Capital City Bank Group, Inc.
 
Reports Third Quarter 2023
 
Results
TALLAHASSEE, Fla.
 
(October 24, 2023) – Capital City Bank Group, Inc. (NASDAQ: CCBG) today
 
reported net income
attributable to common shareowners of $13.2 million, or $0.78 per diluted
 
share, for the third quarter of 2023 compared to $14.6
million, or $0.85 per diluted share, for the second quarter of 2023, and $11.3
 
million, or $0.67 per diluted share, for the third quarter
of 2022.
For the first nine months of 2023, net income attributable to common shareowners
 
totaled $42.7 million, or $2.51 per diluted share,
compared to net income of $28.5 million, or $1.68 per diluted share, for the same period
 
of 2022.
 
QUARTER HIGHLIGHTS (3
rd
 
Quarter 2023 versus 2
nd
 
Quarter 2023)
Income Statement
●
Tax-equivalent
 
net interest income totaled $39.2 million compared
 
to $40.1 million for the prior quarter and reflected higher
deposit cost and lower overnight funds interest (seasonal
 
low in public funds deposits) – total deposit cost increased
 
15 basis
points to 58 basis points – net interest margin
 
decreased three basis
 
points to 4.02%
●
Continued strong credit
 
quality metrics – slightly higher loan loss provision
 
expense of $0.2 million increased the allowance
coverage ratio from 1.05% to 1.07% - net loan
 
charge-offs were 17 basis points
 
(annualized) of average loans
●
Noninterest income decreased
 
$2.7 million, or 11.8%,
 
due to lower mortgage banking revenues of $1.0
 
million and a $1.4 million
gain on the sale of mortgage servicing rights in second quarter of 2023
o
Capital City Home Loans realized a net loss of $0.04 per
 
share for the quarter compared
 
to break even for the prior
quarter reflective of challenging residential
 
mortgage secondary market conditions
 
●
Noninterest expense decreased
 
$0.9 million, or 2.1%, primarily due to a non-recurring
 
consulting payment of $0.8 million in the
prior quarter related to the outsourcing
 
of our core processing
 
system
 
Balance Sheet
●
Loan balances grew $15.0 million, or 0.6% (average),
 
and $26.4 million, or 1.0% (end of period)
●
Deposit balances (including repurchase
 
agreements) declined by $115.3
 
million, or 3.1% (average), and $248.1 million, or 6.5%
(end of period), primarily due to a seasonal low point for public fund balances
●
Tangible
 
book value per share increased $0.50,
 
or 2.6%, in third quarter bringing the year-to-date
 
increase to $2.09, or 11.8%
●
Repurchased 36,411
 
shares of common stock in the third
 
quarter of 2023 bringing the year-to-date total to 102,147
 
shares
 
“The solid results achieved this quarter continue what has been a year of
 
strong financial performance by Capital City Bank
Group,” said William G. Smith, Jr.,
 
Chairman, President and CEO of Capital City Bank Group. “The diversity of our revenues,
strong core deposit franchise and stable credit have been key drivers.
 
Our associates continue to embody our client-centric culture
by consistently striving to exceed expectations for our clients and serve as their
 
trusted financial partners. As we look toward 2024,
we remain focused on client acquisition and exploring opportunities to foster
 
stronger relationships and further enhance the overall
client experience.”
Discussion of Operating Results
Net Interest Income/Net Interest
 
Margin
Tax-equivalent net
 
interest income for the third quarter of 2023 totaled $39.2 million, compared
 
to $40.1 million for the second
quarter of 2023, and $33.4 million for the third quarter of 2022.
 
Compared to the second quarter of 2023, the decrease reflected
higher deposit interest expense and a lower level of interest income
 
from overnight funds, partially offset by higher loan interest due
to loan growth and higher interest rates.
 
For the first nine months of 2023, tax-equivalent net interest income
 
totaled $119.8 million
compared to $86.6 million for the same period of 2022.
 
The increases over both prior year periods were driven by strong loan
growth and higher interest rates across a majority of our earning assets.
Our net interest margin for the third quarter of 2023 was 4.02%, a decrease
 
of three basis points from the second quarter of 2023 and
an increase of 71 basis points over the third quarter of 2022.
 
For the month of September 2023, our net interest margin was 4.10%.
 
For the first nine months of 2023, our net interest margin
 
was 4.03%, an increase of 112 basis points over the same period of
 
2022.
 
The increase compared to all prior periods reflected a combination of higher interest
 
rates and loan growth, partially offset by a
higher cost of deposits.
 
For the third quarter of 2023, our cost of funds was 66 basis points, an increase of 15 basis points
 
over the
second quarter of 2023 and an increase of 46 basis points over the third quarter
 
of 2022.
 
Our total cost of deposits (including
noninterest bearing accounts) was 58 basis points, 43 basis points, and
 
11 basis points, respectively,
 
for the same periods.
2
 
Provision for Credit Losses
 
We recorded
 
a provision for credit losses of $2.4 million for the third quarter of 2023 compared
 
to $2.2 million for the second
quarter of 2023 and $2.1 million for the third quarter of 2022.
 
The increase in the provision compared to the second quarter of 2023
was primarily attributable to loan growth and an increase in net loan charge
 
-offs.
 
For the first nine months of 2023, we recorded a
provision for credit losses of $7.8 million compared to $3.6 million for
 
the same period of 2022.
 
The higher level of provision in
2023 was primarily driven by loan growth and also reflected the favorable
 
impact in 2022 of the release of reserves held for
pandemic related losses.
 
We discuss the allowance
 
for credit losses further below.
Noninterest Income and Noninterest
 
Expense
Noninterest income for the third quarter of 2023 totaled $20.2 million compared
 
to $22.9 million for the second quarter of 2023 and
$22.9 million for the third quarter of 2022.
 
