Brookline Bancorp Announces 2006 Second Quarter Earnings and Dividend Declarations.BROOKLINE Brookline (br  k`līn), town (1990 pop. 54,718), Norfolk co., E Mass., a suburb adjacent to Boston; settled 1630s, set off from Boston and inc. 1705. , Mass. -- Brookline Bancorp, Inc. (the
"Company") (NASDAQ NASDAQin full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :BRKL) announced today its earnings for the 2006 second quarter and approval by its Board of Directors of a regular quarterly dividend of $0.085 per share and an extra dividend of $0.20 per share payable August 15, 2006 to stockholders of record on July July: see month. 31, 2006. The Company earned $4,929,000, or $0.08 per share on a basic and 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. basis, for the quarter ended June June: see month. 30, 2006 compared to $5,441,000, or $0.09 per share on a basic and diluted basis, for the quarter ended June 30, 2005. There were no after-tax af·ter-tax also af·ter·tax adj. Relating to or being that which remains after payment, especially of income taxes: after-tax profits. securities gains in the 2006 quarter compared to $166,000 in the 2005 quarter. Excluding securities gains, the $346,000, or 6.6%, decline in net income was attributable attributable emanating from or pertaining to attribute. attributable proportion see attributable risk (below). attributable risk primarily to the adverse consequences of the current interest rate environment and a reduction in dividend income resulting from a change in policy by the Federal Home Loan Bank of Boston Boston, town, England Boston, town (1991 pop. 26,495), E central England, on the Witham River. Boston's fame as a port dates from the 13th cent., when it was a Hanseatic port trading wool and wine. Having recovered from a decline in the 18th and 19th cent. ("FHLB FHLB Federal Home Loan Bank ") regarding the timing of its declaration of dividends. The negative effect of these factors on net income was softened soft·en v. soft·ened, soft·en·ing, soft·ens v.tr. 1. To make soft or softer. 2. To undermine or reduce the strength, morale, or resistance of. 3. by the additional earnings resulting from the purchase of a controlling interest controlling interest The ownership of a quantity of outstanding corporate stock sufficient to control the actions of the firm. Controlling interest often involves ownership of significantly less than 51% of a firm's outstanding stock because many owners fail in Eastern Funding LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control ("Eastern"). Net income for the six months ended June 30, 2006 was $10,326,000, or $0.17 per share on a basic and diluted basis, compared to $10,973,000, or $0.18 per share on a basic and diluted basis, for the six months ended June 30, 2005. Included in the 2006 and 2005 six month periods were after-tax securities gains of $358,000 and $547,000, respectively. Excluding securities gains, the $458,000, or 4.4%, decline in net income was attributable primarily to the same factors mentioned above regarding the quarterly operating results. On April 13, 2006, the Company through its wholly-owned subsidiary, Brookline Bank, completed a merger agreement increasing its ownership interest in Eastern from 28.3% to 86.7% through a cash payment of approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $16.3 million, including transaction costs Transaction Costs Costs incurred when buying or selling securities. These include brokers' commissions and spreads (the difference between the price the dealer paid for a security and the price they can sell it). . Goodwill of $6.7 million and amortizable am·or·tize tr.v. am·or·tized, am·or·tiz·ing, am·or·tiz·es 1. To liquidate (a debt, such as a mortgage) by installment payments or payment into a sinking fund. 2. 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. of $1.1 million were recognized as part of the acquisition. Eastern specializes primarily in the financing of coin-operated Adj. 1. coin-operated - of devices that do not operate without the prior insertion of one or more coins; "a coin-operated telephone" coin-operated adj [machine] → que funciona con monedas laundry Laundry can be:
Before industrialization , dry cleaning dry cleaning, process of cleaning fabrics without water. Special solvents and soaps are used so as not to harm fabrics and dyes that will not withstand the effects of ordinary soap and water. Dry cleaning began in France about the middle of the 19th cent. and grocery store equipment in the greater metropolitan New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of area and selected other locations in the Northeast “Northeastern” redirects here. For the Boston college, see Northeastern University, Boston. Northeast or north east is the ordinal direction halfway between north and east. It is the opposite of southwest. See boxing the compass. . Since its founding by Michael Michael, archangel Michael (mī`kəl) [Heb.,=who is like God?], archangel prominent in Christian, Jewish, and Muslim traditions. In the Bible and early Jewish literature, Michael is one of the angels of God's presence. J. Fanger in 1997, Eastern has originated over $300 million of high yielding loans and experienced an excellent credit history. The fair value of the loans acquired was $106.8 million and the total of loans outstanding at June 30, 2006 was $117.6 million. Mr. Fanger