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M&T Bank Corporation Announces Third Quarter Results
PR Newswire
BUFFALO, N.Y.

BUFFALO, N.Y., Oct. 19, 2016 -- M&T Bank Corporation ("M&T")(NYSE: MTB) today reported its results of operations for the quarter ended September 30, 2016.

GAAP Results of Operations.  Diluted earnings per common share measured in accordance with generally accepted accounting principles ("GAAP") for the third quarter of 2016 were $2.10, up 9% from $1.93 in the year-earlier quarter.  GAAP-basis net income in the recent quarter aggregated $350 million, 25% higher than $280 million in the third quarter of 2015.  Diluted earnings per common share and GAAP-basis net income were $1.98 and $336 million, respectively, in 2016's second quarter.  GAAP-basis net income for the third quarter of 2016 expressed as an annualized rate of return on average assets and average common shareholders' equity was 1.12% and 8.68%, respectively, compared with 1.13% and 8.93%, respectively, in the year-earlier quarter and 1.09% and 8.38%, respectively, in 2016's second quarter.  During the recent quarter, M&T sold substantially all of the collateralized debt obligations held in its available-for-sale investment securities portfolio.  As a result, net gains on investment securities totaled $17 million after applicable tax effect, or $.11 of diluted earnings per common share.

Commenting on M&T's financial performance, Darren J. King, Executive Vice President and Chief Financial Officer, noted, "Third quarter results posted by M&T were highlighted by a 16% rise in mortgage banking revenues, strong growth in the commercial real estate and commercial loan portfolios and continued solid credit performance.  The favorable results were achieved in a period where the low interest rate environment continued to pressure M&T's net interest margin and where we continued to invest for the future.  During the recent quarter, M&T successfully divested certain investments that were subject to the 'Volcker Rule'."

For the first nine months of 2016, diluted earnings per common share were $5.80, up 4% from $5.56 in the corresponding period of 2015.  GAAP-basis net income for the nine-month period ended September 30, 2016 aggregated $985 million, 22% higher than $809 million in the year-earlier period.  Expressed as an annualized rate of return on average assets and average common shareholders' equity, GAAP-basis net income for the first nine months of 2016 was 1.06% and 8.17%, respectively, compared with 1.11% and 8.77%, respectively, in the similar 2015 period.

Supplemental Reporting of Non-GAAP Results of Operations.  M&T consistently provides supplemental reporting of its results on a "net operating" or "tangible" basis, from which M&T excludes the after-tax effect of amortization of core deposit and other intangible assets (and the related goodwill, core deposit intangible and other intangible asset balances, net of applicable deferred tax amounts) and expenses associated with merging acquired operations into M&T, since such items are considered by management to be "nonoperating" in nature.  The amounts of such "nonoperating" expense are presented in the tables that accompany this release.  Although "net operating income" as defined by M&T is not a GAAP measure, M&T's management believes that this information helps investors understand the effect of acquisition activity in reported results. 

Diluted net operating earnings per common share were $2.13 in the third quarter of 2016, up 9% from $1.95 in the year-earlier quarter and up 3% from $2.07 in the second quarter of 2016.  Net operating income during the recent quarter was $356 million, compared with $283 million in the third quarter of 2015 and $351 million in 2016's second quarter.  Expressed as an annualized rate of return on average tangible assets and average tangible common shareholders' equity, net operating income was 1.18% and 12.77%, respectively, in the recent quarter, 1.18% and 12.98%, respectively, in the third quarter of 2015 and 1.18% and 12.68%, respectively, in the second quarter of 2016. 

Diluted net operating earnings per common share in the first nine months of 2016 were $6.07, up 8% from $5.64 in the corresponding period of 2015.  Net operating income during the nine-month period ended September 30, 2016 was $1.03 billion, compared with $819 million in the similar 2015 period.  Net operating income expressed as an annualized rate of return on average tangible assets and average tangible common shareholders' equity was 1.15% and 12.36%, respectively, in the first nine months of 2016, compared with 1.17% and 12.89%, respectively, in the first nine months of 2015.

Taxable-equivalent Net Interest Income.  Net interest income expressed on a taxable-equivalent basis totaled $865 million in the third quarter of 2016, up 24% from $699 million in the year-earlier quarter.  Contributing to that improvement was a 28% increase in average earning assets, which grew to $112.9 billion in the recent quarter from $88.4 billion in the third quarter of 2015.  That growth reflects the November 2015 acquisition of Hudson City Bancorp, Inc. ("Hudson City") that added approximately $16.2 billion in average loans in the recent quarter.  In total, average loans in 2016's third quarter were $88.7 billion, up $20.9 billion, or 31%, from the year-earlier quarter.  Partially offsetting the favorable impact of the asset growth was a 9 basis point narrowing of the net interest margin to 3.05% in the recent quarter from 3.14% in the third quarter of 2015.  That narrowing reflects the ongoing impact of low interest rates on yields on securities and newly originated loans and higher balances on deposit at the Federal Reserve Bank of New York.  As a result of the challenging interest rate environment, taxable-equivalent net interest income in the recent quarter was 1% lower than $870 million in the second quarter of 2016.  A $992 million increase in average earning assets as compared with the second 2016 quarter, including a $577 million increase in average loans and leases, was offset by an 8 basis point compression of the net interest margin.

Provision for Credit Losses/Asset Quality.  The provision for credit losses was $47 million in the recent quarter, compared with $44 million in the third quarter of 2015 and $32 million in 2016's second quarter. Net charge-offs of loans were $41 million during the third quarter of 2016, compared with $40 million and $24 million in the third quarter of 2015 and second quarter of 2016, respectively.  Expressed as an annualized percentage of average loans outstanding, net charge-offs were .19% and .24% in the third quarter of 2016 and 2015, respectively, and .11% in the second quarter of 2016.

Loans classified as nonaccrual totaled $837 million, or .93% of total loans outstanding at September 30, 2016 and $849 million or .96% at June 30, 2016, compared with $787 million or 1.15% at September 30, 2015.  The higher level of nonaccrual loans at the two most recent quarter-ends as compared with September 30, 2015 reflects the normal migration of previously performing loans obtained in the acquisition of Hudson City that became past due over 90 days during the first nine months of 2016, and, as such, were not identifiable as purchased impaired as of the acquisition date.  Assets taken in foreclosure of defaulted loans totaled $160 million at September 30, 2016, compared with $66 million a year earlier and $172 million at June 30, 2016.  The higher level of such assets at the two most recent quarter-ends as compared with September 30, 2015 also resulted from residential real estate properties associated with the Hudson City acquisition.