The $2.7 million decrease from the second quarter of 2023 reflected a decrease
 
in other
income of $1.5 million, mortgage banking revenues of $1.0 million,
 
wealth management fees of $0.2 million and bank card fees of
$0.1 million, partially offset by an increase in deposit fees of $0.1
 
million.
 
The decrease in other income was attributable to a $1.4
million gain from the sale of mortgage servicing rights realized in the second
 
quarter of 2023.
 
The decrease in mortgage banking
revenues was attributable to market driven lower gain on sale margins
 
and a lower volume of mandatory delivery loan sales which
provide a higher gain on sale percentage.
 
Compared to the third quarter of 2022, the $2.8 million decrease in noninterest
 
income reflected decreases in mortgage banking
revenues of $2.3 million, deposit fees of $0.5 million, and bank card fees of $0.2 million,
 
partially offset by an increase in other
income of $0.2
 
million.
 
For the first nine months of 2023, noninterest income totaled $65.3 million
 
compared to $73.7 million for
the same period of 2022 with the $8.4 million decrease primarily attributable
 
to lower mortgage banking revenues of $7.5 million,
wealth management fees of $2.4 million, deposit fees of $0.6 million, and
 
bank card fees of $0.4 million, partially offset by a $2.5
million increase in other income.
 
Compared to both prior year periods, the decrease in mortgage banking revenues was driven
 
by
lower production volume in 2023 reflective of the rapid increase in interest rates,
 
lower market driven gain on sale margins, and a
lower level of mandatory delivery loan sales.
 
The decrease in deposit fees from both prior year periods was primarily attributable
 
to
a higher earnings credit rate for commercial deposit accounts and lower
 
service charge fees.
 
For the nine-month period, the
decrease in wealth management fees was attributable to lower insurance commissions
 
which reflected the sale of large policies in
2022.
 
Further, the increase in other income was primarily
 
due to a $1.4 million gain from the sale of mortgage servicing rights and
increases in miscellaneous income of $0.5 million, loan servicing fees of
 
$0.2 million, and vendor volume rebates of $0.2 million.
 
Noninterest expense for the third quarter of 2023 totaled $41.6 million compared
 
to $42.5 million for the second quarter of 2023
and $39.8 million for the third quarter of 2022.
 
Compared to the second quarter of 2023, the $0.9 million decrease was primarily
due to a $0.8 million non-recurring expense in the second quarter of 2023
 
related to a consulting engagement to assist in negotiating
a multi-year contract for the outsourcing of our core processing system.
Compared to the third quarter of 2022, the $1.8 million increase in noninterest
 
expense reflected increases in other expense of $1.1
million and occupancy expense of $0.8 million, partially offset by
 
a decrease in compensation expense of $0.1 million.
 
The
increase in other expense was largely driven by a $0.7 million increase
 
in pension plan expense (non-service-related component)
and the increase in occupancy reflected the addition of four new banking offices
 
in mid-to-late 2022 and higher property/equipment
insurance premiums.
 
For the first nine months of 2023, noninterest expense totaled $124.6 million compared
 
to $119.5 million for
the same period of 2022 with the $5.1 million increase attributable to increases in other
 
expense of $2.7 million, occupancy expense
of $2.2 million, and compensation expense of $0.2 million.
 
The increase in other expense was primarily due to a $1.6 million
increase in pension plan expense (non-service related component),
 
the aforementioned consulting engagement expense of $0.8
million, and increases in loan servicing expense of $0.8 million, FDIC insurance
 
expense of $0.6 million, and miscellaneous
expense of $0.6 million, partially offset by lower OREO expense of
 
$1.8 million related to a gain from the sale of a banking office.
 
The increase in occupancy expense reflected the addition of banking offices
 
in 2022 and higher insurance premiums.
 
The slight
unfavorable variance in compensation expense reflected a $1.7
 
million increase in salary expense (primarily,
 
the addition of staffing
in our new markets and annual merit) that was partially offset by
 
a $1.5 million decrease in associate benefit expense.
 
The variance
in associate benefit expense was primarily due to a $2.2 million decrease
 
in pension plan expense (service cost) that was partially
offset by increases in associate insurance expense of $0.5 million and
 
stock-based compensation of $0.1 million.
 
3
Income Taxes
We realized income
 
tax expense of $3.2 million (effective rate of 20.9%) for the third quarter of
 
2023 compared to $3.5 million
(effective rate of 19.6%) for the second quarter of 2023
 
and $3.1 million (effective rate of 21.4%) for the third quarter of 2022.
 
For
the first nine months of 2023, we realized income tax expense of $10.9 million
 
(effective rate of 20.7%) compared to $7.5 million
(effective rate of 20.3%) for the same period of 2022.
 
The increase in our effective tax rate for the third quarter of 2023 was
primarily due to a lower level of pre-tax income from CCHL in relation
 
to our consolidated income as the non-controlling interest
adjustment for CCHL is accounted for as a permanent tax adjustment.
 
Further, the second quarter of 2023 effective
 
rate reflected a
higher level of tax benefit accrued from an investment in a solar tax credit equity fund.
 
Absent discrete items or unexpected
variance in the timing of the tax benefit accrued from our solar tax credit
 
equity fund investment, we expect our annual effective tax
rate to approximate 20-21% for 2023.
Discussion of Financial Condition
Earning Assets
Average earning
 
assets totaled $3.877 billion for the third quarter of 2023, a decrease of $97.8 million, or
 
2.5%, from the second
quarter of 2023, and a decrease of $155.8 million, or 3.9%, from the fourth
 
quarter of 2022.
 
The decrease from both prior periods
was attributable to lower deposit balances (see below –
Deposits
).
 
The mix of earning assets continues to improve as overnight
funds are being utilized to fund loan growth.
 
Average loans
 
held for investment (“HFI”) increased $15.0 million, or 0.6%, over the second
 
quarter of 2023 and $233.3 million, or
9.6%, over the fourth quarter of 2022.
 
Period end loans increased $26.4 million, or 1.0%, over the second quarter of 2023
 
and
$168.2 million, or 6.7%, over the fourth quarter of 2022.
 