continues to serve as the chief executive officer of Eastern and he, along with a family member and two senior officers of Eastern, own the 13% minority interest position. After consideration of foregone fore·gone v. Past participle of forego1. adj. Having gone before; previous. Usage Note: The word foregone has recently developed a new meaning as a truncation of the phrase income on the cash paid to make the acquisition, Eastern contributed approximately $300,000 to the after-tax earnings of the Company in the 2006 second quarter. Interest rate spread has been declining steadily from 2.52% in the 2005 second quarter to 2.17% in the 2006 first quarter and 2.14% in the 2006 second quarter. These declines resulted from a more rapid increase in the average rates paid on deposits and borrowed funds than the increase in the average rates earned on assets. While interest income was 26% higher in the 2006 second quarter than in the 2005 second quarter, interest expense rose 68% between the two quarterly periods. This significant increase in expense resulted primarily from the rate setting actions of the Federal Reserve, increased competition for deposits and a shift in the mix of deposits. Customarily cus·tom·ar·y adj. 1. Commonly practiced, used, or encountered; usual. See Synonyms at usual. 2. Based on custom or tradition rather than written law or contract. , higher rates are paid on certificates of deposit than on transaction accounts. Certificates of deposit comprised 58% of total retail deposits at June 30, 2006 compared to 55% at December December: see month. 31, 2005 and 48% at June 30, 2005. As to asset yields, rates earned on mortgage loans typically are higher than the rates earned on the Company's other interest-earning assets. It should be noted, however, that mortgage loan pricing has been subjected to increased competitive pressure and, as a result, it has become increasingly difficult to incorporate the rise in funding costs into the pricing of new mortgage loan originations 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. . Due in part to this development, the average balance of mortgage loans outstanding was $15.5 million lower in the 2006 second quarter than in the 2005 second quarter and $15.4 million lower than in the 2006 first quarter. Commencing in June 2004 and extending through the end of June 2006, the Board of Governors of the Federal Reserve System Board of Governors of the Federal Reserve System The managing body of the Federal Reserve System, which sets policies on bank practices and the money supply. approved 17 rate increases of 0.25% each in the federal funds rate Federal Funds Rate The interest rate at which a depository institution lends immediately available funds (balances at the Federal Reserve) to another depository institution overnight. for overnight borrowings between banks. As a result of these rate setting actions and trends in the economy, a flat yield curve Flat Yield Curve A chart that shows that the yields of bonds with short maturities are equal to the yields of bonds with longer maturities. evolved. This has caused the Company's net interest income to shrink shrink Vox populi noun A psychiatrist . Improvement in net interest income will continue to be difficult to achieve until an upward slope in the yield curve starts to develop. The trend in net interest margin has been similar to that in interest rate spread, although it has started to stabilize stabilize See peg. as is evident from continuation continuation - continuation passing style in the 2006 second quarter of the same 3.11% rate experienced in the 2006 first quarter. The second quarter rate was aided by the inclusion of the high yielding Eastern loan portfolio. The Company is hopeful that the average yield on its assets will improve as a result of the Eastern acquisition and the hiring of two experienced commercial loan officers who will be responsible for growing the Company's commercial loan portfolio. Lending to commercial enterprises can be rewarding not only because the loans are typically priced at attractive rates and on a variable rate basis, but also because of the deposits that accompany To go along with; to go with or to attend as a companion or associate. A motor vehicle statute may require beginning drivers or drivers under a certain age to be accompanied by a licensed adult driver whenever operating an automobile. the lending relationships. Meaningful improvements in the Company's earnings as a result of these initiatives will take some time to occur. The provision for loan losses declined from $957,000 in the 2005 quarter to $859,000 in the 2006 quarter and from $1,611,000 in the 2005 six month period to $1,607,000 in the 2006 six month period. Of these amounts, $623,000, $757,000, $1,327,000 and $1,505,000, respectively, related to the indirect automobile automobile, self-propelled vehicle used for travel on land. The term is commonly applied to a four-wheeled vehicle designed to carry two to six passengers and a limited amount of cargo, as contrasted with a truck, which is designed primarily for the transportation of loan portfolio which grew from $369 million at the end of 2004 to $459 million at the end of 2005 and $520 million at June 30, 2006. Net charge-offs in that portfolio in the six month periods ended June 30, 2006 and 2005 were $899,000 and $556,000, respectively, or 0.36% and 0.28%, respectively, of