GULFPORT, Miss., Oct. 21, 2008 (GLOBE NEWSWIRE) -- Hancock Holding Company (Nasdaq:HBHC) today announced net income for the quarter ended September 30, 2008. Hancock's third quarter 2008 net income was $16.0 million, a decrease of $1.7 million, or 9.8 percent, from the third quarter of 2007. Diluted earnings per share for the third quarter of 2008 were $0.50, a decrease of $0.05 from the same quarter a year ago.
Net income for the first nine months of 2008 was $57.0 million, a decrease of $246 thousand, or 0.4 percent, from the first nine months of 2007. Diluted earnings per share were $1.79 for the first nine months of 2008, an increase of $0.05 compared to the prior year (due in part to 1,004,000 common shares repurchased in 2007).
Hancock Holding Company Chief Executive Officer Carl J. Chaney stated, "The Company's lower earnings for the quarter were not related to a significant worsening of asset quality or write-downs of hard to value investments, which have plagued so many other financial institutions as part of the current financial crisis. But rather, the primary reason for the Company's lower earnings this quarter was related to a 30 percent annualized increase in loans and the need to set aside an appropriate level of reserves for loan losses. Because of the vibrant markets in which we operate and due to our position of strength and stability, Hancock is experiencing significant loan growth. With that growth comes the need to set aside reserves for loan losses. Also, Hancock is not completely immune from the current economic crisis and, as a result, did experience an additional $1.7 million in net charge-offs this quarter compared to last quarter. Most of these charge-offs were past-due commercial loans whose collateral values had declined in this volatile economic environment. Hancock remains extremely well capitalized with a tangible equity ratio of approximately 8 percent, which is higher than most banks. Especially in this environment, the Company remains a pillar of strength and stability and stands ready to weather the current economic storm."
Highlights and key operating items from Hancock's third quarter earnings are as follows:
* Net Income and Returns: Hancock's net income for the third quarter of 2008 was $16.0 million compared to $17.7 million for the same quarter a year ago, a decrease of $1.7 million, or 9.8 percent, and a decrease of $5.0 million, or 23.7 percent, over the prior quarter. Return on average assets for the quarter was 1.00 percent compared to 1.21 percent for 2007's third quarter and to 1.36 percent for the prior quarter. Return on average common equity was 10.90 percent compared to 12.58 percent for 2007's third quarter and to 14.51 per cent for the prior quarter. * Impact of Hurricane Gustav: Hurricane Gustav made landfall on the southeastern Louisiana coast on Monday, September 1, 2008 and significantly impacted Hancock's markets in Baton Rouge and Alexandria, Louisiana. By Tuesday, September 2, Hancock was the first bank to open in Louisiana, with over 25 percent of the Company's Louisiana branch offices open. By Saturday, September 6, Hancock had 100 percent of the Company's 50 Louisiana branch offices open. In dealing with Hurricane Gustav, the Company incurred $560 thousand in operating expenses (clean up and repair costs, fuel, lodging and other miscellaneous costs) and also rebated to customers $294 thousand in return item fees and other service charges. The Company incurred no major damage to any facilities and will not file a property and casualty insurance claim. The total pretax impact of the costs and fees rebated was $854 thousand, or approximately $0.02 per diluted share on an after-tax basis. * Net Charge-offs and Non-performing Assets: Net charge-offs for the third quarter of 2008 were $4.2 million, or 0.42 percent of average loans, up $1.7 million from the $2.5 million, or 0.27 percent of average loans, reported for the second quarter of 2008. The majority of the increase in net charge-offs as compared to the second quarter was reflected in commercial real estate loans, where the collateral values were written down to revised levels. Non-performing assets as a percent of total loans and foreclosed assets was 0.59 percent at September 30, 2008, compared to 0.52 percent at June 30, 2008. The Company did report an increase in non-accrual loans of $3.8 million and an increase in ORE of $504 thousand as compared to the second quarter. The majority of the increase reported in non-accrual loans was reflected in a single relationship, a stalled real estate development project in Louisiana which was adequately reserved at September 30, 2008. Loans 90 days past due or greater (accruing) as a percent of period end loans decreased 2 basis points from June 30, 2008 to 0.15 percent at September 30, 2008. * Allowance for Loan Losses: Hancock recorded a provision for loan losses of $8.1 million in the third quarter which, when combined with the quarter's net charge-offs of $4.2 million, resulted in a $3.9 million increase in the allowance for loan losses between . June 30, 2008, and September 30, 2008. This increase was necessary to adjust the allowance to the level dictated by the Company's reserving methodologies. A major driver of the overall higher level of the allowance for loan losses was a $285 million, or 30 percent annualized, increase in loans between June 30, 2008 and September 30, 2008. The Company's allowance for loan losses was $57.2 million at September 30, 2008, compared to $53.3 million reported at June 30, 2008. The ratio of the allowance for loan losses as a percent of period-end loans was 1.40 percent at September 30, 2008, as compared to the 1.41 percent reported at June 30, 2008. * Loans: For the quarter ended September 30, 2008, Hancock's average total loans were $3.95 billion, which represented an increase of $483.0 million, or 13.9 percent, from the quarter ended September 30, 2007. Also as mentioned, period-end loans were up $285.1 million, or 30 percent annualized, from last quarter, while average loans increased $241.2 million, or 26 percent annualized. The majority of the increase in loans was in commercial purpose loans, but all consumer loan categories were up as well. Of the $241.2 million increase in average loans, approximately $99.0 million was in Mississippi, $90.0 million in Louisiana, and $28.0 million and $24.2 million in Alabama and Florida, respectively. * Deposits: Average deposits were up $142.3 million, or 11.5 percent annualized, from the second quarter of 2008. The increase in average deposits was reflected mostly in public fund deposits (up $115.7 million) and time deposits (up $76.4 million). These increases were partly offset by decreases in noninterest-bearing deposits (down $10.5 million) and interest-bearing transaction deposits (down $39.3 million). Period-end deposits for the third quarter were $5.41 billion, up $415.2 million, or 8.3 percent, from September 30, 2007 and were up $394.0 million, or 32 percent annualized, from June 30, 2008. The large increase in period-end deposits as compared to June 30, 2008 was primarily in time deposits as well as public fund deposits. Over half of the $394.0 million increase occurred in the month of September, as customers and many large public depositories sought the safety of Hancock Bank as the financial crisis continued to intensify. * Net Interest Income: Net interest income (te) for the third quarter increased $3.9 million, or 7.3 percent, from the third quarter of 2007 and increased $2.8 million from the second quarter of 2008, or 20.7 percent annualized. The net interest margin (te) of 3.99 percent was 7 basis points narrower than the same quarter a year ago. Growth in average earning asset levels was strong compared to the same quarter a year ago, with an increase of $495.9 million, or 9.4 percent, mostly reflected in higher average loans (up $483.0 million, or 13.9 percent). With short-term interest rates down significantly from a year ago, the Company's loan yield fell 124 basis points, pushing the yield on average earning assets down 80 basis points. However, total funding costs over the past year were down only 73 basis points. Compared to the prior quarter, the net interest margin (te) widened 8 basis points, mostly due to a continued reduction in the Company's funding costs. The Company's total cost of funds was down 9 basis points compared to the previous quarter, with rates on time deposits down 33 basis points. The higher level of net interest income (te) from the prior quarter and wider net interest margin were due, in part, to the continued re-pricing of the Company's CD portfolio (during the quarter, $411 million of maturing time deposits were re-priced into lower costing CDs) as well as the aforementioned $241.2 million in average loan growth. The quarter's loan growth was funded by a combination of higher deposits and maturing securities. * Non-interest income: Non-interest income, excluding securities transactions, for the third quarter was down $1.0 million, or 3.2 percent, compared to the same quarter a year ago and was also down $1.2 million, or 3.9 percent, compared to the previous quarter. The primary factors impacting the lower levels of non-interest income compared to the same quarter a year ago were lower levels o of other income (down $1.5 million, or 31.6 percent) and insurance fees (down $451 thousand, or 10.6 percent). The decrease in non- interest income (excluding securities transactions) for the third quarter compared to the prior quarter was primarily due to lower insurance fees (down $440 thousand, or 10.3 percent), investment and annuity fees (down $306 thousand, or 11.2 percent) and trust fees (down $245 thousand, or 5.4 percent). Included in the lower level of service charges for the third quarter were $294 thousand in customer rebates related to Hurricane Gustav. * Operating expense: Operating expenses for the third quarter were $0.4 million, or 0.7 percent, lower compared to the same quarter a year ago but were $3.3 million, or 6.3 percent, higher than the previous quarter. The decrease from the same quarter a year ago was reflected in lower other operating expenses (down $809 thousand) and was partly offset by higher levels of occupancy expense (up $457 thousand). The increase in operating expense from last quarter was due to personnel expense (up $1.6 million), other operating expense (up $1.3 million), and occupancy expense (up $486 thousand). Included in operating expense during the third quarter was approximately $560 thousand of increased expense related to Hurricane Gustav.
Hancock Holding Company -- parent company of Hancock Bank of Mississippi, Hancock Bank of Louisiana, Hancock Bank of Florida, and Hancock Bank of Alabama -- has assets of approximately $6.74 billion. Founded in 1899, Hancock Bank consistently ranks as one of the country's strongest, safest financial institutions, according to Veribanc, Inc. and BauerFinancial Services, Inc. More corporate information and online banking are available at www.hancockbank.com.
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: Congress passed the Private Securities Litigation Act of 1995 in an effort to encourage corporations to provide information about companies' anticipated future financial performance. This act provides a safe harbor for such disclosure, which protects the companies from unwarranted litigation if actual results are different from management expectations. This release contains forward-looking statements and reflects management's current views and estimates of future economic circumstances, industry conditions, company performance, and financial results. These forward-looking statements are subject to a number of factors and uncertainties which could cause the Company's actual results and experience to differ from the anticipated results and expectations expressed in such forward-looking statements.
Hancock Holding Company Financial Highlights (amounts in thousands, except per share data and FTE headcount) (unaudited) ------------------------------------------------ Three Months Ended Nine Months Ended ------------------------------------------------ 9/30/ 6/30/ 9/30/ 9/30/ 9/30/ 2008 2008 2007 2008 2007 ------------------------------------------------ Per Common Share Data --------------------- Earnings per share: Basic $0.51 $0.67 $0.55 $1.82 $1.77 Diluted $0.50 $0.66 $0.55 $1.79 $1.74 Cash dividends per share $0.240 $0.240 $0.240 $0.720 $0.720 Book value per share (period-end) $18.95 $18.27 $17.55 $18.95 $17.55 Tangible book value per share (period-end) $16.77 $16.06 $15.32 $16.77 $15.32 Weighted average number of shares: Basic 31,471 31,382 32,005 31,402 32,299 Diluted 31,905 31,814 32,492 31,826 32,847 Period-end number of shares 31,702 31,386 31,786 31,702 31,786 Market data: High closing price $68.42 $45.68 $43.90 $68.42 $54.09 Low closing price $33.34 $38.38 $32.78 $33.34 $32.78 Period end closing price $51.00 $39.29 $40.08 $51.00 $40.08 Trading volume 23,562 14,527 10,290 55,296 30,485 Other Period-end Data --------------------- FTE headcount 1,941 1,903 1,966 1,941 1,966 Tangible common equity $531,800 $503,953 $486,871 $531,800 $486,871 Tier I capital $546,379 $527,479 $508,554 $546,379 $508,554 Goodwill $62,277 $62,277 $62,277 $62,277 $62,277 Amortizable intangibles $6,402 $6,762 $8,195 $6,402 $8,195 Mortgage servicing intangibles $357 $413 $632 $357 $632 Common shares repurchased for publicly announced plans 0 0 343 0 1,004 Performance Ratios ------------------ Return on average assets 1.00% 1.36% 1.21% 1.22% 1.31% Return on average common equity 10.90% 14.51% 12.58% 13.16% 13.63% Earning asset yield (TE) 6.02% 6.03% 6.82% 6.11% 6.74% Total cost of funds 2.03% 2.12% 2.76% 2.21% 2.65% Net interest margin (TE) 3.99% 3.91% 4.06% 3.90% 4.09% Noninterest expense as a percent of total revenue (TE) before amortization of purchased intangibles and securities transactions 62.92% 60.26% 65.45% 60.92% 62.81% Common equity (period-end) as a percent of total assets (period-end) 8.91% 9.15% 9.45% 8.91% 9.45% Leverage (Tier I) ratio 8.66% 8.57% 8.82% 8.66% 8.82% Tangible common equity ratio 7.97% 8.13% 8.34% 7.97% 8.34% Net charge-offs as a percent of average loans 0.42% 0.27% 0.21% 0.34% 0.19% Allowance for loan losses as a percent of period-end loans 1.40% 1.41% 1.31% 1.40% 1.31% Allowance for loan losses to NPAs + accruing loans 90 days past due 189.69% 203.06% 335.22% 189.69% 335.22% Loan/deposit ratio 77.46% 74.82% 70.28% 74.81% 68.60% Non-interest income excluding securities transactions as a percent of total revenue (TE) 34.46% 36.52% 36.83% 35.91% 35.45% ------------------------------------------------ Hancock Holding Company Financial Highlights (amounts in thousands) (unaudited) ------------------------------------------------------ Three Months Ended Nine Months Ended ------------------------------------------------------ 9/30/2008 6/30/2008 9/30/2007 9/30/2008 9/30/2007 ------------------------------------------------------ Asset Quality Information ------------- Non-accrual loans $21,875 $18,106 $8,500 $21,875 $8,500 Foreclosed assets 2,197 1,693 1,374 2,197 1,374 ------------------------------------------------------ Total non- performing assets $24,072 $19,799 $9,874 $24,072 $9,874 ------------------------------------------------------ Non-performing assets as a percent of loans and foreclosed assets 0.59% 0.52% 0.28% 0.59% 0.28% Accruing loans 90 days past due $6,082 $6,449 $3,819 $6,082 $3,819 Accruing loans 90 days past due as a percent of loans 0.15% 0.17% 0.11% 0.15% 0.11% Non-performing assets + accruing loans 90 days past due to loans and foreclosed assets 0.74% 0.69% 0.39% 0.74% 0.39% Net charge-offs $4,164 $2,495 $1,880 $9,592 $4,873 Net charge-offs as a percent of average loans 0.42% 0.27% 0.21% 0.34% 0.19% Allowance for loan losses $57,200 $53,300 $45,901 $57,200 $45,901 Allowance for loan losses as a percent of period-end loans 1.40% 1.41% 1.31% 1.40% 1.31% Allowance for loan losses to NPAs + accruing loans 90 days past due 189.69% 203.06% 335.22% 189.69% 335.22% Provision for loan losses $8,064 $2,787 $1,554 $19,669 $4,002 Allowance for Loan Losses ------------- Beginning Balance $53,300 $53,008 $46,227 $47,123 $46,772 Provision for loan loss 8,064 2,787 1,554 19,669 4,002 Charge-offs 5,133 3,968 3,610 13,299 10,207 Recoveries 969 1,473 1,730 3,707 5,334 ------------------------------------------------------ Net charge-offs 4,164 2,495 1,880 9,592 4,873 ------------------------------------------------------ Ending Balance $57,200 $53,300 $45,901 $57,200 $45,901 ------------------------------------------------------ Net Charge-off Information -------------- Net charge- offs: Commercial/real estate loans $1,556 $600 ($58) $2,990 $47 Mortgage loans 179 61 -- 240 1 Direct consumer loans 650 442 864 1,680 1,835 Indirect consumer loans 867 681 314 2,011 1,216 Finance company loans 912 711 760 2,671 1,774 ------------------------------------------------------ Total net charge-offs $4,164 $2,495 $1,880 $9,592 $4,873 ====================================================== Average loans: Commercial/real estate loans $2,453,154 $2,272,057 $2,106,778 $2,317,134 $2,042,992 Mortgage loans 427,752 413,076 388,603 413,453 382,904 Direct consumer loans 546,079 526,752 491,417 529,153 487,985 Indirect consumer loans 410,110 386,565 373,677 394,610 363,773 Finance Company loans 116,140 113,555 109,807 114,276 101,135 ------------------------------------------------------ Total average loans $3,953,235 $3,712,005 $3,470,282 $3,768,626 $3,378,789 Net charge-offs to average loans: Commercial/real estate loans 0.25% 0.11% -0.01% 0.17% 0.00% Mortgage loans 0.17% 0.06% 0.00% 0.08% 0.00% Direct consumer loans 0.47% 0.34% 0.70% 0.42% 0.50% Indirect consumer loans 0.84% 0.71% 0.33% 0.68% 0.45% Finance Company loans 3.12% 2.52% 2.74% 3.12% 2.35% ------------------------------------------------------ Total net charge-offs to average loans 0.42% 0.27% 0.21% 0.34% 0.19% ------------------------------------------------------ Hancock Holding Company Financial Highlights (amounts in thousands) (unaudited) ------------------------------------------------ Three Months Ended Nine Months Ended ------------------------------------------------ 