Compared to both prior periods, the loan growth was primarily in the
residential real estate category and was partially offset by lower indirect
 
auto and construction loan balances.
 
Allowance for Credit Losses
At September 30, 2023, the allowance for credit losses for HFI loans totaled $28.9
 
million compared to $28.0 million at June 30,
2023 and $24.7 million at December 31, 2022.
 
Activity within the allowance is provided on Page 9.
 
The increase in the allowance
over both prior periods was driven primarily by loan growth.
 
Further, the increase from December 31, 2022 reflected
 
a higher loss
rate for the residential real estate portfolio due to slower prepayment
 
speeds.
 
At September 30, 2023, the allowance represented
1.07% of HFI loans compared to 1.05% at June 30, 2023, and 0.98% at December 31,
 
2022.
 
Credit
 
Quality
Credit quality metrics remained strong for the quarter.
 
Nonperforming assets (nonaccrual loans and other real estate) totaled $4.7
million at September 30, 2023 compared to $6.6 million at June 30,
 
2023 and $2.7 million at December 31, 2022.
 
At September 30,
2023, nonperforming assets as a percent of total assets equaled 0.11%,
 
compared to 0.15% at June 30, 2023 and 0.06% at December
31, 2022.
 
Nonaccrual loans totaled $4.7 million at September 30, 2023, a $1.9 million
 
decrease from June 30, 2023 and a $2.4
million increase over December 31, 2022.
 
Further, classified loans totaled $21.8 million at September
 
30, 2023, a $6.8 million
increase over June 30, 2023 and a $2.5 million increase over December 31, 2022.
 
The increase in the current period was primarily
attributable to the downgrade of one hotel loan that is performing as agreed
 
on scheduled payments.
Deposits
Average total
 
deposits were $3.597 billion for the third quarter of 2023, a decrease of $122.7 million, or 3.3%,
 
from the second
quarter of 2023 and a decrease of $206.2 million, or 5.4%, from the fourth quarter
 
of 2022.
 
Compared to both prior periods, the
decreases were primarily attributable to lower noninterest bearing, savings, and
 
NOW balances, partially offset by higher money
market balances.
 
Compared to the second quarter of 2023, the decrease in NOW account balances was primarily
 
due to the seasonal
reduction in public fund balances held by our institutional and municipal
 
clients.
At September 30, 2023, total deposits were $3.540 billion, a decrease of $248.4
 
million, or 6.6%, from June 30, 2023 and a decline
of $398.9 million, or 10.1%, from December 31, 2022.
 
Our public fund deposit balances declined $205 million and $245 million
from June 30, 2023 and December 31, 2022, respectively,
 
and reflected the seasonal decline in those balances which will begin to
increase in the fourth quarter as municipal tax receipts are received.
 
In addition, the decrease from June 30, 2023 reflected a short-
term deposit of $103 million (in the NOW category) made late in June by a municipal
 
client that was subsequently moved in mid-
July.
 
The remaining portion of the decrease reflected continued client spend of stimulus
 
savings and clients seeking higher yielding
investment products outside the Bank, a portion of which have moved to our
 
wealth division.
 
Additionally, compared to both
 
prior
periods, we realized a remix of deposit balances of $32 million and $99 million, respectively,
 
as noninterest bearing accounts
migrated into interest bearing accounts (primarily NOW and money market
 
accounts).
 
4
Business deposit transaction accounts classified as repurchase agreements
 
averaged $25.4 million for the third quarter of 2023, an
increase of $7.5 million over the second quarter of 2023 and $16.9 million over
 
the fourth quarter of 2022.
 
At September 30, 2023,
repurchase agreement balances were $22.9 million compared to $22.6
 
million at June 30, 2023 and $6.6 million at December 31,
2022.
Liquidity
The Bank maintained an average net overnight funds (deposits with banks plus
 
FED funds sold less FED funds purchased) sold
position of $136.6 million in the third quarter of 2023 compared to $218.9
 
million in the second quarter of 2023 and $469.4 million
in the fourth quarter of 2022.
 
The declining overnight funds position reflected growth in average
 
loans and lower average deposit
balances.
 
 
At September 30, 2023, we had the ability to generate approximately $1.587 billion
 
(excludes overnight funds position of $95
million) in additional liquidity through various sources including
 
various federal funds purchased lines, Federal Home Loan Bank
borrowings, the Federal Reserve Discount Window,
 
and brokered deposits.
 
We also view our
 
investment portfolio as a liquidity source and have the option to pledge securities in our
 
portfolio as collateral for
borrowings or deposits, and/or to sell selected securities.
 
Our portfolio consists of debt issued by the U.S. Treasury,
 
U.S.
governmental agencies, municipal governments, and corporate entities.
 
At September 30, 2023, the weighted-average maturity and
duration of our portfolio were 2.90 years and 2.61 years, respectively,
 
and the available-for-sale portfolio had a net unrealized tax-
effected loss of $31.0 million.
 
Capital
Shareowners’ equity was $428.6 million at September 30, 2023
 
compared to $420.8 million at June 30, 2023 and $394.0 million at
December 31, 2022.
 
For the first nine months of 2023, shareowners’ equity was positively impacted by net
 
income attributable to
common shareowners of $42.7 million, a $2.4 million decrease in the unrealized
 
loss on investment securities, the issuance of stock
of $2.2 million, stock compensation accretion of $1.0 million, and a $0.4
 
million increase in the fair value of the interest rate swap
related to subordinated debt.
 
Shareowners’ equity was reduced by common stock dividends of $9.5
 
million ($0.56 per share), the
repurchase of stock of $3.1 million (102,147 shares), and net adjustments totaling
 
$1.5 million related to transactions under our
stock compensation plans.
 
At September 30, 2023, our total risk-based capital ratio was 16.58%
 
compared to 15.95% at June 30, 2023 and 15.52% at
December 31, 2022.
 
Our common equity tier 1 capital ratio was 13.56%, 13.02%, and 12.64%, respectively,
 
on these dates.
 
Our
leverage ratio was 10.19%, 9.74%, and 9.06%, respectively,
 
on these dates.
 
At September 30, 2023, all our regulatory capital ratios
exceeded the threshold to be designated as “well-capitalized” under the
 
Basel III capital standards.
 
Further, our tangible common
equity ratio was 8.28% at September 30, 2023 compared to 7.61% and 6.79% at June
 
30, 2023 and December 31, 2022,
respectively.
 
If our unrealized held-to-maturity securities losses of $33.1 million (after-tax)
 
were recognized in accumulated other
comprehensive loss, our adjusted tangible capital ratio would be 7.46%.
5
About Capital City Bank Group, Inc.
Capital City Bank Group, Inc. (NASDAQ: CCBG) is one of the largest
 
publicly traded financial holding companies headquartered
in Florida and has approximately $4.1
 
billion in assets.
 
We provide
 
a full range of banking services, including traditional deposit
and credit services, mortgage banking, asset management, trust, merchant
 
services, bankcards,
 
securities brokerage services and
financial advisory services, including the sale of life insurance, risk management
 
and asset protection services.
 
Our bank
subsidiary, Capital City Bank,
 
was founded in 1895 and now has 63 banking offices and 100 ATM
 
s/ITMs in Florida, Georgia and
Alabama.
 
For more information about Capital City Bank Group, Inc., visit www.ccbg.com
 
.
FORWARD
 
-LOOKING STATEMENTS
Forward-looking statements in this Press Release are based on current plans
 
and expectations that are subject to uncertainties and
risks, which could cause our future results to differ materially.
 
The words “may,” “could,” “should,”
 
“would,” “believe,”
“anticipate,” “estimate,” “expect,” “intend,” “plan,” “target,” “vision,”
 
“goal,” and similar expressions are intended to identify
forward-looking statements. The following factors, among others, could cause our actual
 
results to differ: our ability to successfully
manage credit risk, interest rate risk, liquidity risk, and other risks inherent
 
to our industry; legislative or regulatory changes; adverse
developments in the financial services industry generally,
 
such as the recent bank failures and any related impacts on depositor
behavior; the effects of changes in the level of checking or
 
savings account deposits and the competition for deposits on our funding
costs, net interest margin and ability to replace maturing deposits and
 
advances, as necessary; the effects of actions taken
 
by
governmental agencies to stabilize the financial system and the effectiv
 
eness of such actions; changes in monetary and fiscal policies
of the U.S. Government; inflation, interest rate, market and monetary fluctuations;
 
the effects of security breaches and computer
viruses that may affect our computer systems or fraud related
 
to debit card products; the accuracy of our financial statement
estimates and assumptions, including the estimates used for our allowance
 
for credit losses, deferred tax asset valuation and pension
plan; changes in our liquidity position; changes in accounting principles, policies,
 
practices or guidelines; the frequency and
magnitude of foreclosure of our loans; the effects of our lack of
 
a diversified loan portfolio, including the risks of loan segments,
geographic and industry concentrations; the strength of the United
 
States economy in general and the strength of the local economies
in which we conduct operations; our ability to declare and pay dividends,
 
the payment of which is subject to our capital
requirements; changes in the securities and real estate markets; structural changes
 
in the markets for origination, sale and servicing
of residential mortgages; uncertainty in the pricing of residential mortgage
 
loans that we sell, as well as competition for the mortgage
servicing rights related to these loans and related interest rate risk or price risk resulting
 
from retaining mortgage servicing rights and
the potential effects of higher interest rates on our loan origination
 
volumes; the effect of corporate restructuring, acquisitions or
dispositions, including the actual restructuring and other related charges
 
and the failure to achieve the expected gains, revenue
growth or expense savings from such corporate restructuring, acquisitions
 
or dispositions; the effects of natural disasters, harsh
weather conditions (including hurricanes), widespread health emergencies
 
(including pandemics, such as the COVID-19 pandemic),
military conflict, terrorism, civil unrest or other geopolitical events; our
 
ability to comply with the extensive laws and regulations to
which we are subject, including the laws for each jurisdiction where we operate;
 
the willingness of clients to accept third-party
products and services rather than our products and services and vice versa; increased
 
competition and its effect on pricing;
technological changes; the outcomes of litigation or regulatory proceedings;
 
negative publicity and the impact on our reputation;
changes in consumer spending and saving habits; growth and profitability
 
of our noninterest income; the limited trading activity of
our common stock; the concentration of ownership of our common
 
stock; anti-takeover provisions under federal and state law as
well as our Articles of Incorporation and our Bylaws; other risks described from
 
time to time in our filings with the Securities and
Exchange Commission; and our ability to manage the risks involved in
 
the foregoing.
 
Additional factors can be found in our Annual
Report on Form 10-K for the fiscal year ended December 31, 2022, and our
 
other filings with the SEC, which are available at the
SEC’s internet site (http://www.sec.gov).
 
Forward-looking statements in this Press Release speak only as of the date of the Press
Release, and we assume no obligation to update forward-looking statements
 
or the reasons why actual results could differ.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
6
USE OF NON-GAAP FINANCIAL MEASURES
Unaudited
We present a tangible
 
common equity ratio and a tangible book value per diluted share that removes the effect
 
of goodwill and other
intangibles resulting from merger and acquisition activity.
 
We believe these measures
 
are useful to investors because it allows
investors to more easily compare our capital adequacy to other companies in the
 
industry.
 
The GAAP to non-GAAP reconciliations are provided below.
(Dollars in Thousands, except per share data)
Sep 30, 2023
Jun 30, 2023
Mar 31, 2023
Dec 31, 2022
Sep 30, 2022
Shareowners' Equity (GAAP)
$
428,610
$
420,779
$
411,240
$
394,016
$
373,165
Less: Goodwill and Other Intangibles (GAAP)
92,973
93,013
93,053
93,093
93,133
Tangible Shareowners' Equity (non-GAAP)
A
335,637
327,766
318,187
300,923
280,032
Total Assets (GAAP)
4,147,191
4,399,563
4,409,742
4,525,958
4,332,671
Less: Goodwill and Other Intangibles (GAAP)
92,973
93,013
93,053
93,093
93,133
Tangible Assets (non-GAAP)
B
$
4,054,218
$
4,306,550
$
4,316,689
$
4,432,865
$
4,239,538
Tangible Common Equity Ratio (non-GAAP)
A/B
8.28%
7.61%
7.37%
6.79%
6.61%
Actual Diluted Shares Outstanding (GAAP)
C
16,997,886
17,025,023
17,049,913
17,039,401
16,998,177
Tangible Book Value
 
per Diluted Share (non-GAAP)
A/C
$
19.75
$
19.25
$
18.66
$
17.66
$
16.47
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
7
CAPITAL CITY BANK
 
GROUP,
 
INC.
EARNINGS HIGHLIGHTS
Unaudited
Three Months Ended
Nine Months Ended
(Dollars in thousands, except per share data)
Sep 30, 2023
Jun 30, 2023
Sep 30, 2022
Sep 30, 2023
Sep 30, 2022
EARNINGS
Net Income Attributable to Common Shareowners
$
13,202
$
14,551
$
11,315
42,707
$
28,483
Diluted Net Income Per Share
$
0.78
$
0.85
$
0.67
2.51
$
1.68
PERFORMANCE
Return on Average Assets (annualized)
1.24
%
1.35
%
1.03
%
1.32
%
0.88
%
Return on Average Equity (annualized)
12.25
13.94
11.83
13.70
10.05
Net Interest Margin
4.02
4.05
3.31
4.03
2.91
Noninterest Income as % of Operating Revenue
34.01
36.38
40.76
35.33
46.03
Efficiency Ratio
70.09
%
67.55
%
70.66
%
67.32
%
74.60
%
CAPITAL ADEQUACY
Tier 1 Capital
 
15.41
%
14.84
%
14.80
%
15.41
%
14.80
%
Total Capital
 
16.58
15.95
15.75
16.58
15.75
Leverage
 
10.19
9.74
8.91
10.19
8.91
Common Equity Tier 1
13.56
13.02
12.83
13.56
12.83
Tangible Common Equity
(1)
8.28
7.61
6.61
8.28
6.61
Equity to Assets
10.33
%
9.56
%
8.61
%
10.33
%
8.61
%
ASSET QUALITY
Allowance as % of Non-Performing Loans
614.71
%
422.23
%
934.53
%
614.71
%
934.53
%
Allowance as a % of Loans HFI
1.07
1.05
0.96
1.07
0.96
Net Charge-Offs as % of Average Loans HFI
0.17
0.07
0.12
0.16
0.17
Nonperforming Assets as % of Loans HFI and OREO
0.17
0.25
0.10
0.17
0.10
Nonperforming Assets as % of Total Assets
0.11
%
0.15
%
0.06
%
0.11
%
0.06
%
STOCK PERFORMANCE
High
 
$
33.44
$
34.16
$
33.93
36.86
$
33.93
Low
28.64
28.03
27.41
28.03
24.43
Close
$
29.83
$
30.64
$
31.11
29.83
$
31.11
Average Daily Trading Volume
26,774
33,412
30,546
33,936
26,677
(1)
 
Tangible common equity ratio is a non-GAAP financial measure. For additional information, including a
reconciliation to GAAP, refer to Page 6.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
8
CAPITAL CITY BANK GROUP, INC.
CONSOLIDATED STATEMENT
 
OF FINANCIAL CONDITION
Unaudited
2023
2022
(Dollars in thousands)
Third Quarter
Second Quarter
First Quarter
Fourth Quarter
Third Quarter
ASSETS
Cash and Due From Banks
$
72,379
$
83,679
$
84,549
$
72,114
$
72,686
Funds Sold and Interest Bearing Deposits
95,119
285,129
303,403
528,536
497,679
Total Cash and Cash Equivalents
167,498
368,808
387,952
600,650
570,365
Investment Securities Available for Sale
334,052
386,220
402,943
413,294
416,745
Investment Securities Held to Maturity
632,076
641,398
651,755
660,744
676,178
Other Equity Securities
3,585
1,703
1,883
10
1,349
 
Total Investment Securities
969,713
1,029,321
1,056,581
1,074,048
1,094,272
Loans Held for Sale
 
53,093
67,908
55,118
54,635
50,304
Loans Held for Investment ("HFI"):
Commercial, Financial, & Agricultural
221,704
227,219
236,263
247,362
246,304
Real Estate - Construction
197,526
226,404
253,903
234,519
237,718
Real Estate - Commercial
828,234
831,285
798,438
782,557
715,870
Real Estate - Residential
954,447
876,867
827,124
721,759
573,963
Real Estate - Home Equity
203,902
203,150
207,241
208,120
202,512
Consumer
285,122
295,646
305,324
324,450
347,949
Other Loans
1,401
5,425
7,660
5,346
20,822
Overdrafts
1,076
1,007
931
1,067
1,047
Total Loans Held for Investment
2,693,412
2,667,003
2,636,884
2,525,180
2,346,185
Allowance for Credit Losses
(28,854)
(27,964)
(26,507)
(24,736)
(22,510)
Loans Held for Investment, Net
2,664,558
2,639,039
2,610,377
2,500,444
2,323,675
Premises and Equipment, Net
81,677
82,062
82,055
82,138
81,736
Goodwill and Other Intangibles
92,973
93,013
93,053
93,093
93,133
Other Real Estate Owned
1
1
13
431
13
Other Assets
117,678
119,411
124,593
120,519
119,173
Total Other Assets
292,329
294,487
299,714
296,181
294,055
Total Assets
$
4,147,191
$
4,399,563
$
4,409,742
$
4,525,958
$
4,332,671
LIABILITIES
Deposits:
Noninterest Bearing Deposits
$
1,472,165
$
1,520,134
$
1,601,388
$
1,653,620
$
1,737,046
NOW Accounts
1,092,996
1,269,839
1,242,721
1,290,494
990,021
Money Market Accounts
304,323
321,743
271,880
267,383
292,932
Savings Accounts
571,003
590,245
617,310
637,374
646,526
Certificates of Deposit
99,958
86,905
90,621
90,446
92,853
Total Deposits
3,540,445
3,788,866
3,823,920
3,939,317
3,759,378
Repurchase Agreements
22,910
22,619
4,429
6,583
6,943
Other Short-Term Borrowings
18,786
28,054
22,203
50,210
45,328
Subordinated Notes Payable
52,887
52,887
52,887
52,887
52,887
Other Long-Term Borrowings
364
414
463
513
562
Other Liabilities
75,585
77,192
85,878
73,675
84,657
Total Liabilities
3,710,977
3,970,032
3,989,780
4,123,185
3,949,755
Temporary Equity
7,604
8,752
8,722
8,757
9,751
SHAREOWNERS' EQUITY
Common Stock
170
170
170
170
170
Additional Paid-In Capital
36,182
36,853
37,512
37,331
36,234
Retained Earnings
426,934
417,128
405,634
393,744
384,964
Accumulated Other Comprehensive Loss, Net of Tax
(34,676)
(33,372)
(32,076)
(37,229)
(48,203)
Total Shareowners' Equity
428,610
420,779
411,240
394,016
373,165
Total Liabilities, Temporary Equity and Shareowners' Equity
$
4,147,191
$
4,399,563
$
4,409,742
$
4,525,958
$
4,332,671
OTHER BALANCE SHEET DATA
Earning Assets
$
3,811,337
$
4,049,361
$
4,051,987
$
4,182,399
$
3,988,440
Interest Bearing Liabilities
2,163,227
2,372,706
2,302,514
2,395,890
2,128,052
Book Value Per Diluted Share
$
25.22
$
24.72
$
24.12
$
23.12
$
21.95
Tangible Book Value
 
Per Diluted Share
(1)
19.75
19.25
18.66
17.66
16.47
Actual Basic Shares Outstanding
16,958
16,992
17,022
16,987
16,962
Actual Diluted Shares Outstanding
16,998
17,025
17,050
17,039
16,998
(1)
 
Tangible book value per diluted share is a non-GAAP financial measure. For additional
 
information, including a reconciliation to GAAP, refer to Page 6.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
9
CAPITAL CITY BANK
 
GROUP,
 
INC.
CONSOLIDATED STATEMENT
 
OF OPERATIONS
Unaudited
2023
2022
Nine Months Ended
September 30,
(Dollars in thousands, except per share data)
Third
Quarter
Second
Quarter
First
Quarter
Fourth
Quarter
Third
Quarter
2023
2022
INTEREST INCOME
Loans, including Fees
$
39,212
$
37,477
$
34,880
$
31,916
$
27,761
$
111,569
$
73,966
Investment Securities
4,561
4,815
4,924
4,847
4,372
14,300
11,108
Federal Funds Sold and Interest Bearing Deposits
1,848
2,782
4,111
4,463
3,231
8,741
5,048
Total Interest Income
45,621
45,074
43,915
41,226
35,364
134,610
90,122
INTEREST EXPENSE
Deposits
5,214
4,008
2,488
1,902
1,052
11,710
1,542
Repurchase Agreements
190
115
9
7
5
314
6
Other Short-Term Borrowings
440
336
452
683
531
1,228
1,065
Subordinated Notes Payable
625
604
571
522
443
1,800
1,130
Other Long-Term Borrowings
4
5
6
8
6
15
23
Total Interest Expense
6,473
5,068
3,526
3,122
2,037
15,067
3,766
Net Interest Income
39,148
40,006
40,389
38,104
33,327
119,543
86,356
Provision for Credit Losses
2,443
2,219
3,130
3,521
2,099
7,792
3,641
Net Interest Income after Provision for Credit Losses
36,705
37,787
37,259
34,583
31,228
111,751
82,715
NONINTEREST INCOME
Deposit Fees
5,456
5,326
5,239
5,536
5,947
16,021
16,585
Bank Card Fees
3,684
3,795
3,726
3,744
3,860
11,205
11,657
Wealth Management Fees
3,984
4,149
3,928
3,649
3,937
12,061
14,410
Mortgage Banking Revenues
4,819
5,837
6,995
5,497
7,116
17,651
25,127
Other
 
2,237
3,766
2,360
2,546
2,074
8,363
5,876
Total Noninterest Income
20,180
22,873
22,248
20,972
22,934
65,301
73,655
NONINTEREST EXPENSE
Compensation
24,648
24,884
25,636
25,565
24,738
75,168
74,977
Occupancy, Net
6,980
6,820
6,762
6,253
6,153
20,562
18,321
Other
 
10,014
10,830
8,057
10,469
8,919
28,901
26,243
Total Noninterest Expense
41,642
42,534
40,455
42,287
39,810
124,631
119,541
OPERATING PROFIT
15,243
18,126
19,052
13,268
14,352
52,421
36,829
Income Tax Expense
3,190
3,544
4,133
2,599
3,074
10,867
7,486
Net Income
12,053
14,582
14,919
10,669
11,278
41,554
29,343
Pre-Tax Loss (Income) Attributable to Noncontrolling Interest
1,149
(31)
35
995
37
1,153
(860)
NET INCOME ATTRIBUTABLE
 
TO
 
COMMON SHAREOWNERS
$
13,202
$
14,551
$
14,954
$
11,664
$
11,315
$
42,707
$
28,483
PER COMMON SHARE
Basic Net Income
$
0.78
$
0.86
$
0.88
$
0.69
$
0.67
$
2.52
$
1.68
Diluted Net Income
0.78
0.85
0.88
0.68
0.67
2.51
1.68
Cash Dividend
 
