RALEIGH, N.C., April 9, 2012 /PRNewswire/ -- Capital Bank
Corporation (the "Company") (Nasdaq: CBKN), a majority-owned
subsidiary of Capital Bank Financial Corp. ("CBF"; formerly North
American Financial Holdings, Inc.), today reported financial
results for the fourth quarter and full year of 2011. Operating and
financial highlights include the following:
- Net income totaled $1.5 million,
or $0.02 per share, in the fourth
quarter of 2011 and totaled $5.3
million, or $0.06 per share,
in the successor period from January 29 to
December 31, 2011; and
- Following the merger of GreenBank, the wholly-owned subsidiary
of Green Bankshares, Inc. ("Green Bankshares"), into Capital Bank,
NA, the Company held a 26% ownership interest in Capital Bank, NA,
which has $6.5 billion in assets and
operates 143 branches in Florida,
North Carolina, South Carolina, Tennessee and Virginia.
"Thanks to the hard work of team mates across the company, I am
very proud to be able to say that today, Capital Bank, NA is a
single bank, with 143 branches operating under one brand, offering
a common set of products and processing on one IT system. That is a
huge accomplishment for us in such a short period of time," stated
Gene Taylor, Chairman and Chief
Executive Officer of CBF and Capital Bank Corporation.
"We are pleased with continued success in generating new loans
and core deposits. These activities are helping customers achieve
their goals and will lead to higher profitability for the company,"
commented Chris Marshall, Chief
Financial Officer of CBF and Capital Bank Corporation.
Bank Mergers
On June 30, 2011, Capital Bank,
formerly a wholly-owned subsidiary of the Company ("Old Capital
Bank"), merged with and into NAFH National Bank, a national banking
association, with NAFH National Bank as the surviving entity (the
"Bank Merger"). In connection with the Bank Merger, NAFH National
Bank changed its name to Capital Bank, NA. On September 7, 2011, CBF acquired a controlling
interest in Green Bankshares and merged its banking subsidiary,
GreenBank, with and into Capital Bank, NA. Following the GreenBank
merger, Capital Bank, NA is now owned by the Company, CBF, TIB
Financial Corp. ("TIB Financial") and Green Bankshares. CBF is the
owner of approximately 83% of the Company's common stock,
approximately 94% of TIB Financial's common stock and approximately
90% of Green Bankshares' common stock. Previously, on April 29, 2011, Capital Bank, NA merged with TIB
Bank, then a wholly-owned subsidiary of TIB Financial.
The Bank Merger occurred pursuant to the terms of an Agreement
of Merger entered into by and between Old Capital Bank and Capital
Bank, NA, dated as of June 30, 2011.
In the Bank Merger, each share of Old Capital Bank common stock was
converted into the right to receive shares of Capital Bank, NA
common stock based on each entity's relative tangible book value on
March 31, 2011. Following the
GreenBank merger, the Company now owns approximately 26% of Capital
Bank, NA, with CBF having a direct ownership of 19%, TIB Financial
owning 21%, and Green Bankshares owning the remaining 34%.
The Bank Merger, the preceding merger of TIB Bank and Capital
Bank, NA, and the succeeding merger of GreenBank and Capital Bank,
NA were restructuring transactions between commonly-controlled
entities. At the time of the Bank Merger, due to the
deconsolidation of Old Capital Bank, the balance of accumulated
other comprehensive income was reclassified to common stock within
shareholders' equity. Immediately following the Bank Merger, on
June 30, 2011, CBF, the Company and
TIB Financial made cash contributions of additional capital to
Capital Bank, NA of $4.7 million,
$6.1 million and $5.2 million, respectively, in proportion to
their respective ownership interests in Capital Bank, NA. On
September 30, 2011, the Company made
a $10.0 million contribution of
additional capital to Capital Bank, NA in exchange for additional
shares of Capital Bank, NA. These capital contributions were made
to provide additional capital support for the general business
operations of Capital Bank, NA. As of December 31, 2011, Capital Bank, NA operated 143
branches in Florida, North Carolina, South Carolina, Tennessee and Virginia and had total assets of $6.5 billion, total deposits of $5.1 billion and shareholders' equity of
$939.8 million.
The Company reports its investment in Capital Bank, NA on the
Consolidated Balance Sheet as an equity method investment in that
entity. As of December 31, 2011, the
Company's investment in Capital Bank, NA totaled $243.7 million, which reflected the Company's pro
rata ownership of Capital Bank, NA's total shareholders' equity.
The Company also had an advance to Capital Bank, NA totaling
$3.4 million as of December 31, 2011. In the quarter ended
December 31, 2011, the Company
increased the equity investment balance by $1.8 million based on its equity in Capital Bank,
NA's net income and decreased the equity investment balance by
$148 thousand based on its equity in
Capital Bank, NA's other comprehensive income.
The following table presents summarized financial information
for the Company's equity method investee, Capital Bank, NA, for
each period presented:
|
|
|
(Dollars in
thousands)
|
|
|
Three
Months
Ended
Dec. 31, 2011
|
|
|
Jun. 30,
2011
to
Dec. 31, 2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
$
|
74,163
|
|
$
|
137,508
|
|
|
|
|
Interest expense
|
|
|
9,266
|
|
|
17,810
|
|
|
|
|
Net interest income
|
|
|
64,897
|
|
|
119,698
|
|
|
|
|
Provision for loan
losses
|
|
|
16,790
|
|
|
28,636
|
|
|
|
|
Noninterest
income
|
|
|
16,105
|
|
|
28,710
|
|
|
|
|
Noninterest expense
|
|
|
53,271
|
|
|
97,754
|
|
|
|
|
Net income
|
|
$
|
6,797
|
|
$
|
13,984
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Potential Merger of the Company and CBF
On September 1, 2011, the Boards
of Directors of CBF and the Company approved and adopted a merger
agreement. The merger agreement provides for the merger, following
the receipt of shareholder approval by the Company's shareholders
(including CBF), of the Company with and into CBF, with CBF
continuing as the surviving entity. In the merger, each share of
the Company's common stock issued and outstanding immediately prior
to the completion of the merger, except for shares for which
appraisal rights are properly exercised and certain shares held by
CBF or the Company, will be converted into the right to receive
0.1354 of a share of CBF Class A common stock. No fractional shares
of Class A common stock will be issued in connection with the
merger, and holders of the Company's common stock will be entitled
to receive cash in lieu thereof.
