Exhibit 99.1 Capital City Bank Group, Inc.'s Press Release, dated
October 27 2005
[CCBG LOGO] For Information Contact:
Corporate Headquarters J. Kimbrough Davis
217 North Monroe Street Executive Vice President
Tallahassee, FL 32301 Chief Financial Officer
850-671-0431
News Release
For Immediate Release October 27, 2005
CAPITAL CITY BANK GROUP, INC. REPORTS
THIRD QUARTER EARNINGS OF $0.46 PER DILUTED SHARE,
UP 15.0% FROM 2004 (BEFORE ONE-TIME GAIN)(1)
HIGHLIGHTS
* Quarterly earnings totaled $8.6 million, or $0.46 per share, an increase
of 29.8% and 15.0%, respectively, over the third quarter of 2004.
* Strong growth in operating revenues as reflected by 36.5% growth in net
interest income and 20.8% increase in noninterest income.
* Continued improvement in net interest margin as reflected by a 23 basis
point improvement over the third quarter of 2004 and a 10 basis point
improvement over the second quarter of 2005.
* Continued strong credit quality as reflected by a nonperforming asset
ratio of .36% and an annualized net charge-off ratio of .08%.
* Well capitalized with a risk based capital ratio of 12.35%.
EARNINGS HIGHLIGHTS
- ----------------------------------------------------------------------------------------------------------
Three Months Ended Nine Months Ended
-------------------------------- --------------------
Sept. 30, June 30, Sept. 30, Sept. 30, Sept. 30,
(Dollars in thousands, except per share data)(2) 2005 2005 2004 2005 2004
- ----------------------------------------------------------------------------------------------------------
EARNINGS
Net Income $ 8,577 7,868 10,819 22,822 22,109
Diluted Earnings Per Common Share $ 0.46 0.44 0.66 1.26 1.34
- ----------------------------------------------------------------------------------------------------------
PERFORMANCE
Return on Average Equity 11.31% 11.35 19.81 10.89 13.98
Return on Average Assets 1.32 1.28 2.22 1.25 1.55
Net Interest Margin 5.17 5.07 4.94 5.05 4.93
Noninterest Income as % of Operating Revenue 31.15 30.75 45.47 30.99 38.47
Efficiency Ratio 63.60 63.56 52.60 64.64 60.73
- ----------------------------------------------------------------------------------------------------------
CAPITAL ADEQUACY
Tier 1 Capital Ratio 12.35% 11.96 11.81 12.35 11.81
Total Capital Ratio 13.29 12.91 12.62 13.29 12.62
Leverage Ratio 10.20 9.28 9.17 10.20 9.17
Equity to Assets 11.67 11.23 11.22 11.67 11.22
- --------------------------------------------------------------------------------------------------------
(1) Analysis of quarterly earnings performance excludes from 2004 revenues, a one-time non-recurring
pre-tax gain of $6.9 million ($4.2 million after-tax) recognized from the sale of the bank's credit
card portfolio during the third quarter of 2004.
(2) All share and per share data have been restated to reflect the 5-for-4 stock split effective
July 1, 2005.
1
- --------------------------------------------------------------------------------------------------------
Three Months Ended Nine Months Ended
-------------------------------- --------------------
Sept. 30, June 30, Sept. 30, Sept. 30, Sept. 30,
(Dollars in thousands, except per share data)(2) 2005 2005 2004 2005 2004
- ----------------------------------------------------------------------------------------------------------
ASSET QUALITY
Allowance as % of Non-Performing Loans 342.79% 289.12 261.91 342.79 261.91
Allowance as a % of Loans 0.85 0.85 0.80 0.85 0.80
Net Charge-Offs as % of Average Loans 0.08 0.08 0.22 0.08 0.22
Nonperforming Assets as % of Loans and ORE 0.36 0.30 0.36 0.36 0.36
- ----------------------------------------------------------------------------------------------------------STOCK PERFORMANCE
High $ 38.72 33.46 32.96 38.72 36.44
Low 31.78 28.02 26.66 28.02 26.66
Close $ 37.71 32.32 30.97 37.71 30.97
Average Daily Trading Volume 18,024 23,792 13,065 20,946 12,949
- ----------------------------------------------------------------------------------------------------------
(2) All share and per share data have been restated to reflect the 5-for-4 stock split effective
July 1, 2005.
