Republic Bancorp, Inc. Reports Third Quarter Net Income of $4.6 Million and Year to Date Net Income of $24.1 Million

LOUISVILLE, Ky.--()--Republic Bancorp, Inc. (“Republic” or the “Company”) is pleased to report net income of $4.6 million for the third quarter of 2013 resulting in Diluted Earnings per Class A Common Share of $0.22. Return on average assets (“ROA”) and return on average equity (“ROE”) were 0.55% and 3.36%, respectively, for the quarter. Net income for the first nine months of 2013 was $24.1 million, with Diluted Earnings per Class A Common share of $1.16. ROA and ROE for the first nine months of 2013 were 0.95% and 5.87%, respectively.

On October 8, 2013 Republic filed a Form 8K announcing that it was withdrawing its applications to the Office of the Comptroller of the Currency (the “OCC”) to merge and consolidate its Republic Bank & Trust (“RB&T”) and Republic Bank (“RB”) charters into one national bank charter and to acquire certain assets and assume all of the deposits of H&R Block Bank (the “Agreement”). As a result of RB&T withdrawing its application with the OCC, H&R Block Bank terminated the Agreement with RB&T.

Steve Trager, Chairman and CEO of Republic made the following comment in regards to that announcement:

“We are disappointed that we were not able to consummate a relationship with an industry leader and quality provider like H&R Block. We remain one of the most significant and long lasting financial institutions in the tax industry given our great history in the business over the last 20 years. We continue to be well positioned to pursue opportunities as we have been recognized as one of the best capitalized, top performing and most community minded banks in the country. I am very proud that 22 community and industry leaders submitted public letters of support to the Office of the Comptroller of Currency as it relates to our acquisition of H&R Block Bank, including: the Mayor of Louisville; the Presidents of the Universities of Louisville and Kentucky; the President of the Louisville Urban League; the Attorney General of Kentucky; the Executive Director of the Louisville Asset Building Coalition; the President of the Metro United Way; the President and CEO of the WHAS Crusade for Children; the President of the Federal Home Loan Bank of Cincinnati; the CEO of Habitat For Humanity; the Executive Director of Community Action of Southern Indiana; and the Chief Business Officer of Girl Scouts of Kentuckiana, among many others.

Republic will strive to continue to serve our customers and communities the right way as we look for opportunities to serve more people in more places,” Steve Trager concluded.

Republic Bancorp, Inc. (NASDAQ: RBCAA), headquartered in Louisville, Kentucky, is the holding company for RB&T and RB, (collectively the “Bank”).

Comparability between the third quarter and first nine months of 2013 and the third quarter and first nine months of 2012 are challenging due to the large bargain purchase gains earned by Republic related to RB&T’s two FDIC-assisted acquisitions in 2012. As a result, the tables below summarize Republic’s third quarter and year-to-date 2013 financial performance as reported in accordance with Generally Accepted Accounting Principles (“GAAP”) and excluding its bargain purchase gains, a non-GAAP basis. A reconciliation of these GAAP and non-GAAP figures are included as part of this filing as well.

 

Summary, Excluding Bargain Purchase Gains (non-GAAP) (1)

 
    Three Months Ended     %     Nine Months Ended     %
(dollars in thousands, except per share data) 9/30/13     9/30/12 Change 9/30/13     9/30/12 Change
 
Income before income taxes $ 7,553 $ 4,649 62 % $ 36,153 $ 119,033 -70 %
Net income $ 4,603 $ 3,168 45 % $ 23,231 $ 77,146 -70 %
Diluted Earnings per Class A Share $ 0.22 $ 0.15 47 % $ 1.12 $ 3.67 -69 %
ROA 0.55 % 0.38 % 45 % 0.92 % 2.86 % -68 %
ROE 3.36 % 2.34 % 44 % 5.66 % 19.46 % -71 %
 
 
 

Summary (GAAP)

 
    Three Months Ended     %     Nine Months Ended     %
(dollars in thousands, except per share data) 9/30/13     9/30/12 Change 9/30/13     9/30/12 Change
 
Income before income taxes $ 7,553 $ 31,572 -76 % $ 37,477 $ 173,759 -78 %
Net income $ 4,603 $ 20,668 -78 % $ 24,078 $ 112,718 -79 %
Diluted Earnings per Class A Share $ 0.22 $ 0.98 -78 % $ 1.16 $ 5.36 -78 %
ROA 0.55 % 2.49 % -78 % 0.95 % 4.18 % -77 %
ROE 3.36 % 15.31 % -78 % 5.87 % 28.44 % -79 %
 

Results of Operations for the Third Quarter of 2013 Compared to the Third Quarter of 2012

Traditional Banking and Mortgage Banking (collectively “Core Banking”)

Net income from Core Banking was $6.5 million for the third quarter of 2013, a decrease of $15.4 million from the third quarter of 2012, which contained a $27.1 million pre-tax bargain purchase gain resulting from RB&Ts FDIC-assisted acquisition in Minnesota.

Net interest income within the Core Bank for the third quarter of 2013 was $28.5 million compared to $28.6 million for the third quarter of 2012. The Core Bank’s net interest margin for the third quarter of 2013 was 3.55% compared to 3.54% for the third quarter of 2012. The Core Bank’s net interest income continued to benefit from RB&T’s 2012 FDIC-assisted acquisitions in Tennessee and Minnesota, which contributed $3.4 million of net interest income for the third quarter of 2013 compared to $1.2 million for the third quarter of 2012. Overall, RB&T’s 2012 FDIC-assisted acquisitions added approximately 30 basis points to the Core Bank’s net interest margin for the third quarter of 2013. The increase in net interest income resulting from RB&T’s 2012 FDIC-assisted acquisitions was partially offset by a decline in net interest income within the Bank’s historical footprint, as strong cash in-flows during the previous 12 months from the Bank’s existing loan portfolio were redeployed into lower yielding portfolio products. Management believes that maintaining current net interest income and net interest margin levels will remain a challenge for the Company, as well as the banking industry as a whole.

