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NBD BANCORP REPORTS RECORD SECOND QUARTER RESULTS

 DETROIT, July 15 /PRNewswire/ -- NBD Bancorp, Inc. (NYSE: NBD) today reported a 35 percent increase in earnings for the quarter ended June 30, 1993. Net Income set a new quarterly high of $122,648,000, or $.76 per share ($.75 fully diluted), up from $90,954,000, or $.56 per share ($.55 fully diluted), in the second quarter of 1992.
 In the second quarter of 1992 merger-related charges of $12,219,000 (net of income taxes), or $.08 per share, were taken by Summcorp of Fort Wayne, Indiana, in anticipation of the then pending July 1, 1992, merger with NBD Bancorp. Exclusive of those charges, the rate of increase in quarter-to-quarter earnings would be 19 percent.
 Net Income for the six months ended June 30, 1993, totaled $241,679,000, or $1.50 per share ($1.47 fully diluted), compared with $152,332,000, or $.94 per share ($.93 fully diluted), in the first half of 1992.
 Earnings in 1992 were negatively affected by the adoption of Financial Accounting Standard No. 106, Employers' Accounting for Postretirement Benefits Other Than Pensions. The Corporation elected immediate recognition of the entire accumulated benefit obligation which reduced Net Income in the first half of 1992 by $37,885,000 (net of income taxes), or $.24 per share ($.22 fully diluted). In the first quarter of 1993 Financial Accounting Standard No. 109, Accounting for Income Taxes, was adopted which added $3,950,000, or 3 cents per share (2 cents fully diluted), to current year earnings.
 Before accounting changes, the rate of increase in Net Income for the six months was 25 percent, and excluding the $12,219,000 of merger- related charges in 1992, the rate of increase in Net Income would be 17 percent.
 In commenting on the increase in earnings, Chairman and President Charles T. Fisher III said Net Interest Income in the current quarter was up $20.2 million, or five percent higher than the second quarter of 1992. The increase was attributed largely to net interest margin which widened to 4.52 percent in the current quarter from 4.35 percent a year earlier. Non-Interest Income was also higher, up $18.6 million, or 15 percent. Excluding the $6.0 million of 1992 merger-related charges which were classified as Non-Interest Expenses, expenses were up $7.5 million, or two percent. The Corporation's productivity ratio (the portion of revenue absorbed by non-interest expenses) improved, dropping to 58.4 percent from 60.4 percent in the second quarter of 1992.
 For the six months ended June 30, 1993, Net Interest Income was up seven percent, or $49.9 million, benefiting from one percent growth in average earning assets and net interest margin of 4.49 percent in 1993 up from 4.31 percent in 1992. Non-Interest Income was up $36.4 million, or 14 percent higher than in 1992 while Non-Interest Expenses, excluding merger-related expenses in 1992, were up $22.6 million, or four percent. The productivity ratio improved to 58.8 percent from 60.9 percent in 1992.
 The Provision for Possible Credit Losses in the second quarter was $35.1 million and net loan charge-offs totaled $32.8 million, or a charge-off ratio of 0.52 percent (annualized) of average loan and lease balances.
 In the second quarter of 1992, the Provision was $49.9 million, net charge-offs totaled $44.6 million, and the charge-off ratio was 0.72 percent. For the six months ended June 30, 1993, the Provision totaled $75.0 million and net charge-offs amounted to $71.5 million, or 0.57 percent (annualized). In the first half of 1992 the Provision was $86.6 million, net charge-offs were $74.8 million and the charge-off ratio was 0.61 percent.
 The Allowance For Possible Credit Losses at June 30, 1993, was $421.5 million, or 1.66 percent of total loans and leases. The Allowance was $419.3 million, or 1.67 percent, at March 31, 1993, and $401.4 million, or 1.61 percent, at June 30, 1992. The Allowance at June 30, 1993, was equal to 149 percent of nonperforming loans and leases as compared to 130 percent at March 31, 1993, and 99 percent at June 30, 1992.
 The amount of nonperforming loans and leases fell by 30 percent in the past year. Nonperforming loans and leases at June 30, 1993, totaled $283.4 million, or 1.12 percent of loans and leases as compared to $404.4 million, or 1.62 percent, a year earlier. At March 31, 1993, nonperforming loans and leases were $322.9 million, or 1.29 percent of total loans and leases. Other real estate and property acquired in connection with loan work-outs and foreclosures, valued at the lower of cost or fair value, totaled $55.6 million at June 30, 1993, $53.5 million at March 31, 1993, and $83.3 million at June 30, 1992. Nonperforming loan balances exclude $88.9 million of below-market-rate United Mexican States Obligations, which are performing in accordance with their terms, secured by zero coupon U.S. Treasury securities with comparable maturities.
 NBD Bancorp total assets at June 30, 1993, were $40.4 billion versus $40.2 billion at June 30, 1992. Loan balances increased $405 million in the past twelve months to $25.4 billion while deposits declined $593 million to $30.0 billion. Shareholders' equity at June 30, 1993, was $3.1 billion, up $240 million, or eight percent in the past year. The Tier I capital ratio was 8.93 percent, the total capital ratio was 12.91 percent and the leverage ratio was 6.97 percent at June 30, 1993.
 Financial data has, where applicable, been restated for the mergers with Summcorp and INB Financial Corporation, each of which was accounted for as a pooling of interests.
 NBD Bancorp, Inc.
 Financial Highlights
 Quarter Ended June 30
 Pct.
 1993 1992 Change
 Net Income Before Cumulative
 Effect of a Change in
 Accounting Principle(000's).. $122,648 $ 90,954 34.8
 Cumulative Effect of a Change
 in Accounting Principle (SFAS
 No. 106 and 109)(000's)...... --- --- ---
 Net Income(000's).............. $122,648 $90,954 34.8
 Per Share:
 Primary (Before SFAS No. 106
 and 109)................... $0.76 $0.56 35.7
 Primary (After SFAS No. 106
 and 109)................... $0.76 $0.56 35.7
 Fully Diluted (Before SFAS
 No. 106 and 109)........... $0.75 $0.55 36.4
 Fully Diluted (After SFAS
 No. 106 and 109)........... $0.75 $0.55 36.4
 Cash Dividends Paid.......... $0.27 $0.25 8.0
 Book Value................... $19.27 $17.89 7.7
 Return on Average Common
 Shareholders' Equity:
 Before SFAS No. 106 & 109 (pct) 16.01 12.71
 After SFAS No. 106 & 109 (pct) 16.01 12.71
 Return on Average Assets:
 Before FAS No. 106 & 109 (pct) 1.23 0.92
 After FAS No. 106 & 109 (pct) 1.23 0.92
 Net Interest Margin.......(pct) 4.52 4.35
 Six Months Ended June 30
 Pct.
 1993 1992 Change
 Net Income Before Cumulative
 Effect of a Change in
 Accounting Principle(000's).. $237,729 $190,217 25.0
 Cumulative Effect of a Change
 in Accounting Principle (SFAS
 No. 106 and 109)(000's)...... 3,950 (37,885) ---
 Net Income(000's).............. $241,679 $152,332 58.7
 Per Share:
 Primary (Before SFAS No. 106
 and 109)................... $1.47 $1.18 24.6
 Primary (After SFAS No. 106
 and 109)................... $1.50 $0.94 59.6
 Fully Diluted (Before SFAS
 No. 106 and 109)........... $1.45 $1.15 26.1
 Fully Diluted (After SFAS
 No. 106 and 109)........... $1.47 $0.93 58.1
 Cash Dividends Paid......... $0.54 $0.50 8.0
 Book Value.................. $19.27 $17.89 7.7
 Return on Average Common
 Shareholders' Equity:
 Before SFAS No. 106 & 109 (pct) 15.65 13.17
 After SFAS No. 106 & 109 (pct) 15.89 10.69
 Return on Average Assets:
 Before FAS No. 106 & 109 (pct) 1.19 0.97
 After FAS No. 106 & 109 (pct) 1.21 0.77
 Net Interest Margin.......(pct) 4.49 4.31
 Balance Sheet Data (in thousands):
 June 30
 Pct.
 1993 1992 Change
 Total Assets.............. $40,389,160 $40,169,267 0.5
 Total Earning Assets...... $36,812,117 $36,710,042 0.3
 Total Loans and Leases.... $25,362,612 $24,957,456 1.6
 Total Deposits............ $29,991,439 $30,584,897 (1.9)
 Total Common Shareholders'
 Equity................... $3,093,459 $2,853,255 8.4
 Risk-Based Capital Ratios:
 Tier I Capital........... $2,792,863 $2,521,153
 Ratio............(pct) 8.93 8.22
 Total Capital........... $4,038,024 $3,458,335
 Ratio............(pct) 12.91 11.28
 Leverage Ratio...(pct) 6.97 6.33
 NBD Bancorp Common Stock:
 Quarter Ended
 6-30-93 3-31-93 12-31-92 9-30-92 6-30-92
 Market Value:
 End of Period...$32 3/8 $35 1/4 $32 3/4 $29 3/8 $28 5/8
 High............$36 1/4 $36 3/8 $33 1/8 $30 1/2 $29 5/8
 Low.............$29 5/8 $31 3/8 $27 $28 1/8 $26 3/4
 (a) Price/Earnings
 Ratio....... 13.6 16.2 17.8 16.9 14.0
 (a) Based on most recent twelve-month Net Income per share (fully diluted) and end-of-period stock prices.
 All of the above data have been restated for the effects of the July 1, 1992, merger with Summcorp and the October 15, 1992, merger with INB Financial Corporation, each of which was accounted for as a pooling- of-interests.
 -0- 7/15/93
 /NOTE: ILLINOIS EDITORS - NBD Bancorp is the parent company of two metropolitan Chicago banks with total assets of over $5 billion and 40 offices. OHIO EDITORS - NBD Bancorp is the parent company of NBD Bank with 23 offices in Columbus and Dayton, Ohio. INDIANA EDITORS - NBD Bancorp is the parent company of NBD Bank of Elkhart, Ind., NBD Bank, N.A. of Merrillville, Ind., and the INB Banks of Evansville, Fort Wayne, Indianapolis and Jeffersonville, Ind. NBD has 248 offices in Indiana and $10 billion in assets. NBD Bancorp is the largest banking company in the state based on total assets. FLORIDA EDITORS - NBD Bancorp is the parent company of NBD Trust Company of Florida, N.A. with offices in North Palm Beach, Sarasota, Boca Raton and Naples, and NBD Bank, FSB with offices in Venice, Sarasota, North Palm Beach, Boca Raton and Naples.
 CONTACT: J. Richard Johnson, 313-225-2591, James. D. Priskey, 313-225-1138, or Gerald K. Hanson, 313-225-3161, all of NBD Bancorp/
 (NBD)


CO: NBD Bancorp, Inc. ST: Michigan IN: FIN SU: ERN

SM-KR -- DE012 -- 1932 07/15/93 12:03 EDT
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