average indirect automobile loans outstanding during those periods. Indirect automobile loans delinquent delinquent 1) adj. not paid in full amount or on time. 2) n. short for an underage violator of the law as in juvenile delinquent. DELINQUENT, civil law. He who has been guilty of some crime, offence or failure of duty. more than 30 days were $5.6 million, or 1.07% of the portfolio, at June 30, 2006 compared to $5.5 million, or 1.21% of the portfolio, at December 31, 2005. The provision for loan losses for the 2006 second quarter included $177,000 related to the Eastern loan portfolio. Loans delinquent more than 30 days were $1.0 million, or 0.85%, of the Eastern portfolio at June 30, 2006. In the 2006 six month period, $75,000 was credited to income due primarily to the reduction of mortgage loans outstanding and payments made on loans acquired in connection with the acquisition of Mystic Mystic, rivers, United States Mystic. 1 River, c.10 mi (16 km) long, rising in SE Conn. and flowing S past Old Mystic and Mystic villages to the Long Island Sound. Mystic Seaport, a maritime museum, is at its mouth. 2 River, c. Financial, Inc. ("Mystic") in January January: see month. 2005. The 2005 six month provision included $284,000 due primarily to the assignment of higher risk ratings to certain loans acquired in the Mystic transaction. The Company's non-performing assets remained modest at $1.2 million, or 0.05% of total assets, at June 30, 2006. The allowance for loan losses was $24.8 million at that date, or 1.38% of total loans. In the 2006 second quarter, the FHLB changed the timing of its declaration of dividends on its common stock. As a result, no dividend was declared de·clare v. de·clared, de·clar·ing, de·clares v.tr. 1. To make known formally or officially. See Synonyms at announce. 2. To state emphatically or authoritatively; affirm. 3. by the FHLB in the second quarter and, accordingly, no income was recognized by the Company in that period. It is expected that the FHLB will declare TO DECLARE. To make known or publish. By tho constitution of the United States, congress have power to declare war. In this sense the word, declare, signifies, not merely to make it known that war exists, but also to make war and to carry it on. 4 Dall. 37; 1 Story, Const. Sec. dividends in the 2006 third quarter that are equivalent to two quarterly periods, provided no events occur that would cause the FHLB to decide not to declare such dividends. The amount of dividends recognized by the Company in the first quarter of 2006 and 2005 was $307,000 and $217,000, respectively, and $237,000 in the 2005 second quarter. The lower amounts of non-interest income in the 2006 periods compared to the 2005 periods were due primarily to a decline in mortgage loan prepayment Prepayment 1. The payment of a debt obligation prior to its due date. 2. The excess payment over a scheduled debt repayment amount. Notes: 1. Examples include deferred expenses such as rent and early loan repayments. 2. fees from $1,145,000 in the 2005 six month period to $124,000 in the 2006 six month period. Offsetting much of this decline was the fact that no merger/conversion expenses were incurred in the 2006 period compared to $893,000 of such expenses in the 2005 period. Excluding merger/conversion expenses, the increase in non-interest expenses in the 2006 periods compared to the 2005 periods was due primarily to the inclusion of Eastern's expenses commencing in the 2006 second quarter, the expenses related to a new branch that opened in April 2006 and the hiring of new loan officers. The extra dividend of $0.20 per share to be paid on August 15, 2006 is the seventh time since August 2003 that the Board of Directors has approved such a payment. The aggregate amount paid, over $83 million or $1.40 per share, represents a return of capital to stockholders rather than a distribution of earnings. The payout pay·out n. 1. The act or an instance of paying out. 2. A percentage of corporate earnings that is paid as dividends to shareholders. of semi-annual extra dividends has been an effective means to reduce the Company's excess capital in a measured way and to treat all stockholders equally. While it is the intent of the Board of Directors to continue to return capital to stockholders through payment of an extra dividend semi-annually, the magnitude magnitude, in astronomy, measure of the brightness of a star or other celestial object. The stars cataloged by Ptolemy (2d cent. A.D.), all visible with the unaided eye, were ranked on a brightness scale such that the brightest stars were of 1st magnitude and the of any future payment will be considered in light of changing opportunities to deploy capital effectively, including the 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. of Company common stock and expansion of the Company's business through acquisitions. The above text contains statements about future events that constitute 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 the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Projections about future events are subject to risks and uncertainties that could cause actual results to differ materially. Factors that could cause such differences include, but are not limited to, general economic conditions, changes in interest rates, regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. considerations and competition.