The Core Bank’s provision for loan losses was $2.3 million for the third quarter of 2013 reflecting a $286,000 decrease from the third quarter of 2012. Approximately $1.2 million of the Core Bank’s provision expense for the third quarter of 2013 was related to its Minnesota and Tennessee loan portfolios. The majority of this provision represented yield-related adjustments, as the projected future cash flows of a few larger acquired loans were expected to extend beyond management’s initial day-one expectations. These yield related provisions from the Tennessee and Minnesota acquired loans will be accreted into interest income on loans over the revised expected lives of the applicable loans. At September 30, 2013, the contractual value of the Minnesota and Tennessee purchased loan portfolios totaled $134 million with a carrying value of $106 million.

The Core Bank’s overall credit quality ratios remained solid at the end of the third quarter. The Core Bank’s non-performing loans to total loans ratio was 0.79% at the end of the quarter while its delinquent loans to total loans ratio was 0.59%, both ratios comparing favorably to the Bank’s peers. The table below illustrates the Core Bank’s continuing solid credit quality ratios for the most recent quarter-ends and the previous three calendar year-ends.

 
    As of and for the:
Quarter Ending:     Year Ending:
               
 
Core Banking Credit Quality Ratios 9/30/13 6/30/13 3/31/13 12/31/12 12/31/11 12/31/10
 
Non-performing loans to total loans 0.79 % 0.92 % 0.80 % 0.82 % 1.02 % 1.30 %
 
Non-performing assets to total loans (including OREO) 1.38 % 1.49 % 1.51 % 1.79 % 1.49 % 1.84 %
 
Delinquent loans to total loans 0.59 % 0.62 % 0.76 % 0.79 % 1.07 % 1.24 %
 
Net loan charge-offs to average loans 0.19 % 0.33 % 0.02 % 0.34 % 0.24 % 0.51 %
(Annualized as of 9/30/13, 6/30/13 and 3/31/13)
 
OREO = Other Real Estate Owned
 
 

Non-interest income for the Core Bank was $7.3 million for the third quarter of 2013 compared to $34.6 million for the third quarter of 2012, which contained the previously disclosed $27.1 million bargain purchase gain from RB&T’s Minnesota acquisition. Excluding the 2012 bargain purchase gains, non-interest income decreased $384,000, as increases of $238,000 in services charges on deposits and $441,000 in gains on sale of Other Real Estate Owned (“OREO”) in the other income category were offset by a decline in mortgage banking income.

The $1.2 million decline in mortgage banking income was the result of a decrease in consumer mortgage refinance activity, as fixed long-term mortgage interest rates rose dramatically during the second quarter of 2013. As a result of the decrease in consumer refinance activity, the Core Bank’s pipeline of secondary market loan applications, in which the consumer had locked the rate on his or her loan, declined to $12 million at September 30, 2013 compared to $31 million at June 30, 2013 and $39 million at September 30, 2012. With long-term mortgage interest rates forecasted to remain near or higher than current levels, management anticipates mortgage banking income will likely remain somewhat below its third quarter 2013 level for the foreseeable future.

The Core Bank’s third quarter 2013 non-interest expenses decreased $4.0 million from the third quarter of 2012 to $23.0 million. Non-interest expenses for the third quarter of 2013 benefited from a $3.3 million credit to salaries and benefits expense, as the Bank reduced its incentive compensation accruals to be in-line with its revised payout estimates for 2013 bonuses. In addition, non-interest expenses also benefited from an $831,000 decrease in OREO expenses resulting from a decline of 46 properties in OREO since September 30, 2012.

Republic Processing Group (“RPG”)

During the third quarter of 2013, RPG generated a net loss of $1.9 million compared to a net loss of $1.3 million during the third quarter of 2012. Approximately $915,000 of the operating loss was attributable to legal costs associated with RB&T’s negotiations and contract review related to the H&R Block Joint Marketing Master Services Agreement and its related schedules, as well as continuing arbitration and mediation with Jackson Hewitt and Liberty Tax Services.

Conclusion

“Our successful business model, which includes industry-strong capital levels, has allowed us to take advantage of many opportunities the past few years in both the traditional and non-traditional space. With changes in the banking industry continuing at a frantic pace due to the regulatory and economic environment, Republic continues to change and adapt, as it strives to maintain its place among the highest performing financial institutions for banks its size in the United States. With the supply of FDIC-assisted acquisition opportunities steadily decreasing during 2013, we plan to turn our focus to seeking potentially larger and more synergistic acquisition opportunities in the future, while still maintaining an eye toward FDIC-assisted deals that fit our profile. Additionally, the Bank is exploring ways to leverage the success and risk management practices of its warehouse lending program through potential new opportunities, such as a possible correspondent lending origination channel.

As an ever-increasing regulatory burden continues to drive the cost of doing business, we are continuously striving to find new opportunities that supplement our existing franchise, while also looking for ways to provide more of our core products and services in a more efficient manner. It is our pride in the achievements of our past and our confidence in our ability to reach our future goals that allows us to once again say, ‘We were here for you yesterday. We are here for you today. We will be here for you tomorrow,’” concluded Steve Trager.

Republic Bancorp, Inc. has 45 banking centers and is the parent company of Republic Bank & Trust Company (“RB&T”) and Republic Bank (“RB”). RB&T has 34 banking centers in 12 Kentucky communities - Covington, Crestwood, Elizabethtown, Florence, Frankfort, Georgetown, Independence, Lexington, Louisville, Owensboro, Shelbyville and Shepherdsville; three banking centers in southern Indiana – Floyds Knobs, Jeffersonville and New Albany; two banking centers in Tennessee – Cool Springs (Franklin) and Green Hills (Nashville); and one banking center in Bloomington (Minneapolis), Minnesota. RB has banking centers in Hudson, Palm Harbor, Port Richey and Temple Terrace, Florida as well as Blue Ash (Cincinnati), Ohio. Republic offers internet banking at www.republicbank.com. Republic has $3.3 billion in assets and is headquartered in Louisville, Kentucky. 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, future acquisitions, future challenges of growing or maintaining non interest income, net interest income and net interest margin in the Company’s Core Bank operations, the future growth and performance of Republic Processing Group, current expectations and assumptions regarding its business, the economy and other future conditions. 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.

Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual results may differ materially from those contemplated by the forward-looking statements. The Company cautions you therefore against relying on any of these forward-looking statements, which speak only as of the date on which they are made. They are neither statements of historical fact nor guarantees or assurances of future performance. Important factors that could cause actual results to differ materially from those in the forward-looking statements include factors disclosed from time to time in the Company’s filings with the U.S. Securities and Exchange Commission, including those factors set forth as “Risk Factors” in the Company’s Annual Report on Form 10-K for the period ended December 31, 2012 and quarterly report on Form 10-Q for the period ended June 30, 2013. The Company undertakes no obligation to update any forward-looking statements. 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. Financial Information
Third Quarter 2013 Earnings Release
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Balance Sheet Data      
Sept. 30, 2013 Dec. 31, 2012 Sept. 30, 2012
Assets:
Cash and cash equivalents $ 141,585 $ 137,691 $ 96,187
Investment securities 533,681 484,256 581,262
Mortgage loans held for sale 9,803 10,614 3,385
Loans 2,553,435 2,650,197 2,642,357
Allowance for loan losses   (23,492 )   (23,729 )   (24,100 )
Loans, net

2,529,943

2,626,468

2,618,257

Federal Home Loan Bank stock, at cost 28,342 28,377 28,784
Premises and equipment, net 32,626 33,197 32,984
Goodwill 10,168 10,168 10,168
Other real estate owned ("OREO") 15,247 26,203 25,148
Other assets and accrued interest receivable   30,486     37,425     39,601  
Total assets $ 3,331,881   $ 3,394,399   $ 3,435,776  
 
Liabilities and Stockholders' Equity:
Deposits:
Non interest-bearing $ 492,126 $ 479,046 $ 514,893
Interest-bearing   1,527,659     1,503,882     1,540,717  
Total deposits 2,019,785 1,982,928 2,055,610
 
Securities sold under agreements to repurchase and other short-term borrowings 106,373 250,884 169,839
Federal Home Loan Bank advances 587,020 542,600 553,487
Subordinated note 41,240 41,240 41,240
Other liabilities and accrued interest payable   31,953     40,045     57,844  
Total liabilities 2,786,371 2,857,697 2,878,020
 
Stockholders' equity   545,510     536,702     557,756  
Total liabilities and Stockholders' equity $ 3,331,881   $ 3,394,399   $ 3,435,776  
 
 
 
Average Balance Sheet Data
  Three Months Ended Sept. 30,   Nine Months Ended Sept. 30,
2013   2012 2013   2012
Assets:
Investment securities, including FHLB stock $ 530,759 $ 629,542 $ 517,077 $ 666,531
Federal funds sold and other interest-earning cash 113,042 82,404 142,058 277,550
Loans and fees, including loans held for sale 2,576,606 2,520,174 2,583,363 2,453,313
Total earning assets 3,220,407 3,232,120 3,242,498 3,397,394
Total assets 3,339,596 3,322,077 3,381,050 3,593,576
 
Liabilities and Stockholders' Equity:
Non interest-bearing deposits $ 488,386 $ 505,127 $ 516,848 $ 652,498
Interest-bearing deposits 1,513,330 1,462,069 1,513,711 1,513,644

Securities sold under agreements to repurchase and other short-term borrowings

139,293 208,051 163,585 243,168
Federal Home Loan Bank advances 592,735 523,053 577,991 561,072
Subordinated note 41,240 41,240 41,240 41,240
Total interest-bearing liabilities 2,286,598 2,234,413 2,296,527 2,359,124
Stockholders' equity 547,439 539,863 546,513 528,366

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Income Statement Data
  Three Months Ended Sept. 30,   Nine Months Ended Sept. 30,
2013   2012 2013   2012
 
Total interest income(2) $ 34,009 $ 34,128 $ 102,529 $ 147,529
Total interest expense   5,470   5,556     16,093   17,425
 
Net interest income 28,539 28,572 86,436 130,104
 
Provision for loan losses 2,200 2,083 2,480 13,719
 
Non interest income:
Service charges on deposit accounts 3,676 3,438 10,384 10,027
Net refund transfer fees 152 231 13,849 78,127
Mortgage banking income 1,026 2,274 6,480 5,591
Debit card interchange fee income 1,519 1,390 4,986 4,387
Bargain purchase gain - Tennessee Commerce Bank - (189 ) - 27,614
Bargain purchase gain - First Commercial Bank - 27,112 1,324 27,112
Net gain on sales of securities - - - 56
Other   1,166   589     3,824   2,826
Total non interest income   7,539   34,845     40,847   155,740
 
Non interest expenses:
Salaries and employee benefits 12,226 14,921 43,426 46,205
Occupancy and equipment, net 5,462 5,718 16,354 16,936
Communication and transportation 990 1,045 3,011 4,667
Marketing and development 785 828 2,567 2,670
FDIC insurance expense 419 287 1,234 1,008
Bank franchise tax expense 707 729 3,279 3,363
Data processing 934 1,030 2,442 3,446
Debit card processing expense 655 648 2,216 1,909
Supplies 228 270 800 1,748
OREO expense 497 1,328 2,331 2,488
Charitable contributions 225 232 688 3,110
Legal expense 1,343 388 3,111 1,283
FHLB advance prepayment penalty - - - 2,436
Other   1,854   2,338     5,867   7,097
Total non interest expenses   26,325   29,762     87,326   98,366
 
Income before income tax expense 7,553 31,572 37,477 173,759
Income tax expense   2,950   10,904     13,399   61,041
 
Net income $ 4,603 $ 20,668   $ 24,078 $ 112,718

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Selected Data and Statistics
  As of and for the   As of and for the
Three Months Ended September 30, Nine Months Ended September 30,
2013   2012 2013   2012
Per Share Data:
 
Basic average shares outstanding 20,787 20,948 20,811 20,954
Diluted average shares outstanding 20,927 21,029 20,905 21,032
 
End of period shares outstanding:
Class A Common Stock 18,534 18,673 18,534 18,673
Class B Common Stock 2,260 2,271 2,260 2,271
 
Book value per share(3) $ 26.23 $ 26.63 $ 26.23 $ 26.63
Tangible book value per share(3) 25.47 25.88 25.47 25.88
 
