LOUISVILLE, Ky.--(BUSINESS WIRE)--
Republic Bancorp, Inc. is pleased to report net income of $3.8 million
for the fourth quarter of 2009, a $3.2 million increase over the fourth
quarter of 2008. Diluted Earnings per Class A Common Share increased to
$0.19 for the quarter. For the year ended December 31, 2009, the Company
achieved net income of $42.1 million, an $8.5 million, or 25%, increase
over the same period in 2008. Diluted Earnings per Class A Common Share
increased 25% for the year ended December 31, 2009 to $2.02. "While the
banking sector continues to experience many challenges resulting from
the current economic environment, the Company once again reported solid
results for the fourth quarter and for the year. Republic's success in
2009 is a reflection of the Company's diligent asset quality
administration, our strategic focus across all business segments, a
strong capital position and our dedication to superior customer
service," commented Steve Trager, Republic's President and Chief
Executive Officer.
Republic Bancorp, Inc. ("Republic" or the "Company") (NASDAQ:
RBCAA), headquartered in Louisville, Kentucky, is the holding company
for Republic Bank & Trust Company and Republic Bank.
The following chart highlights Republic's fourth quarter and year ended
December 31, 2009 financial performance compared to the same periods in
2008:
Quarter Ended Year %
(dollars in thousands, 12/31/09 12/31/08 2009 2008 Increase
except per share data)
Net Income $ 3,844 $ 604 $ 42,131 $ 33,652 25 %
Diluted Earnings per $ 0.19 $ 0.03 $ 2.02 $ 1.62 25 %
Class A Share
Return on Average Assets 0.48 % 0.07 % 1.23 % 1.04 % 18 %
("ROA")
Return on Average Equity 4.85 % 0.87 % 13.77 % 12.58 % 9 %
("ROE")
Results of Operations for the Fourth
Quarter of 2009 Compared to the Fourth Quarter of 2008
Traditional Banking and Mortgage Banking (collectively "Core Banking")
Net income derived from the Company's Core Banking operations increased
from $3.6 million during the fourth quarter of 2008 to $5.3 million
during the fourth quarter of 2009.
Core Banking net interest income declined by $2.6 million for the fourth
quarter of 2009 compared to the same period in 2008, as the Core
Banking's net interest margin decreased to a still solid 3.79% for the
quarter. "One of the most important components of our success during the
past year was our solid net interest margin and our ability to attract
low cost checking and money market accounts, growing these account
balances $150 million during 2009. While we remained focused on lowering
our cost of funds throughout the year, we also took advantage of the
historically low interest rate environment and bought future protection
from rising rates by extending maturities on Federal Home Loan Bank
advances. Additionally, we continued to keep much of our excess cash
invested in very short-term, immediately repricing cash-like instruments
throughout the year. While we sacrificed short-term net interest margin
with these strategies, we better positioned the Company for a future
rise in interest rates," noted Steve Trager.
Core Banking non interest income increased by $7.7 million during the
fourth quarter of 2009 to $8.3 million. Mortgage banking income
increased by $1.9 million during the fourth quarter, as the Company
continued to produce a high level of secondary market mortgage
originations. For the year, total secondary market mortgage originations
more than doubled to $556 million from $235 million in 2008. In
addition, the Company incurred no impairment charges during the fourth
quarter of 2009, while during the fourth quarter of 2008 the Company
incurred a $1.2 million impairment charge for its Mortgage Servicing
Rights ("MSRs") and a $6.9 million impairment charge associated with its
small private label security portfolio.
Core Banking non interest expenses decreased $965,000, or 4%, for the
fourth quarter of 2009 to $21.9 million. For the fourth quarter of 2009,
the Company recorded a credit to its incentive compensation accruals of
$1.8 million compared to a credit of only $575,000 for the fourth
quarter of 2008.
"Although the Company's nonperforming loans and charge-offs remained
substantially better than peer averages, we continued to increase our
general loss reserves through higher loan loss provisioning during the
fourth quarter in cautious recognition of the current economic
environment. Unemployment at modern high levels continued to negatively
impact borrowers' abilities to pay across all loan types. As a result,
the Core Banking provision for loan losses rose from $2.1 million during
the fourth quarter of 2008 to $6.5 million during the fourth quarter of
2009, raising the Company's allowance for loan losses as a percent of
total loans to 1.01% at year end," added Steve Trager.
