Printer Friendly

U.S. BANCORP ANNOUNCES FIRST-QUARTER 1993 RESULTS

 PORTLAND, Ore., April 13 /PRNewswire/ -- U.S. Bancorp (NASDAQ: USBC) today reported net income of $61.5 million for the first quarter 1993, a 31-percent increase over $47.1 million originally reported for the first quarter 1992. The net income equates to a return on average assets of 1.24 percent and a return on average common equity of 15.83 percent. Per-share earnings were 59 cents for the quarter, versus 48 cents originally reported in the first quarter 1992.
 Net income for first quarter 1992 has been restated to reflect the early adoption of Statement of Financial Accounting Standards No. 106, "Employer's Accounting for Postretirement Benefits Other Than Pensions," and No. 112, "Employer's Accounting for Postemployment Benefits."
 "In light of the cautious economic environment in our markets, we are pleased to have achieved these first-quarter results," stated Roger L. Breezley, chairman and chief executive officer. "Considering soft loan demand we have placed increased emphasis on other areas relating to profitability, with continued focus on noninterest revenues and expenses, and credit quality improvement.
 "We are beginning to see increased activity in some parts of our region which should lead to a resumption of loan demand later this year," Breezley added.
 When compared to first quarter 1992 levels, average loans decreased 2.7 percent while average earning assets increased 7.3 percent in the first quarter 1993. The higher level of earning assets, combined with a continued strong net interest margin (5.20 percent in the first quarter 1993 versus 5.15 percent in the first quarter last year), has resulted in a 7.7-percent increase in net interest income on a tax equivalent basis.
 Credit quality continues to improve as total nonperforming assets have decreased for the fourth consecutive quarter and currently represent 2.12 percent of total loans and other real estate owned. A provision for credit losses of $21.1 million, down from $32.1 million in first quarter 1992 and relatively flat with last quarter, has strengthened reserve coverage, as the allowance for credit losses now represents 128 percent of nonperforming loans and 1.91 percent of total loans.
 Noninterest revenues totaled $118.9 million in the first quarter, representing a 6.2-percent increase over first quarter 1992 revenues. Noninterest expenses totaled $229.0 million in the first quarter, an increase of 6.2 percent over first quarter 1992 expenses and a 1.6-percent reduction in comparison to fourth quarter 1992 expenses.
 U.S. Bancorp is the largest bank holding company headquartered in the Northwest, with assets of $20.4 billion as of March 31, 1993. U.S. Bancorp is one of the nation's 35 largest bank holding companies, and has consistently ranked among the top tier of these companies in performance and capital strength. Banking subsidiaries include U.S. Bank of Oregon; U.S. Bank of Washington; U.S. Bank of California; U.S. Bank of Nevada; and U.S. Bank of Idaho. Other financial services businesses include U.S. Bancorp Mortgage Company and U.S. Bancorp Securities and Trust Group.
 U. S. BANCORP AND SUBSIDIARIES
 CONSOLIDATED BALANCE SHEET
 (In thousands)
 March 31: 1993 1992
 ASSETS
 Cash and due from banks $ 1,173,647 $ 1,072,486
 Interest-bearing deposits with banks 1,147 23,168
 Federal funds sold and security
 resell agreements 306,767 487,920
 Other short-term investments 38,155 5,088
 Investment securities 3,469,325 1,828,096
 Trading account securities 204,961 155,762
 Loans held for sale 603,678 544,057
 Loans and lease financing, net of unearned income
 Commercial 6,284,335 6,291,826
 Real estate construction 770,669 882,432
 Real estate mortgage 2,629,151 2,858,943
 Consumer 2,944,488 2,697,594
 Foreign 63,262 59,748
 Lease financing 710,067 840,407
 Total loans and lease financing 13,401,972 13,630,950
 Allowance for credit losses (256,035) (242,105)
 Net loans and lease financing 13,145,937 13,388,845
 Premises, furniture and equipment 474,766 409,352
 Other real estate and equipment owned 84,567 86,439
 Customers' liability on acceptances 212,928 232,082
 Other assets 710,918 627,049
 Total $20,426,796 $18,860,344
 LIABILITIES
 Deposits:
 Noninterest bearing deposits $ 3,246,378 $ 2,715,557
 Interest bearing demand, money market
 and savings accounts 6,602,275 5,394,252
 Time Deposits 5,320,092 5,220,955
 Total deposits 15,168,745 13,330,764
 Federal funds purchased and security
 repurchase agreements 1,220,577 2,022,536
 Commercial paper 147,888 190,794
 Other short-term borrowings 253,111 245,985
 Long-term debt 1,371,805 1,107,251
 Accrued income taxes 92,151 54,232
 Acceptances outstanding 212,928 232,082
 Other liabilities 286,138 298,588
 Total liabilities 18,753,343 17,482,232
 SHAREHOLDERS' EQUITY
 Preferred stock 150,000 --
 Common stock 496,157 492,172
 Capital surplus 381,714 377,765
 Retained earnings 645,582 508,175
 Total shareholders' equity 1,673,453 1,378,112