Earnings per share:
Basic earnings per Class A Common Stock $ 0.22 $ 0.99 $ 1.16 $ 5.38
Basic earnings per Class B Common Stock 0.21 0.97 1.12 5.34
Diluted earnings per Class A Common Stock 0.22 0.98 1.16 5.36
Diluted earnings per Class B Common Stock 0.21 0.97 1.11 5.32
 
Cash dividends declared per share:
Class A Common Stock $ 0.176 $ 0.165 $ 0.517 $ 0.484
Class B Common Stock 0.160 0.150 0.470 0.440
 
Performance Ratios:
 
Return on average assets 0.55 % 2.49 % 0.95 % 4.18 %
Return on average equity 3.36 15.31 5.87 28.44
Efficiency ratio(4) 73 47 69 34
Yield on average interest-earning assets 4.22 4.22 4.22 5.79
Cost of interest-bearing liabilities 0.96 0.99 0.93 0.98
Net interest spread 3.26 3.23 3.29 4.81
Net interest margin - Total Company 3.54 3.54 3.55 5.11
Net interest margin - Traditional Bank 3.54 3.54 3.57 3.51
 
Other Information:
 
End of period full-time equivalent employees 796 772 796 772
Number of banking centers 45 44 45 44

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Credit Quality Data and Statistics   As of and for the   As of and for the
Three Months Ended September 30, Nine Months Ended September 30,
2013   2012 2013   2012
Credit Quality Asset Balances - Total Company:
 
Loans on non-accrual status $ 18,407 $ 20,436 $ 18,407 $ 20,436
Loans past due 90 days or more and still on accrual   1,839     616     1,839     616  
Total non-performing loans 20,246 21,052 20,246 21,052
OREO   15,247     25,148     15,247     25,148  
Total non-performing assets $ 35,493   $ 46,200   $ 35,493   $ 46,200  
Total delinquent loans $ 15,087 $ 17,892 $ 15,087 $ 17,892
 
Credit Quality Asset Balances - Acquired Banks:
 
Loans on non-accrual status $ 39 $ 22 $ 39 $ 22
Loans past due 90 days or more and still on accrual   1,839     616     1,839     616  
Total non-performing loans 1,878 638 1,878 638
OREO   5,503     12,398     5,503     12,398  
Total non-performing assets $ 7,381   $ 13,036   $ 7,381   $ 13,036  
Total delinquent loans $ 2,921 $ 711 $ 2,921 $ 711
 
Credit Quality Ratios - Total Company:
 
Non-performing loans to total loans 0.79 % 0.80 % 0.79 % 0.80 %
Non-performing assets to total loans (including OREO) 1.38 1.73 1.38 1.73
Non-performing assets to total assets 1.07 1.34 1.07 1.34
Allowance for loan losses to total loans 0.92 0.91 0.92 0.91
Allowance and non-accretable yield to total GCLPR(5) 1.82 2.56 1.82 2.56
Allowance for loan losses to non-performing loans 116 114 116 114
Delinquent loans to total loans(6) 0.59 0.68 0.59 0.68
Net loan charge-offs to average loans (annualized) 0.19 0.08 0.21 0.74
 
Credit Quality Ratios - Core Bank:
 
Non-performing loans to total loans 0.79 % 0.80 % 0.79 % 0.80 %
Non-performing assets to total loans (including OREO) 1.38 1.73 1.38 1.73
Non-performing assets to total assets 1.07 1.34 1.07 1.34
Allowance for loan losses to total loans 0.92 0.91 0.92 0.91
Allowance and non-accretable yield to total GCLPR(5) 1.82 2.56 1.82 2.56
Allowance for loan losses to non-performing loans 116 114 116 114
Delinquent loans to total loans(6) 0.59 0.68 0.59 0.68
Net loan charge-offs to average loans (annualized) 0.19 0.15 0.27 0.36
 
Credit Quality Ratios - Core Bank Excluding Acquired Banks:
 
Non-performing loans to total loans 0.75 % 0.82 % 0.75 % 0.82 %
Non-performing assets to total loans (including OREO) 1.14 1.33 1.14 1.33
Non-performing assets to total assets 0.87 1.04 0.87 1.04
Allowance for loan losses to total loans 0.87 0.97 0.87 0.97
Allowance for loan losses to non-performing loans 115 118 115 118
Delinquent loans to total loans(6) 0.50 0.69 0.50 0.69
Net loan charge-offs to average loans (annualized) 0.25 0.16 0.31 0.36

 

 

Credit Quality Ratios - Acquired Banks:
 
Non-performing loans to total loans 1.77 % 0.40 % 1.77 % 0.40 %
Non-performing assets to total loans (including OREO) 6.61 7.55 6.61 7.55
Non-performing assets to total assets 6.57 5.41 6.57 5.41
Allowance for loan losses to total loans 2.15 - 2.15 -
Allowance and non-accretable yield to total GCLPR(5) 19.32 21.43 19.32 21.43
Allowance for loan losses to non-performing loans 122 - 122 -
Delinquent loans to total loans(6) 2.75 0.44 2.75 0.44

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Balance Sheet Data
  Quarterly Comparison
Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Assets:
Cash and cash equivalents $ 141,585 $ 97,690 $ 207,451 $ 137,691 $ 96,187
Investment securities 533,681 475,500 473,726 484,256 581,262
Mortgage loans held for sale 9,803 24,174 20,726 10,614 3,385
Loans 2,553,435 2,618,029 2,598,642 2,650,197 2,642,357
Allowance for loan losses   (23,492 )   (22,491 )   (23,563 )   (23,729 )   (24,100 )
Loans, net

2,529,943

2,595,538

2,575,079

2,626,468

2,618,257

Federal Home Loan Bank stock, at cost 28,342 28,342 28,342 28,377 28,784
Premises and Equipment, net 32,626 32,629 33,535 33,197 32,984
Goodwill 10,168 10,168 10,168 10,168 10,168
OREO 15,247 15,248 18,689 26,203 25,148
Other assets and interest receivable   30,486     37,776     33,642     37,425     39,601  
Total assets $ 3,331,881   $ 3,317,065   $ 3,401,358   $ 3,394,399   $ 3,435,776  
 
