BUFFALO, N.Y., Jan. 18, 2018 /PRNewswire/ -- M&T Bank
Corporation ("M&T") (NYSE: MTB) today reported its results of
operations for 2017.
GAAP Results of Operations. Diluted earnings per common
share measured in accordance with generally accepted accounting
principles ("GAAP") for the fourth quarter of 2017 were
$2.01, up 2% from $1.98 in the similar 2016 quarter.
GAAP-basis net income in the recent quarter aggregated $322 million, compared with $331 million in the final quarter of 2016.
Diluted earnings per common share and GAAP-basis net income were
$2.21 and $356
million, respectively, in the third quarter of 2017.
GAAP-basis net income for the fourth quarter of 2017 expressed as
an annualized rate of return on average assets and average common
shareholders' equity was 1.06% and 8.03%, respectively, compared
with 1.05% and 8.13%, respectively, in the year-earlier quarter and
1.18% and 8.89%, respectively, in the third quarter of 2017.
M&T's financial results for the final quarter of 2017
reflected several notable items. The Tax Cuts and Jobs Act
("the Tax Act") was enacted on December 22,
2017, reducing the corporate Federal income tax rate from
35% to 21% and making other changes to U.S. corporate income tax
laws. GAAP requires that the impact of the provisions of the
Tax Act be accounted for in the period of enactment.
Accordingly, the estimated incremental income tax expense recorded
by M&T in the fourth quarter of 2017 related to the Tax Act was
$85 million, representing
$.56 of diluted earnings per common
share. The additional expense was largely attributable to the
reduction in carrying value of net deferred tax assets reflecting
lower future tax benefits resulting from the lower corporate tax
rate. Also during the recent quarter, M&T realized
investment securities gains of $14
million (after-tax effect), or $.09 of diluted earnings per common share,
largely resulting from the sale of a portion of M&T's Fannie
Mae and Freddie Mac preferred stock holdings. Finally,
M&T contributed an additional $44
million to The M&T Charitable Foundation in the final
2017 quarter, reducing net income by $27
million, or $.18 of diluted
earnings per common share. In the aggregate, these items
lowered net income by $98 million, or
$.65 per diluted common share.
Earnings
Highlights
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Change 4Q17
vs.
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($ in millions,
except per share data)
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4Q17
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4Q16
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3Q17
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4Q16
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3Q17
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Net income
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$
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322
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$
|
331
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$
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356
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-2
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%
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-9
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%
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Net income available
to common shareholders - diluted
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$
|
302
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$
|
308
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$
|
336
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-2
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%
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-10
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%
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Diluted earnings per
common share
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$
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2.01
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$
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1.98
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$
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2.21
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2
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%
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-9
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%
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Annualized return on
average assets
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1.06
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%
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1.05
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%
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1.18
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%
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Annualized return on
average common equity
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8.03
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%
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8.13
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%
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8.89
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%
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For the year ended December 31,
2017, diluted earnings per common share were $8.70, up 12% from $7.78 in 2016. GAAP-basis net income for
2017 aggregated $1.41 billion, 7%
higher than $1.32 billion in
2016. Expressed as a rate of return on average assets and
average common shareholders' equity, GAAP-basis net income for 2017
was 1.17% and 8.87%, respectively, compared with 1.06% and 8.16%,
respectively, in 2016.
Darren J. King, Executive Vice
President and Chief Financial Officer, commented on M&T's
financial performance, "Financial results in 2017 highlight what
was a successful year for M&T. Strong growth in net
interest income, credit costs that were significantly below our
historical norms, and well controlled expenses led to a 12% rise in
earnings per common share for the year. Fourth quarter
results were negatively impacted by the newly enacted tax
legislation, but a lower corporate tax rate in the future should
provide many benefits to M&T. We are proud to carry on
the legacy of our long-time Chairman and Chief Executive Officer,
Bob Wilmers, through investing
in the communities we serve by contributing $50
million during 2017 to The M&T Charitable Foundation,
the highest annual amount in our history."
Supplemental Reporting of Non-GAAP Results of Operations.
M&T consistently provides supplemental reporting of its results
on a "net operating" or "tangible" basis, from which M&T
excludes the after-tax effect of amortization of core deposit and
other intangible assets (and the related goodwill, core deposit
intangible and other intangible asset balances, net of applicable
deferred tax amounts) and expenses associated with merging acquired
operations into M&T, since such items are considered by
management to be "nonoperating" in nature. The amounts of
such "nonoperating" expenses are presented in the tables that
accompany this release. Although "net operating income" as
defined by M&T is not a GAAP measure, M&T's management
believes that this information helps investors understand the
effect of acquisition activity in reported results.
Diluted net operating earnings per common share were
$2.04 in the fourth quarter of 2017,
compared with $2.01 in the
year-earlier quarter and $2.24 in the
third quarter of 2017. Net operating income during the recent
quarter was $327 million, compared
with $336 million in the final
quarter of 2016 and $361 million in
2017's third quarter. Expressed as an annualized rate of return on
average tangible assets and average tangible common shareholders'
equity, net operating income was 1.12% and 11.77%, respectively, in
the recent quarter, compared with 1.10% and 11.93%, respectively,
in the fourth quarter of 2016 and 1.25% and 13.03%, respectively,
in the third quarter of 2017.
For the year ended December 31,
2017, diluted net operating earnings per common share were
$8.82, up 9% from $8.08 in 2016. Net operating income in 2017
increased 5% to $1.43 billion from
$1.36 billion in 2016.
Expressed as a rate of return on average tangible assets and
average tangible common shareholders' equity, net operating income
was 1.23% and 13.00%, respectively, in 2017 and 1.14% and 12.25%,
respectively, in 2016.
Taxable-equivalent Net Interest Income. Net interest
income expressed on a taxable-equivalent basis aggregated
$980 million in the fourth quarter of
2017, up 11% from $883 million in the
year-earlier quarter. That growth resulted predominantly from a
widening of the net interest margin to 3.56% in the recent quarter
from 3.08% in the final 2016 quarter. Taxable-equivalent net
interest income in the recent quarter was 2% higher than
$966 million in the third quarter of
2017. Contributing to that improvement were a 3 basis point
widening of the net interest margin and an increase in average
earning assets in the recent quarter as compared with the third
quarter of 2017. Taxable-equivalent net interest income for the
year ended December 31, 2017
aggregated $3.82 billion, up 9% from
$3.50 billion in 2016. That
improvement was predominantly the result of a widening of the net
interest margin from 3.11% in 2016 to 3.47% in 2017.
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Taxable-equivalent
Net Interest Income
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Change 4Q17
vs.
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($ in
millions)
|
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4Q17
|
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4Q16
|
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|
3Q17
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4Q16
|
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3Q17
|
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Average earning
assets
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$
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109,412
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$
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114,254
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$
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108,642
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-4
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%
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|
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1
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%
|
Net interest income -
taxable-equivalent
|
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$
|
980
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$
|
883
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$
|
966
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11
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%
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2
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%
|
Net interest
margin
|
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3.56
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%
|
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3.08
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%
|
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3.53
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%
|
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Provision for Credit Losses/Asset Quality. The provision
for credit losses was $31 million in
the fourth quarter of 2017, compared with $62 million in the year-earlier quarter and
$30 million in 2017's third quarter.
Net charge-offs of loans were $27
million during the recent quarter, compared with
$49 million and $25 million in the fourth quarter of 2016 and the
third quarter of 2017, respectively. Expressed as an
annualized percentage of average loans outstanding, net charge-offs
were .12% and .22% in the final quarters of 2017 and 2016,
respectively, and .11% in the third quarter of 2017. The
provision for credit losses was $168
million for the year ended December
31, 2017, compared with $190
million in 2016. Net loan charge-offs during 2017 and
2016 totaled $140 million and
$157 million, respectively, or .16%
and .18%, respectively, of average loans outstanding.
Loans classified as nonaccrual totaled $883 million or 1.00% of total loans outstanding
at December 31, 2017, compared with
$920 million or 1.01% at December 31, 2016 and $869
million or .99% at September 30, 2017. Nonaccrual
Hudson City-related residential real estate loans aggregated
$215 million at December 31, 2017, compared with $190 million and $211
million at December 31, 2016
and September 30, 2017, respectively.
Assets taken in foreclosure of defaulted loans totaled $112 million at December
31, 2017, compared with $139
million a year earlier and $111
million at September 30,
2017.
Allowance for Credit Losses. M&T regularly performs
detailed analyses of individual borrowers and portfolios for
purposes of assessing the adequacy of the allowance for credit
losses. As a result of those analyses, the allowance for
credit losses totaled $1.02 billion
at December 31, 2017, compared with
$989 million at December 31, 2016 and $1.01 billion at September 30, 2017.
The allowance expressed as a percentage of outstanding loans was
1.16% at December 31, 2017, compared
with 1.09% at December 31, 2016 and
1.15% at September 30, 2017.
Asset Quality
Metrics
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Change 4Q17
vs.