9/30/ 6/30/ 9/30/ 9/30/ 9/30/ 2008 2008 2007 2008 2007 ------------------------------------------------ Income Statement ---------------- Interest income $84,132 $81,732 $87,609 $250,636 $258,166 Interest income (TE) 86,774 84,164 89,982 258,165 265,221 Interest expense 29,357 29,573 36,467 93,274 104,169 ------------------------------------------------ Net interest income (TE) 57,417 54,591 53,515 164,891 161,052 Provision for loan losses 8,064 2,787 1,554 19,669 4,002 Noninterest income excluding securities transactions 30,194 31,412 31,198 92,375 88,454 Securities transactions gains/(losses) (79) 426 34 5,999 74 Noninterest expense 55,483 52,189 55,857 157,806 157,939 ------------------------------------------------ Income before income taxes 21,343 29,021 24,963 78,261 80,584 Income tax expense 5,338 8,037 7,224 21,215 23,292 ------------------------------------------------ Net income $16,005 $20,984 $17,739 $57,046 $57,292 ================================================ Noninterest Income and Noninterest Expense ------------------ Service charges on deposit accounts $11,108 $10,879 $11,085 $32,777 $30,747 Trust fees 4,330 4,575 3,892 13,080 11,708 Debit card & merchant fees 2,805 2,884 2,571 8,229 7,480 Insurance fees 3,819 4,259 4,270 12,419 13,672 Investment & annuity fees 2,421 2,727 2,253 7,957 6,249 ATM fees 1,718 1,757 1,550 5,166 4,357 Secondary mortgage market operations 817 753 935 2,347 2,962 Other income 3,176 3,578 4,642 10,400 11,279 ------------------------------------------------ Noninterest income excluding securities transactions $30,194 $31,412 $31,198 $92,375 $88,454 Securities transactions gains/(losses) (79) 426 34 5,999 74 ------------------------------------------------ Total noninterest income including securities transactions $30,115 $31,838 $31,232 $98,374 $88,528 ================================================ Personnel expense $28,664 $27,031 $28,531 $81,326 $79,932 Occupancy expense (net) 5,188 4,702 4,731 14,491 13,273 Equipment expense 2,711 2,785 2,814 8,405 7,855 Other operating expense 18,560 17,307 19,369 52,495 55,660 Amortization of intangibles 360 364 412 1,089 1,219 ------------------------------------------------ Total noninterest expense $55,483 $52,189 $55,857 $157,806 $157,939 ================================================ Hancock Holding Company Financial Highlights (amounts in thousands) (unaudited) ------------------------------------------------------ Three Months Ended Nine Months Ended ------------------------------------------------------ 9/30/2008 6/30/2008 9/30/2007 9/30/2008 9/30/2007 ------------------------------------------------------ Period-end Balance Sheet -------------- Commercial/real estate loans $2,549,906 $2,348,816 $2,141,217 $2,549,906 $2,141,217 Mortgage loans 421,254 410,469 381,929 421,254 381,929 Direct consumer loans 554,374 520,230 494,667 554,374 494,667 Indirect consumer loans 430,414 393,625 380,561 430,414 380,561 Finance Company loans 116,995 114,664 114,919 116,995 114,919 ------------------------------------------------------ Total loans 4,072,943 3,787,804 3,513,293 4,072,943 3,513,293 Loans held for sale 16,565 28,808 17,698 16,565 17,698 Securities 1,659,423 1,796,017 1,674,706 1,659,423 1,674,706 Short-term investments 306,866 9,848 99,176 306,866 99,176 ------------------------------------------------------ Earning assets 6,055,797 5,622,477 5,304,873 6,055,797 5,304,873 ------------------------------------------------------ Allowance for loan losses (57,200) (53,300) (45,901) (57,200) (45,901) Other assets 746,165 700,939 647,081 746,165 647,081 ------------------------------------------------------ Total assets $6,744,762 $6,270,116 $5,906,053 $6,744,762 $5,906,053 ====================================================== Noninterest bearing deposits $866,414 $894,544 $891,842 $866,414 $891,842 Interest bearing transaction deposits 1,371,400 1,460,848 1,357,835 1,371,400 1,357,835 Interest bearing Public Fund deposits 1,231,529 1,003,415 837,073 1,231,529 837,073 Time deposits 1,945,452 1,662,001 1,912,799 1,945,452 1,912,799 ------------------------------------------------------ Total interest bearing deposits 4,548,381 4,126,264 4,107,707 4,548,381 4,107,707 ------------------------------------------------------ Total deposits 5,414,795 5,020,808 4,999,549 5,414,795 4,999,549 Other borrowed funds 635,069 574,981 216,481 635,069 216,481 Other liabilities 94,063 100,922 132,048 94,063 132,048 Common shareholders' equity 600,835 573,405 557,975 600,835 557,975 ------------------------------------------------------ Total liabilities & common equity $6,744,762 $6,270,116 $5,906,053 $6,744,762 $5,906,053 ====================================================== Average Balance Sheet --------------- Commercial/real estate loans $2,453,154 $2,272,057 $2,106,778 $2,317,134 $2,042,992 Mortgage loans 427,752 413,076 388,603 413,453 382,904 Direct consumer loans 546,079 526,752 491,417 529,153 487,985 Indirect consumer loans 410,110 386,565 373,677 394,610 363,773 Finance Company loans 116,140 113,555 109,807 114,276 101,135 ------------------------------------------------------ Total loans 3,953,235 3,712,005 3,470,282 3,768,626 3,378,789 Securities 1,765,702 1,830,533 1,660,841 1,777,036 1,735,581 Short-term investments 28,161 57,518 120,116 94,810 139,323 ------------------------------------------------------ Earning average assets 5,747,098 5,600,056 5,251,239 5,640,472 5,253,693 ------------------------------------------------------ Allowance for loan losses (54,786) (53,012) (46,216) (51,739) (46,475) Other assets 682,316 676,189 632,004 681,645 618,309 ------------------------------------------------------ Total assets $6,374,628 $6,223,233 $5,837,027 $6,270,378 $5,825,527 ====================================================== Noninterest bearing deposits $869,881 $880,375 $893,455 $869,655 $942,360 Interest bearing transaction deposits 1,408,013 1,447,301 1,383,851 1,410,665 1,445,384 Interest bearing Public Fund deposits 1,062,127 946,411 823,316 990,498 806,476 Time deposits 1,763,609 