Liabilities and Stockholders' Equity:
Deposits:
Non interest-bearing $ 492,126 $ 487,787 $ 524,149 $ 479,046 $ 514,893
Interest-bearing   1,527,659     1,483,260     1,547,647     1,503,882     1,540,717  
Total deposits 2,019,785 1,971,047 2,071,796 1,982,928 2,055,610
 

Securities sold under agreements to repurchase and other short-term borrowings

106,373 128,532 120,217 250,884 169,839
Federal Home Loan Bank advances 587,020 592,044 572,570 542,600 553,487
Subordinated note 41,240 41,240 41,240 41,240 41,240
Other liabilities and accrued interest payable   31,953     40,135     52,800     40,045     57,844  
Total liabilities 2,786,371 2,772,998 2,858,623 2,857,697 2,878,020
 
Stockholders' equity   545,510     544,067     542,735     536,702     557,756  
Total liabilities and Stockholders' equity $ 3,331,881   $ 3,317,065   $ 3,401,358   $ 3,394,399   $ 3,435,776  
 
 
 
Average Balance Sheet Data
Quarterly Comparison
Sept. 30, 2013 June 30, 2013 March 31, 2013 Dec. 31, 2012 Sept. 30, 2012
Assets:
Investment securities, including FHLB stock $ 530,759 $ 511,225 $ 509,006 $ 564,272 $ 629,542
Federal funds sold and other interest-earning cash 113,042 127,696 186,237 106,359 82,404
Loans and fees, including loans held for sale 2,576,606 2,590,643 2,582,932 2,650,267 2,520,174
Total earning assets 3,220,407 3,229,564 3,278,175 3,320,898 3,232,120
Total assets 3,339,596 3,355,109 3,449,641 3,448,191 3,322,077
 
Liabilities and Stockholders' Equity:
Non interest-bearing deposits $ 488,386 $ 492,442 $ 570,619 $ 542,973 $ 505,127
Interest-bearing deposits 1,513,330 1,515,878 1,511,906 1,505,108 1,462,069

Securities sold under agreements to repurchase and other short-term borrowings

139,293 149,237 202,924 220,279 208,051
Federal Home Loan Bank advances 592,735 588,712 552,080 570,147 523,053
Subordinated note 41,240 41,240 41,240 41,240 41,240
Total interest-bearing liabilities 2,286,598 2,295,067 2,308,150 2,336,774 2,234,413
Stockholders' equity 547,439 548,644 543,506 534,724 539,863

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Income Statement Data
  Three Months Ended
Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
 
Total interest income(2) $ 34,009 $ 34,119 $ 34,401 $ 35,930 $ 34,128
Total interest expense   5,470   5,352   5,271     5,379   5,556  
Net interest income 28,539 28,767 29,130 30,551 28,572
 
Provision for loan losses 2,200 905 (625 ) 1,324 2,083
 
Non interest income:
Service charges on deposit accounts 3,676 3,498 3,210 3,469 3,438
Net refund transfer fees 152 1,683 12,014 177 231
Mortgage banking income 1,026 2,180 3,274 2,856 2,274
Debit card interchange fee income 1,519 1,656 1,811 1,430 1,390
Bargain purchase gain - TCB - - - - (189 )
Bargain purchase gain - FCB - - 1,324 712 27,112
Other   1,166   1,766   892     694   589  
Total non interest income   7,539   10,783   22,525     9,338   34,845  
 
Non interest expenses:
Salaries and employee benefits 12,226 15,086 16,114 14,428 14,921
Occupancy and equipment, net 5,462 5,315 5,577 5,538 5,718
Communication and transportation 990 991 1,030 1,139 1,045
Marketing and development 785 880 902 759 828
FDIC insurance expense 419 402 413 395 287
Bank franchise tax expense 707 857 1,715 553 729
Data processing 934 792 716 863 1,030
Debit card processing expense 655 718 843 553 648
Supplies 228 218 354 366 270
OREO expense 497 945 889 1,049 1,328
Charitable contributions 225 227 236 231 232
Legal expense 1,343 1,338 430 583 388
Other   1,854   1,930   2,083     1,922   2,338  
Total non interest expenses   26,325   29,699   31,302     28,379   29,762  
 
Income before income tax expense 7,553 8,946 20,978 10,186 31,572
Income tax expense   2,950   2,827   7,622     3,565   10,904  
 
Net income $ 4,603 $ 6,119 $ 13,356   $ 6,621 $ 20,668  

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Selected Data and Statistics
  As of and for the Three Months Ended
Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Per Share Data:
 
Basic average shares outstanding 20,787 20,782 20,864 20,971 20,948
Diluted average shares outstanding 20,927 20,858 20,933 21,020 21,029
 
End of period shares outstanding:
Class A Common Stock 18,534 18,522 18,513 18,694 18,673
Class B Common Stock 2,260 2,260 2,264 2,271 2,271
 
Book value per share(3) $ 26.23 $ 26.18 $ 26.12 $ 25.60 $ 26.63
Tangible book value per share(3) 25.47 25.42 25.38 24.86 25.88
 
Earnings per share:
Basic earnings per Class A Common Stock $ 0.22 $ 0.30 $ 0.64 $ 0.33 $ 0.99
Basic earnings per Class B Common Stock 0.21 0.28 0.63 0.21 0.97
Diluted earnings per Class A Common Stock 0.22 0.30 0.64 0.33 0.98
Diluted earnings per Class B Common Stock 0.21 0.28 0.62 0.21 0.97
 
Cash dividends declared per share:
Class A Common Stock $ 0.176 $ 0.176 $ 0.165 $ 1.265 $ 0.165
Class B Common Stock 0.160 0.160 0.150 1.150 0.150
 
Performance Ratios:
 
Return on average assets 0.55 % 0.73 % 1.55 % 0.77 % 2.49 %
Return on average equity 3.36 4.46 9.83 4.95 15.31
Efficiency ratio(4) 73 75 61 71 47
Yield on average interest-earning assets 4.22 4.23 4.20 4.33 4.22
Cost of interest-bearing liabilities 0.96 0.93 0.91 0.92 0.99
Net interest spread 3.26 3.30 3.29 3.41 3.23
Net interest margin - Total Company 3.54 3.56 3.55 3.68 3.54
Net interest margin - Traditional Bank 3.54 3.57 3.60 3.69 3.54
 
Other Information:
 