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($ in
millions)
|
|
4Q17
|
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|
4Q16
|
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|
3Q17
|
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|
4Q16
|
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|
3Q17
|
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At end of
quarter
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|
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|
|
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|
Nonaccrual
loans
|
|
$
|
883
|
|
|
$
|
920
|
|
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$
|
869
|
|
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-4
|
%
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2
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%
|
Real estate and other
foreclosed assets
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|
$
|
112
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$
|
139
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$
|
111
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|
-20
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%
|
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|
1
|
%
|
Total nonperforming
assets
|
|
$
|
995
|
|
|
$
|
1,059
|
|
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$
|
980
|
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|
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-6
|
%
|
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|
1
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%
|
Accruing loans past
due 90 days or more (1)
|
|
$
|
244
|
|
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$
|
301
|
|
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$
|
261
|
|
|
|
-19
|
%
|
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|
-6
|
%
|
Nonaccrual loans as %
of loans outstanding
|
|
|
1.00
|
%
|
|
|
1.01
|
%
|
|
|
.99
|
%
|
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|
Allowance for credit
losses
|
|
$
|
1,017
|
|
|
$
|
989
|
|
|
$
|
1,013
|
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|
|
3
|
%
|
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|
—
|
|
Allowance for credit
losses as % of loans outstanding
|
|
|
1.16
|
%
|
|
|
1.09
|
%
|
|
|
1.15
|
%
|
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|
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|
|
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For the
period
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|
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|
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Provision for credit
losses
|
|
$
|
31
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$
|
62
|
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$
|
30
|
|
|
|
-50
|
%
|
|
|
3
|
%
|
Net
charge-offs
|
|
$
|
27
|
|
|
$
|
49
|
|
|
$
|
25
|
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|
|
-45
|
%
|
|
|
9
|
%
|
Net charge-offs as %
of average loans (annualized)
|
|
|
.12
|
%
|
|
|
.22
|
%
|
|
|
.11
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%
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|
|
|
|
|
|
|
|
|
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|
|
|
|
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(1)
|
Excludes loans acquired at a discount. Predominantly
residential real estate loans.
|
Noninterest Income and Expense. Noninterest income totaled
$484 million in the recent quarter,
compared with $465 million in the
fourth quarter of 2016 and $459
million in the third quarter of 2017. The recent
quarter's improvement as compared with the final 2016 quarter and
2017's third quarter resulted largely from higher gains on
investment securities and increased trust income.
Noninterest
Income
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|
|
|
|
|
|
|
|
|
Change 4Q17
vs.
|
|
($ in
millions)
|
|
4Q17
|
|
|
4Q16
|
|
|
3Q17
|
|
|
4Q16
|
|
|
3Q17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
|
Mortgage banking
revenues
|
|
$
|
96
|
|
|
$
|
98
|
|
|
$
|
97
|
|
|
|
-2
|
%
|
|
|
-1
|
%
|
Service charges on
deposit accounts
|
|
|
108
|
|
|
|
105
|
|
|
|
109
|
|
|
|
3
|
%
|
|
|
-1
|
%
|
Trust
income
|
|
|
130
|
|
|
|
122
|
|
|
|
125
|
|
|
|
6
|
%
|
|
|
4
|
%
|
Brokerage services
income
|
|
|
13
|
|
|
|
15
|
|
|
|
15
|
|
|
|
-16
|
%
|
|
|
-13
|
%
|
Trading account and
foreign exchange gains
|
|
|
10
|
|
|
|
7
|
|
|
|
7
|
|
|
|
36
|
%
|
|
|
48
|
%
|
Gain on bank
investment securities
|
|
|
21
|
|
|
|
2
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Other revenues from
operations
|
|
|
106
|
|
|
|
116
|
|
|
|
106
|
|
|
|
-8
|
%
|
|
|
-1
|
%
|
Total other
income
|
|
$
|
484
|
|
|
$
|
465
|
|
|
$
|
459
|
|
|
|
4
|
%
|
|
|
5
|
%
|
Noninterest income aggregated $1.85
billion in 2017, up from $1.83
billion in 2016. Higher trust income, service charges on
deposit accounts and credit-related fees in 2017 were the drivers
of that increase.
Noninterest expense totaled $796
million in the fourth quarter of 2017, $769 million in the year-earlier quarter and
$806 million in the third quarter of
2017. Excluding expenses considered to be nonoperating in
nature, such as amortization of core deposit and other intangible
assets and merger-related expenses, noninterest operating expenses
were $789 million in the recent
quarter, $760 million in the fourth
quarter of 2016 and $798 million in
2017's third quarter. The most significant factors for the rise in
noninterest operating expenses in the recent quarter as compared
with the final quarter of 2016
were increased contributions to The M&T Charitable
Foundation and higher salaries and employee benefits expenses. The
decline in noninterest operating expenses from the third quarter of
2017 resulted largely from the $50
million increase in the reserve for legal matters during the
third quarter of 2017, largely offset by a $44 million increase in contributions to The
M&T Charitable Foundation in 2017's fourth quarter.
Noninterest
Expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change 4Q17
vs.
|
|
($ in
millions)
|
|
4Q17
|
|
|
4Q16
|
|
|
3Q17
|
|
|
4Q16
|
|
|
3Q17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
$
|
403
|
|
|
$
|
393
|
|
|
$
|
399
|
|
|
|
2
|
%
|
|
|
1
|
%
|
Equipment and net
occupancy
|
|
|
71
|
|
|
|
70
|
|
|
|
75
|
|
|
|
2
|
%
|
|
|
-6
|
%
|
Outside data
processing and software
|
|
|
50
|
|
|
|
44
|
|
|
|
46
|
|
|
|
14
|
%
|
|
|
9
|
%
|
FDIC
assessments
|
|
|
24
|
|
|
|
29
|
|
|
|
24
|
|
|
|
-18
|
%
|
|
|
-1
|
%
|
Advertising and
marketing
|
|
|
19
|
|
|
|
21
|
|
|
|
17
|
|
|
|
-8
|
%
|
|
|
11
|
%
|
Printing, postage and
supplies
|
|
|
9
|
|
|
|
9
|
|
|
|
9
|
|
|
|
-1
|
%
|
|
|
-2
|
%
|
Amortization of core
deposit and other intangible assets
|
|
|
7
|
|
|
|
9
|
|
|
|
8
|
|
|
|
-23
|
%
|
|
|
-10
|
%
|
Other costs of
operations
|
|
|
213
|
|
|
|
194
|
|
|
|
228
|
|
|
|
10
|
%
|
|
|
-7
|
%
|
Total other
expense
|
|
$
|
796
|
|
|
$
|
769
|
|
|
$
|
806
|
|
|
|
3
|
%
|
|
|
-1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the year ended December 31,
2017, noninterest expense aggregated $3.14 billion, compared with $3.05 billion in 2016. Noninterest
operating expenses were $3.11 billion
and $2.97 billion in 2017 and 2016,
respectively. The higher level of such expenses in 2017 resulted
largely from increased costs for salaries and employee benefits,
higher charitable contributions and increases to the reserve for
legal matters.
The efficiency ratio, or noninterest operating expenses divided
by the sum of taxable-equivalent net interest income and
noninterest income (exclusive of gains and losses from bank
investment securities), measures the relationship of operating
expenses to revenues. M&T's efficiency ratio was 54.7% in
the recent quarter, 56.4% in the year-earlier quarter and 56.0% in
the third quarter of 2017. The efficiency ratio for the full
year 2017 was 55.1%, improved from 56.1% in 2016.
Balance Sheet. M&T had total assets of $118.6 billion at December
31, 2017, compared with $123.4
billion at December 31, 2016.
Loans and leases, net of unearned discount, aggregated $88.0 billion at the recent year-end,
$2.9 billion or 3% below $90.9 billion a year earlier. Investment
securities were $14.7 billion at the
end of 2017, compared with $16.3
billion at December 31,
2016. Total deposits were $92.4
billion at the recent year-end and $95.5 billion at December
31, 2016.
Total shareholders' equity was $16.3
billion at December 31, 2017
and $16.5 billion a year earlier,
representing 13.70% and 13.35%, respectively, of total
assets. Common shareholders' equity was $15.0 billion, or $100.03 per share, at December 31, 2017, compared with $15.3 billion, or $97.64 per share, at December 31, 2016. Tangible equity per
common share of $69.08 at
December 31, 2017 was up 2% from
$67.85 at December 31, 2016. Common shareholders'
equity per share and tangible equity per common share were
$99.70 and $69.02, respectively, at September 30, 2017. In the calculation of
tangible equity per common share, common shareholders' equity is
reduced by the carrying values of goodwill and core deposit and
other intangible assets, net of applicable deferred tax
balances. M&T estimates that the ratio of Common Equity
Tier 1 to risk-weighted assets under regulatory capital rules was
approximately 10.93% at December 31,
2017.
In accordance with its 2017 capital plan, M&T repurchased
1,343,356 shares of its common stock during the recent quarter at
an average cost per share of $166.91,
for a total cost of $224
million. During 2017, M&T repurchased a total of
7,369,105 shares of its common stock under the 2017 and 2016
capital plans at a total cost of $1.21
billion.
Conference Call. Investors will have an opportunity to
listen to M&T's conference call to discuss fourth quarter and
full-year financial results today at 11:00
a.m. Eastern Time. Those wishing to participate in the
call may dial (877) 780-2276. International participants,
using any applicable international calling codes, may dial
(973) 582-2700. Callers should reference M&T
Bank Corporation or the conference ID #4178049. The
conference call will be webcast live through M&T's website at
http://ir.mandtbank.com/events.cfm. A replay of the call will be
available through Thursday, February 1,
2018 by calling (800) 585-8367, or (404) 537-3406 for
international participants, and by making reference to ID
#4178049. The event will also be archived and available by
7:00 p.m. today on M&T's website
at http://ir.mandtbank.com/events.cfm.
M&T is a financial holding company headquartered in
Buffalo, New York. M&T's
principal banking subsidiary, M&T Bank, operates banking
offices in New York, Maryland, New
Jersey, Pennsylvania,
Delaware, Connecticut, Virginia, West
Virginia and the District of Columbia. Trust-related
services are provided by M&T's Wilmington Trust-affiliated
companies and by M&T Bank.
Forward-Looking Statements. This news release
contains forward-looking statements that are based on current
expectations, estimates and projections about M&T's business,
management's beliefs and assumptions made by management.
These statements are not guarantees of future performance and
involve certain risks, uncertainties and assumptions ("Future
Factors") which are difficult to predict. Therefore, actual
outcomes and results may differ materially from what is expressed
or forecasted in such forward-looking statements.
Future Factors include changes in interest rates, spreads on
earning assets and interest-bearing liabilities, and interest rate
sensitivity; prepayment speeds, loan originations, credit losses
and market values on loans, collateral securing loans, and other
assets; sources of liquidity; common shares outstanding; common
stock price volatility; fair value of and number of stock-based
compensation awards to be issued in future periods; the impact of
changes in market values on trust-related revenues; legislation
affecting the financial services industry as a whole, and M&T
and its subsidiaries individually or collectively, including tax
legislation; regulatory supervision and oversight, including
monetary policy and capital requirements; changes in accounting
policies or procedures as may be required by the Financial
Accounting Standards Board or regulatory agencies; increasing price
and product/service competition by competitors, including new
entrants; rapid technological developments and changes; the ability
to continue to introduce competitive new products and services on a
timely, cost-effective basis; the mix of products/services;
containing costs and expenses; governmental and public policy
changes; protection and validity of intellectual property rights;
reliance on large customers; technological, implementation and
cost/financial risks in large, multi-year contracts; the outcome of
pending and future litigation and governmental proceedings,
including tax-related examinations and other matters; continued
availability of financing; financial resources in the amounts, at
the times and on the terms required to support M&T and its
subsidiaries' future businesses; and material differences in the
actual financial results of merger, acquisition and investment
activities compared with M&T's initial expectations, including
the full realization of anticipated cost savings and revenue
enhancements.
These are representative of the Future Factors that could
affect the outcome of the forward-looking statements. In
addition, such statements could be affected by general industry and
market conditions and growth rates, general economic and political
conditions, either nationally or in the states in which M&T and
its subsidiaries do business, including interest rate and currency
exchange rate fluctuations, changes and trends in the securities
markets, and other Future Factors.
Financial
Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
|
|
|
|
Year ended
|
|
|
|
|
|
|
|
December 31
|
|
|
|
|
|
|
December 31
|
|
|
|
|
|
Amounts in thousands,
except per share
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
Performance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
322,403
|
|
|
|
330,571
|
|
|
|
-2
|
%
|
|
$
|
1,408,306
|
|
|
|
1,315,114
|
|
|
|
7
|
%
|
Net income available
to common shareholders
|
|
|
302,486
|
|
|
|
307,797
|
|
|
|
-2
|
%
|
|
|
1,327,517
|
|
|
|
1,223,481
|
|
|
|
9
|
%
|
Per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
earnings
|
|
$
|
2.01
|
|
|
|
1.98
|
|
|
|
2
|
%
|
|
$
|
8.72
|
|
|
|
7.80
|
|
|
|
12
|
%
|
Diluted
earnings
|
|
|
2.01
|
|
|
|
1.98
|
|
|
|
2
|
%
|
|
|
8.70
|
|
|
|
7.78
|
|
|
|
12
|
%
|
Cash
dividends
|
|
$
|
.75
|
|
|
|
.70
|
|
|
|
7
|
%
|
|
$
|
3.00
|
|
|
|
2.80
|
|
|
|
7
|
%
|
Common shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average - diluted
(1)
|
|
|
150,348
|
|
|
|
155,700
|
|
|
|
-3
|
%
|
|
|
152,551
|
|
|
|
157,304
|
|
|
|
-3
|
%
|
Period end
(2)
|
|
|
150,112
|
|
|
|
156,213
|
|
|
|
-4
|
%
|
|
|
150,112
|
|
|
|
156,213
|
|
|
|
-4
|
%
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets
|
|
|
1.06
|
%
|
|
|
1.05
|
%
|
|
|
|
|
|
|
1.17
|
%
|
|
|
1.06
|
%
|
|
|
|
|
Average common
shareholders' equity
|
|
|
8.03
|
%
|
|
|
8.13
|
%
|
|
|
|
|
|
|
8.87
|
%
|
|
|
8.16
|
%
|
|
|
|
|
Taxable-equivalent
net interest income
|
|
$
|
980,457
|
|
|
|
883,147
|
|
|
|
11
|
%
|
|
$
|
3,815,614
|
|
|
|
3,496,849
|
|
|
|
9
|
%
|
Yield on average
earning assets
|
|
|
3.93
|
%
|
|
|
3.45
|
%
|
|
|
|
|
|
|
3.82
|
%
|
|
|
3.49
|
%
|
|
|
|
|
Cost of
interest-bearing liabilities
|
|
|
.59
|
%
|
|
|
.57
|
%
|
|
|
|
|
|
|
.55
|
%
|
|
|
.56
|
%
|
|
|
|
|
Net interest
spread
|
|
|
3.34
|
%
|
|
|
2.88
|
%
|
|
|
|
|
|
|
3.27
|
%
|
|
|
2.93
|
%
|
|
|
|
|
Contribution of
interest-free funds
|
|
|
.22
|
%
|
|
|
.20
|
%
|
|
|
|
|
|
|
.20
|
%
|
|
|
.18
|
%
|
|
|
|
|
Net interest
margin
|
|
|
3.56
|
%
|
|
|
3.08
|
%
|
|
|
|
|
|
|
3.47
|
%
|
|
|
3.11
|
%
|
|
|
|
|
Net charge-offs to
average total net loans (annualized)
|
|
|
.12
|
%
|
|
|
.22
|
%
|
|
|
|
|
|
|
.16
|
%
|
|
|
.18
|
%
|
|
|
|
|
Net operating
results (3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating
income
|
|
$
|
326,664
|
|
|
|
336,095
|
|
|
|
-3
|
%
|
|
$
|
1,427,331
|
|
|
|
1,362,692
|
|
|
|
5
|
%
|
Diluted net operating
earnings per common share
|
|
|
2.04
|
|
|
|
2.01
|
|
|
|
1
|
%
|
|
|
8.82
|
|
|
|
8.08
|
|
|
|
9
|
%
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average tangible
assets
|
|
|
1.12
|
%
|
|
|
1.10
|
%
|
|
|
|
|
|
|
1.23
|
%
|
|
|
1.14
|
%
|
|
|
|
|
Average tangible
common equity
|
|
|
11.77
|
%
|
|
|
11.93
|
%
|
|
|
|
|
|
|
13.00
|
%
|
|
|
12.25
|
%
|
|
|
|
|
Efficiency
ratio
|
|
|
54.65
|
%
|
|
|
56.42
|
%
|
|
|
|
|
|
|
55.07
|
%
|
|
|
56.10
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At
December 31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan
quality
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
|
$
|
882,598
|
|
|
|
920,015
|
|
|
|
-4
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate and other
foreclosed assets
|
|
|
111,910
|
|
|
|
139,206
|
|
|
|
-20
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Total nonperforming
assets
|
|
$
|
994,508
|
|
|
|
1,059,221
|
|
|
|
-6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing loans past
due 90 days or more (4)
|
|
$
|
244,405
|
|
|
|
300,659
|
|
|
|
-19
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Government guaranteed
loans included in totals above:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
|
$
|
35,677
|
|
|
|
40,610
|
|
|
|
-12
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing loans past
due 90 days or more
|
|
|
235,489
|
|
|
|
282,659
|
|
|
|
-17
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Renegotiated
loans
|
|
$
|
221,513
|
|
|
|
190,374
|
|
|
|
16
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing loans
acquired at a discount past due 90 days or more (5)
|
|
$
|
47,418
|
|
|
|
61,144
|
|
|
|
-22
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchased impaired
loans (6):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding customer
balance
|
|
$
|
688,091
|
|
|
|
927,446
|
|
|
|
-26
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Carrying
amount
|
|
|
410,015
|
|
|
|
578,032
|
|
|
|
-29
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans to
total net loans
|
|
|
1.00
|
%
|
|
|
1.01
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit
losses to total loans
|
|
|
1.16
|
%
|
|
|
1.09
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes common stock
equivalents.
|
(2)
|
Includes common stock
issuable under deferred compensation plans.
|
(3)
|
Excludes amortization and
balances related to goodwill and core deposit and other intangible
assets and merger-related expenses which, except in the
calculation of the efficiency ratio, are net of applicable income
tax effects. Reconciliations of net income with net operating
income appear herein.
|
(4)
|
Excludes loans
acquired at a discount. Predominantly residential real estate
loans.
|
(5)
|
Loans acquired at a
discount that were recorded at fair value at acquisition date. This
category does not include purchased impaired loans that are
presented separately.
|
(6)
|
Accruing loans
acquired at a discount that were impaired at acquisition date and
recorded at fair value.
|
Financial Highlights,
Five Quarter Trend
|
|
|
|
Three months
ended
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December
31,
|
|
Amounts in thousands,
except per share
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2016
|
|
Performance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
322,403
|
|
|
|
355,923
|
|
|
|
381,053
|
|
|
|
348,927
|
|
|
|
330,571
|
|
Net income available
to common shareholders
|
|
|
302,486
|
|
|
|
335,804
|
|
|
|
360,662
|
|
|
|
328,567
|
|
|
|
307,797
|
|
Per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
earnings
|
|
$
|
2.01
|
|
|
|
2.22
|
|
|
|
2.36
|
|
|
|
2.13
|
|
|
|
1.98
|
|
Diluted
earnings
|
|
|
2.01
|
|
|
|
2.21
|
|
|
|
2.35
|
|
|
|
2.12
|
|
|
|
1.98
|
|
Cash
dividends
|
|
$
|
.75
|
|
|
|
.75
|
|
|
|
.75
|
|
|
|
.75
|
|
|
|
.70
|
|
Common shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average - diluted
(1)
|
|
|
150,348
|
|
|
|
151,691
|
|
|
|
153,276
|
|
|
|
154,949
|
|
|
|
155,700
|
|
Period end
(2)
|
|
|
150,112
|
|
|
|
151,291
|
|
|
|
152,539
|
|
|
|
153,781
|
|
|
|
156,213
|
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets
|
|
|
1.06
|
%
|
|
|
1.18
|
%
|
|
|
1.27
|
%
|
|
|
1.15
|
%
|
|
|
1.05
|
%
|
Average common
shareholders' equity
|
|
|
8.03
|
%
|
|
|
8.89
|
%
|
|
|
9.67
|
%
|
|
|
8.89
|
%
|
|
|
8.13
|
%
|
Taxable-equivalent
net interest income
|
|
$
|
980,457
|
|
|
|
965,962
|
|
|
|
946,936
|
|
|
|
922,259
|
|
|
|
883,147
|
|
Yield on average
earning assets
|
|
|
3.93
|
%
|
|
|
3.89
|
%
|
|
|
3.79
|
%
|
|
|
3.67
|
%
|
|
|
3.45
|
%
|
Cost of
interest-bearing liabilities
|
|
|
.59
|
%
|
|
|
.57
|
%
|
|
|
.52
|
%
|
|
|
.52
|
%
|
|
|
.57
|
%
|
Net interest
spread
|
|
|
3.34
|
%
|
|
|
3.32
|
%
|
|
|
3.27
|
%
|
|
|
3.15
|
%
|
|
|
2.88
|
%
|
Contribution of
interest-free funds
|
|
|
.22
|
%
|
|
|
.21
|
%
|
|
|
.18
|
%
|
|
|
.19
|
%
|
|
|
.20
|
%
|
Net interest
margin
|
|
|
3.56
|
%
|
|
|
3.53
|
%
|
|
|
3.45
|
%
|
|
|
3.34
|
%
|
|
|
3.08
|
%
|
Net charge-offs to
average total net loans (annualized)
|
|
|
.12
|
%
|
|
|
.11
|
%
|
|
|
.20
|
%
|
|
|
.19
|
%
|
|
|
.22
|
%
|
Net operating
results (3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating
income
|
|
$
|
326,664
|
|
|
|
360,658
|
|
|
|
385,974
|
|
|
|
354,035
|
|
|
|
336,095
|
|
Diluted net operating
earnings per common share
|
|
|
2.04
|
|
|
|
2.24
|
|
|
|
2.38
|
|
|
|
2.15
|
|
|
|
2.01
|
|
Return on
(annualized):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average tangible
assets
|
|
|
1.12
|
%
|
|
|
1.25
|
%
|
|
|
1.33
|
%
|
|
|
1.21
|
%
|
|
|
1.10
|
%
|
Average tangible
common equity
|
|
|
11.77
|
%
|
|
|
13.03
|
%
|
|
|
14.18
|
%
|
|
|
13.05
|
%
|
|
|
11.93
|
%
|
Efficiency
ratio
|
|
|
54.65
|
%
|
|
|
56.00
|
%
|
|
|
52.74
|
%
|
|
|
56.93
|
%
|
|
|
56.42
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December
31,
|
|
Loan
quality
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2016
|
|
Nonaccrual
loans
|
|
$
|
882,598
|
|
|
|
869,362
|
|
|
|
872,374
|
|
|
|
926,675
|
|
|
|
920,015
|
|
Real estate and other
foreclosed assets
|
|
|
111,910
|
|
|
|
110,515
|
|
|
|
104,424
|
|
|
|
119,155
|
|
|
|
139,206
|
|
Total nonperforming
assets
|
|
$
|
994,508
|
|
|
|
979,877
|
|
|
|
976,798
|
|
|
|
1,045,830
|
|
|
|
1,059,221
|
|
Accruing loans past
due 90 days or more (4)
|
|
$
|
244,405
|
|
|
|
261,288
|
|
|
|
265,461
|
|
|
|
280,019
|
|
|
|
300,659
|
|
Government guaranteed
loans included in totals above:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
|
$
|
35,677
|
|
|
|
34,687
|
|
|
|
39,296
|
|
|
|
39,610
|
|
|
|
40,610
|
|
Accruing loans past
due 90 days or more
|
|
|
235,489
|
|
|
|
252,072
|
|
|
|
235,227
|
|
|
|
252,552
|
|
|
|
282,659
|
|
Renegotiated
loans
|
|
$
|
221,513
|
|
|
|
226,672
|
|
|
|
221,892
|
|
|
|
191,343
|
|
|
|
190,374
|
|
Accruing loans
acquired at a discount past due 90 days or more (5)
|
|
$
|
47,418
|
|
|
|
56,225
|
|
|
|
57,498
|
|
|
|
63,732
|
|
|
|
61,144
|
|
Purchased impaired
loans (6):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding customer
balance
|
|
$
|
688,091
|
|
|
|
779,340
|
|
|
|
838,476
|
|
|
|
890,431
|
|
|
|
927,446
|
|
Carrying
amount
|
|
|
410,015
|
|
|
|
466,943
|
|
|
|
512,393
|
|
|
|
552,935
|
|
|
|
578,032
|
|
Nonaccrual loans to
total net loans
|
|
|
1.00
|
%
|
|
|
.99
|
%
|
|
|
.98
|
%
|
|
|
1.04
|
%
|
|
|
1.01
|
%
|
Allowance for credit
losses to total loans
|
|
|
1.16
|
%
|
|
|
1.15
|
%
|
|
|
1.13
|
%
|
|
|
1.12
|
%
|
|
|
1.09
|
%
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes common stock
equivalents.
|
(2)
|
Includes common stock
issuable under deferred compensation plans.
|
(3)
|
Excludes amortization and
balances related to goodwill and core deposit and other intangible
assets and merger-related expenses which, except in the
calculation of the efficiency ratio, are net of applicable income
tax effects. Reconciliations of net income with net operating
income appear herein.
|
(4)
|
Excludes loans
acquired at a discount. Predominantly residential real estate
loans.
|
(5)
|
Loans acquired at a
discount that were recorded at fair value at acquisition date. This
category does not include purchased impaired loans that are
presented separately.
|
(6)
|
Accruing loans
acquired at a discount that were impaired at acquisition date and
recorded at fair value.
|
Condensed
Consolidated Statement of Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
|
|
|
|
|
Year ended
|
|
|
|
|
|
|
|
December 31
|
|
|
|
|
|
|
December 31
|
|
|
|
|
|
Dollars in
thousands
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
Interest
income
|
|
$
|
1,074,139
|
|
|
|
982,901
|
|
|
|
9
|
%
|
|
$
|
4,167,795
|
|
|
|
3,895,871
|
|
|
|
7
|
%
|
Interest
expense
|
|
|
102,689
|
|
|
|
107,137
|
|
|
|
-4
|
|
|
|
386,751
|
|
|
|
425,984
|
|
|
|
-9
|
|
Net interest
income
|
|
|
971,450
|
|
|
|
875,764
|
|
|
|
11
|
|
|
|
3,781,044
|
|
|
|
3,469,887
|
|
|
|
9
|
|
Provision for credit
losses
|
|
|
31,000
|
|
|
|
62,000
|
|
|
|
-50
|
|
|
|
168,000
|
|
|
|
190,000
|
|
|
|
-12
|
|
Net interest income
after provision for credit losses
|
|
|
940,450
|
|
|
|
813,764
|
|
|
|
16
|
|
|
|
3,613,044
|
|
|
|
3,279,887
|
|
|
|
10
|
|
Other
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage banking
revenues
|
|
|
96,235
|
|
|
|
98,504
|
|
|
|
-2
|
|
|
|
363,827
|
|
|
|
373,697
|
|
|
|
-3
|
|
Service charges on
deposit accounts
|
|
|
107,783
|
|
|
|
104,890
|
|
|
|
3
|
|
|
|
427,372
|
|
|
|
419,102
|
|
|
|
2
|
|
Trust
income
|
|
|
129,669
|
|
|
|
122,003
|
|
|
|
6
|
|
|
|
501,381
|
|
|
|
472,184
|
|
|
|
6
|
|
Brokerage services
income
|
|
|
12,768
|
|
|
|
15,233
|
|
|
|
-16
|
|
|
|
61,445
|
|
|
|
63,423
|
|
|
|
-3
|
|
Trading account and
foreign exchange gains
|
|
|
10,468
|
|
|
|
7,692
|
|
|
|
36
|
|
|
|
35,301
|
|
|
|
41,126
|
|
|
|
-14
|
|
Gain on bank
investment securities
|
|
|
21,296
|
|
|
|
1,566
|
|
|
|
—
|
|
|
|
21,279
|
|
|
|
30,314
|
|
|
|
-30
|
|
Other revenues from
operations
|
|
|
105,834
|
|
|
|
115,571
|
|
|
|
-8
|
|
|
|
440,538
|
|
|
|
426,150
|
|
|
|
3
|
|
Total other
income
|
|
|
484,053
|
|
|
|
465,459
|
|
|
|
4
|
|
|
|
1,851,143
|
|
|
|
1,825,996
|
|
|
|
1
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
402,878
|
|
|
|
393,354
|
|
|
|
2
|
|
|
|
1,650,729
|
|
|
|
1,623,600
|
|
|
|
2
|
|
Equipment and net
occupancy
|
|
|
71,363
|
|
|
|
69,976
|
|
|
|
2
|
|
|
|
295,084
|
|
|
|
295,141
|
|
|
|
—
|
|
Outside data
processing and software
|
|
|
50,033
|
|
|
|
43,987
|
|
|
|
14
|
|
|
|
184,670
|
|
|
|
172,389
|
|
|
|
7
|
|
FDIC
assessments
|
|
|
23,722
|
|
|
|
28,991
|
|
|
|
-18
|
|
|
|
101,871
|
|
|
|
105,045
|
|
|
|
-3
|
|
Advertising and
marketing
|
|
|
19,366
|
|
|
|
21,074
|
|
|
|
-8
|
|
|
|
69,203
|
|
|
|
87,137
|
|
|
|
-21
|
|
Printing, postage and
supplies
|
|
|
8,563
|
|
|
|
8,681
|
|
|
|
-1
|
|
|
|
35,960
|
|
|
|
39,546
|
|
|
|
-9
|
|
Amortization of core
deposit and other intangible assets
|
|
|
7,025
|
|
|
|
9,089
|
|
|
|
-23
|
|
|
|
31,366
|
|
|
|
42,613
|
|
|
|
-26
|
|
Other costs of
operations
|
|
|
212,863
|
|
|
|
193,951
|
|
|
|
10
|
|
|
|
771,442
|
|
|
|
682,014
|
|
|
|
13
|
|
Total other
expense
|
|
|
795,813
|
|
|
|
769,103
|
|
|
|
3
|
|
|
|
3,140,325
|
|
|
|
3,047,485
|
|
|
|
3
|
|
Income before income
taxes
|
|
|
628,690
|
|
|
|
510,120
|
|
|
|
23
|
|
|
|
2,323,862
|
|
|
|
2,058,398
|
|
|
|
13
|
|
Applicable income
taxes
|
|
|
306,287
|
|
|
|
179,549
|
|
|
|
71
|
|
|
|
915,556
|
|
|
|
743,284
|
|
|
|
23
|
|
Net income
|
|
$
|
322,403
|
|
|
|
330,571
|
|
|
|
-2
|
%
|
|
$
|
1,408,306
|
|
|
|
1,315,114
|
|
|
|
7
|
%
|
Condensed
Consolidated Statement of Income, Five Quarter Trend
|
|
|
|
Three months
ended
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
Dollars in
thousands
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2016
|
|
Interest
income
|
|
$
|
1,074,139
|
|
|
|
1,057,210
|
|
|
|
1,030,413
|
|
|
|
1,006,033
|
|
|
|
982,901
|
|
Interest
expense
|
|
|
102,689
|
|
|
|
100,076
|
|
|
|
92,213
|
|
|
|
91,773
|
|
|
|
107,137
|
|
Net interest
income
|
|
|
971,450
|
|
|
|
957,134
|
|
|
|
938,200
|
|
|
|
914,260
|
|
|
|
875,764
|
|
Provision for credit
losses
|
|
|
31,000
|
|
|
|
30,000
|
|
|
|
52,000
|
|
|
|
55,000
|
|
|
|
62,000
|
|
Net interest income
after provision for credit losses
|
|
|
940,450
|
|
|
|
927,134
|
|
|
|
886,200
|
|
|
|
859,260
|
|
|
|
813,764
|
|
Other
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage banking
revenues
|
|
|
96,235
|
|
|
|
96,737
|
|
|
|
86,163
|
|
|
|
84,692
|
|
|
|
98,504
|
|
Service charges on
deposit accounts
|
|
|
107,783
|
|
|
|
109,356
|
|
|
|
106,057
|
|
|
|
104,176
|
|
|
|
104,890
|
|
Trust
income
|
|
|
129,669
|
|
|
|
124,900
|
|
|
|
126,797
|
|
|
|
120,015
|
|
|
|
122,003
|
|
Brokerage services
income
|
|
|
12,768
|
|
|
|
14,676
|
|
|
|
16,617
|
|
|
|
17,384
|
|
|
|
15,233
|
|
Trading account and
foreign exchange gains
|
|
|
10,468
|
|
|
|
7,058
|
|
|
|
8,084
|
|
|
|
9,691
|
|
|
|
7,692
|
|
Gain (loss) on bank
investment securities
|
|
|
21,296
|
|
|
|
—
|
|
|
|
(17)
|
|
|
|
—
|
|
|
|
1,566
|
|
Other revenues from
operations
|
|
|
105,834
|
|
|
|
106,702
|
|
|
|
117,115
|
|
|
|
110,887
|
|
|
|
115,571
|
|
Total other
income
|
|
|
484,053
|
|
|
|
459,429
|
|
|
|
460,816
|
|
|
|
446,845
|
|
|
|
465,459
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
402,878
|
|
|
|
399,089
|
|
|
|
398,900
|
|
|
|
449,862
|
|
|
|
393,354
|
|
Equipment and net
occupancy
|
|
|
71,363
|
|
|
|
75,558
|
|
|
|
73,797
|
|
|
|
74,366
|
|
|
|
69,976
|
|
Outside data
processing and software
|
|
|
50,033
|
|
|
|
45,761
|
|
|
|
44,575
|
|
|
|
44,301
|
|
|
|
43,987
|
|
FDIC
assessments
|
|
|
23,722
|
|
|
|
23,969
|
|
|
|
25,353
|
|
|
|
28,827
|
|
|
|
28,991
|
|
Advertising and
marketing
|
|
|
19,366
|
|
|
|
17,403
|
|
|
|
16,324
|
|
|
|
16,110
|
|
|
|
21,074
|
|
Printing, postage and
supplies
|
|
|
8,563
|
|
|
|
8,732
|
|
|
|
8,957
|
|
|
|
9,708
|
|
|
|
8,681
|
|
Amortization of core
deposit and other intangible assets
|
|
|
7,025
|
|
|
|
7,808
|
|
|
|
8,113
|
|
|
|
8,420
|
|
|
|
9,089
|
|
Other costs of
operations
|
|
|
212,863
|
|
|
|
227,705
|
|
|
|
174,616
|
|
|
|
156,258
|
|
|
|
193,951
|
|
Total other
expense
|
|
|
795,813
|
|
|
|
806,025
|
|
|
|
750,635
|
|
|
|
787,852
|
|
|
|
769,103
|
|
Income before income
taxes
|
|
|
628,690
|
|
|
|
580,538
|
|
|
|
596,381
|
|
|
|
518,253
|
|
|
|
510,120
|
|
Applicable income
taxes
|
|
|
306,287
|
|
|
|
224,615
|
|
|
|
215,328
|
|
|
|
169,326
|
|
|
|
179,549
|
|
Net income
|
|
$
|
322,403
|
|
|
|
355,923
|
|
|
|
381,053
|
|
|
|
348,927
|
|
|
|
330,571
|
|
Condensed
Consolidated Balance Sheet
|
|
|
|
December 31
|
|
|
|
|
|
|
Dollars in
thousands
|
|
2017
|
|
|
2016
|
|
|
Change
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
1,420,888
|
|
|
|
1,320,549
|
|
|
|
8
|
|
%
|
Interest-bearing
deposits at banks
|
|
|
5,078,903
|
|
|
|
5,000,638
|
|
|
|
2
|
|
|
Trading
account
|
|
|
132,909
|
|
|
|
323,867
|
|
|
|
-59
|
|
|
Investment
securities
|
|
|
14,664,525
|
|
|
|
16,250,468
|
