Mergers and Acquisition Mergers and Acquisition (Tables)

9 Months Ended

Sep. 30, 2013

The following table summarizes the allocation of purchase price to assets and liabilities acquired in connection with the Company’s acquisition of First M&F based on their fair values on September 1, 2013. The Company is finalizing the fair value of certain assets and liabilities. As a result, the adjustments included in the following table are preliminary and may change.



Allocation of Purchase Price for First M&F Corporation.
Purchase Price:
Shares issued to common shareholders	6,175,586
Purchase price per share	$	25.17
Value of stock paid				$	155,439
Cash paid for fractional shares				17
Fair value of stock based compensation assumed				68
Deal charges				1,255
Total Purchase Price				$	156,779
Net Assets Acquired:
Stockholders’ equity at 9/1/13	$	79,440
Increase (decrease) to net assets as a result of fair value adjustments to assets acquired and liabilities assumed:
Securities	253
Loans, net of First M&F's allowance for loan losses⁽¹⁾	(45,751		)
Fixed assets	(2,314		)
Core deposits intangible, net of First M&F’s existing core deposit intangible	21,158
Other real estate owned⁽¹⁾	(5,797		)
Deposits	(3,207		)
Junior Subordinated Debt	12,371
Other liabilities	1,804
Deferred income taxes	8,274
Total Net Assets Acquired				66,231
Goodwill resulting from merger⁽²⁾				$	90,548

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

As a result, the values included in the following table are preliminary and may change.



Cash and cash equivalents	$	170,061
Securities	227,693
Mortgage loans held for sale	1,659
Loans, net of unearned income	899,246
Premises and equipment	33,014
Other real estate owned	13,527
Intangible assets	115,581
Other assets	55,767
Total assets	1,516,548

Deposits	1,325,872
Borrowings	25,346
Other liabilities	9,806

Pro Forma Information

The following unaudited pro forma combined condensed consolidated financial information presents the results of operations for the nine months ended September 30, 2013 and 2012 of the Company as though the merger with First M&F and the equity offering to fund the cash portion of the merger consideration had been completed as of the beginning of each respective period.



	Nine Months Ended September 30,
	2013		2012
Interest income	$	165,592	$	171,897
Interest expense	21,845		28,421
Net interest income	143,747		143,476
Provision for loan losses	11,030		20,665
Noninterest income	62,833		67,702
Noninterest expense	163,993		157,927
Income before income taxes	31,557		32,586
Income taxes	6,576		5,666
Net income	$	24,981	$	26,920
Earnings per share:
Basic	$	0.80	$	0.82
Diluted	$	0.79	$	0.81