EX-9.01 2 wtny2q09earnings.htm WTNY 2ND Q 2009 EARNINGS RELEASE wtny2q09earnings.htm
Exhibit 99.1
 
WTNY Logo
 
 
 

WHITNEY HOLDING CORPORATION
228 ST. CHARLES AVENUE
NEW ORLEANS, LA  70130
www.whitneybank.com

NEWS RELEASE

CONTACT:
Thomas L. Callicutt, Jr.
  
FOR IMMEDIATE RELEASE
 
Trisha Voltz Carlson
  
July 23, 2009
 
504/299-5208
    
 
tcarlson@whitneybank.com
    

WHITNEY REPORTS 2009 SECOND QUARTER RESULTS

New Orleans, Louisiana.  Whitney Holding Corporation (NASDAQ—WTNY) (the “Company”) recorded a net loss of $21.3 million for the second quarter of 2009 compared to a net loss of $11.1 million for the first quarter of 2009.  Including dividends on preferred stock, the loss to common shareholders was $25.4 million, or $.38 per diluted common share, for the second quarter of 2009 and $15.2 million, or $.22 per diluted share, for the first quarter of 2009.  The Company earned $12.9 million, or $.20 per diluted common share, for the second quarter of 2008.
“While we are disappointed to report a net loss for the quarter, the results were in line with our range of expectations,” said John C. Hope, III, Chairman and CEO.  “Core earnings drivers remained stable for the quarter.  Our net interest margin compares favorably to industry peers, fee generating business lines grew and noncredit-related operating expenses remain under control.  However, lower valuations on residential real estate-related credits in Florida and coastal Alabama continued to significantly impact our credit quality metrics and our bottom line.  In addition, ongoing pressures associated with weaknesses in the overall economy continued to affect various types of credits serviced out of our Texas and Louisiana markets, adding to the provision for credit losses and our level of criticized credits.   Our capital remained a healthy $1.5 billion with a tangible common equity ratio of 6.42% and a leverage ratio of 9.21%.”

-MORE-
 
 
 

 
2

 
The impact of the acquisition of Parish National Corporation (Parish) is reflected in the Company’s financial information from the November 7, 2008 acquisition date.  “The Parish merger has been good for Whitney,” said Hope.  “It is our largest to date and the combination, thanks to a lot of hard work by bankers in both companies, continues to be everything we expected or better.”

KEY COMPONENTS OF SECOND QUARTER FINANCIAL RESULTS
 
Loans and Earning Assets
Total loans at the end of the second quarter of 2009 were down $161 million from March 31, 2009, with reductions in most portfolio segments and geographic regions.  Whitney continues to actively look for new and expanded relationships; however, in the current economic environment, loan demand remains weak and is not expected to improve over the near term.
Average loans for the second quarter of 2009 were down approximately 1% compared to the first quarter of 2009, while average earning assets remained stable.
 
Deposits and Funding
Average deposits in the second quarter of 2009 were up 1%, or $94 million, compared to the first quarter of 2009.
In the first quarter of 2009 Whitney launched a money market campaign designed to generate new or expanded customer relationships.  As a result of the campaign, over 1,200 new retail and business customer relationships were established, and during the second quarter of 2009, money market accounts increased $266 million.
Demand deposits comprised 33% of total average deposits and funded approximately 28% of average earning assets for the second quarter of 2009 and the percentage of funding from all noninterest-bearing sources totaled 33%.  Higher-cost interest-bearing funds, which include time deposits and borrowings, funded 33% of average earning assets in the second quarter of 2009, compared to 35% in the first quarter of 2009.
 
Net Interest Income
Net interest income (TE) for the second quarter of 2009 decreased 1%, or $1.1 million, compared to the first quarter of 2009.  Average earning assets were stable between these periods, while the net interest margin (TE) compressed by 8 basis points to 4.05% from 4.13%.  The margin compression reflected in part the reduced share of loans in the mix of earning assets.  The lost interest on nonaccruing loans reduced the net interest margin by approximately 20 basis points in both the first and second quarters of 2009.  The rates on approximately 29% and 27% of the loan

-MORE-
 
 
 
 
 
 
3
portfolio at June 30, 2009 vary based on LIBOR and prime rate benchmarks, respectively.  Rate floors on approximately 50% of our variable rate loans partially offset the impact of the overall lower rate environment.
 
Provision for Credit Losses and Credit Quality
“We continue to experience increases in our criticized and nonaccrual portfolios as a result of this recessionary environment and these issues are continuing to drive elevated provision levels,” said Hope.
Whitney provided $74.0 million for credit losses in the second quarter of 2009, compared to $65.0 million in the first quarter of 2009.  Net loan charge-offs in the second quarter of 2009 were $46.7 million or 2.09% of average loans on an annualized basis, compared to $31.9 million or 1.41% of average loans in the first quarter of 2009.  The provision exceeded net charge-offs by $25.3 million during the current quarter which further strengthened the allowance for loan losses to 2.50% of total loans at June 30, 2009, up from 2.17% at March 31, 2009 and 1.77% at year-end 2008.
 
Noninterest Income
Noninterest income for the second quarter of 2009 increased 11%, or $3.2 million, from the first quarter of 2009.  Fee income from Whitney’s secondary mortgage market operations grew 68%, or $1.3 million, on continued strong refinancing activity.  Bankcard fees and trust service fees were both up for the quarter, as were most other recurring sources of fee income included in other noninterest income.
Other noninterest income in the second quarter of 2009 included a $1.8 million distribution from an investment in a local small business investment company, while revenue from the Company’s grandfathered foreclosed assets was $.5 million lower in the current period than in the first quarter of 2009.
 
Noninterest Expense
Total noninterest expense for the second quarter of 2009 increased $15.0 million, or 15%, from the first quarter of 2009.  The second quarter of 2009 included a $5.5 million special deposit insurance assessment that was imposed industry-wide by the FDIC, and a new assessment system implemented in 2009 also added $.5 million to recurring deposit insurance expense for the period.  The second quarter also included a $4.4 million provision to increase the valuation allowance on foreclosed property and a $1.9 million increase in loan collection costs and foreclosed asset management expenses.

-MORE-
 
 
 
 
4

 
Total personnel expense for the second quarter of 2009 increased $1.4 million, or 3%, from the first quarter of 2009.   Employee compensation was up $2.3 million, while employee benefits expense declined $.8 million.  The increase in compensation reflected higher sales-based incentives in the current period and the effects of a $1.5 million reduction in share-based compensation in the first quarter of 2009 that resulted from updated performance estimates on outstanding awards.  No management cash bonus was accrued in either the first or second quarters of 2009.  The decline in benefits reflected the normal decrease in payroll taxes from their high point at the beginning of each year and a reduction in the cost of providing pension benefits based on final results of the annual actuarial valuation.
 
Capital
Regulatory capital ratios have been and remain well above those required for the Company and Whitney National Bank to be considered well-capitalized institutions.  The Company’s tangible common equity ratio was 6.42% at the end of the second quarter of 2009, compared to 6.49% at December 31, 2008.  Whitney’s regulatory leverage ratio was 9.21% at June 30, 2009 and 9.87% at December 31, 2008.

Conference Call and Additional Financial Information
Management will host a conference call today at 11:00 a.m. CT to review second quarter 2009 results.  Analysts and investors may dial in and participate in the question/answer session.  A live listen-only webcast of the call will be available under the “Investor Relations” section of our website at http://www.whitneybank.com.  To participate in the Q&A portion of the call, dial (888) 596-2633 or (913) 312-6685.  An audio archive of the conference call will be available under the Investor Relations section of our website.  A replay of the call will also be available through July 28, 2009 by dialing (888) 203-1112 or (719) 457-0820, passcode 4143672.
This earnings release, including additional financial tables related to second quarter 2009 results, is posted in the Investor Relations section of the Company's web site at http://investor.whitneybank.com/releases.cfm?ReleasesType=Earnings&Year=2009.
Whitney Holding Corporation, through its banking subsidiary Whitney National Bank, serves the five-state Gulf Coast region stretching from Houston, Texas; across southern Louisiana and the coastal region of Mississippi; to central and south Alabama; the panhandle of Florida; and the Tampa Bay metropolitan area of Florida.
 
-----

-MORE-
 
 
 
 
5

 
Forward-Looking Statements
 
This news release contains “forward-looking statements” within the meaning of section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended, and we intend such forward-looking statements to be covered by the safe harbor provisions therein and are including this statement for purposes of invoking these safe-harbor provisions.  Forward-looking statements provide projections of results of operations or of financial condition or state other forward-looking information, such as expectations about future conditions and descriptions of plans and strategies for the future.  The forward-looking statements made in this release include, but may not be limited to, expectations regarding future loan demand, capital strength and credit quality trends in the overall loan portfolio and specific industry segments within the portfolio.
Whitney’s ability to accurately project results or predict the effects of future plans or strategies is inherently limited.  Although Whitney believes that the expectations reflected in its forward-looking statements are based on reasonable assumptions, actual results and performance could differ materially from those set forth in the forward-looking statements.  Factors that could cause actual results to differ from those expressed in Whitney’s forward-looking statements include, but are not limited to, those risk factors outlined in Whitney’s public filings with the Securities and Exchange Commission, which are available at the SEC’s internet site (http://www.sec.gov).
You are cautioned not to place undue reliance on these forward-looking statements.  Whitney does not intend, and undertakes no obligation, to update or revise any forward-looking statements, whether as a result of differences in actual results, changes in assumptions or changes in other factors affecting such statements, except as required by law.

(WTNY-E)

-MORE-
 
 
 
 
6
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
FINANCIAL HIGHLIGHTS
  
       
Second
  
First
  
Second
  
                    Six Months Ended
  
       
Quarter
  
Quarter
  
Quarter
  
                     June 30
  
(dollars in thousands, except per share data)
2009
  
2009
  
2008
  
2009
  
2008
  
                           
INCOME DATA
                        
 
Net interest income
    
$110,572
  
$111,615
  
$111,125
  
$222,187
  
$224,670
  
 
Net interest income (tax-equivalent)
  
       111,820
  
       112,924
  
       112,344
  
        224,744
  
       227,159
  
 
Provision for credit losses
  
         74,000
  
         65,000
  
         35,000
  
        139,000
  
         49,000
  
 
Noninterest income
    
         32,431
  
         29,266
  
         26,174
  
          61,697
  
         54,650
  
 
   Net securities gains in noninterest income
  
                 -
  
                 -
  
                 -
  
                 -
  
                 -
  
 
Noninterest expense
    
       111,807
  
         96,848
  
         85,590
  
        208,655
  
       169,519
  
 
Net income (loss)
    