Tax Refund Solutions ("TRS")
TRS, which derives substantially all of its revenues during the first
and second quarters of the year, historically operates at a net loss
during the third and fourth quarters of the year, as the Company
prepares for the upcoming tax season. TRS' net loss was $1.5 million for
the fourth quarter of 2009 compared to a net loss of $3.0 million for
the same period in 2008.
As in the prior year, the Company will once again utilize its
traditional funding sources to fund its first quarter 2010 refund
anticipation loan volume. In order to ensure that the funding is in
place, Republic began additional borrowing during the fourth quarter of
2009, primarily in the form of brokered deposits. As a result, the
Company incurred funding costs for the first quarter 2010 program in the
2009 calendar year. Overall, TRS contributed negative net interest
income of $173,000 for the fourth quarter of 2009 compared to negative
net interest income of $2.2 million for the fourth quarter of 2008. The
improvement from the fourth quarter of 2008 was due to the current low
interest rate environment.
CONCLUSION
"In this difficult economic environment, I am pleased to say that our
commitment to growing the Company in a safe and sound manner is as
strong as ever. We continue to execute our fundamental strategy, which
is to build long-term client relationships, as we seek the opportunities
to grow our franchise that comes with disruption in the market. This is
the main reason we have continued to perform at high levels during
stressed economic times such as the current environment," further
commented Steve Trager.
"As we close 2009, we look to the promise of a new year and a new
decade. Our goals for the coming year are simple: sustain our strong net
interest margin, grow our low cost deposits and loan portfolio, maintain
our good credit quality, seek potential acquisition opportunities and
expand our customer base, all in order to provide a sound, long-term
investment for our shareholders. All of our associates, with the support
of our loyal shareholders, are ready to face the challenges of the
coming year head-on as we strive to remain one of the highest performing
financial institutions in the country. As always, 'We were here
for you yesterday. We are here for you today. We will be here for you
tomorrow.(TM)'"concluded Steve Trager.
Republic Bancorp, Inc. (Republic) has 44 banking centers and is the
parent company of: Republic Bank & Trust Company with 35 banking centers
in 13 Kentucky communities - Bowling Green, Covington, Crestwood,
Elizabethtown, Florence, Frankfort, Georgetown, Independence, Lexington,
Louisville, Owensboro, Shelbyville and Shepherdsville and three banking
centers in southern Indiana: Floyds Knobs, Jeffersonville and New
Albany. Republic Bank has banking centers in Hudson, Palm Harbor, Port
Richey, New Port Richey and Temple Terrace, Florida as well as
Cincinnati, Ohio. Republic operates Tax Refund Solutions, a nationwide
tax refund loan and check provider. Republic offers internet banking at www.republicbank.com.
Republic has $3.9 billion in assets and $1 billion in trust assets under
custody and management. Republic is headquartered in Louisville,
Kentucky, and Republic's Class A Common Stock is listed under the symbol
'RBCAA' on the NASDAQ Global Select Market.
We were here for you yesterday. We are here for you today. We will
be here for you tomorrow. (R)
Statements in this press release relating to Republic's plans,
objectives, or future performance are forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995.
Such statements are based on management's current expectations.
Republic's actual strategies and results in future periods may differ
materially from those currently expected due to various risks and
uncertainties, including those discussed in Republic's 2008 Form 10-K
and subsequent 10-Qs filed with the Securities and Exchange Commission.
