Delaware | 42-1397595 |
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer ID Number) |
Page Number(s)
|
||||
Part I
|
FINANCIAL INFORMATION
|
|||
Item 1.
|
Consolidated Financial Statements (Unaudited)
|
|||
Consolidated Balance Sheets
|
2
|
|||
As of September 30, 2011 and December 31, 2010
|
||||
Consolidated Statements of Income
|
3
|
|||
For the Three Months Ended September 30, 2011 and 2010
|
||||
Consolidated Statements of Income
|
4
|
|||
For the Nine Months Ended September 30, 2011 and 2010
|
||||
Consolidated Statement of Changes in Stockholders' Equity
|
5-6
|
|||
For the Nine Months Ended September 30, 2011 and 2010
|
||||
Consolidated Statements of Cash Flows
|
7
|
|||
For the Nine Months Ended September 30, 2011 and 2010
|
||||
Notes to the Consolidated Financial Statements
|
8-32
|
|||
Item 2.
|
Management's Discussion and Analysis of Financial Condition and
|
33-65
|
||
Results of Operations
|
||||
Item 3.
|
Quantitative and Qualitative Disclosures About Market Risk
|
66-67
|
||
Item 4.
|
Controls and Procedures
|
68
|
||
Part II
|
OTHER INFORMATION
|
|||
Item 1.
|
Legal Proceedings
|
69
|
||
Item 1.A.
|
Risk Factors
|
69
|
||
Item 2.
|
Unregistered Sales of Equity Securities and Use of Proceeds
|
69
|
||
Item 3.
|
Defaults upon Senior Securities
|
69
|
||
Item 4.
|
[Removed and Reserved]
|
69
|
||
Item 5.
|
Other Information
|
69
|
||
Item 6.
|
Exhibits
|
70
|
||
Signatures
|
|
71-72
|
||
QCR HOLDINGS, INC. AND SUBSIDIARIES
|
||||||||
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
|
||||||||
Three Months Ended September 30,
|
||||||||
2011
|
2010
|
|||||||
Interest and dividend income:
|
||||||||
Loans/leases, including fees
|
$ | 16,215,725 | $ | 16,710,323 | ||||
Securities:
|
||||||||
Taxable
|
2,877,574 | 2,595,301 | ||||||
Nontaxable
|
244,209 | 224,703 | ||||||
Interest-bearing deposits at financial institutions
|
97,714 | 55,289 | ||||||
Restricted investment securities
|
126,333 | 116,175 | ||||||
Federal funds sold
|
7,875 | 38,465 | ||||||
Total interest and dividend income
|
19,569,430 | 19,740,256 | ||||||
Interest expense:
|
||||||||
Deposits
|
2,201,070 | 3,151,191 | ||||||
Short-term borrowings
|
65,502 | 132,290 | ||||||
Federal Home Loan Bank advances
|
1,931,259 | 2,345,944 | ||||||
Other borrowings
|
1,301,144 | 1,452,204 | ||||||
Junior subordinated debentures
|
241,751 | 495,052 | ||||||
Total interest expense
|
5,740,726 | 7,576,681 | ||||||
Net interest income
|
13,828,704 | 12,163,575 | ||||||
Provision for loan/lease losses
|
2,456,965 | 1,434,232 | ||||||
Net interest income after provision for loan/lease losses
|
11,371,739 | 10,729,343 | ||||||
Noninterest income:
|
||||||||
Trust department fees
|
762,133 | 803,423 | ||||||
Investment advisory and management fees, gross
|
549,515 | 419,416 | ||||||
Deposit service fees
|
893,685 | 902,787 | ||||||
Gains on sales of loans, net
|
408,364 | 1,109,724 | ||||||
Securities gains
|
443,614 | - | ||||||
Gains (losses) on sales of other real estate owned, net
|
42,262 | (188,158 | ) | |||||
Earnings on bank-owned life insurance
|
331,440 | 353,003 | ||||||
Credit card issuing fees, net of processing costs
|
178,636 | 34,866 | ||||||
Other
|
725,658 | 923,225 | ||||||
Total noninterest income
|
4,335,307 | 4,358,286 | ||||||
Noninterest expense:
|
||||||||
Salaries and employee benefits
|
7,651,695 | 6,910,016 | ||||||
Occupancy and equipment expense
|
1,359,758 | 1,410,429 | ||||||
Professional and data processing fees
|
1,077,435 | 1,096,100 | ||||||