|
|
|
-10
|
|
|
Loans and
leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
21,742,651
|
|
|
|
22,610,047
|
|
|
|
-4
|
|
|
Real estate -
commercial
|
|
|
33,366,373
|
|
|
|
33,506,394
|
|
|
|
—
|
|
|
Real estate -
consumer
|
|
|
19,613,344
|
|
|
|
22,590,912
|
|
|
|
-13
|
|
|
Consumer
|
|
|
13,266,615
|
|
|
|
12,146,063
|
|
|
|
9
|
|
|
Total loans and
leases, net of unearned discount
|
|
|
87,988,983
|
|
|
|
90,853,416
|
|
|
|
-3
|
|
|
Less: allowance for
credit losses
|
|
|
1,017,198
|
|
|
|
988,997
|
|
|
|
3
|
|
|
Net loans and
leases
|
|
|
86,971,785
|
|
|
|
89,864,419
|
|
|
|
-3
|
|
|
Goodwill
|
|
|
4,593,112
|
|
|
|
4,593,112
|
|
|
|
—
|
|
|
Core deposit and
other intangible assets
|
|
|
71,589
|
|
|
|
97,655
|
|
|
|
-27
|
|
|
Other
assets
|
|
|
5,659,776
|
|
|
|
5,998,498
|
|
|
|
-6
|
|
|
Total
assets
|
|
$
|
118,593,487
|
|
|
|
123,449,206
|
|
|
|
-4
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
$
|
33,975,180
|
|
|
|
32,813,896
|
|
|
|
4
|
|
%
|
Interest-bearing
deposits
|
|
|
58,278,970
|
|
|
|
62,478,053
|
|
|
|
-7
|
|
|
Deposits at Cayman
Islands office
|
|
|
177,996
|
|
|
|
201,927
|
|
|
|
-12
|
|
|
Total
deposits
|
|
|
92,432,146
|
|
|
|
95,493,876
|
|
|
|
-3
|
|
|
Short-term
borrowings
|
|
|
175,099
|
|
|
|
163,442
|
|
|
|
7
|
|
|
Accrued interest and
other liabilities
|
|
|
1,593,993
|
|
|
|
1,811,431
|
|
|
|
-12
|
|
|
Long-term
borrowings
|
|
|
8,141,430
|
|
|
|
9,493,835
|
|
|
|
-14
|
|
|
Total
liabilities
|
|
|
102,342,668
|
|
|
|
106,962,584
|
|
|
|
-4
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
|
|
|
1,231,500
|
|
|
|
1,231,500
|
|
|
|
—
|
|
|
Common
|
|
|
15,019,319
|
|
|
|
15,255,122
|
|
|
|
-2
|
|
|
Total shareholders'
equity
|
|
|
16,250,819
|
|
|
|
16,486,622
|
|
|
|
-1
|
|
|
Total liabilities and
shareholders' equity
|
|
$
|
118,593,487
|
|
|
|
123,449,206
|
|
|
|
-4
|
|
%
|
Condensed
Consolidated Balance Sheet, Five Quarter Trend
|
|
|
|
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
Dollars in
thousands
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2016
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
1,420,888
|
|
|
|
1,368,252
|
|
|
|
1,344,478
|
|
|
|
1,286,962
|
|
|
|
1,320,549
|
|
Interest-bearing
deposits at banks
|
|
|
5,078,903
|
|
|
|
6,306,484
|
|
|
|
5,023,829
|
|
|
|
6,945,149
|
|
|
|
5,000,638
|
|
Federal funds
sold
|
|
|
—
|
|
|
|
—
|
|
|
|
1,000
|
|
|
|
—
|
|
|
|
—
|
|
Trading
account
|
|
|
132,909
|
|
|
|
170,516
|
|
|
|
174,646
|
|
|
|
174,854
|
|
|
|
323,867
|
|
Investment
securities
|
|
|
14,664,525
|
|
|
|
15,073,926
|
|
|
|
15,816,060
|
|
|
|
15,968,415
|
|
|
|
16,250,468
|
|
Loans and
leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
21,742,651
|
|
|
|
21,743,251
|
|
|
|
22,191,051
|
|
|
|
22,295,376
|
|
|
|
22,610,047
|
|
Real estate -
commercial
|
|
|
33,366,373
|
|
|
|
32,914,288
|
|
|
|
33,348,991
|
|
|
|
33,071,654
|
|
|
|
33,506,394
|
|
Real estate -
consumer
|
|
|
19,613,344
|
|
|
|
20,265,162
|
|
|
|
20,960,171
|
|
|
|
21,724,491
|
|
|
|
22,590,912
|
|
Consumer
|
|
|
13,266,615
|
|
|
|
13,002,433
|
|
|
|
12,580,342
|
|
|
|
12,221,481
|
|
|
|
12,146,063
|
|
Total loans and
leases, net of unearned discount
|
|
|
87,988,983
|
|
|
|
87,925,134
|
|
|
|
89,080,555
|
|
|
|
89,313,002
|
|
|
|
90,853,416
|
|
Less: allowance for
credit losses
|
|
|
1,017,198
|
|
|
|
1,013,326
|
|
|
|
1,008,225
|
|
|
|
1,001,430
|
|
|
|
988,997
|
|
Net loans and
leases
|
|
|
86,971,785
|
|
|
|
86,911,808
|
|
|
|
88,072,330
|
|
|
|
88,311,572
|
|
|
|
89,864,419
|
|
Goodwill
|
|
|
4,593,112
|
|
|
|
4,593,112
|
|
|
|
4,593,112
|
|
|
|
4,593,112
|
|
|
|
4,593,112
|
|
Core deposit and
other intangible assets
|
|
|
71,589
|
|
|
|
78,614
|
|
|
|
86,422
|
|
|
|
94,535
|
|
|
|
97,655
|
|
Other
assets
|
|
|
5,659,776
|
|
|
|
5,899,092
|
|
|
|
5,784,690
|
|
|
|
5,848,652
|
|
|
|
5,998,498
|
|
Total
assets
|
|
$
|
118,593,487
|
|
|
|
120,401,804
|
|
|
|
120,896,567
|
|
|
|
123,223,251
|
|
|
|
123,449,206
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
$
|
33,975,180
|
|
|
|
33,111,246
|
|
|
|
32,366,426
|
|
|
|
34,279,591
|
|
|
|
32,813,896
|
|
Interest-bearing
deposits
|
|
|
58,278,970
|
|
|
|
60,170,133
|
|
|
|
60,978,895
|
|
|
|
62,570,167
|
|
|
|
62,478,053
|
|
Deposits at Cayman
Islands office
|
|
|
177,996
|
|
|
|
232,014
|
|
|
|
195,617
|
|
|
|
192,763
|
|
|
|
201,927
|
|
Total
deposits
|
|
|
92,432,146
|
|
|
|
93,513,393
|
|
|
|
93,540,938
|
|
|
|
97,042,521
|
|
|
|
95,493,876
|
|
Short-term
borrowings
|
|
|
175,099
|
|
|
|
200,768
|
|
|
|
1,695,453
|
|
|
|
185,102
|
|
|
|
163,442
|
|
Accrued interest and
other liabilities
|
|
|
1,593,993
|
|
|
|
1,791,946
|
|
|
|
1,727,059
|
|
|
|
1,694,905
|
|
|
|
1,811,431
|
|
Long-term
borrowings
|
|
|
8,141,430
|
|
|
|
8,577,645
|
|
|
|
7,649,580
|
|
|
|
8,087,619
|
|
|
|
9,493,835
|
|
Total
liabilities
|
|
|
102,342,668
|
|
|
|
104,083,752
|
|
|
|
104,613,030
|
|
|
|
107,010,147
|
|
|
|
106,962,584
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
|
|
|
1,231,500
|
|
|
|
1,231,500
|
|
|
|
1,231,500
|
|
|
|
1,231,500
|
|
|
|
1,231,500
|
|
Common
|
|
|
15,019,319
|
|
|
|
15,086,552
|
|
|
|
15,052,037
|
|
|
|
14,981,604
|
|
|
|
15,255,122
|
|
Total shareholders'
equity
|
|
|
16,250,819
|
|
|
|
16,318,052
|
|
|
|
16,283,537
|
|
|
|
16,213,104
|
|
|
|
16,486,622
|
|
Total liabilities and
shareholders' equity
|
|
$
|
118,593,487
|
|
|
|
120,401,804
|
|
|
|
120,896,567
|
|
|
|
123,223,251
|
|
|
|
123,449,206
|
|
Condensed
Consolidated Average Balance Sheet and Annualized
Taxable-equivalent Rates
|
|
|
|
|
Three months
ended
|
|
|
Change in
balance
|
|
|
Year ended
|
|
|
|
|
|
December 31,
|
|
|
December 31,
|
|
|
September 30,
|
|
|
December 31,
2017 from
|
|
|
December 31
|
|
Change
|
Dollars in
millions
|
|
2017
|
|
|
2016
|
|
|
2017
|
|
|
December 31,
|
|
|
September 30,
|
|
|
2017
|
|
2016
|
|
in
|
|
|
Balance
|
|
Rate
|
|
|
Balance
|
|
|
Rate
|
|
|
Balance
|
|
|
Rate
|
|
|
2016
|
|
|
2017
|
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
|
balance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits at banks
|
|
$
|
6,680
|
|
1.31
|
%
|
|
8,790
|
|
|
.54
|
%
|
|
4,740
|
|
|
1.25
|
%
|
|
-24
|
%
|
|
41
|
%
|
|
$
|
5,578
|
|
1.10
|
%
|
|
8,846
|
|
.51
|
%
|
|
-37
|
%
|
Trading
account
|
|
|
87
|
|
1.31
|
|
|
70
|
|
|
2.05
|
|
|
73
|
|
|
1.92
|
|
|
23
|
|
|
18
|
|
|
|
71
|
|
1.70
|
|
|
85
|
|
1.71
|
|
|
-16
|
|
Investment
securities
|
|
|
14,808
|
|
2.30
|
|
|
15,417
|
|
|
2.28
|
|
|
15,443
|
|
|
2.28
|
|
|
-4
|
|
|
-4
|
|
|
|
15,538
|
|
2.34
|
|
|
15,009
|
|
2.44
|
|
|
4
|
|
Loans and leases, net
of unearned discount
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial,
etc.