BROOKLINE BANCORP, INC. AND SUBSIDIARIES
Consolidated Balance Sheets
(In thousands except share data)
June 30, December 31, June 30,
2006 2005 2005
----------- ----------- -----------
ASSETS
---------------------------------
Cash and due from banks $ 17,528 $ 15,507 $ 17,558
Short-term investments 107,950 102,888 163,762
Securities available for sale 358,029 374,906 339,189
Securities held to maturity
(market value of $359, $423
and $875, respectively) 354 410 857
Restricted equity securities 28,567 23,081 23,081
Loans 1,803,791 1,636,755 1,608,295
Allowance for loan losses (24,838) (22,248) (22,175)
---------- ----------- -----------
Net loans 1,778,953 1,614,507 1,586,120
---------- ----------- -----------
Other investment - 4,662 4,527
Accrued interest receivable 9,931 9,189 8,315
Bank premises and equipment, net 9,920 10,010 11,507
Other real estate owned - - 1,400
Deferred income tax asset 11,679 11,347 8,623
Prepaid income taxes 2,610 - 2,986
Goodwill 42,316 35,615 35,597
Identified intangible assets 9,486 9,471 10,656
Other assets 4,042 3,111 1,968
----------- ----------- -----------
Total assets $2,381,365 $2,214,704 $2,216,146
=========== =========== ===========
LIABILITIES AND STOCKHOLDERS'
EQUITY
---------------------------------
Retail deposits $1,171,967 $1,168,307 $1,145,995
Brokered deposits 68,096 - -
Borrowed funds 512,127 411,507 427,277
Subordinated debt 12,155 12,218 12,280
Mortgagors' escrow accounts 5,693 5,377 5,121
Income taxes payable - 630 -
Accrued expenses and other
liabilities 18,778 14,215 12,351
----------- ----------- -----------
Total liabilities 1,788,816 1,612,254 1,603,024
----------- ----------- -----------
Minority interest in subsidiary 1,257 - -
----------- ----------- -----------
Stockholders' equity:
Preferred stock, $0.01 par
value; 50,000,000 shares
authorized; none issued - - -
Common stock, $0.01 par value;
200,000,000 shares authorized;
62,989,384 shares issued 630 630 630
Additional paid-in capital 506,293 512,338 511,918
Retained earnings, partially
restricted 108,645 121,042 132,497
Accumulated other comprehensive
loss (2,549) (1,577) (287)
Treasury stock, at cost -
1,405,611 shares issued (18,144) (18,144) (18,144)
Unearned compensation -
recognition and retention
plans - (8,103) (9,591)
Unallocated common stock held
by ESOP - 657,123 shares,
685,161 shares and 715,489
shares issued, respectively (3,583) (3,736) (3,901)
----------- ----------- -----------
Total stockholders' equity 591,292 602,450 613,122
----------- ----------- -----------
----------- ----------- -----------
Total liabilities and
stockholders' equity $2,381,365 $2,214,704 $2,216,146
=========== =========== ===========
BROOKLINE BANCORP, INC. AND SUBSIDIARIES
Consolidated Statements of Income
(In thousands except share data)
Three months ended Six months ended
June 30, June 30,
----------------------- -----------------------
2006 2005 2006 2005
----------- ----------- ----------- -----------
Interest income:
Loans $28,151 $22,356 $52,202 $44,079
Debt securities 3,640 2,644 7,259 4,911
Marketable equity
securities 30 76 63 150
Restricted equity
securities 2 239 311 458
Short-term
investments 1,326 1,009 2,438 1,855
----------- ----------- ----------- -----------
Total interest
income 33,149 26,324 62,273 51,453
----------- ----------- ----------- -----------
Interest expense:
Retail deposits 8,385 5,354 15,831 9,912
Brokered deposits 637 - 637 -
Borrowed funds 6,213 3,672 11,057 7,053
Subordinated debt 225 168 431 304
----------- ----------- ----------- -----------
Total interest
expense 15,460 9,194 27,956 17,269
----------- ----------- ----------- -----------
Net interest income 17,689 17,130 34,317 34,184
Provision for loan
losses 859 957 1,607 1,611
----------- ----------- ----------- -----------
Net interest income
after provision
for loan losses 16,830 16,173 32,710 32,573
----------- ----------- ----------- -----------