Capital City Bank Group, Inc. (NASDAQ: CCBG) reported earnings for the third
quarter totaling $8.6 million, or $0.46 per diluted share. This compares to
$10.8 million, or $0.66 per diluted share, in the third quarter of 2004,
which included a one-time after-tax gain of $4.2 million, or $.26 per diluted
share, from the sale of the bank's credit card portfolio. Core earnings
(reported earnings excluding the after-tax gain) increased 29.8% and 15.0% on
a dollar and per diluted share basis, respectively. The Return on Average
Assets was 1.32% and the Return on Average Equity was 11.31%, compared to
1.35% and 12.10%, respectively, for the comparable period in 2004.
The growth in core earnings was attributable to an increase in operating
revenue (defined as net interest income plus noninterest income less the pre-
tax gain) of $10.0 million, or 31.2%, partially offset by an increase in
noninterest expense of $7.0 million, or 32.2%, and a higher income tax
provision of $1.0 million, or 27.6%. The increase in operating revenues
reflects a 36.5% increase in net interest income and a 20.8% increase in
noninterest income. Net interest income increased as a result of earning
asset growth and an improved net interest margin. Higher deposit service
charge fees, mortgage banking fees, and merchant fees drove the increase in
noninterest income. The increase in noninterest expense is primarily
attributable to higher operating costs associated with the integration of two
recent acquisitions, which added 12 new offices to the Capital City
franchise, and marketing costs supporting the Company's new "Absolutely Free
Checking" product.
William G. Smith, Jr., Chairman, President and CEO, stated "Our third quarter
earnings reflect solid performance across the Company as earning assets grew,
margins expanded and credit losses remained at historically low levels.
Capital City's new checking account strategy continues to gain traction and
in September we introduced "Absolutely Free Business Checking." We
anticipate competition for deposits will continue to intensify and our
challenge as we enter the fourth quarter of 2005 and 2006 will be to balance
the trade-off between deposit growth and the rising cost of funds."
Taxable equivalent net interest income in the third quarter increased $7.8
million, or 36.3%, and $1.9 million, or 7.1%, as compared to the third
quarter of 2004 and the second quarter of 2005, respectively. Improvement
was driven by growth from acquisitions, strong loan growth in existing
markets, and an improvement in the net interest margin. The net interest
margin improved 23 basis points from the third quarter of 2004 to a level of
5.17%, and 10 basis points from the prior
2
quarter, primarily attributable to higher asset yields resulting from the
continued Fed rate increases. A slight increase in net interest income
during the fourth quarter is anticipated as higher rates on new production
and repricing of existing earning assets will increase interest income.
Management expects higher interest expense primarily due to the increased
competition for deposits and the continued pressure in most markets to
increase rates resulting from the Fed rate hikes.
Provision for loan losses of $376,000 for the quarter was slightly higher
than the third quarter of 2004. The provision for the quarter was slightly
lower than net charge-offs, which totaled $403,000, or .08%, of average loans
for the quarter compared to $829,000, or .22%, for the third quarter of 2004.
The lower level of net charge-offs in the third quarter of 2005 is due to the
August 2004 sale of the credit card portfolio, which previously accounted for
a significant portion of the bank's charge-offs. At quarter-end, the
allowance for loan losses was .85% of outstanding loans and provided coverage
of 343% of nonperforming loans.
Noninterest income (excluding the gain on sale of credit card portfolio)
increased $2.3 million, or 20.8%, from the third quarter of 2004 primarily
due to higher deposit service charge fees, mortgage banking fees, and
merchant fees. The increase in deposit service charge fees is due to the
growth in deposit accounts attributable to recent acquisitions, and
"Absolutely Free Checking," which was launched in early 2005. Higher
mortgage banking revenues is reflective of lower than normal production in
the third quarter of 2004 due to a general slow-down in the residential
lending market. Lending activity picked up momentum early in the second
quarter of 2005 and resulted in improved performance for the third quarter.
The improvement in merchant fees directly correlates with the growth in
merchant card processing volume.
Noninterest expense grew by $7.0 million, or 32.2%, compared to the third
quarter of 2004. Higher expense for compensation, occupancy, advertising,
printing and supplies, telephone, and intangible amortization were the
primary reasons for the increase. The increase in compensation was driven by
higher expense for associate salaries, pension, and insurance benefits,
primarily reflective of the integration of associates from the acquisitions
in late 2004 and mid-2005. The increase in occupancy was driven by higher
expense for depreciation, maintenance and repair, and property taxes,
primarily attributable to the increase in the number of banking offices, and
higher expense for core processing and other software maintenance agreements.
