North Carolina
|
56-1421916
|
|
(State
of Incorporation)
|
(I.R.S.
Employer Identification Number)
|
|
341 North Main Street, Troy, North
Carolina
|
27371-0508
|
|
(Address
of Principal Executive Offices)
|
(Zip
Code)
|
|
Registrant’s
telephone number, including area code:
|
(910) 576-6171
|
£ Large
Accelerated Filer
|
T
Accelerated Filer
|
£
Non-Accelerated Filer
|
£ Smaller
Reporting Company
|
(Do
not check if a smaller reporting company)
|
Begins
on
|
||
Page (s)
|
||
Forward-Looking
Statements
|
4
|
|
Item
1
|
4
|
|
Item
1A
|
16
|
|
Item
1B
|
21
|
|
Item
2
|
22
|
|
Item
3
|
22
|
|
Item
4
|
22
|
|
Item
5
|
22,
58
|
|
Item
6
|
25,
58
|
|
Item
7
|
25
|
|
Overview
– 2008 Compared to 2007
|
26
|
|
Overview
– 2007 Compared to 2006
|
28
|
|
Outlook
for 2009
|
29
|
|
Critical
Accounting Policies
|
30
|
|
Merger
and Acquisition Activity
|
32
|
|
Statistical
Information
|
||
Net
Interest Income
|
34,
59
|
|
Provision
for Loan Losses
|
36,
64
|
|
Noninterest
Income
|
36,
60
|
|
Noninterest
Expenses
|
38,
60
|
|
Income
Taxes
|
39,
61
|
|
Stock-Based
Compensation
|
39
|
|
Distribution
of Assets and Liabilities
|
42,
61
|
|
Securities
|
42,
61
|
|
Loans
|
44,
63
|
|
Nonperforming
Assets
|
45,
64
|
|
Allowance
for Loan Losses and Loan Loss Experience
|
47,
64
|
|
Deposits
and Securities Sold Under Agreements to Repurchase
|
48,
65
|
|
Borrowings
|
50
|
|
Liquidity,
Commitments, and Contingencies
|
51,
67
|
|
Capital
Resources and Shareholders’ Equity
|
52,
69
|
|
Off-Balance
Sheet Arrangements and Derivative Financial Instruments
|
54
|
|
Return
on Assets and Equity
|
55,
68
|
|
Interest
Rate Risk (Including Quantitative and Qualitative Disclosures About Market
Risk)
|
55,
66
|
|
Inflation
|
57
|
|
Current
Accounting and Regulatory Matters
|
57
|
|
Item
7A
|
57
|
|
Item
8
|
||
Consolidated
Balance Sheets as of December 31, 2008 and 2007
|
71
|
|
Consolidated
Statements of Income for each of the years in the three-year period ended
December 31, 2008
|
72
|
Begins
on
|
||
Page (s)
|
||
Consolidated
Statements of Comprehensive Income for each of the years in the three-year
period ended December 31, 2008
|
73
|
|
Consolidated
Statements of Shareholders’ Equity for each of the years in the three-year
period ended December 31, 2008
|
74
|
|
Consolidated
Statements of Cash Flows for each of the years in the three-year period
ended December 31, 2008
|
75
|
|
Notes
to Consolidated Financial Statements
|
76
|
|
Reports
of Independent Registered Public Accounting Firm
|
115
|
|
Selected
Consolidated Financial Data
|
58
|
|
Quarterly
Financial Summary
|
70
|
|
Item
9
|
117
|
|
Item
9A
|
117
|
|
Item
9B
|
118
|
|
Item
10
|
119*
|
|
Item
11
|
119*
|
|
Item
12
|
119*
|
|
Item
13
|
119*
|
|
Item
14
|
119*
|
|
Item
15
|
119
|
|
122
|
*
|
Information
called for by Part III (Items 10 through 14) is incorporated herein by
reference to the Registrant’s definitive Proxy Statement for the 2009
Annual Meeting of Shareholders to be filed with the Securities and
Exchange Commission on or before April 30,
2009.
|
County
|
No.
of
Branches
|
Deposits
(in
millions)
|
Market
Share
|
Number
of
Competitors
|
||||||||||||
Anson,
NC
|
1
|
|
$ | 10 | 4.2 | % | 5 | |||||||||
Brunswick,
NC
|
3
|
36 | 2.1 | % | 12 | |||||||||||
Cabarrus,
NC
|
2 | 33 | 1.7 | % | 11 | |||||||||||
Chatham,
NC
|
2 | 65 | 8.0 | % | 10 | |||||||||||
Chesterfield,
SC
|
2 | 60 | 20.1 | % | 8 | |||||||||||
Davidson,
NC
|
3 | 106 | 5.4 | % | 10 | |||||||||||
Dillon,
SC
|
3 | 72 | 25.5 | % | 3 | |||||||||||
Duplin,
NC
|
3 | 70 | 14.2 | % | 7 | |||||||||||
Florence,
SC
|
1 | 34 | 2.3 | % | 15 | |||||||||||
Guilford,
NC
|
1 | 45 | 0.4 | % | 22 | |||||||||||
Harnett,
NC
|
3 | 119 | 12.9 | % | 10 | |||||||||||
Iredell,
NC
|
2 | 33 | 1.4 | % | 22 | |||||||||||
Lee,
NC
|
4 | 208 | 26.6 | % | 10 | |||||||||||
Montgomery,
NC
|
5 | 97 | 36.6 | % | 4 | |||||||||||
Montgomery,
VA
|
1 | 24 | 1.6 | % | 12 | |||||||||||
Moore,
NC
|
11 | 380 | 25.9 | % | 11 | |||||||||||
New
Hanover, NC
|
2 | 26 | 0.5 | % | 20 | |||||||||||
Pulaski,
VA
|
1 | 22 | 5.7 | % | 8 | |||||||||||
Randolph,
NC
|
5 | 61 | 3.7 | % | 15 | |||||||||||
Richmond,
NC
|
1 | 23 | 6.9 | % | 6 | |||||||||||
Robeson,
NC
|
5 | 163 | 16.9 | % | 10 | |||||||||||
Rockingham,
NC
|
1 | 25 | 2.3 | % | 10 | |||||||||||
Rowan,
NC
|
2 | 50 | 2.8 | % | 12 | |||||||||||
Scotland,
NC
|
2 | 54 | 15.7 | % | 6 | |||||||||||
Stanly,
NC
|
4 | 92 | 10.8 | % | 6 | |||||||||||
Wake,
NC
|
1 | 16 | 0.1 | % | 30 | |||||||||||
Washington,
VA
|
1 | 18 | 2.0 | % | 16 | |||||||||||
Wythe,
VA
|
2 | 49 | 10.4 | % | 10 | |||||||||||
Brokered
& Internet Deposits
|
- | 84 | ||||||||||||||
Total
|
74 | $ | 2,075 |
|
For 8,660,114
|
Against 2,086,394
|
Abstain 111,632
|
As
of December 31, 2008
|
||||||||||||
(a)
|
(b)
|
(c)
|
||||||||||
Plan
category
|
Number
of securities to
be
issued upon exercise
of
outstanding options, warrants and rights
|
Weighted-average
exercise price of outstanding options, warrants and
rights
|
Number
of securities available for
future
issuance under equity
compensation
plans (excluding
securities
reflected in column (a))
|
|||||||||
Equity
compensation plans approved by security holders (1)
|
758,495
|
$ |
17.57
|
891,941
|
||||||||
Equity
compensation plans not approved by security holders
|
─
|
─
|
─
|
|||||||||
Total
(2)
|
758,495
|
$ |
17.57
|
891,941
|
Total
Return Index Values (1)
December
31,
|
||||||||||||||||||||||||
2003
|
2004
|
2005
|
2006
|
2007
|
2008
|
|||||||||||||||||||
First
Bancorp
|
$ | 100.00 | 134.37 | 103.04 | 115.50 | 103.70 | 105.35 | |||||||||||||||||
Russell
2000
|
100.00 | 118.33 | 123.72 | 146.44 | 144.15 | 95.44 | ||||||||||||||||||
SNL
Index-Banks between $1 billion and $5 billion
|
100.00 | 123.42 | 121.31 | 140.38 | 102.26 | 84.84 |
(1)
|
Total
return indices were provided from an independent source, SNL Securities
LP, Charlottesville, Virginia, and assume initial investment of $100 on
December 31, 2003, reinvestment of dividends, and changes in market
values. Total return index numerical values used in this
example are for illustrative purposes
only.
|
Issuer
Purchases of Equity Securities
|
||||||||||||
Period
|
Total
Number of Shares Purchased (2)
|
Average
Price Paid per Share
|
Total
Number of Shares Purchased as Part of Publicly Announced Plans or Programs
(1)
|
Maximum
Number of Shares that May Yet Be Purchased Under the Plans or Programs
(1)
|
||||||||
Month
#1 (October 1, 2008 to October 31, 2008)
|
─
|
─
|
─
|
234,667
|
||||||||
Month
#2 (November 1, 2008 to November 30, 2008)
|
─
|
─
|
─
|
234,667
|
|
|||||||
Month
#3 (December 1, 2008 to December 31, 2008)
|
─
|
─
|
─
|
234,667
|
||||||||
Total
|
─
|
─
|
─
|
234,667
|
(1)
|
All
shares available for repurchase are pursuant to publicly announced share
repurchase authorizations. On July 30, 2004, the Company
announced that its Board of Directors had approved the repurchase of
375,000 shares of the Company’s common stock. The repurchase
authorization does not have an expiration date. Subject to the
restrictions discussed above related to the Company’s participation in the
U.S. Treasury’s Capital Purchase Program, there are no plans or programs
the Company has determined to terminate prior to expiration, or under
which the Company does not intend to make further
purchases.
|
(2)
|
The
above table above does not include shares that were used by option holders
to satisfy the exercise price of the call options issued by the Company to
its employees and directors pursuant to the Company’s stock option
plans. In November 2008, a total of 14,876 shares of our common
stock, with a weighted average market price of $17.99 per share, were used
to satisfy an exercise of options.
|
Financial
Highlights
|
||||||||||||
($
in thousands except per share data)
|
2008
|
2007
|
Change
|
|||||||||
Earnings
|
||||||||||||
Net
interest income
|
$ | 86,559 | 79,284 | 9.2 | % | |||||||
Provision
for loan losses
|
9,880 | 5,217 | 89.4 | % | ||||||||
Noninterest
income
|
21,107 | 18,473 | 14.3 | % | ||||||||
Noninterest
expenses
|
62,661 | 57,580 | 8.8 | % | ||||||||
Income
before income taxes
|
35,125 | 34,960 | 0.5 | % | ||||||||
Income
tax expense
|
13,120 | 13,150 | -0.2 | % | ||||||||
Net
income
|
$ | 22,005 | 21,810 | 0.9 | % | |||||||
Net
income per share
|
||||||||||||
Basic
|
$ | 1.38 | 1.52 | -9.2 | % | |||||||
Diluted
|
1.37 | 1.51 | -9.3 | % | ||||||||
At
Year End
|
||||||||||||
Assets
|
$ | 2,750,567 | 2,317,249 | 18.7 | % | |||||||
Loans
|
2,211,315 | 1,894,295 | 16.7 | % | ||||||||
Deposits
|
2,074,791 | 1,838,277 | 12.9 | % | ||||||||
Ratios
|
||||||||||||
Return
on average assets
|
0.89 | % | 1.02 | % | ||||||||
Return
on average equity
|
10.44 | % | 12.77 | % | ||||||||
Net
interest margin (taxable-equivalent)
|
3.74 | % | 4.00 | % |
First
Bancorp
|
Peer
Average
|
|||||||
Nonaccrual
loans and loans past due 90 days and still accruing as percent of total
loans
|
1.20 | % | 2.40 | % | ||||
Net
charge-offs to average loans
|
0.24 | % | 0.66 | % |
Financial
Highlights
|
||||||||||||
($
in thousands except per share data)
|
2007
|
2006
|
Change
|
|||||||||
Earnings
|
||||||||||||
Net
interest income
|
$ | 79,284 | 74,536 | 6.4 | % | |||||||
Provision
for loan losses
|
5,217 | 4,923 | 6.0 | % | ||||||||
Noninterest
income
|
18,473 | 14,310 | 29.1 | % | ||||||||
Noninterest
expenses
|
57,580 | 53,198 | 8.2 | % | ||||||||
Income
before income taxes
|
34,960 | 30,725 | 13.8 | % | ||||||||
Income
tax expense
|
13,150 | 11,423 | 15.1 | % | ||||||||
Net
income
|
$ | 21,810 | 19,302 | 13.0 | % | |||||||
Net
income per share
|
||||||||||||
Basic
|
$ | 1.52 | 1.35 | 12.6 | % | |||||||
Diluted
|
1.51 | 1.34 | 12.7 | % | ||||||||
At
Year End
|
||||||||||||
Assets
|
$ | 2,317,249 | 2,136,624 | 8.5 | % | |||||||
Loans
|
1,894,295 | 1,740,396 | 8.8 | % | ||||||||
Deposits
|
1,838,277 | 1,695,679 | 8.4 | % | ||||||||
Ratios
|
||||||||||||
Return
on average assets
|
1.02 | % | 1.00 | % | ||||||||
Return
on average equity
|
12.77 | % | 11.83 | % | ||||||||
Net
interest margin (taxable-equivalent)
|
4.00 | % | 4.18 | % |
Year
ended December 31,
|
||||||||||||
($
in thousands)
|
2008
|
2007
|
2006
|
|||||||||
Net
interest income, as reported
|
$ | 86,559 | 79,284 | 74,536 | ||||||||
Tax-equivalent
adjustment
|
658 | 554 | 501 | |||||||||
Net
interest income, tax-equivalent
|
$ | 87,217 | 79,838 | 75,037 |
($
in thousands)
|
2008
|
2007
|
2006
|
|||||||||
Commissions
earned from:
|
||||||||||||
Sales
of credit life insurance
|
$ | 294 | 304 | 337 | ||||||||
Sales
of investments, annuities, and long term care insurance
|
474 | 387 | 266 | |||||||||
Sales
of property and casualty insurance
|
784 | 820 | 831 | |||||||||
Total
|
$ | 1,552 | 1,511 | 1,434 |
(in
thousands)
|
Balance
at beginning of period
|
Internal
growth
|
Growth
from Acquisitions – Great Pee Dee
|
Balance
at end of period
|
Total
percentage growth
|
Internal
growth (1)
|
||||||||||||||||||
2008
|
||||||||||||||||||||||||
Loans
|
$ | 1,894,295 | 133,180 | 183,840 | 2,211,315 | 16.7 | % | 7.0 | % | |||||||||||||||
Deposits
|
||||||||||||||||||||||||
Noninterest
bearing
|
232,141 | (11,099 | ) | 8,436 | 229,478 | -1.1 | % | -4.8 | % | |||||||||||||||
NOW
|
192,785 | (4,405 | ) | 10,395 | 198,775 | 3.1 | % | -2.3 | % | |||||||||||||||
Money
Market
|
264,653 | 61,025 | 15,061 | 340,739 | 28.7 | % | 23.1 | % | ||||||||||||||||
Savings
|
100,955 | 21,697 | 2,588 | 125,240 | 24.1 | % | 21.5 | % | ||||||||||||||||
Time>$100,000
– non-brokered
|
479,176 | (3,225 | ) | 37,672 | 513,623 | 7.2 | % | -0.7 | % | |||||||||||||||
Time>$100,000
– brokered
|
− | 53,012 | 25,557 | 78,569 | n/a | n/a | ||||||||||||||||||
Time<$100,000
|
568,567 | (28,200 | ) | 48,000 | 588,367 | 3.5 | % | -5.0 | % | |||||||||||||||
Total
deposits
|
$ | 1,838,277 | 88,805 | 147,709 | 2,074,791 | 12.9 | % | 4.8 | % | |||||||||||||||
2007
|
||||||||||||||||||||||||
Loans
|
$ | 1,740,396 | 153,899 |
─
|
1,894,295 | 8.8 | % | 8.8 | % | |||||||||||||||
Deposits
|
||||||||||||||||||||||||
Noninterest
bearing
|
217,291 | 14,850 |
─
|
232,141 | 6.8 | % | 6.8 | % | ||||||||||||||||
NOW
|
193,435 | (650 | ) |
─
|
192,785 | -0.3 | % | -0.3 | % | |||||||||||||||
Money
Market
|
205,994 | 58,659 |
─
|
264,653 | 28.5 | % | 28.5 | % | ||||||||||||||||
Savings
|
103,346 | (2,391 | ) |
─
|
100,955 | -2.3 | % | -2.3 | % | |||||||||||||||
Time>$100,000
|
422,772 | 56,404 |
─
|
479,176 | 13.3 | % | 13.3 | % | ||||||||||||||||
Time<$100,000
|
552,841 | 15,726 |
─
|
568,567 | 2.8 | % | 2.8 | % | ||||||||||||||||
Total
deposits
|
$ | 1,695,679 | 142,598 |
─
|
1,838,277 | 8.4 | % | 8.4 | % |
($
in thousands)
Issuer
|
S&P
Issuer
Ratings
(1)
|
Maturity
Date
|
Amortized
Cost
|
Market
Value
|
|||||||||
First
Citizens Bancorp (North Carolina) Bond
|
BB
|
4/1/15
|
$ | 2,993 | 3,073 | ||||||||
Citigroup
Bond
|
(2)
|
2/15/16
|
3,100 | 2,847 | |||||||||
Bank
of America Trust Preferred Security
|
BB-
|
12/11/26
|
2,060 | 1,729 | |||||||||
Wells
Fargo Trust Preferred Security
|
A
|
1/15/27
|
2,576 | 2,008 | |||||||||
Bank
of America Trust Preferred Security
|
BB-
|
4/14/27
|
2,065 | 1,714 | |||||||||
Bank
of America Trust Preferred Security
|
BB-
|
4/15/27
|
3,007 | 2,572 | |||||||||
First
Citizens Bancorp (North Carolina) Trust Preferred Security
|
BB
|
3/1/28
|
2,084 | 2,385 | |||||||||
First
Citizens Bancorp (South Carolina) Trust Preferred Security
|
Not
Rated
|
6/15/34
|
1,000 | 520 | |||||||||
Total
investment in corporate bonds
|
$ | 18,885 | 16,848 |
|
(1)
|
The
ratings are as of March 11, 2009.
|
|
(2)
|
This
bond was called by Citigroup at par in February 2009 with no loss to First
Bancorp.