FDIC and other insurance
|
578,776 | 887,509 | ||||||
Loan/lease expense
|
839,993 | 678,535 | ||||||
Advertising and marketing
|
277,376 | 292,148 | ||||||
Postage and telephone
|
242,103 | 252,512 | ||||||
Stationery and supplies
|
122,582 | 135,064 | ||||||
Bank service charges
|
186,351 | 112,742 | ||||||
Other-than-temporary impairment losses on securities
|
- | 113,800 | ||||||
Other
|
437,080 | 244,910 | ||||||
Total noninterest expense
|
12,773,149 | 12,133,765 | ||||||
Net income before income taxes
|
2,933,897 | 2,953,864 | ||||||
Federal and state income tax expense
|
667,296 | 829,992 | ||||||
Net income
|
$ | 2,266,601 | $ | 2,123,872 | ||||
Less: Net income attributable to noncontrolling interests
|
103,446 | 109,786 | ||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 2,163,155 | $ | 2,014,086 | ||||
Less: Preferred stock dividends
|
2,188,058 | 1,028,686 | ||||||
Net income (loss) attributable to QCR Holdings, Inc. common stockholders
|
$ | (24,903 | ) | $ | 985,400 | |||
Earnings (loss) per common share attributable to QCR Holdings, Inc. common shareholders
|
||||||||
Basic
|
$ | (0.01 | ) | $ | 0.21 | |||
Diluted
|
$ | (0.01 | ) | $ | 0.21 | |||
Weighted average common shares outstanding
|
4,866,692 | 4,598,566 | ||||||
Weighted average common and common equivalent shares outstanding
|
4,866,692 | 4,619,574 | ||||||
Cash dividends declared per common share
|
$ | - | $ | - |
QCR HOLDINGS, INC. AND SUBSIDIARIES
|
||||||||
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
|
||||||||
Nine Months Ended September 30,
|
||||||||
2011
|
2010
|
|||||||
Interest and dividend income:
|
||||||||
Loans/leases, including fees
|
$ | 48,466,331 | $ | 51,324,123 | ||||
Securities:
|
||||||||
Taxable
|
8,035,495 | 7,771,242 | ||||||
Nontaxable
|
743,368 | 681,001 | ||||||
Interest-bearing deposits at financial institutions
|
311,807 | 347,105 | ||||||
Restricted investment securities
|
427,818 | 328,762 | ||||||
Federal funds sold
|
97,919 | 123,699 | ||||||
Total interest and dividend income
|
58,082,738 | 60,575,932 | ||||||
Interest expense:
|
||||||||
Deposits
|
6,948,265 | 9,940,844 | ||||||
Short-term borrowings
|
248,079 | 450,539 | ||||||
Federal Home Loan Bank advances
|
6,053,134 | 6,903,991 | ||||||
Other borrowings
|
3,870,062 | 4,307,558 | ||||||
Junior subordinated debentures
|
974,637 | 1,457,765 | ||||||
Total interest expense
|
18,094,177 | 23,060,697 | ||||||
Net interest income
|
39,988,561 | 37,515,235 | ||||||
Provision for loan/lease losses
|
5,196,850 | 4,413,650 | ||||||
Net interest income after provision for loan/lease losses
|
34,791,711 | 33,101,585 | ||||||
Noninterest income:
|
||||||||
Trust department fees
|
2,607,668 | 2,438,473 | ||||||
Investment advisory and management fees, gross
|
1,630,976 | 1,325,910 | ||||||
Deposit service fees
|
2,623,018 | 2,585,873 | ||||||
Gains on sales of loans, net
|
1,923,185 | 1,831,856 | ||||||
Securities gains
|
1,472,528 | - | ||||||
Losses on sales of other real estate owned, net
|
(90,492 | ) | (632,806 | ) | ||||
Earnings on bank-owned life insurance
|
1,032,493 | 973,659 | ||||||
Credit card issuing fees, net of processing costs
|
397,132 | 231,439 | ||||||
Other
|
1,969,304 | 1,973,589 | ||||||
Total noninterest income
|
13,565,812 | 10,727,993 | ||||||
Noninterest expense:
|
||||||||
Salaries and employee benefits
|
22,480,731 | 20,869,335 | ||||||
Occupancy and equipment expense
|
4,017,506 | 4,147,101 | ||||||
Professional and data processing fees