|
|
|
21,562
|
|
4.06
|
|
|
21,936
|
|
|
3.47
|
|
|
21,734
|
|
|
3.98
|
|
|
-2
|
|
|
-1
|
|
|
|
21,981
|
|
3.88
|
|
|
21,397
|
|
3.44
|
|
|
3
|
|
Real estate -
commercial
|
|
|
33,138
|
|
4.61
|
|
|
32,822
|
|
|
4.01
|
|
|
33,257
|
|
|
4.50
|
|
|
1
|
|
|
—
|
|
|
|
33,196
|
|
4.40
|
|
|
30,915
|
|
4.06
|
|
|
7
|
|
Real estate -
consumer
|
|
|
19,974
|
|
4.03
|
|
|
23,096
|
|
|
3.88
|
|
|
20,609
|
|
|
3.96
|
|
|
-14
|
|
|
-3
|
|
|
|
21,013
|
|
3.96
|
|
|
24,463
|
|
3.92
|
|
|
-14
|
|
Consumer
|
|
|
13,163
|
|
4.91
|
|
|
12,123
|
|
|
4.53
|
|
|
12,786
|
|
|
4.89
|
|
|
9
|
|
|
3
|
|
|
|
12,625
|
|
4.82
|
|
|
11,841
|
|
4.54
|
|
|
7
|
|
Total loans and
leases, net
|
|
|
87,837
|
|
4.40
|
|
|
89,977
|
|
|
3.93
|
|
|
88,386
|
|
|
4.32
|
|
|
-2
|
|
|
-1
|
|
|
|
88,815
|
|
4.25
|
|
|
88,616
|
|
3.96
|
|
|
—
|
|
Total earning
assets
|
|
|
109,412
|
|
3.93
|
|
|
114,254
|
|
|
3.45
|
|
|
108,642
|
|
|
3.89
|
|
|
-4
|
|
|
1
|
|
|
|
110,002
|
|
3.82
|
|
|
112,556
|
|
3.49
|
|
|
-2
|
|
Goodwill
|
|
|
4,593
|
|
|
|
|
4,593
|
|
|
|
|
|
4,593
|
|
|
|
|
|
—
|
|
|
—
|
|
|
|
4,593
|
|
|
|
|
4,593
|
|
|
|
|
—
|
|
Core deposit and other intangible assets
|
|
|
75
|
|
|
|
|
102
|
|
|
|
|
|
82
|
|
|
|
|
|
-27
|
|
|
-9
|
|
|
|
86
|
|
|
|
|
117
|
|
|
|
|
-26
|
|
Other
assets
|
|
|
6,146
|
|
|
|
|
6,785
|
|
|
|
|
|
6,198
|
|
|
|
|
|
-9
|
|
|
-1
|
|
|
|
6,179
|
|
|
|
|
7,074
|
|
|
|
|
-13
|
|
Total
assets
|
|
$
|
120,226
|
|
|
|
|
125,734
|
|
|
|
|
|
119,515
|
|
|
|
|
|
-4
|
%
|
|
1
|
%
|
|
$
|
120,860
|
|
|
|
|
124,340
|
|
|
|
|
-3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings and
interest-checking deposits
|
|
$
|
53,436
|
|
.29
|
|
|
54,055
|
|
|
.20
|
|
|
53,287
|
|
|
.28
|
|
|
-1
|
%
|
|
—
|
%
|
|
$
|
53,399
|
|
.25
|
|
|
52,194
|
|
.17
|
|
|
2
|
%
|
Time
deposits
|
|
|
6,888
|
|
.70
|
|
|
10,936
|
|
|
.86
|
|
|
7,673
|
|
|
.72
|
|
|
-37
|
|
|
-10
|
|
|
|
8,161
|
|
.75
|
|
|
12,253
|
|
.84
|
|
|
-33
|
|
Deposits at Cayman Island
office
|
|
|
215
|
|
.61
|
|
|
206
|
|
|
.42
|
|
|
169
|
|
|
.73
|
|
|
4
|
|
|
27
|
|
|
|
185
|
|
.64
|
|
|
199
|
|
.40
|
|
|
-7
|
|
Total interest-bearing deposits
|
|
|
60,539
|
|
.34
|
|
|
65,197
|
|
|
.31
|
|
|
61,129
|
|
|
.34
|
|
|
-7
|
|
|
-1
|
|
|
|
61,745
|
|
.32
|
|
|
64,646
|
|
.30
|
|
|
-4
|
|
Short-term
borrowings
|
|
|
178
|
|
.81
|
|
|
200
|
|
|
.30
|
|
|
244
|
|
|
.90
|
|
|
-11
|
|
|
-27
|
|
|
|
205
|
|
.74
|
|
|
894
|
|
.41
|
|
|
-77
|
|
Long-term
borrowings
|
|
|
8,464
|
|
2.37
|
|
|
9,901
|
|
|
2.26
|
|
|
8,033
|
|
|
2.35
|
|
|
-15
|
|
|
5
|
|
|
|
8,302
|
|
2.28
|
|
|
10,252
|
|
2.25
|
|
|
-19
|
|
Total
interest-bearing liabilities
|
|
|
69,181
|
|
.59
|
|
|
75,298
|
|
|
.57
|
|
|
69,406
|
|
|
.57
|
|
|
-8
|
|
|
—
|
|
|
|
70,252
|
|
.55
|
|
|
75,792
|
|
.56
|
|
|
-7
|
|
Noninterest-bearing
deposits
|
|
|
32,930
|
|
|
|
|
31,717
|
|
|
|
|
|
32,005
|
|
|
|
|
|
4
|
|
|
3
|
|
|
|
32,520
|
|
|
|
|
30,160
|
|
|
|
|
8
|
|
Other
liabilities
|
|
|
1,844
|
|
|
|
|
2,046
|
|
|
|
|
|
1,803
|
|
|
|
|
|
-10
|
|
|
2
|
|
|
|
1,793
|
|
|
|
|
1,969
|
|
|
|
|
-9
|
|
Total
liabilities
|
|
|
103,955
|
|
|
|
|
109,061
|
|
|
|
|
|
103,214
|
|
|
|
|
|
-5
|
|
|
1
|
|
|
|
104,565
|
|
|
|
|
107,921
|
|
|
|
|
-3
|
|
Shareholders'
equity
|
|
|
16,271
|
|
|
|
|
16,673
|
|
|
|
|
|
16,301
|
|
|
|
|
|
-2
|
|
|
—
|
|
|
|
16,295
|
|
|
|
|
16,419
|
|
|
|
|
-1
|
|
Total liabilities
and shareholders' equity
|
|
$
|
120,226
|
|
|
|
|
125,734
|
|
|
|
|
|
119,515
|
|
|
|
|
|
-4
|
%
|
|
1
|
%
|
|
$
|
120,860
|
|
|
|
|
124,340
|
|
|
|
|
-3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
|
|
3.34
|
|
|
|
|
|
2.88
|
|
|
|
|
|
3.32
|
|
|
|
|
|
|
|
|
|
|
|
3.27
|
|
|
|
|
2.93
|
|
|
|
|
Contribution of
interest-free funds
|
|
|
|
|
.22
|
|
|
|
|
|
.20
|
|
|
|
|
|
.21
|
|
|
|
|
|
|
|
|
|
|
|
.20
|
|
|
|
|
.18
|
|
|
|
|
Net interest
margin
|
|
|
|
|
3.56
|
%
|
|
|
|
|
3.08
|
%
|
|
|
|
|
3.53
|
%
|
|
|
|
|
|
|
|
|
|
|
3.47
|
%
|
|
|
|
3.11
|
%
|
|
|
|
Reconciliation of
GAAP to Non-GAAP Measures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
Year ended
|
|
|
|
December 31
|
|
|
December 31
|
|
|
|
2017
|
|
|
2016
|
|
|
2017
|
|
|
2016
|
|
Income statement
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In thousands, except
per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
322,403
|
|
|
|
330,571
|
|
|
|
1,408,306
|
|
|
|
1,315,114
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
4,261
|
|
|
|
5,524
|
|
|
|
19,025
|
|
|
|
25,893
|
|
Merger-related
expenses (1)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
21,685
|
|
Net operating
income
|
|
$
|
326,664
|
|
|
|
336,095
|
|
|
|
1,427,331
|
|
|
|
1,362,692
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
common share
|
|
$
|
2.01
|
|
|
|
1.98
|
|
|
|
8.70
|
|
|
|
7.78
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
.03
|
|
|
|
.03
|
|
|
|
.12
|
|
|
|
.16
|
|
Merger-related
expenses (1)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
.14
|
|
Diluted net operating
earnings per common share
|
|
$
|
2.04
|
|
|
|
2.01
|
|
|
|
8.82
|
|
|
|
8.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
$
|
795,813
|
|
|
|
769,103
|
|
|
|
3,140,325
|
|
|
|
3,047,485
|
|
Amortization of core
deposit and other intangible assets
|
|
|
(7,025)
|
|
|
|
(9,089)
|
|
|
|
(31,366)
|
|
|
|
(42,613)
|
|
Merger-related
expenses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(35,755)
|
|
Noninterest operating
expense
|
|
$
|
788,788
|
|
|
|
760,014
|
|
|
|
3,108,959
|
|
|
|
2,969,117
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger-related
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
$
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,334
|
|
Equipment and net
occupancy
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,278
|
|
Outside data
processing and software
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,067
|
|
Advertising and
marketing
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
10,522
|
|
Printing, postage and
supplies
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,482
|
|
Other costs of
operations
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
16,072
|
|
Total
|
|
$
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
35,755
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency
ratio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest operating
expense (numerator)
|
|
$
|
788,788
|
|
|
|
760,014
|
|
|
|
3,108,959
|
|
|
|
2,969,117
|
|
Taxable-equivalent
net interest income
|
|
|
980,457
|
|
|
|
883,147
|
|
|
|
3,815,614
|
|
|
|
3,496,849
|
|
Other
income
|
|
|
484,053
|
|
|
|
465,459
|
|
|
|
1,851,143
|
|
|
|
1,825,996
|
|
Less: Gain on
bank investment securities
|
|
|
21,296
|
|
|
|
1,566
|
|
|
|
21,279
|
|
|
|
30,314
|
|
Denominator
|
|
$
|
1,443,214
|
|
|
|
1,347,040
|
|
|
|
5,645,478
|
|
|
|
5,292,531
|
|
Efficiency
ratio
|
|
|
54.65
|
%
|
|
|
56.42
|
%
|
|
|
55.07
|
%
|
|
|
56.10
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In
millions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
$
|
120,226
|
|
|
|
125,734
|
|
|
|
120,860
|
|
|
|
124,340
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(75)