End of period full-time equivalent employees 796 791 797 797 772
Number of banking centers 45 44 44 44 44

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)
(all amounts other than per share amount, number of employees and number of banking centers are expressed in thousands unless otherwise noted)

 
Credit Quality Data and Statistics
  As of and for the Three Months Ended
Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Credit Quality Asset Balances - Total Company:
Loans on non-accrual status $ 18,407 $ 21,922 $ 18,161 $ 18,506 $ 20,436
Loans past due 90 days or more and still on accrual   1,839     2,159     2,752     3,173     616  
Total non-performing loans 20,246 24,081 20,913 21,679 21,052
OREO   15,247     15,248     18,689     26,203     25,148  
Total non-performing assets $ 35,493   $ 39,329   $ 39,602   $ 47,882   $ 46,200  
Total delinquent loans $ 15,087 $ 16,197 $ 19,813 $ 20,844 $ 17,892
 
Credit Quality Asset Balances - Acquired Banks:
Loans on non-accrual status $ 39 $ 21 $ 24 $ - $ 22
Loans past due 90 days or more and still on accrual   1,839     2,159     2,752     3,173     616  
Total non-performing loans 1,878 2,180 2,776 3,173 638
OREO   5,503     6,113     10,346     14,498     12,398  
Total non-performing assets $ 7,381   $ 8,293   $ 13,122   $ 17,671   $ 13,036  
Total delinquent loans $ 2,921 $ 3,466 $ 3,846 $ 5,967 $ 711
 
Credit Quality Ratios - Total Company:
Non-performing loans to total loans 0.79 % 0.92 % 0.80 % 0.82 % 0.80 %
Non-performing assets to total loans (including OREO) 1.38 1.49 1.51 1.79 1.73
Non-performing assets to total assets 1.07 1.19 1.16 1.41 1.34
Allowance for loan losses to total loans 0.92 0.86 0.91 0.90 0.91
Allowance and non-accretable yield to total GCLPR(5) 1.82 1.96 2.12 2.34 2.56
Allowance for loan losses to non-performing loans 116 93 113 109 114
Delinquent loans to total loans(6) 0.59 0.62 0.76 0.79 0.68
Net loan charge-offs to average loans (annualized) 0.19 0.31 (0.07 ) 0.26 0.08
 
Credit Quality Ratios - Core Bank:
Non-performing loans to total loans 0.79 % 0.92 % 0.80 % 0.82 % 0.80 %
Non-performing assets to total loans (including OREO) 1.38 1.49 1.51 1.79 1.73
Non-performing assets to total assets 1.07 1.19 1.16 1.41 1.34
Allowance for loan losses to total loans 0.92 0.86 0.91 0.90 0.91
Allowance and non-accretable yield to total GCLPR(5) 1.82 1.96 2.12 2.34 2.56
Allowance for loan losses to non-performing loans 116 93 113 109 114
Delinquent loans to total loans(6) 0.59 0.62 0.76 0.79 0.68
Net loan charge-offs to average loans (annualized) 0.19 0.33 0.02 0.31 0.15
 
Credit Quality Ratios - Core Bank Excluding Acquired Banks:
Non-performing loans to total loans 0.75 % 0.87 % 0.73 % 0.74 % 0.82 %
Non-performing assets to total loans (including OREO) 1.14 1.23 1.07 1.20 1.33
Non-performing assets to total assets 0.87 0.97 1.81 0.95 1.04
Allowance for loan losses to total loans 0.87 0.85 0.94 0.94 0.97
Allowance for loan losses to non-performing loans 115 98 129 127 118
Delinquent loans to total loans(6) 0.50 0.51 0.64 0.59 0.69
Net loan charge-offs to average loans (annualized) 0.25 0.35 0.02 0.33 0.16
 
Credit Quality Ratios - Acquired Banks:
Non-performing loans to total loans 1.77 % 1.95 % 2.26 % 2.29 % 0.40 %
Non-performing assets to total loans (including OREO) 6.61 7.04 9.85 11.54 7.55
Non-performing assets to total assets 6.57 7.04 8.87 8.73 5.41
Allowance for loan losses to total loans 2.15 0.95 0.17 0.15 -
Allowance and non-accretable yield to total GCLPR(5) 19.32 21.34 20.60 21.77 21.43
Allowance for loan losses to non-performing loans 122 49 8 7 -
Delinquent loans to total loans(6) 2.75 3.10 3.13 4.30 0.44
 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)

Segment Data:

Reportable segments are determined by the type of products and services offered and the level of information provided to the chief operating decision maker, who uses such information to review performance of various components of the business (such as branches and subsidiary banks), which are then aggregated if operating performance, products/services, and customers are similar.

As of September 30, 2013, the Company was divided into three distinct business operating segments: Traditional Banking, Mortgage Banking and Republic Processing Group (“RPG”). During 2012, the Company realigned the previously reported Tax Refund Solutions (“TRS”) segment as a division of the RPG segment. Along with the TRS division, Republic Payment Solutions (“RPS”) and Republic Credit Solutions (“RCS”) were created to operate as divisions of RPG segment.

Nationally, through RB&T, RPG facilitates the receipt and payment of federal and state tax refund products under the TRS division. Nationally, through RB, the RPS division is an issuing bank offering general purpose reloadable prepaid debit cards through third party program managers. Nationally, through RB&T, the RCS division preparing to pilot short-term consumer credit products through multiple channels, including the internet and retail locations.

For the projected near-term, as programs are being established, the operating results of these divisions are expected to be immaterial to the Company’s overall results of operations and will be reported as part of the RPG business operating segment. The RPS and RCS divisions will not be reported as separate business operating segments until such time, if any, that they become material to the Company’s overall results of operations.

Loans, investments and deposits provide the majority of the net revenue from Traditional Banking operations, while servicing fees and loan sales provide the majority of revenue from Mortgage Banking operations. Prior to 2013, Refund Anticipation Loan (“RAL”) fees and net Refund Transfer (“RT”) fees provided the majority of the revenue for RPG. In 2013, net RT fees have provided, and are expected to continue to provide going forward, the majority of revenues for RPG, as the Company no longer offers RALs. All Company operations are domestic.