Non-interest income:
Fees and charges 961 1,206 1,535 2,053
Gains on securities,
net - 259 558 853
Other income (loss) (51) 113 17 290
----------- ----------- ----------- -----------
Total non-interest
income 910 1,578 2,110 3,196
----------- ----------- ----------- -----------
Non-interest expense:
Compensation and
employee benefits 5,089 3,979 9,435 8,291
Occupancy 766 685 1,559 1,390
Equipment and data
processing 1,522 1,596 2,940 3,186
Advertising and
marketing 269 251 455 455
Merger/conversion - 511 - 893
Amortization of
identified
intangibles 569 593 1,096 1,185
Other 1,231 954 2,216 1,894
----------- ----------- ----------- -----------
Total non-interest
expense 9,446 8,569 17,701 17,294
----------- ----------- ----------- -----------
Income before income
taxes and minority
interest 8,294 9,182 17,119 18,475
Provision for income
taxes 3,298 3,741 6,726 7,502
----------- ----------- ----------- -----------
Net income before
minority interest 4,996 5,441 10,393 10,973
Minority interest in
earnings of
subsidiary 67 - 67 -
----------- ----------- ----------- -----------
Net income $ 4,929 $ 5,441 $10,326 $10,973
=========== =========== =========== ===========
Earnings per common
share:
Basic $ 0.08 $ 0.09 $ 0.17 $ 0.18
Diluted 0.08 0.09 0.17 0.18
Weighted average common
shares outstanding
during the period:
Basic 60,363,461 60,086,614 60,336,646 59,984,623
Diluted 61,082,113 60,866,872 61,066,784 60,771,324
BROOKLINE BANCORP, INC. AND SUBSIDIARIES
Average Yields / Costs
Three months ended June 30,
----------------------------
2006
----------------------------
Average
Average Interest yield/
balance (1) cost
----------- -------- -------
(Dollars in thousands)
Assets
-----------------------------------------
Interest-earning assets:
Short-term investments $ 109,539 $ 1,326 4.86 %
Debt securities (2) 355,854 3,728 4.19
Equity securities (2) (3) 30,604 44 0.57
Mortgage loans (4) 1,088,971 17,426 6.40
Commercial loans - Eastern Funding (4) 111,875 3,022 10.80
Other commercial loans (4) 67,465 1,140 6.76
Indirect automobile loans (4) 517,906 6,509 5.04
Other consumer loans (4) 2,981 54 7.25
---------- --------
Total interest-earning assets 2,285,195 33,249 5.82 %
-------- ------
Allowance for loan losses (24,624)
Non-interest earning assets 106,097
-----------
Total assets $2,366,668
===========
Liabilities and Stockholders' Equity
-----------------------------------------
Interest-bearing liabilities:
Deposits:
NOW accounts $ 91,160 56 0.25 %
Savings accounts 118,965 486 1.64
Money market savings accounts 218,833 1,301 2.38
Retail certificates of deposit 668,202 6,542 3.93
----------- --------
Total retail deposits 1,097,160 8,385 3.07
Brokered certificates of deposit 47,639 637 5.36
----------- --------
Total deposits 1,144,799 9,022 3.16
Borrowed funds 529,105 6,213 4.65
Subordinated debt 12,176 225 7.28
----------- --------
Total interest bearing liabilities 1,686,080 15,460 3.68 %
-------- ------
Non-interest-bearing demand
checking accounts 62,735
Other liabilities 23,817
-----------
Total liabilities 1,772,632
Stockholders' equity 594,036
-----------
Total liabilities and stockholders'
equity $2,366,668
===========
Net interest income (tax equivalent
basis)/interest rate spread (5) 17,789 2.14 %
======
Less adjustment of tax exempt income 100
--------
Net interest income $17,689
========
Net interest margin (6) 3.11 %
======
Three months ended June 30,
-----------------------------
2005
-----------------------------
Average
Average Interest yield/
balance (1) cost
------------ -------- -------
(Dollars in thousands)
Assets
-----------------------------------------
Interest-earning assets:
Short-term investments $ 142,570 $ 1,009 2.84 %
Debt securities (2) 339,102 2,671 3.15
Equity securities (2) (3) 31,513 343 4.36
Mortgage loans (4) 1,104,434 16,857 6.11
Commercial loans - Eastern Funding (4) - - -
