OLNEY, Md., April 22 /PRNewswire-FirstCall/ -- Sandy Spring Bancorp, Inc., (NASDAQ:SASR) the parent company of Sandy Spring Bank, today announced net income for the first quarter of 2008 of $8.2 million ($.50 per diluted share) compared to $7.5 million ($.49 per diluted share) for the first quarter of 2007 and $8.4 million ($.51 per diluted share) for the linked fourth quarter of 2007.
(Logo: http://www.newscom.com/cgi-bin/prnh/20010424/SSPRINGLOGO-a ) Sandy Spring Bancorp's return on average stockholders' equity was 10.45% for the first quarter of 2008, compared to 11.96% for the same period in the prior year. Return on average assets for the first quarter of 2008 was 1.07%, compared to 1.12% for the first quarter of 2007.
First Quarter Highlights: -- Net interest income increased 11% for the quarter over the prior year
period and decreased 3% versus the linked fourth quarter of 2007.
-- Noninterest income increased 16% for the quarter over the prior year
period and 12% over the linked fourth quarter 2007.
-- Loans and deposits increased 4% and 3% respectively for the quarter,
compared to December 31, 2007.
-- The provision for loan and lease losses totaled $2.7 million for the
quarter compared to $0.8 million for the first quarter of 2007 and $1.7
million for the linked fourth quarter of 2007 in response to a larger
portfolio and a higher level of nonperforming loans.
-- Net interest margin declined to 3.99% for the first quarter compared to
4.07% for the prior year quarter and 4.19% for the linked fourth
quarter of 2007.
-- Noninterest expenses increased 5% compared to the prior year and
decreased 2% compared to the linked fourth quarter of 2007.
"We continued to produce consistent financial results during the first quarter in the face of one of the most challenging economic environments in years. Market conditions continued to decline as the Federal Reserve reduced interest rates three times and instituted several new lending facilities, all with the intent to provide necessary liquidity to the markets. The interest rate reductions had a direct effect on our net interest margin which decreased to 3.99% for the quarter compared to 4.07% for the prior year quarter and 4.19% for the linked fourth quarter of 2007, as our loan yields declined faster than the rates paid on deposits," said Hunter R. Hollar, Chief Executive Officer of Sandy Spring Bancorp. "Our non-performing assets increased from the fourth quarter as a result of the condition of the real estate market and its inevitable effect on new home builders. We continue to believe that our strong and conservative loan underwriting standards will minimize potential losses as evidenced by our historically low levels of net charge-offs." "We began implementation of our strategic business improvement program, titled LIFT (Looking Inward for Tomorrow). This included an adjustment of certain staffing levels and putting into place new, more stringent expense control policies during the quarter. Together with several reductions in benefit plans, these efforts have begun to show results as our noninterest expenses decreased for the second consecutive quarter," said Hollar. "This reduction in noninterest expenses together with a 16% increase in noninterest income in the quarter produced an improved efficiency ratio of 59.2% compared to 63.0% for the prior year quarter and 60.2% for the linked fourth quarter of 2007." LIFT Progress Noninterest expenses decreased 2% over the linked fourth quarter of 2007. Consistent with our cost savings expectations from LIFT, salary expense decreased by $.5 million or 5%, inclusive of planned severance related costs. Expenses related to corporate benefits plans and discretionary spending decreased by $.8 million or 20%. In particular were decreases in pension expense and consulting/professional fees by 72% and 54% respectively. Overall discretionary spending decreased by 37% over the linked fourth quarter of 2007 significantly contributing to the $1.0 million or 20% decline in other expenses.
Review of Balance Sheet and Credit Quality Comparing March 31, 2008 balances to March 31, 2007, total assets increased 7% to $3.2 billion due mainly to the acquisition of County National Bank ("County") in the second quarter of 2007 together with steady growth in the commercial loan portfolio. Total loans and leases increased 16% to $2.4 billion compared to the prior year. Compared to the linked fourth quarter of 2007, total loans increased 4%. The County acquisition accounted for approximately 26% of the year-over-year loan growth. Excluding this acquisition, the loan portfolio increased 12% over the first quarter of the prior year.