The increase in advertising expense is reflective of the marketing support
costs for the "Absolutely Free Checking" campaign. Higher expense for
printing and supplies and telephone is also attributable to the
aforementioned acquisitions and increase in the number of banking offices.
The increase in intangible amortization reflects core deposit amortization
from recent acquisitions.
Average earning assets for the quarter increased $516.2 million, or 29.8%,
over the comparable quarter in 2004. The increase in earning assets is
primarily attributable to an increase in average loans of $522.6 million
reflecting acquisitions and strong organic loan growth.
Nonperforming assets of $7.4 million increased from the third quarter of 2004
by $1.8 million and represented .36% of total loans and other real estate at
quarter-end. This compares to .36% and .29%, respectively, for the third and
fourth quarters of 2004. The increase in the level of nonperforming assets
is primarily due to one large commercial real estate property currently
classified as other real estate. Management expects no significant loss upon
the disposition of this asset.
3
Average total deposits increased $468.2 million, or 30.3%, from the third
quarter of 2004, driven by a $183.3 million increase in NOW deposits and a
$133.9 million increase in certificates of deposit. These increases are
primarily reflective of recent acquisitions and new NOW accounts acquired as
part of the "Absolutely Free Checking" campaign.
The Company ended the third quarter with approximately $21.9 million in
average net overnight funds purchased as compared to $10.5 million in net
overnight funds sold in the third quarter of 2004 and $13.2 million in net
overnight funds sold for the prior quarter. The decline from the third
quarter of 2004 is primarily reflective of the Company's significant loan
growth and the decline from the prior quarter is primarily due to a seasonal
variation in public funds deposits and some deposit run-off expected from
recent acquisitions.
About Capital City Bank Group, Inc.
Capital City Bank Group, Inc. (NASDAQ: CCBG) is one of the largest financial
services companies headquartered in Florida and has more than $2.5 billion in
assets. The Company provides a full range of banking services, including
traditional deposit and credit services, asset management, trust, mortgage
banking, bankcards, data processing and securities brokerage services. The
company's bank subsidiary, Capital City Bank, was founded in 1895 and now has
68 banking offices, six mortgage lending offices, 77 ATMs and 11 Bank 'N Shop
locations in Florida, Georgia and Alabama. In 2005, Mergent, Inc., a leading
provider of information on publicly traded companies, named the company as a
Dividend Achiever, a list of public companies that have increased their
regular cash dividends for at least 10 consecutive years. Of all U.S.
companies that pay dividends, less than three percent made this list. For
more information about Capital City Bank Group, Inc., visit www.ccbg.com.
FORWARD-LOOKING STATEMENTS
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of
1995: The matters discussed in this press release, that are not historical
facts, contain forward-looking information with respect to strategic
initiatives. Such forward-looking statements are based on current plans and
expectations, which are subject to a number of uncertainties and risks that
have been described in Capital City Bank Group's annual report on Form 10-K
for the fiscal year ended December 31, 2004, and the Company's other filings
with the Securities and Exchange Commission. These uncertainties and risks
could cause future results to differ materially from those anticipated by
such statements.
4
CAPITAL CITY BANK GROUP, INC.