The accounting policies used for Republic’s reportable segments are the same as those described in the summary of significant accounting policies in the Company’s 2012 Annual Report on Form 10-K. Segment performance is evaluated using operating income. Goodwill is not allocated. Income taxes which are not segment specific are allocated based on income before income tax expense. Transactions among reportable segments are made at fair value.

Segment information for the three and nine months ended September 30, 2013 and 2012 follows:

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)

 
    Three Months Ended September 30, 2013
(dollars in thousands)    

Traditional

Banking

   

Mortgage

Banking

   

Republic

Processing Group

   

Total Company

           
Net interest income $ 28,390 $ 130 $ 19 $ 28,539
 
Provision for loan losses 2,257 - (57 ) 2,200
 
Net refund transfer fees - - 152 152
Mortgage banking income - 1,026 - 1,026
Other non interest income   6,243         19       99         6,361  
Total non interest income 6,243 1,045 251 7,539
 
Total non interest expenses   22,237         768       3,320         26,325  
 
Income before income tax expense 10,139 407 (2,993 ) 7,553
Income tax expense   3,856         142       (1,048 )       2,950  
Net income $ 6,283       $ 265     $ (1,945 )     $ 4,603  
 
Segment end of period assets $ 3,305,689 $ 15,697 $ 10,495 $ 3,331,881
 
Net interest margin 3.54 % NM NM 3.54 %
 
 
 
Three Months Ended September 30, 2012
(dollars in thousands)    

Traditional

Banking

   

Mortgage

Banking

   

Republic

Processing Group

    Total Company
 
Net interest income $ 28,444 $ 110 $ 18 $ 28,572
 
Provision for loan losses 2,543 - (460 ) 2,083
 
Net refund transfer fees - - 231 231
Mortgage banking income - 2,274 - 2,274
Total bargain purchase gains 26,923 - - 26,923
Other non interest income   5,387         11       19         5,417  
Total non interest income 32,310 2,285 250 34,845
 
Total non interest expenses   26,118         851       2,793         29,762  
 
Income before income tax expense 32,093 1,544 (2,065 ) 31,572
Income tax expense   11,145         541       (782 )       10,904  
Net income $ 20,948       $ 1,003     $ (1,283 )     $ 20,668  
 
Segment end of period assets $ 3,413,293 $ 8,765 $ 13,718 $ 3,435,776
 
Net interest margin 3.54 % NM NM 3.54 %

 
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)

 
    Nine Months Ended September 30, 2013
(dollars in thousands)    

Traditional

Banking

   

Mortgage

Banking

   

Republic

Processing Group

   

Total Company

           
Net interest income $ 85,957 $ 388 $ 91 $ 86,436
 
Provision for loan losses 3,276 - (796 ) 2,480
 
Net refund transfer fees - - 13,849 13,849
Mortgage banking income - 6,480 - 6,480
Bargain purchase gain - FCB 1,324 - - 1,324
Other non interest income   18,300         102       792         19,194  
Total non interest income 19,624 6,582 14,641 40,847
 
Total non interest expenses   72,862         2,537       11,927         87,326  
 
Income before income tax expense 29,443 4,433 3,601 37,477
Income tax expense   10,588         1,551       1,260         13,399  
Net income $ 18,855       $ 2,882     $ 2,341       $ 24,078  
 
Segment end of period assets $ 3,305,689 $ 15,697 $ 10,495 $ 3,331,881
 
Net interest margin 3.57 % NM NM 3.55 %
 
 
 
Nine Months Ended September 30, 2012
(dollars in thousands)    

Traditional

Banking

   

Mortgage

Banking

   

Republic

Processing Group

   

Total Company

 
Net interest income $ 84,406 $ 283 $ 45,415 $ 130,104
 
Provision for loan losses 6,505 - 7,214 13,719
 
Net refund transfer fees - - 78,127 78,127
Mortgage banking income - 5,591 - 5,591

Net gain on sales, calls and impairment of securities

56 - - 56
Total bargain purchase gains 54,726 - - 54,726
Other non interest income   17,005         27       208         17,240  
Total non interest income 71,787 5,618 78,335 155,740
 
Total non interest expenses   76,752         2,928       18,686         98,366  
 
Income before income tax expense 72,936 2,973 97,850 173,759
Income tax expense   25,150         1,041       34,850         61,041  
Net income $ 47,786       $ 1,932     $ 63,000       $ 112,718  
 
Segment end of period assets $ 3,413,293 $ 8,765 $ 13,718 $ 3,435,776
 
Net interest margin 3.51 % NM NM 5.11 %
 
 

Republic Bancorp, Inc. Financial Information
Third Quarter 2013 Earnings Release (continued)

_____________________________________
(1) – The following table provides a reconciliation of income before income tax, income tax expense, net income, diluted earnings per Class A Share, ROA and ROE in accordance with U.S. generally accepted accounting principles (“GAAP”) to these figures adjusted to exclude the impact of bargain purchase gains. The Company presents these non-GAAP adjusted figures to improve comparability between reporting periods.

 
  Three Months Ended Sept. 30,   Nine Months Ended Sept. 30,
2013   2012 2013   2012
 
Income before income tax expense - Adjusted $ 7,553 $ 4,649 $ 36,153 $ 119,033
Bargain purchase gain - TCB - (189 ) - 27,614
Bargain purchase gain - FCB   -     27,112     1,324     27,112  
Income before income tax expense - GAAP   7,553     31,572     37,477     173,759  
 
Income tax expense - Adjusted $ 2,950 $ 1,481 $ 12,922 $ 41,887
Income taxes for bargain purchase gain - TCB - (66 ) - 9,665
Income taxes for bargain purchase gain - FCB   -     9,489     477     9,489  
Income tax expense - GAAP $ 2,950   $ 10,904   $ 13,399   $ 61,041  
 
 
Net income - Adjusted $ 4,603 $ 3,168 $ 23,231 $ 77,146
Impact of bargain purchase gain - TCB - (123 ) - 17,949
Impact of bargain purchase gain - FCB   -     17,623     847     17,623  
Net income - GAAP $ 4,603   $ 20,668   $ 24,078   $ 112,718  
 
