-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, J+S/myQlOUv6HlKS0RoiLRMgR9YxZb/xQOuc3hhaWgoJnxoPCACt+b2alDMNH1sW X3XIcY5CBzYu7jiwTsIuaA== 0000950144-03-005060.txt : 20030417 0000950144-03-005060.hdr.sgml : 20030417 20030416173734 ACCESSION NUMBER: 0000950144-03-005060 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030415 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030417 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIRST BANCORP /PR/ CENTRAL INDEX KEY: 0001057706 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 660561882 STATE OF INCORPORATION: PR FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-14793 FILM NUMBER: 03653228 BUSINESS ADDRESS: STREET 1: 1519 PONCE DE LEON AVE STREET 2: SANTUREE CITY: SAN JUAN STATE: PR ZIP: 00908 BUSINESS PHONE: 7877298200 MAIL ADDRESS: STREET 1: 1519 PONCE DE LEON AVE CITY: SAN JUAN STATE: PR ZIP: 00908 8-K 1 g82100e8vk.htm FIRST BANCORP. First BanCorp.
 

SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13
or 15(d) of the Securities
Exchange Act of 1934

Date of Report (Date of earliest event reported): April 15, 2003

 
First BanCorp.
(Exact name of registrant as specified in this charter)
         
Puerto Rico   001-14793   66-0561882
 
 
(State or other jurisdiction of
incorporation)		   (Commission File No.)   (IRS Employer
Identification No.)
     
1519 Ponce De León Avenue, San Juan, Puerto Rico   00908-0146
(Address of principal executive offices)   (Zip Code)

Registrant’s telephone number, including area code: (787) 729-8200

 

 

ITEM 5.     OTHER EVENTS

     On April 15, 2003, First BanCorp. (the “Company”) announced its unaudited results of operations for the quarter ended March 31, 2003. A copy of the Company’s press release is attached as Exhibit 99 to this Current Report on Form 8-K and incorporated herein by reference.

ITEM 7.     FINANCIAL STATEMENTS, PRO FORMA, FINANCIAL INFORMATION AND EXHIBITS

  (c)   Exhibits
 
      99     Press Release dated April 15, 2003.

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant had duly caused this report to be signed on its behalf of the undersigned hereunto duly authorized.

       
    FIRST BANCORP.
 
     
 
  By:   /s/ Annie Astor-Carbonell
Annie Astor-Carbonell
Senior Executive Vice President
and Chief Financial Officer
 
     
 