CONSOLIDATED STATEMENT OF INCOME
Unaudited
- ----------------------------------------------------------------------------------------------------------------------------
2005 2004 Nine Months Ended
------------------------------ ------------------- June 30,
Third Second First Fourth Third ------------------
(Dollars in thousands, except per share data)(1) Quarter Quarter Quarter Quarter Quarter 2005 2004
- ----------------------------------------------------------------------------------------------------------------------------
INTEREST INCOME
Interest and Fees on Loans $ 35,331 32,105 28,842 28,097 23,316 96,278 67,510
Interest on Investment Securities 1,437 1,447 1,473 1,485 1,197 4,357 3,600
Interest on Funds Sold 121 358 159 348 147 638 485
- ----------------------------------------------------------------------------------------------------------------------------
Total Interest Income 36,889 33,910 30,474 29,930 24,660 101,273 71,595
- ----------------------------------------------------------------------------------------------------------------------------
INTEREST EXPENSE
Interest on Deposits 5,480 4,618 4,309 4,102 2,434 14,407 7,213
Interest on Short-term Borrowings 691 734 450 402 332 1,875 868
Interest on Subordinated Note Payable 931 667 441 294 - 2,039 -
Interest on Other Long-term Borrowings 783 769 720 836 642 2,272 1,726
- ----------------------------------------------------------------------------------------------------------------------------
Total Interest Expense 7,885 6,788 5,920 5,634 3,408 20,593 9,807
- ----------------------------------------------------------------------------------------------------------------------------
Net Interest Income 29,004 27,122 24,554 24,296 21,252 80,680 61,788
Provision for Loan Losses 376 388 410 300 300 1,174 1,841
- ----------------------------------------------------------------------------------------------------------------------------
Net Interest Income after Provision for Loan Losses 28,628 26,734 24,144 23,996 20,952 79,506 59,947
============================================================================================================================
NONINTEREST INCOME
Service Charge Revenue 5,635 5,035 4,348 4,716 4,487 15,018 12,858
Data Processing Revenue 660 650 607 640 652 1,917 1,988
Fees for Trust Services 1,050 1,013 1,112 1,281 1,035 3,175 2,726
Retail Brokerage Fees 305 313 299 324 316 917 1,075
Invest Sec Gain (Losses) 9 - - 7 (13) 9 7
Mortgage Banking Revenue 1,317 1,036 763 722 806 3,116 2,486
Merchant Fees 1,556 1,532 1,564 1,379 1,230 4,652 3,756
Interchange Fees 582 535 491 458 537 1,608 1,771
Gain on Sale of Credit Cards - - - 324 6,857 - 6,857
ATM/Debit Card Fees 550 536 538 549 494 1,624 1,458
Other Fees 1,459 1,391 1,338 1,520 1,320 4,188 3,651
- ----------------------------------------------------------------------------------------------------------------------------
Total Noninterest Income 13,123 12,041 11,060 11,920 17,721 36,224 38,633
============================================================================================================================
NONINTEREST EXPENSE
Compensation 14,046 13,187 12,560 11,830 10,966 39,793 32,515
Premises 2,119 2,035 1,937 1,880 1,828 6,091 5,194
FF&E 2,285 2,192 2,112 2,179 2,174 6,589 6,214
Intangible Amortization 1,430 1,296 1,196 1,151 921 3,922 2,673
Other Expense 8,729 7,886 7,462 7,877 5,744 24,077 17,713
- ----------------------------------------------------------------------------------------------------------------------------
Total Noninterest Expense 28,609 26,596 25,267 24,917 21,633 80,472 64,309
============================================================================================================================
OPERATING PROFIT 13,142 12,179 9,937 10,999 17,040 35,258 34,271
Provision for Income Taxes 4,565 4,311 3,560 3,737 6,221 12,436 12,162
- ----------------------------------------------------------------------------------------------------------------------------
NET INCOME $ 8,577 7,868 6,377 7,262 10,819 22,822 22,109
============================================================================================================================
PER SHARE DATA
Basic Earnings $ 0.46 0.44 0.36 0.40 0.66 1.26 1.34
Diluted Earnings 0.46 0.44 0.36 0.40 0.66 1.26 1.34
Cash Dividends $ 0.152 0.152 0.152 0.152 0.144 0.456 0.432
AVERAGE SHARES
Basic 18,623 18,094 17,700 17,444 16,604 18,143 16,591
Diluted 18,649 18,102 17,708 17,451 16,609 18,157 16,595
============================================================================================================================
(1) All share and per share data have been restated to reflect the 5-for-4 stock split effective July 1, 2005.
5
CAPITAL CITY BANK GROUP, INC.