Allowance for Credit Losses.  M&T regularly performs detailed analyses of individual borrowers and portfolios for purposes of assessing the adequacy of the allowance for credit losses.  As a result of those analyses, the allowance for credit losses totaled $976 million or 1.09% of loans outstanding at September 30, 2016, compared with $970 million or 1.10% at June 30, 2016 and $934 million or 1.36% at September 30, 2015.  The lower ratios at June 30 and September 30, 2016 as compared with September 30, 2015 reflect the impact of residential real estate loans acquired in the Hudson City transaction.

Noninterest Income and Expense.  Noninterest income totaled $491 million in the recent quarter, up  from $440 million in the third quarter of 2015 and $448 million in the second quarter of 2016. Reflected in noninterest income in the recent quarter were $28 million of pre-tax gains from the sale of investment securities that had been obtained in acquisitions.  There were no significant gains or losses on investment securities in the third quarter of 2015 or in the second quarter of 2016.  In addition to the investment securities gains, mortgage banking revenues also contributed to the rise in noninterest income as compared with the two earlier quarters.

Noninterest expense in the third quarter of 2016 totaled $752 million, compared with $750 million in the second quarter of 2016 and $654 million in the third quarter of 2015.  Included in such amounts are expenses considered to be nonoperating in nature consisting of amortization of core deposit and other intangible assets and merger-related expenses.  Exclusive of those expenses, noninterest operating expenses were $743 million in the recent quarter, $726 million in the second quarter of 2016 and $650 million in the third quarter of 2015. Contributing to the higher level of operating expenses in the two most recent quarters as compared with the third quarter of 2015 was the impact of operations obtained in the Hudson City acquisition.  As compared with the second quarter of 2016, the higher level of operating expenses in the recent quarter reflects increased FDIC assessments and higher advertising and promotion costs. 

The efficiency ratio, or noninterest operating expenses divided by the sum of taxable-equivalent net interest income and noninterest income (exclusive of gains and losses from bank investment securities), measures the relationship of operating expenses to revenues.  M&T's efficiency ratio was 55.9% in the recent quarter, 57.1% in the year-earlier quarter and 55.1% in the second quarter of 2016.

Balance Sheet.  M&T had total assets of $126.8 billion at September 30, 2016 and $123.8 billion at June 30, 2016, up from $97.8 billion at September 30, 2015.  Loans and leases, net of unearned discount, totaled $89.6 billion at September 30, 2016, $21.1 billion or 31% above $68.5 billion a year earlier and up an annualized 5% from $88.5 billion at June 30, 2016.  During the recent quarter, loans to commercial customers grew $1.8 billion, while residential real estate loans, largely comprised of mortgage loans obtained in the Hudson City acquisition, declined $946 million.  Total deposits increased to $98.1 billion at the recent quarter-end from $72.9 billion at September 30, 2015 and $94.7 billion at June 30, 2016. 

Total shareholders' equity rose 26% to $16.3 billion at September 30, 2016 from $12.9 billion a year earlier, representing 12.88% and 13.21%, respectively, of total assets.  Common shareholders' equity was $15.1 billion, or $97.47 per share, at September 30, 2016, compared with $11.7 billion, or $87.67 per share, at September 30, 2015.  Tangible equity per common share of $67.42 at September 30, 2016 was up 10% from $61.22 at September 30, 2015.  Common shareholders' equity per share and tangible equity per common share were $96.49 and $66.95, respectively, at June 30, 2016.  In the calculation of tangible equity per common share, common shareholders' equity is reduced by the carrying values of goodwill and core deposit and other intangible assets, net of applicable deferred tax balances.  M&T estimates that the ratio of Common Equity Tier 1 to risk-weighted assets under regulatory capital rules was approximately 10.76% at September 30, 2016.

In accordance with its 2016 capital plan, M&T repurchased 3,039,563 shares of its common stock during the recent quarter at an average cost per share of $115.15, for a total cost of $350 million.  During the first nine months of 2016, M&T repurchased 5,307,595 shares of its common stock at an average cost per share of $113.80, for a total cost of $604 million.

Conference Call.  Investors will have an opportunity to listen to M&T's conference call to discuss third quarter financial results today at 11:00 a.m. Eastern Time.  Those wishing to participate in the call may dial (877)780-2276.  International participants, using any applicable international calling codes, may dial (973)582-2700.  Callers should reference M&T Bank Corporation or the conference ID #87013497.  The conference call will be webcast live through M&T's website at http://ir.mandtbank.com/events.cfm. A replay of the call will be available through Saturday, October 22, 2016 by calling (800)585-8367, or (404)537-3406 for international participants, and by making reference to ID #87013497.  The event will also be archived and available by 7:00 p.m. today on M&T's website at http://ir.mandtbank.com/events.cfm.

M&T is a financial holding company headquartered in Buffalo, New York.  M&T's principal banking subsidiary, M&T Bank, operates banking offices in New York, Maryland, New Jersey, Pennsylvania, Delaware, Connecticut, Virginia, West Virginia and the District of Columbia.  Trust-related services are provided by M&T's Wilmington Trust-affiliated companies and by M&T Bank.

Forward-Looking Statements.  This news release contains forward-looking statements that are based on current expectations, estimates and projections about M&T's business, management's beliefs and assumptions made by management.  These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions ("Future Factors") which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements.

Future Factors include changes in interest rates, spreads on earning assets and interest-bearing liabilities, and interest rate sensitivity; prepayment speeds, loan originations, credit losses and market values on loans, collateral securing loans, and other assets; sources of liquidity; common shares outstanding; common stock price volatility; fair value of and number of stock-based compensation awards to be issued in future periods; the impact of changes in market values on trust-related revenues; legislation affecting the financial services industry as a whole, and M&T and its subsidiaries individually or collectively, including tax legislation; regulatory supervision and oversight, including monetary policy and capital requirements; changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or regulatory agencies; increasing price and product/service competition by competitors, including new entrants; rapid technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; the mix of products/services; containing costs and expenses; governmental and public policy changes; protection and validity of intellectual property rights; reliance on large customers; technological, implementation and cost/financial risks in large, multi-year contracts; the outcome of pending and future litigation and governmental proceedings, including tax-related examinations and other matters; continued availability of financing; financial resources in the amounts, at the times and on the terms required to support M&T and its subsidiaries' future businesses; and material differences in the actual financial results of merger, acquisition and investment activities compared with M&T's initial expectations, including the full realization of anticipated cost savings and revenue enhancements.

These are representative of the Future Factors that could affect the outcome of the forward-looking statements.  In addition, such statements could be affected by general industry and market conditions and growth rates, general economic and political conditions, either nationally or in the states in which M&T and its subsidiaries do business, including interest rate and currency exchange rate fluctuations, changes and trends in the securities markets, and other Future Factors.