Since CBF is the majority shareholder of the Company, CBF will
be able to determine the outcome of the shareholder vote needed to
approve the merger.
Net Interest Income
Net interest income in the fourth quarter of 2011 was
significantly impacted by the Bank Merger, upon which Old Capital
Bank's earning assets and interest-bearing liabilities were
deconsolidated from the Company. Following the Bank Merger on
June 30, 2011, the Company's
interest-bearing liabilities, which consisted of subordinated
debentures, significantly exceeded interest-earning assets, thus
creating negative net interest income and a negative net interest
margin. Net interest income for the quarter ended December 31, 2011 (Successor) and the quarter
ended December 31, 2010 (Predecessor)
totaled ($277) thousand and
$12.3 million, respectively. Net
interest margin decreased from 3.16% in the fourth quarter of 2010
(Predecessor) to (32.39)% in the fourth quarter of 2011 (Successor)
primarily due to the Bank Merger.
Further, net interest income for the period of January 29 to December 31, 2011 (Successor), the
period of January 1 to January 28,
2011 (Predecessor), and the year ended December 31, 2010 (Predecessor) totaled
$24.9 million, $4.0 million and $51.0
million, respectively. Net interest margin increased from
3.27% in the year ended December 31,
2010 (Predecessor) to 4.13% for the period of January 29 to December 31, 2011 (Successor)
primarily due to a decline in funding costs as the average rate on
total interest-bearing liabilities fell from 1.88% to 1.17% over
that period. Average earning assets decreased from $1.60 billion in the year ended December 31, 2010 (Predecessor) to $1.54 billion in the period of January 1 to January 28, 2011 (Predecessor) to
$670.7 million in the period of
January 29 to December 31, 2011
(Successor). The decline in average earning assets in the successor
period was primarily related to the Bank Merger.
Provision for Loan Losses
Due to the Bank Merger, there was no provision for loan losses
in the quarter ended December 31,
2011 (Successor). Provision for loan losses for the quarter
ended December 31, 2010 (Predecessor)
totaled $20.0 million. In addition,
provision for loan losses for the period of January 29 to December 31, 2011 (Successor), the
period of January 1 to January 28,
2011 (Predecessor), and the year ended December 31, 2010 (Predecessor) totaled
$1.5 million, $40 thousand and $58.5
million, respectively. The loan loss provision in the
successor period reflects $752
thousand of estimated losses inherent in loans originated
subsequent to the CBF investment date, $359
thousand of impairment related to probable decreases in cash
flows expected to be collected on certain purchase credit-impaired
loan pools, and $339 thousand of
losses on acquired non-PCI loans.
Noninterest Income
Noninterest income for the quarter ended December 31, 2011 (Successor) and the quarter
ended December 31, 2010 (Predecessor)
totaled $1.8 million and $8.0 million, respectively. Noninterest income in
the fourth quarter of 2011 (Successor) was solely related to the
Company's equity income from its investment in Capital Bank,
NA.
Further, noninterest income for the period of January 29 to December 31, 2011 (Successor), the
period of January 1 to January 28,
2011 (Predecessor), and the year ended December 31, 2010 (Predecessor) totaled
$7.4 million, $832 thousand and $15.5
million, respectively. Noninterest income in the successor
period was significantly impacted by the Company's $4.0 million of equity income from its investment
in Capital Bank, NA. Additionally, noninterest income in the year
ended December 31, 2010 (Predecessor)
benefited from $5.9 million of gains
recorded on the sale of investment securities while no gains or
losses were recognized in the period from January 29 to December 31, 2011 (Successor) or
the period from January 1 to January 28,
2011 (Predecessor).
Noninterest Expense
Noninterest expense for the quarter ended December 31, 2011 (Successor) and the quarter
ended December 31, 2010 (Predecessor)
totaled $175 thousand and
$15.1 million, respectively. Expenses
in the successor period were significantly reduced by the Bank
Merger and related deconsolidation of Old Capital Bank.
Further, noninterest expense for the period from January 29 to December 31, 2011 (Successor), the
period from January 1 to January 28,
2011 (Predecessor) and the year ended December 31, 2010 (Predecessor) totaled
$25.3 million, $4.2 million and $54.3
million, respectively. Additionally, expenses in the year
ended December 31, 2011 were
significantly reduced by the Bank Merger and related
deconsolidation of Old Capital Bank. Expenses in the period from
January 29 to December 31, 2011
(Successor) were impacted by a $4.0
million contract termination fee related to the conversion
and integration of the Company's operations onto a common
technology platform utilized across the CBF enterprise. This system
conversion is intended to create operating efficiencies and better
position the Company for future growth.
Measurement Period Adjustments
Financial results for the year ended 2011 were significantly
impacted by the controlling investment in the Company by CBF. The
Company elected to apply push-down accounting. Accordingly, the
Company's assets and liabilities were adjusted to estimated fair
value at the CBF investment date. During the fourth quarter of
2011, the Company was still in the process of completing its fair
value analysis (not to exceed one year from the acquisition date)
of assets and liabilities, and the Company made adjustments which
are retrospectively reflected herein.
