Market Overview

Suffolk Bancorp Reports Results for the Third Quarter of 2012

Share:
RIVERHEAD, N.Y.--(BUSINESS WIRE)--

Suffolk Bancorp (the “Company”) (NASDAQ: SUBK), parent company of Suffolk County National Bank (the “Bank”), today reported a net loss for the third quarter of 2012 of $9.2 million, or ($0.94) per diluted common share, compared to net income of $3.1 million, or $0.32 per diluted common share, a year ago. For the nine-month period ended September 30, 2012, the Company recorded a net loss of $3.8 million, or ($0.39) per diluted common share, compared with a net loss of $1.2 million, or ($0.13) per diluted common share, in the September 2011 year-to-date period.

The decline in third quarter 2012 earnings was principally due to the impact of an $11.1 million increase in the provision for loan losses resulting from the Company's successful execution of a previously announced bulk sale of non-performing loans in September 2012. The Company sold $51 million of loans at an aggregate price of 61% of book value resulting in a $19.6 million charge to the allowance for loan losses. Also contributing to the third quarter loss was an increase in total operating expenses of $3.0 million, largely the result of $2.5 million in non-recurring costs, and a reduction in net interest income of $2.9 million (16.7%). Partially offsetting these factors was a 6.7% improvement in non-interest income in third quarter 2012.

The reduction in net interest income resulted from a lower level of average interest-earning assets, primarily loans, coupled with a narrowing of the net interest margin in 2012 versus the comparable 2011 period. The decrease in the net interest margin was due to the continued low level of interest rates; a shift in the Company's balance sheet mix from loans (average loans down 20.4% versus third quarter 2011) into lower-yielding overnight interest-bearing deposits which represented 21% of average interest-earning assets in third quarter 2012 versus 10% in third quarter 2011, due principally to ongoing loan workout activity; and the elevated level of non-accrual loans present throughout 2012.

Total operating expenses increased by $3.0 million in the third quarter of 2012 to $17.9 million versus the comparable 2011 period. The primary reasons for this increase were higher levels of employee compensation and benefits expense (up $1.3 million or 16.5%), other real estate owned (“OREO”) expense (up $599 thousand) and other operating expenses (up $1.3 million or 48.2%). The increase in employee compensation costs resulted from growth in staff in critical areas of the Company to position it for future growth. Higher pension and medical expenses also contributed to this increase. OREO expense increased primarily as the result of a $600 thousand write-down of a commercial property in 2012. The Company is in contract to sell this property at its current carrying value. Other operating expenses increased principally due to $1.9 million in one-time fees, past due real estate taxes and other expenses associated with non-performing loans sold in the third quarter of 2012. Partially offsetting these increases were reductions in outside services expense and FDIC assessment costs in 2012.

Non-interest income grew by $162 thousand versus 2011 due to improvements in deposit service charges, fiduciary fees and gains on the sale of residential mortgage loans. Partially offsetting these improvements were losses of $162 thousand incurred on the sale of two private label collateralized mortgage obligation (“CMO”) securities in 2012 as part of management's efforts to reduce overall balance sheet risk. These securities had previously been written down by $1.1 million in the fourth quarter of 2011 due to other than temporary impairment evident at that time. The Company owns no other private label CMOs.

Commenting on the third quarter results, President and CEO Howard C. Bluver stated, “I am pleased that we were able to successfully execute the final steps needed to clean up the Company's legacy credit issues. With completion of the previously announced $51 million bulk loan sale and $25 million capital raise, we have strengthened our overall financial position, substantially increased our capital levels and put ourselves in the position to start managing the Bank with a forward focus. The one-time, non-recurring charges recognized in the third quarter, as detailed in today's release, are the necessary by-product of a deliberate strategy that allowed us to complete an aggressive balance sheet clean up in less than one year.

“Our management team has also been working hard to put the people, systems and processes in place to position the Company for future growth. As we diversify our lending focus into a more balanced mix of products and begin moving west from the eastern end of Long Island, we believe there are many opportunities for us in attractive markets. By gradually redeploying our current cash position of approximately $375 million into higher-yielding, high quality loans and other interest-earning assets, and focusing our efforts on expense reductions going forward, we believe we can achieve improved financial results in future periods.

“We continue to have one of the most attractive, high performing deposit franchises in the community banking space, with over 80% of our total deposits in low cost, stable core deposit products. During the third quarter, 42% of our average deposits were held in demand deposit accounts, resulting in a total cost of funds of 26 basis points. As our focus turns toward the future, we believe our superior deposit franchise gives us a competitive advantage that we intend to leverage for the benefit of all our stakeholders.”