Date: April 15, 2003    

  EX-99 3 g82100exv99.txt EX-99 PRESS RELEASE [First BanCorp Logo] ANNIE ASTOR-CARBONELL SENIOR EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER (787) 729-8088 ANNIE.ASTOR@FIRSTBANKPR.COM FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% SAN JUAN, PUERTO RICO, APRIL 15, 2003--FIRST BANCORP (NYSE:FBP), THE SECOND LARGEST PUERTO RICO FINANCIAL HOLDING COMPANY WITH DIVERSIFIED BANKING OPERATIONS IN PUERTO RICO AND THE US AND BRITISH VIRGIN ISLANDS, REPORTED TODAY RECORD EARNINGS FOR THE QUARTER ENDED MARCH 31, 2003. NET INCOME WAS $36,428,296 OR $0.74 PER SHARE BASIC AND $0.73 PER SHARE DILUTED, FOR THE FIRST QUARTER OF 2003, AS COMPARED TO EARNINGS OF $25,649,518 OR $0.49 PER SHARE BASIC AND DILUTED FOR THE FIRST QUARTER OF 2002. THESE RESULTS REPRESENT AN EARNINGS INCREASE OF 42% FOR THIS QUARTER. RETURN ON ASSETS (ROA) AND RETURN ON COMMON EQUITY (ROE) WERE 1.56% AND 26.24% RESPECTIVELY, FOR THE QUARTER, AS COMPARED TO 1.24% AND 22.31% RESPECTIVELY, FOR THE SAME QUARTER OF 2002. BASIC AND DILUTED WEIGHTED AVERAGE COMMON SHARES WERE 39,954,827 AND 40,728,052, RESPECTIVELY. FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 2 COMMENTING ON THESE FIRST QUARTER 2003 RESULTS, MR. ANGEL ALVAREZ-PEREZ, CHAIRMAN, PRESIDENT, AND CEO OF FIRST BANCORP SAID, "THIS HAS BEEN A VERY GOOD QUARTER OVERALL. WE TOOK ADVANTAGE OF AN UNUSUAL OPPORTUNITY IN THE FINANCIAL MARKETS, TO SELL APPROXIMATELY $700 MILLION IN MORTGAGE BACKED SECURITIES, AS PART OF OUR MANAGEMENT OF THE INVESTMENT PORTFOLIO. THIS TRANSACTION HAS RESULTED IN ADDITIONAL INCOME DURING THE QUARTER. ON THE ASSET QUALITY SIDE, OUR NON-PERFORMING LOANS AND CHARGE OFFS DECREASED FROM THE PREVIOUS QUARTER, WHICH IS REMARKABLE, WHEN CONSIDERING RECENT GLOBAL DEVELOPMENTS. OUR CORE LENDING OPERATIONS, CONTINUED TO GROW, SPECIALLY, COMMERCIAL, AUTO, AND RESIDENTIAL MORTGAGE LENDING." NET INTEREST INCOME, THE CORPORATION'S MAIN SOURCE OF INCOME, INCREASED BY $3.1 MILLION FROM $69.3 MILLION DURING THE FIRST QUARTER OF 2002 TO $72.4 MILLION DURING THE FIRST QUARTER OF 2003, NOTWITHSTANDING THE SALE OF A PORTION OF THE INVESTMENT PORTFOLIO DURING MARCH. THIS INCREASE IS MOSTLY ATTRIBUTABLE TO AN INCREASE IN AVERAGE EARNING ASSETS OF $954.6 MILLION SINCE FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 3 MARCH OF 2002. NET INTEREST MARGIN ON A TAX EQUIVALENT BASIS WAS 3.68% FOR THE QUARTER ENDED MARCH 2003, AS COMPARED TO 4.15% FOR THE QUARTER ENDED MARCH 2002 AND 3.10% FOR THE QUARTER ENDED DECEMBER 2002. OTHER INCOME AMOUNTED TO $26.2 MILLION FOR THE FIRST QUARTER OF 2003, AS COMPARED TO $12.5 MILLION FOR THE FIRST QUARTER OF 2002. OTHER INCOME INCLUDED A NET GAIN ON SALE OF INVESTMENTS OF $13.7 MILLION. THE CORPORATION DECIDED TO SELL A $700 MILLION OF ITS $2.5 BILLION MORTGAGE BACKED SECURITIES PORTFOLIO, TO TAKE ADVANTAGE OF AN EXTRAORDINARY MARKET OPPORTUNITY, WHICH AROSE WHEN THE 10 YEAR TREASURY NOTES RATE REACHED 3.56%. THE PROCEEDS WILL BE MAINTAINED IN SHORT TERM AGENCY DISCOUNT NOTES, AWAITING AN OPPORTUNITY TO REENTER THE LONGER TERM INVESTMENT MARKET. INTEREST INCOME WILL DECREASE TEMPORARILY DURING THIS WAITING PERIOD. OTHER INCOME, EXCLUDING THE GAINS ON SALES OF INVESTMENTS FOR BOTH PERIODS, WAS $12.5 MILLION FOR THE MARCH 2003 QUARTER, AS COMPARED TO $11.7 MILLION FOR THE MARCH 2002 QUARTER. THE EFFICIENCY RATIO WAS 40.03% AND 38.95% FOR THE THREE MONTHS ENDED MARCH 31, 2003 AND 2002 RESPECTIVELY, ONE OF FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 4 THE BEST IN THE INDUSTRY. AN INCREASE IN EXPENSES OF $7.6 MILLION IS MAINLY ATTRIBUTABLE TO $6.0 MILLION QUARTERLY EXPENSES OF THE FORMER CHASE VIRGIN ISLANDS OPERATIONS ACQUIRED DURING OCTOBER 2002. TOTAL ASSETS WERE $9,767 MILLION AS OF MARCH 31, 2003, AS COMPARED TO $8,515 MILLION AS OF MARCH 31, 2002 AND $9,644 MILLION AS OF DECEMBER 31, 2002. LOANS RECEIVABLE INCREASED BY 34.9% TO $5,933 MILLION, AS COMPARED TO $4,398 MILLION AS OF MARCH 31, 2002. THE LARGEST LOAN VOLUME INCREASES WERE ACHIEVED IN THE COMMERCIAL AND REAL ESTATE PORTFOLIOS. NON-PERFORMING LOANS AS OF MARCH 31, 2003 WERE $87.7 MILLION (1.48% OF TOTAL LOANS), AS COMPARED TO $71.2 MILLION (1.62% OF TOTAL LOANS) AND $91.8 MILLION (1.63% OF TOTAL LOANS) AS OF MARCH 31, 2002 AND DECEMBER 31, 2002, RESPECTIVELY. NON-PERFORMING LOANS, WHEN COMPARED TO THE MOST RECENT PREVIOUS QUARTER, DECREASED BOTH IN DOLLAR AMOUNT AND AS A PERCENT OF THE PORTFOLIO. THE INCREASE IN DOLLAR AMOUNT, WHEN COMPARED TO THE MARCH 2002 FIGURE, IS COMPOSED MOSTLY OF SECURED REAL ESTATE LOANS, AND IS DUE TO: GENERAL GROWTH OF THE PORTFOLIOS, THE ACQUISITION OF CHASE'S VIRGIN ISLANDS OPERATIONS, FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 5 AND A RESIDENTIAL FINISHED HOMES LOAN PROJECT, WHICH WAS INCLUDED IN NON-ACCRUAL DURING SEPTEMBER 2002 WITH AN $11.2 MILLION BALANCE. SUCH LOAN NOW HAS A $6.4 MILLION BALANCE, SINCE 60% OF THE HOMES HAVE BEEN SOLD AND 18% ARE OPTIONED. THE ALLOWANCE FOR LOAN LOSSES TO NON-PERFORMING LOANS (RESERVE COVERAGE) WAS 134.4% AS OF MARCH 31, 2003, COMPARED TO 139.7% AS OF MARCH 31, 2002 AND 121.9%, AS OF DECEMBER 31, 2002. THE IMPROVEMENT IN THE MOST RECENT QUARTER IS DUE TO THE COMBINED EFFECT OF A REDUCTION OF $4.0 MILLION IN THE NON-PERFORMING LOANS FOR THE QUARTER AND THE INCREASE FOR THE QUARTER OF $6.0 MILLION IN THE ALLOWANCE FOR LOAN LOSSES. THE ALLOWANCE INCREASE IS RELATED TO THE $295 MILLION INCREASE IN THE CORPORATION'S LOAN PORTFOLIO DURING THIS QUARTER. NET CHARGE OFFS WERE $10.6 MILLION (.74% OF AVERAGE LOANS) AS COMPARED TO $11.4 MILLION (1.05% OF AVERAGE LOANS) DURING THE FIRST QUARTER OF 2002, AND $10.1 MILLION (.74% OF AVERAGE LOANS) DURING THE LAST QUARTER OF 2002. CHARGE OFFS HAVE REMAINED VERY STABLE IN SPITE OF UNCERTAIN ECONOMIC CONDITIONS, DUE TO THE CORPORATION'S CONSERVATIVE UNDERWRITING POLICIES. FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 6 FIRST BANCORP IS A $9.8 BILLION WELL-CAPITALIZED FINANCIAL HOLDING COMPANY. IT IS THE PARENT COMPANY OF FIRSTBANK PUERTO RICO, WHICH IS THE SECOND LARGEST COMMERCIAL BANK IN PUERTO RICO AND VIRGIN ISLANDS AND OF FIRSTBANK INSURANCE AGENCY. BOTH, FIRST BANCORP AND FIRSTBANK PUERTO RICO, OPERATE WITHIN US BANKING LAWS AND REGULATIONS. THE BANK OPERATES A TOTAL OF 93 FINANCIAL SERVICE FACILITIES THROUGHOUT PUERTO RICO AND THE US AND BRITISH VIRGIN ISLANDS, INCLUDING THE OPERATIONS OF ITS SUBSIDIARIES MONEY EXPRESS, A FINANCE COMPANY, FIRST LEASING AND CAR RENTAL, A CAR AND TRUCK