1,687,218 1,837,292 1,766,541 1,730,787 ------------------------------------------------------ Total interest bearing deposits 4,233,749 4,080,930 4,044,459 4,167,704 3,982,647 ------------------------------------------------------ Total deposits 5,103,630 4,961,305 4,937,914 5,037,359 4,925,007 Other borrowed funds 587,939 567,151 206,072 546,695 203,025 Other liabilities 98,913 113,096 133,695 107,460 135,396 Common shareholders' equity 584,146 581,681 559,346 578,864 562,099 ------------------------------------------------------ Total liabilities & common equity $6,374,628 $6,223,233 $5,837,027 $6,270,378 $5,825,527 ====================================================== Hancock Holding Company Financial Highlights (amounts in thousands) (unaudited) ------------------------------------------------------ Three Months Ended Nine Months Ended ------------------------------------------------------ 9/30/2008 6/30/2008 9/30/2007 9/30/2008 9/30/2007 ------------------------------------------------------ Average Balance Sheet Mix --------------- Percentage of earning assets/funding sources: Loans 68.79% 66.28% 66.08% 66.81% 64.31% Securities 30.72% 32.69% 31.63% 31.51% 33.04% Short-term investments 0.49% 1.03% 2.29% 1.68% 2.65% ------------------------------------------------------ Earning average assets 100.00% 100.00% 100.00% 100.00% 100.00% ====================================================== Noninterest bearing deposits 15.14% 15.72% 17.01% 15.42% 17.94% Interest bearing transaction deposits 24.50% 25.84% 26.36% 25.01% 27.51% Interest bearing Public Fund deposits 18.48% 16.90% 15.68% 17.56% 15.35% Time deposits 30.68% 30.13% 34.99% 31.32% 32.95% ------------------------------------------------------ Total deposits 88.80% 88.59% 94.04% 89.31% 93.75% Other borrowed funds 10.23% 10.13% 3.92% 9.69% 3.86% Other net interest-free funding sources 0.97% 1.28% 2.04% 1.00% 2.39% ------------------------------------------------------ Total average funding sources 100.00% 100.00% 100.00% 100.00% 100.00% ====================================================== Loan mix: Commercial/real estate loans 62.06% 61.21% 60.71% 61.49% 60.47% Mortgage loans 10.82% 11.13% 11.20% 10.97% 11.33% Direct consumer loans 13.81% 14.19% 14.16% 14.04% 14.44% Indirect consumer loans 10.37% 10.41% 10.77% 10.47% 10.77% Finance Company loans 2.94% 3.06% 3.16% 3.03% 2.99% ------------------------------------------------------ Total loans 100.00% 100.00% 100.00% 100.00% 100.00% ====================================================== Average dollars (in thousands): Loans $3,953,235 $3,712,005 $3,470,282 $3,768,626 $3,378,789 Securities 1,765,702 1,830,533 1,660,841 1,777,036 1,735,581 Short-term investments 28,161 57,518 120,116 94,810 139,323 ------------------------------------------------------ Earning average assets $5,747,098 $5,600,056 $5,251,239 $5,640,472 $5,253,693 Noninterest bearing deposits $869,881 $880,375 $893,455 $869,655 $942,360 Interest bearing transaction deposits 1,408,013 1,447,301 1,383,851 1,410,665 1,445,384 Interest bearing Public Fund deposits 1,062,127 946,411 823,316 990,498 806,476 Time deposits 1,763,609 1,687,218 1,837,292 1,766,541 1,730,787 ------------------------------------------------------ Total deposits 5,103,630 4,961,305 4,937,914 5,037,359 4,925,007 Other borrowed funds 587,939 567,151 206,072 546,695 203,025 Other net interest-free funding sources 55,529 71,600 107,252 56,418 125,662 ------------------------------------------------------ Total average funding sources $5,747,098 $5,600,056 $5,251,238 $5,640,472 $5,253,694 Loans: Commercial/real estate loans $2,453,154 $2,272,057 $2,106,778 $2,317,134 $2,042,992 Mortgage loans 427,752 413,076 388,603 413,453 382,904 Direct consumer loans 546,079 526,752 491,417 529,153 487,985 Indirect consumer loans 410,110 386,565 373,677 394,610 363,773 Finance Company loans 116,140 113,555 109,807 114,276 101,135 ------------------------------------------------------ Total average loans $3,953,235 $3,712,005 $3,470,282 $3,768,626 $3,378,789 ------------------------------------------------------ Hancock Holding Company Average Balance and Net Interest Margin Summary (amounts in thousands) (unaudited) ------------------------------------------------------ Three Months Ended ------------------------------------------------------ 09/30/08 06/30/08 ------------------------------------------------------ Interest Volume Rate Interest Volume Rate -------- ---------- ---- -------- ---------- ---- Average Earning Assets Commercial & real estate loans (TE) $36,289 $2,453,154 5.89% $34,223 $2,272,057 6.05% Mortgage loans 6,366 427,752 5.95% 6,124 413,076 5.93% Consumer loans 21,237 1,072,329 7.88% 20,960 1,026,872 8.21% Loan fees & late charges 455 -- 0.00% (48) -- 0.00% -------- ---------- ---- -------- ---------- ---- Total loans (TE) $64,347 $3,953,235 6.48% $61,259 $3,712,005 6.63% US treasury securities 53 11,334 1.86% 73 11,364 2.59% US agency securities 3,751 333,434 4.50% 3,728 335,607 4.44% CMOs 1,786 141,355 5.05% 1,843 149,640 4.93% Mortgage backed securities 13,917 1,066,233 5.22% 14,060 1,101,270 5.11% Municipals (TE) 2,280 163,796 5.57% 2,361 182,571 5.17% Other securities 557 49,550 4.50% 535 50,081 4.27% -------- ---------- ---- -------- ---------- ---- Total securities (TE) 22,344 1,765,702 5.06% 22,600 1,830,533 4.94% Total short- term investments 83 28,161 1.18% 305 57,518 2.13% Average earning assets yield (TE) $86,774 $5,747,098 6.02% $84,164 $5,600,056 6.03% Interest-bearing Liabilities Interest-bearing transaction deposits $3,193 $1,408,013 0.90% $3,273 $1,447,301 0.91% Time deposits 15,579 1,763,609 3.51% 16,089 1,687,218 3.84% Public Funds 6,750 1,062,127 2.53% 6,170 946,411 2.62% -------- ---------- ---- -------- ---------- ---- Total interest bearing deposits $25,522 4,233,749 2.40% $25,532 4,080,930 2.52% Total borrowings 3,828 587,939 2.59% 4,061 567,151 2.88% Capitalized Interest 7 (20) Total interest bearing liab cost $29,357 $4,821,688 2.42% $29,573 $4,648,081 2.56% Noninterest- bearing deposits 869,881 880,375 Other net interest-free funding sources 55,529 71,600 Total Cost of Funds $29,357 $5,747,098 2.03% $29,573 $5,600,056 2.12% Net Interest Spread (TE) $57,417 3.60% $54,591 3.47% Net Interest Margin (TE) $57,417 $5,747,098 3.99% $54,591 $5,600,056 3.91% -------------------------- Three Months Ended -------------------------- 09/30/07 -------------------------- Interest Volume Rate -------- ---------- ---- Average Earning Assets Commercial & real estate loans (TE) $39,555 $2,106,778 7.45% Mortgage loans 5,773 388,603 5.94% Consumer loans 21,871 974,901 8.90% Loan fees & late charges 257 -- 0.00% -------- ---------- ---- Total loans (TE) $67,456 3,470,282 7.72% US treasury securities 128 11,169 4.53% US agency securities 10,223 801,585 5.10% CMOs 830 80,989 4.10% Mortgage backed securities 6,557 513,545 5.11% Municipals (TE) 2,634 195,956 5.38% Other securities 765 57,597 5.32% -------- ---------- ---- Total securities (TE) 21,137 1,660,841 5.09% Total short-term investments 1,389 120,116 4.59% Average earning assets yield (TE) $89,982 $5,251,239 6.82% Interest-bearing Liabilities Interest-bearing transaction deposits $4,682 $1,383,851 1.34% Time deposits 21,295 1,837,292 4.60% Public Funds 8,753 823,316 4.22% -------- ---------- ---- Total interest bearing deposits $34,730 4,044,459 3.41% Total borrowings 1,892 206,072 3.64% Capitalized Interest (155) Total interest bearing liab cost $36,467 $4,250,531 3.40% Noninterest-bearing deposits 893,455 Other net interest-free funding sources 107,252 Total Cost of Funds $36,467 $5,251,238 2.76% Net Interest Spread (TE) $53,515 3.41% Net Interest Margin (TE) $53,515 $5,251,238 4.06% --------------------------------------------------------------------- Hancock Holding Company Average Balance and Net Interest Margin Summary (amounts in thousands) (unaudited) ------------------------------------------------------- Nine Months Ended ------------------------------------------------------- 9/30/2008 9/30/2007 ------------------------------------------------------- Interest Volume Rate Interest Volume Rate -------- ---------- ---- -------- ---------- ---- Average Earning Assets Commercial & real estate loans (TE) $107,094 $2,317,134 6.17% $113,567 $2,042,992 7.43% Mortgage loans 18,451 413,453 5.95% 16,866 382,904 5.87% Consumer loans 63,737 1,038,039 8.20% 63,045 952,893 8.85% Loan fees & late charges 523 -- 0.00% 992 -- 0.00% -------- ---------- ---- -------- ---------- ---- Total loans (TE) 189,805 $3,768,626 6.73% 194,470 $3,378,789 7.69% US treasury securities 243 11,361 2.86% 1,278 35,083 4.87% US agency securities 13,118 382,046 4.58% 32,966 869,107 5.06% CMOs 5,356 144,882 4.93% 2,882 93,941 4.09% Mortgage backed securities 39,002 1,008,197 5.16% 17,887 476,077 5.01% Municipals (TE) 7,141 179,992 5.29% 8,148 197,200 5.51% Other securities 1,650 50,558 4.35% 2,530 64,173 5.26% -------- ---------- ---- -------- ---------- ---- Total securities (TE) 66,510 1,777,036 4.99% 65,691 1,735,581 5.05% Total short- term investments 1,850 94,810 2.61% 5,060 139,323 4.86% Average earning assets yield (TE) $258,165 $5,640,472 6.11% $265,221 $5,253,693 6.74% Interest- Bearing Liabilities Interest- bearing transaction deposits $10,418 $1,410,665 0.99% $14,360 $1,445,384 1.33% Time deposits 52,123 1,766,541 3.94% 58,871 1,730,787 4.55% Public Funds 19,112 990,498 2.58% 26,221 806,476 4.35% -------- ---------- ---- -------- ---------- ---- Total interest bearing deposits $81,653 $4,167,704 2.62% $99,452 $3,982,647 3.34% Total borrowings 11,680 546,695 2.85% 5,589 203,025 3.68% Capitalized Interest (59) (872) Total interest bearing liab cost $93,274 $4,714,399 2.64% $104,169 $4,185,672 3.33% Noninterest- bearing deposits 869,655 942,360 Other net interest-free funding sources 56,418 125,662 Total Cost of Funds $93,274 $5,640,472 2.21% $104,169 $5,253,694 2.65% Net Interest Spread (TE) $164,891 3.47% $161,052 3.41% Net Interest Margin (TE) $164,891 $5,640,472 3.90% $161,052 $5,253,694 4.09% --------------------------------------------------------------------- Hancock Holding Company Quarterly Financial Data (amounts in thousands, except per share data and FTE headcount) -------- ----------------------------------- (unaudited) 2006 2007 -------- ----------------------------------- 4Q 1Q 2Q 3Q 4Q -------- -------- -------- -------- -------- Per Common Share Data --------------------- Earnings per share: Basic $0.67 $0.59 $0.63 $0.55 $0.53 Diluted $0.65 $0.58 $0.62 $0.55 $0.53 Cash dividends per share $0.240 $0.240 $0.240 $0.240 $0.240 Book value per share (period-end) $17.09 $17.27 $17.13 $17.55 $17.71 Tangible book value per share (period-end) $14.87 $15.05 $14.90 $15.32 $15.45 Weighted average number of shares: Basic 32,632 32,665 32,233 32,005 31,097 Diluted 33,378 33,299 32,749 32,492 31,577 Period-end number of shares 32,666 32,518 32,094 31,786 31,295 Market data: High closing price $56.00 $54.09 $44.37 $43.90 $43.47 Low closing price $50.85 $41.88 $37.50 $32.78 $33.35 Period end closing price $52.84 $43.98 $37.55 $40.08 $38.20 Trading volume 6,393 8,577 11,614 10,290 17,662 Other Period-end Data --------------------- FTE headcount 1,848 1,929 1,944 1,966 1,888 Tangible common equity $485,778 $489,430 $478,085 $486,871 $483,612 Tier I capital $510,638 $513,229 $510,096 $508,554 $497,307 Goodwill $62,277 $62,277 $62,277 $62,277 $62,277 Amortizable intangibles $9,414 $8,991 $8,607 $8,195 $7,753 Mortgage servicing intangibles $941 $829 $729 $632 $545 Common shares repurchased for publicly announced plans -- 228 433 343 552 Performance Ratios ------------------ Return on average assets 1.44% 1.32% 1.42% 1.21% 1.11% Return on average common equity 15.54% 13.77% 14.53% 12.58% 11.69% Earning asset yield (TE) 6.54% 6.64% 6.76% 6.82% 6.72% Total cost of funds 2.48% 2.60% 2.59% 2.76% 2.68% Net interest margin (TE) 4.06% 4.04% 4.17% 4.06% 4.04% Noninterest expense as a percent of total revenue (TE) before amortization of purchased intangibles, net storm-related gain/ (loss), gain on sale of credit card merchant and securities transactions 59.79% 61.40% 61.51% 65.45% 67.98% Common equity (period-end) as