This increase was comprised mainly of a 14% increase in commercial loans. Customer funding sources, which include deposits plus other short-term borrowings from core customers, increased 2% to $2.4 billion at March 31, 2008 compared to the prior year. Excluding the County acquisition, such funding sources declined 3% compared to the prior year quarter. On a linked quarter basis, such customer funding sources increased 3% compared to the fourth quarter of 2007. This increase was due primarily to managed growth in interest bearing deposits to maintain the Company's liquidity position and to fund loan growth. Stockholders' equity totaled $319.0 million at quarter-end, and represented 10.1% of total assets, compared to 9.3% at March 31, 2007.
The provision for loan and lease losses totaled $2.7 million for the first quarter of 2008 compared to $0.8 million for the first quarter of 2007 and $1.7 million for the linked fourth quarter of 2007. The allowance for loan and lease losses represented 1.18% of outstanding loans at March 31, 2008.
Non-performing assets totaled $46.9 million at March 31, 2008 compared to $34.9 million at December 31, 2007 and $7.0 million at March 31, 2007. The increase over the linked fourth quarter of 2007 was due primarily to two commercial construction loans totaling $11.3 million which management believes are adequately reserved or well secured. The increase over the prior year also reflects a commercial real estate loan and two commercial construction loans totaling $19.5 million which management believes are also adequately reserved or well secured.
Income Statement Review Comparing the first quarter of 2008 and 2007, net interest income increased by $2.6 million, or 11%, due primarily to continued growth in the loan portfolio which was offset by rapidly declining market interest rates that caused loan yields to decline faster than yields on deposits due to the Company's asset sensitive position. These factors produced a net interest margin decrease to 3.99% in 2008 from 4.07% in 2007.
Noninterest income increased to $12.7 million in the first quarter of 2008 as compared to $10.9 million in 2007, an increase of 16%. Service charges on deposit accounts increased 31% due primarily to higher overdraft fees while Visa(R) check fees increased 18% reflecting continued growth in electronic transactions. Trust and investment management fees increased 5% due primarily to growth in assets under management. Securities gains increased $0.6 million compared to the first quarter of 2007 due primarily to a gain of $0.4 million which was realized from the redemption of stock in Visa, Inc. Other noninterest income increased 81% primarily due to higher accrued gains on mortgage commitments resulting from adoption of a new accounting pronouncement. These increases were somewhat offset by a decrease of 22% in insurance agency commissions due to lower fees on commercial lines and reduced contingency fees.
Noninterest expenses were $24.7 million in the first quarter of 2008 compared to $23.6 million in 2007, an increase of $1.1 million or 5%. Occupancy expenses increased 16% due to higher rent and utility expenses from an expanded branch network. Outside data services increased 21% due mainly to the overall growth in the loan and deposit portfolios and the branches added from the recent acquisitions. Other expenses remained virtually level due largely to the effect of project LIFT. Intangibles amortization increased $0.3 million or 40% as a result of the two acquisitions.
Conference Call The Company's management will host a conference call to discuss its first quarter results today at 2:00 P.M. (ET). A live Web cast of the conference call is available through the Investor Relations' section of the Sandy Spring Web site at http://www.sandyspringbank.com/. Participants may call 800-860-2442; a password is not necessary. Visitors to the Web site are advised to log on 10 minutes ahead of the scheduled start of the call. An internet-based replay will be available at the Web site until 9:00 a.m. (ET) May 28, 2008. A telephone voice replay will also be available during that same time period at 877-344-7529. Please use pass code #418255 to access.
About Sandy Spring Bancorp/Sandy Spring Bank With $3.2 billion in assets, Sandy Spring Bancorp is the holding company for Sandy Spring Bank and its principal subsidiaries, Sandy Spring Insurance Corporation, The Equipment Leasing Company and West Financial Services, Inc. Sandy Spring Bancorp is the second largest publicly traded banking company headquartered in Maryland. Sandy Spring is a community banking organization that focuses its lending and other services on businesses and consumers in the local market area. Independent and community-oriented, Sandy Spring Bank was founded in 1868 and offers a broad range of commercial banking, retail banking and trust services through 42 community offices in Anne Arundel, Carroll, Frederick, Howard, Montgomery, and Prince George's counties in Maryland, and Fairfax and Loudoun counties in Virginia. Through its subsidiaries, Sandy Spring Bank also offers a comprehensive menu of leasing, insurance and investment management services. Visit http://www.sandyspringbank.com/ to locate an ATM near you or for more information about Sandy Spring Bank.