Other commercial loans (4) 75,013 1,104 5.89
Indirect automobile loans (4) 415,010 4,341 4.20
Other consumer loans (4) 3,044 54 7.10
---------- --------
Total interest-earning assets 2,110,686 26,379 4.99 %
-------- -----
Allowance for loan losses (21,526)
Non-interest earning assets 101,438
-----------
Total assets $2,190,598
===========
Liabilities and Stockholders' Equity
-----------------------------------------
Interest-bearing liabilities:
Deposits:
NOW accounts $ 101,296 42 0.17 %
Savings accounts 159,875 554 1.39
Money market savings accounts 274,155 1,043 1.53
Retail certificates of deposit 531,164 3,715 2.81
----------- --------
Total retail deposits 1,066,490 5,354 2.01
Brokered certificates of deposit - - -
----------- --------
Total deposits 1,066,490 5,354 2.01
Borrowed funds 413,234 3,672 3.52
Subordinated debt 12,299 168 5.40
----------- --------
Total interest bearing liabilities 1,492,023 9,194 2.47 %
-------- -----
Non-interest-bearing demand
checking accounts 69,188
Other liabilities 14,770
-----------
Total liabilities 1,575,981
Stockholders' equity 614,617
-----------
Total liabilities and stockholders'
equity $2,190,598
===========
Net interest income (tax equivalent
basis)/interest rate spread (5) 17,185 2.52 %
=====
Less adjustment of tax exempt income 55
--------
Net interest income $17,130
========
Net interest margin (6) 3.29 %
=====
(1) Tax exempt income on equity securities and municipal bonds is
included on a tax equivalent basis.
(2) Average balances include unrealized gains (losses) on securities
available for sale. Equity securities include marketable equity
securities (preferred and common stocks) and restricted equity
securities.
(3) The Federal Home Loan Bank ("FHLB") changed the timing of its
declaration of dividends on its common stock. As a result, no
dividend was declared by the FHLB in the second quarter of 2006
and, accordingly, no income was recognized by the Company in that
period. It is expected that the FHLB will declare dividends in the
third quarter that are equivalent to two quarterly periods,
provided no events occur that would cause the FHLB to decide not
to declare such dividends. The amount of dividends and income
recognized by the Company in the first quarter of 2006 and 2005
was $307,000 and $237,000, respectively, and $217,000 in the
second quarter of 2005.
(4) Loans on non-accrual status are included in average balances.
(5) Interest rate spread represents the difference between the yield
on interest-earning assets and the cost of interest-bearing
liabilities.
(6) Net interest margin represents net interest income (tax equivalent
basis) divided by average interest-earning assets.
BROOKLINE BANCORP, INC. AND SUBSIDIARIES
Selected Financial Ratios and Other Data
Three months Six months
ended ended
June 30, June 30,
----------------- ---------------
2006 2005 2006 2005
-------- -------- ------- -------
Performance Ratios (annualized):
Return on average assets 0.83 % 0.99 % 0.90 % 1.01 %
Return on average stockholders=
equity 3.32 % 3.54 % 3.47 % 3.56 %
Interest rate spread 2.14 % 2.52 % 2.15 % 2.55 %
Net interest margin 3.11 % 3.26 % 3.10 % 3.28 %
Dividends paid per share during
period $0.085 $0.085 $0.37 $0.37
At At At
June December June
30, 31, 30,
2006 2005 2005
--------- -------- ---------
(dollars in thousands except
per share data)
Capital Ratio:
Stockholders= equity to total assets 24.83 % 27.20 % 27.67 %
Asset Quality:
Non-performing loans $ 341 $ 480 $ 227
Non-performing assets 1,156 973 1,916
Allowance for loan losses 24,838 22,248 22,175
Allowance for loan losses as a percent
of total loans 1.38 % 1.36 % 1.38 %
Non-performing assets as a percent of
total assets 0.05 % 0.04 % 0.09 %
Per Share Data:
Book value per share $ 9.60 $ 9.78 $ 9.95
Tangible book value per share 8.76 9.05 9.20
Market value per share 13.77 14.17 16.26
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion