | 4,440 | ||||||||||||
|
Other
|
673 | 680 | 2,187 | 2,139 | ||||||||||||
|
Total
interest, fee and dividend income
|
73,621 | 77,181 | 221,127 | 229,135 | ||||||||||||
|
Interest
expense:
|
||||||||||||||||
|
Deposits
|
18,351 | 27,062 | 59,761 | 79,996 | ||||||||||||
|
Short-term
borrowings
|
763 | 3,885 | 4,465 | 9,895 | ||||||||||||
|
Long-term
debt
|
6,310 | 3,770 | 16,241 | 12,253 | ||||||||||||
|
Trust
preferred debentures
|
1,154 | 1,277 | 3,547 | 3,817 | ||||||||||||
|
Total
interest expense
|
26,578 | 35,994 | 84,014 | 105,961 | ||||||||||||
|
Net
interest income
|
47,043 | 41,187 | 137,113 | 123,174 | ||||||||||||
|
Provision
for loan and lease losses
|
7,179 | 4,788 | 19,460 | 16,654 | ||||||||||||
|
Net
interest income after provision for loan and lease losses
|
39,864 | 36,399 | 117,653 | 106,520 | ||||||||||||
|
Noninterest
income:
|
||||||||||||||||
|
Trust
|
1,720 | 1,701 | 5,593 | 4,930 | ||||||||||||
|
Service
charges on deposit accounts
|
7,414 | 6,195 | 20,877 | 15,600 | ||||||||||||
|
ATM
and debit card fees
|
2,334 | 2,159 | 6,656 | 6,096 | ||||||||||||
|
Broker/dealer
and insurance revenue
|
2,338 | 1,027 | 4,811 | 3,203 | ||||||||||||
|
Net
securities gains
|
1,510 | 1,484 | 1,543 | 1,500 | ||||||||||||
|
Bank
owned life insurance income
|
491 | 467 | 1,423 | 1,351 | ||||||||||||
|
Retirement
plan administration fees
|
1,461 | 1,586 | 4,840 | 4,779 | ||||||||||||
|
Other
|
1,694 | 1,908 | 5,733 | 5,750 | ||||||||||||
|
Total
noninterest income
|
18,962 | 16,527 | 51,476 | 43,209 | ||||||||||||
|
Noninterest
expense:
|
||||||||||||||||
|
Salaries
and employee benefits
|
16,850 | 15,876 | 50,526 | 44,862 | ||||||||||||
|
Office
supplies and postage
|
1,322 | 1,354 | 3,992 | 3,984 | ||||||||||||
|
Occupancy
|
3,359 | 2,928 | 10,396 | 8,682 | ||||||||||||
|
Equipment
|
1,908 | 1,797 | 5,595 | 5,567 | ||||||||||||
|
Professional
fees and outside services
|
2,205 | 2,256 | 7,825 | 5,840 | ||||||||||||
|
Data
processing and communications
|
3,155 | 2,779 | 9,440 | 8,501 | ||||||||||||
|
Amortization
of intangible assets
|
462 | 413 | 1,231 | 1,232 | ||||||||||||
|
Loan
collection and other real estate owned
|
505 | 431 | 1,802 | 1,036 | ||||||||||||
|
Impairment
on lease residual assets
|
2,000 | - | 2,000 | - | ||||||||||||
|
Other
operating
|
5,292 | 3,393 | 13,708 | 10,409 | ||||||||||||
|
Total
noninterest expense
|
37,058 | 31,227 | 106,515 | 90,113 | ||||||||||||
|
Income
before income taxes
|
21,768 | 21,699 | 62,614 | 59,616 | ||||||||||||
|
Income
taxes
|
6,685 | 6,552 | 19,158 | 18,273 | ||||||||||||
|
Net
income
|
$ | 15,083 | $ | 15,147 | $ | 43,456 | $ | 41,343 | ||||||||
|
Earnings
Per Share:
|
||||||||||||||||
|
Basic
|
$ | 0.47 | $ | 0.46 | $ | 1.36 | $ | 1.23 | ||||||||
|
Diluted
|
$ | 0.46 | $ | 0.46 | $ | 1.34 | $ | 1.22 | ||||||||
Page 10
of 10
|
NBT
Bancorp Inc. and Subsidiaries
Quarterly
Consolidated Statements of Income (unaudited)
|
3Q
2008
|
2Q
2008
|
1Q
2008
|
4Q
2007
|
3Q
2007
|
|||||||||||||||
|
(in
thousands, except per share data)
|
||||||||||||||||||||
|
Interest,
fee and dividend income:
|
||||||||||||||||||||
|
Loans
and leases
|
$ | 58,154 | $ | 57,220 | $ | 58,617 | $ | 60,817 | $ | 61,183 | ||||||||||
|
Securities
available for sale
|