The measurement period adjustments were primarily due to a
$30.7 million decrease in the
acquisition date estimated fair values of certain acquired loans
based on further analysis of estimated credit losses and other
relevant facts and circumstances existing as of the acquisition
date. This adjustment resulted in the Company retrospectively
increasing net income by $1.0
million, net of tax, for the second quarter of 2011
(Successor) and retrospectively increasing the equity income from
the investment in Capital Bank, NA by $114,000 in the third quarter of 2011
(Successor).
Forward-looking Statements
Information in this press release contains forward-looking
statements. Such forward looking statements can be identified by
the use of forward looking terminology such as "may," "will,"
"expect," "anticipate," "estimate," "believe," or "continue," or
the negative thereof or other variations thereof or comparable
terminology. These statements involve risks and uncertainties that
could cause actual results to differ materially, including without
limitation, market and economic conditions, the management of our
growth, the risks associated with Capital Bank, NA's loan portfolio
and real estate holdings, local economic conditions affecting
retail and commercial real estate, ability to integrate our new
management and directors without encountering potential
difficulties, the Company's geographic concentration in the
southeastern region of the United
States, ability to integrate the operations of Old Capital
Bank with those of Capital Bank, NA, the potential for the
interests of the other shareholders of Capital Bank, NA to differ
from those of the Company, restrictions imposed by Capital Bank,
NA's loss sharing agreements with the FDIC, the assumptions and
judgments required by loss share accounting and the acquisition
method of accounting, competition within the industry, dependence
on key personnel, government legislation and regulation, the risks
associated with identification, completion and integration of any
future acquisitions, risks related to Capital Bank, NA's technology
and information systems, the fact that the Company has experienced
net losses during the last three fiscal years, risks associated
with the controlling interest of CBF in the Company, and risks
associated with the limited liquidity of the Company's common
stock. Additional factors that could cause actual results to differ
materially are discussed in Capital Bank Corporation's filings with
the Securities and Exchange Commission, including without
limitation its Annual Report on Form 10-K, its Quarterly Reports on
Form 10-Q and its Current Reports on Form 8-K. Capital Bank
Corporation does not undertake a duty to update any forward-looking
statements in this press release.
CAPITAL BANK
CORPORATION
Results of
Operations
|
|
|
|
Successor
Company
|
|
Predecessor
Company
|
|
(Dollars in thousands except per
share data)
|
|
Three
Months
Ended
Dec. 31, 2011
|
|
Three
Months
Ended
Sep. 30, 2011
|
|
Three
Months
Ended
Jun. 30, 2011
|
|
Jan. 29,
2011
to
Mar. 31, 2011
|
|
|
Jan. 1,
2011
to
Jan. 28, 2011
|
|
Three
Months
Ended
Dec. 31, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
$
|
85
|
|
$
|
85
|
|
$
|
18,990
|
|
$
|
12,281
|
|
|
$
|
5,955
|
|
$
|
18,327
|
|
|
Interest expense
|
|
|
362
|
|
|
355
|
|
|
3,551
|
|
|
2,260
|
|
|
|
1,996
|
|
|
6,040
|
|
|
Net interest income
(loss)
|
|
|
(277)
|
|
|
(270)
|
|
|
15,439
|
|
|
10,021
|
|
|
|
3,959
|
|
|
12,287
|
|
|
Provision for loan
losses
|
|
|
–
|
|
|
–
|
|
|
1,283
|
|
|
167
|
|
|
|
40
|
|
|
20,011
|
|
|
Net interest income (loss)
after
provision
|
|
|
(277)
|
|
|
(270)
|
|
|
14,156
|
|
|
9,854
|
|
|
|
3,919
|
|
|
(7,724)
|
|
|
Noninterest income
|
|
|
1,762
|
|
|
2,283
|
|
|
2,065
|
|
|
1,252
|
|
|
|
832
|
|
|
8,004
|
|
|
Noninterest expense
|
|
|
175
|
|
|
76
|
|
|
12,797
|
|
|
12,229
|
|
|
|
4,155
|
|
|
15,129
|
|
|