        (21,301
 ) 
        (11,139
 ) 
         12,874
  
        (32,440
 ) 
         42,729
  
 
Net income (loss) to common shareholders
  
        (25,368
 ) 
        (15,164
 ) 
         12,874
  
        (40,532
 ) 
         42,729
  
                           
QUARTER-END BALANCE SHEET DATA
                      
 
Loans
    
$  8,791,840
  
$  8,953,307
  
$  7,962,543
  
$   8,791,840
  
$  7,962,543
  
 
Investment securities
    
    1,942,365
  
    1,889,161
  
    1,955,692
  
     1,942,365
  
    1,955,692
  
 
Earning assets
    
  10,861,061
  
  10,908,643
  
    9,955,091
  
   10,861,061
  
    9,955,091
  
 
Total assets
    
  11,975,082
  
  12,020,481
  
  11,016,323
  
   11,975,082
  
  11,016,323
  
 
Noninterest-bearing deposits
  
    3,081,617
  
    3,176,783
  
    2,773,086
  
     3,081,617
  
    2,773,086
  
 
Total deposits
    
    9,144,041
  
    9,212,361
  
    8,266,880
  
     9,144,041
  
    8,266,880
  
 
Shareholders' equity
    
    1,487,994
  
    1,522,085
  
    1,183,078
  
     1,487,994
  
    1,183,078
  
                           
AVERAGE BALANCE SHEET DATA
                      
 
Loans
    
$  8,945,911
  
$  9,068,755
  
$  7,866,942
  
$   9,006,994
  
$  7,776,211
  
 
Investment securities
    
    1,906,932
  
    1,885,158
  
    2,025,397
  
     1,896,105
  
    2,070,915
  
 
Earning assets
    
  11,062,643
  
  11,054,605
  
    9,929,683
  
   11,058,646
  
    9,937,197
  
 
Total assets
    
  12,140,311
  
  12,159,252
  
  10,838,912
  
   12,149,729
  
  10,817,704
  
 
Noninterest-bearing deposits
  
    3,082,248
  
    3,150,615
  
    2,747,125
  
     3,116,242
  
    2,697,560
  
 
Total deposits
    
    9,212,882
  
    9,119,000
  
    8,220,223
  
     9,166,202
  
    8,298,682
  
 
Shareholders' equity
    
    1,520,609
  
    1,533,293
  
    1,213,461
  
     1,526,916
  
    1,221,691
  
                           
COMMON SHARE DATA
                      
 
Earnings (loss) per share
                      
 
     Basic
    
  $(   .38
 ) 
  $(   .22
 ) 
   $    .20
  
  $(   .60
 ) 
   $    .66
  
 
     Diluted
    
  (   .38
 ) 
  (   .22
 ) 
               .20
  
  (   .60
 ) 
       .65
  
 
Cash dividends per share
  
   $    .01
  
   $    .01
  
   $    .31
  
   $    .02
  
   $    .62
  
 
Book value per share, end of period
  
   $17.63
  
   $18.22
  
   $18.51
  
   $17.63
  
   $18.51
  
 
Tangible book value per share, end of period
  
   $10.93
  
   $11.46
  
   $13.12
  
   $10.93
  
   $13.12
  
 
Trading data
                        
 
     High sales price
    
   $15.33
  
   $16.16
  
   $26.32
  
   $16.16
  
   $27.49
  
 
     Low sales price
    
             8.33
  
             8.17
  
           17.85
  
              8.17
  
           17.85
  
 
     End-of-period closing price
  
             9.16
  
           11.45
  
           18.30
  
              9.16
  
           18.30
  
 
     Trading volume
    
  62,308,611
  
  48,896,275
  
  53,522,061
  
 111,204,886
  
  99,005,552
  
                           
RATIOS
                        
 
Return on average assets
  
(.70
 )% 
(.37
 )% 
.48
% 
(.54
 )% 
.79
% 
 
Return on average common equity
  
           (8.30
 ) 
           (4.96
 ) 
            4.27
  
           (6.63
 ) 
            7.03
  
 
Net interest margin
    
            4.05
  
            4.13
  
            4.54
  
             4.09
  
            4.59
  
 
Average loans to average deposits
  
          97.10
  
          99.45
  
          95.70
  
           98.26
  
          93.70
  
 
Efficiency ratio
    
          77.51
  
          68.11
  
          61.79
  
           72.84
  
          60.15
  
 
Annualized expenses to average assets
  
            3.68
  
            3.19
  
            3.16
  
             3.43
  
            3.13
  
 
Allowance for loan losses to loans, end of period
  
            2.50
  
            2.17
  
            1.38
  
             2.50
  
            1.38
  
 
Annualized net charge-offs to average loans
  
            2.09
  
            1.41
  
              .86
  
             1.75
  
              .70
  
 
Nonperforming assets to loans plus foreclosed
                      
 
   assets and surplus property, end of period
  
            5.17
  
            4.50
  
            2.03
  
             5.17
  
            2.03
  
 
Average shareholders' equity to average total assets
          12.53
  
          12.61
  
          11.20
  
           12.57
  
          11.29
  
 
Tangible common equity to tangible assets,
                      
 
    end of period
    
            6.42
  
            6.68
  
            7.86
  
             6.42
  
            7.86
  
 
Leverage ratio, end of period
  
            9.21
  
            9.47
  
            8.27
  
             9.21
  
            8.27
  
Tax-equivalent (TE) amounts are calculated using a federal income tax rate of 35%.
              
The efficiency ratio is noninterest expense to total net interest (TE) and noninterest income (excluding securities gains and losses).
  
                           
 
 
-MORE-
 
 

7
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
 
QUARTERLY TRENDS
  
       
Second
  
First
  
Fourth
  
Third
  
Second
  
       
Quarter
  
Quarter
  
Quarter
  
Quarter
  
Quarter
  
(dollars in thousands, except per share data)
  
2009
  
2009
  
2008
  
2008
  
2008
  
                           
INCOME DATA
                        
 
Net interest income
    
$110,572
  
$111,615
  
$119,540
  
$111,435
  
$111,125
  
 
Net interest income (tax-equivalent)
  
       111,820
  
       112,924
  
       120,902
  
       112,600
  
       112,344
  
 
Provision for credit losses
  
         74,000
  
         65,000
  
         45,000
  
         40,000
  
         35,000
  
 
Noninterest income
    
         32,431
  
         29,266
  
         27,050
  
         25,472
  
         26,174
  
 
   Net securities gains in noninterest income
  
                 -
  
                 -
  
                 -
  
                67
  
                 -
  
 
Noninterest expense
    
       111,807
  
         96,848
  
         92,026
  
         89,549
  
         85,590
  
 
Net income (loss)
    
        (21,301
 ) 
        (11,139
 ) 
           8,808
  
           7,048
  
         12,874
  
 
Net income (loss) to common shareholders
  
        (25,368
 ) 
        (15,164
 ) 
           8,220
  
           7,048
  
         12,874
  
                           
QUARTER-END BALANCE SHEET DATA
                      
 
Loans
    
$  8,791,840
  
$  8,953,307
  
$  9,081,850
  
$  8,077,775
  
$  7,962,543
  
 
Investment securities
    
    1,942,365
  
    1,889,161
  
    1,939,355
  
    1,812,025
  
    1,955,692
  
 
Earning assets
    
  10,861,061
  
  10,908,643
  
  11,209,246
  
    9,943,868
  
    9,955,091
  
 
Total assets
    
  11,975,082
  
  12,020,481
  
  12,380,501
  
  10,987,447
  
  11,016,323
  
 
Noninterest-bearing deposits
  
    3,081,617
  
    3,176,783
  
    3,233,550
  
    2,809,923
  
    2,773,086
  
 
Total deposits
    
    9,144,041
  
    9,212,361
  
    9,261,594
  
    8,054,431
  
    8,266,880
  
 
Shareholders' equity
    
    1,487,994
  
    1,522,085
  
    1,525,478
  
    1,183,001
  
    1,183,078
  
                           
AVERAGE BALANCE SHEET DATA
                      
 
Loans
    
$  8,945,911
  
$  9,068,755
  
$  8,700,317
  
$  8,007,507
  
$  7,866,942
  
 
Investment securities
    
    1,906,932
  
    1,885,158
  
    1,876,338
  
    1,853,581
  
    2,025,397
  
 
Earning assets
    
  11,062,643
  
  11,054,605
  
  10,719,892
  
    9,892,165
  
    9,929,683
  
 
Total assets
    
  12,140,311
  
  12,159,252
  
  11,777,922
  
  10,902,329
  
  10,838,912
  
 
Noninterest-bearing deposits
  
    3,082,248
  
    3,150,615
  
    2,975,869
  
    2,771,101
  
    2,747,125
  
 
Total deposits
    
    9,212,882
  
    9,119,000
  
    8,646,612
  
    8,230,249
  
    8,220,223
  
 
Shareholders' equity
    
    1,520,609
  
    1,533,293
  
    1,264,714
  
    1,192,535
  
    1,213,461
  
                           
COMMON SHARE DATA
                        
 
Earnings (loss) per share
                        
 
     Basic
    
  $(   .38
 ) 
  $(   .22
 ) 
   $    .12
  
   $    .11
  
   $    .20
  
 
     Diluted
    
  (   .38
 ) 
  (   .22
 ) 
               .12
  
               .11
  
               .20
  
 
Cash dividends per share
  
   $    .01
  
   $    .01
  
   $    .20
  
   $    .31
  
   $    .31
  
 
Book value per share, end of period
  
   $17.63
  
   $18.22
  
   $18.29
  
   $18.49
  
   $18.51
  
 
Tangible book value per share, end of period
  
   $10.93
  
   $11.46
  
   $11.48
  
   $13.13
  
   $13.12
  
 
Trading data
                        
 
     High sales price
    
   $15.33
  
   $16.16
  
   $26.37
  
   $33.02
  
   $26.32
  
 
     Low sales price
    
             8.33
  
             8.17
  
           14.14
  
           13.96
  
           17.85
  
 
     End-of-period closing price
  
             9.16
  
           11.45
  
           15.99
  
           24.25
  
           18.30
  
 
     Trading volume
    
  62,308,611
  
  48,896,275
  
  42,771,277
  
  72,540,716
  
  53,522,061
  
                           
RATIOS
                        
 
Return on average assets
  
(.70
 )% 
(.37
 )% 
.30
% 
.26
% 
.48
% 
 
Return on average common equity
  
           (8.30
 ) 
           (4.96
 ) 
            2.67
  
            2.35
  
            4.27
  
 
Net interest margin
    
            4.05
  
            4.13
  
            4.49
  
            4.53
  
            4.54
  
 
Average loans to average deposits
  
          97.10
  
          99.45
  
        100.62
  
          97.29
  
          95.70
  
 
Efficiency ratio
    
          77.51
  
          68.11
  
          62.20
  
          64.89
  
          61.79
  
 
Annualized expenses to average assets
  
            3.68
  
            3.19
  
            3.13
  
            3.29
  
            3.16
  
 
Allowance for loan losses to loans, end of period
  
            2.50
  
            2.17
  
            1.77
  
            1.55
  
            1.38
  
 
Annualized net charge-offs to average loans
  
            2.09
  
            1.41
  
              .91
  
            1.22
  
              .86
  
 
Nonperforming assets to loans plus foreclosed
                      
 
   assets and surplus property, end of period
  
            5.17
  
            4.50
  
            3.61
  
            3.15
  
            2.03
  
 
Average shareholders' equity to average total assets
          12.53
  
          12.61
  
          10.74
  
          10.94
  
          11.20
  
 
Tangible common equity to tangible assets,
                      
 
    end of period
    
            6.42
  
            6.68
  
            6.49
  
            7.89
  
            7.86
  
 
Leverage ratio, end of period
  
            9.21
  
            9.47
  
            9.87
  
            8.17
  
            8.27
  
Tax-equivalent (TE) amounts are calculated using a federal income tax rate of 35%.
              
The efficiency ratio is noninterest expense to total net interest (TE) and noninterest income (excluding securities gains and losses).
  
                           
 
 
-MORE-
 
 

 
8
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
DAILY AVERAGE CONSOLIDATED BALANCE SHEETS
  
     
Second
  
First
  
Second
  
                    Six Months ended
  
     
Quarter
  
Quarter
  
Quarter
  
                    June 30
  
(dollars in thousands)
  
2009
  
2009
  
2008
  
2009
  
2008
  
ASSETS
                    
EARNING ASSETS
                        
  Loans
    
 $   8,945,911
  
 $   9,068,755
  
 $   7,866,942
  
 $   9,006,994
  
 $   7,776,211
  
  Investment securities
                      
     Securities available for sale
  
1,712,510
  
1,681,155
  
1,746,874
  
1,696,919
  
1,788,983
  
     Securities held to maturity
  
194,422
  
204,003
  
278,523
  
199,186
  
281,932
  
        Total investment securities
  
1,906,932
  
1,885,158
  
2,025,397
  
1,896,105
  
2,070,915
  
  Federal funds sold and short-term investments
151,325
  
67,391
  
20,093
  
109,589
  
73,764
  
  Loans held for sale
    
58,475
  
33,301
  
17,251
  
45,958
  
16,307
  
        Total earning assets
  
11,062,643
  
11,054,605
  
9,929,683
  
11,058,646
  
9,937,197
  
NONEARNING ASSETS
                      
  Goodwill and other intangible assets
  
454,799
  
457,185
  
345,387
  
455,985
  
346,355
  
  Accrued interest receivable
  
38,562
  
40,429
  
42,066
  
39,490
  
44,490
  
  Other assets
    
797,389
  
781,926
  
614,559
  
789,701
  
580,684
  
  Allowance for loan losses
  
(213,082
 ) 
(174,893
 ) 
(92,783
 ) 
(194,093
 ) 
(91,022
 ) 
                         
        Total assets
    
 $ 12,140,311
  
 $ 12,159,252
  
 $ 10,838,912
  
 $ 12,149,729
  
 $ 10,817,704
  
                         
LIABILITIES
                    
INTEREST-BEARING LIABILITIES
                    
  Interest-bearing deposits
                      
     NOW account deposits
  
 $   1,149,259
  
 $   1,256,389
  
 $   1,071,995
  
 $   1,202,528
  
 $   1,092,330
  
     Money market investment deposits
  
1,693,473
  
1,313,965
  
1,216,436
  
1,504,768
  
1,235,871
  
     Savings deposits
    
901,962
  
908,182
  
916,893
  
905,055
  
910,729
  
     Other time deposits
  
839,565
  
870,547
  
749,091
  
854,971
  
770,328
  
     Time deposits $100,000 and over
  
1,546,375
  
1,619,302
  
1,518,683
  
1,582,638
  
1,591,864
  
        Total interest-bearing deposits
  
6,130,634
  
5,968,385
  
5,473,098
  
6,049,960
  
5,601,122
  
                         
  Short-term borrowings
  
1,100,222
  
1,203,813
  
1,130,748
  
1,151,731
  
1,006,875
  
  Long-term debt
    
199,449
  
183,311
  
157,387
  
191,425
  
161,151
  
        Total interest-bearing liabilities
  
7,430,305
  
7,355,509
  
6,761,233
  
7,393,116
  
6,769,148
  
NONINTEREST-BEARING LIABILITIES
                  
  Noninterest-bearing deposits
  
3,082,248
  
3,150,615
  
2,747,125
  
3,116,242
  
2,697,560
  
  Accrued interest payable
  
16,596
  
20,673
  
19,454
  
18,623
  
22,955
  
  Other liabilities
    
90,553
  
99,162
  
97,639
  
94,832
  
106,350
  
        Total liabilities
    
10,619,702
  
10,625,959
  
9,625,451
  
10,622,813
  
9,596,013
  
SHAREHOLDERS' EQUITY
                      
  Preferred
    
294,186
  
         293,870
  
                     -
  
         294,029
  
                     -
  
  Common
    
1,226,423
  
1,239,423
  
1,213,461
  
1,232,887
  
1,221,691
  
      Total shareholders' equity
  
1,520,609
  
1,533,293
  
1,213,461
  
1,526,916
  
1,221,691
  
                         
        Total liabilities and shareholders' equity
 $ 12,140,311
  
 $ 12,159,252
  
 $ 10,838,912
  
 $ 12,149,729
  
 $ 10,817,704
  
                         
EARNING ASSETS LESS
                        
    INTEREST-BEARING LIABILITIES
 $   3,632,338
  
 $   3,699,096
  
 $   3,168,450
  
 $   3,665,530
  
 $   3,168,049
  

 
-MORE-
 
 
 
9
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
CONSOLIDATED BALANCE SHEETS
  
       
June 30
  
March 31
  
December 31
  
June 30
  
(dollars in thousands)
    
2009
  
2009
  
2008
  
2008
  
ASSETS
                  
 
Cash and due from financial institutions
  
 $      228,452
  
 $       234,982
  
 $      299,619
  
 $      299,475
  
 
Federal funds sold and short-term investments
           58,026
  
            27,251
  
         167,268
  
           24,588
  
 
Loans held for sale
    
           68,830
  
            38,924
  
           20,773
  
           12,268
  
 
Investment securities
                    
 
    Securities available for sale
  
      1,749,338
  
       1,687,791
  
      1,728,962
  
      1,681,577
  
 
    Securities held to maturity
  
         193,027
  
          201,370
  
         210,393
  
         274,115
  
 
          Total investment securities
  
      1,942,365
  
       1,889,161
 
      1,939,355
  
      1,955,692
  
 
Loans
    
      8,791,840
  
       8,953,307
  
      9,081,850
  
      7,962,543
  
 
   Allowance for loan losses
  
        (219,465
 ) 
        (194,179
 ) 
       (161,109
 ) 
        (109,852
 ) 
 
       Net loans
    
      8,572,375
  
       8,759,128
  
      8,920,741
  
      7,852,691
  
 
Bank premises and equipment
  
         213,227
  
          211,987
  
         212,501
  
         186,423
  
 
Goodwill
    
         435,678
  
          435,678
  
         435,678
  
         331,295
  
 
Other intangible assets
    
           18,042
  
            20,294
  
           22,883
  
           13,266
  
 
Accrued interest receivable
  
           34,085
  
            35,318
  
           39,799
  
           36,244
  
 
Other assets
    
         404,002
  
          367,758
  
         321,884
  
         304,381
  
 
      Total assets
    
 $ 11,975,082
  
 $  12,020,481
  
 $ 12,380,501
  
 $ 11,016,323
  
                       
                       
LIABILITIES
                  
 
Noninterest-bearing demand deposits
  
 $   3,081,617
  
 $    3,176,783
  
 $   3,233,550
  
 $   2,773,086
  
 
Interest-bearing deposits
  
      6,062,424
  
       6,035,578
  
      6,028,044
  
      5,493,794
  
 
      Total deposits
    
      9,144,041
  
       9,212,361
  
      9,261,594
  
      8,266,880
  
 
Short-term borrowings
  
      1,014,940
  
          908,246
  
      1,276,636
  
      1,286,228
  
 
Long-term debt
    
         199,626
  
          190,663
  
         179,236
  
         157,020
  
 
Accrued interest payable
  
           16,886
  
            20,082
  
           19,789
  
           18,156
  
 
Other liabilities
    
         111,595
  
          167,044
  
         117,768
  
         104,961
  
 
      Total liabilities
    
    10,487,088
  
     10,498,396
  
    10,855,023
  
      9,833,245
  
 
SHAREHOLDERS' EQUITY
                  
 
Preferred stock
    
         294,340
  
          294,023
  
         293,706
  
                   -
  
 
Common stock
    
             2,800
  
              2,800
  
             2,800
  
             2,800
  
 
Capital surplus
    
         396,629
  
          398,767
  
         397,703
  
         409,586
  
 
Retained earnings
    
         829,976
  
          856,021
  
         869,918
  
         888,430
  
 
Accumulated other comprehensive income (loss)
          (23,054
 ) 
          (16,829
 ) 
         (25,952
 ) 
          (21,707
 ) 
 
Treasury stock at cost
    
          (12,697
 ) 
          (12,697
 ) 
         (12,697
 ) 
          (96,031
 ) 
 
      Total shareholders' equity
  
      1,487,994
  
       1,522,085
  
      1,525,478
  
      1,183,078
  
 
      Total liabilities and shareholders' equity
  
 $ 11,975,082
  
 $  12,020,481
  
 $ 12,380,501
  
 $ 11,016,323
  

 
-MORE-
 
 
 
10
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
CONSOLIDATED STATEMENTS OF INCOME
 
     
Second
  
First
  
Second
  
               Six Months Ended
     
Quarter
  
Quarter
  
Quarter
  
               June 30
  
(dollars in thousands, except per share data)
2009
  
2009
  
2008
  
2009
  
2008
  
INTEREST INCOME
                      
  Interest and fees on loans
  
 $   110,353
  
 $   111,814
  
 $   116,321
  
 $   222,167
  
 $   242,472
  
  Interest and dividends on investments
  
        20,457
  
        20,896
  
        23,177
  
        41,353
  
        47,511
  
  Interest on federal funds sold and
                      
     short-term investments
  
             204
  
             178
  
             109
  
             382
  
          1,380
  
    Total interest income
  
      131,014
  
      132,888
  
      139,607
  
      263,902
  
      291,363
  
INTEREST EXPENSE
                
 
    
  Interest on deposits
    
        17,360
  
        17,506
  
        21,387
  
        34,866
  
        51,796
  
  Interest on short-term borrowings
  
             570
  
          1,278
  
          4,740
  
          1,848
  
        10,064
  
  Interest on long-term debt
  
          2,512
  
          2,489
  
          2,355
  
          5,001
  
          4,833
  
    Total interest expense
  
        20,442
  
        21,273
  
        28,482
  
        41,715
  
        66,693
  
NET INTEREST INCOME
  
      110,572
  
      111,615
  
      111,125
  
      222,187
  
      224,670
  
PROVISION FOR CREDIT LOSSES
  
        74,000
  
        65,000
  
        35,000
  
      139,000
  
        49,000
  
NET INTEREST INCOME AFTER PROVISION
                  
  FOR CREDIT LOSSES
  
        36,572
  
        46,615
  
        76,125
  
        83,187
  
      175,670
  
NONINTEREST INCOME
                      
  Service charges on deposit accounts
  
          9,396
  
          9,836
  
          8,532
  
        19,232
  
        16,641
  
  Bank card fees
    
          4,620
  
          4,387
  
          4,489
  
          9,007
  
          8,572
  
  Trust service fees
    
          3,187
  
          2,966
  
          3,366
  
          6,153
  
          6,775
  
  Secondary mortgage market operations
  
          3,091
  
          1,835
  
          1,387
  
          4,926
  
          2,496
  
  Other noninterest income
  
        12,137
  
        10,242
  
          8,400
  
        22,379
  
        20,166
  
  Securities transactions
  
               -
  
               -
  
               -
  
               -
  
               -
  
    Total noninterest income
  
        32,431
  
        29,266
  
        26,174
  
        61,697
  
        54,650
  
NONINTEREST EXPENSE
                      
  Employee compensation
  
        40,868
  
        38,592
  
        38,131
  
        79,460
  
        76,452
  
  Employee benefits
    
        10,485
  
        11,322
  
          8,951
  
        21,807
  
        18,000
  
    Total personnel
    
        51,353
  
        49,914
  
        47,082
  
      101,267
  
        94,452
  
  Net occupancy
    
          9,606
  
          9,676
  
          8,502
  
        19,282
  
        17,132
  
  Equipment and data processing
  
          6,528
  
          6,354
  
          6,244
  
        12,882
  
        12,462
  
  Legal and other professional services
  
          4,639
  
          4,687
  
          2,527
  
          9,326
  
          4,777
  
  Deposit insurance and regulatory fees
  
          9,879
  
          3,585
  
          1,111
  
        13,464
  
          1,823
  
  Telecommunication and postage
  
          2,952
  
          3,097
  
          2,654
  
          6,049
  
          5,452
  
  Corporate value and franchise taxes
  
          2,402
  
          2,371
  
          2,321
  
          4,773
  
          4,670
  
  Amortization of intangibles
  
          2,251
  
          2,590
  
          1,754
  
          4,841
  
          3,837
  
  Other noninterest expense
  
        22,197
  
        14,574
  
        13,395
  
        36,771
  
        24,914
  
    Total noninterest expense
  
      111,807
  
        96,848
  
        85,590
  
      208,655
  
      169,519
  
Income (loss) before income taxes
  
      (42,804
 ) 
      (20,967
 ) 
        16,709
  
      (63,771
 ) 
        60,801
  
Income tax expense
    
      (21,503
 ) 
        (9,828
 ) 
          3,835
  
      (31,331
 ) 
        18,072
  
Net income (loss)
    
 $   (21,301
 ) 
 $   (11,139
 ) 
 $     12,874
  
 $   (32,440
 ) 
 $     42,729
  
Preferred stock dividends
  
          4,067
  
          4,025
  
               -
  
          8,092
  
               -
  
Net income (loss) to common shareholders
  
 $   (25,368
 ) 
 $   (15,164
 ) 
 $     12,874
  
 $   (40,532
 ) 
 $     42,729
  
                         
EARNINGS (LOSS) PER COMMON SHARE
                  
  Basic
    
  $(.38
 ) 
  $(.22
 ) 
   $.20
  
  $(.60
 ) 
   $.66
  
  Diluted
    
  (.38
 ) 
  (.22
 ) 
   .20
  
  (.60
 ) 
   .65
  
WEIGHTED-AVERAGE COMMON
                      
    SHARES OUTSTANDING
                        
    Basic
    
67,484,913
  
67,465,497
  
63,957,445
  
67,475,259
  
64,459,180
  
    Diluted
    
67,484,913
  
67,465,497
  
64,315,487
  
67,475,259
  
64,857,543
  
CASH DIVIDENDS PER COMMON SHARE
   $.01
  
   $.01
  
   $.31
  
   $.02
  
   $.62
  

 
-MORE-
 
 
 
11
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
SUMMARY OF INTEREST RATES (TAX-EQUIVALENT)*
  
     
Second
  
First
  
Second
  
        Six Months Ended
  
     
Quarter
  
Quarter
  
Quarter
  
        June 30
     
2009
  
2009
  
2008
  
2009
  
2008
  
                         
EARNING ASSETS
                        
Loans**
    
4.92
 % 
4.99
 % 
5.93
 % 
4.96
 % 
6.26
 % 
Investment securities
    
   4.51
  
   4.67
  
   4.81
  
   4.59
  
   4.82
  
Federal funds sold and short-term investments
  
     .54
  
   1.07
  
   2.18
  
     .70
  
   3.76
  
            Total interest-earning assets
  
4.79
 %
4.91
 %
5.70
 %
4.85
 %
5.94
 %
                         
INTEREST-BEARING LIABILITIES
                      
Interest-bearing deposits
                        
     NOW account deposits
    
.37
 %
.38
 %
.59
 %
.37
 %
.73
 %
     Money market investment deposits
  
   1.10
  
     .68
  
     .98
  
     .92
  
   1.30
  
     Savings deposits
    
     .16
  
     .16
  
     .39
  
     .16
  
     .50
  
     Other time deposits
    
   2.14
  
   2.48
  
   3.27
  
   2.31
  
   3.52
  
     Time deposits $100,000 and over
  
   1.77
  
   2.12
  
   2.61
  
   1.94
  
   3.05
  
            Total interest-bearing deposits
  
1.14
 %
1.19
 %
1.57
 %
1.16
 %
1.86
 %
                         
Short-term borrowings
    
     .21
  
     .43
  
   1.69
  
     .32
  
   2.01
  
Long-term debt
    
   5.04
  
   5.43
  
   5.99
  
   5.23
  
   6.00
  
            Total interest-bearing liabilities
  
1.10
 %
1.17
 %
1.69
 %
1.14
 %
1.98
 %
                         
NET INTEREST SPREAD (tax-equivalent)
                      
Yield on earning assets less cost of interest-
                      
    bearing liabilities
    
3.69
 %
3.74
 %
4.01
 %
3.71
 %
3.96
 %
                         
NET INTEREST MARGIN (tax-equivalent)
                      
Net interest income (tax equivalent) as a
                      
    percentage of average earning assets
  
4.05
 %
4.13
 %
4.54
 %
4.09
 %
4.59
 %
                         
COST OF FUNDS
                        
Interest expense as a percentage of average interest-
                      
    bearing liabilities plus interest-free funds
  
.74
 %
.78
 %
1.16
 %
.76
 %
1.35
 %
                         
                         
*   Based on a 35% tax rate.
                      
** Net of unearned income, before deducting the allowance for loan losses and including loans
              
    held for sale and loans accounted for on a nonaccrual basis.
                      

 
-MORE-
 
 
 
12
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
LOAN QUALITY
  
     
Second
  
First
  
Second
  
                   Six Months Ended
  
     
Quarter
  
Quarter
  
Quarter
  
                   June 30
  
(dollars in thousands)
    
2009
  
2009
  
2008
  
2009
  
2008
  
                         
ALLOWANCE FOR LOAN LOSSES
                      
Allowance at beginning of period
  
$194,179
  
$161,109
  
$91,708
  
$161,109
  
$87,909
  
Provision for credit losses
    
         72,000
  
       65,000
  
         35,000
  
         137,000
  
         49,000
  
Loans charged off
    
        (48,544
 )
     (33,829
 )
        (18,292
 )
         (82,373
 )
        (29,334
 )
Recoveries on loans previously charged off
  
           1,830
  
         1,899
  
           1,436
  
             3,729
  
           2,277
  
     Net loans charged off
    
        (46,714
 )
     (31,930
 )
        (16,856
 )
         (78,644
 )
        (27,057
 )
Allowance at end of period
  
$219,465
  
$194,179
  
$109,852
  
$219,465
  
$109,852
  
                         
Allowance for loan losses as a percentage of
                      
    loans, at end of period
    
2.50
 %
2.17
 %
1.38
 %
2.50
 %
1.38
 %
                         
Annualized net charge-offs as a percentage
                      
    of average loans
    
             2.09
  
           1.41
  
               .86
  
               1.75
  
               .70
  
                         
Annualized gross charge-offs as a percentage of
                      
    average loans
    
             2.17
  
           1.49
  
               .93
  
               1.83
  
               .75
  
                         
Recoveries as a percentage of gross charge-offs
  
             3.77
  
           5.61
  
             7.85
  
               4.53
  
             7.76
  
                         
                         
RESERVE FOR LOSSES ON
                      
    UNFUNDED CREDIT COMMITMENTS
                      
Reserve at beginning of period
  
$   800
  
$800
  
$1,300
  
$   800
  
$1,300
  
Provision for credit losses
    
           2,000
  
                -
  
                   -
  
             2,000
  
                   -
  
Reserve at end of period
    
$2,800
  
$800
  
$1,300
  
$2,800
  
$1,300
  
                         
     
June 30
  
March 31
  
December 31
  
September 30
  
June 30
  
(dollars in thousands)
    
2009
  
2009
  
2008
  
2008
  
2008
  
                         
NONPERFORMING ASSETS
                      
Loans accounted for on a nonaccrual basis
  
$413,174
  
$366,249
  
$301,095
  
$235,136
  
$147,383
  
Restructured loans accruing
  
                   -
  
                -
  
                   -
  
                    -
  
                   -
  
     Total nonperforming loans
  
       413,174
  
     366,249
  
       301,095
  
         235,136
  
       147,383
  
Foreclosed assets and surplus property
  
         43,625
  
       38,781
  
         28,067
  
           19,597
  
         14,524
  
     Total nonperforming assets
  
$456,799
  
$405,030
  
$329,162
  
$254,733
  
$161,907
  
Loans 90 days past due still accruing
  
   $20,364
  
   $30,564
  
   $16,101
  
   $6,145
  
   $7,490
  
                         
Nonperforming assets as a percentage of loans
                      
   plus foreclosed assets and surplus property,
                      
   at end of period
    
5.17
 %
4.50
 %
3.61
 %
3.15
 %
2.03
 %
                         
Allowance for loan losses as a percentage of
                      
   nonperforming loans, at end of period
  
           53.12
  
         53.02
  
           53.51
  
             53.32
  
           74.54
  
                         
Loans 90 days past due still accruing as a
                      
   percentage of loans, at end of period
  
               .23
  
             .34
  
               .18
  
                 .08
  
               .09
  
                         

 
-MORE-
 
 
 
13
  
WHITNEY HOLDING CORPORATION AND SUBSIDIARIES
  
LOAN PORTFOLIO DETAIL
  
                             
LOAN PORTFOLIO AT QUARTER-END
                      
         
           2009
  
2008
  
(dollars in millions)
    
June
  
March
  
December
  
September
  
June
  
                             
Commercial & industrial
    
$3,258
  
$3,328
  
$3,436
  
$3,101
  
$3,087
  
Commercial real estate:
                        
    Residential construction
    
         239
  
         265
  
          274
  
         265
  
           269
  
    Commercial construction, land &
                        
        land development
    
      1,540
  
      1,615
  
       1,614
  
      1,418
  
        1,359
  
    CRE - owner-user
    
      1,077
  
      1,041
  
       1,015
  
         822
  
           825
  
    CRE - other
      
      1,235
  
      1,251
  
       1,254
  
      1,107
  
        1,084
  
        Total commercial real estate
    
      4,091
  
      4,172
  
       4,157
  
      3,612
  
        3,537
  
Residential mortgage
    
      1,028
  
      1,046
  
       1,079
  
      1,003
  
           983
  
Consumer
      
         415
  
         407
  
          410
  
         362
  
           356
  
   Total loans
      
$8,792
  
$8,953
  
$9,082
  
$8,078
  
$7,963
  
                             
GEOGRAPHIC DISTRIBUTION OF LOAN PORTFOLIO AT JUNE 30, 2009
  
                 
         Alabama/
  
Percent
  
(dollars in millions)
Louisiana
  
Texas
  
Florida
  
Mississippi
  
Total
  
 of total
  
                             
Commercial & industrial
$2,260
  
$636
  
$97
  
$265
  
$3,258
  
37
 % 
Commercial real estate:
                        
    Residential construction
         84
  
           75
  
           52
  
            28
  
         239
  
3
 % 
    Commercial construction, land &
                        
        land development
       466
  
         432
  
         412
  
          230
  
      1,540
  
17
 % 
    CRE - owner-user
       661
  
         131
  
         209
  
            76
  
      1,077
  
12
 % 
    CRE - other
  
       627
  
         135
  
         318
  
          155
  
      1,235
  
14
 % 
        Total commercial real estate
    1,838
  
         773
  
         991
  
          489
  
      4,091
  
46
 % 
Residential mortgage
       550
  
         132
  
         215
  
          131
  
      1,028
  
12
 % 
Consumer
  
       286
  
           23
  
           67
  
            39
  
         415
  
5
 % 
   Total
    
$4,934
  
$1,564
  
$1,370
  
$924
  
$8,792
  
100
 % 
Percent of total
  
56
 % 
18
 % 
16
 % 
10
 % 
100
 %     
                             
CRITICIZED LOANS AT JUNE 30, 2009
                      
                         
Percent of
  
                 
         Alabama/
  
  loan category
(dollars in millions)
Louisiana
  
Texas
  
Florida
  
Mississippi
  
Total
  
total
  
                             
Commercial & industrial
$70
  
$89
  
$11
  
$36
  
$206
  
6
 % 
Commercial real estate:
                        
    Residential construction
           7
  
           13
  
           25
  
              2
  
           47
  
20
 % 
    Commercial construction, land &
                        
        land development
         27
  
           73
  
         214
  
            42
  
         356
  
23
 % 
    CRE - owner-user
         42
  
           34
  
           47
  
            17
  
         140
  
13
 % 
    CRE - other
  
         51
  
           15
  
           81
  
            19
  
         166
  
13
 % 
        Total commercial real estate
       127
  
         135
  
         367
  
            80
  
         709
  
17
 % 
Residential mortgage
         34
  
           12
  
           59
  
            18
  
         123
  
12
 % 
Consumer
  
           3
  
             1
  
             7
  
              2
  
           13
  
3
 % 
   Total
    
$234
  
$237
  
$444
  
$136
  
$1,051
  
12
 % 
Percent of regional loan total
5
 % 
15
 % 
32
 % 
15
 % 
12
 %     

 
-END-