 Total $20,426,796 $18,860,344
 U. S. BANCORP AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME
 (In thousands, except per-share data)
 Three Months Ended March 31: 1993 1992
 INTEREST INCOME
 Loans and lease financing $286,543 $323,183
 Loans held for sale 10,459 9,818
 Investment securities
 U.S. Treasury obligations 11,258 6,336
 State and municipal bonds 5,486 5,497
 U.S. government agency and other securities 34,600 22,100
 Trading account securities 1,895 1,869
 Money market investments 3,722 4,550
 Total interest income 353,963 373,353
 INTEREST EXPENSE
 Deposits 98,117 121,228
 Short-term borrowings 12,694 26,316
 Long-term debt 22,501 23,061
 Total interest expense 133,312 170,605
 NET INTEREST INCOME 220,651 202,748
 Provision for credit losses 21,063 32,101
 Net interest income after
 provision for credit losses 199,588 170,647
 NONINTEREST REVENUE
 Service charges on deposit accounts 32,217 26,840
 Trust and investment administration 11,209 9,893
 Bank card revenue 11,804 10,517
 Credit reporting revenue 7,420 9,370
 Equity investment income 7,790 2,715
 Exchange fees 5,725 5,019
 Mortgage banking income 17,933 18,804
 Securities transactions -- 111
 Other operating revenue 24,837 28,743
 Total noninterest revenue $118,935 $112,012
 U.S. BANCORP AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME (Continued)
 (In thousands, except per-share data)
 Three Months Ended March 31: 1993 1992
 NONINTEREST EXPENSE
 Employee compensation and benefits $119,577 $107,853
 Net occupancy expense 15,087 13,099
 Equipment rentals, depreciation and maintenance 20,939 16,970
 FDIC assessment and bank examiner expenses 11,052 8,490
 Long-term debt redemption expense -- 6,668
 Other real estate owned expenses 2,127 7,586
 Telecommunications 6,415 5,819
 Other operating expense 53,792 49,118
 Total noninterest expense 228,989 215,603
 Income before income taxes 89,534 67,056
 Provision for income taxes 28,042 19,964
 Income before cumulative effect of accounting
 changes 61,492 47,092
 Cumulative effect of accounting changes -- (59,890)
 Net income (loss) $ 61,492 $(12,798)
 Amounts applicable to common stock:
 Income before cumulative effect of accounting
 changes $ 58,445 $ 47,092
 Net income (loss) $ 58,445 $(12,798)
 Average number of common shares outstanding 99,166 98,357
 Per common share:
 Income before cumulative effect of accounting
 changes $ 0.59 $ 0.48
 Net income (loss) $ 0.59 $ (0.12)
 U.S. BANCORP AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
 (In thousands)
 Three Months Ended March 31: 1993 1992
 Shareholders' equity at beginning of year $1,631,308 $1,406,380
 Net income (loss) 61,492 (12,798)
 Stock options exercised 1,660 2,386
 Dividends reinvested and other transactions 890 845
 Preferred dividends paid and declared (3,047) --
 Common dividends declared (18,850) (18,701)
 Shareholders' equity at March 31 $1,673,453 $1,378,112
 Three Months Ended March 31: 1993 1992
 (In thousands except per-share data)
 Average common shares outstanding 99,166 98,357
 Earnings per common share:
 Before accounting changes $ 0.59 $ 0.48
 Net income (loss) 0.59 (0.12)
 Book value per common share 15.35 14.00
 Risk-based capital (1993 estimate)
 Tier 1 8.59 pct 7.35 pct
 Total capital 12.14 pct 9.62 pct
 TAX-EQUIVALENT NET INTEREST MARGIN
 Average rate earned on interest earning assets 8.24 pct 9.30 pct
 Cost of funds supporting earning assets 3.04 4.15
 Net interest margin 5.20 pct 5.15 pct
 Tax-equivalent adjustment $ 8,419 $ 9,863
 Net interest income-fully taxable $ 229,070 $ 212,611
 (In millions)
 Average loans $13,387.4 $13,761.9
 Average earning assets 17,753.0 16,550.7
 Average assets 20,112.1 18,646.2
 Average deposits 14,952.9 13,157.8
 Average total shareholders' equity 1,647.7 1,361.3
 Average common equity 1,497.7 1,361.3
 Allowance for credit losses, beginning
 of period $ 259,155 $ 230,101
 Provision for credit losses 21,063 32,101
 Charged-off (29,456) (25,590)
 Recoveries 5,273 5,493
 Net charge-offs 24,183 20,097
 Allowance for credit losses, end of period $ 256,035 $ 242,105
 Nonaccrual loans $ 195,187 $ 307,137
 Restructured loans 5,531 5,974
 Other real estate and equipment owned 84,567 86,439
 Total nonperforming assets $ 285,285 $ 399,550
 Accruing loans past due 90 days or more $ 38,539 $ 42,484
 Three Months Ended March 31: 1993 1992
 Ratios:
 Net charge-offs to average loans(A) 0.73 pct 0.59 pct
 Allowance for credit losses to end of
 period loans 1.91 pct 1.78 pct
 Allowance to nonperforming loans 128 pct 77 pct
 Total nonperforming assets as a percent of
 outstanding loans and other real estate
 and equipment owned 2.12 pct 2.91 pct
 NOTE (A) Net loan charge-offs were annualized.
 -0- 4/13/93
 /CONTACT: Mark R. Patterson, asst. vice president, Investor Relations, 503-275-6524, or Mary B. Ruble, vice president, Public Relations, 503-275-6200, or Donald F. Bowler, sr. vice president, Investor Relations, 503-275-5702, all of U.S. Bancorp/
 (USBC)


CO: U.S. Bancorp ST: Oregon IN: FIN SU: ERN

SW -- SE006 -- 5027 04/13/93 07:52 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 13, 1993
Words:1706
Previous Article:MENTOR GRAPHICS, TOSHIBA ANNOUNCE MCM DESIGN KIT FOR TOSHIBA'S NEW SEMI-CUSTOM MCM TECHNOLOGY
Next Article:KAISER ALUMINUM NAMES HAYMAKER PRESIDENT, CHIEF OPERATING OFFICER
Topics:


Related Articles
ST. PAUL REPORTS FIRST QUARTER NET INCOME OF $9.2 MILLION; BOARD DECLARES REGULAR QUARTERLY CASH DIVIDEND
WEST COAST BANCORP, PARENT COMPANY FOR THE BANK OF NEWPORT, REPORTS INCREASED PROFITS FOR THE FIRST QUARTER OF 1993
IROQUOIS BANCORP REPORTS FIRST QUARTER EARNINGS
CAPITAL BANCORP REPORTS RECORD EARNINGS IN FIRST QUARTER 1993
STERLING BANCORP CONTINUED EARNINGS MOMENTUM 1993 FIRST QUARTER EARNINGS UP 21 PERCENT OVER A YEAR AGO
SOCIETY FOR SAVINGS REPORTS FIRST QUARTER NET INCOME OF $6.1 MILLION; REGULATORY ORDER LIFTED
ST. PAUL BANCORP REPORTS RECORD EARNINGS; BOARD DECLARES REGULAR QUARTERLY CASH DIVIDEND
U.S. BANCORP EARNINGS JUMP 19 PERCENT
PIONEER BANCORP, INC. ANNOUNCES THIRD QUARTER RESULTS
ZIONS BANCORPORATION REPORTS FIRST QUARTER EARNINGS

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters