Condensed Financial Statements of Parent Company

12 Months Ended

Dec. 31, 2016

Condensed Financial Statements of Parent Company

Condensed Financial Statements of Parent Company

Note 27—Condensed Financial Statements of Parent Company

Financial information pertaining only to South State Corporation is as follows:

Condensed Balance Sheet

	December 31,
(Dollars in thousands)	2016		2015
ASSETS
Cash	$	27,775	$	21,592
Investment securities available for sale		631		646
Investment in subsidiaries		1,163,616		1,090,719
Other assets		1,235		1,353
Total assets	$	1,193,257	$	1,114,310
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities	$	58,669	$	54,926
Shareholders’ equity		1,134,588		1,059,384
Total liabilities and shareholders’ equity	$	1,193,257	$	1,114,310

Condensed Statements of Income

	Year Ended December 31,
(Dollars in thousands)	2016		2015		2014
Income:
Dividends from subsidiaries	$	36,328	$	82,765	$	89,922
Operating income		177		38		583
Total income		36,505		82,803		90,505
Operating expenses		12,688		8,883		12,026
Income before income tax benefit and equity in undistributed earnings of subsidiaries		23,817		73,920		78,479
Applicable income tax benefit		4,270		2,975		3,628
Equity in undistributed earnings of subsidiary (excess distribution)		73,195		22,578		(6,670)
Net income		101,282		99,473		75,437
Preferred stock dividends		—		—		1,073
Net income available to common shareholders	$	101,282	$	99,473	$	74,364

Condensed Statements of Cash Flows

	Year Ended December 31,
(Dollars in thousands)	2016		2015		2014
Cash flows from operating activities:
Net income	$	101,282	$	99,473	$	75,437
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		222		355		339
Share-based compensation		6,220		5,803		3,908
Gain on sale of securities available for sale		(122)		—		—
Decrease (increase) in other assets		26		(296)		852
(Decrease) increase in other liabilities		3,750		(1,648)		(715)
Undistributed earnings of subsidiary		(73,195)		(22,578)		6,670
Net cash provided by operating activities		38,183		81,109		86,491
Cash flows from investing activities:
Proceeds from calls of other investment securities		137		1,392		—
Payments for investments in subsidiaries		—		(384)		—
Other, net		—		—		177
Net cash provided by investing activities		137		1,008		177
Cash flows from financing activities:
Repayment of other borrowings		—		(46,392)		—
Common stock issuance		925		908		826
Common stock repurchased		(5,981)		(5,631)		(917)
Preferred stock redeemed		—		—		(65,000)
Dividends paid on preferred stock		—		—		(1,073)
Dividends paid on common stock		(29,285)		(23,710)		(19,785)
Stock options exercised		2,204		1,115		709
Net cash used in financing activities		(32,137)		(73,710)		(85,240)
Net increase in cash and cash equivalents		6,183		8,407		1,428
Cash and cash equivalents at beginning of period		21,592		13,185		11,757
Cash and cash equivalents at end of period	$	27,775	$	21,592	$	13,185