Performance Highlights

  • Asset Quality – Total non-accrual loans, excluding loans categorized as held-for-sale, decreased to $14 million or 1.87% of loans outstanding at September 30, 2012 versus $81 million or 8.33% of loans outstanding at December 31, 2011 and $92 million or 9.09% of loans outstanding at September 30, 2011. Total accruing loans delinquent 30 days or more amounted to 2.06% of loans outstanding at September 30, 2012 versus 3.56% of loans outstanding at December 31, 2011 and 2.32% of loans outstanding at September 30, 2011. Net loan charge-offs of $20.2 million, including $19.6 million related to loans transferred to held-for-sale and then sold during the quarter, were recorded in the third quarter of 2012 versus $8.4 million in the second quarter of 2012 and $7.1 million in the third quarter of 2011. The allowance for loan losses totaled $21.0 million at September 30, 2012, $40.0 million at December 31, 2011 and $43.7 million at September 30, 2011, representing 2.74%, 4.12% and 4.31% of total loans, respectively, at such dates. The allowance for loan losses as a percentage of non-accrual loans, excluding non-accrual loans categorized as held-for-sale, was 146%, 49% and 47% at September 30, 2012, December 31, 2011 and September 30, 2011, respectively. The Company held OREO of $1.6 million at September 30, 2012 and $1.8 million at December 31, 2011 and September 30, 2011.
  • Capital – The Company's Tier I Leverage ratio was 9.74% at September 30, 2012 versus 8.85% at December 31, 2011 and 8.57% at September 30, 2011. The Company's Total Risk-Based Capital ratio was 18.17% at September 30, 2012 versus 14.26% at December 31, 2011 and 13.88% at September 30, 2011. The Company's Tangible Common Equity ratio (non-GAAP financial measure) was 9.75% at September 30, 2012 versus 9.05% at December 31, 2011 and 9.06% at September 30, 2011. The Company completed a successful $25 million private placement of its common stock with several institutional investors and certain of the Company's directors and officers in September 2012. The institutional investors purchased 1,783,000 shares of common stock at a price of $13.50 per share. Certain of the Company's directors and officers purchased approximately $930,000 of stock at $16.44 per share.
  • Core Deposits – Core deposits, consisting of demand, N.O.W., savings and money market accounts, totaled $1.1 billion at September 30, 2012, December 31, 2011 and September 30, 2011. Core deposits represented 82%, 81% and 80% of total deposits at September 30, 2012, December 31, 2011 and September 30, 2011, respectively. Demand deposits increased by 9.2% to $574 million at September 30, 2012 versus $525 million at December 31, 2011 and by 10.5% from $520 million at September 30, 2011. Demand deposits represented 42% of total deposits at September 30, 2012, 40% at December 31, 2011 and 38% at September 30, 2011.
  • Loans – Loans outstanding at September 30, 2012 declined by 20.9% to $767 million when compared to December 31, 2011 and by 24.3% from September 30, 2011.
  • Net Interest Margin – Net interest margin was 4.09% in the third quarter of 2012 versus 4.39% in the second quarter of 2012 and 4.67% in the third quarter of 2011.
  • Performance Ratios – Return on average assets and return on average common stockholders' equity were (2.34%) and (25.40%), respectively, for the third quarter of 2012 and 1.10% and 12.39%, respectively, for the second quarter of 2012. For the third quarter of 2011, return on average assets and return on average common stockholders' equity were 0.77% and 8.96%, respectively.

Suffolk Bancorp is a one-bank holding company engaged in the commercial banking business through the Suffolk County National Bank, a full service commercial bank headquartered in Riverhead, New York and Suffolk Bancorp's wholly owned subsidiary. Organized in 1890, the Bank has 30 offices in Suffolk County, New York. For more information about the Bank and its products and services, please visit www.scnb.com.

Non-GAAP Disclosure

This press release includes a non-GAAP financial measure of the Company's tangible common equity ratio. A non-GAAP financial measure is a numerical measure of historical or future financial performance, financial position or cash flows that excludes or includes amounts that are required to be disclosed in the most directly comparable measure calculated and presented in accordance with generally accepted accounting principles in the United States (GAAP). The Company believes that these non-GAAP financial measures provide both management and investors a more complete understanding of the underlying operational results and trends and the Company's marketplace performance. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the numbers prepared in accordance with GAAP.

Safe Harbor Statement Pursuant to the Private Securities Litigation Reform Act of 1995

This press release includes statements which look to the future. These can include remarks about the Company, the banking industry, the economy in general, expectations of the business environment in which the Company operates, projections of future performance, and potential future credit experience. These remarks are based upon current management expectations, and may, therefore, involve risks and uncertainties that cannot be predicted or quantified and are beyond the Company's control and are subject to a variety of uncertainties that could cause future results to vary materially from the Company's historical performance, or from current expectations. These remarks may be identified by such forward-looking statements as “should,” “expect,” “believe,” “view,” “opportunity,” “allow,” “continues,” “reflects,” “typically,” “usually,” “anticipate,” or similar statements or variations of such terms. Factors that could affect the Company include particularly, but are not limited to: a failure by the Company to meet the deadlines under SEC rules for filing its periodic reports (or any permitted extension thereof); increased capital requirements mandated by the Company's regulators; the Company's ability to raise capital; changes in interest rates; increases or decreases in retail and commercial economic activity in the Company's market area; variations in the ability and propensity of consumers and businesses to borrow, repay, or deposit money, or to use other banking and financial services; results of regulatory examinations; any failure by the Company to comply with our written agreement with the OCC (the “Agreement”) or the individual minimum capital ratios for the Bank established by the OCC; the cost of compliance with the Agreement; any failure by the Company to maintain effective internal controls over financial reporting; larger-than-expected losses from the sale of assets; potential litigation or regulatory action relating to the matters resulting in the Company's failure to file on time its Quarterly Report on Form 10-Q for the quarters ended March 31, 2011, June 30, 2011, and September 30, 2011 or resulting from the revisions to earnings previously announced on April 12, 2011 or the restatement of its financial statements for the quarterly period ended September 30, 2010 and year ended December 31, 2010; and the potential that net charge-offs are higher than expected or for further increases in our provision for loan losses. Further, it could take the Company longer than anticipated to implement its strategic plans to increase revenue and manage non-interest expense, or it may not be possible to implement those plans at all. Finally, new and unanticipated legislation, regulation, or accounting standards may require the Company to change its practices in ways that materially change the results of operations. We have no obligation to update any forward-looking statements to reflect events or circumstances after the date of this document. For more information, see the risk factors described in the Company's Annual Report on Form 10-K and other filings with the Securities and Exchange Commission.

Financial Highlights Follow

                         
CONSOLIDATED STATEMENTS OF CONDITION
(unaudited, dollars in thousands except for share and per share data)
 
September 30, December 31, September 30,
2012 2011 2011
ASSETS
Cash and cash equivalents
Cash and non-interest bearing deposits due from banks $ 57,937 $ 73,651 $ 30,646
Interest bearing deposits due from banks 344,767 98,908 136,320
Federal funds sold   1,642     -     -  
Total cash and cash equivalents 404,346 172,559 166,966
Federal Reserve Bank, Federal Home Loan Bank and other stock 2,368 2,536 2,536
Investment securities:
Available for sale, at fair value 328,668 299,204 307,362
Held to maturity (fair value of $9,049, $10,161 and $10,390, respectively)   8,164     9,315     9,422  
Total investment securities   336,832     308,519     316,784  
 
Loans 766,569 969,654 1,012,888
Allowance for loan losses   21,021     39,958     43,693  
Net loans 745,548 929,696 969,195
 
Loans held-for-sale 7,000 - -
Premises and equipment, net 27,539 27,984 26,904
Deferred taxes 16,300 18,465 18,109
Income tax receivable 9,300 5,421 2,824
Other real estate owned ("OREO") 1,572 1,800 1,800
Accrued interest and loan fees receivable 5,572 6,885 7,318
Prepaid FDIC assessment 574 1,843 2,354
Goodwill and other intangibles 2,537 2,437 2,444
Receivable - securities sales not settled 3,890 - -
Other assets   5,727     6,082     5,585  
TOTAL ASSETS $ 1,569,105   $ 1,484,227   $ 1,522,819  
 
LIABILITIES & STOCKHOLDERS' EQUITY
Demand deposits $ 573,962 $ 525,379 $ 519,604
Saving, N.O.W. & money market deposits 551,155 531,544 562,203
Time certificates of $100,000 or more 167,677 168,140 181,415
Other time deposits   80,320     86,809     89,957  
Total deposits 1,373,114 1,311,872 1,353,179
 
Unfunded pension liability 21,324 18,212 12,113
Capital leases 4,707 4,737 4,754
Accrued interest payable 287 348 419
Other liabilities   14,393     12,498     12,150  
TOTAL LIABILITIES   1,413,825     1,347,667     1,382,615  
 
STOCKHOLDERS' EQUITY

Common stock (par value $2.50; 15,000,000 shares authorized; 11,566,347, 9,726,814 and 9,726,814 shares outstanding at September 30, 2012, December 31, 2011 and September 30, 2011, respectively)

34,330 34,330 34,330
Surplus 42,476 24,010 24,010
Retained earnings 87,510 91,303 90,148

Treasury stock at par (2,165,738, 4,005,270 and 4,005,270 shares at September 30, 2012, December 31, 2011 and September 30, 2011, respectively)

(5,414 ) (10,013 ) (10,013 )
Accumulated other comprehensive (loss) income, net of tax   (3,622 )   (3,070 )   1,729  
TOTAL STOCKHOLDERS' EQUITY   155,280     136,560     140,204  
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY $ 1,569,105   $ 1,484,227   $ 1,522,819  
 
 
                       
CONSOLIDATED STATEMENTS OF INCOME
(unaudited, dollars in thousands except for share and per share data)
 
Three Months Ended Nine Months Ended
September 30, September 30,
2012 2011 2012 2011
 
INTEREST INCOME
Loans and loan fees $ 11,825 $ 15,100 $ 37,146 $ 47,488
United States Treasury securities - 1 - 96
Obligations of states & political subdivisions 1,517 1,544 4,569 5,332
Collateralized mortgage obligations 1,256 1,404 3,649 4,534
Mortgage-backed securities 145 8 171 24
U.S. Government Agency obligations 30 44 34 337
Corporate bonds 72 - 88 -
Federal funds sold & interest due from banks 168 79 382 140
Dividends   28     17   91     161  
Total interest income   15,041     18,197   46,130     58,112  
 
INTEREST EXPENSE
Saving, N.O.W. & money market deposits 286 435 906 1,618
Time certificates of $100,000 or more 372 471 1,217 1,576
Other time deposits 229 307 767 985
Interest on borrowings   -     1   -     655  

Total interest expense

  887     1,214   2,890     4,834  
 
Net interest income 14,154 16,983 43,240 53,278
Provision for loan losses   12,000     900   9,600     24,088  
Net interest income after provision for loan losses   2,154     16,083   33,640     29,190  
 
NON-INTEREST INCOME
Service charges on deposit accounts 1,022 953 2,972 2,964
Other service charges, commissions & fees 927 988 2,523 2,631
Fiduciary fees 266 213 675 644
Net (loss) gain on sale of securities available for sale (162 ) - (162 ) 1,645
Other operating income   541     278   1,242     872  
Total non-interest income   2,594     2,432   7,250     8,756  
 
OPERATING EXPENSES
Employee compensation and benefits 9,486 8,141 26,945 23,458
Net occupancy expense 1,480 1,435 4,210 4,391
Equipment expense 509 506 1,512 1,451
Outside services 1,145 1,425 3,338 3,713
FDIC assessments 508 555 1,056 2,541
OREO expense 781 182 840 293
Prepayment fee on borrowing - - - 1,028
Other operating expense   3,975     2,683   8,727     6,855  
Total operating expenses   17,884     14,927   46,628     43,730  
 
(Loss) income before income tax (benefit) expense (13,136 ) 3,588 (5,738 ) (5,784 )
Income tax (benefit) expense   (3,975 )   516   (1,945 )   (4,552 )
NET (LOSS) INCOME $ (9,161 ) $ 3,072 $ (3,793 ) $ (1,232 )
 
(LOSS) EARNINGS PER COMMON SHARE - BASIC $ (0.94 ) $ 0.32 $ (0.39 ) $ (0.13 )
(LOSS) EARNINGS PER COMMON SHARE - DILUTED $ (0.94 ) $ 0.32 $ (0.39 ) $ (0.13 )
 
 
                       
STATISTICAL SUMMARY
(unaudited, dollars in thousands except for share and per share data)
 
Three Months Ended Nine Months Ended
September 30, September 30,
2012 2011 2012 2011

EARNINGS:

(Loss) earnings per common share - diluted $ (0.94 ) $ 0.32 $ (0.39 ) $ (0.13 )
Cash dividends per common share - - - -
Net (loss) income (9,161 ) 3,072 (3,793 ) (1,232 )
Net interest income 14,154 16,983 43,240 53,278
 

