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Consolidated Statements of Operations (USD $)
In Thousands, except Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Sep. 30, 2012
Sep. 30, 2011
Interest and dividend income:        
Loans $ 52,533 $ 53,043 $ 157,882 $ 160,190
Taxable investment securities 890 1,456 3,225 4,230
Non-taxable investment securities 782 905 2,382 2,922
Mortgage-backed securities 1,537 1,873 4,743 5,521
Federal funds sold and other 290 242 511 842
Total interest and dividend income 56,032 57,519 168,743 173,705
Interest expense:        
Deposits 4,206 5,921 13,544 18,871
Federal Home Loan Bank borrowings 3,501 4,203 11,193 12,856
Junior subordinated debentures 1,507 1,851 4,950 5,648
Repurchase agreements and other short-term borrowings 452 485 1,326 1,526
Total interest expense 9,666 12,460 31,013 38,901
Net interest income 46,366 45,059 137,730 134,804
Provision/ (Credit) for loan losses (4,000) 4,500 1,700 15,660
Net interest income/(loss) after provision for loan losses 50,366 40,559 136,030 119,144
Fees and other income:        
Investment management and trust fees 15,906 16,161 46,628 48,581
Wealth advisory fees 9,495 8,623 27,914 25,672
Other banking fee income 1,250 1,339 3,250 3,859
Gain on repurchase of debt 976 0 2,570 1,838
Gain on sale of investments, net 25 103 878 689
Gain on sale of loans, net 648 386 1,499 1,897
Gain/(loss) on OREO, net (104) 3,156 221 4,110
Other 408 (44) 1,107 2,186
Total fees and other income 28,604 29,724 84,067 88,832
Operating expense:        
Salaries and employee benefits 34,688 33,796 106,071 104,207
Occupancy and equipment 8,078 7,519 23,274 22,079
Professional services 3,455 3,634 9,415 14,062
Marketing and business development 1,346 1,473 4,454 4,770
Contract services and data processing 1,446 1,150 3,989 3,503
Amortization of intangibles 1,082 1,124 3,263 3,679
FDIC insurance 1,138 1,356 2,969 4,887
Restructuring expense 3,581 1,116 4,280 7,402
Other 3,336 3,748 11,397 11,298
Total operating expense 58,150 [1] 54,916 [1] 169,112 [1] 175,887 [1]
Income/(loss) before income taxes 20,820 15,367 50,985 32,089
Income tax expense/(benefit) 5,124 4,542 14,215 8,559
Net income/(loss) from continuing operations 15,696 10,825 36,770 23,530
Net income from discontinued operations 1,672 1,594 5,816 4,810
Net income/ (loss) before attrubution to noncontrolling interests 17,368 12,419 42,586 28,340
Net income/ (loss) attributable to noncontrolling interests 855 740 2,407 2,265
Net income/ (loss) attributable to the Company 16,513 [2] 11,679 [2] 40,179 [2] 26,075 [2]
Adjustments to net income/(loss) attributable to the Company to arrive at net income/(loss) attributable to common shareholders 2,067 1,452 4,582 3,287
Net Income (Loss) Available to Common Shareholders, Basic $ 14,446 $ 10,227 $ 35,597 $ 22,788
Basic earnings/(loss) per share attributable to common shareholders:        
From continuing operations: $ 0.17 $ 0.12 $ 0.40 $ 0.25
From discontinued operations: $ 0.02 $ 0.02 $ 0.07 $ 0.06
Total attributable to common shareholders: $ 0.19 $ 0.14 $ 0.47 $ 0.30
Diluted earnings/(loss) per share attributable to common shareholders:        
From continuing operations: $ 0.17 $ 0.12 $ 0.39 $ 0.25
From discontinued operations: $ 0.02 $ 0.02 $ 0.07 $ 0.06
Total attributable to common shareholders: $ 0.19 $ 0.14 $ 0.46 $ 0.30
Common Stock [Member]
       
Basic earnings/(loss) per share attributable to common shareholders:        
Weighted Average Basic Common Shares Outstanding 76,290,382 75,378,923 75,911,520 75,083,976
Diluted earnings/(loss) per share attributable to common shareholders:        
Weighted average diluted common shares outstanding 77,367,611 [3] 75,580,877 [3] 76,814,203 [3] 75,259,271 [3]
[1] Non-interest expense for the three and nine months ended September 30, 2012 includes $3.6 million and $4.3 million, respectively, of restructuring expense. Non-interest expense for the three and nine months ended September 30, 2011 includes $1.1 million and $7.4 million, respectively, of restructuring expense. Restructuring expenses have been incurred in the Private Banking segment as well as at the Holding Company.
[2] Net income from discontinued operations for the three months ended September 30, 2012, and 2011 of $1.7 million, and $1.6 million, respectively, and for the nine months ended September 30, 2012, and 2011, of $5.8 million and $4.8 million, respectively, are included in Holding Company and Eliminations in the calculation of net loss attributable to the Company.
[3] (2)The diluted EPS computations for the three and nine months ended September 30, 2012 and 2011 do not assume the conversion, exercise, or contingent issuance of the following shares for these periods because the result would have been anti-dilutive for the periods indicated. As a result of the anti-dilution, the potential common shares excluded from the diluted EPS computation are as follows: Three months ended September 30, Nine months ended September 30, 2012 2011 2012 2011Shares excluded due to anti-dilution (treasury method):(In thousands)Potential common shares from: Convertible trust preferred securities (a)784 1,707 784 1,707Total shares excluded due to anti-dilution784 1,707 784 1,707 Three months ended September 30, Nine months ended September 30, 2012 2011 2012 2011Shares excluded due to exercise price exceeding the average market price of common shares during the period (total outstanding):(In thousands)Potential common shares from: Stock options, performance-based restricted stock, or other dilutive securities (b)2,102 3,967 2,180 3,834Warrants (c)— 2,888 — 2,888Total shares excluded due to exercise price exceeding the average market price of common shares during the period2,102 6,855 2,180 6,722(a) If the effect of the conversion of the trust preferred securities would have been dilutive, interest expense, net of tax, related to the convertible trust preferred securities of $0.2 million and $0.4 million for the three months ended September 30, 2012 and 2011, respectively, and of $0.8 million and $1.2 million for the nine months ended September 30, 2012 and 2011, respectively, would have been added back to net income/ (loss) attributable to common shareholders for diluted EPS computations for the periods presented.(b)Options to purchase shares of common stock, non-participating (performance-based) restricted stock, and other dilutive securities that were outstanding at period ends were not included in the computation of diluted EPS or in the above anti-dilution table because their exercise or conversion prices were greater than the average market price of the common shares during the respective periods. (c)Certain warrants to purchase shares of common stock that were outstanding at period ends were not included in the computations of diluted EPS because the warrants' exercise price was greater than the average market price of the common shares during the respective period. See Part II. Item 8. “Financial Statements and Supplementary Data—Note 27: Subsequent Events” in the Company's Annual Report on Form 10-K for the year ended December 31, 2011 for a discussion of the 2012 repurchase of the Carlyle warrants and the Director's warrants.