Net income (loss) before
taxes
|
|
|
1,310
|
|
|
1,937
|
|
|
3,424
|
|
|
(1,123)
|
|
|
|
596
|
|
|
(14,849)
|
|
|
Income tax expense
(benefit)
|
|
|
(168)
|
|
|
(117)
|
|
|
1,115
|
|
|
(549)
|
|
|
|
–
|
|
|
18,634
|
|
|
Net income (loss)
|
|
|
1,478
|
|
|
2,054
|
|
|
2,309
|
|
|
(574)
|
|
|
|
596
|
|
|
(33,483)
|
|
|
Dividends and accretion
on
preferred
stock
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
861
|
|
|
589
|
|
|
Net income (loss) attributable
to
common
shareholders
|
|
$
|
1,478
|
|
$
|
2,054
|
|
$
|
2,309
|
|
$
|
(574)
|
|
|
$
|
(265)
|
|
$
|
(34,072)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per share –
basic
and
diluted
|
|
$
|
0.02
|
|
$
|
0.02
|
|
$
|
0.03
|
|
$
|
(0.01)
|
|
|
$
|
(0.02)
|
|
$
|
(2.59)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
End of Period
Balances
|
|
|
|
Successor
Company
|
|
Predecessor
Company
|
|
|
(Dollars in thousands except per
share data)
|
|
Dec. 31,
2011
|
|
Sep. 30,
2011
|
|
Jun. 30,
2011
|
|
Mar. 31, 2011
|
|
|
Dec. 31, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
249,742
|
|
$
|
248,249
|
|
$
|
248,562
|
|
$
|
1,702,798
|
|
|
$
|
1,585,547
|
|
|
Total earning assets
|
|
|
3,393
|
|
|
3,393
|
|
|
3,393
|
|
|
1,500,664
|
|
|
|
1,537,863
|
|
|
Cash and cash
equivalents
|
|
|
2,163
|
|
|
2,435
|
|
|
12,477
|
|
|
116,650
|
|
|
|
66,745
|
|
|
Investment securities
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
304,902
|
|
|
|
223,292
|
|
|
Loans
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
1,094,558
|
|
|
|
1,254,479
|
|
|
Allowance for loan
losses
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
167
|
|
|
|
36,061
|
|
|
Investment in and advance to
Capital Bank, NA
|
|
|
247,121
|
|
|
245,506
|
|
|
235,657
|
|
|
–
|
|
|
|
–
|
|
|
Intangible assets
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
53,525
|
|
|
|
1,774
|
|
|
Deposits
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
1,349,661
|
|
|
|
1,343,286
|
|
|
Borrowings
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
93,513
|
|
|
|
121,000
|
|
|
Subordinated
debentures
|
|
|
19,163
|
|
|
19,099
|
|
|
19,036
|
|
|
19,905
|
|
|
|
34,323
|
|
|
Shareholders' equity
|
|
|
224,864
|
|
|
223,532
|
|
|
229,419
|
|
|
228,760
|
|
|
|
76,688
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value
|
|
$
|
2.62
|
|
$
|
2.61
|
|
$
|
2.67
|
|
$
|
2.68
|
|
|
$
|
2.75
|
|
|
Tangible book value
|
|
|
2.23
|
|
|
2.22
|
|
|
2.25
|
|
|
2.07
|
|
|
|
2.67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares
outstanding
|
|
|
85,802,164
|
|
|
85,802,164
|
|
|
85,802,164
|
|
|
85,489,260
|
|
|
|
12,877,846
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL BANK
CORPORATION
Average Balances and
Yields/Rates
|
|
|
|
Successor
Company
|
|
Predecessor
Company
|
|
(Dollars in
thousands)
|
|
Three
Months
Ended
Dec. 31, 2011
|
|
Three
Months
Ended
Sep. 30, 2011
|
|
Three
Months
Ended
Jun. 30, 2011
|
|
Jan. 29,
2011
to
Mar. 31, 2011
|
|
|
Jan. 1,
2011
to
Jan. 28, 2011
|
|
Three
Months
Ended
Dec. 31, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balances
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
244,291
|
|
$
|
248,183
|
|
$
|
1,701,071
|
|
$
|
1,692,347
|
|
|
$
|
1,592,750
|
|
$
|
1,648,467
|
|
|
Total earning assets
|
|
|
3,393
|
|
|
3,393
|
|
|
1,488,645
|
|
|
1,490,146
|
|
|
|
1,542,617
|
|
|
1,577,651
|
|
|
Investment securities
|
|
|
–
|
|
|
–
|
|
|
338,035
|
|
|
242,622
|
|
|
|
223,854
|
|
|
198,524
|
|
|
Loans
|
|
|
–
|
|
|
–
|
|
|
1,097,413
|
|
|
1,107,666
|
|
|
|
1,249,787
|
|
|
1,295,748
|
|
|
Deposits
|
|
|
–
|
|
|
–
|
|
|
1,343,599
|
|
|
1,340,741
|
|
|
|
1,350,336
|
|
|
1,366,905
|
|
|
Borrowings
|
|
|
–
|
|
|
–
|
|
|
93,349
|
|
|
98,599
|
|
|
|
120,032
|
|
|
126,130
|
|
|
Subordinated
debentures
|
|
|
19,142
|
|
|
19,078
|
|
|
19,323
|
|
|
19,563
|
|
|
|
34,323
|
|
|
34,323
|
|
|
Shareholders' equity
|
|
|
224,843
|
|
|
228,961
|
|
|
231,742
|
|
|
226,423
|
|
|
|
78,724