$
0.20
$
0.18
$
0.18
$
0.17
$
0.17
$
0.56
$
0.49
AVERAGE
 
SHARES
Basic
 
16,985
17,002
17,016
16,963
16,960
17,001
16,947
Diluted
 
17,025
17,035
17,045
17,016
16,996
17,031
16,973
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
10
CAPITAL CITY BANK GROUP,
 
INC.
ALLOWANCE FOR CREDIT LOSSES ("ACL")
AND CREDIT QUALITY
Unaudited
2023
2022
Nine Months Ended
September 30,
(Dollars in thousands, except per share data)
Third
Quarter
Second
Quarter
First
Quarter
Fourth
Quarter
Third
Quarter
2023
2022
ACL - HELD FOR INVESTMENT LOANS
Balance at Beginning of Period
$
27,964
$
26,507
$
24,736
$
22,510
$
21,281
$
24,736
$
21,606
Provision for Credit Losses
2,043
1,944
3,291
3,543
1,931
7,278
3,522
Net Charge-Offs (Recoveries)
1,153
487
1,520
1,317
702
3,160
2,618
Balance at End of Period
$
28,854
$
27,964
$
26,507
$
24,736
$
22,510
$
28,854
$
22,510
As a % of Loans HFI
1.07%
1.05%
1.01%
0.98%
0.96%
1.07%
0.96%
As a % of Nonperforming Loans
614.71%
422.23%
577.63%
1,076.89%
934.53%
614.71%
934.53%
ACL - UNFUNDED COMMITMENTS
Balance at Beginning of Period
3,120
$
2,833
$
2,989
$
3,012
$
2,853
$
2,989
$
2,897
Provision for Credit Losses
 
382
287
(156)
(23)
159
513
115
Balance at End of Period
(1)
3,502
3,120
2,833
2,989
3,012
3,502
3,012
ACL - DEBT SECURITIES
Provision for Credit Losses
 
$
18
$
(12)
$
(5)
$
1
$
9
$
1
$
4
CHARGE-OFFS
Commercial, Financial and Agricultural
$
76
$
54
$
164
$
129
$
2
$
294
$
1,179
Real Estate - Construction
-
-
-
-
-
-
-
Real Estate - Commercial
-
-
120
88
1
120
267
Real Estate - Home Equity
-
39
-
160
-
39
33
Consumer
1,340
993
1,732
976
770
4,065
1,925
Overdrafts
659
894
634
720
989
2,187
2,429
Total Charge-Offs
$
2,075
$
1,980
$
2,650
$
2,073
$
1,762
$
6,705
$
5,833
RECOVERIES
Commercial, Financial and Agricultural
$
28
$
71
$
95
$
25
$
58
$
194
$
282
Real Estate - Construction
-
1
1
-
2
2
10
Real Estate - Commercial
17
11
8
13
8
36
93
Real Estate - Residential
30
132
57
98
44
219
186
Real Estate - Home Equity
53
131
25
36
22
209
147
Consumer
418
514
571
175
260
1,503
896
Overdrafts
376
633
373
409
666
1,382
1,601
Total Recoveries
$
922
$
1,493
$
1,130
$
756
$
1,060
$
3,545
$
3,215
NET CHARGE-OFFS (RECOVERIES)
$
1,153
$
487
$
1,520
$
1,317
$
702
$
3,160
$
2,618
Net Charge-Offs as a % of Average Loans
 
HFI
(2)
0.17%
0.07%
0.24%
0.21%
0.12%
0.16%
0.17%
CREDIT QUALITY
Nonaccruing Loans
$
4,694
$
6,623
$
4,589
$
2,297
$
2,409
Other Real Estate Owned
1
1
13
431
13
Total Nonperforming Assets ("NPAs")
$
4,695
$
6,624
$
4,602
$
2,728
$
2,422
Past Due Loans 30-89 Days
 
$
5,577
$
4,207
$
5,061
$
7,829
$
6,263
Past Due Loans 90 Days or More
-
-
-
-
-
Classified Loans
21,812
14,973
12,179
19,342
20,988
Nonperforming Loans as a % of Loans HFI
0.17%
0.25%
0.17%
0.09%
0.10%
NPAs as a % of Loans HFI and Other Real Estate
0.17%
0.25%
0.17%
0.11%
0.10%
NPAs as a % of
 
Total Assets
0.11%
0.15%
0.10%
0.06%
0.06%
(1)
 
Recorded in other liabilities
(2)
 
Annualized
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
11
CAPITAL CITY BANK GROUP,
 