|
|
|
|
(102)
|
|
|
|
(86)
|
|
|
|
(117)
|
|
Deferred
taxes
|
|
|
26
|
|
|
|
40
|
|
|
|
33
|
|
|
|
46
|
|
Average tangible
assets
|
|
$
|
115,584
|
|
|
|
121,079
|
|
|
|
116,214
|
|
|
|
119,676
|
|
Average common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
equity
|
|
$
|
16,271
|
|
|
|
16,673
|
|
|
|
16,295
|
|
|
|
16,419
|
|
Preferred
stock
|
|
|
(1,232)
|
|
|
|
(1,492)
|
|
|
|
(1,232)
|
|
|
|
(1,297)
|
|
Average common
equity
|
|
|
15,039
|
|
|
|
15,181
|
|
|
|
15,063
|
|
|
|
15,122
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(75)
|
|
|
|
(102)
|
|
|
|
(86)
|
|
|
|
(117)
|
|
Deferred
taxes
|
|
|
26
|
|
|
|
40
|
|
|
|
33
|
|
|
|
46
|
|
Average tangible
common equity
|
|
$
|
10,397
|
|
|
|
10,526
|
|
|
|
10,417
|
|
|
|
10,458
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At end of
quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
118,593
|
|
|
|
123,449
|
|
|
|
|
|
|
|
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
|
|
|
|
|
|
Core deposit and
other intangible assets
|
|
|
(72)
|
|
|
|
(98)
|
|
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
|
19
|
|
|
|
39
|
|
|
|
|
|
|
|
|
|
Total tangible
assets
|
|
$
|
113,947
|
|
|
|
118,797
|
|
|
|
|
|
|
|
|
|
Total common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
equity
|
|
$
|
16,251
|
|
|
|
16,487
|
|
|
|
|
|
|
|
|
|
Preferred
stock
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
|
|
|
|
|
|
Undeclared dividends
- cumulative preferred stock
|
|
|
(3)
|
|
|
|
(3)
|
|
|
|
|
|
|
|
|
|
Common equity, net of
undeclared cumulative preferred dividends
|
|
|
15,016
|
|
|
|
15,252
|
|
|
|
|
|
|
|
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
|
|
|
|
|
|
Core deposit and
other intangible assets
|
|
|
(72)
|
|
|
|
(98)
|
|
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
|
19
|
|
|
|
39
|
|
|
|
|
|
|
|
|
|
Total tangible common
equity
|
|
$
|
10,370
|
|
|
|
10,600
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) After any related
tax effect.
|
|
Reconciliation of
Quarterly GAAP to Non-GAAP Measures, Five Quarter Trend
|
|
|
|
Three months
ended
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
June 30,
|
|
|
March 31,
|
|
|
December 31,
|
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2017
|
|
|
2016
|
|
Income statement
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In thousands, except
per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
322,403
|
|
|
|
355,923
|
|
|
|
381,053
|
|
|
|
348,927
|
|
|
|
330,571
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
4,261
|
|
|
|
4,735
|
|
|
|
4,921
|
|
|
|
5,108
|
|
|
|
5,524
|
|
Net operating
income
|
|
$
|
326,664
|
|
|
|
360,658
|
|
|
|
385,974
|
|
|
|
354,035
|
|
|
|
336,095
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
common share
|
|
$
|
2.01
|
|
|
|
2.21
|
|
|
|
2.35
|
|
|
|
2.12
|
|
|
|
1.98
|
|
Amortization of core
deposit and other intangible assets (1)
|
|
|
.03
|
|
|
|
.03
|
|
|
|
.03
|
|
|
|
.03
|
|
|
|
.03
|
|
Diluted net operating
earnings per common share
|
|
$
|
2.04
|
|
|
|
2.24
|
|
|
|
2.38
|
|
|
|
2.15
|
|
|
|
2.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense
|
|
$
|
795,813
|
|
|
|
806,025
|
|
|
|
750,635
|
|
|
|
787,852
|
|
|
|
769,103
|
|
Amortization of core
deposit and other intangible assets
|
|
|
(7,025)
|
|
|
|
(7,808)
|
|
|
|
(8,113)
|
|
|
|
(8,420)
|
|
|
|
(9,089)
|
|
Noninterest operating
expense
|
|
$
|
788,788
|
|
|
|
798,217
|
|
|
|
742,522
|
|
|
|
779,432
|
|
|
|
760,014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency
ratio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest operating
expense (numerator)
|
|
$
|
788,788
|
|
|
|
798,217
|
|
|
|
742,522
|
|
|
|
779,432
|
|
|
|
760,014
|
|
Taxable-equivalent
net interest income
|
|
|
980,457
|
|
|
|
965,962
|
|
|
|
946,936
|
|
|
|
922,259
|
|
|
|
883,147
|
|
Other
income
|
|
|
484,053
|
|
|
|
459,429
|
|
|
|
460,816
|
|
|
|
446,845
|
|
|
|
465,459
|
|
Less: Gain
(loss) on bank investment securities
|
|
|
21,296
|
|
|
|
—
|
|
|
|
(17)
|
|
|
|
—
|
|
|
|
1,566
|
|
Denominator
|
|
$
|
1,443,214
|
|
|
|
1,425,391
|
|
|
|
1,407,769
|
|
|
|
1,369,104
|
|
|
|
1,347,040
|
|
Efficiency
ratio
|
|
|
54.65
|
%
|
|
|
56.00
|
%
|
|
|
52.74
|
%
|
|
|
56.93
|
%
|
|
|
56.42
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet
data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In
millions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
assets
|
|
$
|
120,226
|
|
|
|
119,515
|
|
|
|
120,765
|
|
|
|
122,978
|
|
|
|
125,734
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(75)
|
|
|
|
(82)
|
|
|
|
(90)
|
|
|
|
(98)
|
|
|
|
(102)
|
|
Deferred
taxes
|
|
|
26
|
|
|
|
32
|
|
|
|
35
|
|
|
|
39
|
|
|
|
40
|
|
Average tangible
assets
|
|
$
|
115,584
|
|
|
|
114,872
|
|
|
|
116,117
|
|
|
|
118,326
|
|
|
|
121,079
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
equity
|
|
$
|
16,271
|
|
|
|
16,301
|
|
|
|
16,285
|
|
|
|
16,323
|
|
|
|
16,673
|
|
Preferred
stock
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,492)
|
|
Average common
equity
|
|
|
15,039
|
|
|
|
15,069
|
|
|
|
15,053
|
|
|
|
15,091
|
|
|
|
15,181
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(75)
|
|
|
|
(82)
|
|
|
|
(90)
|
|
|
|
(98)
|
|
|
|
(102)
|
|
Deferred
taxes
|
|
|
26
|
|
|
|
32
|
|
|
|
35
|
|
|
|
39
|
|
|
|
40
|
|
Average tangible
common equity
|
|
$
|
10,397
|
|
|
|
10,426
|
|
|
|
10,405
|
|
|
|
10,439
|
|
|
|
10,526
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At end of
quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
118,593
|
|
|
|
120,402
|
|
|
|
120,897
|
|
|
|
123,223
|
|
|
|
123,449
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(72)
|
|
|
|
(79)
|
|
|
|
(86)
|
|
|
|
(95)
|
|
|
|
(98)
|
|
Deferred
taxes
|
|
|
19
|
|
|
|
31
|
|
|
|
33
|
|
|
|
38
|
|
|
|
39
|
|
Total tangible
assets
|
|
$
|
113,947
|
|
|
|
115,761
|
|
|
|
116,251
|
|
|
|
118,573
|
|
|
|
118,797
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total common
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
equity
|
|
$
|
16,251
|
|
|
|
16,318
|
|
|
|
16,284
|
|
|
|
16,213
|
|
|
|
16,487
|
|
Preferred
stock
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
|
|
(1,232)
|
|
Undeclared dividends
- cumulative preferred stock
|
|
|
(3)
|
|
|
|
(3)
|
|
|
|
(3)
|
|
|
|
(3)
|
|
|
|
(3)
|
|
Common equity, net of
undeclared cumulative preferred dividends
|
|
|
15,016
|
|
|
|
15,083
|
|
|
|
15,049
|
|
|
|
14,978
|
|
|
|
15,252
|
|
Goodwill
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
|
|
(4,593)
|
|
Core deposit and
other intangible assets
|
|
|
(72)
|
|
|
|
(79)
|
|
|
|
(86)
|
|
|
|
(95)
|
|
|
|
(98)
|
|
Deferred
taxes
|
|
|
19
|
|
|
|
31
|
|
|
|
33
|
|
|
|
38
|
|
|
|
39
|
|
Total tangible common
equity
|
|
$
|
10,370
|
|
|
|
10,442
|
|
|
|
10,403
|
|
|
|
10,328
|
|
|
|
10,600
|
|
|
|
|
|
|
|
|
(1) After any related tax
effect.
|
View original content with
multimedia:http://www.prnewswire.com/news-releases/mt-bank-corporation-announces-2017-fourth-quarter-and-full-year-results-300584527.html
SOURCE M&T Bank Corporation