CONSOLIDATED STATEMENT OF FINANCIAL CONDITION
Unaudited
- ---------------------------------------------------------------------------------------------------------------------------
2005 2004
--------------------------------- -----------------------------------
Third Second First Fourth Third Second
(Dollars in thousands, except per share data)(1) Quarter Quarter Quarter Quarter Quarter Quarter
- ---------------------------------------------------------------------------------------------------------------------------
ASSETS
Cash and Due From Banks $ 109,847 117,921 92,868 87,039 90,458 97,154
Funds Sold 16,382 59,062 57,115 74,506 47,352 107,399
- ---------------------------------------------------------------------------------------------------------------------------
Total Cash and Cash Equivalents 126,229 176,983 149,983 161,545 137,810 204,553
Investment Securities, Available-for-Sale 192,435 195,860 190,945 210,240 156,675 183,732
Loans, Net of Unearned
Commercial & Industrial 216,695 214,983 196,632 206,474 187,862 187,530
Real Estate Construction 152,042 148,462 151,143 140,190 119,248 108,422
Real Estate Mortgage 712,682 713,619 639,637 655,426 473,874 466,437
Real Estate Residential 526,167 519,441 437,520 425,765 375,109 348,917
Real Estate Home Equity 162,309 160,767 151,464 150,061 145,408 133,729
Consumer 243,081 242,922 223,145 222,207 212,847 216,553
Credit Card 1 49 48 41 170 22,636
Other Loans 34,225 43,217 42,046 24,549 21,530 32,572
Overdrafts 5,690 3,314 2,168 4,112 4,602 4,701
- ---------------------------------------------------------------------------------------------------------------------------
Total Loans, Net of Unearned 2,052,892 2,046,774 1,843,803 1,828,825 1,540,650 1,521,497
Allowance for Loan Losses (17,424) (17,451) (16,040) (16,037) (12,328) (13,657)
- ---------------------------------------------------------------------------------------------------------------------------
Loans, Net 2,035,468 2,029,323 1,827,763 1,812,788 1,528,322 1,507,840
Premises and Equipment 71,044 69,294 60,443 58,963 56,281 56,263
Intangible Assets 111,851 113,081 79,139 80,305 39,720 40,608
Other Assets 46,475 45,344 40,819 40,172 32,985 33,834
- ---------------------------------------------------------------------------------------------------------------------------
Total Other Assets 229,370 227,719 180,401 179,440 128,986 130,705
- ---------------------------------------------------------------------------------------------------------------------------
Total Assets $2,583,502 2,629,885 2,349,092 2,364,013 1,951,793 2,026,830
===========================================================================================================================
LIABILITIES
Deposits:
Noninterest Bearing Deposits $ 571,880 598,602 555,758 566,991 518,352 520,118
NOW Accounts 481,767 475,687 400,816 338,932 285,851 320,460
Money Market Accounts 267,074 287,601 250,433 270,095 209,262 214,815
Regular Savings Accounts 155,471 162,665 148,578 147,348 129,461 130,822
Certificates of Deposit 549,296 576,074 533,773 571,520 427,621 426,521
- ---------------------------------------------------------------------------------------------------------------------------
Total Deposits 2,025,488 2,100,629 1,889,358 1,894,886 1,570,547 1,612,736
Short-Term Borrowings 92,746 71,148 78,593 96,014 76,216 127,012
Subordinated Note Payable 62,887 62,887 30,928 30,928 - -
Other Long-Term Borrowings 71,526 73,144 67,879 68,453 62,930 58,427
Other Liabilities 29,278 26,655 22,236 16,932 23,031 18,934
- ---------------------------------------------------------------------------------------------------------------------------
Total Liabilities 2,281,925 2,334,463 2,088,994 2,107,213 1,732,724 1,817,109
- ---------------------------------------------------------------------------------------------------------------------------
SHAREOWNERS' EQUITY
Common Stock 186 149 142 142 133 133
Additional Paid-in-Capital 83,185 82,619 52,772 52,363 18,411 17,922
Retained Earnings 219,099 213,352 208,334 204,648 200,073 191,645
Accumulated Other Comprehensive Income (893) (698) (1,150) (353) 452 21
- ---------------------------------------------------------------------------------------------------------------------------
Total Shareowners' Equity 301,577 295,422 260,098 256,800 219,069 209,721
- ---------------------------------------------------------------------------------------------------------------------------
Total Liabilities and Shareowners' Equity $2,583,502 2,629,885 2,349,092 2,364,013 1,951,793 2,026,830
===========================================================================================================================
OTHER BALANCE SHEET DATA
Earning Assets $2,261,709 2,301,696 2,091,863 2,113,571 1,744,677 1,812,628
Intangible Assets
Goodwill 84,710 84,511 54,371 54,341 19,657 19,656
Deposit Base 25,275 26,598 22,689 23,778 18,897 19,786
Other 1,866 1,972 2,079 2,186 1,166 1,166
Interest Bearing Liabilities 1,680,767 1,709,206 1,511,000 1,523,290 1,191,341 1,278,057
- ---------------------------------------------------------------------------------------------------------------------------
Book Value Per Diluted Share $ 16.17 15.87 14.69 14.51 13.19 12.64
Tangible Book Value Per Diluted Share 10.17 9.79 10.22 9.97 10.80 10.19
- ---------------------------------------------------------------------------------------------------------------------------
Actual Basic Shares Outstanding 18,624 18,614 17,703 17,694 16,607 16,593
Actual Diluted Shares Outstanding 18,649 18,617 17,705 17,701 16,612 16,597
===========================================================================================================================
(1) All share and per share data have been restated to reflect the 5-for-4 stock split effective July 1, 2005.