RENTAL LEASING COMPANY IN PUERTO RICO, FIRSTBANK INSURANCE VI, AND FIRST TRADE, INC. IN THE US AND BRITISH VIRGIN ISLANDS. THE CORPORATION'S COMMON AND PREFERRED SHARES TRADE ON THE NEW YORK STOCK EXCHANGE, UNDER THE SYMBOLS FBP, FBPPRA, FBPPRB, FBPPRC, AND FBPPRD. THIS PRESS RELEASE CONTAINS CERTAIN "FORWARD-LOOKING STATEMENTS" CONCERNING THE CORPORATION'S ECONOMIC FUTURE PERFORMANCE. THE WORDS OR PHRASES "EXPECT", "ANTICIPATE", "LOOK FORWARD", "SHOULD", AND SIMILAR EXPRESSIONS ARE MEANT TO FIRST BANCORP REPORTS EARNINGS INCREASE OF 42% PAGE 7 IDENTIFY "FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. THE CORPORATION WISHES TO CAUTION READERS NOT TO PLACE UNDUE RELIANCE ON ANY SUCH "FORWARD-LOOKING STATEMENTS", WHICH SPEAK ONLY AS OF THE DATE MADE AND TO ADVISE READERS THAT VARIOUS FACTORS, INCLUDING REGIONAL AND NATIONAL ECONOMIC CONDITIONS, CHANGES IN INTEREST RATES, COMPETITIVE AND REGULATORY FACTORS AND LEGISLATIVE CHANGES, COULD AFFECT THE CORPORATION'S FINANCIAL PERFORMANCE AND COULD CAUSE THE CORPORATION'S ACTUAL RESULTS FOR FUTURE PERIODS TO DIFFER MATERIALLY FROM THOSE ANTICIPATED OR PROJECTED. THE CORPORATION DOES NOT UNDERTAKE, AND SPECIFICALLY DISCLAIMS ANY OBLIGATION, TO UPDATE ANY "FORWARD-LOOKING STATEMENTS" TO REFLECT OCCURRENCES OR UNANTICIPATED EVENTS OR CIRCUMSTANCES AFTER THE DATE OF SUCH STATEMENTS. FIRST BANCORP FINANCIAL SUMMARY (DOLLARS IN THOUSANDS EXCEPT PER SHARE RESULTS) SELECTED INCOME STATEMENT DATA:
Three Months Ended Three Months Ended March 31, December 31, ----------------------------- ------------------ 2003 2002 2002 ---------- ---------- ------------------ Interest Income $ 132,919 $ 136,716 $ 137,364 ---------- ---------- ----------- Interest Expense 60,482 67,445 68,646 ---------- ---------- ----------- Net Interest Income 72,437 69,271 68,717 ---------- ---------- ----------- Provision for Loan Losses 16,564 19,800 14,001 ---------- ---------- ----------- Gain on Sale of Investments-net 13,686 828 3,899 ---------- ---------- ----------- Other Income 12,486 11,663 12,141 ---------- ---------- ----------- Operating Expenses 39,471 31,849 36,392 ---------- ---------- ----------- Income Taxes 6,146 4,463 6,394 ---------- ---------- ----------- Net Income $ 36,428 $ 25,650 $ 27,971 ---------- ---------- ----------- Net Income Applicable to Common Stock $ 29,677 $ 19,496 $ 21,220 ---------- ---------- ----------- Net Income Per Share (Basic) $ 0.74 $.0.49 $ 0.53 ---------- ---------- ----------- Net Income Per Share (Diluted) $ 0.73 $.0.49 $ 0.52 ---------- ---------- ----------- SELECTED PERFORMANCE RATIOS: Net Interest Yield (1) 3.68% 4.15% 3.10% ---------- ---------- ----------- Return on Assets 1.56% 1.24% 1.16% ---------- ---------- ----------- Return on Equity 17.92% 15.17% 14.66% ---------- ---------- ----------- Return on Common Equity 26.24% 22.31% 21.08% ---------- ---------- ----------- Net Write offs to Average Loans 0.74% 1.05% 0.74% ---------- ---------- ----------- Efficiency Ratio 40.03% 38.95% 42.94% ---------- ---------- ----------- AVERAGE BALANCES: Assets $9,361,776 $8,296,006 $ 9,681,233 ---------- ---------- ----------- Earnings Assets 9,012,455 8,057,886 9,391,837 ---------- ---------- ----------- Loans 5,730,909 4,352,537 5,423,346 ---------- ---------- ----------- Deposits 5,356,261 4,340,110 5,323,973 ---------- ---------- ----------- Interest-bearing liabilities 7,979,841 7,309,912 8,375,600 ---------- ---------- ----------- Stockholders Equity 812,917 676,273 763,219 ---------- ---------- ----------- Common Stockholders Equity 452,417 349,551 402,719 ---------- ---------- ----------- OTHER INCOME BY MAIN CATEGORIES: Service charges on deposits $ 2,575 $ 2,478 $ 2,251 ---------- ---------- ----------- Other fees on loans 5,006 5,263 6,015 ---------- ---------- ----------- Mortgage Banking Activities 359 482 369 ---------- ---------- ----------- Rental Income 485 551 554 ---------- ---------- ----------- Derivative Income (loss) 564 -- (600) ---------- ---------- ----------- Others 3,497 2,889 3,552 ---------- ---------- ----------- OPERATING EXPENSES BY MAIN CATEGORIES: Personnel $ 18,210 $ 14,380 $ 16,297 ---------- ---------- ----------- Occupancy and Equipment 8,884 6,827 8,290 ---------- ---------- ----------- Business Promotion 2,717 2,643 1,795 ---------- ---------- ----------- Taxes and Insurance 2,685 2,280 2,555 ---------- ---------- ----------- Other 6,975 5,718 7,455 ---------- ---------- -----------
SELECTED STATEMENT OF CONDITION DATA:
At March 31, 2003 At March 31, 2002 At December 31, 2002 ----------------- ----------------- -------------------- Total Assets: Total Assets $9,767,345 $8,515,026 $9,643,852 ---------- ---------- ---------- Loans Receivable 5,932,770 4,398,184 5,637,851 ---------- ---------- ---------- Total Investments 3,075,234 3,935,438 3,728,669 ---------- ---------- ---------- Cash 76,752 51,151 108,306 ---------- ---------- ---------- Loans Receivable by Main Categories: Commercial Loans $2,540,348 $2,177,786 $2,491,358 ---------- ---------- ---------- Finance Leases 148,374 134,070 143,412 ---------- ---------- ---------- Consumer Loans 1,168,451 1,016,034 1,149,014 ---------- ---------- ---------- Residential Loans 2,075,597 1,070,294 1,854,068 ---------- ---------- ---------- Total Liabilities: Deposits $5,326,771 $4,488,600 $5,482,918 ---------- ---------- ---------- Securities Sold Under Agreements to Repurchase 2,788,463 2,807,659 2,793,540 ---------- ---------- ---------- Other Borrowings 705,816 407,362 455,815 ---------- ---------- ---------- Stockholders Equity 829,434 693,720 798,424 ---------- ---------- ---------- Book value per common share $ 11.74 $ 12.54 $ 10.96 ---------- ---------- ---------- At March 31, 2003 At March 31, 2002 At December 31, 2002 ----------------- ----------------- -------------------- Credit Quality Data: Non-performing Assets $ 99,750 $ 77,660 $ 104,675 ---------- ---------- ----------- Non-performing Loans 87,743 71,202 91,765 ---------- ---------- ----------- Past Due Loans 25,185 26,121 24,435 ---------- ---------- ----------- Allowance for Loan Losses 117,887 99,467 111,911 ---------- ---------- ----------- Non-performing Assets to Total Assets 1.02% 0.91% 1.09% ---------- ---------- ----------- Non-performing Loans to Total Loans 1.48% 1.62% 1.63% ---------- ---------- ----------- Allowance to Non-Performing Loans 134.35% 139.70% 121.95% ---------- ---------- -----------
(1) On a taxable equivalent basis. -----END PRIVACY-ENHANCED MESSAGE-----