 

M&T BANK CORPORATION

                           

Financial Highlights

                           
   

Three months ended

         

Nine months ended

     

Amounts in thousands,

 

September 30

         

September 30

     

 except per share

 

2016

 

2015

 

Change

     

2016

 

2015

 

Change

 
                               

Performance

                             
                               

Net income

$

349,984

 

280,401

 

25

%

$

984,543

 

808,702

 

22

%

Net income available to common shareholders

 

326,998

 

257,346

 

27

%

 

915,686

 

739,656

 

24

%

                               

Per common share:

                             

  Basic earnings

$

2.10

 

1.94

 

8

%

$

5.82

 

5.59

 

4

%

  Diluted earnings

 

2.10

 

1.93

 

9

%

 

5.80

 

5.56

 

4

%

  Cash dividends

$

.70

 

.70

 

-

   

$

2.10

 

2.10

 

-

 
                               

Common shares outstanding:

                             

  Average - diluted (1)

 

156,026

 

133,376

 

17

%

 

157,843

 

133,089

 

19

%

  Period end (2)

 

154,987

 

133,311

 

16

%

 

154,987

 

133,311

 

16

%

                               

Return on (annualized):

                             

  Average total assets

 

1.12

%

1.13

%

       

1.06

%

1.11

%

   

  Average common shareholders' equity

 

8.68

%

8.93

%

       

8.17

%

8.77

%

   
                               

Taxable-equivalent net interest income

$

865,065

 

699,075

 

24

%

$

2,613,702

 

2,053,649

 

27

%

                               

Yield on average earning assets

 

3.44

%

3.48

%

       

3.50

%

3.51

%

   

Cost of interest-bearing liabilities

 

.59

%

.55

%

       

.56

%

.55

%

   

Net interest spread

 

2.85

%

2.93

%

       

2.94

%

2.96

%

   

Contribution of interest-free funds

 

.20

%

.21

%

       

.18

%

.20

%

   

Net interest margin

 

3.05

%

3.14

%

       

3.12

%

3.16

%

   
                               

Net charge-offs to average total 

                             

  net loans (annualized)

 

.19

%

.24

%

       

.16

%

.19

%

   
                               

Net operating results (3)

                             
                               

Net operating income

$

355,929

 

282,907

 

26

%

$

1,026,597

 

819,024

 

25

%

Diluted net operating earnings per common share

 

2.13

 

1.95

 

9

%

 

6.07

 

5.64

 

8

%

Return on (annualized):

                             

  Average tangible assets

 

1.18

%

1.18

%

       

1.15

%

1.17

%

   

  Average tangible common equity

 

12.77

%

12.98

%

       

12.36

%

12.89

%

   

Efficiency ratio

 

55.92

%

57.05

%

       

55.99

%

58.88

%

   
                               
                               
                               
   

 

At September 30

                     

Loan quality

 

2016

 

2015

 

Change

                 
                               

Nonaccrual loans

$

837,362

 

787,098

 

6

%

             

Real estate and other foreclosed assets

 

159,881

 

66,144

 

142

%

             

  Total nonperforming assets

$

997,243

 

853,242

 

17

%

             
                               

Accruing loans past due 90 days or more (4)

$

317,282

 

231,465

 

37

%

             
                               

Government guaranteed loans included in totals

                             

  above:

                             

  Nonaccrual loans

$

47,130

 

48,955

 

-4

%

             

  Accruing loans past due 90 days or more

 

282,077

 

193,998

 

45

%

             
                               

Renegotiated loans

$

217,559

 

189,639

 

15

%

             
                               

Accruing loans acquired at a discount past due 90

                             

  days or more (5)

$

65,182

 

80,827

 

-19

%

             
                               

Purchased impaired loans (6):

                             

  Outstanding customer balance

$

981,105

 

278,979

 

252

%

             

  Carrying amount

 

616,991

 

149,421

 

313

%

             
                               

Nonaccrual loans to total net loans

 

.93

%

1.15

%

                   
                               

Allowance for credit losses to total loans

 

1.09

%

1.36

%

                   
                               
                               

(1)  Includes common stock equivalents.

                             

(2)  Includes common stock issuable under deferred compensation plans.

                     

(3)  Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related expenses which, except in the

       calculation of the efficiency ratio, are net of applicable income tax effects.  Reconciliations of net income with net operating income appear herein.

 

(4)  Excludes loans acquired at a discount.

                             

(5)  Loans acquired at a discount that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that

       are presented separately.

                             

(6)  Accruing loans acquired at a discount that were impaired at acquisition date and recorded at fair value.

             
                               

 

 

 

M&T BANK CORPORATION

                                 

Financial Highlights, Five Quarter Trend

                           
       

Three months ended

       

Amounts in thousands,

     

September 30,

 

June 30,

 

March 31,

 

December 31,

 

September 30,

     

 except per share

     

2016

 

2016

 

2016

 

2015

 

2015

     
                                         

Performance

                                       
                                         

Net income

   

$

349,984

   

336,031

   

298,528

   

270,965

   

280,401

       

Net income available to common shareholders

     

326,998

   

312,974

   

275,748

   

248,059

   

257,346

       
                                         

Per common share:

                                       

  Basic earnings

   

$

2.10

   

1.98

   

1.74

   

1.65

   

1.94

       

  Diluted earnings

     

2.10

   

1.98

   

1.73

   

1.65

   

1.93

       

  Cash dividends

   

$

.70

   

.70

   

.70

   

.70

   

.70

       
                                         

Common shares outstanding:

                                       

  Average - diluted (1)

     

156,026

   

158,341

   

159,181

   

150,718

   

133,376

       

  Period end (2)

     

154,987

   

157,917

   

159,156

   

159,600

   

133,311

       
                                         

Return on (annualized):

                                       

  Average total assets

     

1.12

%

 

1.09

%

 

.97

%

 

.93

%

 

1.13

%

     

  Average common shareholders' equity

     

8.68

%

 

8.38

%

 

7.44

%

 

7.22

%

 

8.93

%

     
                                         

Taxable-equivalent net interest income

   

$

865,065

   

870,341

   

878,296

   

813,401

   

699,075

       
                                         

Yield on average earning assets

     

3.44

%

 

3.51

%

 

3.54

%

 

3.48

%

 

3.48

%

     

Cost of interest-bearing liabilities

     

.59

%

 

.56

%

 

.53

%

 

.54

%

 

.55

%

     

Net interest spread

     

2.85

%

 

2.95

%

 

3.01

%

 

2.94

%

 

2.93

%

     

Contribution of interest-free funds

     

.20

%

 

.18

%

 

.17

%

 

.18

%

 

.21

%

     

Net interest margin

     

3.05

%

 

3.13

%

 

3.18

%

 

3.12

%

 

3.14

%

     
                                         

Net charge-offs to average total 

                                       

  net loans (annualized)

     

