LOUISVILLE, Ky.--(BUSINESS WIRE)--
Republic Bancorp, Inc. (NASDAQ: RBCAA) (“Republic” or the “Company”),
through its subsidiary, Republic Bank & Trust Company (“RB&T”), is
pleased to announce that it has expanded into the Nashville, Tennessee
market by acquiring substantially all of the deposits and select assets
of Tennessee Commerce Bank (“TCB”) of Franklin, Tennessee, from the
Federal Deposit Insurance Corporation (“FDIC”).
In addition to assuming approximately $1 billion of the deposits of TCB
(both insured and uninsured), RB&T purchased approximately $122 million
of loans and other real estate owned for $65 million, representing a 47%
discount. RB&T paid no deposit premium for the deposits. The acquisition
is being completed through a purchase and assumption agreement with the
FDIC, without loss sharing agreements. RB&T did not acquire any assets
or liabilities of TCB’s parent holding company, Tennessee Commerce
Bancorp, Inc., or any of TCB’s stock in Commerce Bancshares, Inc. and
Farmers Bancorp, Inc. and their subsidiary banks.
“We are delighted to expand our service into the Nashville market and we
look forward to growing in the community,” said Steve Trager, CEO of
Republic. “Most importantly, with the support of the banking industry
and the FDIC, all customer deposits will be protected and all depositors
will have prudent access to their funds.”
This transaction is expected to be immediately accretive to Republic’s
net income, diluted earnings per common share and book value per common
share. Upon completion of the acquisition, RB&T will continue to be
“well capitalized” under applicable bank regulatory standards and will
require no additional capital to complete this transaction.
Republic Bancorp, Inc. is a $3.4 billion bank holding company
headquartered in Louisville, Kentucky. The Company has 42 locations in
Kentucky, Indiana, Ohio and Florida, and Republic has a long history of
strong earnings, healthy capital and excellent asset quality. Republic
posted record net income of $94.1 million in 2011 and received national
recognition in July 2011, when Sandler O'Neil & Partners released its
annual rankings of the top 150 financial institutions in Bank Director
Magazine. For the second consecutive year, the magazine ranked Republic
as the 5th best performing bank in the country based on total
assets, profitability, capital adequacy and asset quality. Republic has
been recognized each of the last three years as one of the top ten
performing banks in the country thanks to the great efforts of its 710
associates who are dedicated to serving its clients’ financial needs
every day.
TCB’s only office will continue to operate under its current name as a
division of RB&T. TCB clients should continue to conduct their banking
as they have in the past. RB&T will soon be providing additional
information to TCB clients about this transaction. TCB client deposits
are now backed by the financial strength and security of RB&T and will
continue to be insured by the FDIC to the fullest extent provided by law.
If clients of TCB have any questions regarding their accounts involved
in this transaction, they should visit www.tncommercebank.com
or www.fdic.gov,
or contact their customer service representatives at TCB.
Republic Bancorp, Inc. (Republic) has 42 banking centers and is the
parent company of Republic Bank & Trust Company and Republic Bank.
Republic Bank & Trust Company has 34 banking centers in 12 Kentucky
communities - 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 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 $3.4 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. ®
Forward-Looking Statements
This release contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements include, but are not limited to, descriptions of the
Company’s financial condition, results of operations and statements
about the financial benefits and other effects of the acquisition of
certain assets and assumption of certain liabilities of TCB from the
FDIC. Forward-looking statements can be identified by the use of the
words “expect,” “anticipate,” “believe,” “intend,” “could” and “should,”
and other words of similar meaning. These forward-looking statements
express management’s current expectations or forecasts of future events
and, by their nature, are subject to risks and uncertainties and there
are a number of factors that could cause actual results to differ
materially from those in such statements. Factors that might cause such
a difference include, but are not limited to: expected cost savings,
expected earnings and book value effects, synergies and other financial
benefits from the acquisition of TCB’s assets and liabilities might not
be realized within the expected time frames and costs or difficulties
relating to integration matters might be greater than expected; market,
economic, operational, liquidity, credit and interest rate risks
associated with TCB’s business, competition, government legislation and
policies; ability of the Company to execute its business plan, including
the integration of the acquired TCB assets and liabilities, and other
matters discussed in this release and other factors set forth as “Risk
Factors” in the Company’s Form 10-Q for the quarter ended September 30,
2011 and other periodic filings with the Securities and Exchange
Commission. These forward-looking statements are made only as of the
date of this release, and the Company undertakes no obligation to
release revisions to these forward-looking statements to reflect events
or conditions after the date of this release.
Republic Bancorp, Inc.
Michael Sadofsky, 502-561-7125
Cell:
502-592-8926
Senior Vice President and Chief Marketing
Officer
Source: Republic Bancorp, Inc.