MIDDLEBURG, Va.,
Jan. 28, 2016 /PRNewswire/ -- Middleburg Financial
Corporation (the "Company") (Nasdaq: MBRG), today announced net
income of $781,000, or $0.11 per diluted share, for the quarter ended
December 31, 2015 and $7.83 million, or $1.09 per diluted share, for the full year
2015.
The net income in the fourth quarter was impacted by the
previously announced impairment charge of $3.0 million recognized during the
quarter. The impairment related to a loan participation
totaling $4.0 million secured by
receivables and inventory. Excluding this charge for the
quarter, there would have been no provision for loan losses, and
salary and employee benefits expense and tax expense would have
been $4.27 million and $769,000, respectively, resulting in net income
of $2.22 million or $0.31 per diluted share. Excluding this
charge for the full year 2015, there would have been a recovery of
provision for loan losses of $407,000, and salary and employee benefits
expense and tax expense would have been $18.93 million and $3.28
million, respectively, resulting in net income of
$9.27 million or $1.29 per diluted share for the full year
2015. This would have resulted in an annualized return on
average assets ("ROA") of 0.69% and annualized return on average
equity ("ROE") of 6.98% for the quarter. For the full year
2015, ROA would have been 0.74% and ROE of 7.40%. These
effects on net income and related ROA and ROE ratios are non-GAAP
measures of profitability.
Gary R. Shook, President and CEO
commented: "We were pleased with the positive momentum in our
overall performance metrics for 2015. Robust loan and deposit
growth and a strong loan pipeline combined with good expense
control have built the foundation for improvements in 2016.
While we were disappointed with the $3.0 million impairment charge on a loan
participation, we were gratified that the net income for the full
year 2015 increased compared to the previous year.
Furthermore, the performance in 2015 benefited
from record net income of nearly $1.0
million from our wealth management subsidiary, Middleburg
Investment Group.
As we turn our attention to 2016 we will continue our focus on
improving net interest margin and maintaining the asset sensitivity
of the balance sheet. The balance sheet is positioned well
for an increase in rates.
We have been pleased with the success of the stock repurchase
program that was launched in the fourth quarter of 2015. As
of December 31, 2015, the
Company had repurchased 77,500 shares of common stock. It is
our strong belief that judicious open market purchases of stock
coupled with a strong focus on dividends will further enhance
shareholder value as does our commitment to delivering robust
financial performance."
Fourth Quarter 2015 Highlights:
- Net income was $781,000 or
$0.11 per diluted share in the fourth
quarter of 2015 compared to $1.63
million or $0.23 per diluted
share for the same period in 2014. Net income for the full year
2015 increased to $7.83 million or
$1.09 per diluted share compared to
$7.58 million or $1.06 per diluted share for the full year
2014.
- Net interest margin decreased to 3.17% in the fourth quarter of
2015, lower by 11 basis points ("bp") compared to the previous
quarter and lower by 14 bp compared to the same period in 2014. Net
interest margin for the full year 2015 was 3.27%.
- Cost of funds was flat at 37 bp compared to the previous
quarter and was 6 bp lower than the same period in 2014.
- Total revenue increased to $12.06
million, higher by 0.42% compared to the previous quarter
and an increase of 3.42% compared to the same period in 2014.
- Net interest income decreased to $9.47
million, lower by 1.95% compared to the previous quarter and
1.67% higher than the same period in 2014. Net interest income was
$38.07 million for the full year
2015, relatively unchanged compared to net interest income reported
for the full year 2014.
- Non-interest income increased by 10.15% compared to the
previous quarter and was higher by 10.34% compared to the same
period in 2014.
- Non-interest expense decreased to $8.37
million, lower by 9.70% compared to the previous quarter and
lower by 11.13% compared to the same period in 2014. Non-interest
expense for the full year 2015 fell by 13.28% compared to the full
year 2014.
- The efficiency ratio improved to 67.21%, compared to 73.30% for
the previous quarter and 77.53% for the same period in 2014. The
efficiency ratio for the full year 2015 was 70.86% compared to
75.10% for the full year 2014.
- Total assets increased to $1.29
billion, higher by 5.89% since December 31, 2014.
- Total deposits were $1.04
billion, an increase of 5.23% since December 31, 2014.
- Loans held-for-investment increased by 6.73% to $805.68 million on December 31, 2015 compared to $754.85 million on December 31, 2014.
- The allowance for loan losses was 1.37% of total loans compared
to 1.46% for the previous quarter and 1.56% at December 31, 2014.
- Capital ratios continue to be strong: Total Risk-Based Capital
Ratio of 17.52%, Tier 1 Risk-Based Capital Ratio of 16.27%, Common
Equity Tier 1 Ratio of 15.61% and Tier 1 Leverage Ratio of 9.59% at
December 31, 2015.
TOTAL REVENUE
Total revenue, computed as net interest
income plus non-interest income, was $12.06
million for the fourth quarter of 2015, higher by 0.42%
compared to the previous quarter and an increase of 3.42% compared
to the same period in 2014. Total revenue for the full year
2015 was $48.46 million while revenue
for all of 2014 was $52.87
million. Total revenue for 2014 included revenue
contributions from Southern Trust Mortgage. The Company sold
its 62.3% ownership interest in Southern Trust Mortgage in May of
2014.
Net Interest Income
The Company recorded net interest
income of $9.47 million for the
fourth quarter of 2015, a decrease of 1.95% compared to the
previous quarter and higher by 1.67% compared to the same period in
2014. The net interest margin in the fourth quarter of 2015
was 3.17%, lower by 11 bp compared to the previous quarter and 14
bp lower than the same period in 2014.
The following factors contributed to the changes in net interest
margin during the fourth quarter of 2015, compared to the previous
quarter:
- Yields on earning assets decreased by 11 bp compared to the
previous quarter, primarily due to a 19 bp decrease in yields on
loans.
- Yields on investment securities decreased by 3 bp compared to
the previous quarter as a result of lower yields on securities
added to the investment portfolio.
- Yields on loans decreased by 19 bp compared to the previous
quarter as a result of payoff activity, lower yields on loans added
to the balance sheet and reversal of accrued interest. The accrued
interest that was reversed represented 9 bp of loan yield.
- Cost of funds was 37 bp, unchanged compared to the previous
quarter.
The following table analyzes changes in net interest income
comparing the fourth quarter of 2015 to the previous quarter and to
the quarter ended December 31,
2014.
|
Quarters Ended
(Annualized)
|
(Dollars in
thousands)
|
December 31, 2015 vs.