.19

%

 

.11

%

 

.19

%

 

.18

%

 

.24

%

     
                                         

Net operating results (3)

                                       
                                         

Net operating income

   

$

355,929

   

350,604

   

320,064

   

337,613

   

282,907

       

Diluted net operating earnings per common share

     

2.13

   

2.07

   

1.87

   

2.09

   

1.95

       

Return on (annualized):

                                       

  Average tangible assets

     

1.18

%

 

1.18

%

 

1.09

%

 

1.21

%

 

1.18

%

     

  Average tangible common equity

     

12.77

%

 

12.68

%

 

11.62

%

 

13.26

%

 

12.98

%

     

Efficiency ratio

     

55.92

%

 

55.06

%

 

57.00

%

 

55.53

%

 

57.05

%

     
                                         
                                         
                                         
                 
       

September 30,

 

June 30,

 

March 31,

 

December 31,

 

September 30,

     

Loan quality

     

2016

 

2016

 

2016

 

2015

 

2015

     
                                         

Nonaccrual loans

   

$

837,362

   

848,855

   

876,691

   

799,409

   

787,098

       

Real estate and other foreclosed assets

     

159,881

   

172,473

   

188,004

   

195,085

   

66,144

       

  Total nonperforming assets

   

$

997,243

   

1,021,328

   

1,064,695

   

994,494

   

853,242

       
                                         

Accruing loans past due 90 days or more (4)

   

$

317,282

   

298,449

   

336,170

   

317,441

   

231,465

       
                                         

Government guaranteed loans included in totals

                                       

  above:

                                       

  Nonaccrual loans

   

$

47,130

   

52,486

   

49,688

   

47,052

   

48,955

       

  Accruing loans past due 90 days or more

     

282,077

   

269,962

   

279,340

   

276,285

   

193,998

       
                                         

Renegotiated loans

   

$

217,559

   

211,159

   

200,771

   

182,865

   

189,639

       
                                         

Accruing loans acquired at a discount past due 90 days or more (5)

   

$

65,182

   

68,591

   

61,767

   

68,473

   

80,827

       
                                         

Purchased impaired loans (6):

                                       

  Outstanding customer balance

   

$

981,105

   

1,040,678

   

1,124,776

   

1,204,004

   

278,979

       

  Carrying amount

     

616,991

   

662,059

   

715,874

   

768,329

   

149,421

       
                                         

Nonaccrual loans to total net loans

     

.93

%

 

.96

%

 

1.00

%

 

.91

%

 

1.15

%

     
                                         

Allowance for credit losses to total loans

     

1.09

%

 

1.10

%

 

1.10

%

 

1.09

%

 

1.36

%

     
                                         

(1)  Includes common stock equivalents.

                                       

(2)  Includes common stock issuable under deferred compensation plans.

                         

(3)  Excludes amortization and balances related to goodwill and core deposit and other intangible assets and merger-related expenses which, except in the

 

       calculation of the efficiency ratio, are net of applicable income tax effects. Reconciliations of net income with net operating income appear herein.

   

(4)  Excludes loans acquired at a discount.

                                       

(5)  Loans acquired at a discount that were recorded at fair value at acquisition date. This category does not include purchased impaired loans that are presented separately.

(6)  Accruing loans acquired at a discount that were impaired at acquisition date and recorded at fair value.

                   

 

 

 

M&T BANK CORPORATION

                             

Condensed Consolidated Statement of Income

                             
                               
   

Three months ended

         

Nine months ended

     
   

September 30

         

September 30

     

Dollars in thousands

 

2016

 

2015

 

Change

     

2016

 

2015

 

Change

 
                               

Interest income

$

969,515

 

770,026

 

26

%

 

$

2,912,970

 

2,268,467

 

28

%

Interest expense

 

111,175

 

77,199

 

44

     

318,847

 

232,924

 

37

 
                               

Net interest income

 

858,340

 

692,827

 

24

     

2,594,123

 

2,035,543

 

27

 
                               

Provision for credit losses

 

47,000

 

44,000

 

7

     

128,000

 

112,000

 

14

 
                               

Net interest income after

                             

   provision for credit losses

 

811,340

 

648,827

 

25

     

2,466,123

 

1,923,543

 

28

 
                               

Other income

                             

     Mortgage banking revenues

 

103,747

 

84,035

 

23

     

275,193

 

288,238

 

-5

 

     Service charges on deposit accounts

 

107,935

 

107,259

 

1

     

314,212

 

314,860

 

-

 

     Trust income

 

118,654

 

113,744

 

4

     

350,181

 

356,076

 

-2

 

     Brokerage services income

 

15,914

 

16,902

 

-6

     

48,190

 

49,224

 

-2

 

     Trading account and foreign exchange gains

 

12,754

 

8,362

 

53

     

33,434

 

20,639

 

62

 

     Gain (loss) on bank investment securities

 

28,480

 

-

 

-

     

28,748

 

(108)

 

-

 

     Other revenues from operations

 

103,866

 

109,397

 

-5

     

310,579

 

348,000

 

-11

 

          Total other income

 

491,350

 

439,699

 

12

     

1,360,537

 

1,376,929

 

-1

 
                               

Other expense

                             

     Salaries and employee benefits

 

399,786

 

363,567

 

10

     

1,230,246

 

1,115,117

 

10

 

     Equipment and net occupancy

 

75,263

 

68,470

 

10

     

225,165

 

201,792

 

12

 

     Printing, postage and supplies

 

8,972

 

8,691

 

3

     

30,865

 

27,586

 

12

 

     Amortization of core deposit and other

                             

        intangible assets

 

9,787

 

4,090

 

139

     

33,524

 

16,848

 

99

 

     FDIC assessments

 

28,459

 

11,090

 

157

     

76,054

 

32,551

 

134

 

     Other costs of operations

 

230,125

 

197,908

 

16

     

682,528

 

642,925

 

6

 

          Total other expense

 

752,392

 

653,816

 

15

     

2,278,382

 

2,036,819

 

12

 
                               

Income before income taxes

 

550,298

 

434,710

 

27

     

1,548,278

 

1,263,653

 

23

 
                               

Applicable income taxes

 

200,314

 

154,309

 

30

     

563,735

 

454,951

 

24

 
                               

Net income

$

349,984

 

280,401

 

25

%

 

$

984,543

 

808,702

 

22

%

                               
                               

 

 

 

M&T BANK CORPORATION

                             

Condensed Consolidated Statement of Income, Five Quarter Trend

                         
                               
   

Three months ended

 
   

September 30,

 

June 30,

 

March 31,

 

December 31,

 

September 30,

Dollars in thousands

 

2016

 

2016

 

2016

 

2015

 

2015

                               

Interest income

$

969,515

   

970,621

   

972,834

   

