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NBD SHAREHOLDERS APPROVE PROPOSAL, ELECT BOARD AT 20TH ANNUAL MEETING

NBD SHAREHOLDERS APPROVE PROPOSAL, ELECT BOARD AT 20TH ANNUAL MEETING
 DETROIT, May 18 /PRNewswire/ -- At the 20th annual meeting of NBD Bancorp (NYSE: NBD), shareholders elected five directors to the board and approved an amendment to increase the number of authorized shares.
 Re-elected to the board for a three-year term expiring in 1995 were Terence E. Adderley, Thomas H. Jeffs II, John E. Lobbia, Richard A. Manoogian and Peter W. Stroh. In accordance with the board's policy on tenure of directors, Don T. McKone retired as director and Arthur R. Seder as advisory member, effective today. A director since 1971, McKone will serve as an advisory member.
 Shareholders approved an amendment to the Restated Certificate of Incorporation to increase the number of authorized shares of common stock from 200 million to 500 million. The increased number of shares would be used for such corporate purposes as the acquisition of other companies, the declaration of stock dividends and stock splits, investment opportunities or future financing.
 Shareholders also ratified the selection of Deloitte & Touche as the corporation's principal independent auditors.
 Following the formal meeting, NBD Chairman and President Charles T. Fisher III reviewed the corporation's first-quarter performance and highlighted its growth over the past decade.
 He noted a 12-percent increase in first-quarter 1992 net income over the same period a year ago as a result of increased earning assets and a modest expansion of the net interest margin earned on those assets.
 Total loans were up 7 1/2 percent over last year's first quarter with domestic commercial loans up 9 1/2 percent and consumer loans up 12 percent. About one-half the increase was attributable to the acquisition on Jan. 23, 1992, of Gainer Corporation of Merrillville, Ind. NBD is also generating additional loan volume throughout the corporation even in the recessionary national economy.
 Fisher said that, in the first three months of the year, NBD management focused on cost control and productivity with the result being a 61.5-percent overhead ratio, which is a measure of the effectiveness of cost-control efforts. This was a full percentage point below a year ago.
 Net loan charge-offs in the first quarter amounted to $19.8 million compared with $17.0 in the first quarter 1991. The net charge-off ratio of 0.43 percent remains less than one-half that of NBD's peer group.
 At March 31, 1992, the Allowance for Possible Credit Losses stood at $278 million, or 101 percent of total non-performing loans and leases.
 In addition to its high asset quality, NBD's capital position is strong. The risk-based core capital ratio of more than 8 percent is double the 4-percent regulatory standard; NBD's total capital ratio of 11 1/2 percent exceeds the 8-percent regulatory standard.
 Fisher then highlighted NBD's proposed mergers in Indiana. The transaction with the $2.5 billion-asset Summcorp of Fort Wayne is expected to close on July 1. Summcorp's first-quarter earnings were 13 percent above a year ago. Announced in March was the proposed merger with the $6.6 billion-asset INB Financial Corporation of Indianapolis. NBD anticipates a fall 1992 close. INB's first-quarter earnings were up 19 percent over a year ago. Completion of these acquisitions will make NBD Bancorp the largest banking organization in Indiana with a strong position in its primary markets.
 Next, Fisher reviewed the corporation's performance of the last decade. He cited an increase in total assets from $12.1 billion in 1981 to $31.1 billion today and an increase in total loans from $5.7 billion in 1981 to nearly $19 billion at March 31.
 NBD's franchise has expanded from Michigan into Illinois, Indiana, Ohio and Florida to the point where these states will account for nearly 40 percent of NBD's domestic deposit base by the end of 1992.
 Return on average assets (ROA) has increased to more than 1 percent, compared with 0.6 percent 10 years ago; return on shareholders' equity (ROE) has exceeded the Salomon Brothers' Regional Bank group for the last seven years.
 Earnings per share and dividends per share have each tripled over the decade. The market has recognized this performance, placing a value on the corporation of approximately $3 1/2 billion today compared to a $294 million market capitalization in 1981. The price of NBD common stock, adjusted to reflect a 2-for-1 stock split in 1985 and 3-for-2 stock splits in 1986, 1989 and early this year, has increased by nearly 700 percent, from $3 1/2 per share 10 years ago to $27 7/8 this morning.
 Fisher closed by telling shareholders that he believes NBD has established a basis for continued solid growth over the next 10 years.
 -0- 5/18/92
 /NOTE: ILLINOIS EDITORS -- NBD Bancorp is the parent company of 20 Metropolitan Chicago Banks with total assets of $5 billion. OHIO EDITORS -- NBD Bancorp is the parent company of NBD Bank with 21 branches in Columbus and Dayton, Ohio. INDIANA EDITORS -- NBD Bancorp is the parent company of Midwest Commerce Banking Company of Elkhart, Ind., and Gainer Bank of Merrillville, Ind. NBD also has a pending merger agreement with Summcorp, a $2.5 billion bank holding company based in Fort Wayne, Ind. FLORIDA EDITORS -- NBD Bancorp is the parent company of NBD Trust Company of Florida in North Palm Beach, Sarasota and Naples, and NBD FSB in Venice.
 CONTACT: J. Richard Johnson, 313-225-2591, or M. Renee Ahee, 313-225-2596, both of NBD/
 (NBD) CO: NBD Bancorp ST: Michigan IN: FIN SU: PER


SB -- DE016 -- 1321 05/18/92 12:09 EDT
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Date:May 18, 1992
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