6
CAPITAL CITY BANK GROUP, INC.
ALLOWANCE FOR LOAN LOSSES
AND NONPERFORMING ASSETS
Unaudited
- -----------------------------------------------------------------------------------------------------------------
2005 2004
----------------------------------- -----------------------
Third Second First Fourth Third
(Dollars in thousands) Quarter Quarter Quarter Quarter Quarter
- -----------------------------------------------------------------------------------------------------------------
ALLOWANCE FOR LOAN LOSSES
Balance at Beginning of Period $17,451 16,040 16,037 12,328 13,657
Acquired Reserves - 1,385 - 4,400 -
Reserve Reversal - Credit Card - - - - (800)
Provision for Loan Losses 376 388 410 300 300
Net Charge-offs 403 362 407 991 829
- ----------------------------------------------------------------------------------------------------------------
Balance at End of Period $17,424 17,451 16,040 16,037 12,328
================================================================================================================
As a % of Loans 0.85% 0.85% 0.87 0.88 0.80
As a % of Nonperforming Loans 342.79 289.12 302.13 345.18 261.91
As a % of Nonperforming Assets 236.07 280.65 284.25 304.25 220.10
================================================================================================================
CHARGE-OFFS
Commercial, Financial and Agricultural $ 151 302 88 234 187
Real Estate - Construction - - - - -
Real Estate - Mortgage 4 2 4 9 -
Real Estate - Residential 115 37 25 78 19
Consumer 551 536 718 1,015 998
- ----------------------------------------------------------------------------------------------------------------
Total Charge-offs $ 821 877 835 1,336 1,204
================================================================================================================
RECOVERIES
Commercial, Financial and Agricultural $ 43 98 9 34 10
Real Estate - Construction - - - - -
Real Estate - Mortgage 1 - - - 14
Real Estate - Residential 20 14 2 12 1
Consumer 351 403 417 299 350
- ----------------------------------------------------------------------------------------------------------------
Total Recoveries $ 418 515 428 345 375
================================================================================================================
NET CHARGE-OFFS $ 403 362 407 991 829
================================================================================================================
Net charge-offs as a % of Average Loans(1) 0.08% 0.08% 0.09 0.22 0.22
================================================================================================================
RISK ELEMENT ASSETS
Nonaccruing Loans $ 5,083 6,036 5,309 4,646 4,707
Restructured - - - - -
- ----------------------------------------------------------------------------------------------------------------
Total Nonperforming Loans 5,083 6,036 5,309 4,646 4,707
Other Real Estate 2,298 182 334 625 894
- ----------------------------------------------------------------------------------------------------------------
Total Nonperforming Assets $ 7,381 6,218 5,643 5,271 5,601
================================================================================================================
Past Due Loans 90 Days or More $ 473 562 298 605 196
================================================================================================================
Nonperforming Loans as a % of Loans 0.25% 0.29% 0.29 0.25 0.31
Nonperforming Assets as a % of
Loans and Other Real Estate 0.36 0.30 0.31 0.29 0.36
Nonperforming Assets as a % of Capital(2) 2.31 1.99 2.04 1.93 2.42
================================================================================================================
(1) Annualized
(2) Capital includes allowance for loan losses.
7
CAPITAL CITY BANK GROUP, INC.