13,451 | 13,417 | 13,746 | 13,971 | 13,847 | |||||||||||||||
|
Securities
held to maturity
|
1,343 | 1,478 | 1,514 | 1,458 | 1,471 | |||||||||||||||
|
Other
|
673 | 739 | 775 | 736 | 680 | |||||||||||||||
|
Total
interest, fee and dividend income
|
73,621 | 72,854 | 74,652 | 76,982 | 77,181 | |||||||||||||||
|
Interest
expense:
|
||||||||||||||||||||
|
Deposits
|
18,351 | 18,712 | 22,698 | 26,578 | 27,062 | |||||||||||||||
|
Short-term
borrowings
|
763 | 1,362 | 2,340 | 3,048 | 3,885 | |||||||||||||||
|
Long-term
debt
|
6,310 | 5,629 | 4,302 | 4,233 | 3,770 | |||||||||||||||
|
Trust
preferred debentures
|
1,154 | 1,146 | 1,247 | 1,270 | 1,277 | |||||||||||||||
|
Total
interest expense
|
26,578 | 26,849 | 30,587 | 35,129 | 35,994 | |||||||||||||||
|
Net
interest income
|
47,043 | 46,005 | 44,065 | 41,853 | 41,187 | |||||||||||||||
|
Provision
for loan and lease losses
|
7,179 | 5,803 | 6,478 | 13,440 | 4,788 | |||||||||||||||
|
Net
interest income after provision for loan and lease losses
|
39,864 | 40,202 | 37,587 | 28,413 | 36,399 | |||||||||||||||
|
Noninterest
income:
|
||||||||||||||||||||
|
Trust
|
1,720 | 2,099 | 1,774 | 1,584 | 1,701 | |||||||||||||||
|
Service
charges on deposit accounts
|
7,414 | 6,938 | 6,525 | 7,142 | 6,195 | |||||||||||||||
|
ATM
and debit card fees
|
2,334 | 2,225 | 2,097 | 2,089 | 2,159 | |||||||||||||||
|
Broker/dealer
and insurance fees
|
2,338 | 1,366 | 1,107 | 1,052 | 1,027 | |||||||||||||||
|
Net
securities gains
|
1,510 | 18 | 15 | 613 | 1,484 | |||||||||||||||
|
Bank
owned life insurance income
|
491 | 480 | 452 | 480 | 467 | |||||||||||||||
|
Retirement
plan administration fees
|
1,461 | 1,671 | 1,708 | 1,557 | 1,586 | |||||||||||||||
|
Other
|
1,694 | 1,622 | 2,417 | 1,973 | 1,908 | |||||||||||||||
|
Total
noninterest income
|
18,962 | 16,419 | 16,095 | 16,490 | 16,527 | |||||||||||||||
|
Noninterest
expense:
|
||||||||||||||||||||
|
Salaries
and employee benefits
|
16,850 | 16,906 | 16,770 | 14,654 | 15,876 | |||||||||||||||
|
Office
supplies and postage
|
1,322 | 1,331 | 1,339 | 1,136 | 1,354 | |||||||||||||||
|
Occupancy
|
3,359 | 3,427 | 3,610 | 2,948 | 2,928 | |||||||||||||||
|
Equipment
|
1,908 | 1,862 | 1,825 | 1,855 | 1,797 | |||||||||||||||
|
Professional
fees and outside services
|
2,205 | 2,521 | 3,099 | 3,295 | 2,256 | |||||||||||||||
|
Data
processing and communications
|
3,155 | 3,115 | 3,170 | 2,899 | 2,779 | |||||||||||||||
|
Amortization
of intangible assets
|
462 | 378 | 391 | 413 | 413 | |||||||||||||||
|
Loan
collection and other real estate owned
|
505 | 730 | 567 | 597 | 431 | |||||||||||||||
|
Impairment
on lease residual assets
|
2,000 | - | - | - | - | |||||||||||||||
|
Other
operating
|
5,292 | 5,153 | 3,263 | 4,607 | 3,393 | |||||||||||||||
|
Total
noninterest expense
|
37,058 | 35,423 | 34,034 | 32,404 | 31,227 | |||||||||||||||
|
Income
before income taxes
|
21,768 | 21,198 | 19,648 | 12,499 | 21,699 | |||||||||||||||
|
Income
taxes
|
6,685 | 6,541 | 5,932 | 3,514 | 6,552 | |||||||||||||||
|
Net
income
|
$ | 15,083 | $ | 14,657 | $ | 13,716 | $ | 8,985 | $ | 15,147 | ||||||||||
|
Earnings
per share:
|
||||||||||||||||||||
|
Basic
|
$ | 0.47 | $ | 0.46 | $ | 0.43 | $ | 0.28 | $ | 0.46 | ||||||||||
|
Diluted
|
$ | 0.46 | $ | 0.45 | $ | 0.43 | $ | 0.28 | $ | 0.46 |