Republic Bancorp, Inc. Financial Information
Fourth Quarter 2009 Earnings Release
(all amounts other than per share amounts and number of employees and number
of banking centers are expressed in thousands unless otherwise noted)
Balance Sheet Data
Dec. 31, 2009 Dec. 31, 2008
Assets:
Cash and cash equivalents $ 1,068,179 $ 616,303
Investment securities 467,235 904,674
Mortgage loans held for sale 5,445 11,298
Loans 2,268,232 2,303,857
Allowance for loan losses (22,879 ) (14,832 )
Federal Home Loan Bank stock, at cost 26,248 25,082
Premises and equipment, net 39,380 42,885
Goodwill 10,168 10,168
Other assets and accrued interest receivable 56,760 39,933
Total assets $ 3,918,768 $ 3,939,368
Liabilities and Stockholders' Equity:
Deposits:
Non interest-bearing $ 318,275 $ 273,203
Interest-bearing 2,284,206 2,470,166
Total deposits 2,602,481 2,743,369
Securities sold under agreements to repurchase 299,580 339,012
and other short-term borrowings
Federal Home Loan Bank advances 637,607 515,234
Subordinated note 41,240 41,240
Other liabilities and accrued interest payable 21,840 24,591
Total liabilities 3,602,748 3,663,446
Stockholders' equity 316,020 275,922
Total liabilities and Stockholders' equity $ 3,918,768 $ 3,939,368
Average Balance Sheet
Data
Fourth Quarter Ended Dec. 31, Year Ended Dec. 31,
2009 2008 2009 2008
Assets:
Investment securities $ 522,783 $ 792,641 $ 536,996 $ 629,626
Federal funds sold and
other interest-earning 301,090 232,591 341,126 92,978
deposits
Loans and fees,
including loans held 2,287,368 2,315,382 2,372,008 2,369,691
for sale
Total earning assets 3,111,241 3,340,614 3,250,130 3,092,295
Total assets 3,232,793 3,470,788 3,415,725 3,232,435
Liabilities and
Stockholders' Equity:
Non interest-bearing $ 324,797 $ 269,903 $ 381,665 $ 321,308
deposits
Interest-bearing 1,544,941 1,940,405 1,684,277 1,599,280
deposits
Securities sold under
agreements to 327,056 381,695 323,688 375,676
repurchase and other
short-term borrowings
Federal Home Loan Bank 653,747 536,161 630,294 588,381
advances
Subordinated note 41,240 41,240 41,240 41,240
Total interest-bearing 2,566,984 2,899,501 2,679,499 2,604,577
liabilities
Stockholders' equity 316,855 276,663 305,864 267,578
Income Statement Data
Fourth Quarter Ended Dec. 31, Year Ended Dec. 31,
2009 2008 2009 2008
Total interest income $ 37,477 $ 44,782 $ 212,605 $ 202,142
(1)
Total interest expense 10,087 16,805 48,742 72,418
Net interest income 27,390 27,977 163,863 129,724
Provision for loan 5,197 1,753 33,975 16,205
losses
Non interest income:
Service charges on 4,752 4,809 19,156 19,404
deposit accounts
Electronic refund check 17 88 25,289 17,756
fees
Net RAL securitization 16 317 514 13,347
income
Mortgage banking income 1,663 (270 ) 11,021 3,536
Debit card interchange 1,322 1,187 5,114 4,776
fee income
Net gain / loss on
sales, calls and 49 (5,484 ) (5,822 ) (14,364 )
impairment of
securities
Other 505 343 2,349 1,505
Total non interest 8,324 990 57,621 45,960
income
Non interest expenses:
Salaries and employee 11,358 12,392 51,173 52,118
benefits
Occupancy and 5,559 5,456 22,370 19,760
equipment, net
Communication and 1,354 1,426 5,354 4,672
transportation
Marketing and 784 866 13,146 9,208
development
FDIC insurance expense 940 880 4,993 1,152
Bank franchise tax 686 573 2,643 2,598
expense
Data processing 702 739 3,017 2,771
Debit card interchange 1,026 590 3,096 2,402
expense
Supplies 659 392 2,398 1,649
Other real estate owned 188 69 2,253 238