Forward-Looking Statements Sandy Spring Bancorp makes forward-looking statements in this news release and in the conference call regarding this news release. These forward-looking statements may include: statements of goals, intentions, earnings expectations, and other expectations; estimates of risks and of future costs and benefits; assessments of probable loan and lease losses; assessments of market risk; and statements of the ability to achieve financial and other goals.
Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project" and other similar words and expressions. Forward- looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made. Sandy Spring Bancorp does not assume any duty and does not undertake to update its forward-looking statements. Because forward-looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those that Sandy Spring Bancorp anticipated in its forward-looking statements, and future results could differ materially from historical performance.
Sandy Spring Bancorp's forward-looking statements are subject to the following principal risks and uncertainties: general economic conditions and trends, either nationally or locally; conditions in the securities markets; changes in interest rates; changes in deposit flows, and in the demand for deposit, loan, and investment products and other financial services; changes in real estate values; changes in the quality or composition of the Company's loan or investment portfolios; changes in competitive pressures among financial institutions or from non-financial institutions; the Company's ability to retain key members of management; changes in legislation, regulations, and policies; and a variety of other matters which, by their nature, are subject to significant uncertainties. Sandy Spring Bancorp provides greater detail regarding some of these factors in its Form 10-K for the year ended December 31, 2007, including in the Risk Factors section of that report, and in its other SEC reports. Sandy Spring Bancorp's forward- looking statements may also be subject to other risks and uncertainties, including those that it may discuss elsewhere in this news release or in its filings with the SEC, accessible on the SEC's Web site at http://www.sec.gov/.
Sandy Spring Bancorp, Inc. and Subsidiaries
FINANCIAL HIGHLIGHTS (Unaudited)
(Dollars in thousands, except per share data) Three Months Ended
March 31, %
2008 2007 Change
Profitability for the period:
Net interest income $26,579 $24,015 11
Provision for loan and lease losses 2,667 839 218
Noninterest income 12,696 10,906 16
Noninterest expenses 24,703 23,614 5
Income before income taxes 11,905 10,468 14
Net income $8,205 $7,545 9 Return on average assets 1.07% 1.12%
Return on average equity 10.45% 11.96%
Net interest margin 3.99% 4.07%
Efficiency ratio - GAAP based * 62.90% 67.62%
Efficiency ratio - traditional * 59.18% 63.01% Per share data:
Basic net income $0.50 $0.49 2
Diluted net income 0.50 0.49 2
Dividends declared 0.24 0.23 4
Book value 19.50 17.51 11
Tangible book value 13.77 13.11 5
Average fully diluted shares 16,407,778 15,400,865 At period-end:
Assets $3,160,896 $2,945,477 7
Deposits 2,340,568 2,274,322 3
Total Loans and leases 2,364,023 2,036,182 16
Securities 434,987 560,940 (22)
Stockholders' equity 318,967 275,319 16 Capital and credit quality ratios:
Average equity to average assets 10.28% 9.32%
Allowance for loan and lease losses
to loans and leases 1.18% 1.09%
Nonperforming assets to total assets 1.48% 0.24%
Annualized net charge-offs (recoveries)
to average loans and leases (0.02)% 0.00% * The GAAP based efficiency ratio is noninterest expenses divided by net
interest income plus noninterest income from the Consolidated Statements
of Income. The traditional, non-GAAP efficiency ratio excludes
intangible asset amortization from noninterest expenses; excludes
securities gains from noninterest income; and adds the tax-equivalent
adjustment to net interest income. See the Reconciliation Table included
with these Financial Highlights.
Certain reclassifications of information previously reported have been made to conform with current presentation.
Sandy Spring Bancorp, Inc. and Subsidiaries
Reconciliation of GAAP-based and Traditional Efficiency Ratios (Unaudited)
(In thousands, except per share data) Three Months Ended
March 31,
2008 2007 Noninterest expenses-GAAP based $24,703 $23,614
Net interest income plus noninterest
income-GAAP based 39,275 34,921 Efficiency ratio-GAAP based 62.90% 67.62% Noninterest expenses-GAAP based $24,703 $23,614
Less non-GAAP adjustment:
Amortization of intangible assets 1,124 802
Noninterest expenses-traditional ratio 23,579 22,812 Net interest income plus noninterest
income-GAAP based 39,275 34,921
Plus non-GAAP adjustment:
Tax-equivalency 1,140 1,285
Less non-GAAP adjustments:
Securities gains 574 2
Net interest income plus noninterest
income - traditional ratio 39,841 36,204 Efficiency ratio - traditional 59.18% 63.01% Sandy Spring Bancorp, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except per share data) March 31
(Unaudited) December 31
2008 2007 2007
Assets
Cash and due from banks $66,536 $61,145 $63,432
Federal funds sold 48,032 48,138 22,055
Cash and cash equivalents 114,568 109,283 85,487 Interest-bearing deposits with banks 11,112 28,192 365
Residential mortgage loans held for
sale (at fair value) 9,876 9,660 7,089
Investments available-for-sale (at
fair value) 206,840 282,023 186,801
Investments held-to-maturity - fair
value of $209,937 $266,937 and
$240,995, respectively 202,344 261,208 234,706
Other equity securities 25,803 17,709 23,766 Total loans and leases 2,364,023 2,036,182 2,277,031
Less: allowance for loan and
lease losses (27,887) (22,186) (25,092)
Net loans and leases 2,336,136 2,013,996 2,251,939 Premises and equipment, net 53,780 50,834 54,457
Accrued interest receivable 13,201 16,485 14,955
Goodwill 78,111 53,913 76,585
Other intangible assets, net 15,507 15,244 16,630
Other assets 93,618 86,930 91,173
Total assets $3,160,896 $2,945,477 $3,043,953 Liabilities
Noninterest-bearing deposits $445,088 $449,604 $434,053
Interest-bearing deposits 1,895,480 1,824,718 1,839,815
Total deposits 2,340,568 2,274,322 2,273,868 Short-term borrowings 372,625 325,657 373,972
Other long-term borrowings 67,312 8,274 17,553
Subordinated debentures 35,000 35,000 35,000
Accrued interest payable and other
liabilities 26,424 26,905 27,920
Total liabilities 2,841,929 2,670,158 2,728,313 Stockholders' Equity
Common stock -- par value $1.00;
shares authorized 50,000,000;
shares issued and outstanding
16,361,444 15,724,895 and
16,349,317, respectively 16,361 15,725 16,349
Additional paid in capital 84,281 60,520 83,970
Retained earnings 219,019 203,044 216,376
Accumulated other comprehensive loss (694) (3,970) (1,055)
Total stockholders' equity 318,967 275,319 315,640
Total liabilities and
stockholders' equity $3,160,896 $2,945,477 $3,043,953 Certain reclassifications of information previously reported have been made to conform with current presentation.