|
|
·
|
$628
million, or 28% of total loans (vs. $514 million, or 27% of total loans),
are secured by first liens on residential homes, in which the borrower’s
personal income is generally the primary repayment
source.
|
|
·
|
$584
million, or 26% of total loans (vs. $496 million, or 26% of total loans),
are primarily dependent on cash flow from a commercial business for
repayment.
|
|
·
|
$214
million, or 10% of total loans (vs. $213 million, or 11% of total loans),
are real estate construction loans.
|
|
·
|
$257
million, or 12% of total loans (vs. $210 million, or 11% of total loans),
are home equity loans (lines-of-credit and term loans) obtained by
consumers for various purposes.
|
|
·
|
$210
million, or 9% of total loans (vs. $171 million, or 9% of total loans),
are tracts of unimproved land for investment or future
development.
|
|
·
|
$36
million, or 2% of total loans (vs. $33 million, or 2% of total loans), are
primarily dependent on cash flow from agricultural crop
sales.
|
At
December 31, 2008
|
At
December 31, 2007
|
|||||||
Commercial,
financial, and agricultural
|
$ | 1,726 | 504 | |||||
Real
estate – construction, land development, and other land
loans
|
6,936 | 2,219 | ||||||
Real
estate – mortgage – residential (1-4 family) first
mortgages
|
10,856 | 1,515 | ||||||
Real
estate – mortgage – home equity loans/lines of credit
|
2,242 | 1,130 | ||||||
Real
estate – mortgage – commercial and other
|
3,624 | 1,370 | ||||||
Installment
loans to individuals
|
1,216 | 1,069 | ||||||
Total
nonaccrual loans
|
$ | 26,600 | 7,807 |
At
December 31, 2008
|
At
December 31, 2007
|
|||||||
Vacant
land
|
$ | 975 | 344 | |||||
1-4
family residential properties
|
2,149 | 2,073 | ||||||
Commercial
real estate
|
1,693 | 592 | ||||||
Other
|
15 | 33 | ||||||
Total
other real estate
|
$ | 4,832 | 3,042 |
2008
|
2007
|
2006
|
||||||||||
Noninterest-bearing
deposits
|
11 | % | 13 | % | 13 | % | ||||||
NOW
deposits
|
10 | % | 10 | % | 11 | % | ||||||
Money
market deposits
|
16 | % | 14 | % | 12 | % | ||||||
Savings
deposits
|
6 | % | 6 | % | 6 | % | ||||||
Time
deposits > $100,000 – non-brokered
|
25 | % | 26 | % | 25 | % | ||||||
Time
deposits > $100,000 – brokered
|
4 | % | − | − | ||||||||
Time
deposits < $100,000
|
28 | % | 31 | % | 33 | % | ||||||
Total
deposits
|
100 | % | 100 | % | 100 | % | ||||||
Securities
sold under agreements to repurchase as a percent of total
deposits
|
3 | % | 2 | % | 3 | % |
As
Reported
December
31, 2008
|
Pro
Forma
December
31, 2008
|
|||||||
Risk-based
capital ratios:
|
||||||||
Tier
I capital to Tier I risk adjusted assets
|
9.40 | % | 12.31 | % | ||||
Total
risk-based capital to Tier II risk-adjusted assets
|
10.65 | % | 13.56 | % | ||||
Leverage
capital ratios:
|
||||||||
Tier
I leverage capital to adjusted most recent quarter average
assets
|
8.10 | % | 10.66 | % |
($
in thousands, except per share
|
Year
Ended December 31,
|
|||||||||||||||||||
and
nonfinancial data)
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Income
Statement Data
|
||||||||||||||||||||
Interest
income
|
$ | 147,862 | 148,942 | 129,207 | 101,429 | 81,593 | ||||||||||||||
Interest
expense
|
61,303 | 69,658 | 54,671 | 32,838 | 20,303 | |||||||||||||||
Net
interest income
|
86,559 | 79,284 | 74,536 | 68,591 | 61,290 | |||||||||||||||
Provision
for loan losses
|
9,880 | 5,217 | 4,923 | 3,040 | 2,905 | |||||||||||||||
Net
interest income after provision
|
76,679 | 74,067 | 69,613 | 65,551 | 58,385 | |||||||||||||||
Noninterest
income
|
21,107 | 18,473 | 14,310 | 15,004 | 15,864 | |||||||||||||||
Noninterest
expense
|
62,661 | 57,580 | 53,198 | 47,636 | 43,717 | |||||||||||||||
Income
before income taxes
|
35,125 | 34,960 | 30,725 | 32,919 | 30,532 | |||||||||||||||
Income
taxes
|
13,120 | 13,150 | 11,423 | 16,829 | 10,418 | |||||||||||||||
Net
income
|
22,005 | 21,810 | 19,302 | 16,090 | 20,114 | |||||||||||||||
Earnings
per share – basic
|
1.38 | 1.52 | 1.35 | 1.14 | 1.42 | |||||||||||||||
Earnings
per share – diluted
|
1.37 | 1.51 | 1.34 | 1.12 | 1.40 | |||||||||||||||
Per
Share Data
|
||||||||||||||||||||
Cash
dividends declared
|
$ | 0.76 | 0.76 | 0.74 | 0.70 | 0.66 | ||||||||||||||
Market
Price
|
||||||||||||||||||||
High
|
20.86 | 26.72 | 23.90 | 27.88 | 29.73 | |||||||||||||||
Low
|
11.25 | 16.40 | 19.47 | 19.32 | 18.47 | |||||||||||||||
Close
|
18.35 | 18.89 | 21.84 | 20.16 | 27.17 | |||||||||||||||
Book
value – stated
|
13.27 | 12.11 | 11.34 | 10.94 | 10.54 | |||||||||||||||
Tangible
book value
|
9.18 | 8.56 | 7.76 | 7.48 | 7.04 | |||||||||||||||
Selected
Balance Sheet Data (at year end)
|
||||||||||||||||||||
Total
assets
|
$ | 2,750,567 | 2,317,249 | 2,136,624 | 1,801,050 | 1,638,913 | ||||||||||||||
Loans
|
2,211,315 | 1,894,295 | 1,740,396 | 1,482,611 | 1,367,053 | |||||||||||||||
Allowance
for loan losses
|
29,256 | 21,324 | 18,947 | 15,716 | 14,717 | |||||||||||||||
Intangible
assets
|
67,780 | 51,020 | 51,394 | 49,227 | 49,330 | |||||||||||||||
Deposits
|
2,074,791 | 1,838,277 | 1,695,679 | 1,494,577 | 1,388,768 | |||||||||||||||
Borrowings
|
367,275 | 242,394 | 210,013 | 100,239 | 92,239 | |||||||||||||||
Total
shareholders’ equity
|
219,868 | 174,070 | 162,705 | 155,728 | 148,478 | |||||||||||||||
Selected
Average Balances
|
||||||||||||||||||||
Assets
|
$ | 2,484,296 | 2,139,576 | 1,922,510 | 1,709,380 | 1,545,332 | ||||||||||||||
Loans
|
2,117,028 | 1,808,219 | 1,623,188 | 1,422,419 | 1,295,682 | |||||||||||||||
Earning
assets
|
2,329,025 | 1,998,428 | 1,793,811 | 1,593,554 | 1,434,425 | |||||||||||||||
Deposits
|
1,985,332 | 1,780,265 | 1,599,575 | 1,460,620 | 1,306,404 | |||||||||||||||
Interest-bearing
liabilities
|
2,019,256 | 1,726,002 | 1,537,385 | 1,359,744 | 1,232,130 | |||||||||||||||
Shareholders’
equity
|
210,810 | 170,857 | 163,193 | 154,871 | 146,683 | |||||||||||||||
Ratios
|
||||||||||||||||||||
Return
on average assets
|
0.89 | % | 1.02 | % | 1.00 | % | 0.94 | % | 1.30 | % | ||||||||||
Return
on average equity
|
10.44 | % | 12.77 | % | 11.83 | % | 10.39 | % | 13.71 | % | ||||||||||
Net
interest margin (taxable-equivalent basis)
|
3.74 | % | 4.00 | % | 4.18 | % | 4.33 | % | 4.31 | % | ||||||||||
Equity
to assets at year end
|
7.99 | % | 7.51 | % | 7.62 | % | 8.65 | % | 9.06 | % | ||||||||||
Tangible
common equity to tangible assets
|
5.67 | % | 5.43 | % | 5.34 | % | 6.08 | % | 6.24 | % | ||||||||||
Loans
to deposits at year end
|
106.58 | % | 103.05 | % | 102.64 | % | 99.20 | % | 98.44 | % | ||||||||||
Allowance
for loan losses to total loans
|
1.32 | % | 1.13 | % | 1.09 | % | 1.06 | % | 1.08 | % | ||||||||||
Nonperforming
assets to total assets at year end
|
1.29 | % | 0.47 | % | 0.39 | % | 0.17 | % | 0.32 | % | ||||||||||
Net
charge-offs to average loans
|
0.24 | % | 0.16 | % | 0.11 | % | 0.14 | % | 0.14 | % | ||||||||||
Efficiency
ratio
|
57.85 | % | 58.57 | % | 59.54 | % | 56.68 | % | 56.32 | % | ||||||||||
Nonfinancial
Data
|
||||||||||||||||||||
Number
of branches
|
74 | 70 | 68 | 61 | 59 | |||||||||||||||
Number
of employees – Full time equivalents
|
650 | 614 | 620 | 578 | 563 | |||||||||||||||
Year
Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
||||||||||||||||||||||||||||||||||
($
in thousands)
|
Average
Volume
|
Avg.
Rate
|
Interest
Earned
or
Paid
|
Average
Volume
|
Avg.
Rate
|
Interest
Earned
or
Paid
|
Average
Volume
|
Avg.
Rate
|
Interest
Earned
or
Paid
|
|||||||||||||||||||||||||||
Assets
|
||||||||||||||||||||||||||||||||||||
Loans
(1)
|
$ | 2,117,028 | 6.56 | % | $ | 138,878 | $ | 1,808,219 | 7.70 | % | $ | 139,323 | $ | 1,623,188 | 7.44 | % | $ | 120,694 | ||||||||||||||||||
Taxable
securities
|
152,246 | 4.82 | % | 7,333 | 131,035 | 4.92 | % | 6,453 | 118,032 | 4.84 | % | 5,718 | ||||||||||||||||||||||||
Non-taxable
securities (2)
|
16,258 | 7.98 | % | 1,298 | 13,786 | 8.09 | % | 1,115 | 11,466 | 8.84 | % | 1,014 | ||||||||||||||||||||||||
Short-term
investments, primarily overnight funds
|
43,493 | 2.32 | % | 1,011 | 45,388 | 5.74 | % | 2,605 | 41,125 | 5.55 | % | 2,282 | ||||||||||||||||||||||||
Total
interest-earning assets
|
2,329,025 | 6.38 | % | 148,520 | 1,998,428 | 7.48 | % | 149,496 | 1,793,811 | 7.23 | % | 129,708 | ||||||||||||||||||||||||
Cash
and due from banks
|
39,627 | 38,906 | 37,872 | |||||||||||||||||||||||||||||||||
Bank
premises and equipment, net
|
49,815 | 45,398 | 38,592 | |||||||||||||||||||||||||||||||||
Other
assets
|
65,829 | 56,844 | 52,235 | |||||||||||||||||||||||||||||||||
Total
assets
|
$ | 2,484,296 | $ | 2,139,576 | $ | 1,922,510 | ||||||||||||||||||||||||||||||
Liabilities
and Equity
|
||||||||||||||||||||||||||||||||||||
NOW
accounts
|
$ | 197,459 | 0.19 | % | $ | 377 | $ | 192,407 | 0.37 | % | $ | 712 | $ | 187,888 | 0.36 | % | $ | 679 | ||||||||||||||||||
Money
market accounts
|
309,917 | 2.36 | % | 7,311 | 239,258 | 3.31 | % | 7,929 | 183,751 | 2.71 | % | 4,972 | ||||||||||||||||||||||||
Savings
accounts
|
124,460 | 1.65 | % | 2,048 | 106,357 | 1.62 | % | 1,727 | 111,909 | 1.29 | % | 1,443 | ||||||||||||||||||||||||
Time
deposits >$100,000
|
532,566 | 4.00 | % | 21,308 | 450,801 | 5.03 | % | 22,687 | 390,246 | 4.53 | % | 17,662 | ||||||||||||||||||||||||
Other
time deposits
|
586,235 | 3.79 | % | 22,197 | 567,572 | 4.67 | % | 26,498 | 520,140 | 4.09 | % | 21,276 | ||||||||||||||||||||||||
Total
interest-bearing deposits
|
1,750,637 | 3.04 | % | 53,241 | 1,556,395 | 3.83 | % | 59,553 | 1,393,934 | 3.30 | % | 46,032 | ||||||||||||||||||||||||
Securities
sold under agreements to repurchase
|
42,097 | 2.15 | % | 903 | 39,220 | 3.76 | % | 1,476 | 30,036 | 3.72 | % | 1,116 | ||||||||||||||||||||||||
Borrowings
|
226,522 | 3.16 | % | 7,159 | 130,387 | 6.62 | % | 8,629 | 113,415 | 6.63 | % | 7,523 | ||||||||||||||||||||||||
Total
interest-bearing liabilities
|
2,019,256 | 3.04 | % | 61,303 | 1,726,002 | 4.04 | % | 69,658 | 1,537,385 | 3.56 | % | 54,671 | ||||||||||||||||||||||||
Non-interest-bearing
deposits
|
234,695 | 223,870 | 205,641 | |||||||||||||||||||||||||||||||||
Other
liabilities
|
19,535 | 18,847 | 16,291 | |||||||||||||||||||||||||||||||||
Shareholders’
equity
|
210,810 | 170,857 | 163,193 | |||||||||||||||||||||||||||||||||
Total
liabilities and shareholders’ equity
|
$ | 2,484,296 | $ | 2,139,576 | $ | 1,922,510 | ||||||||||||||||||||||||||||||
Net
yield on interest-earning assets and net interest income
|
3.74 | % | $ | 87,217 | 4.00 | % | $ | 79,838 | 4.18 | % | $ | 75,037 | ||||||||||||||||||||||||
Interest
rate spread
|
3.34 | % | 3.44 | % | 3.67 | % | ||||||||||||||||||||||||||||||
Average
prime rate
|
5.09 | % | 8.05 | % | 7.96 | % |
|
(1)
|
Average
loans include nonaccruing loans, the effect of which is to lower the
average rate shown. Interest earned includes recognized loan
fees in the amounts of $405,000, $836,000, and $696,000 for 2008, 2007,
and 2006, respectively.
|
(2)
|
Includes
tax-equivalent adjustments of $658,000, $554,000, and $501,000 in 2008,
2007, and 2006, respectively, to reflect the federal and state benefit of
the tax-exempt securities (using a 39% combined tax rate), reduced by the
related nondeductible portion of interest
expense.