|
|
|
110,788
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Yields/Rates
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Yield on earning
assets
|
|
|
9.94%
|
|
|
9.94%
|
|
|
5.19%
|
|
|
5.17%
|
|
|
|
4.61%
|
|
|
4.68%
|
|
|
Cost of interest-bearing
liabilities
|
|
|
7.50
|
|
|
7.38
|
|
|
1.07
|
|
|
1.04
|
|
|
|
1.69
|
|
|
1.71
|
|
|
Net interest spread
|
|
|
2.44
|
|
|
2.56
|
|
|
4.12
|
|
|
4.13
|
|
|
|
2.92
|
|
|
2.97
|
|
|
Net interest margin
|
|
|
(32.39)
|
|
|
(31.57)
|
|
|
4.23
|
|
|
4.23
|
|
|
|
3.09
|
|
|
3.16
|
|
|
1
|
Annualized and on a fully
taxable equivalent basis.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL BANK
CORPORATION
CONSOLIDATED BALANCE
SHEETS
(Unaudited)
|
|
|
|
Successor
Company
|
|
|
Predecessor
Company
|
|
|
(Dollars in
thousands)
|
|
Dec. 31,
2011
|
|
|
Dec. 31,
2010
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents:
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
2,163
|
|
|
$
|
13,646
|
|
|
Interest-bearing deposits
with banks
|
|
|
–
|
|
|
|
53,099
|
|
|
Total cash and cash
equivalents
|
|
|
2,163
|
|
|
|
66,745
|
|
|
Investment
securities:
|
|
|
|
|
|
|
|
|
|
Investment
securities – available for sale, at fair value
|
|
|
–
|
|
|
|
214,991
|
|
|
Other
investments
|
|
|
–
|
|
|
|
8,301
|
|
|
Total
investment securities
|
|
|
–
|
|
|
|
223,292
|
|
|
Mortgage loans held for
sale
|
|
|
–
|
|
|
|
6,993
|
|
|
Loans:
|
|
|
|
|
|
|
|
|
|
Loans – net
of unearned income and deferred fees
|
|
|
–
|
|
|
|
1,254,479
|
|
|
Allowance
for loan losses
|
|
|
–
|
|
|
|
(36,061)
|
|
|
Net loans
|
|
|
–
|
|
|
|
1,218,418
|
|
|
Investment in and advance to
Capital Bank, NA
|
|
|
247,121
|
|
|
|
–
|
|
|
Other real estate
|
|
|
–
|
|
|
|
18,334
|
|
|
Premises and equipment,
net
|
|
|
–
|
|
|
|
25,034
|
|
|
Other intangible assets,
net
|
|
|
–
|
|
|
|
1,774
|
|
|
Other assets
|
|
|
458
|
|
|
|
24,957
|
|
|
Total
assets
|
|
$
|
249,742
|
|
|
$
|
1,585,547
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
Demand deposits
|
|
$
|
–
|
|
|
$
|
116,113
|
|
|
NOW accounts
|
|
|
–
|
|
|
|
185,782
|
|
|
Money market
accounts
|
|
|
–
|
|
|
|
137,422
|
|
|
Savings
deposits
|
|
|
–
|
|
|
|
30,639
|
|
|
Time deposits
|
|
|
–
|
|
|
|
873,330
|
|
|
Total deposits
|
|
|
–
|
|
|
|
1,343,286
|
|
|
Borrowings
|
|
|
–
|
|
|
|
121,000
|
|
|
Subordinated
debentures
|
|
|
19,163
|
|
|
|
34,323
|
|
|
Other liabilities
|
|
|
5,715
|
|
|
|
10,250
|
|
|
Total
liabilities
|
|
|
24,878
|
|
|
|
1,508,859
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders'
Equity
|
|
|
|
|
|
|
|
|
|
Preferred stock, $1,000 par
value; 100,000 shares authorized; 41,279 shares issued
and outstanding
(liquidation preference of $41,279) at December 31, 2010
|
|
|
–
|
|
|
|
40,418
|
|
|
Common stock, no par value;
300,000,000 shares authorized; 85,802,164 and
12,877,846 shares
issued and outstanding
|
|
|
218,826
|
|
|
|
145,594
|
|
|
Retained earnings (accumulated
deficit)
|
|
|
5,267
|
|
|
|
(108,027)
|
|
|
Accumulated other comprehensive
income (loss)
|
|
|
771
|
|
|
|
(1,297)
|
|
|
Total shareholders'
equity
|
|
|
224,864
|
|
|
|
76,688
|
|
|
Total
liabilities and shareholders' equity
|
|
$
|
249,742
|
|
|
$
|
1,585,547
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL BANK
CORPORATION
CONSOLIDATED STATEMENTS OF
OPERATIONS
(Unaudited)
|
|
|
|
Successor
Company
|
|
|
Predecessor
Company
|
|
Successor
Company
|
|
|
Predecessor
Company
|
|
|
(Dollars in thousands except per
share data)
|
|
Three
Months
Ended
Dec. 31, 2011
|
|
|
Three
Months
Ended
Dec. 31, 2010
|
|
Jan. 29,
2011
to
Dec. 31, 2011
|
|
|
Jan. 1,
2011
to
Jan. 28, 2011
|
|
Year
Ended
Dec. 31, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and loan
fees
|
|
$
|
–
|
|
|
$
|
16,394
|
|
$
|
27,521
|
|
|
$
|
5,479
|
|
$
|
68,474
|
|
|
Investment
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable interest
income
|
|
|
–
|
|
|
|
1,632
|
|
|
3,206
|
|
|
|
391
|
|
|