902,377

   

770,026

 

Interest expense

 

111,175

   

106,802

   

100,870

   

95,333

   

77,199

 
                               

Net interest income

 

858,340

   

863,819

   

871,964

   

807,044

   

692,827

 
                               

Provision for credit losses

 

47,000

   

32,000

   

49,000

   

58,000

   

44,000

 
                               

Net interest income after

                             

   provision for credit losses

 

811,340

   

831,819

   

822,964

   

749,044

   

648,827

 
                               

Other income

                             

     Mortgage banking revenues

 

103,747

   

89,383

   

82,063

   

87,500

   

84,035

 

     Service charges on deposit accounts

 

107,935

   

103,872

   

102,405

   

105,748

   

107,259

 

     Trust income

 

118,654

   

120,450

   

111,077

   

114,564

   

113,744

 

     Brokerage services income

 

15,914

   

16,272

   

16,004

   

15,546

   

16,902

 

     Trading account and foreign exchange gains

 

12,754

   

13,222

   

7,458

   

9,938

   

8,362

 

     Gain (loss) on bank investment securities

 

28,480

   

264

   

4

   

(22)

   

-

 

     Other revenues from operations

 

103,866

   

104,791

   

101,922

   

114,834

   

109,397

 

          Total other income

 

491,350

   

448,254

   

420,933

   

448,108

   

439,699

 
                               

Other expense

                             

     Salaries and employee benefits

 

399,786

   

398,675

   

431,785

   

434,413

   

363,567

 

     Equipment and net occupancy

 

75,263

   

75,724

   

74,178

   

70,747

   

68,470

 

     Printing, postage and supplies

 

8,972

   

9,907

   

11,986

   

10,905

   

8,691

 

     Amortization of core deposit and other 

                             

        intangible assets

 

9,787

   

11,418

   

12,319

   

9,576

   

4,090

 

     FDIC assessments

 

28,459

   

22,370

   

25,225

   

19,562

   

11,090

 

     Other costs of operations

 

230,125

   

231,801

   

220,602

   

240,910

   

197,908

 

          Total other expense

 

752,392

   

749,895

   

776,095

   

786,113

   

653,816

 
                               

Income before income taxes

 

550,298

   

530,178

   

467,802

   

411,039

   

434,710

 
                               

Applicable income taxes

 

200,314

   

194,147

   

169,274

   

140,074

   

154,309

 
                               

Net income

$

349,984

   

336,031

   

298,528

   

270,965

   

280,401

 
                               
                               
                               

 

 

 

M&T BANK CORPORATION

               

Condensed Consolidated Balance Sheet

               
                 
     

September 30

     

Dollars in thousands

   

2016

 

2015

 

Change

 
                 

ASSETS

               
                 

Cash and due from banks

 

$

1,332,202

 

1,249,704

 

7

%

                 

Interest-bearing deposits at banks

   

10,777,636

 

4,713,266

 

129

 
                 

Trading account assets

   

488,588

 

340,710

 

43

 
                 

Investment securities

   

14,733,574

 

14,494,539

 

2

 
                 

Loans and leases:

               
                 

   Commercial, financial, etc. 

   

21,917,163

 

20,233,177

 

8

 

   Real estate - commercial

   

32,078,762

 

28,720,537

 

12

 

   Real estate - consumer

   

23,584,420

 

8,211,062

 

187

 

   Consumer

   

12,066,147

 

11,375,472

 

6

 

     Total loans and leases, net of unearned discount

   

89,646,492

 

68,540,248

 

31

 

        Less: allowance for credit losses

   

976,121

 

933,798

 

5

 
                 

  Net loans and leases

   

88,670,371

 

67,606,450

 

31

 
                 

Goodwill

   

4,593,112

 

3,513,325

 

31

 
                 

Core deposit and other intangible assets

   

106,744

 

18,179

 

487

 
                 

Other assets

   

6,138,801

 

5,860,889

 

5

 
                 

  Total assets

 

$

126,841,028

 

97,797,062

 

30

%

                 
                 

LIABILITIES AND SHAREHOLDERS' EQUITY

               
                 

Noninterest-bearing deposits

 

$

33,127,627

 

28,189,330

 

18

%

                 

Interest-bearing deposits

   

64,786,035

 

44,549,028

 

45

 
                 

Deposits at Cayman Islands office

   

223,183

 

206,185

 

8

 
                 

  Total deposits

   

98,136,845

 

72,944,543

 

35

 
                 

Short-term borrowings

   

213,846

 

173,783

 

23

 
                 

Accrued interest and other liabilities

   

1,938,201

 

1,582,513

 

22

 
                 

Long-term borrowings

   

10,211,160

 

10,174,289

 

-

 
                 

  Total liabilities

   

110,500,052

 

84,875,128

 

30

 
                 

Shareholders' equity:

               
                 

   Preferred

   

1,231,500

 

1,231,500

 

-

 

   Common (1)

   

15,109,476

 

11,690,434

 

29

 
                 

     Total shareholders' equity

   

16,340,976

 

12,921,934

 

26

 
                 

  Total liabilities and shareholders' equity

 

$

126,841,028

 

97,797,062

 

30

%

                 
                 

(1)  Reflects accumulated other comprehensive loss, net of applicable income tax effect, of $114.6 million at September 30,

       2016 and $163.5 million at September 30, 2015.

               
                 

 

 

 

M&T BANK CORPORATION

                                 

Condensed Consolidated Balance Sheet, Five Quarter Trend

                             
           
     

September 30,

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 

Dollars in thousands

   

2016

 

2016

 

2016

 

2015

 

2015

 
                                   

ASSETS

                                 
                                   

Cash and due from banks

 

$

1,332,202

   

1,284,442

   

1,178,175

   

1,368,040

   

1,249,704

   
                                   

Interest-bearing deposits at banks

   

10,777,636

   

8,474,839

   

9,545,181

   

7,594,350

   

4,713,266

   
                                   

Trading account assets

   

488,588

   

506,131

   

467,987

   

273,783

   

340,710

   
                                   

Investment securities

   

14,733,574

   

14,963,084

   

15,467,320

   

15,656,439

   

14,494,539

   
                                   

Loans and leases:

                                 
                                   

   Commercial, financial, etc. 