a percent of total assets (period-end) 9.36% 9.61% 9.36% 9.45% 9.15% Leverage (Tier I) ratio 8.63% 8.80% 9.01% 8.82% 8.49% Tangible common equity ratio 8.24% 8.48% 8.24% 8.34% 8.08% Net charge-offs as a percent of average loans 0.19% 0.18% 0.18% 0.21% 0.26% Allowance for loan losses as a percent of period- end loans 1.43% 1.41% 1.35% 1.31% 1.31% Allowance for loan losses to NPAs + loans 90 days past due 694.67% 413.60% 410.98% 335.22% 241.43% Loan/deposit ratio 64.34% 65.91% 69.62% 70.28% 72.33% Noninterest income excluding net storm- related gain/(loss), gain on sale of credit card merchant and securities transactions as a percent of total revenue (TE) 33.14% 32.96% 36.33% 36.83% 36.67% ----------------------------- 2008 ----------------------------- 1Q 2Q 3Q --------- --------- --------- Per Common Share Data --------------------- Earnings per share: Basic $0.64 $0.67 $0.51 Diluted $0.63 $0.66 $0.50 Cash dividends per share $0.240 $0.240 $0.240 Book value per share (period-end) $18.41 $18.27 $18.95 Tangible book value per share (period-end) $16.17 $16.06 $16.77 Weighted average number of shares: Basic 31,346 31,382 31,471 Diluted 31,790 31,814 31,905 Period-end number of shares 31,372 31,386 31,702 Market data: High closing price $44.29 $45.68 $68.42 Low closing price $33.45 $38.38 $33.34 Period end closing price $42.02 $39.29 $51.00 Trading volume 17,204 14,527 23,562 Other Period-end Data --------------------- FTE headcount 1,877 1,903 1,941 Tangible common equity $507,287 $503,953 $531,800 Tier I capital $512,248 $527,479 $546,379 Goodwill $62,277 $62,277 $62,277 Amortizable intangibles $7,388 $6,762 $6,402 Mortgage servicing intangibles $477 $413 $357 Common shares repurchased for publicly announced plans 0 0 0 Performance Ratios ------------------ Return on average assets 1.30% 1.36% 1.00% Return on average common equity 14.13% 14.51% 10.90% Earning asset yield (TE) 6.28% 6.03% 6.02% Total cost of funds 2.47% 2.12% 2.03% Net interest margin (TE) 3.80% 3.91% 3.99% Noninterest expense as a percent of total revenue (TE) before amortization of purchased intangibles, net storm-related gain/(loss), gain on sale of credit card merchant and securities transactions 59.49% 60.26% 62.92% Common equity (period-end) as a percent of total assets (period-end) 8.99% 9.15% 8.91% Leverage (Tier I) ratio 8.34% 8.57% 8.66% Tangible common equity ratio 7.98% 8.13% 7.97% Net charge-offs as a percent of average loans 0.32% 0.27% 0.42% Allowance for loan losses as a percent of period-end loans 1.46% 1.41% 1.40% Allowance for loan losses to NPAs + loans 90 days past due 265.81% 203.06% 189.69% Loan/deposit ratio 72.10% 74.82% 77.46% Noninterest income excluding net storm- related gain/(loss), gain on sale of credit card merchant and securities transactions as a percent of total revenue (TE) 36.73% 36.52% 34.46% Hancock Holding Company Quarterly Financial Data (amounts in thousands, except per share data and FTE headcount) (unaudited) ---------- ------------------------------------------- 2006 2007 ---------- ------------------------------------------- 4Q 1Q 2Q 3Q 4Q ---------- ---------- ---------- ---------- ---------- Asset Quality Information ----------- Non-accrual loans $3,500 $4,494 $7,544 $8,500 $13,067 Foreclosed assets 681 718 1,146 1,374 2,297 ---------- ---------- ---------- ---------- ---------- Total non- performing assets $4,181 $5,212 $8,690 $9,874 $15,364 Non-performing assets as a percent of loans and foreclosed assets 0.13% 0.16% 0.25% 0.28% 0.43% Accruing loans 90 days past due $2,552 $6,035 $2,558 $3,819 $4,154 Accruing loans 90 days past due as a percent of loans 0.08% 0.18% 0.07% 0.11% 0.12% Non-performing assets + accruing loans 90 days past due to loans and foreclosed assets 0.21% 0.34% 0.33% 0.39% 0.54% Net charge-offs $1,523 $1,466 $1,528 $1,880 $2,370 Net charge-offs as a percent of average loans 0.19% 0.18% 0.18% 0.21% 0.26% Allowance for loan losses $46,772 $46,517 $46,227 $45,901 $47,123 Allowance for loan losses as a percent of period-end loans 1.43% 1.41% 1.35% 1.31% 1.31% Allowance for loan losses to NPAs + accruing loans 90 days past due 694.67% 413.60% 410.98% 335.22% 241.43% Provision for (recovery of) loan losses ($57) $1,211 $1,238 $1,554 $3,592 Net Charge-off Information ----------- Net charge-offs: Commercial/real estate loans ($137) $168 ($63) ($58) ($100) Mortgage loans (11) 23 (22) -- 42 Direct consumer loans 493 110 617 864 $886 Indirect consumer loans 395 675 471 314 $518 Finance company loans 783 489 525 760 $1,024 ---------- ---------- ---------- ---------- ---------- Total net charge-offs $1,523 $1,465 $1,528 $1,880 $2,370 ---------- ---------- ---------- ---------- ---------- Average loans: Commercial/real estate loans $1,855,506 $1,931,966 $2,040,088 $2,106,778 $2,128,279 Mortgage loans 428,674 426,103 382,642 388,603 440,842 Direct consumer loans 479,087 485,201 487,267 491,417 505,098 Indirect consumer loans 350,829 357,008 360,451 373,677 385,093 Finance Company loans 86,965 92,315 101,092 109,807 114,750 ---------- ---------- ---------- ---------- ---------- Total average loans $3,201,061 $3,292,593 $3,371,540 $3,470,282 $3,574,062 Net charge-offs to average loans: Commercial/real estate loans -0.03% 0.04% -0.01% -0.01% -0.02% Mortgage loans -0.01% 0.02% -0.02% 0.00% 0.04% Direct consumer loans 0.41% 0.09% 0.51% 0.70% 0.70% Indirect consumer loans 0.45% 0.77% 0.52% 0.33% 0.53% Finance Company loans 3.57% 2.15% 2.08% 2.74% 3.54% ---------- ---------- ---------- ---------- ---------- Total net charge-offs to average loans 0.19% 0.18% 0.18% 0.21% 0.26% ---------- ---------- ---------- ---------- ---------- -------------------------------- 2008 -------------------------------- 1Q 2Q 3Q ---------- ---------- ---------- Asset Quality Information Non-accrual loans $12,983 $18,106 $21,875 Foreclosed assets 3,619 1,693 2,197 ---------- ---------- ---------- Total non-performing assets $16,602 $19,799 $24,072 Non-performing assets as a percent of loans and foreclosed assets 0.46% 0.52% 0.59% Accruing loans 90 days past due $3,340 $6,449 $6,082 Accruing loans 90 days