INC.
AVERAGE
 
BALANCE AND INTEREST RATES
Unaudited
Third Quarter 2023
Second Quarter 2023
First Quarter 2023
Fourth Quarter 2022
Third Quarter 2022
Sep 2023 YTD
Sep 2022 YTD
(Dollars in thousands)
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
Average
Balance
Interest
Average
Rate
ASSETS:
Loans Held for Sale
$
62,768
$
971
6.14
%
$
54,350
$
801
5.90
%
$
55,110
$
644
4.74
%
$
42,910
581
5.38
%
$
55,164
$
486
4.82
%
$
57,438
$
2,416
5.62
%
$
50,387
$
1,594
4.23
%
Loans Held for Investment
(1)
2,672,653
38,323
5.69
2,657,693
36,758
5.55
2,582,395
34,331
5.39
2,439,379
31,418
5.11
2,264,075
27,354
4.76
2,637,911
109,412
5.55
2,105,211
72,598
4.61
Investment Securities
Taxable Investment Securities
1,002,547
4,549
1.80
1,041,202
4,804
1.84
1,061,372
4,912
1.86
1,078,265
4,835
1.78
1,117,789
4,359
1.55
1,034,825
14,265
1.84
1,105,822
11,082
1.34
Tax-Exempt Investment Securities
(1)
2,456
17
2.66
2,656
16
2.47
2,840
17
2.36
2,827
17
2.36
2,939
17
2.30
2,649
50
2.49
2,614
37
1.90
Total Investment Securities
1,005,003
4,566
1.81
1,043,858
4,820
1.84
1,064,212
4,929
1.86
1,081,092
4,852
1.78
1,120,728
4,376
1.55
1,037,474
14,315
1.84
1,108,436
11,119
1.34
Federal Funds Sold and Interest Bearing
Deposits
136,556
1,848
5.37
218,902
2,782
5.10
360,971
4,111
4.62
469,352
4,463
3.77
569,984
3,231
2.25
237,987
8,741
4.91
710,559
5,048
0.95
Total Earning Assets
3,876,980
$
45,708
4.68
%
3,974,803
$
45,161
4.56
%
4,062,688
$
44,015
4.39
%
4,032,733
$
41,314
4.07
%
4,009,951
$
35,447
3.51
%
3,970,810
$
134,884
4.54
%
3,974,593
$
90,359
3.04
%
Cash and Due From Banks
75,941
75,854
74,639
74,178
79,527
75,483
77,856
Allowance for Credit Losses
(29,172)
(27,893)
(25,637)
(22,596)
(21,509)
(27,581)
(21,382)
Other Assets
295,106
297,837
300,175
297,510
289,709
297,688
284,546
Total Assets
$
4,218,855
$
4,320,601
$
4,411,865
$
4,381,825
$
4,357,678
$
4,316,400
$
4,315,613
LIABILITIES:
Noninterest Bearing Deposits
$
1,474,574
$
1,539,877
$
1,601,750
$
1,662,443
$
1,726,918
$
1,538,268
$
1,700,800
NOW Accounts
1,125,171
$
3,489
1.23
%
1,200,400
$
3,038
1.01
%
1,228,928
$
2,152
0.71
%
1,133,733
$
1,725
0.60
%
1,016,475
$
868
0.34
%
1,184,453
$
8,679
0.98
%
1,042,958
$
1,074
0.14
%
Money Market Accounts
322,623
1,294
1.59
288,466
747
1.04
267,573
208
0.31
273,328
63
0.09
288,758
71
0.10
293,089
2,249
1.03
286,804
140
0.07
Savings Accounts
579,245
200
0.14
602,848
120
0.08
629,388
76
0.05
641,153
80
0.05
643,640
80
0.05
603,643
396
0.09
623,986
229
0.05
Time Deposits
95,203
231
0.96
87,973
103
0.47
89,675
52
0.24
92,385
34
0.15
94,073
33
0.14
90,970
386
0.57
95,408
99
0.14
Total Interest Bearing Deposits
2,122,242
5,214
0.97
2,179,687
4,008
0.74
2,215,564
2,488
0.46
2,140,599
1,902
0.35
2,042,946
1,052
0.20
2,172,155
11,710
0.72
2,049,156
1,542
0.10
Total Deposits
3,596,816
5,214
0.58
3,719,564
4,008
0.43
3,817,314
2,488
0.26
3,803,041
1,902
0.20
3,769,864
1,052
0.11
3,710,423
11,710
0.42
3,749,956
1,542
0.05
Repurchase Agreements
25,356
190
2.98
17,888
115
2.58
9,343
9
0.37
8,464
7
0.34
11,665
5
0.18
17,588
314
2.39
7,971
6
0.11
Other Short-Term Borrowings
24,306
440
7.17
17,834
336
7.54
37,766
452
4.86
42,380
683
6.39
35,014
531
6.01
26,586
1,228
6.17
29,020
1,065
4.90
Subordinated Notes Payable
52,887
625
4.62
52,887
604
4.52
52,887
571
4.32
52,887
522
3.86
52,887
443
3.28
52,887
1,800
4.49
52,887
1,130
2.82
Other Long-Term Borrowings
387
4
4.73
431
5
4.80
480
6
4.80
530
8
4.80
580
6
4.74
433
15
4.78
710
23
4.58
Total Interest Bearing Liabilities
2,225,178
$
6,473
1.15
%
2,268,727
$
5,068
0.90
%
2,316,040
$
3,526
0.62
%
2,244,860
$
3,122
0.55
%
2,143,092
$
2,037
0.38
%
2,269,649
$
15,067
0.89
%
2,139,744
$
3,766
0.24
%
Other Liabilities
83,099
84,305
81,206
84,585
98,501
82,877
86,055
Total Liabilities
3,782,851
3,892,909
3,998,996
3,991,888
3,968,511
3,890,794
3,926,599
Temporary Equity
8,424
8,935
8,802
9,367
9,862
8,719
10,156
SHAREOWNERS' EQUITY:
427,580
418,757
404,067
380,570
379,305
416,887
378,858
Total Liabilities, Temporary
 
Equity and
Shareowners' Equity
$
4,218,855
$
4,320,601
$
4,411,865
$
4,381,825
$
4,357,678
$
4,316,400
$
4,315,613
Interest Rate Spread
$
39,235
3.52
%
$
40,093
3.66
%
$
40,489
3.77
%
$
38,192
3.52
%
$
33,410
3.13
%
$
119,817
3.65
%
$
86,593
2.80
%
Interest Income and Rate Earned
(1)
45,708
4.68
45,161
4.56
44,015
4.39
41,314
4.07
35,447
3.51
134,884
4.54
90,359
3.04
Interest Expense and Rate Paid
(2)
6,473
0.66
5,068
0.51
3,526
0.35
3,122
0.31
2,037
0.20
15,067
0.51
3,766
0.13
Net Interest Margin
$
39,235
4.02
%
$
40,093
4.05
%
$
40,489
4.04
%
$
38,192
3.76
%
$
33,410
3.31
%
$
119,817
4.03
%
$
86,593
2.91
%
(1)
 
Interest and average rates are
 
calculated on a tax-equivalent basis using a 21% Federal tax rate.
(2)
 
Rate calculated based on average earning assets.