expense
Other 2,294 2,843 11,042 11,024
Total non interest 25,550 26,226 121,485 107,592
expenses
Income before income 4,967 988 66,024 51,887
tax expense
Income tax expense 1,123 384 23,893 18,235
Net income $ 3,844 $ 604 $ 42,131 $ 33,652
Fourth Quarter Ended Dec. 31, Year Ended Dec. 31,
2009 2008 2009 2008
Per Share Data:
Basic average shares 20,802 20,615 20,749 20,518
outstanding
Diluted average shares 20,890 20,886 20,884 20,824
outstanding
End of period shares
outstanding:
Class A Common Stock 18,499 18,318 18,499 18,318
Class B Common Stock 2,309 2,310 2,309 2,310
Book value per share $ 15.19 $ 13.38 $ 15.19 $ 13.38
Earnings per share:
Basic earnings per Class 0.19 0.03 2.04 1.65
A Common Stock
Basic earnings per Class 0.17 0.02 1.99 1.60
B Common Stock
Diluted earnings per 0.19 0.03 2.02 1.62
Class A Common Stock
Diluted earnings per 0.17 0.02 1.98 1.58
Class B Common Stock
Cash dividends declared
per share:
Class A Common Stock 0.132 0.121 0.517 0.473
Class B Common Stock 0.120 0.110 0.470 0.430
Performance Ratios:
Return on average assets 0.48 % 0.07 % 1.23 % 1.04 %
Return on average equity 4.85 0.87 13.77 12.58
Efficiency ratio (2) 71 76 53 61
Yield on average earning 4.82 5.36 6.54 6.54
assets
Cost of interest-bearing 1.57 2.32 1.82 2.78
liabilities
Net interest spread 3.25 3.04 4.72 3.76
Net interest margin 3.52 3.35 5.04 4.20
Asset Quality Ratios:
Loans on non-accrual 43,136 11,324 43,136 11,324
status
Loans past due 90 days or 8 2,133 8 2,133
more and still on accrual
Total non-performing 43,144 13,457 43,144 13,457
loans
Other real estate owned 4,772 5,737 4,772 5,737
Total non-performing 47,916 19,194 47,916 19,194
assets
Non-performing loans to 1.90 % 0.58 % 1.90 % 0.58 %
total loans
Non-performing assets to
total loans (including 2.11 0.83 2.11 0.83
OREO)
Allowance for loan losses 1.01 0.64 1.01 0.64
to total loans
Allowance for loan losses 53 110 53 110
to non-performing loans
Net loan charge-offs to
average loans - Total 0.37 0.20 1.09 0.60
Company
Net loan charge-offs to
average loans - Banking 0.59 0.25 0.34 0.26
Segment
Delinquent loans to total 1.98 1.07 1.98 1.07
loans (3)
Other Information:
End of period full-time 747 724 747 724
equivalent employees
Number of banking centers 44 45 44 45
Balance Sheet
Data
Quarterly Comparison
Dec. 31, 2009 Sept. 30, June 30, 2009 March 31, Dec. 31, 2008
2009 2009
Assets:
Cash and cash $ 1,068,179 $ 138,906 $ 165,042 $ 442,039 $ 616,303
equivalents
Investment 467,235 498,329 519,376 452,782 904,674
securities
Mortgage loans 5,445 8,597 33,287 11,499 11,298
held for sale
Loans 2,268,232 2,292,913 2,287,178 2,314,689 2,303,857
Allowance for (22,879 ) (19,793 ) (19,886 ) (17,878 ) (14,832 )
loan losses
Federal Home
Loan Bank stock, 26,248 26,248 26,248 26,248 25,082
at cost
Premises and 39,380 39,629 40,369 40,700 42,885
Equipment, net
Goodwill 10,168 10,168 10,168 10,168 10,168
Other assets and
interest 56,760 42,424 42,558 57,398 39,933
receivable
Total assets $ 3,918,768 $ 3,037,421 $ 3,104,340 $ 3,337,645 $ 3,939,368
Liabilities and
Stockholders'
Equity:
Deposits:
Non $ 318,275 $ 325,641 $ 338,806 $ 380,039 $ 273,203
interest-bearing
Interest-bearing 2,284,206 1,352,792 1,415,982 1,588,756 2,470,166
Total deposits 2,602,481 1,678,433 1,754,788 1,968,795 2,743,369
Securities sold
under agreements
to repurchase 299,580 280,841 299,028 325,214 339,012
and other
short-term
borrowings
Federal Home
Loan Bank 637,607 699,689 659,732 635,191 515,234