Diluted Earnings per Class A Share - Adjusted $ 0.22 $ 0.15 $ 1.12 $ 3.67
Impact of bargain purchase gain - TCB - (0.01 ) - 0.85
Impact of bargain purchase gain - FCB   -     0.84     0.04     0.84  
Diluted Earnings per Class A Share - GAAP $ 0.22   $ 0.98   $ 1.16   $ 5.36  
 
Return on Average Assets - Adjusted 0.55 % 0.38 % 0.92 % 2.86 %
Impact of bargain purchase gain - TCB 0.00 -0.01 0.00 0.67
Impact of bargain purchase gain - FCB 0.00 2.12 0.03 0.65
Return on Average Assets - GAAP 0.55 % 2.49 % 0.95 % 4.18 %
 
Return on Average Equity - Adjusted 3.36 % 2.34 % 5.66 % 19.46 %
Impact of bargain purchase gain - TCB 0.00 -0.09 0.00 4.53
Impact of bargain purchase gain - FCB 0.00 13.06 0.21 4.45
Return on Average Equity - GAAP 3.36 % 15.31 % 5.87 % 28.44 %
 
 

(2) – The amount of loan fee income included in total interest income was $3.3 million and $1.1 million for the quarters ended September 30, 2013 and 2012. The amount of loan fee income included in total interest income was $8.8 million and $48.4 million for the nine months ended September 30, 2013 and 2012.

The amount of loan fee income included in total interest income per quarter was as follows: $3.3 million (quarter ended September 30, 2013), $3.0 million (quarter ended June 30, 2013), $2.6 million (quarter ended March 31, 2013), $2.4 million (quarter ended December 31, 2012, and $1.1 million (quarter ended September 30, 2012).

(3) – The following table provides a reconciliation of total stockholders’ equity in accordance with GAAP to tangible stockholders’ equity in accordance with applicable regulatory requirements. The Company provides the tangible common equity ratio, in addition to those defined by banking regulators, because of its widespread use by investors as a means to evaluate capital adequacy.

 
  Quarterly Comparison
(in thousands, except per share data) Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Total stockholders' equity (a) $ 545,510 $ 544,067 $ 542,735 $ 536,702 $ 557,756
Less: Goodwill 10,168 10,168 10,168 10,168 10,168
Less: Core deposit intangible 289 388 454 510 589
Less: Mortgage servicing rights   5,482     5,305     4,858     4,777     4,980  

Tangible stockholders' equity (c)

$ 529,571   $ 528,206   $ 527,255   $ 521,247   $ 542,019  
 
Total assets (b) $ 3,331,881 $ 3,317,065 $ 3,401,358 $ 3,394,399 $ 3,435,776
Less: Goodwill 10,168 10,168 10,168 10,168 10,168
Less: Core deposit intangible 289 388 454 510 589
Less: Mortgage servicing rights   5,482     5,305     4,858     4,777     4,980  

Tangible assets (d)

$ 3,315,942   $ 3,301,204   $ 3,385,878   $ 3,378,944   $ 3,420,039  
 
Total stockholders' equity to total assets (a/b) 16.37 % 16.40 % 15.96 % 15.81 % 16.23 %
Tangible stockholders' equity to tangible assets (c/d) 15.97 % 16.00 % 15.57 % 15.43 % 15.85 %
 
Number of shares outstanding (e)   20,794     20,782     20,777     20,965     20,944  
 
Book value per share (a/e) $ 26.23 $ 26.18 $ 26.12 $ 25.60 $ 26.63
Tangible book value per share (c/e) 25.47 25.42 25.38 24.86 25.88
 

(4) – Equals total non-interest expense divided by the sum of net interest income and noninterest income. The ratio excludes net gain (loss) on sales, calls and impairment of investment securities.

(5) – The following tables reflect the calculation of the allowance for loan losses plus non-accretable yield on purchased, credit impaired loans as a percentage of total gross contractual loan principal receivable (“GCLPR”). While this ratio is not considered in accordance with GAAP, it provides additional insight regarding the Bank’s ability to absorb impairment of contractual loan principal receivable.

 
  Quarterly Comparison - Total Company

(dollars in thousands)

Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Allowance for loan losses $ 23,492 $ 22,491 $ 23,563 $ 23,729 $ 24,100
Non-accretable yield   23,522     29,478     32,339     39,264     44,660  
Total (f) $ 47,014   $ 51,969   $ 55,902   $ 62,993   $ 68,760  
 
Total loans $ 2,553,435 $ 2,618,029 $ 2,598,642 $ 2,650,197 $ 2,642,357
Non-accretable yield 23,522 29,478 32,339 39,264 44,660
Accretable yield   3,796     1,986     2,742     3,465     3,419  
Total GCLPR (g) $ 2,580,753   $ 2,649,493   $ 2,633,723   $ 2,692,926   $ 2,690,436  
 

Allowance and non-accretable yield to total GCLPR (f/g)

1.82 % 1.96 % 2.12 % 2.34 % 2.56 %
 
 
  Quarterly Comparison - Acquired Banks Only
(dollars in thousands) Sept. 30, 2013   June 30, 2013   March 31, 2013   Dec. 31, 2012   Sept. 30, 2012
Allowance for loan losses $ 2,283 $ 1,063 $ 214 $ 214 $ -
Non-accretable yield 23,522 29,478 32,339 39,264 44,660
Total (h) $ 25,805 $ 30,541 $ 32,553 $ 39,478 $ 44,660
 
Total loans $ 106,220 $ 111,629 $ 122,921 $ 138,616 $ 160,341
Non-accretable yield 23,522 29,478 32,339 39,264 44,660
Accretable yield 3,796 1,986 2,742 3,465 3,419
Total GCLPR (i) $ 133,538 $ 143,093 $ 158,002 $ 181,345 $ 208,420
 

Allowance and non-accretable yield to total GCLPR (h/i)

19.32% 21.34% 20.60% 21.77% 21.43%
 
 

(6) – Equals total loans exceeding 30 days past due divided by total loans.

NA – Not applicable
NM – Not meaningful

Contacts

Republic Bancorp, Inc.
Kevin Sipes, 502-560-8628
Executive Vice President and Chief Financial Officer

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Contacts

Republic Bancorp, Inc.
Kevin Sipes, 502-560-8628
Executive Vice President and Chief Financial Officer