|
Year
Ended December 31, 2008
|
Year
Ended December 31, 2007
|
|||||||||||||||||||||||
Change
Attributable to
|
Change
Attributable to
|
|||||||||||||||||||||||
(In
thousands)
|
Changes
in Volumes
|
Changes
in
Rates
|
Total
Increase
(Decrease)
|
Changes
in
Volumes
|
Changes
in
Rates
|
Total
Increase
(Decrease)
|
||||||||||||||||||
Interest
income (tax-equivalent):
|
||||||||||||||||||||||||
Loans
|
$ | 22,026 | (22,471 | ) | (445 | ) | 14,007 | 4,622 | 18,629 | |||||||||||||||
Taxable
securities
|
1,033 | (153 | ) | 880 | 635 | 100 | 735 | |||||||||||||||||
Non-taxable
securities
|
199 | (16 | ) | 183 | 196 | (95 | ) | 101 | ||||||||||||||||
Short-term
investments, primarily overnight funds
|
(76 | ) | (1,518 | ) | (1,594 | ) | 241 | 82 | 323 | |||||||||||||||
Total
interest income
|
23,182 | (24,158 | ) | (976 | ) | 15,079 | 4,709 | 19,788 | ||||||||||||||||
Interest
expense:
|
||||||||||||||||||||||||
NOW
accounts
|
14 | (349 | ) | (335 | ) | 17 | 16 | 33 | ||||||||||||||||
Money
Market accounts
|
2,004 | (2,622 | ) | (618 | ) | 1,671 | 1,286 | 2,957 | ||||||||||||||||
Savings
accounts
|
296 | 25 | 321 | (81 | ) | 365 | 284 | |||||||||||||||||
Time
deposits>$100,000
|
3,693 | (5,072 | ) | (1,379 | ) | 2,894 | 2,131 | 5,025 | ||||||||||||||||
Other
time deposits
|
789 | (5,090 | ) | (4,301 | ) | 2,077 | 3,145 | 5,222 | ||||||||||||||||
Total
interest-bearing deposits
|
6,796 | (13,108 | ) | (6,312 | ) | 6,578 | 6,943 | 13,521 | ||||||||||||||||
Securities
sold under agreements to repurchase
|
85 | (658 | ) | (573 | ) | 343 | 17 | 360 | ||||||||||||||||
Borrowings
|
4,700 | (6,170 | ) | (1,470 | ) | 1,124 | (18 | ) | 1,106 | |||||||||||||||
Total
interest expense
|
11,581 | (19,936 | ) | (8,355 | ) | 8,045 | 6,942 | 14,987 | ||||||||||||||||
Net
interest income (tax-equivalent)
|
$ | 11,601 | (4,222 | ) | 7,379 | 7,034 | (2,233 | ) | 4,801 | |||||||||||||||
Year
Ended December 31,
|
||||||||||||
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Service
charges on deposit accounts
|
$ | 13,535 | 9,988 | 8,968 | ||||||||
Other
service charges, commissions, and fees
|
4,842 | 5,158 | 4,578 | |||||||||
Fees
from presold mortgages
|
869 | 1,135 | 1,062 | |||||||||
Commissions
from sales of insurance and financial products
|
1,552 | 1,511 | 1,434 | |||||||||
Data
processing fees
|
167 | 204 | 162 | |||||||||
Total
core noninterest income
|
20,965 | 17,996 | 16,204 | |||||||||
Securities
gains (losses), net
|
(14 | ) | 487 | 205 | ||||||||
Other
gains (losses), net
|
156 | (10 | ) | (2,099 | ) | |||||||
Total
|
$ | 21,107 | 18,473 | 14,310 |
Year
Ended December 31,
|
||||||||||||
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Salaries
|
$ | 28,127 | 26,227 | 23,867 | ||||||||
Employee
benefits
|
7,319 | 7,443 | 6,811 | |||||||||
Total
personnel expense
|
35,446 | 33,670 | 30,678 | |||||||||
Occupancy
expense
|
4,175 | 3,795 | 3,447 | |||||||||
Equipment
related expenses
|
4,105 | 3,809 | 3,419 | |||||||||
Amortization
of intangible assets
|
416 | 374 | 322 | |||||||||
Stationery
and supplies
|
1,903 | 1,593 | 1,675 | |||||||||
Telephone
|
1,349 | 1,246 | 1,273 | |||||||||
Non-credit
losses
|
200 | 204 | 165 | |||||||||
Other
operating expenses
|
15,067 | 12,889 | 12,219 | |||||||||
Total
|
$ | 62,661 | 57,580 | 53,198 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Current -
Federal
|
$ | 11,978 | 11,625 | 10,809 | ||||||||
- State
|
1,962 | 1,938 | 1,927 | |||||||||
Deferred -
Federal
|
(703 | ) | (348 | ) | (1,112 | ) | ||||||
- State
|
(117 | ) | (65 | ) | (201 | ) | ||||||
Total
|
$ | 13,120 | 13,150 | 11,423 | ||||||||
|
||||||||||||
Effective
tax rate
|
37.4 | % | 37.6 | % | 37.2 | % |
As
of December 31,
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Assets
|
||||||||||||
Interest-earning
assets
|
||||||||||||
Net
loans
|
80 | % | 81 | % | 80 | % | ||||||
Securities
available for sale
|
6 | 6 | 6 | |||||||||
Securities
held to maturity
|
1 | 1 | 1 | |||||||||
Short
term investments
|
5 | 6 | 5 | |||||||||
Total
interest-earning assets
|
92 | 94 | 92 | |||||||||
Noninterest-earning
assets
|
||||||||||||
Cash
and due from banks
|
3 | 1 | 2 | |||||||||
Premises
and equipment
|
2 | 2 | 2 | |||||||||
Other
assets
|
3 | 3 | 4 | |||||||||
Total
assets
|
100 | % | 100 | % | 100 | % | ||||||
Liabilities
and shareholders’ equity
|
||||||||||||
Demand
deposits – noninterest bearing
|
8 | % | 10 | % | 10 | % | ||||||
NOW
deposits
|
7 | 8 | 9 | |||||||||
Money
market deposits
|
12 | 11 | 9 | |||||||||
Savings
deposits
|
5 | 4 | 5 | |||||||||
Time
deposits of $100,000 or more
|
22 | 21 | 20 | |||||||||
Other
time deposits
|
22 | 25 | 26 | |||||||||
Total
deposits
|
76 | 79 | 79 | |||||||||
Securities
sold under agreements to repurchase
|
2 | 2 | 2 | |||||||||
Borrowings
|
13 | 10 | 10 | |||||||||
Accrued
expenses and other liabilities
|
1 | 1 | 1 | |||||||||
Total
liabilities
|
92 | 92 | 92 | |||||||||
Shareholders’
equity
|
8 | 8 | 8 | |||||||||
Total
liabilities and shareholders’ equity
|
100 | % | 100 | % | 100 | % |
As
of December 31,
|
||||||||||||
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Securities
available for sale:
|
||||||||||||
Government-sponsored
enterprise securities
|
$ | 90,424 | 69,893 | 62,456 | ||||||||
Mortgage-backed
securities
|
46,962 | 39,296 | 43,442 | |||||||||
Corporate
bonds
|
16,848 | 13,855 | 13,580 | |||||||||
Equity
securities
|
16,959 | 12,070 | 10,486 | |||||||||
Total
securities available for sale
|
171,193 | 135,114 | 129,964 | |||||||||
Securities
held to maturity:
|
||||||||||||
State
and local governments
|
15,967 | 16,611 | 13,089 | |||||||||
Other
|
23 | 29 | 33 | |||||||||
Total
securities held to maturity
|
15,990 | 16,640 | 13,122 | |||||||||
Total
securities
|
$ | 187,183 | 151,754 | 143,086 | ||||||||
Average
total securities during year
|
$ | 168,504 | 144,821 | 129,498 |
As
of December 31,
|
||||||||||||
2008
|
||||||||||||
($
in thousands)
|
Book
Value
|
Fair
Value
|
Book
Yield
(1)
|
|||||||||
Securities
available for sale:
|
||||||||||||
Government-sponsored
enterprise securities
|
||||||||||||
Due
after one but within five years
|
$ | 88,951 | 90,424 | 4.15 | % | |||||||
Total
|
88,951 | 90,424 | 4.15 | % | ||||||||
Mortgage-backed
securities (2)
|
||||||||||||
Due
after one but within five years
|
4,510 | 4,598 | 4.29 | % | ||||||||
Due
after five but within ten years
|
9,700 | 9,766 | 4.36 | % | ||||||||
Due
after ten years
|
32,130 | 32,598 | 5.07 | % | ||||||||
Total
|
46,340 | 46,962 | 4.85 | % | ||||||||
Corporate
debt securities
|
||||||||||||
Due
after five but within ten years
|
6,093 | 5,921 | 5.90 | % | ||||||||
Due
after ten years
|
12,792 | 10,927 | 7.57 | % | ||||||||
Total
|
18,885 | 16,848 | 7.03 | % | ||||||||
Equity
securities
|
16,744 | 16,959 | 0.05 | % | ||||||||
Total
securities available for sale
|
||||||||||||
Due
after one but within five years
|
93,461 | 95,022 | 4.16 | % | ||||||||
Due
after five but within ten years
|
15,793 | 15,687 | 4.96 | % | ||||||||
Due
after ten years
|
44,922 | 43,525 | 5.78 | % | ||||||||
Equity
securities
|
16,744 | 16,959 | 0.05 | % | ||||||||
Total
|
$ | 170,920 | 171,193 | 4.26 | % | |||||||
Securities
held to maturity:
|
||||||||||||
State
and local governments
|
||||||||||||
Due
within one year
|
$ | 1,270 | 1,279 | 7.88 | % | |||||||
Due
after one but within five years
|
2,745 | 2,788 | 6.37 | % | ||||||||
Due
after five but within ten years
|
5,931 | 5,946 | 6.30 | % | ||||||||
Due
after ten years
|
6,021 | 5,775 | 6.16 | % | ||||||||
Total
|
15,967 | 15,788 | 6.38 | % | ||||||||
|
||||||||||||
Other
|
||||||||||||
Due
after one but within five years
|
23 | 23 | 3.31 | % | ||||||||
Total
|
23 | 23 | 3.31 | % | ||||||||
Total
securities held to maturity
|
||||||||||||
Due
within one year
|
1,270 | 1,279 | 7.88 | % | ||||||||
Due
after one but within five years
|
2,768 | 2,811 | 6.34 | % | ||||||||
Due
after five but within ten years
|
5,931 | 5,946 | 6.30 | % | ||||||||
Due
after ten years
|
6,021 | 5,775 | 6.16 | % | ||||||||
Total
|
$ | 15,990 | 15,811 | 6.38 | % |
(1)
|
Yields
on tax-exempt investments have been adjusted to a taxable equivalent basis
using a 39% tax rate.
|
(2)
|
Mortgage-backed
securities are shown maturing in the periods consistent with their
estimated lives based on expected prepayment
speeds.
|
As
of December 31,
|
||||||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||||||||||||||||||||||
($
in thousands)
|
Amount
|
%
of
Total
Loans
|
Amount
|
%
of
Total
Loans
|
Amount
|
%
of
Total
Loans
|
Amount
|
%
of
Total
Loans
|
Amount
|
%
of
Total
Loans
|
||||||||||||||||||||||||||||||
Commercial,
financial, and agricultural
|
$ | 195,990 | 9 | % | $ | 172,530 | 9 | % | $ | 165,214 | 10 | % | $ | 135,943 | 9 | % | $ | 122,501 | 9 | % | ||||||||||||||||||||
Real
estate – construction, land development & other land loans
(1)
|
423,986 | 19 | % | 383,973 | 20 | % | 271,710 | 16 | % | 167,612 | 11 | % | 127,321 | 9 | % | |||||||||||||||||||||||||
Real
estate – mortgage – residential (1-4 family) first mortgages
(1)
|
627,905 | 28 | % | 514,329 | 27 | % | 513,066 | 29 | % | 498,364 | 34 | % | 482,972 | 35 | % | |||||||||||||||||||||||||
Real
estate – mortgage – home equity loans / lines of credit
|
256,929 | 12 | % | 209,852 | 11 | % | 205,284 | 12 | % | 169,964 | 11 | % | 145,220 | 11 | % | |||||||||||||||||||||||||
Real
estate – mortgage – commercial and other
|
619,820 | 28 | % | 528,590 | 28 | % | 509,935 | 29 | % | 439,553 | 30 | % | 425,339 | 31 | % | |||||||||||||||||||||||||
Installment
loans to individuals
|
86,450 | 4 | % | 84,875 | 5 | % | 75,160 | 4 | % | 70,991 | 5 | % | 63,913 | 5 | % | |||||||||||||||||||||||||
Loans,
gross
|
2,211,080 | 100 | % | 1,894,149 | 100 | % | 1,740,369 | 100 | % | 1,482,427 | 100 | % | 1,367,266 | 100 | % | |||||||||||||||||||||||||
Unamortized
net deferred loan costs/ (fees)
|
235 | 146 | 27 | 184 | (213 | ) | ||||||||||||||||||||||||||||||||||
Total
loans, net
|
$ | 2,211,315 | $ | 1,894,295 | $ | 1,740,396 | $ | 1,482,611 | $ | 1,367,053 |
As
of December 31, 2008
|
||||||||||||||||||||||||||||||||
Due
within
one
year
|
Due
after one year but
within
five years
|
Due
after five
years
|
Total
|
|||||||||||||||||||||||||||||
($
in thousands)
|
Amount
|
Yield
|
Amount
|
Yield
|
Amount
|
Yield
|
Amount
|
Yield
|
||||||||||||||||||||||||
Variable
Rate Loans:
|
||||||||||||||||||||||||||||||||
Commercial,
financial, and agricultural
|
$ | 65,557 | 4.32 | % | $ | 16,676 | 3.83 | % | $ | 1,463 | 4.21 | % | $ | 83,696 | 4.22 | % | ||||||||||||||||
Real
estate – construction only
|
151,307 | 4.76 | % | 25,159 | 4.41 | % | 1,292 | 3.32 | % | 177,758 | 4.70 | % | ||||||||||||||||||||
Real
estate – all other mortgage
|
183,603 | 4.46 | % | 184,321 | 4.47 | % | 331,591 | 5.41 | % | 699,515 | 4.91 | % | ||||||||||||||||||||
Installment
loans to individuals
|
1,581 | 4.30 | % | 8,033 | 9.25 | % | 16,837 | 5.37 | % | 26,451 | 6.48 | % | ||||||||||||||||||||
Total
at variable rates
|
402,048 | 4.55 | % | 234,189 | 4.58 | % | 351,183 | 5.40 | % | 987,420 | 4.86 | % | ||||||||||||||||||||
Fixed
Rate Loans:
|
||||||||||||||||||||||||||||||||
Commercial,
financial, and agricultural
|
37,926 | 7.04 | % | 62,612 | 7.31 | % | 9,808 | 6.15 | % | 110,346 | 7.11 | % | ||||||||||||||||||||
Real
estate – construction only
|
25,325 | 6.60 | % | 4,376 | 7.01 | % | 4,576 | 6.51 | % | 34,277 | 6.64 | % | ||||||||||||||||||||
Real
estate – all other mortgage
|
175,364 | 6.79 | % | 730,721 | 7.03 | % | 88,323 | 6.79 | % | 994,408 | 6.97 | % | ||||||||||||||||||||
Installment
loans to individuals
|
10,422 | 8.36 | % | 45,916 | 9.57 | % | 1,926 | 7.18 | % | 58,264 | 9.28 | % | ||||||||||||||||||||
Total
at fixed rates
|
249,037 | 6.87 | % | 843,625 | 7.19 | % | 104,633 | 6.73 | % | 1,197,295 | 7.09 | % | ||||||||||||||||||||
Subtotal
|
651,085 | 5.44 | % | 1,077,814 | 6.62 | % | 455,816 | 5.71 | % | 2,184,715 | 6.08 | % | ||||||||||||||||||||
Nonaccrual
loans
|
26,600 |
─
|
─
|
26,600 | ||||||||||||||||||||||||||||
Total
loans
|
$ | 677,685 | $ | 1,077,814 | $ | 455,816 | $ | 2,211,315 |
As
of December 31,
|
||||||||||||||||||||
($
in thousands)
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Nonaccrual
loans
|
$ | 26,600 | 7,807 | 6,852 | 1,640 | 3,707 | ||||||||||||||
Troubled
debt restructurings
|
3,995 | 6 | 10 | 13 | 17 | |||||||||||||||
Accruing
loans >90 days past due
|
- | - | - | - | - | |||||||||||||||
Total
nonperforming loans
|
30,595 | 7,813 | 6,862 | 1,653 | 3,724 | |||||||||||||||
Other
assets – primarily other real estate
|
4,832 | 3,042 | 1,539 | 1,421 | 1,470 | |||||||||||||||
Total
nonperforming assets
|
$ | 35,427 | 10,855 | 8,401 | 3,074 | 5,194 | ||||||||||||||
Nonperforming
loans as a percentage of total loans
|
1.38 | % | 0.41 | % | 0.39 | % | 0.11 | % | 0.27 | % | ||||||||||
Nonperforming
assets as a percentage of loans and other real estate
|
1.60 | % | 0.57 | % | 0.48 | % | 0.21 | % | 0.38 | % | ||||||||||
Nonperforming
assets as a percentage of total assets
|
1.29 | % | 0.47 | % | 0.39 | % | 0.17 | % | 0.32 | % | ||||||||||
Allowance
for loan losses as a percentage of nonperforming loans
|
95.62 | % | 272.93 | % | 276.11 | % | 950.76 | % | 395.19 | % |
As
of December 31,
|
||||||||||||||||||||
($
in thousands)
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Commercial,
financial, and agricultural
|
$ | 4,913 | 3,516 | 3,548 | 2,686 | 2,453 | ||||||||||||||
Real
estate – construction
|
1,977 | 1,827 | 1,182 | 798 | 757 | |||||||||||||||
Real
estate – mortgage
|
19,543 | 13,477 | 12,186 | 10,445 | 9,965 | |||||||||||||||
Installment
loans to individuals
|
2,815 | 2,486 | 2,026 | 1,763 | 1,468 | |||||||||||||||
Total
allocated
|
29,248 | 21,306 | 18,942 | 15,692 | 14,643 | |||||||||||||||
Unallocated
|
8 | 18 | 5 | 24 | 74 | |||||||||||||||
Total
|
$ | 29,256 | 21,324 | 18,947 | 15,716 | 14,717 |
As
of December 31,
|
||||||||||||||||||||
($
in thousands)
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Loans
outstanding at end of year
|
$ | 2,211,315 | 1,894,295 | 1,740,396 | 1,482,611 | 1,367,053 | ||||||||||||||
Average
amount of loans outstanding
|
$ | 2,117,028 | 1,808,219 | 1,623,188 | 1,422,419 | 1,295,682 | ||||||||||||||
Allowance
for loan losses, at beginning of year
|
$ | 21,324 | 18,947 | 15,716 | 14,717 | 13,569 | ||||||||||||||
Provision
for loan losses
|
9,880 | 5,217 | 4,923 | 3,040 | 2,905 | |||||||||||||||
Additions
related to loans assumed in corporate acquisitions
|
3,158 |
─
|
52 |
─
|
─
|
|||||||||||||||
34,362 | 24,164 | 20,691 | 17,757 | 16,474 | ||||||||||||||||
Loans
charged off:
|
||||||||||||||||||||
Commercial,
financial and agricultural
|
(992 | ) | (982 | ) | (486 | ) | (756 | ) | (247 | ) | ||||||||||
Real
estate – mortgage
|
(2,932 | ) | (982 | ) | (510 | ) | (1,120 | ) | (1,143 | ) | ||||||||||
Installment
loans to individuals
|
(1,008 | ) | (894 | ) | (838 | ) | (487 | ) | (548 | ) | ||||||||||
Overdraft
losses (1)
|
(706 | ) | (319 | ) | (183 | ) |
─
|
─
|
||||||||||||
Total
charge-offs
|
(5,638 | ) | (3,177 | ) | (2,017 | ) | (2,363 | ) | (1,938 | ) | ||||||||||
Recoveries
of loans previously charged-off:
|
||||||||||||||||||||
Commercial,
financial and agricultural
|
31 | 49 | 57 | 99 | 45 | |||||||||||||||
Real
estate – mortgage
|
264 | 66 | 61 | 115 | 63 | |||||||||||||||
Installment
loans to individuals
|
111 | 148 | 112 | 108 | 73 | |||||||||||||||
Overdraft
recoveries (1)
|
126 | 74 | 43 |
─
|
─
|
|||||||||||||||
Total
recoveries
|
532 | 337 | 273 | 322 | 181 | |||||||||||||||
Net
charge-offs
|
(5,106 | ) | (2,840 | ) | (1,744 | ) | (2,041 | ) | (1,757 | ) | ||||||||||
Allowance
for loan losses, at end of year
|
$ | 29,256 | 21,324 | 18,947 | 15,716 | 14,717 | ||||||||||||||
Ratios:
|
||||||||||||||||||||
Net
charge-offs as a percent of average loans
|