advances
Subordinated 41,240 41,240 41,240 41,240 41,240
note
Other
liabilities and 21,840 22,295 40,008 63,622 24,591
accrued interest
payable
Total 3,602,748 2,722,498 2,794,796 3,034,062 3,663,446
liabilities
Stockholders' 316,020 314,923 309,544 303,583 275,922
equity
Total
liabilities and $ 3,918,768 $ 3,037,421 $ 3,104,340 $ 3,337,645 $ 3,939,368
Stockholders'
equity
Average Balance
Sheet Data
Quarterly Comparison
Dec. 31, 2009 Sept. 30, June 30, 2009 March 31, Dec. 31, 2008
2009 2009
Assets:
Investment $ 522,783 $ 533,202 $ 519,902 $ 572,694 $ 792,641
securities
Federal funds
sold and other 301,090 87,202 188,604 795,834 232,591
interest-earning
deposits
Loans and fees,
including loans 2,287,368 2,308,156 2,316,494 2,612,313 2,315,382
held for sale
Total earning 3,111,241 2,928,560 3,025,000 3,980,841 3,340,614
assets
Total assets 3,232,793 3,056,269 3,216,869 4,174,783 3,470,788
Liabilities and
Stockholders'
Equity:
Non
interest-bearing $ 324,797 $ 327,173 $ 346,065 $ 531,496 $ 269,903
deposits
Interest-bearing 1,544,941 1,376,461 1,475,972 2,355,747 1,940,405
deposits
Securities sold
under agreements
to repurchase 327,056 311,867 328,951 327,006 381,695
and other
short-term
borrowings
Federal Home
Loan Bank 653,747 655,791 662,652 547,540 536,161
advances
Subordinated 41,240 41,240 41,240 41,240 41,240
note
Total
interest-bearing 2,566,984 2,385,359 2,508,815 3,271,533 2,899,501
liabilities
Stockholders' 316,855 318,704 311,831 293,456 276,663
equity
Income
Statement Data
Quarterly Comparison
Dec. 31, Sept. 30, June 30, 2009 March 31, Dec. 31, 2008
2009 2009 2009
Total interest $ 37,477 $ 38,265 $ 39,506 $ 97,357 $ 44,782
income (4)
Total interest 10,087 10,529 11,585 16,541 16,805
expense
Net interest 27,390 27,736 27,921 80,816 27,977
income
Provision for 5,197 1,427 1,686 25,665 1,753
loan losses
Non interest
income:
Service
charges on 4,752 4,990 4,992 4,422 4,809
deposit
accounts
Electronic
refund check 17 137 2,230 22,905 88
fees
Net RAL
securitization 16 26 60 412 317
income
Mortgage 1,663 1,667 3,517 4,174 (270 )
banking income
Debit card
interchange 1,322 1,321 1,312 1,159 1,187
fee income
Net gain /
loss on sales,
calls and 49 (850 ) (1,896 ) (3,125 ) (5,484 )
impairment of
securities
Other 505 597 692 555 343
Total non
interest 8,324 7,888 10,907 30,502 990
income
Non interest
expenses:
Salaries and
employee 11,358 12,652 12,647 14,516 12,392
benefits
Occupancy and 5,559 5,474 5,428 5,909 5,456
equipment, net
Communication
and 1,354 1,056 1,021 1,923 1,426
transportation
Marketing and 784 722 663 10,977 866
development
FDIC insurance 940 999 2,004 1,050 880
expense
Bank franchise 686 685 637 635 573
tax expense
Data 702 766 779 770 739
processing
Debit card
interchange 1,026 702 694 674 590
expense
Supplies 659 463 398 878 392
Other real
estate owned 188 82 272 1,711 69
expense
Other 2,294 2,138 2,011 4,599 2,843
Total non
interest 25,550 25,739 26,554 43,642 26,226
expenses
Income before
income tax 4,967 8,458 10,588 42,011 988
expense
Income tax 1,123 2,797 3,721 16,252 384
expense
Net income $ 3,844 $ 5,661 $ 6,867 $ 25,759 $ 604
Quarterly Comparison
Dec. 31, Sept. 30, June 30, March 31, Dec. 31, 2008
2009 2009 2009 2009
Per Share Data:
Basic average
shares 20,802 20,779 20,749 20,662 20,615
outstanding
Diluted average
shares 20,890 20,922 20,910 20,832 20,886
outstanding
End of period
shares
outstanding:
Class A Common 18,499 18,485 18,439 18,412 18,318
Stock