AVERAGE BALANCES:

Total assets $ 1,559,869 $ 1,572,758 $ 1,531,773 $ 1,609,507
Loans 824,148 1,035,628 896,655 1,076,457
Investment securities 323,630 327,175 314,031 375,415
Interest-earning assets 1,454,558 1,511,595 1,438,245 1,542,302
Demand deposits 576,825 530,217 544,871 513,418
Total deposits 1,382,161 1,402,354 1,350,254 1,414,657
Borrowings - 289 77 27,101
Stockholders' equity 143,480 136,024 138,777 134,959
 

FINANCIAL PERFORMANCE RATIOS:

Return on average assets (2.34 %) 0.77 % (0.33 %) (0.10 %)
Return on average stockholders' equity (25.40 %) 8.96 % (3.65 %) (1.22 %)
Average stockholders' equity/average assets 9.20 % 8.65 % 9.06 % 8.39 %
Average loans/average deposits 59.63 % 73.85 % 66.41 % 76.09 %
Net interest margin (FTE) 4.09 % 4.67 % 4.24 % 4.86 %
Operating efficiency ratio 101.05 % 73.83 % 87.93 % 69.23 %
 

CAPITAL RATIOS (1):

Tier 1 leverage ratio 9.74 % 8.57 % 9.74 % 8.57 %
Tier 1 risk-based capital ratio 16.90 % 12.60 % 16.90 % 12.60 %
Total risk-based capital ratio 18.17 % 13.88 % 18.17 % 13.88 %
Tangible common equity ratio (2) 9.75 % 9.06 % 9.75 % 9.06 %
 

(1)

   

At end of period.

 

(2)

The ratio of tangible common equity to tangible assets, or TCE ratio, is calculated by dividing total common stockholders' equity by total assets, after reducing both amounts by intangible assets. The TCE ratio is not required by GAAP or by applicable bank regulatory requirements, but is a metric used by management to evaluate the adequacy of our capital levels. Since there is no authoritative requirement to calculate the TCE ratio, our TCE ratio is not necessarily comparable to similar capital measures disclosed or used by other companies in the financial services industry. Tangible common equity and tangible assets are non-GAAP financial measures and should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP. With respect to the calculation of the actual unaudited TCE ratio as of September 30, 2012, reconciliations of tangible common equity to GAAP total common stockholders' equity and tangible assets to GAAP total assets are set forth below:

 
Total stockholders' equity       $ 155,280             Total assets       $ 1,569,105
Less: intangible assets   (2,537 ) Less: intangible assets   (2,537 )
Tangible common equity $ 152,743   Tangible assets $ 1,566,568  
 
 
                       

STATISTICAL SUMMARY (continued)

(unaudited, dollars in thousands except for share and per share data)
 
Three Months Ended Nine Months Ended
September 30, September 30,
2012 2011 2012 2011

ASSET QUALITY:

Net charge-offs $ 20,205 $ 7,068 $ 28,537 $ 8,764
Net charge-offs/average loans (annualized) 9.75 % 2.71 % 4.25 % 1.09 %
At end of period:
Non-accrual loans $ 14,356 $ 92,070 $ 14,356 $ 92,070
Non-accrual loans held-for-sale 7,000 - 7,000 -
Loans 90 days past due and still accruing - - - -
OREO   1,572     1,800     1,572     1,800  
Total non-performing assets $ 22,928   $ 93,870   $ 22,928   $ 93,870  
Allowance/non-accrual loans (3) 146.43 % 47.46 % 146.43 % 47.46 %
Allowance/total loans (3) 2.74 % 4.31 % 2.74 % 4.31 %
 

EQUITY:

At end of period:
Common shares outstanding 11,566,347 9,726,814 11,566,347 9,726,814
Stockholders' equity $ 155,280 $ 140,204 $ 155,280 $ 140,204
Book value per common share 13.43 14.41 13.43 14.41
Tangible common equity 152,743 137,760 152,743 137,760
Tangible book value per common share 13.21 14.16 13.21 14.16
Average for the period:
Common shares outstanding 9,837,959 9,726,948 9,764,133 9,718,809
 

LOAN DISTRIBUTION (3):

At end of period:
Commercial and industrial loans $ 177,077 $ 213,569 $ 177,077 $ 213,569
Commercial real estate mortgages 340,581 433,057 340,581 433,057
Real estate - construction loans 23,781 62,023 23,781 62,023
Residential mortgages (1st and 2nd liens) 138,934 171,515 138,934 171,515
Home equity loans 70,276 80,704 70,276 80,704
Consumer & other loans   15,920     52,020     15,920     52,020  
Total loans $ 766,569   $ 1,012,888   $ 766,569   $ 1,012,888  
 
(3)     Excluding loans held for sale.
 
 
                           
NET INTEREST INCOME ANALYSIS
For the Three Months Ended September 30, 2012 and 2011
(dollars in thousands)
 
2012 2011
Average Average Average Average
Balance Interest Yield/Cost Balance Interest Yield/Cost
Assets:
Interest-earning assets:
Investment securities (1) $ 323,630 $ 3,807 4.68 % $ 327,175 $ 3,803 4.61 %
Federal Home Loan Bank and other stock 2,368 28 4.70 2,538 17 2.66
Federal funds sold and interest-bearing deposits 304,412 168 0.22 146,254 79 0.21
Loans   824,148   11,825   5.71   1,035,628   15,100   5.78
Total interest-earning assets   1,454,558 $ 15,828   4.33 %   1,511,595 $ 18,999   4.99 %
Non-interest-earning assets   105,311   61,163
Total Assets $ 1,559,869 $ 1,572,758
 
Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Savings deposits $ 551,566 $ 286 0.21 % $ 587,759 $ 435 0.29 %
Time deposits   253,770   601   0.94   284,378   778   1.09
Total savings and time deposits   805,336   887   0.44   872,137   1,213   0.55
Borrowings   -   -   -   289   1   1.37
Total interest-bearing liabilities   805,336   887   0.44   872,426   1,214   0.55
Demand deposits 576,825 530,217
Other liabilities   34,228   34,091
Total Liabilities 1,416,389 1,436,734
Stockholders' Equity   143,480   136,024
Total Liabilities and Stockholders' Equity $ 1,559,869 $ 1,572,758
Net interest rate spread 3.89 % 4.43 %
Net interest income/margin 14,941 4.09 % 17,785 4.67 %
Less tax-equivalent basis adjustment   (787 )   (802 )
Net interest income $ 14,154   $ 16,983  
 

(1)

   

Interest on securities includes the effects of tax-equivalent basis adjustments of $787 and $802 in 2012 and 2011, respectively.

 
 
                           
NET INTEREST INCOME ANALYSIS
For the Nine Months Ended September 30, 2012 and 2011
(dollars in thousands)
 
2012 2011
Average Average Average Average
Balance Interest Yield/Cost Balance Interest Yield/Cost
Assets:
Interest-earning assets:
Investment securities (1) $ 314,031 $ 10,885 4.63 % $ 375,415 $ 13,097 4.66 %
Federal Home Loan Bank and other stock 2,436 91 4.99 3,707 161 5.81
Federal funds sold and interest-bearing deposits 225,123 382 0.23 86,723 140 0.22
Loans   896,655   37,146   5.53   1,076,457   47,488   5.90
Total interest-earning assets   1,438,245 $ 48,504   4.50 %   1,542,302 $ 60,886   5.28 %
Non-interest-earning assets   93,528   67,205
Total Assets $ 1,531,773 $ 1,609,507
 
Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Savings deposits $ 547,238 $ 906 0.22 % $ 608,396 $ 1,618 0.36 %
Time deposits   258,145   1,984   1.03   292,843   2,561   1.17
Total savings and time deposits   805,383   2,890   0.48   901,239   4,179   0.62
Borrowings   77   -   -   27,101   655   3.23
Total interest-bearing liabilities   805,460   2,890   0.48   928,340   4,834   0.70
Demand deposits 544,871 513,418
Other liabilities   42,665   32,790
Total Liabilities 1,392,996 1,474,548
Stockholders' Equity   138,777   134,959
Total Liabilities and Stockholders' Equity $ 1,531,773 $ 1,609,507
Net interest rate spread 4.03 % 4.58 %
Net interest income/margin 45,614 4.24 % 56,052 4.86 %
Less tax-equivalent basis adjustment   (2,374 )   (2,774 )
Net interest income $ 43,240   $ 53,278  
 

(1)

   

Interest on securities includes the effects of tax-equivalent basis adjustments of $2,374 and $2,774 in 2012 and 2011, respectively.

Suffolk Bancorp
Press:
Frank D. Filipo
Executive Vice President &
Operating Officer
(631) 208-2400
or
Investors:
Brian K. Finneran
Executive Vice President &
Chief Financial Officer
(631) 208-2400










View Comments and Join the Discussion!