0.24 | % | 0.16 | % | 0.11 | % | 0.14 | % | 0.14 | % | ||||||||||
Allowance
for loan losses as a percent of loans at end of
year
|
1.32 | % | 1.13 | % | 1.09 | % | 1.06 | % | 1.08 | % | ||||||||||
Allowance
for loan losses as a multiple of net charge-offs
|
5.73 | x | 7.51 | x | 10.86 | x | 7.70 | x | 8.38 | x | ||||||||||
Provision
for loan losses as a percent of net charge-offs
|
193.50 | % | 183.70 | % | 282.28 | % | 148.95 | % | 165.33 | % | ||||||||||
Recoveries
of loans previously charged-off as a percent of loans
charged-off
|
9.44 | % | 10.61 | % | 13.53 | % | 13.63 | % | 9.34 | % |
Year
Ended December 31,
|
||||||||||||||||||||||||
2008
|
2007
|
2006
|
||||||||||||||||||||||
($
in thousands)
|
Average
Amount
|
Average
Rate
|
Average
Amount
|
Average
Rate
|
Average
Amount
|
Average
Rate
|
||||||||||||||||||
NOW
accounts
|
$ | 197,459 | 0.19 | % | $ | 192,407 | 0.37 | % | $ | 187,888 | 0.36 | % | ||||||||||||
Money
market accounts
|
309,917 | 2.36 | % | 239,258 | 3.31 | % | 183,751 | 2.71 | % | |||||||||||||||
Savings
accounts
|
124,460 | 1.65 | % | 106,357 | 1.62 | % | 111,909 | 1.29 | % | |||||||||||||||
Time
deposits >$100,000
|
532,566 | 4.00 | % | 450,801 | 5.03 | % | 390,246 | 4.53 | % | |||||||||||||||
Other
time deposits
|
586,235 | 3.79 | % | 567,572 | 4.67 | % | 520,140 | 4.09 | % | |||||||||||||||
Total
interest-bearing deposits
|
1,750,637 | 3.04 | % | 1,556,395 | 3.83 | % | 1,393,934 | 3.30 | % | |||||||||||||||
Noninterest-bearing
deposits
|
234,695 | - | 223,870 | - | 205,641 | - | ||||||||||||||||||
Total
deposits
|
$ | 1,985,332 | 2.68 | % | $ | 1,780,265 | 3.35 | % | $ | 1,599,575 | 2.88 | % |
As
of December 31, 2008
|
||||||||||||||||||||
(In
thousands)
|
3
Months
or
Less
|
Over
3 to 6
Months
|
Over
6 to 12
Months
|
Over
12
Months
|
Total
|
|||||||||||||||
Time
deposits of $100,000 or more
|
$ | 189,475 | 135,114 | 208,505 | 59,098 | 592,192 |
Repricing
schedule for interest-earning assets and interest-bearing
liabilities
held as of December 31, 2008
|
||||||||||||||||||||
($
in thousands)
|
3
Months
or
Less
|
Over
3 to 12
Months
|
Total
Within
12
Months
|
Over
12
Months
|
Total
|
|||||||||||||||
Earning
assets:
|
||||||||||||||||||||
Loans,
net of deferred fees (1)
|
$ | 998,248 | 195,208 | 1,193,456 | 1,017,859 | 2,211,315 | ||||||||||||||
Securities
available for sale
|
26,822 | 44,614 | 71,436 | 99,757 | 171,193 | |||||||||||||||
Securities
held to maturity
|
2,329 | 441 | 2,770 | 13,220 | 15,990 | |||||||||||||||
Short-term
investments
|
137,188 |
─
|
137,188 |
─
|
137,188 | |||||||||||||||
Total
earning assets
|
$ | 1,164,587 | 240,263 | 1,404,850 | 1,130,836 | 2,535,686 | ||||||||||||||
Percent
of total earning assets
|
45.93 | % | 9.48 | % | 55.40 | % | 44.60 | % | 100.00 | % | ||||||||||
Cumulative
percent of total earning assets
|
45.93 | % | 55.40 | % | 55.40 | % | 100.00 | % | 100.00 | % | ||||||||||
Interest-bearing
liabilities:
|
||||||||||||||||||||
NOW
deposits
|
$ | 198,775 |
─
|
198,775 |
─
|
198,775 | ||||||||||||||
Money
market deposits
|
340,739 |
─
|
340,739 |
─
|
340,739 | |||||||||||||||
Savings
deposits
|
125,240 |
─
|
125,240 |
─
|
125,240 | |||||||||||||||
Time
deposits of $100,000 or more
|
189,475 | 343,619 | 533,094 | 59,098 | 592,192 | |||||||||||||||
Other
time deposits
|
144,063 | 385,706 | 529,769 | 58,598 | 588,367 | |||||||||||||||
Securities
sold under agreements to repurchase
|
61,140 |
─
|
61,140 |
─
|
61,140 | |||||||||||||||
Borrowings
|
334,394 | 5,000 | 339,394 | 27,881 | 367,275 | |||||||||||||||
Total
interest-bearing liabilities
|
$ | 1,393,826 | 734,325 | 2,128,151 | 145,577 | 2,273,728 | ||||||||||||||
Percent
of total interest-bearing liabilities
|
61.30 | % | 32.30 | % | 93.60 | % | 6.40 | % | 100.00 | % | ||||||||||
Cumulative
percent of total interest-bearing liabilities
|
61.30 | % | 93.60 | % | 93.60 | % | 100.00 | % | 100.00 | % | ||||||||||
Interest
sensitivity gap
|
$ | (229,239 | ) | (494,062 | ) | (723,301 | ) | 985,259 | 261,958 | |||||||||||
Cumulative
interest sensitivity gap
|
(229,239 | ) | (723,301 | ) | (723,301 | ) | 261,958 | 261,958 | ||||||||||||
Cumulative
interest sensitivity gap as a percent of total earning
assets
|
(9.04 | %) | (28.52 | %) | (28.52 | %) | 10.33 | % | 10.33 | % | ||||||||||
Cumulative
ratio of interest-sensitive assets to interest-sensitive
liabilities
|
83.55 | % | 66.01 | % | 66.01 | % | 111.52 | % | 111.52 | % |
Payments
Due by Period (in thousands)
|
||||||||||||||||||||
Contractual
Obligations
|
On
Demand or Less
|
|||||||||||||||||||
As
of December 31, 2008
|
Total
|
than
1 Year
|
1-3
Years
|
4-5
Years
|
After
5 Years
|
|||||||||||||||
Securities
sold under agreements to repurchase
|
$ | 61,140 | 61,140 |
─
|
─
|
─
|
||||||||||||||
Borrowings
|
367,275 | 290,000 | 23,381 | 7,500 | 46,394 | |||||||||||||||
Operating
leases
|
2,409 | 493 | 701 | 469 | 746 | |||||||||||||||
Total
contractual cash obligations, excluding deposits
|
430,824 | 351,633 | 24,082 | 7,969 | 47,140 | |||||||||||||||
Deposits
|
2,074,791 | 1,957,095 | 91,018 | 26,465 | 213 | |||||||||||||||
Total
contractual cash obligations, including deposits
|
$ | 2,505,615 | 2,308,728 | 115,100 | 34,434 | 47,353 |
Amount
of Commitment Expiration Per Period (in thousands)
|
||||||||||||||||||||
Other
Commercial
Commitments
|
Total
Amounts
|
Less
|
||||||||||||||||||
As
of December 31, 2008
|
Committed
|
than
1 Year
|
1-3
Years
|
4-5
Years
|
After
5 Years
|
|||||||||||||||
Credit
cards
|
$ | 26,870 | 13,435 | 13,435 |
─
|
─
|
||||||||||||||
Lines
of credit and loan commitments
|
314,645 | 129,311 | 18,793 | 9,039 | 157,502 | |||||||||||||||
Standby
letters of credit
|
8,297 | 8,063 | 198 | 36 |
─
|
|||||||||||||||
Total
commercial commitments
|
$ | 349,812 | 150,809 | 32,426 | 9,075 | 157,502 |
Expected
Maturities of Market Sensitive Instruments Held
at
December 31, 2008 Occurring in Indicated Year
|
||||||||||||||||||||||||||||||||||||
($
in thousands)
|
2009
|
2010
|
2011
|
2012
|
2013
|
Beyond
|
Total
|
Average
Interest Rate
|
Estimated
Fair
Value
|
|||||||||||||||||||||||||||
Due
from banks, interest-bearing
|
$ | 105,191 | - | - | - | - | - | 105,191 | 0.05 | % | $ | 105,191 | ||||||||||||||||||||||||
Federal
funds sold
|
31,574 | - | - | - | - | - | 31,574 | 0.05 | % | 31,574 | ||||||||||||||||||||||||||
Presold
mortgages in process of settlement
|
423 | - | - | - | - | - | 423 | 6.00 | % | 423 | ||||||||||||||||||||||||||
Debt
Securities- at amortized cost (1) (2)
|
72,144 | 28,784 | 7,645 | 14,597 | 8,341 | 38,654 | 170,165 | 4.87 | % | 170,045 | ||||||||||||||||||||||||||
Loans
– fixed (3) (4)
|
253,267 | 173,247 | 223,811 | 161,069 | 281,641 | 104,634 | 1,197,669 | 7.09 | % | 1,210,894 | ||||||||||||||||||||||||||
Loans
– adjustable (3) (4)
|
413,308 | 88,913 | 48,105 | 28,104 | 65,422 | 343,942 | 987,794 | 4.86 | % | 978,738 | ||||||||||||||||||||||||||
Total
|
$ | 875,907 | 290,944 | 279,561 | 203,770 | 355,404 | 487,230 | 2,492,816 | 5.67 | % | $ | 2,496,865 | ||||||||||||||||||||||||
NOW
deposits
|
$ | 198,775 | - | - | - | - | - | 198,775 | 0.12 | % | $ | 198,775 | ||||||||||||||||||||||||
Money
market deposits
|
340,739 | - | - | - | - | - | 340,739 | 2.17 | % | 340,739 | ||||||||||||||||||||||||||
Savings
deposits
|
125,240 | - | - | - | - | - | 125,240 | 1.61 | % | 125,240 | ||||||||||||||||||||||||||
Time
deposits
|
1,062,863 | 64,279 | 26,739 | 17,459 | 9,006 | 213 | 1,180,559 | 3.37 | % | 1,188,459 | ||||||||||||||||||||||||||
Securities
sold under agreements to repurchase
|
61,140 | - | - | - | - | - | 61,140 | 1.82 | % | 61,140 | ||||||||||||||||||||||||||
Borrowings
– fixed (2)
|
5,000 | 17,600 | 1,800 | 7,500 | - | - | 31,900 | 4.49 | % | 33,588 | ||||||||||||||||||||||||||
Borrowings
– adjustable
|
285,000 | - | 3,981 | – | – | 46,394 | 335,375 | 1.36 | % | 305,551 | ||||||||||||||||||||||||||
Total
|
$ | 2,078,757 | 81,879 | 32,520 | 24,959 | 9,006 | 46,607 | 2,273,728 | 2.48 | % | $ | 2,253,492 |
(1)
|
Tax-exempt
securities are reflected at a tax-equivalent basis using a 39% tax
rate.
|
(2)
|
Securities
and borrowings with call dates within 12 months of December 31, 2008 that
have above market interest rates are assumed to mature at their call date
for purposes of this table. Mortgage securities are assumed to
mature in the period of their expected repayment based on estimated
prepayment speeds.
|
(3)
|
Excludes
nonaccrual loans.
|
(4)
|
Loans
are shown in the period of their contractual maturity, except for home
equity lines of credit loans which are assumed to repay on a straight-line
basis over five years.
|
For
the Year Ended December 31,
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Return
on assets
|
0.89 | % | 1.02 | % | 1.00 | % | ||||||
Return
on equity
|
10.44 | % | 12.77 | % | 11.83 | % | ||||||
Dividend
payout ratio
|
55.07 | % | 50.00 | % | 54.81 | % | ||||||
Average
shareholders’ equity to average assets
|
8.49 | % | 7.99 | % | 8.49 | % | ||||||
As
of December 31,
|
||||||||||||
($
in thousands)
|
2008
|
2007
|
2006
|
|||||||||
Risk-Based
and Leverage Capital
|
||||||||||||
Tier
I capital:
|
||||||||||||
Common
shareholders’ equity
|
$ | 219,868 | 174,070 | 162,705 | ||||||||
Trust
preferred securities eligible for Tier I capital treatment
|
45,000 | 45,000 | 54,235 | |||||||||
Intangible
assets
|
(67,780 | ) | (51,020 | ) | (51,394 | ) | ||||||
Accumulated
other comprehensive income adjustments
|
8,156 | 4,334 | 4,550 | |||||||||
Total
Tier I leverage capital
|
205,244 | 172,384 | 170,096 | |||||||||
Tier
II capital:
|
||||||||||||
Remaining
trust preferred securities
|
– | – | 10,765 | |||||||||
Allowable
allowance for loan losses
|
27,285 | 21,324 | 18,947 | |||||||||
Tier
II capital additions
|
27,285 | 21,324 | 29,712 | |||||||||
Total
risk-based capital
|
$ | 232,529 | 193,708 | 199,808 | ||||||||
Total
risk weighted assets
|
$ | 2,182,831 | 1,880,480 | 1,691,666 | ||||||||
Adjusted
fourth quarter average assets
|
2,602,205 | 2,154,407 | 1,979,333 | |||||||||
Risk-based
capital ratios:
|
||||||||||||
Tier
I capital to Tier I risk adjusted assets
|
9.40 | % | 9.17 | % | 10.05 | % | ||||||
Minimum
required Tier I capital
|
4.00 | % | 4.00 | % | 4.00 | % | ||||||
Total
risk-based capital to Tier II risk-adjusted assets
|
10.65 | % | 10.30 | % | 11.81 | % | ||||||
Minimum
required total risk-based capital
|
8.00 | % | 8.00 | % | 8.00 | % | ||||||
Leverage
capital ratios:
|
||||||||||||
Tier
I leverage capital to adjusted fourth quarter average
assets
|
8.10 | % | 8.00 | % | 8.59 | % | ||||||
Minimum
required Tier I leverage capital
|
4.00 | % | 4.00 | % | 4.00 | % |
2008
|
2007
|
|||||||||||||||||||||||||||||||
($
in thousands except per share data)
|
Fourth
Quarter
|
Third
Quarter
|
Second
Quarter
|
First
Quarter
|
Fourth
Quarter
|
Third
Quarter
|
Second
Quarter
|
First
Quarter
|
||||||||||||||||||||||||
Income
Statement Data
|
||||||||||||||||||||||||||||||||
Interest
income, taxable equivalent
|
$ | 36,799 | 37,954 | 37,296 | 36,471 | 38,469 | 38,311 | 37,057 | 35,660 | |||||||||||||||||||||||
Interest
expense
|
14,124 | 15,004 | 15,632 | 16,543 | 17,751 | 17,998 | 17,239 | 16,670 | ||||||||||||||||||||||||
Net
interest income, taxable equivalent
|
22,675 | 22,950 | 21,664 | 19,928 | 20,718 | 20,313 | 19,818 | 18,990 | ||||||||||||||||||||||||
Taxable
equivalent, adjustment
|
166 | 165 | 163 | 164 | 155 | 136 | 140 | 124 | ||||||||||||||||||||||||
Net
interest income
|
22,509 | 22,785 | 21,501 | 19,764 | 20,563 | 20,177 | 19,678 | 18,866 | ||||||||||||||||||||||||
Provision
for loan losses
|
3,437 | 2,851 | 2,059 | 1,533 | 1,475 | 1,299 | 1,322 | 1,121 | ||||||||||||||||||||||||
Net
interest income after provision for losses
|
19,072 | 19,934 | 19,442 | 18,231 | 19,088 | 18,878 | 18,356 | 17,745 | ||||||||||||||||||||||||
Noninterest
income
|
4,961 | 5,434 | 5,337 | 5,375 | 5,103 | 4,277 | 4,857 | 4,236 | ||||||||||||||||||||||||
Noninterest
expense
|
16,076 | 15,470 | 16,344 | 14,771 | 14,999 | 13,941 | 14,510 | 14,130 | ||||||||||||||||||||||||
Income
before income taxes
|
7,957 | 9,898 | 8,435 | 8,835 | 9,192 | 9,214 | 8,703 | 7,851 | ||||||||||||||||||||||||
Income
taxes
|
2,956 | 3,701 | 3,157 | 3,306 | 3,430 | 3,471 | 3,284 | 2,965 | ||||||||||||||||||||||||
Net
income
|
5,001 | 6,197 | 5,278 | 5,529 | 5,762 | 5,743 | 5,419 | 4,886 | ||||||||||||||||||||||||
Per
Share Data
|
||||||||||||||||||||||||||||||||
Earnings
per share - basic
|
$ | 0.30 | 0.38 | 0.32 | 0.38 | 0.40 | 0.40 | 0.38 | 0.34 | |||||||||||||||||||||||
Earnings
per share - diluted
|
0.30 | 0.37 | 0.32 | 0.38 | 0.40 | 0.40 | 0.37 | 0.34 | ||||||||||||||||||||||||
Cash
dividends declared
|
0.19 | 0.19 | 0.19 | 0.19 | 0.19 | 0.19 | 0.19 | 0.19 | ||||||||||||||||||||||||
Market
Price
|
||||||||||||||||||||||||||||||||
High
|
18.47 | 20.48 | 20.80 | 20.86 | 21.34 | 21.38 | 21.67 | 26.72 | ||||||||||||||||||||||||
Low
|
12.00 | 11.25 | 12.63 | 16.65 | 16.79 | 16.40 | 18.56 | 20.96 | ||||||||||||||||||||||||
Close
|
18.35 | 17.10 | 12.64 | 19.93 | 18.89 | 20.38 | 18.73 | 21.38 | ||||||||||||||||||||||||
Book
value
|
13.27 | 13.28 | 13.14 | 12.37 | 12.11 | 11.88 | 11.63 | 11.49 | ||||||||||||||||||||||||
Tangible
book value
|
9.18 | 9.17 | 9.02 | 8.83 | 8.56 | 8.32 | 8.08 | 7.92 | ||||||||||||||||||||||||
Selected
Average Balances
|
||||||||||||||||||||||||||||||||
Assets
|
$ | 2,602,205 | 2,570,067 | 2,510,491 | 2,254,422 | 2,204,247 | 2,157,155 | 2,116,527 | 2,080,375 | |||||||||||||||||||||||
Loans
|
2,212,119 | 2,195,971 | 2,144,694 | 1,915,328 | 1,872,983 | 1,819,253 | 1,783,794 | 1,756,846 | ||||||||||||||||||||||||
Earning
assets
|
2,440,535 | 2,412,037 | 2,350,134 | 2,113,394 | 2,063,972 | 2,016,480 | 1,973,548 | 1,939,712 | ||||||||||||||||||||||||
Deposits
|
2,031,877 | 2,018,313 | 2,032,901 | 1,858,237 | 1,836,644 | 1,808,468 | 1,763,210 | 1,712,738 | ||||||||||||||||||||||||
Interest-bearing
liabilities
|
2,126,035 | 2,092,329 | 2,031,497 | 1,827,163 | 1,776,489 | 1,741,495 | 1,704,799 | 1,681,225 | ||||||||||||||||||||||||
Shareholders’
equity
|
224,703 | 222,237 | 217,704 | 178,597 | 175,675 | 171,947 | 169,169 | 166,637 | ||||||||||||||||||||||||
Ratios
(1)
|
||||||||||||||||||||||||||||||||
Return
on average assets
|
0.76 | % | 0.96 | % | 0.85 | % | 0.99 | % | 1.04 | % | 1.06 | % | 1.03 | % | 0.95 | % | ||||||||||||||||
Return
on average equity
|
8.85 | % | 11.09 | % | 9.75 | % | 12.45 | % | 13.01 | % | 13.25 | % | 12.85 | % | 11.89 | % | ||||||||||||||||
Equity
to assets at end of period
|
7.99 | % | 8.12 | % | 8.27 | % | 7.48 | % | 7.51 | % | 7.48 | % | 7.59 | % | 7.58 | % | ||||||||||||||||
Tangible
equity to tangible assets at end of period
|
5.67 | % | 5.75 | % | 5.82 | % | 5.45 | % | 5.43 | % | 5.36 | % | 5.40 | % | 5.35 | % | ||||||||||||||||
Average
loans to average deposits
|
108.87 | % | 108.80 | % | 105.50 | % | 103.07 | % | 101.98 | % | 100.60 | % | 101.17 | % | 102.58 | % | ||||||||||||||||
Average
earning assets to interest-bearing liabilities
|
114.79 | % | 115.28 | % | 115.68 | % | 115.67 | % | 116.18 | % | 115.79 | % | 115.76 | % | 115.37 | % | ||||||||||||||||
Net
interest margin
|
3.70 | % | 3.79 | % | 3.71 | % | 3.79 | % | 3.98 | % | 4.00 | % | 4.03 | % | 3.97 | % | ||||||||||||||||
Allowance
for loan losses to gross loans
|
1.32 | % | 1.26 | % | 1.20 | % | 1.14 | % | 1.13 | % | 1.12 | % | 1.12 | % | 1.10 | % | ||||||||||||||||
Nonperforming
loans as a percent of total loans
|
1.38 | % | 1.06 | % | 1.00 | % | 0.46 | % | 0.41 | % | 0.38 | % | 0.36 | % | 0.33 | % | ||||||||||||||||
Nonperforming
assets as a percent of total assets
|
1.29 | % | 1.04 | % | 0.94 | % | 0.51 | % | 0.47 | % | 0.39 | % | 0.38 | % | 0.38 | % | ||||||||||||||||
Net
charge-offs as a percent of average loans
|
0.38 | % | 0.18 | % | 0.22 | % | 0.18 | % | 0.17 | % | 0.17 | % | 0.16 | % | 0.14 | % |
|
(1) Annualized
where applicable.