Class B Common 2,309 2,309 2,310 2,310 2,310
Stock
Book value per $ 15.19 $ 15.14 $ 14.92 $ 14.65 $ 13.38
share
Earnings per
share:
Basic earnings
per Class A 0.19 0.27 0.33 1.25 0.03
Common Stock
Basic earnings
per Class B 0.17 0.26 0.32 1.24 0.02
Common Stock
Diluted earnings
per Class A 0.19 0.27 0.33 1.24 0.03
Common Stock
Diluted earnings
per Class B 0.17 0.26 0.32 1.23 0.02
Common Stock
Cash dividends
declared per
share:
Class A Common 0.132 0.132 0.132 0.121 0.121
Stock
Class B Common 0.120 0.120 0.120 0.110 0.110
Stock
Performance
Ratios:
Return on 0.48 % 0.74 % 0.85 % 2.47 % 0.07 %
average assets
Return on 4.85 7.11 8.81 35.11 0.87
average equity
Efficiency ratio 71 71 65 38 76
(2)
Yield on average 4.82 5.23 5.22 9.78 5.36
earning assets
Cost of
interest-bearing 1.57 1.77 1.85 2.02 2.32
liabilities
Net interest 3.25 3.46 3.37 7.76 3.04
spread
Net interest 3.52 3.79 3.69 8.12 3.35
margin
Asset Quality
Data:
Loans on
non-accrual 43,136 40,355 31,094 24,133 11,324
status
Loans past due
90 days or more 8 2 318 352 2,133
and still on
accrual
Total
non-performing 43,144 40,357 31,412 24,485 13,457
loans
Other real 4,772 3,239 2,723 6,386 5,737
estate owned
Total
non-performing 47,916 43,596 34,135 30,871 19,194
assets
Non-performing
loans to total 1.90 % 1.76 % 1.37 % 1.06 % 0.58 %
loans
Non-performing
assets to total 2.11 1.90 1.49 1.33 0.83
loans (including
OREO)
Allowance for
loan losses to 1.01 0.86 0.87 0.77 0.64
total loans
Allowance for
loan losses to 53 49 64 73 110
non-performing
loans
Net loan
charge-offs to 0.37 0.26 (0.06 ) 3.46 0.20
average loans -
Total Company
Net loan
charge-offs to 0.59 0.42 0.23 0.13 0.25
average loans -
Banking Segment
Delinquent loans
to total loans 1.98 2.23 1.71 1.53 1.07
(3)
Other
Information:
End of period
full-time 747 752 745 742 724
equivalent
employees
Number of 44 44 44 45 45
banking centers
Segment Data:
The reportable segments are determined by the type of products and
services offered, distinguished between Traditional Banking, Mortgage
Banking and Tax Refund Solutions ("TRS"). Loans, investments and
deposits provide the majority of revenue from traditional banking
operations; servicing fees and loan sales provide the majority of
revenue from mortgage banking operations; Refund Anticipation Loan
("RAL") fees, Electronic Refund Check ("ERC")/ Electronic Refund Deposit
("ERD") fees and Net RAL securitization income provide the majority of
the revenue from TRS. All Company segments are domestic. Segment
information for the quarter and year ended December 31, 2009 and 2008
follows:
Three Months Ended December 31, 2009
Traditional Tax Refund Mortgage
(dollars in thousands) Total Company
Banking Solutions Banking
Net interest income $ 27,447 $ (173 ) $ 116 $ 27,390
Provision for loan 6,460 (1,263 ) - 5,197
losses
Electronic Refund Check - 17 - 17
fees
Net RAL securitization - 16 - 16
income
Mortgage banking income - - 1,663 1,663
Net gain on sales,
calls and impairment of 49 - - 49
securities
Other non interest 6,555 2 22 6,579
income
Total non interest 6,604 35 1,685 8,324
income
Total non interest 21,301 3,686 563 25,550
expenses
Gross operating profit 6,290 (2,561 ) 1,238 4,967
Income tax expense 1,809 (1,115 ) 429 1,123
Net income $ 4,481 $ (1,446 ) $ 809 $ 3,844
Segment assets $ 3,908,942 $ 4,079 $ 5,747 $ 3,918,768
Net interest margin 3.79 % NM NM 3.52 %
Three Months Ended December 31, 2008
Traditional Tax Refund Mortgage
(dollars in thousands) Total Company