past due as a percent of loans 0.09% 0.17% 0.15% Non-performing assets + accruing loans 90 days past due to loans and foreclosed assets 0.55% 0.69% 0.74% Net charge-offs $2,933 $2,495 $4,164 Net charge-offs as a percent of average loans 0.32% 0.27% 0.42% Allowance for loan losses $53,008 $53,300 $57,200 Allowance for loan losses as a percent of period-end loans 1.46% 1.41% 1.40% Allowance for loan losses to NPAs + accruing loans 90 days past due 265.81% 203.06% 189.69% Provision for (recovery of) loan losses $8,818 $2,787 $8,064 Net Charge-off Information Net charge-offs: Commercial/real estate loans $834 $600 $1,556 Mortgage loans -- 61 179 Direct consumer loans $588 442 650 Indirect consumer loans $463 681 867 Finance company loans $1,048 711 912 ---------- ---------- ---------- Total net charge-offs $2,933 $2,495 $4,164 ---------- ---------- ---------- Average loans: Commercial/real estate loans $2,224,695 $2,272,057 $2,453,154 Mortgage loans 399,374 413,076 427,752 Direct consumer loans 514,441 526,752 546,079 Indirect consumer loans 386,985 386,565 410,110 Finance Company loans 113,113 113,555 116,140 ---------- ---------- ---------- Total average loans $3,638,608 $3,712,005 $3,953,235 Net charge-offs to average loans: Commercial/real estate loans 0.15% 0.11% 0.25% Mortgage loans 0.00% 0.06% 0.17% Direct consumer loans 0.46% 0.34% 0.47% Indirect consumer loans 0.48% 0.71% 0.84% Finance Company loans 3.73% 2.52% 3.12% ---------- ---------- ---------- Total net charge-offs to average loans 0.32% 0.27% 0.42% ---------- ---------- ---------- Hancock Holding Company Quarterly Financial Data (amounts in thousands, except per share data and FTE headcount) (unaudited) ------- ---------------------------------- 2006 2007 ------- ---------------------------------- 4Q 1Q 2Q 3Q 4Q ------- ---------------------------------- Income Statement ---------------- Interest income $87,104 $85,708 $84,937 $87,609 $87,559 Interest income (TE) 89,366 88,124 87,204 89,982 90,041 Interest expense 33,966 34,308 33,394 36,467 36,067 ------- ---------------------------------- Net interest income (TE) 55,400 53,816 53,810 53,515 53,974 Provision for (recovery of) loan losses (57) 1,211 1,238 1,554 3,592 Noninterest income excluding net storm- related gain/(loss) and securities transactions 27,459 26,457 30,710 31,198 31,897 Net storm-related gain/ (loss) 5,084 -- -- -- -- Securities transactions gains/(losses) (5,396) 6 34 34 234 Noninterest expense 50,042 49,708 52,374 55,857 58,804 ------- ---------------------------------- Income before income taxes 30,300 26,944 28,675 24,963 21,227 Income tax expense 8,538 7,715 8,352 7,224 4,627 ------- ---------------------------------- Net income 21,762 19,229 20,323 17,739 16,600 ======= ================================== Noninterest Income and ---------------------- Noninterest Expense ------------------- Service charges on deposit accounts $9,402 $9,190 $10,471 $11,085 $11,182 Trust fees 3,624 3,693 4,124 3,892 4,194 Debit card & merchant fees 1,983 2,291 2,618 2,571 2,645 Insurance fees 5,346 4,369 5,033 4,270 5,561 Investment & annuity fees 1,519 1,978 2,018 2,253 2,498 ATM fees 1,215 1,380 1,428 1,550 1,626 Secondary mortgage market operations 945 911 1,116 935 761 Other income 3,425 2,645 3,902 4,642 3,430 ------- ---------------------------------- Noninterest income excluding net storm- related gain/(loss) and securities transactions $27,459 $26,457 $30,710 $31,198 $31,897 Net storm-related gain/ (loss) 5,084 -- -- -- -- Securities transactions gains/(losses) (5,396) 6 34 34 234 ------- ---------------------------------- Total noninterest income including storm-related gain/(loss) and securities transactions $27,147 $26,463 $30,744 $31,232 $32,131 ======= ================================== Personnel expense $24,092 $26,563 $24,837 $28,531 $27,027 Occupancy expense (net) 3,335 4,073 4,469 4,731 6,162 Equipment expense 2,665 2,272 2,768 2,814 2,610 Other operating expense 19,451 16,377 19,916 19,369 22,573 Amortization of intangibles 499 423 384 412 432 ------- ---------------------------------- Total noninterest expense $50,042 $49,708 $52,374 $55,857 $58,804 ------- ---------------------------------- ------------------------- 2008 ------------------------- 1Q 2Q 3Q ------------------------- Income Statement Interest income $84,813 $81,732 $84,132 Interest income (TE) 87,269 84,164 86,774 Interest expense 34,344 29,573 29,357 ------------------------- Net interest income (TE) 52,925 54,591 57,417 Provision for (recovery of) loan losses 8,818 2,787 8,064 Noninterest income excluding net storm-related gain/(loss) and securities transactions 30,728 31,412 30,194 Net storm-related gain/(loss) -- -- -- Securities transactions gains/(losses) 5,652 426 (79) Noninterest expense 50,134 52,189 55,483 ------------------------- Income before income taxes 27,897 29,021 21,343 Income tax expense 7,840 8,037 5,338 ------------------------- Net income 20,057 20,984 16,005 ========================= Noninterest Income and Noninterest Expense ------------------------------------------ Service charges on deposit accounts $10,790 $10,879 $11,108 Trust fees 4,175 4,575 4,330 Debit card & merchant fees 2,540 2,884 2,805 Insurance fees 4,341 4,259 3,819 Investment & annuity fees 2,809 2,727 2,421 ATM fees 1,691 1,757 1,718 Secondary mortgage market operations 778 753 817 Other income 3,604 3,578 3,176 ------------------------- Noninterest income excluding net storm-related gain/(loss) and securities transactions $30,728 $31,412 $30,194 Net storm-related gain/(loss) -- -- -- Securities transactions gains/(losses) 5,652 426 (79) ------------------------- Total noninterest income including storm-related gain/(loss) and securities transactions $36,380 $31,838 $30,115 ========================= Personnel expense $25,631 $27,031 $28,664 Occupancy expense (net) 4,601 4,702 5,188 Equipment expense 2,909 2,785 2,711 Other operating expense 16,628 17,307 18,560 Amortization of intangibles 365 364 360 ------------------------- Total noninterest expense $50,134 $52,189 $55,483 -------------------------