|
($
in thousands)
|
2008
|
2007
|
||||||
ASSETS
|
||||||||
Cash
and due from banks, noninterest-bearing
|
$ | 88,015 | 31,455 | |||||
Due
from banks, interest-bearing
|
105,191 | 111,591 | ||||||
Federal
funds sold
|
31,574 | 23,554 | ||||||
Total
cash and cash equivalents
|
224,780 | 166,600 | ||||||
Securities
available for sale (costs of $170,920 in 2008 and $135,028 in
2007)
|
171,193 | 135,114 | ||||||
Securities
held to maturity (fair values of $15,811 in 2008 and $16,649 in
2007)
|
15,990 | 16,640 | ||||||
Presold
mortgages in process of settlement
|
423 | 1,668 | ||||||
Loans
|
2,211,315 | 1,894,295 | ||||||
Less: Allowance
for loan losses
|
(29,256 | ) | (21,324 | ) | ||||
Net
loans
|
2,182,059 | 1,872,971 | ||||||
Premises
and equipment
|
52,259 | 46,050 | ||||||
Accrued
interest receivable
|
12,653 | 12,961 | ||||||
Goodwill
|
65,835 | 49,505 | ||||||
Other
intangible assets
|
1,945 | 1,515 | ||||||
Other
assets
|
23,430 | 14,225 | ||||||
Total
assets
|
$ | 2,750,567 | 2,317,249 | |||||
LIABILITIES
|
||||||||
Deposits: Demand
– noninterest-bearing
|
$ | 229,478 | 232,141 | |||||
NOW
accounts
|
198,775 | 192,785 | ||||||
Money
market accounts
|
340,739 | 264,653 | ||||||
Savings
accounts
|
125,240 | 100,955 | ||||||
Time
deposits of $100,000 or more
|
592,192 | 479,176 | ||||||
Other
time deposits
|
588,367 | 568,567 | ||||||
Total
deposits
|
2,074,791 | 1,838,277 | ||||||
Securities
sold under agreements to repurchase
|
61,140 | 39,695 | ||||||
Borrowings
|
367,275 | 242,394 | ||||||
Accrued
interest payable
|
5,077 | 6,010 | ||||||
Other
liabilities
|
22,416 | 16,803 | ||||||
Total
liabilities
|
2,530,699 | 2,143,179 | ||||||
Commitments
and contingencies (see Note 12)
|
— | — | ||||||
SHAREHOLDERS’
EQUITY
|
||||||||
Preferred
stock, No par value per share. Authorized: 5,000,000 shares. Issued and
outstanding: None in 2008 and 2007
|
— | — | ||||||
Common
stock, No par value per share. Authorized: 20,000,000 shares. Issued and
outstanding: 16,573,826 shares in 2008 and 14,377,981 shares in
2007
|
96,072 | 56,302 | ||||||
Retained
earnings
|
131,952 | 122,102 | ||||||
Accumulated
other comprehensive income (loss)
|
(8,156 | ) | (4,334 | ) | ||||
Total
shareholders’ equity
|
219,868 | 174,070 | ||||||
Total
liabilities and shareholders’ equity
|
$ | 2,750,567 | 2,317,249 |
($
in thousands, except per share data)
|
2008
|
2007
|
2006
|
|||||||||
INTEREST
INCOME
|
||||||||||||
Interest
and fees on loans
|
$ | 138,878 | 139,323 | 120,694 | ||||||||
Interest
on investment securities:
|
||||||||||||
Taxable
interest income
|
7,333 | 6,453 | 5,718 | |||||||||
Tax-exempt
interest income
|
640 | 561 | 513 | |||||||||
Other,
principally overnight investments
|
1,011 | 2,605 | 2,282 | |||||||||
Total
interest income
|
147,862 | 148,942 | 129,207 | |||||||||
INTEREST
EXPENSE
|
||||||||||||
Savings,
NOW and money market
|
9,736 | 10,368 | 7,094 | |||||||||
Time
deposits of $100,000 or more
|
21,308 | 22,687 | 17,662 | |||||||||
Other
time deposits
|
22,197 | 26,498 | 21,276 | |||||||||
Securities
sold under agreements to repurchase
|
903 | 1,476 | 1,116 | |||||||||
Borrowings
|
7,159 | 8,629 | 7,523 | |||||||||
Total
interest expense
|
61,303 | 69,658 | 54,671 | |||||||||
Net
interest income
|
86,559 | 79,284 | 74,536 | |||||||||
Provision
for loan losses
|
9,880 | 5,217 | 4,923 | |||||||||
Net
interest income after provision for loan losses
|
76,679 | 74,067 | 69,613 | |||||||||
NONINTEREST
INCOME
|
||||||||||||
Service
charges on deposit accounts
|
13,535 | 9,988 | 8,968 | |||||||||
Other
service charges, commissions and fees
|
4,842 | 5,158 | 4,578 | |||||||||
Fees
from presold mortgage loans
|
869 | 1,135 | 1,062 | |||||||||
Commissions
from sales of insurance and financial products
|
1,552 | 1,511 | 1,434 | |||||||||
Data
processing fees
|
167 | 204 | 162 | |||||||||
Securities
gains (losses)
|
(14 | ) | 487 | 205 | ||||||||
Merchant
credit card loss
|
─
|
─
|
(1,900 | ) | ||||||||
Other
gains (losses)
|
156 | (10 | ) | (199 | ) | |||||||
Total
noninterest income
|
21,107 | 18,473 | 14,310 | |||||||||
NONINTEREST
EXPENSES
|
||||||||||||
Salaries
|
28,127 | 26,227 | 23,867 | |||||||||
Employee
benefits
|
7,319 | 7,443 | 6,811 | |||||||||
Total
personnel expense
|
35,446 | 33,670 | 30,678 | |||||||||
Occupancy
expense
|
4,175 | 3,795 | 3,447 | |||||||||
Equipment
related expenses
|
4,105 | 3,809 | 3,419 | |||||||||
Intangibles
amortization
|
416 | 374 | 322 | |||||||||
Other
operating expenses
|
18,519 | 15,932 | 15,332 | |||||||||
Total
noninterest expenses
|
62,661 | 57,580 | 53,198 | |||||||||
Income
before income taxes
|
35,125 | 34,960 | 30,725 | |||||||||
Income
taxes
|
13,120 | 13,150 | 11,423 | |||||||||
NET
INCOME
|
$ | 22,005 | 21,810 | 19,302 | ||||||||
Earnings
per share:
|
||||||||||||
Basic
|
$ | 1.38 | 1.52 | 1.35 | ||||||||
Diluted
|
1.37 | 1.51 | 1.34 | |||||||||
Dividends
declared per share
|
$ | 0.76 | 0.76 | 0.74 | ||||||||
Weighted
average common shares outstanding:
|
||||||||||||
Basic
|
15,980,533 | 14,378,279 | 14,294,753 | |||||||||
Diluted
|
16,027,144 | 14,468,974 | 14,435,252 |
($ in
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Net
income
|
$ | 22,005 | 21,810 | 19,302 | ||||||||
Other
comprehensive income (loss):
|
||||||||||||
Unrealized
gains/losses on securities available for sale:
|
||||||||||||
Unrealized
holding gains arising during the period, pretax
|
173 | 1,432 | 394 | |||||||||
Tax
expense
|
(67 | ) | (559 | ) | (154 | ) | ||||||
Reclassification
to realized (gains) losses
|
14 | (487 | ) | (205 | ) | |||||||
Tax
expense (benefit)
|
(5 | ) | 190 | 80 | ||||||||
Postretirement
Plans:
|
||||||||||||
Pension
benefit related to unfunded pension liability
|
─
|
─
|
16 | |||||||||
Tax
expense
|
─
|
─
|
(6 | ) | ||||||||
Net
loss arising during period
|
(6,795 | ) | (1,098 | ) |
─
|
|||||||
Tax
benefit
|
2,650 | 428 |
─
|
|||||||||
Amortization
of unrecognized net actuarial loss
|
308 | 467 |
─
|
|||||||||
Tax
expense
|
(120 | ) | (182 | ) |
─
|
|||||||
Amortization
of prior service cost and transition obligation
|
34 | 40 |
─
|
|||||||||
Tax
expense
|
(14 | ) | (15 | ) |
─
|
|||||||
Other
comprehensive income (loss)
|
(3,822 | ) | 216 | 125 | ||||||||
Comprehensive
income
|
$ | 18,183 | 22,026 | 19,427 |
Common
Stock
|
Retained
|
Accumulated
Other
Comprehensive
|
Total
Share-
holders’
|
|||||||||||||||||
(In thousands, except share
data)
|
Shares
|
Amount
|
Earnings
|
Income
(Loss)
|
Equity
|
|||||||||||||||
Balances,
January 1, 2006
|
14,229 | $ | 54,121 | 102,507 | (900 | ) | 155,728 | |||||||||||||
Net
income
|
19,302 | 19,302 | ||||||||||||||||||
Cash
dividends declared ($0.74 per share)
|
(10,589 | ) | (10,589 | ) | ||||||||||||||||
Common
stock issued under stock option plans
|
105 | 1,027 | 1,027 | |||||||||||||||||
Common
stock issued into dividend reinvestment plan
|
72 | 1,557 | 1,557 | |||||||||||||||||
Purchases
and retirement of common stock
|
(53 | ) | (1,112 | ) | (1,112 | ) | ||||||||||||||
Tax
benefit realized from exercise of nonqualified stock
options
|
─
|
117 | 117 | |||||||||||||||||
Stock-based
compensation
|
─
|
325 | 325 | |||||||||||||||||
Other
comprehensive income
|
125 | 125 | ||||||||||||||||||
Adoption
of SFAS No. 158
|
(3,775 | ) | (3,775 | ) | ||||||||||||||||
Balances,
December 31, 2006
|
14,353 | 56,035 | 111,220 | (4,550 | ) | 162,705 | ||||||||||||||
Net
income
|
21,810 | 21,810 | ||||||||||||||||||
Cash
dividends declared ($0.76 per share)
|
(10,928 | ) | (10,928 | ) | ||||||||||||||||
Common
stock issued under stock option plans
|
52 | 568 | 568 | |||||||||||||||||
Purchases
and retirement of common stock
|
(27 | ) | (532 | ) | (532 | ) | ||||||||||||||
Tax
benefit realized from exercise of nonqualified stock
options
|
─
|
41 | 41 | |||||||||||||||||
Stock-based
compensation
|
─
|
190 | 190 | |||||||||||||||||
Other
comprehensive income
|
216 | 216 | ||||||||||||||||||
Balances,
December 31, 2007
|
14,378 | 56,302 | 122,102 | (4,334 | ) | 174,070 | ||||||||||||||
Net
income
|
22,005 | 22,005 | ||||||||||||||||||
Cash
dividends declared ($0.76 per share)
|
(12,155 | ) | (12,155 | ) | ||||||||||||||||
Common
stock issued under stock option plans
|
57 | 705 | 705 | |||||||||||||||||
Common
stock issued into dividend reinvestment plan
|
80 | 1,252 | 1,252 | |||||||||||||||||
Common
stock issued in acquisition
|
2,059 | 37,605 | 37,605 | |||||||||||||||||
Tax
benefit realized from exercise of nonqualified stock
options
|
─
|
65 | 65 | |||||||||||||||||
Stock-based
compensation
|
─
|
143 | 143 | |||||||||||||||||
Other
comprehensive income
|
(3,822 | ) | (3,822 | ) | ||||||||||||||||
Balances,
December 31, 2008
|
16,574 | $ | 96,072 | 131,952 | (8,156 | ) | 219,868 |
($
in thousands)
|
2008
|
2007
|
2006
|
|||||||||
Cash
Flows From Operating Activities
|
||||||||||||
Net
income
|
$ | 22,005 | 21,810 | 19,302 | ||||||||
Reconciliation
of net income to net cash provided by operating
activities:
|
||||||||||||
Provision
for loan losses
|
9,880 | 5,217 | 4,923 | |||||||||
Net
security premium amortization (discount accretion)
|
(70 | ) | 67 | 86 | ||||||||
Net
purchase accounting adjustments - discount accretion
|
(1,099 | ) |
─
|
─
|
||||||||
Loss
(gain) on sale of securities available for sale
|
14 | (487 | ) | (205 | ) | |||||||
Other
losses (gains)
|
(156 | ) | 10 | 281 | ||||||||
Decrease
(increase) in net deferred loan costs
|
(89 | ) | (118 | ) | 157 | |||||||
Depreciation
of premises and equipment
|
3,459 | 3,286 | 2,873 | |||||||||
Stock-based
compensation expense
|
143 | 190 | 325 | |||||||||
Amortization
of intangible assets
|
416 | 374 | 322 | |||||||||
Deferred
income tax benefit
|
(1,365 | ) | (422 | ) | (1,341 | ) | ||||||
Originations
of presold mortgages in process of settlement
|
(56,088 | ) | (68,325 | ) | (66,157 | ) | ||||||
Proceeds
from sales of presold mortgages in process of settlement
|
57,333 | 71,423 | 64,738 | |||||||||
Decrease
(increase) in accrued interest receivable
|
1,289 | (803 | ) | (3,176 | ) | |||||||
Decrease
(increase) in other assets
|
1,474 | 1,075 | (467 | ) | ||||||||
Increase
(decrease) in accrued interest payable
|
(1,236 | ) | 361 | 1,736 | ||||||||
Decrease
in other liabilities
|
(1,617 | ) | (3,095 | ) | (226 | ) | ||||||
Net
cash provided by operating activities
|
34,293 | 30,563 | 23,171 | |||||||||
Cash
Flows From Investing Activities
|
||||||||||||
Purchases
of securities available for sale
|
(159,602 | ) | (90,046 | ) | (62,067 | ) | ||||||
Purchases
of securities held to maturity
|
(1,318 | ) | (5,117 | ) | (5,052 | ) | ||||||
Proceeds
from sales of securities available for sale
|
503 | 4,185 | 1,575 | |||||||||
Proceeds
from maturities/issuer calls of securities available for
sale
|
138,306 | 82,013 | 44,471 | |||||||||
Proceeds
from maturities/issuer calls of securities held to
maturity
|
2,291 | 1,577 | 3,355 | |||||||||
Net
increase in loans
|
(142,365 | ) | (159,531 | ) | (255,958 | ) | ||||||
Proceeds
from sales of foreclosed real estate
|
2,991 | 1,522 | 1,887 | |||||||||
Purchases
of premises and equipment
|
(5,376 | ) | (5,786 | ) | (10,867 | ) | ||||||
Net
cash received in bank or branch acquisition
|
2,461 |
─
|
34,819 | |||||||||
Net
cash used by investing activities
|
(162,109 | ) | (171,183 | ) | (247,837 | ) | ||||||
Cash
Flows From Financing Activities
|
||||||||||||
Net
increase in deposits and repurchase agreements
|
111,148 | 139,017 | 166,871 | |||||||||
Proceeds
from borrowings, net
|
84,564 | 32,381 | 109,774 | |||||||||
Cash
dividends paid
|
(11,738 | ) | (10,923 | ) | (10,423 | ) | ||||||
Proceeds
from issuance of common stock
|
1,957 | 568 | 2,584 | |||||||||
Purchases
and retirement of common stock
|
─
|
(532 | ) | (1,112 | ) | |||||||
Tax
benefit from exercise of nonqualified stock options
|
65 | 41 | 117 | |||||||||
Net
cash provided by financing activities
|
185,996 | 160,552 | 267,811 | |||||||||
Increase
in Cash and Cash Equivalents
|
58,180 | 19,932 | 43,145 | |||||||||
Cash
and Cash Equivalents, Beginning of Year
|
166,600 | 146,668 | 103,523 | |||||||||
Cash
and Cash Equivalents, End of Year
|
$ | 224,780 | 166,600 | 146,668 | ||||||||
Supplemental
Disclosures of Cash Flow Information:
|
||||||||||||
Cash
paid during the period for:
|
||||||||||||
Interest
|
$ | 62,539 | 69,297 | 52,857 | ||||||||
Income
taxes
|
15,316 | 17,077 | 13,993 | |||||||||
Non-cash
investing and financing transactions:
|
||||||||||||
Foreclosed
loans transferred to other real estate
|
4,802 | 2,915 | 2,021 | |||||||||
Unrealized
gain on securities available for sale, net of taxes
|
115 | 577 | 115 | |||||||||
Common
stock issued in acquisition
|
37,605 |
─
|
─
|
For
the Years Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
||||||||||||||||||||||||||||||||||
($
in thousands, except per share amounts)
|
Income
(Numerator)
|
Shares
(Denominator)
|
Per
Share
Amount
|
Income
(Numerator)
|
Shares
(Denominator)
|
Per
Share
Amount
|
Income
(Numerator)
|
Shares
(Denominator)
|
Per
Share
Amount
|
|||||||||||||||||||||||||||
Basic
EPS
|
$ | 22,005 | 15,980,533 | $ | 1.38 | $ | 21,810 | 14,378,279 | $ | 1.52 | $ | 19,302 | 14,294,753 | $ | 1.35 | |||||||||||||||||||||
Effect
of dilutive securities
|
- | 46,611 | - | 90,695 | - | 140,499 | ||||||||||||||||||||||||||||||
Diluted
EPS
|
$ | 22,005 | 16,027,144 | $ | 1.37 | $ | 21,810 | 14,468,974 | $ | 1.51 | $ | 19,302 | 14,435,252 | $ | 1.34 |
December
31, 2008
|
December
31, 2007
|
December
31, 2006
|
||||||||||
Unrealized
gain (loss) on securities available for sale
|
$ | 273 | 86 | (860 | ) | |||||||
Deferred
tax asset (liability)
|
(106 | ) | (34 | ) | 336 | |||||||
Net
unrealized gain (loss) on securities available for sale
|
167 | 52 | (524 | ) | ||||||||
Additional
pension liability
|
(13,693 | ) | (7,240 | ) | (6,649 | ) | ||||||
Deferred
tax asset
|
5,370 | 2,854 | 2,623 | |||||||||
Net
additional pension liability
|
(8,323 | ) | (4,386 | ) | (4,026 | ) | ||||||
Total
accumulated other comprehensive income (loss)
|
$ | (8,156 | ) | (4,334 | ) | (4,550 | ) |
($
in thousands)
|
As
Recorded
by
Great
Pee Dee
|
Fair
Value
Adjustments
|
As
Recorded
by
First
Bancorp
|
|||||||||
Assets
|
||||||||||||
Cash
and cash equivalents
|
$ | 3,242 | – | 3,242 | ||||||||
Securities
|
15,364 | – | 15,364 | |||||||||
Loans,
gross
|
187,309 | 1,226 | (a) | 183,840 | ||||||||
(4,695 | ) (b) | |||||||||||
Allowance
for loan losses
|
(2,353 | ) | (805 | ) (c) | (3,158 | ) | ||||||
Premises
and equipment
|
5,060 | (708 | ) (d) | 4,352 | ||||||||
Core
deposit intangible
|
355 | 492 | (e) | 847 | ||||||||
Other
|
4,285 | 2,690 | (f) | 6,975 | ||||||||
Total
|
213,262 | (1,800 | ) | 211,462 | ||||||||
Liabilities
|
||||||||||||
Deposits
|
$ | 146,611 | 1,098 | (g) | 147,709 | |||||||
Borrowings
|
39,337 | 1,328 | (h) | 40,665 | ||||||||
Other
|
1,058 | – | 1,058 | |||||||||
Total
|
187,006 | 2,426 | 189,432 | |||||||||
Net
identifiable assets acquired
|
22,030 | |||||||||||
Total
cost of acquisition
|
||||||||||||
Value
of stock issued
|
$ | 37,022 | ||||||||||
Value
of assumed options
|
587 | |||||||||||
Direct
costs of acquisition
|
751 | |||||||||||
Total
cost of acquisition
|
38,360 | |||||||||||
Goodwill
recorded related to acquisition of Great Pee Dee Bancorp
|
$ | 16,330 |
(a)
|
This
fair value adjustment was recorded because the yields on the loans
purchased from Great Pee Dee exceeded the market rates as of the
acquisition date. This amount is being amortized to reduce
interest income over the remaining lives of the related loans, which had a
weighted average life of approximately 6.3 years on the acquisition
date.