AVERAGE BALANCE AND INTEREST RATES(1)
Unaudited
- ---------------------------------------------------------------------------------------------------------------------------------
Third Quarter 2005 Second Quarter of 2005 First Quarter 2005
------------------------- -------------------------- -------------------------
Average Average Average Average Average Average
(Dollars in thousands) Balance Interest Rate Balance Interest Rate Balance Interest Rate
- ------------------------------------------------------------------------- ------------------------- ------------------------
ASSETS:
Loans, Net of Unearned Interest $2,046,968 $35,433 6.87% 1,932,637 32,200 6.68 1,827,327 28,920 6.42
Investment Securities
Taxable Investment Securities 137,970 1,022 2.95 149,958 1,113 2.96 153,543 1,090 2.85
Tax-Exempt Investment Securities 56,079 638 4.55 41,316 513 4.97 43,928 586 5.33
- ----------------------------------------------------------------------------------------------------------------------------------
Total Investment Securities 194,049 1,660 3.42 191,274 1,626 3.40 197,471 1,676 3.40
Funds Sold 9,885 121 4.79 46,572 358 3.04 22,251 159 2.85
- ----------------------------------------------------------------------------------------------------------------------------------
Total Earning Assets 2,250,902 $37,214 6.56% 2,170,483 34,184 6.32% 2,047,049 30,755 6.09
============== ============ ============
Cash and Due From Banks 106,638 104,336 97,322
Allowance For Loan Losses (17,570) (16,998) (16,167)
Other Assets 229,554 200,967 178,603
- -------------------------------------------------------- --------- ---------
Total Assets $2,569,524 2,458,788 2,306,807
======================================================== ========= =========
LIABILITIES:
Interest Bearing Deposits
NOW Accounts $ 463,936 773 0.66% 413,799 560 0.54 359,151 447 0.50
Money Market Accounts 272,724 1,062 1.54 270,195 830 1.23 251,849 625 1.01
Savings Accounts 159,080 75 0.19 155,286 75 0.19 147,676 75 0.21
Time Deposits 563,595 3,570 2.51 547,919 3,153 2.31 552,069 3,162 2.32
- ----------------------------------------------------------------------------------------------------------------------------------
Total Interest Bearing Deposits 1,459,335 5,480 1.49 1,387,199 4,618 1.34 1,310,745 4,309 1.33
Short-Term Borrowings 89,483 691 3.07 108,508 734 2.71 79,582 450 2.29
Subordinated Note Payable 62,887 931 5.87 45,681 667 5.86 30,928 441 5.79
Other Long-Term Borrowings 72,408 783 4.29 68,975 769 4.47 68,200 720 4.28
- ----------------------------------------------------------------------------------------------------------------------------------
Total Interest Bearing Liabilities 1,684,113 $ 7,885 1.86% 1,610,363 6,788 1.69% 1,489,455 5,920 1.61
============== ============ ============
Noninterest Bearing Deposits 554,092 544,945 536,633
Other Liabilities 30,388 25,373 19,773
- -------------------------------------------------------- --------- ---------
Total Liabilities 2,268,593 2,180,681 2,045,861
SHAREOWNERS' EQUITY: $ 300,931 278,107 260,946
- -------------------------------------------------------- --------- ---------
Total Liabilities and Shareowners' Equity $2,569,524 2,458,788 2,306,807
======================================================== ========= =========
Interest Rate Spread $29,329 4.70% 27,396 4.63% 24,835 4.48
======================================================================== ============ ============
Interest Income and Rate Earned(2) $37,214 6.56 34,184 6.32 30,755 6.09
Interest Expense and Rate Paid 7,885 1.39 6,788 1.25 5,920 1.17
- ------------------------------------------------------------------------ ------------ ------------
Net Interest Margin $29,329 5.17% 27,396 5.07% 24,835 4.92
======================================================================== ============ ============
(1) Interest and average rates are calculated on a tax-equivalent basis using the 35% Federal tax rate.
(2) Rate calculated based on average earning assets.
8
CAPITAL CITY BANK GROUP, INC.
AVERAGE BALANCE AND INTEREST RATES(1)
Unaudited
- ----------------------------------------------------------------------------------------------------
Fourth Quarter of 2004 Third Quarter 2004
------------------------- -------------------------
Average Average Average Average
(Dollars in thousands) Balance Interest Rate Balance Interest Rate
- ------------------------------------------------------------------------ -------------------------
ASSETS:
Loans, Net of Unearned Interest $1,779,736 $28,180 6.30% 1,524,401 23,345 6.09
Investment Securities
Taxable Investment Securities 152,049 1,029 2.71 118,903 729 2.45
Tax-Exempt Investment Securities 51,688 696 5.38 51,768 716 5.53
- ----------------------------------------------------------------------------------------------------
Total Investment Securities 203,737 1,725 3.39 170,671 1,445 3.38
Funds Sold 82,638 348 1.65 39,636 147 1.45
- ----------------------------------------------------------------------------------------------------
Total Earning Assets 2,066,111 $30,253 5.83% 1,734,708 24,937 5.27