   

21,917,163

   

21,469,242

   

21,226,577

   

20,422,338

   

20,233,177

   

   Real estate - commercial

   

32,078,762

   

30,711,230

   

29,713,293

   

29,197,311

   

28,720,537

   

   Real estate - consumer

   

23,584,420

   

24,530,249

   

25,299,638

   

26,270,103

   

8,211,062

   

   Consumer

   

12,066,147

   

11,811,277

   

11,632,958

   

11,599,747

   

11,375,472

   

     Total loans and leases, net of unearned discount

   

89,646,492

   

88,521,998

   

87,872,466

   

87,489,499

   

68,540,248

   

        Less: allowance for credit losses

   

976,121

   

970,496

   

962,752

   

955,992

   

933,798

   
                                   

  Net loans and leases

   

88,670,371

   

87,551,502

   

86,909,714

   

86,533,507

   

67,606,450

   
                                   

Goodwill

   

4,593,112

   

4,593,112

   

4,593,112

   

4,593,112

   

3,513,325

   
                                   

Core deposit and other intangible assets

   

106,744

   

116,531

   

127,949

   

140,268

   

18,179

   
                                   

Other assets

   

6,138,801

   

6,330,943

   

6,336,194

   

6,628,385

   

5,860,889

   
                                   

  Total assets

 

$

126,841,028

   

123,820,584

   

124,625,632

   

122,787,884

   

97,797,062

   
                                   
                                   

LIABILITIES AND SHAREHOLDERS' EQUITY

                                 
                                   

Noninterest-bearing deposits

 

$

33,127,627

   

30,700,066

   

29,709,218

   

29,110,635

   

28,189,330

   
                                   

Interest-bearing deposits

   

64,786,035

   

63,756,514

   

64,338,571

   

62,677,036

   

44,549,028

   
                                   

Deposits at Cayman Islands office

   

223,183

   

193,523

   

166,787

   

170,170

   

206,185

   
                                   

  Total deposits

   

98,136,845

   

94,650,103

   

94,214,576

   

91,957,841

   

72,944,543

   
                                   

Short-term borrowings

   

213,846

   

407,123

   

1,766,826

   

2,132,182

   

173,783

   
                                   

Accrued interest and other liabilities

   

1,938,201

   

1,963,093

   

1,948,142

   

1,870,714

   

1,582,513

   
                                   

Long-term borrowings

   

10,211,160

   

10,328,751

   

10,341,035

   

10,653,858

   

10,174,289

   
                                   

  Total liabilities

   

110,500,052

   

107,349,070

   

108,270,579

   

106,614,595

   

84,875,128

   
                                   

Shareholders' equity:

                                 
                                   

   Preferred

   

1,231,500

   

1,231,500

   

1,231,500

   

1,231,500

   

1,231,500

   

   Common (1)

   

15,109,476

   

15,240,014

   

15,123,553

   

14,941,789

   

11,690,434

   
                                   

     Total shareholders' equity

   

16,340,976

   

16,471,514

   

16,355,053

   

16,173,289

   

12,921,934

   
                                   

  Total liabilities and shareholders' equity

 

$

126,841,028

   

123,820,584

   

124,625,632

   

122,787,884

   

97,797,062

   
                                   
                                   

(1)  Reflects accumulated other comprehensive loss, net of applicable income tax effect, of $114.6 million at September 30, 2016, $101.0 million at June 30,

   

        2016, $150.2 million at March 31, 2016, $251.6 million at December 31, 2015 and $163.5 million at September 30, 2015.

         
                                   
                                   

 

 

 

M&T BANK CORPORATION

                                                             

Condensed Consolidated Average Balance Sheet

                                                         

 and Annualized Taxable-equivalent Rates

                                                             
                                                               
     

Three months ended

 

Change in balance

   

 

Nine months ended

     
     

September 30,

 

September 30,

 

June 30,

 

September 30, 2016 from

   

 

September 30

     

Dollars in millions

   

2016

 

2015

 

2016

 

September 30,

 

June 30,

   

2016

 

2015

 

Change in

 
     

Balance

 

Rate

 

Balance

 

Rate

 

Balance

 

Rate

 

2015

 

2016

   

Balance

 

Rate

 

Balance 

 

Rate

 

balance

 

ASSETS

                                                             
                                                               

Interest-bearing deposits at banks

 

$

9,681

 

.51

%

6,060

 

.25

%

8,711

 

.51

%

60

%

 

11

%

 

$

8,864

 

.51

%

5,490

 

.25

%

61

%

                                                               

Federal funds sold

   

-

 

-

 

-

 

-

 

-

 

-

 

-

   

-

     

-

 

-

 

45

 

.10

 

-

 
                                                               

Trading account assets

   

90

 

1.52

 

96

 

.52

 

92

 

1.58

 

-6

   

-2

     

89

 

1.62

 

93

 

1.34

 

-4

 
                                                               

Investment securities

   

14,361

 

2.38

 

14,441

 

2.60

 

14,914

 

2.49

 

-1

   

-4

     

14,873

 

2.49

 

14,008

 

2.65

 

6

 
                                                               

Loans and leases, net of unearned discount

                                                             

  Commercial, financial, etc.

   

21,480

 

3.44

 

19,939

 

3.22

 

21,450

 

3.47

 

8

   

-

     

21,216

 

3.43

 

19,791

 

3.20

 

7

 

  Real estate - commercial

   

31,252

 

4.00

 

28,309

 

4.18

 

30,134

 

4.09

 

10

   

4

     

30,274

 

4.08

 

28,040

 

4.18

 

8

 

  Real estate - consumer

   

24,058

 

3.92

 

8,348

 

4.17

 

24,858

 

3.94

 

188

   

-3

     

24,922

 

3.93

 

8,455

 

4.17

 

195

 

  Consumer

   

11,942

 

4.55

 

11,253

 

4.46

 

11,713

 

4.55

 

6

   

2

     

11,747

 

4.55

 

11,087

 

4.47

 

6

 

     Total loans and leases, net

   

88,732

 

3.93

 

67,849

 

3.96

 

88,155

 

3.99

 

31

   

1

     

88,159

 

3.97

 

67,373

 

3.96

 

31

 
                                                               

  Total earning assets

   

112,864

 

3.44

 

88,446

 

3.48

 

111,872

 

3.51

 

28

   

1

     

111,985

 

3.50

 

87,009

 

3.51

 

29

 
                                                               

Goodwill

   

4,593

     

3,513

     

4,593

     

31

   

-

     

4,593

     

3,517

     

31

 
                                                               

Core deposit and other intangible assets

   

112

     

20

     

122

     

453

   

-8

     

123

     

26

     

380

 
                                                               

Other assets

   

7,156

     

6,536

     

7,119

     

9

   

1

     

7,196

     

6,793

     

6

 
                                                               

  Total assets

 

$

124,725

     

98,515

     

123,706

     

27

%

 

1

%

 

$

123,897

     

97,345

     

27

%

                                                               
                                                               
                                                               

LIABILITIES AND SHAREHOLDERS' EQUITY

                                                             
                                                               

Interest-bearing deposits

                                                             

  Interest-checking deposits

 

$

1,222

 

.12

 

1,309

 

.11

 

1,332

 

.12

 

-7

%

 

-8

%

 

$

1,304

 

.12

 

1,255

 

.11

 

4

%

  Savings deposits

   

51,294

 

.18

 

41,197

 

.11

 

50,515

 

.16

 

25

   

2

     

50,266

 

.16

 

41,477

 

.10

 

21

 

  Time deposits

   

12,334

 

.90

 

2,858

 

.51

 

12,755

 

.85

 

332

   

-3

     

12,694

 

.83

 

2,940

 

.50

 

332

 

  Deposits at Cayman Islands office

   

220

 

.37

 

206

 

.29

 

182

 

.40

 

7

   

20

     

197

 

.39

 

214

 

.28

 

-8

 

     Total interest-bearing deposits

   

65,070

 

.32

 

45,570

 

.13

 

64,784

 

.30

 

43

   

-

     

64,461

 

.29

 

45,886

 

.13

 

40

 
                                                               

Short-term borrowings

   

231

 

.29

 

174

 

.07

 

1,078

 

.43

 

33

   

-79

     

1,127

 

.41

 

188

 

.07

 

498

 

Long-term borrowings

   

10,287

 

2.28

 

10,114

 

2.44

 

10,297

 

2.27

 

2

   

-

     

10,370

 

2.25

 

10,039

 

2.51

 

3

 
                                                               

Total interest-bearing liabilities

   

75,588

 

.59

 

55,858

 

.55

 

76,159

 

.56

 

35

   

-1

     

75,958

 

.56

 

56,113

 

.55

 

35

 
                                                               

Noninterest-bearing deposits

   

30,782

     

28,251

     

29,249

     

9

   

5

     

29,638

     

26,947

     

10

 
                                                               

Other liabilities

   

2,008

     

1,619

     

1,921

     

24

   

5

     

1,967

     

1,656

     

19

 
                                                               

  Total liabilities

   

108,378

     

85,728

     

107,329

     

26

   

1

     

107,563

     

84,716

     

27

 
                                                               

Shareholders' equity

   

16,347

     

12,787

     

16,377

     

28

   

-

     

16,334

     

12,629

     

29

 
                                                               

  Total liabilities and shareholders' equity

 

$

124,725

     

98,515

     

123,706

     

27

%

 

1

%

 

$

123,897

     

97,345

     

27

%

                                                               
                                                               

Net interest spread

       

2.85

     

2.93

     

2.95

                   

2.94

     

2.96

     

Contribution of interest-free funds

       

.20

     

.21

     

.18

                   

.18

     

.20

     

Net interest margin

       

3.05

%

   

3.14

%

   

3.13

%

                 

3.12

%

   

3.16

%

 
                                                               

 

 

M&T BANK CORPORATION

                       

Reconciliation of Quarterly GAAP to Non-GAAP Measures

               
                         
                         
       

Three months ended

   

Nine months ended

 
       

September 30

   

September 30

 
       

2016

 

2015

   

2016

 

2015

 

Income statement data

                       

In thousands, except per share

                       

Net income

                       

Net income

   

$

349,984

 

280,401

 

$

984,543

 

808,702

 

Amortization of core deposit and other

                     

  intangible assets (1)

     

5,945

 

2,506

   

20,369

 

10,322

 

Merger-related expenses (1)

     

-

 

-

   

21,685

 

-

 

  Net operating income

   

$

355,929

 

282,907

 

$

1,026,597

 

819,024

 

Earnings per common share

                       

Diluted earnings per common share

 

$

2.10

 

1.93

 

$

5.80

 

5.56

 

Amortization of core deposit and other

                     

  intangible assets (1)

     

.03

 

.02

   

.13

 

.08

 

Merger-related expenses (1)

     

-

 

-

   

.14

 

-

 

  Diluted net operating earnings per common share

$

2.13

 

1.95

 

$

6.07

 

5.64

 

Other expense

                       

Other expense

   

$

752,392

 

653,816

 

$

2,278,382

 

2,036,819

 

Amortization of core deposit and other

                       

  intangible assets

     

(9,787)

 

(4,090)

   

(33,524)

 

(16,848)

 

Merger-related expenses

     

-

 

-

   

(35,755)

 

-

 

  Noninterest operating expense

   

$

742,605

 

649,726

 

$

2,209,103

 

2,019,971

 

Merger-related expenses

                       

Salaries and employee benefits

     

-

 

-

   

5,334

 

-

 

Equipment and net occupancy

     

-

 

-

   

1,278

 

-

 

Printing, postage and supplies

     

-

 

-

   

1,482

 

-

 

Other costs of operations

     

-

 

-

   

27,661

 

-

 

  Total

   

$

-

 

-

 

$

35,755

 

-

 

Efficiency ratio

                       

Noninterest operating expense (numerator)

 

$

742,605

 

649,726

 

$

2,209,103

 

2,019,971

 

Taxable-equivalent net interest income

   

865,065

 

699,075

   

2,613,702

 

2,053,649

 

Other income

     

491,350

 

439,699

   

1,360,537

 

1,376,929

 

Less:  Gain (loss) on bank investment securities

 

28,480

 

-

   

28,748

 

(108)

 

Denominator

   

$

1,327,935

 

1,138,774

 

$

3,945,491

 

3,430,686

 

Efficiency ratio

     

55.92%

 

57.05%

   

55.99%

 

58.88%

 
                         
                         

Balance sheet data

                       

In millions

                       

Average assets

                       

Average assets

   

$

124,725

 

98,515

 

$

123,897

 

97,345

 

Goodwill

     

(4,593)

 

(3,513)

   

(4,593)

 

(3,517)

 

Core deposit and other intangible assets

   

(112)

 

(20)

   

(123)

 

(26)

 

Deferred taxes

     

44

 

7

   

48

 

8

 

  Average tangible assets

   

$

120,064

 

94,989

 

$

119,229

 

93,810

 

Average common equity

                       

Average total equity

   

$

16,347

 

12,787

 

$

16,334

 

12,629

 

Preferred stock

     

(1,232)

 

(1,232)

   

(1,231)

 

(1,232)

 

  Average common equity

     

15,115

 

11,555

   

15,103

 

11,397

 

Goodwill

     

(4,593)

 

(3,513)

   

(4,593)

 

(3,517)

 

Core deposit and other intangible assets

   

(112)

 

(20)

   

(123)

 

(26)

 

Deferred taxes

     

44

 

7

   

48

 

8

 

  Average tangible common equity

   

$

10,454

 

8,029

 

$

10,435

 

7,862

 
                         

At end of quarter

                       

Total assets

                       

Total assets

   

$

126,841

 

97,797

           

Goodwill

     

(4,593)

 

(3,513)

           

Core deposit and other intangible assets

   

(107)

 

(18)

           

Deferred taxes

     

42

 

6

           