|
(b)
|
This
fair value adjustment was recorded to write-down impaired loans assumed in
the acquisition to their estimated fair market
value.
|
(c)
|
This
fair value adjustment was the estimated amount of additional inherent loan
losses associated with non-impaired
loans.
|
(d)
|
This
adjustment represents the amount necessary to reduce premises and
equipment from its book value on the date of acquisition to its estimated
fair market value.
|
(e)
|
This
fair value adjustment represents the value of the core deposit base
assumed in the acquisition based on a study performed by an independent
consulting firm. This amount was recorded by the Company as an
identifiable intangible asset and is being amortized as expense on a
straight-line basis over the weighted average life of the core deposit
base, which was estimated to be 7.4 years on the acquisition
date.
|
(f)
|
This
fair value adjustment represents the net deferred tax asset associated
with the other fair value adjustments made to record the
transaction.
|
(g)
|
This
fair value adjustment was recorded because the weighted average interest
rate of Great Pee Dee’s time deposits exceeded the cost of similar
wholesale funding at the time of the acquisition. This
amount
|
(h)
|
This
fair value adjustment was recorded because the interest rates of Great Pee
Dee’s fixed rate borrowings exceeded market interest rates on similar
borrowings as of the acquisition date. This amount is being
amortized to reduce interest expense over the remaining lives of the
related borrowings, which ranged from 28 months to 48 months on the
acquisition date.
|
($
in thousands)
|
Year
Ended
December
31, 2008
|
|||
Interest
income – reduced by premium amortization
|
$ | (147 | ) | |
Interest
expense – reduced by premium amortization of deposits
|
(898 | ) | ||
Interest
expense – reduced by premium amortization of borrowings
|
(347 | ) | ||
Impact
on net interest income
|
1,098 | |||
Amortization
of core deposit intangible
|
86 | |||
Total
effect on income before income taxes
|
1,012 | |||
Income
taxes
|
395 | |||
Total
effect on net income of Great Pee Dee purchase accounting
adjustments
|
$ | 617 |
($
in thousands, except share data)
|
Year
Ended
December
31, 2008
|
Year
Ended
December
31, 2007
|
||||||
Net
interest income
|
$ | 88,487 | 87,317 | |||||
Noninterest
income
|
21,336 | 19,612 | ||||||
Total
revenue
|
109,823 | 106,929 | ||||||
Provision
for loan losses
|
10,230 | 5,444 | ||||||
Noninterest
expense
|
66,646 | 62,966 | ||||||
Income
before income taxes
|
32,947 | 38,519 | ||||||
Income
tax expense
|
12,545 | 14,660 | ||||||
Net
income
|
20,402 | 23,859 | ||||||
Earnings
per share
|
||||||||
Basic
|
1.24 | 1.45 | ||||||
Diluted
|
1.23 | 1.44 |
2008
|
2007
|
|||||||||||||||||||||||||||||||
Amortized
|
Fair
|
Unrealized
|
Amortized
|
Fair
|
Unrealized
|
|||||||||||||||||||||||||||
(In
thousands)
|
Cost
|
Value
|
Gains
|
(Losses)
|
Cost
|
Value
|
Gains
|
(Losses)
|
||||||||||||||||||||||||
Securities
available for sale:
|
||||||||||||||||||||||||||||||||
Government-sponsored
enterprise securities
|
$ | 88,951 | 90,424 | 1,473 |
─
|
69,463 | 69,893 | 443 | (13 | ) | ||||||||||||||||||||||
Mortgage-backed
securities
|
46,340 | 46,962 | 779 | (157 | ) | 39,706 | 39,296 | 65 | (475 | ) | ||||||||||||||||||||||
Corporate
bonds
|
18,885 | 16,848 | 380 | (2,417 | ) | 13,819 | 13,855 | 271 | (235 | ) | ||||||||||||||||||||||
Equity
securities
|
16,744 | 16,959 | 280 | (65 | ) | 12,040 | 12,070 | 55 | (26 | ) | ||||||||||||||||||||||
Total
available for sale
|
$ | 170,920 | 171,193 | 2,912 | (2,639 | ) | 135,028 | 135,114 | 834 | (749 | ) | |||||||||||||||||||||
Securities
held to maturity:
|
||||||||||||||||||||||||||||||||
State
and local governments
|
$ | 15,967 | 15,788 | 109 | (288 | ) | 16,611 | 16,620 | 102 | (93 | ) | |||||||||||||||||||||
Other
|
23 | 23 |
─
|
─
|
29 | 29 |
─
|
─
|
||||||||||||||||||||||||
Total
held to maturity
|
$ | 15,990 | 15,811 | 109 | (288 | ) | 16,640 | 16,649 | 102 | (93 | ) |
Securities
in an Unrealized Loss Position
for Less than 12 Months |
Securities
in an Unrealized Loss Position for
More
than 12 Months
|
Total
|
||||||||||||||||||||||
(in
thousands)
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
||||||||||||||||||
Government-sponsored
enterprise securities
|
$ | – | – | – | – | – | – | |||||||||||||||||
Mortgage-backed
securities
|
3,468 | 27 | 5,430 | 130 | 8,898 | 157 | ||||||||||||||||||
Corporate
bonds
|
8,543 | 2,165 | 2,847 | 252 | 11,390 | 2,417 | ||||||||||||||||||
Equity
securities
|
29 | 14 | 49 | 51 | 78 | 65 | ||||||||||||||||||
State
and local governments
|
8,737 | 288 | – | – | 8,737 | 288 | ||||||||||||||||||
Total
temporarily impaired securities
|
$ | 20,777 | 2,494 | 8,326 | 433 | 29,103 | 2,927 |
(in
thousands)
|
Securities
in an Unrealized Loss Position
for Less than 12 Months |
Securities
in an Unrealized Loss Position for
More
than 12 Months
|
Total
|
|||||||||||||||||||||
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
|||||||||||||||||||
Government-sponsored
enterprise securities
|
$ | – | – | 9,484 | 13 | 9,484 | 13 | |||||||||||||||||
Mortgage-backed
securities
|
– | – | 28,509 | 475 | 28,509 | 475 | ||||||||||||||||||
Corporate
bonds
|
3,935 | 57 | 2,922 | 178 | 6,857 | 235 | ||||||||||||||||||
Equity
securities
|
63 | 9 | 32 | 17 | 95 | 26 | ||||||||||||||||||
State
and local governments
|
3,269 | 46 | 3,944 | 47 | 7,213 | 93 | ||||||||||||||||||
Total
temporarily impaired securities
|
$ | 7,267 | 112 | 44,891 | 730 | 52,158 | 842 |
Securities
Available for Sale
|
Securities
Held to Maturity
|
|||||||||||||||
Amortized
|
Fair
|
Amortized
|
Fair
|
|||||||||||||
(In
thousands)
|
Cost
|
Value
|
Cost
|
Value
|
||||||||||||
Debt
securities
|
||||||||||||||||
Due
within one year
|
$ | – | – | $ | 1,270 | 1,279 | ||||||||||
Due
after one year but within five years
|
88,951 | 90,424 | 2,768 | 2,811 | ||||||||||||
Due
after five years but within ten years
|
6,093 | 5,921 | 5,931 | 5,946 | ||||||||||||
Due
after ten years
|
12,792 | 10,927 | 6,021 | 5,775 | ||||||||||||
Mortgage-backed
securities
|
46,340 | 46,962 |
─
|
─
|
||||||||||||
Total
debt securities
|
154,176 | 154,234 | 15,990 | 15,811 | ||||||||||||
Equity
securities
|
16,744 | 16,959 |
─
|
─
|
||||||||||||
Total
securities
|
$ | 170,920 | 171,193 | $ | 15,990 | 15,811 |
(In
thousands)
|
2008
|
2007
|
||||||
Commercial,
financial, and agricultural
|
$ | 195,990 | 172,530 | |||||
Real
estate – construction, land development, and other land
loans
|
423,986 | 383,973 | ||||||
Real
estate – mortgage – residential (1-4 family) first
mortgages
|
627,905 | 514,329 | ||||||
Real
estate – mortgage – home equity loans/lines of credit
|
256,929 | 209,852 | ||||||
Real
estate – mortgage – commercial and other
|
619,820 | 528,590 | ||||||
Installment
loans to individuals
|
86,450 | 84,875 | ||||||
Subtotal
|
2,211,080 | 1,894,149 | ||||||
Unamortized
net deferred loan costs
|
235 | 146 | ||||||
Loans,
including net deferred loan costs
|
$ | 2,211,315 | 1,894,295 |
(In
thousands)
|
2008
|
2007
|
||||||
Loans: Nonaccrual
loans
|
$ | 26,600 | 7,807 | |||||
Troubled
debt restructurings
|
3,995 | 6 | ||||||
Accruing
loans greater than 90 days past due
|
– | – | ||||||
Total
nonperforming loans
|
30,595 | 7,813 | ||||||
Other
real estate (included in other assets on balance sheet)
|
4,832 | 3,042 | ||||||
Total
nonperforming assets
|
$ | 35,427 | 10,855 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Balance,
beginning of year
|
$ | 21,324 | 18,947 | 15,716 | ||||||||
Provision
for loan losses
|
9,880 | 5,217 | 4,923 | |||||||||
Recoveries
of loans charged-off
|
532 | 337 | 273 | |||||||||
Loans
charged-off
|
(5,638 | ) | (3,177 | ) | (2,017 | ) | ||||||
Allowance
recorded related to loans assumed in corporate
acquisitions
|
3,158 |
─
|
52 | |||||||||
Balance,
end of year
|
$ | 29,256 | 21,324 | 18,947 |
($
in thousands)
|
As
of /for the year ended
December 31, 2008
|
As
of /for the year ended
December
31,
2007
|
As
of /for the year ended
December
31,
2006
|
|||||||||
Impaired
loans at period end
|
$ | 22,146 | 3,883 | 2,864 | ||||||||
Average
amount of impaired loans for period
|
12,547 | 3,161 | 1,445 | |||||||||
Allowance
for loan losses related to impaired loans at period end
|
2,869 | 751 | 511 | |||||||||
Amount
of impaired loans with no related allowance at period end
|
(1) 14,609 | 1,982 | 842 | |||||||||
($
in thousands)
SOP
03-3 Loans
|
Contractual
Principal Receivable
|
Fair
Market Value Adjustment – Write Down (Nonaccretable
Difference)
|
Carrying
Amount
|
|||||||||
As
of April 1, 2008 acquisition date
|
$ | 7,663 | 4,695 | 2,968 | ||||||||
Additions
due to borrower advances
|
663 | − | 663 | |||||||||
Change
due to payments received
|
(510 | ) | − | (510 | ) | |||||||
Change
due to legal discharge of debt
|
(102 | ) | (102 | ) | − | |||||||
Balance
at December 31, 2008
|
$ | 7,714 | 4,593 | 3,121 |
(In
thousands)
|
2008
|
2007
|
||||||
Land
|
$ | 14,747 | 13,277 | |||||
Buildings
|
39,344 | 33,527 | ||||||
Furniture
and equipment
|
25,878 | 23,881 | ||||||
Leasehold
improvements
|
1,352 | 1,332 | ||||||
Total
cost
|
81,321 | 72,017 | ||||||
Less
accumulated depreciation and amortization
|
(29,062 | ) | (25,967 | ) | ||||
Net
book value of premises and equipment
|
$ | 52,259 | 46,050 |
December
31, 2008
|
December
31, 2007
|
|||||||||||||||
(In
thousands)
|
Gross
Carrying Amount
|
Accumulated
Amortization
|
Gross
Carrying Amount
|
Accumulated
Amortization
|
||||||||||||
Amortized
intangible assets:
|
||||||||||||||||
Customer
lists
|
$ | 394 | 210 | 394 | 179 | |||||||||||
Core
deposit premiums
|
3,792 | 2,031 | 2,945 | 1,645 | ||||||||||||
Total
|
$ | 4,186 | 2,241 | 3,339 | 1,824 | |||||||||||
Unamortized
intangible assets:
|
||||||||||||||||
Goodwill
|
$ | 65,835 | 49,505 |
(In
thousands)
|
Estimated
Amortization
Expense
|
|||
2009
|
$ | 393 | ||
2010
|
376 | |||
2011
|
361 | |||
2012
|
349 | |||
2013
|
239 | |||
Thereafter
|
227 | |||
Total
|
$ | 1,945 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Allocated
to net income
|
$ | 13,120 | 13,150 | 11,423 | ||||||||
Allocated
to stockholders’ equity, for unrealized holding gain/loss on debt and
equity securities for financial reporting purposes
|
72 | 369 | 74 | |||||||||
Allocated
to stockholders’ equity, for tax benefit of pension
liabilities
|
(2,516 | ) | (231 | ) | (2,456 | ) | ||||||
Total
income taxes
|
$ | 10,676 | 13,288 | 9,041 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Current -
Federal
|
$ | 11,978 | 11,625 | 10,809 | ||||||||
- State
|
1,962 | 1,938 | 1,927 | |||||||||
Deferred -
Federal
|
(703 | ) | (348 | ) | (1,112 | ) | ||||||
-
State
|
(117 | ) | (65 | ) | (201 | ) | ||||||
Total
|
$ | 13,120 | 13,150 | 11,423 |
(In
thousands)
|
2008
|
2007
|
||||||
Deferred
tax assets:
|
||||||||
Allowance
for loan losses
|
$ | 13,304 | 8,364 | |||||
Excess
book over tax SERP retirement plan cost
|
1,525 | 1,257 | ||||||
Basis
of investment in subsidiary
|
69 | 69 | ||||||
Reserve
for employee medical expense for financial reporting
purposes
|
20 | 20 | ||||||
Deferred
compensation
|
327 | 177 | ||||||
State
net operating loss carryforwards
|
219 | 226 | ||||||
Trust
preferred security issuance costs
|
191 | 154 | ||||||
Accruals,
book versus tax
|
258 | 252 | ||||||
Pension
liability adjustments
|
5,370 | 2,854 | ||||||
Book
versus tax basis differences - bonds
|
49 |
─
|
||||||
Net
loan fees recognized for tax reporting purposes
|
─
|
24 | ||||||
All
other
|
401 | 416 | ||||||
Gross
deferred tax assets
|
21,733 | 13,813 | ||||||
Less:
Valuation allowance
|
(219 | ) | (224 | ) | ||||
Net
deferred tax assets
|
21,514 | 13,589 | ||||||
Deferred
tax liabilities:
|
||||||||
Loan
fees
|
(1,139 | ) | (1,272 | ) | ||||
Excess
tax over book pension cost
|
(502 | ) | (547 | ) | ||||
Depreciable
basis of fixed assets
|
(1,561 | ) | (1,525 | ) | ||||
Amortizable
basis of intangible assets
|
(5,656 | ) | (4,836 | ) | ||||
Net
loan fees recognized for tax reporting purposes
|
(11 | ) |
─
|
|||||
Unrealized
gain on securities available for sale
|
(106 | ) | (33 | ) | ||||
FHLB
stock dividends
|
(436 | ) | (436 | ) | ||||
Book
versus tax basis differences – purchase accounting
adjustments
|
(4 | ) |
─
|
|||||
Gross
deferred tax liabilities
|
(9,415 | ) | (8,649 | ) | ||||
Net
deferred tax asset - included in other assets
|
$ | 12,099 | 4,940 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Tax
provision at statutory rate
|
$ | 12,294 | 12,235 | 10,754 | ||||||||
Increase
(decrease) in income taxes resulting from:
|
||||||||||||
Tax-exempt
interest income
|
(376 | ) | (321 | ) | (287 | ) | ||||||
Low
income housing tax credits
|
(114 | ) | (114 | ) | (114 | ) | ||||||
Non-deductible
interest expense
|
42 | 45 | 34 | |||||||||
State
income taxes, net of federal benefit
|
1,199 | 1,218 | 1,122 | |||||||||
Change
in valuation allowance
|
3 | (15 | ) | (36 | ) | |||||||
Other,
net
|
72 | 102 | (50 | ) | ||||||||
Total
|
$ | 13,120 | 13,150 | 11,423 |
(In
thousands)
|
||||
2009
|
$ | 1,062,863 | ||
2010
|
64,279 | |||
2011
|
26,739 | |||
2012
|
17,459 | |||
2013
|
9,006 | |||
Thereafter
|
213 | |||
$ | 1,180,559 |
($
in thousands)
|
2008
|
2007
|
||||||
Balance
at December 31
|
$ | 61,140 | 39,695 | |||||
Weighted
average interest rate at December 31
|