7,483
|
|
|
Tax-exempt interest
income
|
|
|
–
|
|
|
|
227
|
|
|
398
|
|
|
|
74
|
|
|
1,596
|
|
|
Dividends
|
|
|
–
|
|
|
|
22
|
|
|
59
|
|
|
|
–
|
|
|
80
|
|
|
Federal funds and other
interest income
|
|
|
85
|
|
|
|
52
|
|
|
257
|
|
|
|
11
|
|
|
89
|
|
|
Total interest
income
|
|
|
85
|
|
|
|
18,327
|
|
|
31,441
|
|
|
|
5,955
|
|
|
77,722
|
|
|
Interest expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
–
|
|
|
|
4,644
|
|
|
4,560
|
|
|
|
1,551
|
|
|
21,082
|
|
|
Borrowings and
subordinated debentures
|
|
|
362
|
|
|
|
1,396
|
|
|
1,968
|
|
|
|
445
|
|
|
5,677
|
|
|
Total interest
expense
|
|
|
362
|
|
|
|
6,040
|
|
|
6,528
|
|
|
|
1,996
|
|
|
26,759
|
|
|
Net interest income
(loss)
|
|
|
(277)
|
|
|
|
12,287
|
|
|
24,913
|
|
|
|
3,959
|
|
|
50,963
|
|
|
Provision for loan
losses
|
|
|
–
|
|
|
|
20,011
|
|
|
1,450
|
|
|
|
40
|
|
|
58,545
|
|
|
Net interest income (loss)
after
provision for loan
losses
|
|
|
(277)
|
|
|
|
(7,724)
|
|
|
23,463
|
|
|
|
3,919
|
|
|
(7,582)
|
|
|
Noninterest income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges and other
fees
|
|
|
–
|
|
|
|
843
|
|
|
1,355
|
|
|
|
291
|
|
|
3,311
|
|
|
Bank card
services
|
|
|
–
|
|
|
|
541
|
|
|
847
|
|
|
|
174
|
|
|
2,020
|
|
|
Mortgage origination and
other loan fees
|
|
|
–
|
|
|
|
753
|
|
|
518
|
|
|
|
210
|
|
|
1,861
|
|
|
Brokerage fees
|
|
|
–
|
|
|
|
220
|
|
|
308
|
|
|
|
78
|
|
|
963
|
|
|
Bank-owned life
insurance
|
|
|
–
|
|
|
|
67
|
|
|
134
|
|
|
|
10
|
|
|
699
|
|
|
Equity income from
investment in Capital
Bank, NA
|
|
|
1,762
|
|
|
|
–
|
|
|
4,045
|
|
|
|
–
|
|
|
–
|
|
|
Net gain on sale of
investment securities
|
|
|
–
|
|
|
|
5,344
|
|
|
–
|
|
|
|
–
|
|
|
5,855
|
|
|
Other
|
|
|
–
|
|
|
|
236
|
|
|
155
|
|
|
|
69
|
|
|
840
|
|
|
Total noninterest
income
|
|
|
1,762
|
|
|
|
8,004
|
|
|
7,362
|
|
|
|
832
|
|
|
15,549
|
|
|
Noninterest expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
|
–
|
|
|
|
6,038
|
|
|
9,525
|
|
|
|
1,977
|
|
|
22,675
|
|
|
Occupancy
|
|
|
–
|
|
|
|
1,488
|
|
|
2,970
|
|
|
|
548
|
|
|
5,906
|
|
|
Furniture and
equipment
|
|
|
–
|
|
|
|
871
|
|
|
1,401
|
|
|
|
275
|
|
|
3,183
|
|
|
Data processing and
telecommunications
|
|
|
–
|
|
|
|
562
|
|
|
911
|
|
|
|
180
|
|
|
2,092
|
|
|
Advertising and public
relations
|
|
|
–
|
|
|
|
423
|
|
|
325
|
|
|
|
131
|
|
|
1,887
|
|
|
Office expenses
|
|
|
–
|
|
|
|
320
|
|
|
498
|
|
|
|
93
|
|
|
1,260
|
|
|
Professional
fees
|
|
|
–
|
|
|
|
729
|
|
|
543
|
|
|
|
190
|
|
|
2,514
|
|
|
Business development and
travel
|
|
|
–
|
|
|
|
413
|
|
|
550
|
|
|
|
87
|
|
|
1,350
|
|
|
Amortization of other
intangible assets
|
|
|
–
|
|
|
|
232
|
|
|
478
|
|
|
|
62
|
|
|
937
|
|
|
ORE losses and
miscellaneous loan costs
|
|
|
–
|
|
|
|
1,148
|
|
|
1,608
|
|
|
|
176
|
|
|
5,006
|
|
|
Directors' fees
|
|
|
–
|
|
|
|
233
|
|
|
93
|
|
|
|
68
|
|
|
1,061
|
|
|
FDIC deposit
insurance
|
|
|
–
|
|
|
|
1,818
|
|
|
1,076
|
|
|
|
266
|
|
|
3,846
|
|
|
Contract termination
fees
|
|
|
–
|
|
|
|
–
|
|
|
3,955
|
|
|
|
–
|
|
|
–
|
|
|
Other
|
|
|
175
|
|
|
|
854
|
|
|
1,344
|
|
|
|
102
|
|
|
2,592
|
|
|
Total noninterest
expense
|
|
|
175
|
|
|
|
15,129
|
|
|
25,277
|
|
|
|
4,155
|
|
|
54,309
|
|
|
Net income (loss) before
taxes
|
|
|
1,310
|
|
|
|
(14,849)
|
|
|
5,548
|
|
|
|
596
|
|
|
(46,342)
|
|
|
Income tax expense
(benefit)
|
|
|
(168)
|
|
|
|
18,634
|
|
|
281
|
|
|
|
–
|
|
|
15,124
|
|
|
Net income
(loss)
|
|
|
1,478
|
|
|
|
(33,483)
|
|
|
5,267
|
|
|
|
596
|
|
|
(61,466)
|
|
|
Dividends and accretion on
preferred stock
|
|
|
–
|
|
|
|
589
|
|
|
–
|
|
|
|
861
|
|
|
2,355
|
|
|
Net income (loss)
attributable to common shareholders
|
|
$
|
1,478
|
|
|
$
|
(34,072)
|
|
$
|
5,267
|
|
|
$
|
(265)
|
|
$
|
(63,821)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per common share
– basic
|
|
$
|
0.02
|
|
|
$
|
(2.59)
|
|
$
|
0.06
|
|
|
$
|
(0.02)
|
|
$
|
(4.98)
|
|
|
Earnings (loss) per common share
– diluted
