BankAtlantic Bancorp Reports Financial Results for the Third Quarter 2006.FORT LAUDERDALE Fort Lauderdale (lô`dərdāl), residential, commercial, and resort city (1990 pop. 149,377), seat of Broward co., SE Fla., on the Atlantic coast; settled around a fort built (c.1837) in the Seminole War, inc. 1911. , Fla. -- BankAtlantic BankAtlantic, a subsidiary of BankAtlantic Bancorp, Inc. [NYSE: BBX] and based in Fort Lauderdale, Florida, is a company that provides consumer and commercial banking services in south Florida. Bancorp, Inc. (NYSE NYSE See: New York Stock Exchange :BBX BBX Business Basic Extended BBX Business Barter Exchange BBX Blue Bell, Pennsylvania (Airport Code) BBX Blockbuster Express (UK video store) ) today announced financial results for the third quarter 2006. For the three-month period ending September September: see month. 30, 2006, net income was $2.3 million, or $0.04 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared to $16.3 million, or $0.26 per diluted share, for the third quarter 2005. Year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. , net income was $17.2 million, or $0.27 per diluted share, compared to $60.7 million, or $0.95 per diluted share, for the nine months of 2005. Alan A`lan´ n. 1. A wolfhound. B. Levan levan Dentistry A fructose homopolymer linked by β-2,6 bonds, formed by the partial digestion of sucrose by Bacillus and Streptococcus spp, which is a component of dental plaque representing the first biochemical event in cariogenesis. , Chairman and Chief Executive Officer of BankAtlantic Bancorp commented, "This quarter's performance reflects a $4.8 million loss at Ryan Ryan may refer to: Places
Commentary on Business Segment Operations: BankAtlantic: "For the third quarter 2006, BankAtlantic's net income was $9.7 million, down from $19.3 million in the comparable 2005 quarter. The third quarter 2005 included a negative provision for loan losses of $3.4 million, compared to a $271,000 provision in the current quarter, contributing significantly to the earnings decline. Additionally, the current quarter reflects relatively flat net interest income and increased expenses associated with our new store expansion program and its related marketing costs, partially offset by growth in fee income. "Net interest income for the third quarter 2006 was $55.1 million, or $0.8 million lower than the 2005 quarter, due to lower earning assets Earning Assets Any income-earning asset owned by a company. Notes: These assets are generally interest-bearing accounts, bonds, and securities available for sale. See also: Asset, Asset Valuation, Earnings, Net Interest Margin which more than offset an improved margin. While we continue our strategy of using the growth in low cost deposits to reduce borrowings, the slowed growth in low cost deposits resulted in a modest increase in borrowings, to a level of 33.6% of deposits and borrowings, up from 33.2% in the third quarter of 2005. Our longer term plans continue to target a reduction in this ratio toward the 10-15% range. Our ability to achieve this level will depend upon both the growth in low cost deposits and growth in core earning assets. "The tax equivalent net interest margin improved to 4.04%, from 3.96% in the corresponding quarter of 2005, but down from 4.17% in the second quarter of 2006. (All references to net interest margin exclude loan participations sold previously recognized as secured borrowings.) Average earning assets increased approximately $210 million from the second quarter through purchases of residential loans. The spread on the purchased assets was relatively narrow, contributing to the decline in net interest margin from the second quarter to the third quarter, 2006. Additionally, overall funding costs increased, with the overall rate paid on interest bearing liabilities rising from 3.14% to 3.52% between the second and third quarters of 2006. The continued flatness of the yield curve has created a challenging environment, in which continued growth in low cost deposits will largely determine the amount of future improvement in net interest margin. With low cost deposits growing in the 15-20% range, further margin expansion is expected, but if the growth rate continues in the single digit A single character in a numbering system. In decimal, digits are 0 through 9. In binary, digits are 0 and 1. digit - An employee of Digital Equipment Corporation. See also VAX, VMS, PDP-10, TOPS-10, DEChead, double DECkers, field circus. levels we experienced this quarter, little change in the margin is likely in the near term. "Non-interest income for the third quarter was $33.7 million, or 31% greater than the comparable 2005 period, primarily driven by growth in deposit service charges