September 30, 2015
Increase (Decrease) Due to Changes in:
|
|
December 31, 2015 vs.
December 31, 2014
Increase (Decrease) Due to Changes in:
|
|
Volume
|
|
Rate
|
|
Total
|
|
Volume
|
|
Rate
|
|
Total
|
Earning
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
$
|
281
|
|
$
|
(75)
|
|
$
|
206
|
|
$
|
970
|
|
$
|
97
|
|
$
|
1,067
|
Tax-exempt
|
33
|
|
3
|
|
36
|
|
(126)
|
|
(65)
|
|
(191)
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
630
|
|
(1,554)
|
|
(924)
|
|
3,912
|
|
(4,634)
|
|
(722)
|
Tax-exempt
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
Interest on deposits
with other banks and federal funds sold
|
(50)
|
|
46
|
|
(4)
|
|
(58)
|
|
(5)
|
|
(63)
|
Total earning
assets
|
$
|
894
|
|
$
|
(1,580)
|
|
$
|
(686)
|
|
$
|
4,698
|
|
$
|
(4,607)
|
|
$
|
91
|
Interest-Bearing
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$
|
4
|
|
$
|
—
|
|
$
|
4
|
|
$
|
26
|
|
$
|
30
|
|
$
|
56
|
Regular
savings
|
11
|
|
1
|
|
12
|
|
23
|
|
—
|
|
23
|
Money market
savings
|
26
|
|
6
|
|
32
|
|
15
|
|
9
|
|
24
|
Time
deposits:
|
|
|
|
|
|
|
|
|
|
|
|
$100,000 and
over
|
(45)
|
|
37
|
|
(8)
|
|
139
|
|
(36)
|
|
103
|
Under
$100,000
|
(15)
|
|
(5)
|
|
(20)
|
|
(247)
|
|
(162)
|
|
(409)
|
Total
interest-bearing deposits
|
$
|
(19)
|
|
$
|
39
|
|
$
|
20
|
|
$
|
(44)
|
|
$
|
(159)
|
|
$
|
(203)
|
Securities sold under
agreements to repurchase
|
—
|
|
(4)
|
|
(4)
|
|
(60)
|
|
(250)
|
|
(310)
|
FHLB borrowings and
other debt
|
(16)
|
|
48
|
|
32
|
|
119
|
|
(67)
|
|
52
|
Total
interest-bearing liabilities
|
$
|
(35)
|
|
$
|
83
|
|
$
|
48
|
|
$
|
15
|
|
$
|
(476)
|
|
$
|
(461)
|
Change in net
interest income
|
$
|
929
|
|
$
|
(1,663)
|
|
$
|
(734)
|
|
$
|
4,683
|
|
$
|
(4,131)
|
|
$
|
552
|
|
Comparing the fourth quarter of 2015 to the previous quarter,
the table shows the increase in interest income for investments was
largely driven by growth in the securities portfolio. We
continue to add securities that are less sensitive to prepayments
while retaining a balance between fixed and floating rate
investments. The decrease in interest income from loans was
mostly due to rate as the strong growth in loan balances was offset
by lower loan rates. The changes in interest income in the
fourth quarter of 2015 compared to the same quarter in 2014
reflected similar factors, namely increased interest income from
investments driven by higher securities balances and lower interest
income from loans stemming from lower loan rates that more than
offset growth in loan balances. Competition for good credits
continues to pressure loan rates.
Non-Interest Income
Non-interest income increased by
10.15% compared to the previous quarter and increased by 10.34%
compared to the quarter ended December 31,
2014.
- Total revenue generated by our wealth management group,
Middleburg Investment Group ("MIG") was $1.16 million for the quarter ended December 31, 2015, relatively unchanged compared
to the previous quarter and higher by 1.58% compared to the same
quarter in 2014. Fee income is based primarily upon the
market value of assets under administration which were $1.93 billion at December
31, 2015 and $1.87 billion at
December 31, 2014.
- Other operating income was $527,000 for the quarter ended December 31, 2015, an increase of 98.12% compared
to the previous quarter and higher by 102.69% compared to the
quarter ended December 31,
2014. Most of the increase in other operating income during
the periods was due to prepayment penalties from certain government
guaranteed securities.
NON-INTEREST EXPENSE
Non-interest expense decreased by
9.70% compared to the previous quarter and by 11.13% compared to
the the same period in 2014. Principal categories of
non-interest expense that changed were the following:
- Salaries and employee benefit expenses decreased by 21.99% when
compared to the previous quarter and decreased by 26.55% when
compared to the same period in 2014. The decline in salary and
benefit expenses was due to lower incentive accruals as we aligned
compensation to the achievement of income and growth targets and
exercised strong expense control throughout 2015.
- Costs related to other real estate owned (OREO) decreased when
compared to the prior quarter and also when compared to the same
period in 2014. In the previous quarter, we recorded a valuation
adjustment of $157,500 for one
property resulting from an updated appraisal. Additional reasons
for the improvement in OREO expense include an overall decline in
maintenance costs for the properties.
- Computer expense increased to $801,000 for the current quarter compared to
$524,000 and $485,000 for the quarters ended September 30, 2015 and December 31, 2014, respectively. The increase in
computer operations expense was primarily related to costs
associated with conversion to a new on-line banking platform in the
fourth quarter of 2015.
ASSET QUALITY
Total nonperforming assets increased in
2015 primarily due to the restructuring of two loans that are part
of a single relationship totaling $9.93
million. The loans were restructured in the second
quarter of 2015 and one of them was downgraded that quarter, which
resulted in an increase in accruing Troubled Debt Restructurings
("TDR's"). Accruing TDR's rose to $12.06 million at December
31, 2015 compared to $4.30
million at December 31,
2014. While this loan was restructured and downgraded in
2015, the Company had properly classified the loan as impaired at
December 31, 2014, and as a result no
additional reserves were recorded in 2015 for this loan. This
resulted in total nonperforming assets increasing to $25.51 million at December
31, 2015 compared to $19.45
million at December 31,
2014.
- Total past due loans declined by 31.33% to $3.33 million as of December 31, 2015 from $4.85 million as of December 31, 2014.
- Nonaccrual loans declined by 11.67% to $8.78 million as of December 31, 2015 from $9.94 million as of December 31, 2014.
- Loans that were risk rated either as special mention,
substandard, doubtful, or loss declined by 15.20% to $46.67 million as of December 31, 2015 from $55.03 million as of December 31, 2014.