1.82 | % | 3.40 | % | ||||
Maximum
amount outstanding at any month-end during the year
|
$ | 61,140 | 50,610 | |||||
Average
daily balance outstanding during the year
|
$ | 42,097 | 39,220 | |||||
Average
annual interest rate paid during the year
|
2.15 | % | 3.76 | % |
Description
- 2008
|
Due
date
|
Call
Feature
|
2008
Amount
|
Interest Rate
|
|||||
FHLB
Overnight Borrowings
|
1/1/09,
renewable daily
|
None
|
$ | 230,000,000 |
0.46%
subject to
change
daily
|
||||
Federal
Funds Purchased
|
1/1/09,
renewable daily
|
None
|
35,000,000 |
0.45%
subject to
change
daily
|
|||||
FHLB
Term Note
|
4/21/09
|
None
remaining
|
5,000,000 |
5.26%
fixed
|
|||||
FHLB
Term Note
|
8/10/10
|
Quarterly
by FHLB, beginning 8/11/08
|
5,600,000 |
4.46%
fixed
|
|||||
FHLB
Term Note
|
8/16/10
|
Quarterly
by FHLB, beginning 8/18/08
|
5,000,000 |
4.41%
fixed
|
|||||
FHLB
Term Note
|
9/13/10
|
Quarterly
by FHLB, beginning 9/15/08
|
7,000,000 |
4.07%
fixed
|
|||||
FHLB
Term Note
|
8/1/11
|
None
|
3,000,000 |
3.19%
at 12/31/08
Adjustable
rate based on 3 month LIBOR
|
|||||
FHLB
Term Note
|
12/12/11
|
Quarterly
by FHLB, beginning 6/12/08
|
1,800,000 |
4.21%
fixed
|
|||||
FHLB
Term Note
|
4/20/12
|
Quarterly
by FHLB, beginning 4/20/09
|
7,500,000 |
4.51%
fixed
|
|||||
Line
of Credit with Commercial Bank
|
10/31/09
|
Payable
anytime by Company
without
penalty
|
20,000,000 |
2.25%
at 12/31/08 adjustable rate
Prime
minus 1%
|
|||||
Trust
Preferred Securities
|
1/23/34
|
Quarterly
by Company
beginning
1/23/09
|
20,620,000 |
6.17%
at 12/31/08
adjustable
rate
3
month LIBOR + 2.70%
|
|||||
Trust
Preferred Securities
|
6/15/36
|
Quarterly
by Company
beginning
6/15/11
|
25,774,000 |
3.39%
at 12/31/08
adjustable
rate
3
month LIBOR + 1.39%
|
|||||
Total
borrowings/ weighted average rate
|
366,294,000 |
1.46%
(4.07% excluding overnight borrowings)
|
|||||||
Unamortized
fair market value adjustment recorded in acquisition of Great Pee
Dee
|
981,000 | ||||||||
Total
borrowings as of December 31, 2008
|
$ | 367,275,000 |
Description
- 2007
|
Due
date
|
Call
Feature
|
2007
Amount
|
Interest Rate
|
|||||
FHLB
Overnight Borrowings
|
1/1/08,
renewable daily
|
None
|
$ | 170,000,000 |
4.40%
subject to
change
daily
|
||||
FHLB
Term Note
|
6/23/08
|
None
|
1,000,000 |
5.51%
fixed
|
|||||
FHLB
Term Note
|
4/21/09
|
None
remaining
|
5,000,000 |
5.26%
fixed
|
|||||
Line
of Credit with Commercial Bank
|
10/30/09
|
Payable
anytime by Company
without
penalty
|
20,000,000 |
6.38%
at 12/31/07 adjustable rate
3
month LIBOR + 1.50%
|
|||||
Trust
Preferred Securities
|
1/23/34
|
Quarterly
by Company
beginning
1/23/09
|
20,620,000 |
7.68%
at 12/31/07
adjustable
rate
3
month LIBOR + 2.70%
|
|||||
Trust
Preferred Securities
|
6/15/36
|
Quarterly
by Company
beginning
6/15/11
|
25,774,000 |
6.38%
at 12/31/07
adjustable
rate
3
month LIBOR + 1.39%
|
|||||
Total
borrowings/ weighted average rate
|
$ | 242,394,000 |
5.08%
(6.66% excluding overnight
borrowings)
|
(In
thousands)
|
||||
Year
ending December 31:
|
||||
2009
|
$ | 493 | ||
2010
|
388 | |||
2011
|
313 | |||
2012
|
251 | |||
2013
|
218 | |||
Later
years
|
746 | |||
Total
|
$ | 2,409 |
Investment
type
|
Balance
at
December
31, 2008
|
%
of Total Assets at
December
31, 2008
|
Targeted
%
of
Total Assets
|
|||||||||
(Dollars
in thousands)
|
||||||||||||
Fixed income investments
|
||||||||||||
Cash/money
market account
|
$ | 1,464 | 11 | % | 1%-5 | % | ||||||
US
government bond fund
|
1,685 | 13 | % | 10%-20 | % | |||||||
US
corporate bond fund
|
1,806 | 14 | % | 5%-15 | % | |||||||
US
corporate high yield bond fund
|
613 | 4 | % | 0%-10 | % | |||||||
Equity investments
|
||||||||||||
Large
cap value fund
|
2,076 | 16 | % | 20%-30 | % | |||||||
Large
cap growth fund
|
1,944 | 15 | % | 20%-30 | % | |||||||
Mid-small
cap growth fund
|
1,800 | 14 | % | 15%-25 | % | |||||||
Foreign
equity fund
|
1,003 | 8 | % | 5%-15 | % | |||||||
Company
stock
|
674 | 5 | % | 0%-10 | % | |||||||
Total
|
$ | 13,065 | 100 | % |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Change in benefit
obligation
|
||||||||||||
Projected
benefit obligation at beginning of year
|
$ | 20,953 | 17,774 | 16,093 | ||||||||
Service
cost
|
1,453 | 1,490 | 1,387 | |||||||||
Interest
cost
|
1,231 | 1,117 | 902 | |||||||||
Actuarial
(gain) loss
|
765 | 855 | (418 | ) | ||||||||
Benefits
paid
|
(363 | ) | (283 | ) | (190 | ) | ||||||
Projected
benefit obligation at end of year
|
24,039 | 20,953 | 17,774 | |||||||||
Change in plan assets
|
||||||||||||
Plan
assets at beginning of year
|
16,697 | 14,209 | 11,603 | |||||||||
Actual
return on plan assets
|
(4,669 | ) | 1,070 | 1,296 | ||||||||
Employer
contributions
|
1,400 | 1,700 | 1,500 | |||||||||
Benefits
paid
|
(363 | ) | (283 | ) | (190 | ) | ||||||
Other
|
– | 1 | – | |||||||||
Plan
assets at end of year
|
13,065 | 16,697 | 14,209 | |||||||||
Funded
status at end of year
|
$ | (10,974 | ) | (4,256 | ) | (3,565 | ) |
(In
thousands)
|
2008
|
2007
|
||||||
Other
assets – prepaid pension asset
|
$ | 1,394 | 1,502 | |||||
Other
liabilities
|
(12,368 | ) | (5,758 | ) | ||||
$ | (10,974 | ) | (4,256 | ) |
(In
thousands)
|
2008
|
2007
|
||||||
Net
(gain)/loss
|
$ | 12,247 | 5,622 | |||||
Net
transition obligation
|
39 | 40 | ||||||
Prior
service cost
|
82 | 96 | ||||||
Amount
recognized in AOCI before tax effect
|
12,368 | 5,758 | ||||||
Tax
benefit
|
(4,850 | ) | (2,269 | ) | ||||
Net
amount recognized as reduction to AOCI
|
$ | 7,518 | 3,489 |
(In
thousands)
|
2008
|
2007
|
||||||
Prepaid
pension cost as of beginning of fiscal year
|
$ | 1,502 | 1,497 | |||||
Net
periodic pension cost for fiscal year
|
(1,508 | ) | (1,695 | ) | ||||
Actual
employer contributions
|
1,400 | 1,700 | ||||||
Prepaid
pension asset as of end of fiscal year
|
$ | 1,394 | 1,502 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Service
cost – benefits earned during the period
|
$ | 1,453 | 1,490 | 1,387 | ||||||||
Interest
cost on projected benefit obligation
|
1,231 | 1,117 | 902 | |||||||||
Expected
return on plan assets
|
(1,446 | ) | (1,304 | ) | (1,037 | ) | ||||||
Net
amortization and deferral
|
270 | 392 | 393 | |||||||||
Net
periodic pension cost
|
$ | 1,508 | 1,695 | 1,645 |
(In
thousands)
|
Estimated
benefit payments
|
|||
Year
ending December 31, 2009
|
$ | 355 | ||
Year
ending December 31, 2010
|
392 | |||
Year
ending December 31, 2011
|
470 | |||
Year
ending December 31, 2012
|
576 | |||
Year
ending December 31, 2013
|
726 | |||
Years
ending December 31, 2014-2018
|
5,678 |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Change in benefit
obligation
|
||||||||||||
Projected
benefit obligation at beginning of year
|
$ | 4,711 | 4,133 | 3,223 | ||||||||
Service
cost
|
454 | 431 | 330 | |||||||||
Interest
cost
|
264 | 242 | 202 | |||||||||
Actuarial
(gain) loss
|
(85 | ) | 10 | 403 | ||||||||
Benefits
paid
|
(105 | ) | (105 | ) | (25 | ) | ||||||
Projected
benefit obligation at end of year
|
5,239 | 4,711 | 4,133 | |||||||||
Plan
assets
|
─
|
─
|
─
|
|||||||||
Funded
status at end of year
|
$ | (5,239 | ) | (4,711 | ) | (4,133 | ) |
(In
thousands)
|
2008
|
2007
|
||||||
Other
assets – prepaid pension asset (liability)
|
$ | (3,914 | ) | (3,229 | ) | |||
Other
liabilities
|
(1,325 | ) | (1,482 | ) | ||||
$ | (5,239 | ) | (4,711 | ) |
(In
thousands)
|
2008
|
2007
|
||||||
Net
(gain)/loss
|
$ | 1,167 | 1,305 | |||||
Prior
service cost
|
158 | 177 | ||||||
Amount
recognized in AOCI before tax effect
|
1,325 | 1,482 | ||||||
Tax
benefit
|
(520 | ) | (585 | ) | ||||
Net
amount recognized as reduction to AOCI
|
$ | 805 | 897 |
(In
thousands)
|
2008
|
2007
|
||||||
Prepaid
pension cost as of beginning of fiscal year
|
$ | (3,229 | ) | (2,546 | ) | |||
Net
periodic pension cost for fiscal year
|
(790 | ) | (788 | ) | ||||
Benefits
paid
|
105 | 105 | ||||||
Prepaid
pension cost as of end of fiscal year
|
$ | (3,914 | ) | (3,229 | ) |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Service
cost – benefits earned during the period
|
$ | 454 | 431 | 329 | ||||||||
Interest
cost on projected benefit obligation
|
264 | 242 | 202 | |||||||||
Net
amortization and deferral
|
72 | 115 | 133 | |||||||||
Net
periodic pension cost
|
$ | 790 | 788 | 664 |
(In
thousands)
|
Estimated
benefit payments
|
|||
Year
ending December 31, 2009
|
$ | 104 | ||
Year
ending December 31, 2010
|
128 | |||
Year
ending December 31, 2011
|
170 | |||
Year
ending December 31, 2012
|
198 | |||
Year
ending December 31, 2013
|
260 | |||
Years
ending December 31, 2014-2018
|
1,499 |
2008
|
2007
|
2006
|
||||||||||||||||||||||
Pension
Plan
|
SERP
|
Pension
Plan
|
SERP
|
Pension
Plan
|
SERP
|
|||||||||||||||||||
Discount
rate used to determine net periodic pension cost
|
6.00 | % | 6.00 | % | 5.75 | % | 5.75 | % | 5.50 | % | 5.50 | % | ||||||||||||
Discount
rate used to calculate end of year liability disclosures
|
5.75 | % | 5.75 | % | 6.00 | % | 6.00 | % | 5.75 | % | 5.75 | % | ||||||||||||
Expected
long-term rate of return on assets
|
7.75 | % | n/a | 8.75 | % | n/a | 8.75 | % | n/a | |||||||||||||||
Rate
of compensation increase
|
5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % |
Region,
with counties included in parenthesis
|
Loans
(in
millions)
|
|||
Triangle
North Carolina Region
(Moore,
Lee, Harnett, Chatham, Wake)
|
$ | 789 | ||
Triad
North Carolina Region
(Montgomery,
Randolph, Davidson, Rockingham, Guilford, Stanly)
|
447 | |||
Eastern
North Carolina Region
(New
Hanover, Brunswick, Duplin)
|
259 | |||
Southern
Piedmont North Carolina Region
(Anson,
Richmond, Scotland, Robeson)
|
230 | |||
South
Carolina Region
(Chesterfield,
Dillon, Florence)
|
204 | |||
Virginia
Region
(Wythe,
Washington, Montgomery, Pulaski)
|
157 | |||
Charlotte
North Carolina Region
(Iredell,
Cabarrus, Rowan)
|
116 | |||
Other
|
9 | |||
Total
loans
|
$ | 2,211 |
($
in thousands)
Issuer
|
Amortized
Cost
|
Fair
Value
|
||||||
Federal
Home Loan Bank System - bonds
|
$ | 73,426 | 74,730 | |||||
Federal
Home Loan Bank of Atlanta - common stock
|
16,490 | 16,490 | ||||||
Federal
Farm Credit Bank System - bonds
|
15,525 | 15,694 | ||||||
Freddie
Mac - mortgage-backed securities
|
15,088 | 15,161 | ||||||
Fannie
Mae - mortgage-backed securities
|
23,982 | 24,412 | ||||||
Ginnie
Mae - mortgage-backed securities
|
7,268 | 7,389 | ||||||
Bank
of America - trust preferred securities
|
7,132 | 6,015 | ||||||
First
Citizens Bancorp (North Carolina) - bonds/ trust preferred
securities
|
5,077 | 5,458 | ||||||
Citigroup
- bond
|
3,100 | 2,847 | ||||||
Wells
Fargo - trust preferred security
|
2,576 | 2,008 | ||||||
First
Citizens Bancorp (South Carolina) - trust preferred
security
|
1,000 | 520 |
December
31, 2008
|
December
31, 2007
|
|||||||||||||||
(In
thousands)
|
Carrying
Amount
|
Estimated
Fair Value
|
Carrying
Amount
|
Estimated
Fair Value
|
||||||||||||
Cash
and due from banks, noninterest-bearing
|
$ | 88,015 | 88,015 | 31,455 | 31,455 | |||||||||||
Due
from banks, interest-bearing
|
105,191 | 105,191 | 111,591 | 111,591 | ||||||||||||
Federal
funds sold
|
31,574 | 31,574 | 23,554 | 23,554 | ||||||||||||
Securities
available for sale
|
171,193 | 171,193 | 135,114 | 135,114 | ||||||||||||
Securities
held to maturity
|
15,990 | 15,811 | 16,640 | 16,649 | ||||||||||||
Presold
mortgages in process of settlement
|
423 | 423 | 1,668 | 1,668 | ||||||||||||
Loans,
net of allowance
|
2,182,059 | 2,186,229 | 1,872,971 | 1,868,099 | ||||||||||||
Accrued
interest receivable
|
12,653 | 12,653 | 12,961 | 12,961 | ||||||||||||
Deposits
|
2,074,791 | 2,082,691 | 1,838,277 | 1,839,560 | ||||||||||||
Securities
sold under agreements to repurchase
|
61,140 | 61,140 | 39,695 | 39,695 | ||||||||||||
Borrowings
|
367,275 | 339,139 | 242,394 | 241,144 | ||||||||||||
Accrued
interest payable
|
5,077 | 5,077 | 6,010 | 6,010 |
($
in thousands)
|
||||||||||||||||
Description
of Financial Instruments
|
Fair
Value at December 31, 2008
|
Quoted
Prices in Active Markets for Identical Assets (Level
1)
|
Significant
Other Observable Inputs (Level 2)
|
Significant
Unobservable Inputs (Level 3)
|
||||||||||||
Securities
available for sale
|
$ | 171,193 | $ | 418 | $ | 170,775 | $ | — | ||||||||
Impaired
loans
|
22,146 | — | 22,146 | — |
2008
|
2007
|
2006
|
|||
Expected
dividend yield
|
4.58%
|
3.88%
|
3.30%
|
||
Risk-free
interest rate
|
4.17%
|
4.92%
|
5.05%
|
||
Expected
life
|
9.7
years
|
7
years
|
7
years
|
||
Expected
volatility
|
34.65%
|
32.91%
|
32.56%
|
Options
Outstanding
|
||||||||||||||||
Number
of Shares
|
Weighted-Average
Exercise Price
|
Weighted-Average
Contractual Term (years)
|
Aggregate
Intrinsic
Value
|
|||||||||||||
Balance
at December 31, 2005
|
743,282 | 15.73 | ||||||||||||||
Granted
|
29,250 | 21.83 | ||||||||||||||
Exercised
|
(108,628 | ) | 10.27 | $ | 1,205,000 | |||||||||||
Forfeited
|
(300 | ) | 15.33 | |||||||||||||
Expired
|
(7,500 | ) | 12.61 | |||||||||||||
Balance
at December 31, 2006
|
656,104 | 16.94 | ||||||||||||||
Granted
|
24,750 | 19.61 | ||||||||||||||
Exercised
|
(62,372 | ) | 12.95 | $ | 535,000 | |||||||||||
Forfeited
|
(10,500 | ) | 21.70 | |||||||||||||
Expired
|
– | – | ||||||||||||||
Balance
at December 31, 2007
|
607,982 | 17.38 | ||||||||||||||
Granted
|
296,849 | 16.63 | ||||||||||||||
Assumed
in corporate acquisition
|
88,409 | 14.39 | ||||||||||||||
Exercised
|
(76,849 | ) | 13.83 | $ | 304,330 | |||||||||||
Forfeited
|
(87,515 | ) | 16.53 | |||||||||||||