Sandy Spring Bancorp, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
(In thousands, except per share data) Three Months Ended
March 31,
2008 2007
Interest income:
Interest and fees on loans and leases $38,469 $34,574
Interest on loans held for sale 96 195
Interest on deposits with banks 49 90
Interest and dividends on securities:
Taxable 2,698 3,871
Exempt from federal income taxes 2,331 2,727
Interest on federal funds sold 279 437
Total interest income 43,922 41,894
Interest expense:
Interest on deposits 13,022 13,788
Interest on short-term borrowings 3,279 3,481
Interest on long-term borrowings 1,042 610
Total interest expense 17,343 17,879
Net interest income 26,579 24,015
Provision for loan and lease losses 2,667 839
Net interest income after provision
for loan and lease losses 23,912 23,176
Noninterest income:
Securities gains 574 2
Service charges on deposit accounts 3,030 2,308
Gains on sales of mortgage loans 722 638
Fees on sales of investment products 822 800
Trust and investment management fees 2,397 2,281
Insurance agency commissions 2,086 2,690
Income from bank owned life insurance 714 684
Visa check fees 696 590
Other income 1,655 913
Total noninterest income 12,696 10,906
Noninterest expenses:
Salaries and employee benefits 13,763 13,434
Occupancy expense of premises 2,799 2,417
Equipment expenses 1,439 1,602
Marketing 497 529
Outside data services 1,122 926
Amortization of intangible assets 1,124 802
Other expenses 3,959 3,904
Total noninterest expenses 24,703 23,614
Income before income taxes 11,905 10,468
Income tax expense 3,700 2,923
Net income $8,205 $7,545
Basic net income per share $0.50 $0.49
Diluted net income per share 0.50 0.49
Dividends declared per share 0.24 0.23 Certain reclassifications of information previously reported have been made to conform with current presentation.
Sandy Spring Bancorp, Inc. and Subsidiaries
Historical Trends in Quarterly Financial Data (Unaudited)
(Dollars in thousands, except per share data) 2008 2007
Q1 Q4 Q3 Q2 Q1
Profitability for
the quarter:
Tax-equivalent
interest income $45,062 $47,519 $48,405 $47,378 $43,179
Interest expense 17,343 18,709 19,746 19,815 17,879
Tax-equivalent net
interest income 27,719 28,810 28,659 27,563 25,300
Tax-equivalent
adjustment 1,140 1,410 1,447 1,364 1,285
Provision for loan
and lease losses 2,667 1,725 750 780 839
Noninterest income 12,696 11,380 11,130 10,873 10,906
Noninterest expenses 24,703 25,316 25,899 24,959 23,614
Income before
income taxes 11,905 11,739 11,693 11,333 10,468
Income tax expense 3,700 3,372 3,512 3,164 2,923
Net Income 8,205 8,367 8,181 8,169 7,545 Financial ratios:
Return on average
assets 1.07% 1.10% 1.08% 1.10% 1.12%
Return on average
equity 10.45% 10.69% 10.55% 11.45% 11.96%
Net interest margin 3.99% 4.19% 4.16% 4.08% 4.07% Efficiency ratio
- GAAP based * 62.90% 65.28% 67.55% 67.33% 67.62%
Efficiency ratio
- traditional * 59.18% 60.22% 62.30% 62.26% 63.01% Per share data:
Basic net income $0.50 $0.51 $0.50 $0.51 $0.49
Diluted net income $0.50 $0.51 $0.50 $0.51 $0.49
Dividends declared $0.24 $0.23 $0.23 $0.23 $0.23
Book value $19.50 $19.31 $18.92 $18.62 $17.51
Tangible book value $13.77 $13.60 $13.17 $12.76 $13.11 Average fully
diluted shares 16,407,778 16,422,161 16,508,922 16,069,771 15,400,865
Noninterest income
breakdown:
Securities gains $574 $15 $22 $4 $2
Service charges on
deposit accounts 3,030 3,211 2,999 2,630 2,308
Gains on sales of
mortgage loans 722 590 738 773 638
Fees on sales of
investment products 822 518 765 906 800
Trust and investment
management fees 2,397 2,581 2,365 2,361 2,281
Insurance agency
commissions 2,086 1,203 1,294 1,438 2,690
Income from bank
owned life insurance 714 732 720 693 684
Visa check fees 696 747 730 717 590
Other income 1,655 1,783 1,497 1,351 913
Total 12,696 11,380 11,130 10,873 10,906 Noninterest expense
breakdown:
Salaries and employee
benefits $13,763 $13,343 $14,654 $13,776 $13,434
Occupancy expense
of premises 2,799 2,288 2,946 2,709 2,417
Equipment expenses 1,439 1,829 1,631 1,501 1,602
Marketing 497 674 359 675 529
Outside data services 1,122 1,094 870 1,077 926
Amortization of
intangible assets 1,124 1,124 1,123 1,031 802
Other expenses 3,959 4,964 4,316 4,190 3,904
Total 24,703 25,316 25,899 24,959 23,614 * The GAAP based efficiency ratio is noninterest expenses divided by net
interest income plus noninterest income from the Consolidated Statements
of Income. The traditional, non-GAAP efficiency ratio excludes
intangible asset amortization expenses from noninterest expenses;
excludes security gains from noninterest income; and adds the tax-
equivalent adjustment to net interest income. See the Reconciliation
Table included with these Historical Trends in Quarterly Financial Data.
Sandy Spring Bancorp, Inc. and Subsidiaries
Historical Trends in Quarterly Financial Data (Unaudited)
(Dollars in thousands, except per share data) Balance sheets at 2008 2007
quarter end: Q1 Q4 Q3 Q2 Q1
Residential mortgage
loans $459,768 $456,305 $439,091 $427,252 $404,177
Residential construction
loans 183,690 166,981 154,908 154,444 144,744
Commercial mortgage loans 732,692 662,837 645,790 660,004 621,692
Commercial construction
loans 256,714 262,840 246,569 236,278 225,108
Commercial loans and
leases 354,509 351,773 343,653 316,409 282,854
Consumer loans 376,650 376,295 371,588 370,621 357,607
Total loans and
leases 2,364,023 2,277,031 2,201,599 2,165,008 2,036,182
Less: allowance for
loan and lease
losses (27,887) (25,092) (23,567) (23,661) (22,186)
Net loans and
leases 2,336,136 2,251,939 2,178,032 2,121,347 2,013,996
Goodwill 78,111 76,585 76,625 77,457 53,913
Other intangible assets,
net 15,507 16,630 17,754 18,878 15,244
Total assets 3,160,896 3,043,953 2,965,492 3,101,409 2,945,477
Total deposits 2,340,568 2,273,868 2,280,102 2,386,226 2,274,322
Customer repurchase
agreements 101,666 98,015 122,130 113,622 114,712
Total stockholders'
equity 318,967 315,640 310,624 306,255 275,319 Quarterly average
balance sheets:
Residential mortgage
loans $463,597 $453,568 $441,190 $426,496 $406,886
Residential construction
loans 174,626 163,922 151,306 151,785 151,194
Commercial mortgage loans 690,289 649,101 647,659 630,335 565,277
Commercial construction
loans 266,098 252,705 244,975 239,299 203,371
Commercial loans and
leases 351,862 339,744 323,439 300,325 246,218
Consumer loans 378,261 374,572 370,585 362,221 353,668
Total loans and leases 2,324,733 2,233,612 2,179,154 2,110,461 1,926,614
Securities 427,819 451,168 458,984 523,507 551,566
Total earning assets 2,795,453 2,725,801 2,733,572 2,711,225 2,518,797
Total assets 3,072,428 3,006,086 3,019,065 2,979,820 2,743,890
Total interest-bearing
liabilities 2,311,629 2,222,387 2,214,606 2,212,376 2,048,323
Noninterest-bearing
demand deposits 412,369 439,967 463,018 450,887 408,954
Total deposits 2,260,837 2,283,122 2,340,004 2,290,413 2,099,409
Customer repurchase
agreements 94,841 112,828 113,425 109,187 101,805
Stockholders' equity 315,755 310,605 307,564 286,040 255,781 Capital and credit
quality measures:
Average equity to average
assets 10.28% 10.33% 10.19% 9.60% 9.32%
Loan and lease loss
allowance to loans
and leases 1.18% 1.10% 1.07% 1.09% 1.09%
Nonperforming assets to
total assets 1.48% 1.15% 0.87% 0.71% 0.24%
Annualized net charge-offs
(recoveries) to average
loans and leases (0.02)% 0.04% 0.16% 0.05% 0.00%
Miscellaneous data:
Net charge-offs
(recoveries) ($129) $200 $844 $265 ($17)
Nonperforming assets:
Non-accrual loans and
leases 37,353 23,040 17,362 18,818 1,982
Loans and leases 90
days past due 8,244 11,362 8,009 3,347 5,084
Restructured loans
and leases 655 0 0 0 0
Other real estate
owned, net 661 461 431 0 0
Total nonperforming
assets 46,913 34,863 25,802 22,165 7,066 Sandy Spring Bancorp, Inc. and Subsidiaries
CONSOLIDATED AVERAGE BALANCES, YIELDS AND RATES (Unaudited)