- OREO balances declined by 17.43% when compared to year end
2014. Changes in OREO include the sale of properties totaling
$1.04 million, new foreclosures of
$1.20 million and transfers of
$855,000 to the Company's fixed
assets to be used as part of the Bank's operations.
In an ongoing effort to improve the credit quality of the
balance sheet, the Company also sold $1.02
million of nonperforming loans in the second quarter of
2015.
The Company reduced its allowance for loan and lease losses
("ALLL") to $11.05 million or 1.37%
of total loans at December 31, 2015
compared to $11.79 million or 1.56%
of total loans at December 31,
2014. The provision for loan losses increased to $2.7 million in the fourth quarter of 2015
compared to a recovery of provision of $432,000 in the previous quarter and a provision
of $450,000 for the same period in
2014. The provision is based on the Company's methodology for
determining the allowance for loan and lease
losses.
CONSOLIDATED ASSETS
Total consolidated assets at
December 31, 2015 were $1.29 billion, higher by 5.89% since December 31, 2014. Changes in major asset
categories were as follows:
- Cash balances and deposits with other banks decreased by
$15.79 million compared to
December 31, 2014.
- The Company deployed some of its excess liquidity into growing
its securities portfolio which increased by $29.02 million compared to December 31, 2014.
- Loans held-for-investment grew to $805.68 million as of December 31, 2015 compared to $754.85 million on December 31, 2014, an increase of $50.84 million from December 31, 2014 and a growth rate of 6.73% for
2015.
- Other assets increased $4.87
million compared to December 31,
2014, primarily due to a $3.0
million investment in low income housing tax credit
funds.
CONSOLIDATED LIABILITIES
Total consolidated
liabilities at December 31, 2015 were
$1.17 billion, an increase of 6.40%
compared to December 31, 2014.
Deposit growth continues to be strong with total deposits
increasing by $51.72 million from
December 31, 2014 to $1.04 billion as of December 31, 2015. Federal Home Loan Bank
("FHLB") advances increased by $30.00
million from December 31, 2014
to $85.00 million at December 31, 2015. Most of the growth in FHLB
advances occurred in the fourth quarter of 2015.
SHAREHOLDERS' EQUITY AND CAPITAL
Shareholders' equity
at December 31, 2015 was $123.55 million, compared to $122.03 million at December 31, 2014. Retained earnings at
December 31, 2015 were $60.39 million compared to $55.85 million at December
31, 2014. On September 15,
2015, the Company's Board of Directors authorized the
repurchase of up to $10 million of
the Company's common stock, or approximately 8% of the Company's
outstanding shares. The repurchase program was effective
immediately and runs through December 31,
2017. This program replaces the previous repurchase program
adopted in 1999, pursuant to which the Company had 24,084 shares
remaining eligible for repurchase. As of December 31, 2015, the Company had repurchased
77,500 shares, totaling $1.42
million, for an average price of $18.37. The book value of the Company's
common stock at December 31, 2015 was
$17.44 per share versus $17.11 per share at December 31, 2014.
The Company's capital ratios remain well above regulatory
minimum capital ratios as of December 31,
2015:
- Tier 1 Leverage ratio was 9.59%, 5.59% over the regulatory
minimum of 4.00% to be well capitalized.
- Common Equity Tier 1 Ratio was 15.61%, 8.61% over the
regulatory minimum of 7.00% to be well capitalized.
- Tier 1 Risk-Based Capital Ratio was 16.27%, 7.77% over the
regulatory minimum of 8.50% to be well capitalized.
- Total Risk Based Capital Ratio was 17.52%, 7.02% over the
regulatory minimum of 10.50% to be well capitalized .
Caution about Forward Looking Statements
Certain information contained in this discussion may include
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These
forward-looking statements relate to the Company's future
operations and are generally identified by phrases such as "the
Company expects," "the Company believes" or words of similar
import. Although the Company believes that its expectations
with respect to the forward-looking statements are based upon
reliable assumptions within the bounds of its knowledge of its
business and operations, there can be no assurance that actual
results, performance or achievements of the Company will not differ
materially from any future results, performance or achievements
expressed or implied by such forward-looking statements. For
details on factors that could affect expectations, see the risk
factors and other cautionary language included in the Company's
Annual Report on Form 10-K for the year ended December 31, 2014, and other filings with the
Securities and Exchange Commission.
About Middleburg Financial Corporation
Middleburg Financial Corporation is headquartered in
Middleburg, Virginia and has two
wholly owned subsidiaries, Middleburg Bank and Middleburg
Investment Group, Inc. Middleburg Bank serves communities in
Virginia with financial centers in
Ashburn, Gainesville, Leesburg, Marshall, Middleburg, Purcellville, Reston, Richmond, Warrenton and Williamsburg. Middleburg
Investment Group owns Middleburg Trust Company, which is
headquartered in Richmond,
Virginia with offices in Middleburg, Alexandria and Williamsburg.
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
|
Consolidated
Balance Sheets
|
(In thousands, except
for share and per share data)
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
December 31,
2015
|
|
September 30,
2015
|
|
December 31,
2014
|
ASSETS
|
|
|
|
Cash and due from
banks
|
$
|
5,489
|
|
$
|
6,498
|
|
$
|
7,396
|
Interest bearing
deposits with other banks
|
33,739
|
|
33,281
|
|
47,626
|
Total cash and cash
equivalents
|
39,228
|
|
39,779
|
|
55,022
|
Securities held to
maturity, fair value of $4,163, $1,375 and $1,397,
respectively
|
4,207
|
|
1,500
|
|
1,500
|
Securities available
for sale, at fair value
|
374,571
|
|
372,779
|
|
348,263
|
Restricted
securities, at cost
|
6,411
|
|
5,349
|
|
5,279
|
Loans, net of
allowance for loan losses of $11,046, $11,400 and $11,786,
respectively
|
794,635
|
|
769,467
|
|
743,060
|
Premises and
equipment, net
|
19,531
|
|
19,787
|
|
18,104
|
Goodwill and
identified intangibles, net
|
3,636
|
|
3,679
|
|
3,807
|
Other real estate
owned, net of valuation allowance
|
3,345
|
|
3,871
|
|
4,051
|
Bank owned life
insurance
|
23,273
|
|
23,107
|
|
22,617
|
Accrued interest
receivable and other assets
|
26,026
|
|
21,972
|
|
21,154
|
TOTAL
ASSETS
|
$
|
1,294,863
|
|
$
|
1,261,290
|
|
$
|
1,222,857
|
|
|
|
|
LIABILITIES
|
|
|
|
Deposits:
|
|
|
|
Non-interest bearing
demand deposits
|
$
|
235,897
|
|
$
|
242,890
|
|
$
|
216,912
|
Savings and interest
bearing demand deposits
|
560,328
|
|
539,972
|
|
523,230
|
Time
deposits
|
244,575
|
|
249,491
|
|
248,938
|
Total
deposits
|
1,040,800
|
|
1,032,353
|
|
989,080
|
Securities sold under
agreements to repurchase
|
26,869
|
|
24,468
|
|
38,551
|
Federal Home Loan
Bank borrowings
|
85,000
|
|
60,000
|
|
55,000
|
Subordinated
notes
|
5,155
|
|
5,155
|
|
5,155
|
Accrued interest
payable and other liabilities
|
13,485
|
|
12,902
|
|
13,037
|
TOTAL
LIABILITIES
|
1,171,309
|
|
1,134,878
|
|
1,100,823
|
Commitments and
contingent liabilities
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
Common stock ($2.50
par value; 20,000,000 shares authorized, 7,085,217,
7,162,716 and 7,131,643, issued and outstanding,
respectively)
|
17,330
|
|
17,522
|
|
17,494
|
Capital
surplus
|
44,155
|
|
45,224
|
|
44,892
|
Retained
earnings
|
60,392
|
|
60,542
|
|
55,854
|
Accumulated other
comprehensive income
|
1,677
|
|
3,124
|
|
3,794
|
TOTAL SHAREHOLDERS'
EQUITY
|
123,554
|
|
126,412
|
|
122,034
|
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY
|
$
|
1,294,863
|
|
$
|
1,261,290
|
|
$
|
1,222,857
|
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
|
Consolidated
Statements of Income
|
(In thousands, except
for per share data)
|
|
(Unaudited)
|
|
For the Three
Months Ended
December 31,
|
|
For the Year
Ended
December 31,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
INTEREST AND DIVIDEND
INCOME
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on
loans
|
$
|
7,995
|
|
$
|
8,176
|
|
$
|
32,479
|
|
$
|
33,833
|
Interest and
dividends on securities
|
|
|
|
|
|
|
Taxable
|
1,992
|
|
1,728
|
|
7,628
|
|
6,900
|
Tax-exempt
|
449
|
|
481
|
|
1,803
|
|
2,137
|
Dividends
|
69
|
|
64
|
|
265
|
|
293
|
Interest on deposits
with other banks and federal funds sold
|
22
|
|
38
|
|
106
|
|
162
|
Total interest and
dividend income
|
10,527
|
|
10,487
|
|
42,281
|
|
43,325
|
INTEREST
EXPENSE
|
|
|
|
|
|
|
Interest on
deposits
|
882
|
|
933
|
|
3,462
|
|
3,889
|
Interest on
securities sold under agreements to repurchase
|
—
|
|
79
|
|
64
|
|
318
|
Interest on FHLB
borrowings and other debt
|
174
|
|
160
|
|
681
|
|
1,036
|
Total interest
expense
|
1,056
|
|
1,172
|
|
4,207
|
|
5,243
|
NET INTEREST
INCOME
|
9,471
|
|
9,315
|
|
38,074
|
|
38,082
|
Provision for loan
losses
|
2,700
|
|
450
|
|
2,293
|
|
1,960
|
NET INTEREST INCOME
AFTER PROVISION FOR LOAN LOSSES
|
6,771
|
|
8,865
|
|
35,781
|
|
36,122
|
NON-INTEREST
INCOME
|
|
|
|
|
|
|
Service charges on
deposit accounts
|
613
|
|
606
|
|
2,405
|
|
2,422
|
Trust services
income
|
1,156
|
|
1,138
|
|
4,785
|
|
4,362
|
Gains (losses) on
sales of loans held for sale
|
(4)
|
|
1
|
|
(1)
|
|
4,860
|
Gains on sales of
securities available for sale, net
|
2
|
|
45
|
|
140
|
|
186
|
Commissions on
investment sales
|
132
|
|
132
|
|
547
|
|
611
|
Bank owned life
insurance
|
167
|
|
168
|
|
656
|
|
662
|
Gain on sale of
majority interest in consolidated subsidiary
|
—
|
|
—
|
|
—
|
|
24
|
Other operating
income
|
527
|
|
260
|
|
1,858
|
|
1,659
|
Total non-interest
income
|
2,593
|
|
2,350
|
|
10,390
|
|
14,786
|
NON-INTEREST
EXPENSE
|
|
|
|
|
|
|
Salaries and employee
benefits
|
3,771
|
|
5,134
|
|
18,435
|
|
22,601
|
Occupancy and
equipment
|
1,293
|
|
1,336
|
|
5,106
|
|
6,177
|
Advertising
|
(44)
|
|
(65)
|
|
288
|
|
365
|
Computer
operations
|
801
|
|
485
|
|
2,337
|
|
1,893
|
Other real estate
owned
|
(1)
|
|
110
|
|
284
|
|
256
|
Other
taxes
|
231
|
|
212
|
|
915
|
|
849
|
Federal deposit
insurance
|
203
|
|
212
|
|
786
|
|
899
|
Other operating
expenses
|
2,120
|
|
1,999
|
|
7,475
|
|
8,041
|
Total non-interest
expense
|
8,374
|
|
9,423
|
|
35,626
|
|
41,081
|
Income before income
taxes
|
990
|
|
1,792
|
|
10,545
|
|
9,827
|
Income tax
expense
|
209
|
|
162
|
|
2,715
|
|
2,341
|
NET INCOME
|
781
|
|
1,630
|
|
7,830
|
|
7,486
|
Net loss attributable
to non-controlling interest
|
—
|
|
—
|
|
—
|
|
98
|
Net income
attributable to Middleburg Financial Corporation
|
$
|
781
|
|
$
|
1,630
|
|
$
|
7,830
|
|
$
|
7,584
|
Earnings per
share:
|
|
|
|
|
|
|
Basic
|
$
|
0.11
|
|
$
|
0.23
|
|
$
|
1.10
|
|
$
|
1.07
|
Diluted
|
$
|
0.11
|
|
$
|
0.23
|
|
$
|
1.09
|
|
$
|
1.06
|
Dividends per common
share
|
$
|
0.13
|
|
$
|
0.10
|
|
$
|
0.46
|
|
$
|
0.34
|
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
|
Quarterly Summary
of Consolidated Statements of Income
|
(Unaudited, Dollars
In thousands, except for per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
December
31,
2015
|
|
September
30,
2015
|
|
June
30,
2015
|
|
March
31,
2015
|
|
December
31,
2014
|
INTEREST AND DIVIDEND
INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on
loans
|
$
|
7,995
|
|
$
|
8,227
|
|
$
|
8,014
|
|
$
|
8,243
|
|
$
|
8,176
|
Interest and
dividends on securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
1,992
|
|
1,938
|
|
1,792
|
|
1,906
|
|
1,728
|
Tax-exempt
|
449
|
|
444
|
|
449
|
|
461
|
|
481
|
Dividends
|
69
|
|
71
|
|
66
|
|
59
|
|
64
|
Interest on deposits
with other banks and federal
funds sold
|
22
|
|
23
|
|
31
|
|
30
|
|
38
|
Total interest and
dividend income
|
10,527
|
|
10,703
|
|
10,352
|
|
10,699
|
|
10,487
|
INTEREST
EXPENSE
|
|
|
|
|
|
Interest on
deposits
|
882
|
|
877
|
|
848
|
|
855
|
|
933
|
Interest on
securities sold under agreements to
repurchase
|
—
|
|
2
|
|
17
|
|
45
|
|
79
|
Interest on FHLB
borrowings and other debt
|
174
|
|
165
|
|
174
|
|
168
|
|
160
|
Total interest
expense
|
1,056
|
|
1,044
|
|
1,039
|
|
1,068
|
|
1,172
|
NET INTEREST
INCOME
|
9,471
|
|
9,659
|
|
9,313
|
|
9,631
|
|
9,315
|
Provision for
(recovery of) loan losses
|
2,700
|
|
(432)
|
|
(425)
|
|
450
|
|
450
|
NET INTEREST INCOME
AFTER PROVISION
FOR (RECOVERY OF) LOAN LOSSES
|
6,771
|
|
10,091
|
|
9,738
|
|
9,181
|
|
8,865
|
NON-INTEREST
INCOME
|
|
|
|
|
|
Service charges on
deposit accounts
|
613
|
|
622
|
|
612
|
|
558
|
|
606
|
Trust services
income
|
1,156
|
|
1,168
|
|
1,243
|
|
1,218
|
|
1,138
|
Gains (losses) on
sales of loans held for sale
|
(4)
|
|
—
|
|
3
|
|
—
|
|
1
|
Gains on sales of
securities available for sale, net
|
2
|
|
—
|
|
37
|
|
101
|
|
45
|
Commissions on
investment sales
|
132
|
|
132
|
|
154
|
|
129
|
|
132
|
Bank owned life
insurance
|
167
|
|
166
|
|
163
|
|
160
|
|
168
|
Other operating
income
|
527
|
|
266
|
|
223
|
|
842
|
|
260
|
Total non-interest
income
|
2,593
|
|
2,354
|
|
2,435
|
|
3,008
|
|
2,350
|
NON-INTEREST
EXPENSE
|
|
|
|
|
|
Salaries and employee
benefits
|
3,771
|
|
4,834
|
|
4,982
|
|
4,848
|
|
5,134
|
Occupancy and
equipment
|
1,293
|
|
1,248
|
|
1,226
|
|
1,339
|
|
1,336
|
Advertising
|
(44)
|
|
98
|
|
101
|
|
133
|
|
(65)
|
Computer
operations
|
801
|
|
524
|
|
522
|
|
490
|
|
485
|
Other real estate
owned
|
(1)
|
|
193
|
|
25
|
|
67
|
|
110
|
Other
taxes
|
231
|
|
230
|
|
231
|
|
223
|
|
212
|
Federal deposit
insurance
|
203
|
|
188
|
|
184
|
|
211
|
|
212
|
Other operating
expenses
|
2,120
|
|
1,959
|
|
1,807
|
|
1,589
|
|
1,999
|
Total non-interest
expense
|
8,374
|
|
9,274
|
|
9,078
|
|
8,900
|
|
9,423
|
Income before income
taxes
|
990
|
|
3,171
|
|
3,095
|
|
3,289
|
|
1,792
|
Income tax
expense
|
209
|
|
850
|
|
815
|
|
841
|
|
162
|
NET INCOME
|
$
|
781
|
|
$
|
2,321
|
|
$
|
2,280
|
|
$
|
2,448
|
|
$
|
1,630
|
Earnings per
share:
|
|
|
|
|
|
Basic
|
$
|
0.11
|
|
$
|
0.32
|
|
$
|
0.32
|
|
$
|
0.34
|
|
$
|
0.23
|
Diluted
|
$
|
0.11
|
|
$
|
0.32
|
|
$
|
0.32
|
|
$
|
0.34
|
|
$
|
0.23
|
Dividends per common
share
|
$
|
0.13
|
|
$
|
0.13
|
|
$
|
0.10
|
|
$
|
0.10
|
|
$
|
0.10
|
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
|
Selected Financial
Data by Quarter
|
(Unaudited, Dollars
in thousands, except for per share data)
|
|
December
31,
|
|
September
30,
|
|
June
30,
|
|
March
31,
|
|
December
31,
|
|
2015
|
|
2015
|
|
2015
|
|
2015
|
|
2014
|
BALANCE SHEET
RATIOS
|
|
|
|
|
|
|
|
|
|
Loans to
deposits
|
77.41
|
%
|
|
75.64
|
%
|
|
76.89
|
%
|
|
74.60
|
%
|
|
76.32
|
%
|
Average
interest-earning assets to average
interest-bearing liabilities
|
136.05
|
%
|
|
135.94
|
%
|
|
135.72
|
%
|
|
136.04
|
%
|
|
133.54
|
%
|
INCOME STATEMENT
RATIOS
|
|
|
|
|
|
|
|
|
|
Return on average
assets (ROA)
|
0.24
|
%
|
|
0.73
|
%
|
|
0.73
|
%
|
|
0.80
|
%
|
|
0.53
|
%
|
Return on average
equity (ROE)
|
2.45
|
%
|
|
7.33
|
%
|
|
7.31
|
%
|
|
8.01
|
%
|
|
5.31
|
%
|
Net interest margin
(1)
|
3.17
|
%
|
|
3.28
|
%
|
|
3.24
|
%
|
|
3.40
|
%
|
|
3.31
|
%
|
Yield on average
earning assets
|
3.52
|
%
|
|
3.63
|
%
|
|
3.59
|
%
|
|
3.77
|
%
|
|
3.72
|
%
|
Yield on
securities
|
2.83
|
%
|
|
2.86
|
%
|
|
2.77
|
%
|
|
2.98
|
%
|
|
2.87
|
%
|
Yield on
loans
|
4.01
|
%
|
|
4.20
|
%
|
|
4.20
|
%
|
|
4.45
|
%
|
|
4.42
|
%
|
Cost of
funds
|
0.37
|
%
|
|
0.37
|
%
|
|
0.38
|
%
|
|
0.39
|
%
|
|
0.43
|
%
|
Efficiency ratio
(5)
|
67.21
|
%
|
|
73.30
|
%
|
|
74.88
|
%
|
|
68.35
|
%
|
|
77.53
|
%
|
PER SHARE
DATA
|
|
|
|
|
|
|
|
|
|
Dividends
|
$
|
0.13
|
|
|
$
|
0.13
|
|
|
$
|
0.10
|
|
|
$
|
0.10
|
|
|
$
|
0.10
|
|
Book value
|
17.44
|
|
|
17.65
|
|
|
17.42
|
|
|
17.51
|
|
|
17.11
|
|
Tangible book value
(4)
|
16.93
|
|
|
17.13
|
|
|
16.90
|
|
|
16.99
|
|
|
16.58
|
|
SHARE PRICE
DATA
|
|
|
|
|
|
|
|
|
|
Closing
price
|
$
|
18.48
|
|
|
$
|
17.61
|
|
|
$
|
18.00
|
|
|
$
|
18.30
|
|
|
$
|
18.01
|
|
Diluted earnings
multiple (2)
|
16.95
|
|
|
13.76
|
|
|
14.06
|
|
|
13.45
|
|
|
16.99
|
|
Book value multiple
(3)
|
1.06
|
|
|
1.00
|
|
|
1.03
|
|
|
1.04
|
|
|
1.05
|
|
COMMON STOCK
DATA
|
|
|
|
|
|
|
|
|
|
Outstanding shares at
end of period
|
7,085,217
|
|
|
7,162,716
|
|
|
7,163,255
|
|
|
7,127,105
|
|
|
7,131,643
|
|
Weighted average
shares O/S , basic - QTD
|
7,152,844
|
|
|
7,162,930
|
|
|
7,145,929
|
|
|
7,127,910
|
|
|
7,127,164
|
|
Weighted average
shares O/S, diluted - QTD
|
7,171,498
|
|
|
7,181,183
|
|
|
7,167,165
|
|
|
7,148,702
|
|
|
7,146,140
|
|
Dividend payout
ratio
|
118.18
|
%
|
|
40.63
|
%
|
|
31.25
|
%
|
|
29.41
|
%
|
|
43.48
|
%
|
CAPITAL
RATIOS
|
|
|
|
|
|
|
|
|
|
Capital to assets -
common shareholders
|
9.54
|
%
|
|
10.02
|
%
|
|
10.05
|
%
|
|
9.86
|
%
|
|
9.98
|
%
|
Leverage
ratio
|
9.59
|
%
|
|
9.84
|
%
|
|
9.85
|
%
|
|
9.76
|
%
|
|
9.90
|
%
|
Common equity tier 1
ratio
|
15.61
|
%
|
|
16.31
|
%
|
|
16.35
|
%
|
|
16.49
|
%
|
|
N/A
|
|
Tier 1 risk based
capital ratio
|
16.27
|
%
|
|
16.99
|
%
|
|
17.04
|
%
|
|
17.20
|
%
|
|
15.70
|
%
|
Total risk based
capital ratio
|
17.52
|
%
|
|
18.25
|
%
|
|
18.28
|
%
|
|
18.45
|
%
|
|
16.95
|
%
|
CREDIT
QUALITY
|
|
|
|
|
|
|
|
|
|
Net charge-offs
(recoveries) to average loans
|
0.390
|
%
|
|
(0.002)
|
%
|
|
(0.04)
|
%
|
|
0.03
|
%
|
|
0.46
|
%
|
Total nonperforming
loans to total loans
|
2.62
|
%
|
|
2.71
|
%
|
|
2.63
|
%
|
|
1.83
|
%
|
|
1.89
|
%
|
Total nonperforming
assets to total assets
|
1.97
|
%
|
|
2.07
|
%
|
|
1.99
|
%
|
|
1.46
|
%
|
|
1.59
|
%
|
Nonaccrual loans
to:
|
|
|
|
|
|
|
|
|
|
Total loans
|
1.09
|
%
|
|
1.13
|
%
|
|
1.04
|
%
|
|
1.26
|
%
|
|
1.32
|
%
|
Total assets
|
0.68
|
%
|
|
0.70
|
%
|
|
0.64
|
%
|
|
0.76
|
%
|
|
0.81
|
%
|
Allowance for loan
losses to:
|
|
|
|
|
|
|
|
|
|
Total loans
|
1.37
|
%
|
|
1.46
|
%
|
|
1.54
|
%
|
|
1.58
|
%
|
|
1.56
|
%
|
Nonperforming
assets
|
43.30
|
%
|
|
43.73
|
%
|
|
48.03
|
%
|
|
65.23
|
%
|
|
60.59
|
%
|
Nonaccrual
loans
|
125.75
|
%
|
|
129.15
|
%
|
|
148.53
|
%
|
|
124.92
|
%
|
|
118.52
|
%
|
NONPERFORMING
ASSETS
|
|
|
|
|
|
|
|
|
|
Loans delinquent 90+
days and still accruing
|
$
|
278
|
|
|
$
|
224
|
|
|
$
|
173
|
|
|
$
|
74
|
|
|
$
|
30
|
|
Nonaccrual
loans
|
8,784
|
|
|
8,827
|
|
|
8,008
|
|
|
9,625
|
|
|
9,944
|
|
Restructured loans
(not in nonaccrual)
|
12,058
|
|
|
12,106
|
|
|
12,138
|
|
|
4,262
|
|
|
4,295
|
|
Other real estate
owned
|
3,345
|
|
|
3,871
|
|
|
3,402
|
|
|
3,402
|
|
|
4,051
|
|
Repossessed
assets
|
1,043
|
|
|
1,044
|
|
|
1,044
|
|
|
1,070
|
|
|
1,132
|
|
Total nonperforming
assets
|
$
|
25,508
|
|
|
$
|
26,072
|
|
|
$
|
24,765
|
|
|
$
|
18,433
|
|
|
$
|
19,452
|
|
(1)
|
The net interest
margin is calculated by dividing tax equivalent net interest income
by total average earning assets. Tax equivalent net interest
income is calculated by grossing up interest income for the amounts
that are non taxable (i.e., municipal income) then subtracting
interest expense. The tax rate utilized is 34%. The Company's net
interest margin is a common measure used by the financial service
industry to determine how profitably earning assets are
funded. Because the Company earns non taxable interest income
due to the mix in its investment and loan portfolios, net interest
income for the ratio is calculated on a tax equivalent basis as
described above. This calculation excludes net securities
gains and losses.
|
(2)
|
The diluted earnings
multiple is calculated by dividing the period's closing market
price per share by the annualized diluted earnings per share for
the period. The diluted earnings multiple is a measure of how
much an investor may be willing to pay for $1.00 of the Company's
earnings.
|
(3)
|
The book value
multiple (or price to book ratio) is calculated by dividing the
period's closing market price per share by the period's book value
per share. The book value multiple is a measure used to
compare the Company's market value per share to its book value per
share.
|
(4)
|
Tangible book value
is not a measurement under accounting principles generally accepted
in the United States. It is computed by subtracting
identified intangible assets and goodwill from total Middleburg
Financial Corporation shareholders' equity and then dividing the
result by the number of shares of common stock issued and
outstanding at the end of the accounting period.
|
(5)
|
The efficiency ratio
is not a measurement under accounting principles generally accepted
in the United States. It is calculated by dividing non-interest
expense (adjusted for amortization of intangibles, other real
estate expenses, and non-recurring one-time charges) by the sum of
tax equivalent net interest income and non-interest income
excluding gains and losses on the investment portfolio. The tax
rate utilized in calculating tax equivalent amounts is 34%. The
Company calculates and reviews this ratio as a means of evaluating
operational efficiency.
|
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
Average Balances,
Income and Expenses, Yields and Rates
(Unaudited)
|
|
Three months ended
December 31,
|
|
2015
|
|
2014
|
|
Average
Balance
|
|
Income/
Expense
|
|
Yield/
Rate (2)
|
|
Average
Balance
|
|
Income/
Expense
|
|
Yield/
Rate (2)
|
|
(Dollars in
thousands)
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
$
|
332,163
|
|
$
|
2,061
|
|
2.46
|
%
|
|
$
|
292,726
|
|
$
|
1,792
|
|
2.43
|
%
|
Tax-exempt
(1)
|
51,884
|
|
681
|
|
5.21
|
%
|
|
54,275
|
|
729
|
|
5.32
|
%
|
Total
securities
|
$
|
384,047
|
|
$
|
2,742
|
|
2.83
|
%
|
|
$
|
347,001
|
|
$
|
2,521
|
|
2.88
|
%
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
$
|
791,590
|
|
$
|
7,989
|
|
4.00
|
%
|
|
$
|
733,090
|
|
$
|
8,171
|
|
4.42
|
%
|
Tax-exempt (1)
|
578
|
|
8
|
|
5.49
|
%
|
|
617
|
|
8
|
|
5.14
|
%
|
Total loans
(3)
|
$
|
792,168
|
|
$
|
7,997
|
|
4.01
|
%
|
|
$
|
733,707
|
|
$
|
8,179
|
|
4.42
|
%
|
Interest on deposits
with other banks and
federal funds sold
|
38,348
|
|
22
|
|
0.23
|
%
|
|
63,905
|
|
38
|
|
0.24
|
%
|
Total earning
assets
|
$
|
1,214,563
|
|
$
|
10,761
|
|
3.52
|
%
|
|
$
|
1,144,613
|
|
$
|
10,738
|
|
3.72
|
%
|
Less: allowance for
loan losses
|
(11,733)
|
|
|
|
|
|
(11,482)
|
|
|
|
|
Total nonearning
assets
|
79,695
|
|
|
|
|
|
76,475
|
|
|
|
|
Total
assets
|
$
|
1,282,525
|
|
|
|
|
|
$
|
1,209,606
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits:
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$
|
345,525
|
|
$
|
177
|
|
0.20
|
%
|
|
$
|
332,419
|
|
$
|
163
|
|
0.19
|
%
|
Regular
savings
|
125,947
|
|
59
|
|
0.19
|
%
|
|
113,316
|
|
53
|
|
0.19
|
%
|
Money market
savings
|
78,918
|
|
40
|
|
0.20
|
%
|
|
71,222
|
|
34
|
|
0.19
|
%
|
Time
deposits:
|
|
|
|
|
|
|
|
|
|
|
|
$100,000 and
over
|
144,440
|
|
320
|
|
0.88
|
%
|
|
128,478
|
|
294
|
|
0.91
|
%
|
Under
$100,000
|
102,586
|
|
286
|
|
1.11
|
%
|
|
123,814
|
|
389
|
|
1.25
|
%
|
Total
interest-bearing deposits
|
$
|
797,416
|
|
$
|
882
|
|
0.44
|
%
|
|
$
|
769,249
|
|
$
|
933
|
|
0.48
|
%
|
Securities sold under
agreements to
repurchase
|
28,663
|
|
—
|
|
—
|
%
|
|
37,541
|
|
79
|
|
0.83
|
%
|
FHLB borrowings and
other debt
|
66,677
|
|
174
|
|
1.03
|
%
|
|
50,372
|
|
160
|
|
1.26
|
%
|
Total
interest-bearing liabilities
|
$
|
892,756
|
|
$
|
1,056
|
|
0.47
|
%
|
|
$
|
857,162
|
|
$
|
1,172
|
|
0.54
|
%
|
Non-interest bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
248,536
|
|
|
|
|
|
216,402
|
|
|
|
|
Other
liabilities
|
15,016
|
|
|
|
|
|
14,359
|
|
|
|
|
Total
liabilities
|
$
|
1,156,308
|
|
|
|
|
|
$
|
1,087,923
|
|
|
|
|
Non-controlling
interest
|
—
|
|
|
|
|
|
—
|
|
|
|
|
Shareholders'
equity
|
126,217
|
|
|
|
|
|
121,683
|
|
|
|
|
Total liabilities and
shareholders' equity
|
$
|
1,282,525
|
|
|
|
|
|
$
|
1,209,606
|
|
|
|
|
Net interest
income
|
|
|
$
|
9,705
|
|
|
|
|
|
$
|
9,566
|
|
|
Interest rate
spread
|
|
|
|
|
3.05
|
%
|
|
|
|
|
|
3.18
|
%
|
Cost of
Funds
|
|
|
|
|
0.37
|
%
|
|
|
|
|
|
0.43
|
%
|
Interest expense as a
percent of average
earning assets
|
|
|
|
|
0.34
|
%
|
|
|
|
|
|
0.41
|
%
|
Net interest
margin
|
|
|
|
|
3.17
|
%
|
|
|
|
|
|
3.31
|
%
|
(1)
|
Income and yields are
reported on tax equivalent basis assuming a federal tax rate of
34%.
|
(2)
|
All yields and rates
have been annualized on a 365 day year.
|
(3)
|
Total average loans
include loans on non-accrual status.
|
MIDDLEBURG
FINANCIAL CORPORATION AND SUBSIDIARIES
Average Balances,
Income and Expenses, Yields and Rates
(Unaudited)
|
|
Year ended
December 31,
|
|
2015
|
|
2014
|
|
Average
Balance
|
|
Income/
Expense
|
|
Yield/
Rate (2)
|
|
Average
Balance
|
|
Income/
Expense
|
|
Yield/
Rate (2)
|
|
(Dollars in
thousands)
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
$
|
319,705
|
|
$
|
7,893
|
|
2.47
|
%
|
|
$
|
282,198
|
|
$
|
7,193
|
|
2.55
|
%
|
Tax-exempt
(1)
|
51,732
|
|
2,732
|
|
5.28
|
%
|
|
56,729
|
|
3,238
|
|
5.71
|
%
|
Total
securities
|
$
|
371,437
|
|
$
|
10,625
|
|
2.86
|
%
|
|
$
|
338,927
|
|
$
|
10,431
|
|
3.08
|
%
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
$
|
771,207
|
|
$
|
32,457
|
|
4.21
|
%
|
|
$
|
741,028
|
|
$
|
33,810
|
|
4.56
|
%
|
Tax-exempt (1)
|
609
|
|
33
|
|
5.42
|
%
|
|
643
|
|
34
|
|
5.29
|
%
|
Total loans
(3)
|
$
|
771,816
|
|
$
|
32,490
|
|
4.21
|
%
|
|
$
|
741,671
|
|
$
|
33,844
|
|
4.56
|
%
|
Interest on deposits
with other banks and
federal funds sold
|
49,201
|
|
106
|
|
0.22
|
%
|
|
71,275
|
|
162
|
|
0.23
|
%
|
Total earning
assets
|
$
|
1,192,454
|
|
$
|
43,221
|
|
3.62
|
%
|
|
$
|
1,151,873
|
|
$
|
44,437
|
|
3.86
|
%
|
Less: allowance for
loan losses
|
(11,853)
|
|
|
|
|
|
(12,241)
|
|
|
|
|
Total nonearning
assets
|
77,456
|
|
|
|
|
|
77,834
|
|
|
|
|
Total
assets
|
$
|
1,258,057
|
|
|
|
|
|
$
|
1,217,466
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits:
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$
|
343,026
|
|
$
|
693
|
|
0.20
|
%
|
|
$
|
339,996
|
|
$
|
651
|
|
0.19
|
%
|
Regular
savings
|
119,989
|
|
223
|
|
0.19
|
%
|
|
113,363
|
|
212
|
|
0.19
|
%
|
Money market
savings
|
70,239
|
|
136
|
|
0.19
|
%
|
|
73,232
|
|
139
|
|
0.19
|
%
|
Time
deposits:
|
|
|
|
|
|
|
|
|
|
|
|
$100,000 and
over
|
138,860
|
|
1,220
|
|
0.88
|
%
|
|
125,904
|
|
1,232
|
|
0.98
|
%
|
Under
$100,000
|
106,023
|
|
1,190
|
|
1.12
|
%
|
|
129,021
|
|
1,655
|
|
1.28
|
%
|
Total
interest-bearing deposits
|
$
|
778,137
|
|
$
|
3,462
|
|
0.44
|
%
|
|
$
|
781,516
|
|
$
|
3,889
|
|
0.50
|
%
|
Securities sold under
agreements to
repurchase
|
30,095
|
|
64
|
|
0.21
|
%
|
|
36,899
|
|
318
|
|
0.86
|
%
|
FHLB borrowings and
other debt
|
68,977
|
|
681
|
|
0.99
|
%
|
|
70,141
|
|
1,036
|
|
1.48
|
%
|
Federal funds
purchased
|
1
|
|
—
|
|
—
|
%
|
|
1
|
|
—
|
|
—
|
%
|
Total
interest-bearing liabilities
|
$
|
877,210
|
|
$
|
4,207
|
|
0.48
|
%
|
|
$
|
888,557
|
|
$
|
5,243
|
|
0.59
|
%
|
Non-interest bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
241,996
|
|
|
|
|
|
199,273
|
|
|
|
|
Other
liabilities
|
13,602
|
|
|
|
|
|
11,059
|
|
|
|
|
Total
liabilities
|
$
|
1,132,808
|
|
|
|
|
|
$
|
1,098,889
|
|
|
|
|
Non-controlling
interest
|
—
|
|
|
|
|
|
—
|
|
|
|
|
Shareholders'
equity
|
125,249
|
|
|
|
|
|
118,577
|
|
|
|
|
Total liabilities and
shareholders' equity
|
$
|
1,258,057
|
|
|
|
|
|
$
|
1,217,466
|
|
|
|
|
Net interest
income
|
|
|
$
|
39,014
|
|
|
|
|
|
$
|
39,194
|
|
|
Interest rate
spread
|
|
|
|
|
3.14
|
%
|
|
|
|
|
|
3.27
|
%
|
Cost of
Funds
|
|
|
|
|
0.38
|
%
|
|
|
|
|
|
0.48
|
%
|
Interest expense as a
percent of average
earning assets
|
|
|
|
|
0.35
|
%
|
|
|
|
|
|
0.46
|
%
|
Net interest
margin
|
|
|
|
|
3.27
|
%
|
|
|
|
|
|
3.40
|
%
|
(1)
|
Income and yields are
reported on tax equivalent basis assuming a federal tax rate of
34%.
|
(2)
|
All yields and rates
have been annualized on a 365 day year.
|
(3)
|
Total average loans
include loans on non-accrual status.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/middleburg-financial-corporation-announces-fourth-quarter-2015-results-300211647.html
SOURCE Middleburg Financial Corporation