Banking Solutions Banking
Net interest income $ 30,107 $ (2,207 ) $ 77 $ 27,977
Provision for loan 2,060 (307 ) - 1,753
losses
Electronic Refund Check - 88 - 88
fees
Net RAL securitization - 317 - 317
income
Mortgage banking income - - (270 ) (270 )
Net loss on sales,
calls and impairment of (5,484 ) - - (5,484 )
securities
Other non interest 6,357 2 (20 ) 6,339
income
Total non interest 873 407 (290 ) 990
income
Total non interest 22,626 3,397 203 26,226
expenses
Gross operating profit 6,294 (4,890 ) (416 ) 988
Income tax expense 2,462 (1,917 ) (161 ) 384
Net income $ 3,832 $ (2,973 ) $ (255 ) $ 604
Segment assets $ 2,773,238 $ 1,154,777 $ 11,353 $ 3,939,368
Net interest margin 4.12 % NM NM 3.35 %
Year Ended December 31, 2009
Traditional Tax Refund Mortgage
(dollars in thousands) Total Company
Banking Solutions Banking
Net interest income $ 110,352 $ 52,707 $ 804 $ 163,863
Provision for loan losses 15,885 18,090 - 33,975
Electronic Refund Check - 25,289 - 25,289
fees
Net RAL securitization - 514 - 514
income
Mortgage banking income - - 11,021 11,021
Net loss on sales, calls
and impairment of (5,822 ) - - (5,822 )
securities
Other non interest income 26,467 52 100 26,619
Total non interest income 20,645 25,855 11,121 57,621
Total non interest 92,513 27,318 1,654 121,485
expenses
Gross operating profit 22,599 33,154 10,271 66,024
Income tax expense 7,237 13,175 3,481 23,893
Net income $ 15,362 $ 19,979 $ 6,790 $ 42,131
Segment assets $ 3,908,942 $ 4,079 $ 5,747 $ 3,918,768
Net interest margin 3.79 % NM NM 5.04 %
Year Ended December 31, 2008
Traditional Tax Refund Mortgage
(dollars in thousands) Total Company
Banking Solutions Banking
Net interest income $ 111,193 $ 18,166 $ 365 $ 129,724
Provision for loan losses 8,154 8,051 - 16,205
Electronic Refund Check - 17,756 - 17,756
fees
Net RAL securitization - 13,347 - 13,347
income
Mortgage banking income - - 3,536 3,536
Net loss on sales, calls
and impairment of (14,364 ) - - (14,364 )
securities
Other non interest income 25,766 31 (112 ) 25,685
Total non interest income 11,402 31,134 3,424 45,960
Total non interest 85,829 20,942 821 107,592
expenses
Gross operating profit 28,612 20,307 2,968 51,887
Income tax expense 10,180 7,049 1,006 18,235
Net income $ 18,432 $ 13,258 $ 1,962 $ 33,652
Segment assets $ 2,773,238 $ 1,154,777 $ 11,353 $ 3,939,368
Net interest margin 3.96 % NM NM 4.20 %
_____________________________________
(1) - The amount of loan fee income included in total interest income
was $900,000 and $1.4 million for the quarters ended December 31, 2009
and 2008. The amount of loan fee income included in total interest
income was $60.7 million and $24.4 million for the years ended December
31, 2009 and 2008.
(2) - Equals total non-interest expense divided by the sum of net
interest income and non interest income. The ratio excludes net loss on
sales, calls and impairment of investment securities.
(3) - Equals total loans over 30 days past due divided by total loans.
(4) - The amount of loan fee income included in total interest income
per quarter was as follows: $900,000 (quarter ended December 31, 2009),
$763,000 (quarter ended September 30, 2009), $1.2 million (quarter ended
June 30, 2009), $57.8 million (quarter ended March 31, 2009) and $1.4
million (quarter ended December 31, 2008).
NM - Not meaningful
Source: Republic Bancorp, Inc.
Contact: Republic Bancorp, Inc.
Kevin Sipes, 502-560-8628
Executive Vice President and Chief Financial Officer