|
|
$
|
0.02
|
|
|
$
|
(2.59)
|
|
$
|
0.06
|
|
|
$
|
(0.02)
|
|
$
|
(4.98)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL BANK
CORPORATION
Average Balances, Interest
Earned or Paid, and Interest Yields/Rates
Tax Equivalent Basis
1
|
|
|
|
Successor
Company
|
|
|
Predecessor
Company
|
|
|
(Dollars in
thousands)
|
|
Three Months
Ended
Dec. 31, 2011
|
|
Three Months
Ended
Sep. 30, 2011
|
|
|
Three Months
Ended
Dec. 31, 2010
|
|
|
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans 2
|
|
$
|
–
|
|
$
|
–
|
|
|
–%
|
|
$
|
–
|
|
$
|
–
|
|
|
–%
|
|
|
$
|
1,303,147
|
|
$
|
16,545
|
|
|
5.04%
|
|
|
Investment securities
3
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
191,877
|
|
|
1,999
|
|
|
4.17
|
|
|
Interest-bearing
deposits
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
82,627
|
|
|
52
|
|
|
0.25
|
|
|
Advance to Capital Bank,
NA
|
|
|
3,393
|
|
|
85
|
|
|
9.94
|
|
|
3,393
|
|
|
85
|
|
|
9.94
|
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
Total interest-earning
assets
|
|
|
3,393
|
|
$
|
85
|
|
|
9.94%
|
|
|
3,393
|
|
$
|
85
|
|
|
9.94%
|
|
|
|
1,577,651
|
|
$
|
18,596
|
|
|
4.68%
|
|
|
Cash and due from
banks
|
|
|
2,318
|
|
|
|
|
|
|
|
|
9,268
|
|
|
|
|
|
|
|
|
|
18,044
|
|
|
|
|
|
|
|
|
Other assets
|
|
|
238,580
|
|
|
|
|
|
|
|
|
235,522
|
|
|
|
|
|
|
|
|
|
52,772
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
244,291
|
|
|
|
|
|
|
|
$
|
248,183
|
|
|
|
|
|
|
|
|
$
|
1,648,467
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market
accounts
|
|
$
|
–
|
|
$
|
–
|
|
|
–%
|
|
$
|
–
|
|
$
|
–
|
|
|
–%
|
|
|
$
|
319,250
|
|
$
|
626
|
|
|
0.78%
|
|
|
Savings accounts
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
30,913
|
|
|
10
|
|
|
0.13
|
|
|
Time deposits
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
889,153
|
|
|
4,008
|
|
|
1.79
|
|
|
Total interest-bearing
deposits
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
1,239,316
|
|
|
4,644
|
|
|
1.49
|
|
|
Borrowings
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
126,130
|
|
|
1,095
|
|
|
3.44
|
|
|
Subordinated
debentures
|
|
|
19,142
|
|
|
362
|
|
|
7.50
|
|
|
19,078
|
|
|
355
|
|
|
7.38
|
|
|
|
34,323
|
|
|
301
|
|
|
3.48
|
|
|
Total interest-bearing
liabilities
|
|
|
19,142
|
|
$
|
362
|
|
|
7.50%
|
|
|
19,078
|
|
$
|
355
|
|
|
7.38%
|
|
|
|
1,399,769
|
|
$
|
6,040
|
|
|
1.71%
|
|
|
Noninterest-bearing
deposits
|
|
|
–
|
|
|
|
|
|
|
|
|
–
|
|
|
|
|
|
|
|
|
|
127,589
|
|
|
|
|
|
|
|
|
Other liabilities
|
|
|
306
|
|
|
|
|
|
|
|
|
144
|
|
|
|
|
|
|
|
|
|
10,321
|
|
|
|
|
|
|
|
|
Total liabilities
|
|
|
19,448
|
|
|
|
|
|
|
|
|
19,222
|
|
|
|
|
|
|
|
|
|
1,537,679
|
|
|
|
|
|
|
|
|
Shareholders' equity
|
|
|
224,843
|
|
|
|
|
|
|
|
|
228,961
|
|
|
|
|
|
|
|
|
|
110,788
|
|
|
|
|
|
|
|
|
Total
liabilities and shareholders' equity
|
|
$
|
244,291
|
|
|
|
|
|
|
|
$
|
248,183
|
|
|
|
|
|
|
|
|
$
|
1,648,467
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest spread
4
|
|
|
|
|
|
|
|
|
2.44
|
%
|
|
|
|
|
|
|
|
2.56%
|
|
|
|
|
|
|
|
|
|
2.97%
|
|
|
Tax equivalent
adjustment
|
|
|
|
|
$
|
–
|
|
|
|
|
|
|
|
$
|
–
|
|
|
|
|
|
|
|
|
$
|
269
|
|
|
|
|
|
Net interest income and net
interest margin 5
|
|
|
|
|
$
|
(277)
|
|
|
(32.39)%
|
|
|
|
|
$
|
(270)
|
|
|
(31.57)%
|
|
|
|
|
|
$
|
12,556
|
|
|
3.16%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1
|
The tax equivalent adjustment is
computed using a federal tax rate of 34% and is applied to interest
income from tax exempt municipal loans and investment
securities.
|
|
2
|
Loans include mortgage loans
held for sale in addition to nonaccrual loans for which accrual of
interest has not been recorded.
|
|
3
|
The average balance for
investment securities excludes the effect of their mark-to-market
adjustment, if any.
|
|
4
|
Net interest spread represents
the difference between the average yield on interest-earning assets
and the average cost of interest-bearing liabilities.