  Total tangible assets

   

$

122,183

 

94,272

           

Total common equity

                       

Total equity

   

$

16,341

 

12,922

           

Preferred stock

     

(1,232)

 

(1,232)

           

Undeclared dividends - cumulative preferred stock

 

(3)

 

(3)

           

  Common equity, net of undeclared cumulative

                   

    preferred dividends

     

15,106

 

11,687

           

Goodwill

     

(4,593)

 

(3,513)

           

Core deposit and other intangible assets

   

(107)

 

(18)

           

Deferred taxes

     

42

 

6

           

  Total tangible common equity

   

$

10,448

 

8,162

           
                         
                         

(1) After any related tax effect

                       
                         

 

 

 

M&T BANK CORPORATION

                         

Reconciliation of Quarterly GAAP to Non-GAAP Measures, Five Quarter Trend

             
                           
                           
                           
       

Three months ended

 
       

September 30,

 

June 30,

 

March 31,

 

December 31,

 

September 30,

 
       

2016

 

2016

 

2016

 

2015

 

2015

 

Income statement data

                         

In thousands, except per share

                         

Net income

                         

Net income

   

$

349,984

 

336,031

 

298,528

 

270,965

 

280,401

 

Amortization of core deposit and other

                         

  intangible assets (1)

     

5,945

 

6,936

 

7,488

 

5,828

 

2,506

 

Merger-related expenses (1)

     

-

 

7,637

 

14,048

 

60,820

 

-

 

  Net operating income

   

$

355,929

 

350,604

 

320,064

 

337,613

 

282,907

 

Earnings per common share

                         

Diluted earnings per common share

   

$

2.10

 

1.98

 

1.73

 

1.65

 

1.93

 

Amortization of core deposit and other

                         

  intangible assets (1)

     

.03

 

.04

 

.05

 

.04

 

.02

 

Merger-related expenses (1)

     

-

 

.05

 

.09

 

.40

 

-

 

  Diluted net operating earnings per common share

$

2.13

 

2.07

 

1.87

 

2.09

 

1.95

 

Other expense

                         

Other expense

   

$

752,392

 

749,895

 

776,095

 

786,113

 

653,816

 

Amortization of core deposit and other

                         

  intangible assets

     

(9,787)

 

(11,418)

 

(12,319)

 

(9,576)

 

(4,090)

 

Merger-related expenses

     

-

 

(12,593)

 

(23,162)

 

(75,976)

 

-

 

  Noninterest operating expense

   

$

742,605

 

725,884

 

740,614

 

700,561

 

649,726

 

Merger-related expenses

                         

Salaries and employee benefits

   

$

-

 

60

 

5,274

 

51,287

 

-

 

Equipment and net occupancy

     

-

 

339

 

939

 

3

 

-

 

Printing, postage and supplies

     

-

 

545

 

937

 

504

 

-

 

Other costs of operations

     

-

 

11,649

 

16,012

 

24,182

 

-

 

  Other expense

     

-

 

12,593

 

23,162

 

75,976

 

-

 

Provision for credit losses

     

-

 

-

 

-

 

21,000

 

-

 

  Total

   

$

-

 

12,593

 

23,162

 

96,976

 

-

 

Efficiency ratio

                         

Noninterest operating expense (numerator)

 

$

742,605

 

725,884

 

740,614

 

700,561

 

649,726

 

Taxable-equivalent net interest income

     

865,065

 

870,341

 

878,296

 

813,401

 

699,075

 

Other income

     

491,350

 

448,254

 

420,933

 

448,108

 

439,699

 

Less:  Gain (loss) on bank investment securities

 

28,480

 

264

 

4

 

(22)

 

-

 

Denominator

   

$

1,327,935

 

1,318,331

 

1,299,225

 

1,261,531

 

1,138,774

 

Efficiency ratio

     

55.92

%

55.06

%

57.00

%

55.53

%

57.05

%

                           
                           

Balance sheet data

                         

In millions

                         

Average assets

                         

Average assets

   

$

124,725

 

123,706

 

123,252

 

115,052

 

98,515

 

Goodwill

     

(4,593)

 

(4,593)

 

(4,593)

 

(4,218)

 

(3,513)

 

Core deposit and other intangible assets

     

(112)

 

(122)

 

(134)

 

(101)

 

(20)

 

Deferred taxes

     

44

 

48

 

52

 

39

 

7

 

  Average tangible assets

   

$

120,064

 

119,039

 

118,577

 

110,772

 

94,989

 

Average common equity

                         

Average total equity

   

$

16,347

 

16,377

 

16,279

 

15,007

 

12,787

 

Preferred stock

     

(1,232)

 

(1,232)

 

(1,232)

 

(1,232)

 

(1,232)

 

  Average common equity

     

15,115

 

15,145

 

15,047

 

13,775

 

11,555

 

Goodwill

     

(4,593)

 

(4,593)

 

(4,593)

 

(4,218)

 

(3,513)

 

Core deposit and other intangible assets

     

(112)

 

(122)

 

(134)

 

(101)

 

(20)

 

Deferred taxes

     

44

 

48

 

52

 

39

 

7

 

  Average tangible common equity

   

$

10,454

 

10,478

 

10,372

 

9,495

 

8,029

 
                           

At end of quarter

                         

Total assets

                         

Total assets

   

$

126,841

 

123,821

 

124,626

 

122,788

 

97,797

 

Goodwill

     

(4,593)

 

(4,593)

 

(4,593)

 

(4,593)

 

(3,513)

 

Core deposit and other intangible assets

     

(107)

 

(117)

 

(128)

 

(140)

 

(18)

 

Deferred taxes

     

42

 

46

 

50

 

54

 

6

 

  Total tangible assets

   

$

122,183

 

119,157

 

119,955

 

118,109

 

94,272

 

Total common equity

                         

Total equity

   

$

16,341

 

16,472

 

16,355

 

16,173

 

12,922

 

Preferred stock

     

(1,232)

 

(1,232)

 

(1,232)

 

(1,232)

 

(1,232)

 

Undeclared dividends - cumulative preferred stock

 

(3)

 

(3)

 

(3)

 

(2)

 

(3)

 

  Common equity, net of undeclared cumulative

                     

    preferred dividends

     

15,106

 

15,237

 

15,120

 

14,939

 

11,687

 

Goodwill

     

(4,593)

 

(4,593)

 

(4,593)

 

(4,593)

 

(3,513)

 

Core deposit and other intangible assets

     

(107)

 

(117)

 

(128)

 

(140)

 

(18)

 

Deferred taxes

     

42

 

46

 

50

 

54

 

6

 

  Total tangible common equity

   

$

10,448

 

10,573

 

10,449

 

10,260

 

8,162

 
                           
                           

(1) After any related tax effect.