============== ============
Cash and Due From Banks 101,959 90,010
Allowance For Loan Losses (15,813) (13,029)
Other Assets 170,613 129,683
- -------------------------------------------------------- ---------
Total Assets $2,322,870 1,941,372
======================================================== =========
LIABILITIES:
Interest Bearing Deposits
NOW Accounts $ 333,839 335 0.40% 280,630 153 0.22
Money Market Accounts 267,710 467 0.69 212,426 245 0.46
Savings Accounts 144,967 72 0.20 130,330 32 0.10
Time Deposits 553,435 3,228 2.32 429,702 2,004 1.86
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1,299,951 4,102 1.25 1,053,088 2,434 0.92
Short-Term Borrowings 92,193 402 1.74 96,146 332 1.37
Subordinated Note Payable 20,507 294 5.71 - - -
Other Long-Term Borrowings 77,041 836 4.32 59,837 642 4.27
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Total Interest Bearing Liabilities 1,489,690 $ 5,634 1.50% 1,209,071 3,408 1.12
692 ============== ============
Noninterest Bearing Deposits 553,637 492,136
Other Liabilities 30,768 22,892
- -------------------------------------------------------- ---------
Total Liabilities 2,074,097 1,724,099
SHAREOWNERS' EQUITY: $ 248,773 217,273
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Total Liabilities and Shareowners' Equity $2,322,870 1,941,372
======================================================== =========
Interest Rate Spread $24,619 4.33% 21,529 4.60
======================================================================== ============
Interest Income and Rate Earned(2) $30,253 5.83 24,937 5.72
Interest Expense and Rate Paid 5,634 1.08 3,408 0.78
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Net Interest Margin $24,619 4.75% 21,529 4.94
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(1) Interest and average rates are calculated on a tax-equivalent basis using the 35% Federal tax rate.
(2) Rate calculated based on average earning assets.
9
CAPITAL CITY BANK GROUP, INC.
AVERAGE BALANCE AND INTEREST RATES(1)
Unaudited
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Nine Months Ended Nine Months Ended
Sept. 30, 2005 Sept. 30, 2004
------------------------- -------------------------
Average Average Average Average
(Dollars in thousands) Balance Interest Rate Balance Interest Rate
- ------------------------------------------------------------------------ -------------------------
ASSETS:
Loans, Net of Unearned Interest $1,936,448 $ 96,553 6.67% 1,457,826 67,616 6.20
Investment Securities
Taxable Investment Securities 147,099 3,225 2.92 125,057 2,109 2.25
Tax-Exempt Investment Securities 47,153 1,737 4.91 52,077 2,270 5.81
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Total Investment Securities 194,252 4,962 3.41 177,134 4,379 3.30
Funds Sold 26,191 638 3.21 62,121 484 1.03
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Total Earning Assets 2,156,891 $102,153 6.33% 1,697,081 72,479 5.70
============== =============
Cash and Due From Banks 102,800 90,086
Allowance For Loan Losses (16,917) (13,185)
Other Assets 203,228 126,619
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Total Assets $2,446,002 1,900,601
======================================================== =========
LIABILITIES:
Interest Bearing Deposits
NOW Accounts $ 412,679 $ 1,780 0.58% 278,609 398 0.19%
Money Market Accounts 264,999 2,517 1.27 214,410 723 0.45
Savings Accounts 154,056 225 0.20 125,351 92 0.10
Time Deposits 554,570 9,885 2.38 427,913 6,000 1.87
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1,386,304 14,407 1.39 1,046,283 7,213 0.92
Short-Term Borrowings 92,561 1,875 2.71 103,398 869 1.12
Subordinated Note Payable 46,616 2,039 5.85
Other Long-Term Borrowings 69,876 2,272 4.35 53,560 1,726 4.30
- ----------------------------------------------------------------------------------------------------
Total Interest Bearing Liabilities 1,595,357 $ 20,593 1.73% 1,203,241 9,808 1.09
============== =============
Noninterest Bearing Deposits 545,287 467,504
Other Liabilities 25,217 18,541
- -------------------------------------------------------- ---------
Total Liabilities 2,165,861 1,689,286
SHAREOWNERS' EQUITY: $ 280,141 211,315
- -------------------------------------------------------- ---------
Total Liabilities and Shareowners' Equity $2,446,002 1,900,601
======================================================== =========
Interest Rate Spread $ 81,560 4.60% 62,671 4.61
======================================================================== =============
Interest Income and Rate Earned(2) $102,153 6.33 72,479 5.70
Interest Expense and Rate Paid 20,593 1.28 9,808 0.77
- ------------------------------------------------------------------------ -------------
Net Interest Margin $ 81,560 5.05% 62,671 4.93
- ------------------------------------------------------------------------ -------------
(1) Interest and average rates are calculated on a tax-equivalent basis using the 35% Federal tax rate.
(2) Rate calculated based on average earning assets.
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