|
|
5
|
Net interest margin represents
net interest income divided by average interest-earning
assets.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL BANK
CORPORATION
Average Balances, Interest
Earned or Paid, and Interest Yields/Rates
Tax Equivalent Basis
1
|
|
|
|
Successor
Company
|
|
Predecessor
Company
|
|
|
(Dollars in
thousands)
|
|
Period
of
Jan. 29 to Dec. 31,
2011
|
|
Period
of
Jan. 1 to Jan. 28,
2011
|
|
Year
Ended
Dec. 31, 2010
|
|
|
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
Average
Balance
|
|
Amount
Earned
|
|
Average
Rate
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans 2
|
|
$
|
495,129
|
|
$
|
27,734
|
|
|
6.12%
|
|
|
$
|
1,253,296
|
|
$
|
5,530
|
|
|
5.20%
|
|
$
|
1,353,191
|
|
$
|
69,084
|
|
|
5.11%
|
|
|
Investment securities
3
|
|
|
133,960
|
|
|
3,893
|
|
|
3.17
|
|
|
|
225,971
|
|
|
504
|
|
|
2.68
|
|
|
213,402
|
|
|
9,986
|
|
|
4.68
|
|
|
Interest-bearing
deposits
|
|
|
39,730
|
|
|
87
|
|
|
0.24
|
|
|
|
63,350
|
|
|
11
|
|
|
0.20
|
|
|
38,003
|
|
|
89
|
|
|
0.23
|
|
|
Advance to Capital Bank,
NA
|
|
|
1,869
|
|
|
170
|
|
|
9.94
|
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
Total interest-earning
assets
|
|
|
670,688
|
|
$
|
31,884
|
|
|
5.20%
|
|
|
|
1,542,617
|
|
$
|
6,045
|
|
|
4.61%
|
|
|
1,604,596
|
|
$
|
79,159
|
|
|
4.93%
|
|
|
Cash and due from
banks
|
|
|
10,603
|
|
|
|
|
|
|
|
|
|
16,112
|
|
|
|
|
|
|
|
|
18,149
|
|
|
|
|
|
|
|
|
Other assets
|
|
|
214,626
|
|
|
|
|
|
|
|
|
|
34,021
|
|
|
|
|
|
|
|
|
68,910
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
895,917
|
|
|
|
|
|
|
|
|
$
|
1,592,750
|
|
|
|
|
|
|
|
$
|
1,691,655
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market
accounts
|
|
$
|
154,880
|
|
$
|
1,084
|
|
|
0.76%
|
|
|
$
|
334,668
|
|
$
|
211
|
|
|
0.74%
|
|
$
|
327,811
|
|
$
|
2,794
|
|
|
0.85%
|
|
|
Savings accounts
|
|
|
14,352
|
|
|
16
|
|
|
0.12
|
|
|
|
30,862
|
|
|
3
|
|
|
0.11
|
|
|
30,555
|
|
|
41
|
|
|
0.13
|
|
|
Time deposits
|
|
|
380,278
|
|
|
3,460
|
|
|
0.99
|
|
|
|
870,146
|
|
|
1,337
|
|
|
1.81
|
|
|
878,068
|
|
|
18,247
|
|
|
2.08
|
|
|
Total interest-bearing
deposits
|
|
|
549,510
|
|
|
4,560
|
|
|
0.91
|
|
|
|
1,235,676
|
|
|
1,551
|
|
|
1.48
|
|
|
1,236,434
|
|
|
21,082
|
|
|
1.71
|
|
|
Borrowings
|
|
|
42,851
|
|
|
664
|
|
|
1.69
|
|
|
|
120,032
|
|
|
343
|
|
|
3.36
|
|
|
150,207
|
|
|
4,541
|
|
|
3.02
|
|
|
Subordinated
debentures
|
|
|
19,248
|
|
|
1,304
|
|
|
7.40
|
|
|
|
34,323
|
|
|
102
|
|
|
3.50
|
|
|
33,550
|
|
|
1,131
|
|
|
3.37
|
|
|
Repurchase agreements
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
1,564
|
|
|
5
|
|
|
0.32
|
|
|
Total interest-bearing
liabilities
|
|
|
611,609
|
|
$
|
6,528
|
|
|
1.17%
|
|
|
|
1,390,031
|
|
$
|
1,996
|
|
|
1.69%
|
|
|
1,421,755
|
|
$
|
26,759
|
|
|
1.88%
|
|
|
Noninterest-bearing
deposits
|
|
|
53,397
|
|
|
|
|
|
|
|
|
|
114,660
|
|
|
|
|
|
|
|
|
130,944
|
|
|
|
|
|
|
|
|
Other liabilities
|
|
|
4,922
|
|
|
|
|
|
|
|
|
|
9,635
|
|
|
|
|
|
|
|
|
10,519
|
|
|
|
|
|
|
|
|
Total liabilities
|
|
|
669,928
|
|
|
|
|
|
|
|
|
|
1,514,326
|
|
|
|
|
|
|
|
|
1,563,218
|
|
|
|
|
|
|
|
|
Shareholders' equity
|
|
|
225,989
|
|
|
|
|
|
|
|
|
|
78,424
|
|
|
|
|
|
|
|
|
128,437
|
|
|
|
|
|
|
|
|
Total
liabilities and shareholders' equity
|
|
$
|
895,917
|
|
|
|
|
|
|
|
|
$
|
1,592,750
|
|
|
|
|
|
|
|
$
|
1,691,655
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest spread
4
|
|
|
|
|
|
|
|
|
4.03%
|
|
|
|
|
|
|
|
|
|
2.92%
|
|
|
|
|
|
|
|
|
3.05%
|
|
|
Tax equivalent
adjustment
|
|
|
|
|
$
|
443
|
|
|
|
|
|
|
|
|
$
|
90
|
|
|
|
|
|
|
|
$
|
1,437
|
|
|
|
|
|
Net interest income and net
interest margin 5
|
|
|
|
|
$
|
25,356
|
|
|
4.13%
|
|
|
|
|
|
$
|
4,049
|
|
|
3.09%
|
|
|
|
|
$
|
52,400
|
|
|
3.27%
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1
|
The tax equivalent adjustment is
computed using a federal tax rate of 34% and is applied to interest
income from tax exempt municipal loans and investment
securities.
|
|
2
|
Loans include mortgage loans
held for sale in addition to nonaccrual loans for which accrual of
interest has not been recorded.
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3
|
The average balance for
investment securities excludes the effect of their mark-to-market
adjustment, if any.
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4
|
Net interest spread represents
the difference between the average yield on interest-earning assets
and the average cost of interest-bearing liabilities.
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5
|
Net interest margin represents
net interest income divided by average interest-earning
assets.
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SOURCE Capital Bank Corporation