and other fees directly associated with the number of new accounts. "Non-interest expense of $75.2 million was $18.5 million, or 33% greater than the corresponding quarter of 2005. The growth in expenses from the corresponding quarter of 2005 was largely the result of a $9.4 million, or 34% increase in personnel costs, and a $4.0 million, or 37% increase in occupancy and equipment expense, again reflecting our growth initiatives and store expansion strategy. Advertising expense increased $3.3 million, or 60% increase from the prior year's corresponding quarter, reflecting our previously announced program of advertising associated with our new stores and our efforts to attract higher levels of low cost deposits. "Credit quality remained good in the third quarter, with the ratio of non-performing loans A non-performing loan is a loan that is in default or close to being in default. Many loans become non-performing after being in default for 3 months, but this can depend on the contract terms. to total loans increasing only slightly from 0.12% at June June: see month. 30, 2006 to 0.13% at September 30, 2006, and the ratio of non-performing assets to total loans plus other assets other assets Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. remaining stable at 0.17%. The Bank recorded a net recovery of $234,000 in the third quarter compared to a net recovery of $143,000 for the immediately preceding quarter. Year-to-date, the Bank has experienced net recoveries of $911,000. The Allowance for Loan Losses increased slightly from $42.0 million at June 30, 2006 to $42.5 million at September 30, 2006, and the ratio of the allowance to non-performing loans at quarter end was 674%. "BankAtlantic opened nearly 62,000 and 197,000 new low cost deposit accounts in the third quarter of 2006 and year-to-date 2006, respectively, an increase of 21% and 27% over the number of accounts opened in the corresponding 2005 periods. Balances of these new accounts have aggregated approximately $443 million year-to-date. At quarter end, `total bank' and `same store' low cost deposit balances increased 5.5% and 5.3%, respectively, compared to the third quarter 2005, an increase of $110 million in low cost deposit balances. As noted in earlier quarters, growth in balances in new low cost accounts remains very strong, but declines in legacy balances, due to higher interest rates and other factors, have negatively impacted growth in net aggregate balances. Demand deposits declined slightly to 27.5% of total deposits from 29.2% in the second quarter 2006. Year-over-year, low cost deposit balances rose to 57.3% of total deposits, up from 54.0% in the third quarter of 2005. "Earlier this month, BankAtlantic announced its plans to open at least four new full service stores in the greater Orlando Greater Orlando, alternatively known as the Orlando Area or Metro Orlando, is third most populated metropolitan region in the state of Florida, and the 27th-largest metro area in the United States. area in 2007. The first two stores are expected to open during the first quarter, and our total expansion plan currently calls for opening more than 20 stores in the greater Orlando area over the next several years. BankAtlantic has maintained a commercial lending presence in Orlando Orlando, city, United States Orlando (ôrlăn`dō), city (1990 pop. 164,693), seat of Orange co., central Fla., in a lake region; inc. 1875. In a citrus fruit and farm area, it is one of the world's most visited vacation spots. since 2002. We have found its demographics The attributes of people in a particular geographic area. Used for marketing purposes, population, ethnic origins, religion, spoken language, income and age range are examples of demographic data. and growth trends particularly attractive. Earlier this year, we opened a Customer Service Center (a telephone call center which serves as a backup to our main center in Fort Lauderdale), and in preparation for this new store expansion, a new sales and training center in Orlando. In addition to the announced Orlando entry, we opened three new stores in the Miami-Dade area during the third quarter. "Also during the quarter, BankAtlantic announced the expansion of its fleet of Automated Teller Machines automated teller machine (ATM), device used by bank customers to process account transactions. Typically, a user inserts into the ATM a special plastic card that is encoded with information on a magnetic strip. (ATMs) to include the world's largest cruise ship, Royal Caribbean International's `Freedom of the Seas freedom of the seas: see seas, freedom of the. .' BankAtlantic pioneered the concept of linking satellite communications technology Noun 1. communications technology - the activity of designing and constructing and maintaining communication systems engineering, technology - the practical application of science to commerce or industry with ATMs in a shipboard ship·board n. 1. The condition of being aboard a ship: on shipboard. 2. Archaic The side of a ship. adj. environment in 1995. In addition to its cruise ship-based ATM's, BankAtlantic operates its own proprietary network of land-based ATMs throughout its footprint The amount of geographic space covered by an object. A computer footprint is the desk or floor surface it occupies. A satellite's footprint is the earth area covered by its downlink. See form factor. 1. in Florida Florida, state, United States Florida (flôr`ĭdə, flŏr`–), state in the extreme SE United States. A long, low peninsula between the Atlantic Ocean (E) and the Gulf of Mexico (W), Florida is bordered by Georgia and , including several in Native American American, river, 30 mi (48 km) long, rising in N central Calif. in the Sierra Nevada and flowing SW into the Sacramento River at Sacramento. The discovery of gold at Sutter's Mill (see Sutter, John Augustus) along the river in 1848 led to the California gold rush of gaming casinos A list of casinos. Antigua and Barbuda
Ryan Beck & Co.: "During the third quarter of 2006, Ryan Beck & Co. recorded a net loss of $4.8 million compared to a profit of $0.4 million in the comparable quarter of 2005. The loss was largely due to continued weakness in its investment banking activities, plus the costs associated with the rapid expansion which took place in late 2005 and early 2006 in its capital markets and investment banking businesses, including in the municipal finance, equity capital markets and fixed income capital markets. During the third quarter, Ryan Beck began a review of its lines of business to determine where improvements in operating performance can be attained at·tain v. at·tained, at·tain·ing, at·tains v.tr. 1. To gain as an objective; achieve: attain a diploma by hard work. 2. . While Ryan Beck remains committed to all of its core business lines, it is also committed to restoring the firm to profitability, and we anticipate that Ryan Beck will make decisions in the fourth quarter which will position it to return to profitability in 2007. "Private Client Group revenues at Ryan Beck were down for the quarter due to decreased customer activity. Ryan Beck opened five new Private Client Group offices in three states during the quarter. Retail brokerage activity, which involves providing wealth management services to the mass affluent Mass affluent and emerging affluent are marketing terms used to refer to the growing high end of the mass market. It is most commonly used by the financial services industry to refer to individuals with US$100,000 to US$1,000,000 of liquid financial assets,[1] market, had third quarter revenue of $33.8 million compared to $37.8 million for the third quarter of 2005. Total client assets have risen to $19.1 billion. "Revenue from capital markets activities was $14.6 million compared to $9.5 million for the third quarter of 2005. This increase was principally due to the growth in capital markets staff which was initiated in late 2005. "Investment banking activities provided third quarter revenue of $2.2 million compared to $4.1 million for the third quarter of 2005. This decrease was primarily due to decreased deal flow this quarter compared to the 2005 quarter. BankAtlantic Bancorp: "As part of our on-going Adj. 1. on-going - currently happening; "an ongoing economic crisis" ongoing current - occurring in or belonging to the present time; "current events"; "the current topic"; "current negotiations"; "current psychoanalytic theories"; "the ship's current position" stock repurchase Stock repurchase A firm's repurchase of outstanding shares of its common stock. program, we repurchased 310,000 shares of our Class A Common Stock in market transactions during the third quarter. Year-to-date BankAtlantic Bancorp has purchased 560,000 shares of Class A Common Stock in market transactions. We anticipate continuing this repurchase re·pur·chase tr.v. re·pur·chased, re·pur·chas·ing, re·pur·chas·es To buy (something) again. n. The act of buying something that one previously sold or owned. Noun 1. program in the fourth quarter, and in 2007 subject to market conditions and our liquidity requirements. "During the third quarter, BankAtlantic Bancorp's Board of Directors declared a cash dividend of $0.041 per share to all shareholders of record of its Class A and Class B Common Stock at the close of trading on October October: see month. 3, 2006. The third quarter's declaration marked BankAtlantic Bancorp's 53rd consecutive quarterly dividend payment since 1993."
Financial Highlights:
Third Quarter, 2006 Compared to Third Quarter, 2005
BankAtlantic Bancorp - consolidated: * Net income of $2.3 million vs. $16.3 million, a decrease of 86% * Diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of of $0.04 vs. $0.26, a decrease of 85% * Return on average tangible equity was 2.07% * Book value per share was $8.60 BankAtlantic: * Business segment net income was $9.7 million vs. $19.3 million, a decrease of 50% * Nearly 62,000 new low cost deposit accounts opened, an increase of 21% over accounts opened in the corresponding 2005 quarter, with related new balances of $134 million * Return on average tangible assets Tangible Asset An asset that has a physical form such as machinery, buildings and land. Notes: This is the opposite of an intangible asset such as a patent or trademark. Whether an asset is tangible or intangible isn't inherently good or bad. was 0.64% * Return on average tangible equity was 7.71% * Tax equivalent net interest margin increased to 4.04% vs. 3.87% * Non-interest income was $33.7 million vs. $25.7 million, an increase of 31% * Non-interest expense grew to $75.2 million vs. $56.7 million, an increase of 33% Ryan Beck & Co.: * Business segment loss was $4.8 million vs. income of $423,000 * Return on average tangible equity was (20.75%) * Total operating revenues operating revenue Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. were $49.1 million vs. $54.1 million, a decrease of 9% * Retail brokerage revenue was $33.8 million vs. $37.8 million, a decrease of 11% * Capital markets revenue was $14.6 million vs. $9.5 million, an increase of 53% * Investment banking revenue was $2.2 million vs. $4.1 million, a decrease of 45%
Year to Date 2006 Compared to Year to Date 2005
BankAtlantic Bancorp - consolidated: * Net income was $17.2 million vs. $60.7 million, a decrease of 72% * Diluted earnings per share were $0.27 vs. $0.95, a decrease of 72% * Return on average tangible equity was 5.10% BankAtlantic: * Business segment net income was $32.8 million vs. $54.9 million, a decrease of 40% * 197,000 new low cost deposit accounts opened, an increase of 27% over accounts opened in the corresponding 2005 period, with related new balances of $443 million * Return on average tangible assets was 0.74% * Return on average tangible equity was 8.89% * Tax equivalent net interest margin increased to 4.08% vs. 3.81% * Non-interest income (excluding gains associated with debt redemption) was $94.2 million vs. $74.2 million, an increase of 27% * Non-interest expense (excluding costs associated with debt redemption and a facilities impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. charge in 2005), grew to $213.3 million vs. $161.6 million, an increase of 32% Ryan Beck & Co.: * Business segment loss was $8.8 million vs. income of $16.0 million * Return on average tangible equity was (12.12%) * Total operating revenues decreased to $163.2 million vs. $199.2 million, a decrease of 18% * Retail brokerage revenue was $109.5 million vs. $112.3 million, a decrease of 2% * Capital markets revenue was $42.8 million vs. $37.3 million, an increase of 15% * Investment banking revenue was $8.5 million vs. $44.8 million, a decrease of 81%
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BankAtlantic Bancorp will host an investor and media teleconference call and webcast on Thursday Thursday: see week. , October 19, 2006, at 11:00 a.m. (Eastern Time). Teleconference Call Information: To access the teleconference call in the U.S. and Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of , the toll free number to call is 1-800-968-8156. International calls may be placed to 706-634-5752. Domestic and international callers may reference PIN number 7550253. A replay of the conference call will be available beginning two hours after the call's completion through 5:00 p.m. Eastern Time, Friday Friday: see Sabbath; week. Friday young Indian rescued by Crusoe and kept as servant and companion. [Br. Lit.: Robinson Crusoe] See : Servant , November November: see month. 17, 2006. To access the replay option in the U.S. and Canada, the toll free number to call is 1-800-642-1687. International calls for the replay may be placed at 706-645-9291. The replay digital PIN number for both domestic and international calls is 7550253. Webcast Information: Alternatively, individuals may listen to the live and/or and/or conj. Used to indicate that either or both of the items connected by it are involved. Usage Note: And/or is widely used in legal and business writing. archived webcast of the teleconference call. To listen to the webcast, visit www.BankAtlanticBancorp.com, access the "Investor Relations Investor relations The process by which the corporation communicates with its investors. " section and click on the "Webcast" navigation link, or go directly to http://www.visualwebcaster.com/event.asp?id=35860. The archive of the teleconference call will be available through 5:00 p.m. Eastern Time, Friday, November 17, 2006. BankAtlantic Bancorp's third quarter, 2006 earnings results press release and financial summary, as well as the Supplemental Financials (a detailed summary of significant financial events and extensive business segment financial data), will be available on its website at: www.BankAtlanticBancorp.com. * To view the financial summary, access the "Investor Relations" section and click on the "Quarterly Financials" navigation link. * To view the Supplemental Financials, access the "Investor Relations" section and click on the "Supplemental Financials" navigation link. Copies of BankAtlantic Bancorp's third quarter, 2006 earnings results press release and financial summary, and the Supplemental Financials will also be made available upon request via fax, email, or postal service postal service, arrangements made by a government for the transmission of letters, packages, and periodicals, and for related services. Early courier systems for government use were organized in the Persian Empire under Cyrus, in the Roman Empire, and in medieval mail. To request a copy, contact BankAtlantic Bancorp's Investor Relations department using the contact information listed below. About BankAtlantic Bancorp: BankAtlantic Bancorp (NYSE:BBX) is a diversified financial The diversified financial services segment includes a range of consumer and commercially-oriented companies offering a wide variety of products and services, including various lending products (such as home equity loans and credit cards), insurance, and securities and investment services holding company and the parent company of BankAtlantic and Ryan Beck & Co. Through these subsidiaries, BankAtlantic Bancorp provides a full line of products and services encompassing consumer and commercial banking, brokerage and investment banking. About BankAtlantic: BankAtlantic, "Florida's Most Convenient Bank", is one of the largest financial institutions headquartered in Florida and provides a comprehensive offering of banking services and products via its broad network of community stores and its online banking division - BankAtlantic.com. BankAtlantic has more than 80 stores and operates approximately 250 conveniently located ATMs. BankAtlantic is open 7 days a week and offers holiday hours, extended weekday hours, including several stores open until midnight, Totally Free Online Banking & Bill Pay, 24/7 Customer Service Center, Totally Free Change Exchange coin counters and free retail and business checking with a free gift. About Ryan Beck & Co.: Founded in 1946, Ryan Beck & Co., Inc. provides financial advice and innovative solutions to individuals, institutions and corporate clients through the activities of approximately 1,100 employees in 45 offices located in 14 states. For individual investors, the firm's Private Client Group provides a full range of financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , including investment consulting, retirement plans, insurance and investment advisory services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal . Institutional clients benefit from the market making, underwriting Underwriting 1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt). 2. The process of issuing insurance policies. and distribution activities of the firm's experienced Capital Markets Group, which encompasses equity and fixed income trading and institutional sales as well as research. Through its Investment Banking Group, Ryan Beck raises capital and provides financial advisory services to financial institutions, middle market companies and municipalities. For further information, please visit our websites: www.BankAtlanticBancorp.com www.BankAtlantic.com www.RyanBeck.com -- To receive future BankAtlantic Bancorp news releases or announcements directly via Email, please click on the Email Broadcast Sign Up button on our website: www.BankAtlanticBancorp.com. BankAtlantic Bancorp Contact Info: Leo Hinkley, Senior Vice President, Investor Relations Email: InvestorRelations@BankAtlanticBancorp.com Donna Rouzeau, Assistant Vice President, Investor Relations & Corporate Communications Email: CorpComm@BankAtlanticBancorp.com Phone: 954-940-5300, Fax: 954-940-5320 Mailing Address: BankAtlantic Bancorp, Investor Relations 2100 West Cypress Creek Road, Fort Lauderdale, FL 33309 BankAtlantic, "Florida's Most Convenient Bank," Contact Info: Public Relations: Hattie Hess, Vice President, Public Relations Telephone: 954-940-6383, Fax: 954-940-6310 Email: hhess@BankAtlantic.com Public Relations for BankAtlantic: Boardroom Communications Caren Berg Phone: 954-370-8999, Fax: 954-370-8892 Email: caren@boardroompr.com Except for historical information contained herein, the matters discussed in this press release contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of Section 27A of the Securities Act of 1933, as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), that involve substantial risks and uncertainties. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify certain of such forward-looking statements. Actual results, performance, or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of BankAtlantic Bancorp, Inc. ("the Company") and are subject to a number of risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company's control. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, products and services; credit risks and loan losses, and the related sufficiency of the allowance for loan losses, including the impact on the credit quality of our loans, of changes in the commercial real estate market in our trade area; changes in interest rates and the effects of, and changes in, trade, monetary and fiscal policies and laws including their impact on BankAtlantic's net interest margin; adverse conditions in the stock market, the public debt market and other capital markets and the impact of such conditions on our activities and the value of our assets; BankAtlantic's seven-day banking initiatives, new store expansion program, Orlando store expansion program and other growth, marketing or advertising initiatives not resulting in continued growth of low cost deposits or producing results which justify their costs; successfully opening the anticipated number of new stores in 2006 and 2007 and achieving growth and profitability at those new stores; and the impact of periodic testing of goodwill and other intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. for impairment. Past performance, actual or estimated new account openings and growth rate may not be indicative of future results. Further, this press release contains forward-looking statements with respect to Ryan Beck & Co., which are subject to a number of risks and uncertainties including but not limited to the risks and uncertainties associated with its ability to implement a strategy to improve its operating results and return to profitability, changes in economic or regulatory policies, the volatility of the stock market and fixed income markets, as well as its revenue mix, the success of new lines of business, including that the expansion of its municipal finance, investment banking and capital markets areas, including the associated increased headcount, will produce results which justify the increased expenses; and additional risks and uncertainties that are subject to change and may be outside of Ryan Beck's control. In addition to the risks and factors identified above, reference is also made to other risks and factors detailed in reports filed by the Company with the Securities and Exchange Commission. The Company cautions that the foregoing factors are not exclusive. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
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