(Dollars in thousands and tax-equivalent) Three Months Ended March 31,
2008 2007
Annualized Annualized
Average Average Average Average
Balances Interest Yield/Rate Balances Interest Yield/Rate
Assets
Residential
mortgage loans $463,597 $7,296 6.30% $406,886 $6,078 5.97%
Residential
construction
loans 174,626 2,770 6.38 151,194 2,717 7.29
Commercial
mortgage loans 690,289 11,848 6.90 565,277 10,249 7.35
Commercial
construction
loans 266,098 4,426 6.69 203,371 4,581 9.13
Commercial loans
and leases 351,862 6,546 7.48 246,218 5,033 8.29
Consumer loans 378,261 5,679 6.04 353,668 6,111 7.01
Total loans
and leases 2,324,733 38,565 6.66 1,926,614 34,769 7.30 Securities 427,819 6,169 5.84 551,566 7,883 5.86
Interest-bearing
deposits with
banks 6,949 49 2.81 6,997 90 5.20
Federal funds
sold 35,952 279 3.12 33,620 437 5.27
TOTAL EARNING
ASSETS 2,795,453 45,062 6.48% 2,518,797 43,179 6.95% Less: allowance
for loan and
lease losses (25,844) (20,667)
Cash and due
from banks 50,160 52,004
Premises and
equipment, net 54,364 49,235
Other assets 198,295 144,521
Total
assets $3,072,428 $2,743,890 Liabilities and
Stockholders'
Equity
Interest-bearing
demand
deposits $241,177 $171 0.28% $231,152 $189 0.33%
Regular savings
deposits 153,365 120 0.32 163,037 156 0.39
Money market
savings
deposits 709,009 4,667 2.65 547,135 4,974 3.69
Time deposits 744,917 8,064 4.35 749,131 8,469 4.58
Total
interest-
bearing
deposits 1,848,468 13,022 2.83 1,690,455 13,788 3.31
Borrowings 463,161 4,321 3.75 357,868 4,091 4.63
TOTAL INTEREST-
BEARING
LIABILITIES 2,311,629 17,343 3.01 2,048,323 17,879 3.54 Noninterest-
bearing demand
deposits 412,369 408,954
Other
liabilities 32,675 30,832
Stockholder's
equity 315,755 255,781
Total
liabilities
and
stockholders'
equity $3,072,428 $2,743,890 Net interest
income and
spread 27,719 3.47% 25,300 3.41%
Less: tax
equivalent
adjustment 1,140 1,285
Net interest
income 26,579 24,015 Interest
income/earning
assets 6.48% 6.95%
Interest
expense/earning
assets 2.49 2.88
Net interest
margin 3.99% 4.07% * Interest income includes the effects of annualized taxable-equivalent
adjustments (reduced by the nondeductible portion of interest expense)
using the appropriate marginal federal income tax rate of 35.00% and,
where applicable, the marginal state income tax rate of 7.50% (or a
combined marginal federal and state rate of 39.88%) for 2008 and a
marginal state income tax rate of 6.55% (or a combined marginal federal
and state rate of 39.26%) for 2007, to increase tax-exempt interest
income to a taxable-equivalent basis. The annualized taxable-equivalent
adjustment amounts utilized in the above table to compute yields
aggregated to $4,586,000 in 2008 and $5,210,000 in 2007. http://www.newscom.com/cgi-bin/prnh/20010424/SSPRINGLOGO-a http://photoarchive.ap.org/ DATASOURCE: Sandy Spring Bancorp, Inc.
CONTACT: Hunter R. Hollar, Chief Executive Officer, , or, Daniel J. Schrider, President, , or Philip J. Mantua, Executive V.P. & Chief Financial Officer, , all of Sandy Spring Bancorp, Inc., +1-800-399-5919 Web site: http://www.sandyspringbank.com/
|