Expired
|
– | – | ||||||||||||||
Outstanding
at December 31, 2008
|
828,876 | $ | 17.21 | 5.2 | $ | 285,931 | ||||||||||
Exercisable
at December 31, 2008
|
647,792 | $ | 17.36 | 4.1 | $ | 127,180 |
Nonvested
Performance Units
|
||||||||
Year
Ended December 31, 2008
|
Number
of Units
|
Weighted-Average
Grant-Date Fair Value
|
||||||
Nonvested
at the beginning of the period
|
– | $ | – | |||||
Granted
during the period
|
81,337 | 16.53 | ||||||
Vested
during the period
|
– | – | ||||||
Forfeited
or expired during the period
|
(27,112 | ) | 16.53 | |||||
Nonvested
at end of period
|
54,225 | $ | 16.53 |
Options
Outstanding
|
Options
Exercisable
|
|||||||||||||||||||||
Range
of
Exercise Prices
|
Number
Outstanding
at
12/31/08
|
Weighted-Average
Remaining Contractual Life
|
Weighted-
Average
Exercise
Price
|
Number
Exercisable
at
12/31/08
|
Weighted-
Average
Exercise
Price
|
|||||||||||||||||
$ | 8.85 to $11.06 | 40,233 | 1.5 | $ | 10.57 | 40,233 | $ | 10.57 | ||||||||||||||
$ | 11.06 to $13.27 | 43,309 | 0.3 | 11.47 | 43,309 | 11.47 | ||||||||||||||||
$ | 13.27 to $15.48 | 185,720 | 2.1 | 15.22 | 185,720 | 15.22 | ||||||||||||||||
$ | 15.48 to $17.70 | 293,884 | 7.7 | 16.51 | 118,800 | 16.47 | ||||||||||||||||
$ | 17.70 to $19.91 | 56,250 | 6.7 | 19.65 | 56,250 | 19.65 | ||||||||||||||||
$ | 19.91 to $22.12 | 209,480 | 5.9 | 21.76 | 203,480 | 21.79 | ||||||||||||||||
828,876 | 5.6 | $ | 17.21 | 647,792 | $ | 17.36 |
Actual
|
For
Capital
Adequacy
Purposes
|
To
Be Well Capitalized
Under
Prompt Corrective
Action
Provisions
|
||||||||||||||||||||||
($
in thousands)
|
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
||||||||||||||||||
(must
equal or exceed)
|
(must
equal or exceed)
|
|||||||||||||||||||||||
As
of December 31, 2008
|
||||||||||||||||||||||||
Total
Capital Ratio
|
||||||||||||||||||||||||
Company
|
$ | 232,529 | 10.65 | % | $ | 174,626 | 8.00 | % | $ | N/A | N/A | |||||||||||||
Bank
|
252,914 | 11.60 | % | 174,462 | 8.00 | % | 218,077 | 10.00 | % | |||||||||||||||
Tier
I Capital Ratio
|
||||||||||||||||||||||||
Company
|
205,244 | 9.40 | % | 87,313 | 4.00 | % | N/A | N/A | ||||||||||||||||
Bank
|
225,654 | 10.35 | % | 87,231 | 4.00 | % | 130,846 | 6.00 | % | |||||||||||||||
Leverage
Ratio
|
||||||||||||||||||||||||
Company
|
205,244 | 8.10 | % | 101,377 | 4.00 | % | N/A | N/A | ||||||||||||||||
Bank
|
225,654 | 8.91 | % | 101,293 | 4.00 | % | 126,616 | 5.00 | % | |||||||||||||||
As
of December 31, 2007
|
||||||||||||||||||||||||
Total
Capital Ratio
|
||||||||||||||||||||||||
Company
|
$ | 193,708 | 10.30 | % | $ | 150,438 | 8.00 | % | $ | N/A | N/A | |||||||||||||
Bank
|
211,002 | 11.23 | % | 150,269 | 8.00 | % | 187,836 | 10.00 | % | |||||||||||||||
Tier
I Capital Ratio
|
||||||||||||||||||||||||
Company
|
172,384 | 9.17 | % | 75,219 | 4.00 | % | N/A | N/A | ||||||||||||||||
Bank
|
189,678 | 10.10 | % | 75,134 | 4.00 | % | 112,701 | 6.00 | % | |||||||||||||||
Leverage
Ratio
|
||||||||||||||||||||||||
Company
|
172,384 | 8.00 | % | 86,176 | 4.00 | % | N/A | N/A | ||||||||||||||||
Bank
|
189,678 | 8.82 | % | 86,048 | 4.00 | % | 107,560 | 5.00 | % |
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Other
service charges, commissions, and fees – electronic payment processing
revenue
|
$ | 2,994 | 3,514 | 2,970 | ||||||||
Other
gains (losses) – merchant credit card (loss) recovery – see Note
12
|
− | 190 | (1,900 | ) | ||||||||
Other
operating expenses – electronic payment processing expense
|
1,405 | 1,963 | 1,683 | |||||||||
Other
operating expenses – stationery and supplies
|
1,903 | 1,593 | 1,675 |
CONDENSED
BALANCE SHEETS
|
As
of December 31,
|
|||||||
(In
thousands)
|
2008
|
2007
|
||||||
Assets
|
||||||||
Cash
on deposit with bank subsidiary
|
$ | 1,767 | 5,211 | |||||
Investment
in wholly-owned subsidiaries, at equity
|
286,070 | 236,729 | ||||||
Premises
and Equipment
|
194 | 205 | ||||||
Other
assets
|
1,729 | 1,878 | ||||||
Total
assets
|
$ | 289,760 | 244,023 | |||||
Liabilities and shareholders’
equity
|
||||||||
Borrowings
|
$ | 66,394 | 66,394 | |||||
Other
liabilities
|
3,498 | 3,559 | ||||||
Total
liabilities
|
69,892 | 69,953 | ||||||
Shareholders’
equity
|
219,868 | 174,070 | ||||||
Total
liabilities and shareholders’ equity
|
$ | 289,760 | 244,023 |
CONDENSED
STATEMENTS OF INCOME
|
Year
Ended December 31,
|
|||||||||||
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Dividends
from wholly-owned subsidiaries
|
$ | 8,500 | 18,200 | 9,500 | ||||||||
Undistributed
earnings of wholly-owned subsidiaries
|
16,694 | 7,959 | 13,882 | |||||||||
Interest
expense
|
(3,312 | ) | (5,293 | ) | (4,767 | ) | ||||||
All
other income and expenses, net
|
123 | 944 | 687 | |||||||||
Net
income
|
$ | 22,005 | 21,810 | 19,302 |
CONDENSED
STATEMENTS OF CASH FLOWS
|
Year
Ended December 31,
|
|||||||||||
(In
thousands)
|
2008
|
2007
|
2006
|
|||||||||
Operating
Activities:
|
||||||||||||
Net
income
|
$ | 22,005 | 21,810 | 19,302 | ||||||||
Equity
in undistributed earnings of subsidiaries
|
(16,694 | ) | (7,959 | ) | (13,882 | ) | ||||||
Decrease
(increase) in other assets
|
132 | 953 | (605 | ) | ||||||||
Increase
(decrease) in other liabilities
|
(91 | ) | (76 | ) | 240 | |||||||
Total
– operating activities
|
5,352 | 14,728 | 5,055 | |||||||||
Investing
Activities:
|
||||||||||||
Downstream
cash investment in subsidiary
|
─
|
─
|
(22,000 | ) | ||||||||
Cash
proceeds from dissolution of subsidiary
|
─
|
111 |
─
|
|||||||||
Proceeds
from sales of investments
|
500 |
─
|
─
|
|||||||||
Net
cash received in acquisition of Great Pee Dee Bancorp,
Inc.
|
485 |
─
|
─
|
|||||||||
Total
– investing activities
|
985 | 111 | (22,000 | ) | ||||||||
Financing
Activities:
|
||||||||||||
Proceeds
from (repayments of) borrowings, net
|
─
|
(619 | ) | 25,774 | ||||||||
Payment
of cash dividends
|
(11,738 | ) | (10,923 | ) | (10,423 | ) | ||||||
Proceeds
from issuance of common stock
|
1,957 | 568 | 2,584 | |||||||||
Purchases
and retirement of common stock
|
─
|
(532 | ) | (1,112 | ) | |||||||
Total
- financing activities
|
(9,781 | ) | (11,506 | ) | 16,823 | |||||||
Net
increase (decrease) in cash
|
(3,444 | ) | 3,333 | (122 | ) | |||||||
Cash,
beginning of year
|
5,211 | 1,878 | 2,000 | |||||||||
Cash,
end of year
|
$ | 1,767 | 5,211 | 1,878 |
Item 12.
|
Security
Ownership of Certain Beneficial Owners and Management and Related
Shareholder Matters
|
(a)
|
1.
|
Financial
Statements - See Item 8 and the Cross Reference Index on page 2 for
information concerning the Company’s consolidated financial statements and
report of independent auditors.
|
|
2.
|
Financial
Statement Schedules - not
applicable
|
|
3.
|
Exhibits
|
3.a
|
Copy
of Articles of Incorporation of the Company and amendments thereto were
filed as Exhibits 3.a.i through 3.a.v to the Company’s Quarterly Report on
Form 10-Q for the period ended June 30, 2002, and are incorporated herein
by reference.
|
3.b
|
Copy
of the Amended and Restated Bylaws of the Company was filed as Exhibit 3.b
to the Company’s Annual Report on Form 10-K for the year ended December
31, 2003, and is incorporated herein by
reference.
|
4
|
Form
of Common Stock Certificate was filed as Exhibit 4 to the Company’s
Quarterly Report on Form 10-Q for the quarter ended June 30, 1999, and is
incorporated herein by reference.
|
10
|
Material
Contracts
|
10.a
|
Data
Processing Agreement dated October 1, 1984 by and between Bank of
Montgomery (First Bank) and Montgomery Data Services, Inc. was filed as
Exhibit 10(k) to the Registrant's Registration Statement Number 33-12692,
and is incorporated herein by
reference.
|
10.b
|
First
Bancorp Annual Incentive Plan was filed as Exhibit 10(a) to the Form 8-K
filed on February 2, 2007 and is incorporated herein by reference.
(*)
|
10.c
|
Indemnification
Agreement between the Company and its Directors and Officers was filed as
Exhibit 10(t) to the Registrant's Registration Statement Number 33-12692,
and is incorporated herein by
reference.
|
10.d
|
First
Bancorp Senior Management Supplemental Executive Retirement Plan was filed
as Exhibit 10.1 to the Company's Form 8-K filed on December 22, 2006, and
is incorporated herein by reference.
(*)
|
10.e
|
First
Bancorp 1994 Stock Option Plan was filed as Exhibit 10(f) to the Company's
Annual Report on Form 10-K for the year ended December 31, 2001, and is
incorporated herein by reference.
(*)
|
10.f
|
First
Bancorp 2004 Stock Option Plan was filed as Exhibit B to the Registrant's
Form Def 14A filed on March 30, 2004 and is incorporated herein by
reference. (*)
|
10.g
|
First
Bancorp 2007 Equity Plan was filed as Appendix B to the Registrant's Form
Def 14A filed on March 27, 2007 and is incorporated herein by reference.
(*)
|
10.h
|
Employment
Agreement between the Company and Anna G. Hollers dated August 17, 1998
was filed as Exhibit 10(m) to the Company's Quarterly
Report on Form 10-Q for the quarter ended September 30, 1998, and is
incorporated by reference (Commission File Number 000-15572).
(*)
|
|
10.i
|
Employment
Agreement between the Company and Teresa C. Nixon dated August 17, 1998
was filed as Exhibit 10(n) to the Company's Quarterly Report on Form 10-Q
for the quarter ended September 30, 1998, and is incorporated by reference
(Commission File Number 000-15572).
(*)
|
10.j
|
Employment
Agreement between the Company and Eric P. Credle dated August 17, 1998 was
filed as Exhibit 10(p) to the Company's Annual Report on Form 10-K for the
year ended December 31, 1998, and is incorporated herein by reference
(Commission File Number
333-71431).(*)
|
10.k
|
Employment
Agreement between the Company and John F. Burns dated September 14, 2000
was filed as Exhibit 10.w to the Company's Quarterly Report on Form 10-Q
for the quarter ended September 30, 2000 and is incorporated herein by
reference. (*)
|
10.l
|
Employment
Agreement between the Company and R. Walton Brown dated January 15, 2003
was filed as Exhibit 10(b) to the Company's Quarterly Report on Form 10-Q
for the quarter ended June 30, 2003 and is incorporated herein by
reference. (*)
|
10.m
|
Amendment
to the employment agreement between the Company and R. Walton Brown dated
March 8, 2005 was filed as Exhibit 10.n to the Company's Annual Report on
Form 10-K for the year ended December 31, 2004 and is incorporated herein
by reference. (*)
|
10.n
|
Employment
Agreement between the Company and Jerry L. Ocheltree was filed as Exhibit
10.1 to the Form 8-K filed on January 25, 2006, and is incorporated herein
by reference. (*)
|
10.o
|
First
Bancorp Long Term Care Insurance Plan was filed as Exhibit 10(o) to the
Company's Quarterly Report on Form 10-Q for the quarter ended September
30, 2004, and is incorporated by reference.
(*)
|
10.p
|
Advances
and Security Agreement with the Federal Home Loan Bank of Atlanta dated
February 15, 2005 was attached as Exhibit 99(a) to the Form 8-K
filed on February 22, 2005, and is incorporated herein by
reference.
|
Description
of Director Compensation pursuant to Item 601(b)(10)(iii)(A) of Regulation
S-K.
|
Computation
of Ratio of Earnings to Fixed
Charges
|
21
|
List
of Subsidiaries of Registrant was filed as Exhibit 21 to the Company’s
Annual Report on Form 10-K for the year ended December 31, 2007 and is
incorporated herein by reference.
|
Consent
of Independent Registered Public Accounting Firm, Elliott Davis,
PLLC
|
Certification
Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302(a)
of the Sarbanes-Oxley Act of 2002.
|
Certification
Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302(a)
of the Sarbanes-Oxley Act of 2002.
|
Chief
Executive Officer Certification Pursuant to 18 U.S.C. Section 1350, as
Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of
2002.
|
Chief
Financial Officer Certification Pursuant to 18 U.S.C. Section 1350, as
Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of
2002
|
(b)
|
Exhibits
- see (a)(3) above
|
(c)
|
No
financial statement schedules are filed
herewith.
|
/s/ Anna G. Hollers
Anna
G. Hollers
Executive
Vice President
Chief
Operating Officer / Secretary
March
16, 2009
|
/s/ Eric P. Credle
Eric
P. Credle
Executive
Vice President
Chief
Financial Officer
(Principal
Accounting Officer)
March
16, 2009
|
||
Board of Directors
|
|||
/s/ David L. Burns
David
L. Burns
Chairman
of the Board
Director
March
16, 2009
|
/s/ George R. Perkins, Jr.
George
R. Perkins, Jr.
Director
March
16, 2009
|
||
/s/ Jack D. Briggs
Jack
D. Briggs
Director
March
16, 2009
|
/s/ Thomas F. Phillips
Thomas
F. Phillips
Director
March
16, 2009
|
||
/s/ R. Walton Brown
R.
Walton Brown
Director
March
16, 2009
|
/s/ Frederick L. Taylor II
Frederick
L. Taylor II
Director
March
16, 2009
|
||
/s/ John F. Burns
John
F. Burns
Director
March
16, 2009
|
/s/ Virginia C. Thomasson
Virginia
C. Thomasson
Director
March
16, 2009
|
||
/s/ Mary Clara Capel
Mary
Clara Capel
Director
March
16, 2009
|
/s/ Goldie H. Wallace
Goldie
H. Wallace
Director
March
16, 2009
|
/s/ James C. Crawford, III
James
C. Crawford, III
Director
March
16, 2009
|
/s/ A. Jordan Washburn
A.
Jordan Washburn
Director
March
16, 2009
|
||
/s/ James G. Hudson, Jr.
James
G. Hudson, Jr.
Director
March
16, 2009
|
/s/ Dennis A. Wicker
Dennis
A. Wicker
Director
March
16, 2009
|
||
/s/ Jerry L. Ocheltree
Jerry
L. Ocheltree
Director
March
16, 2009
|
/s/ John C. Willis
John
C. Willis
Director
March
16, 2009
|