|
3,338,935 | 3,379,080 | ||||||
FDIC and other insurance
|
2,149,093 | 2,575,000 | ||||||
Loan/lease expense
|
1,772,290 | 1,658,647 | ||||||
Advertising and marketing
|
836,459 | 701,603 | ||||||
Postage and telephone
|
703,803 | 750,611 | ||||||
Stationery and supplies
|
380,754 | 379,347 | ||||||
Bank service charges
|
525,007 | 284,134 | ||||||
Prepayment fees on Federal Home Loan Bank advances
|
832,099 | - | ||||||
Losses on lease residual values
|
- | 617,000 | ||||||
Other-than-temporary impairment losses on securities
|
118,847 | 113,800 | ||||||
Other
|
1,185,443 | 1,314,615 | ||||||
Total noninterest expense
|
38,340,967 | 36,790,273 | ||||||
Net income before income taxes
|
10,016,556 | 7,039,305 | ||||||
Federal and state income tax expense
|
2,745,257 | 1,900,663 | ||||||
Net income
|
$ | 7,271,299 | $ | 5,138,642 | ||||
Less: Net income attributable to noncontrolling interests
|
308,215 | 95,046 | ||||||
Net income attributable to QCR Holdings, Inc.
|
6,963,084 | $ | 5,043,596 | |||||
Less: Preferred stock dividends
|
4,256,171 | 3,099,418 | ||||||
Net income attributable to QCR Holdings, Inc. common stockholders
|
2,706,913 | $ | 1,944,178 | |||||
Earnings per common share attributable to QCR Holdings, Inc. common shareholders
|
||||||||
Basic
|
$ | 0.56 | $ | 0.42 | ||||
Diluted
|
$ | 0.56 | $ | 0.42 | ||||
Weighted average common shares outstanding
|
4,795,382 | 4,587,883 | ||||||
Weighted average common and common equivalent shares outstanding
|
4,847,433 | 4,617,102 | ||||||
Cash dividends declared per common share
|
$ | 0.04 | $ | 0.04 |
QCR HOLDINGS, INC. AND SUBSIDIARIES
|
||||||||||||||||||||||||||||||||
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED)
|
||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2011 and 2010
|
||||||||||||||||||||||||||||||||
Preferred
|
Common
|
Additional
Paid-In
|
Retained
|
Accumulated
Other
|
Noncontrolling
|
Treasury
|
||||||||||||||||||||||||||
Stock
|
Stock
|
Capital
|
Earnings
|
Income (Loss)
|
Interests
|
Stock
|
Total
|
|||||||||||||||||||||||||
Balance December 31, 2010
|
$ | 63,237 | $ | 4,732,428 | $ | 86,478,269 | $ | 40,550,900 | $ | 704,165 | $ | 1,648,219 | $ | (1,606,510 | ) | $ | 132,570,708 | |||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 2,124,960 | - | 106,524 | - | 2,231,484 | ||||||||||||||||||||||||
Other comprehensive loss, net of tax
|
- | - | - | - | (1,345,554 | ) | - | - | (1,345,554 | ) | ||||||||||||||||||||||
Comprehensive income
|
885,930 | |||||||||||||||||||||||||||||||
Preferred cash dividends declared and accrued
|
- | - | - | (915,462 | ) | - | - | - | (915,462 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 116,909 | (116,909 | ) | - | - | - | - | |||||||||||||||||||||||
Proceeds from issuance of 9,081 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 9,081 | 49,249 | - | - | - | - | 58,330 | ||||||||||||||||||||||||
Proceeds from issuance of 24,300 shares of
common stock as a result of stock options exercised
|
- | 24,300 | 146,067 | - | - | - | - | 170,367 | ||||||||||||||||||||||||
Exchange of 2,171 shares of common stock in
connection with stock options exercised
|
- | (2,171 | ) | (14,070 | ) | - | - | - | - | (16,241 | ) | |||||||||||||||||||||
Stock compensation expense
|
- | - | 206,569 | 206,569 | ||||||||||||||||||||||||||||
Restricted stock awards
|
- | 69,924 | (69,924 | ) | - | - | - | - | - | |||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | (2,065 | ) | - | (2,065 | ) | ||||||||||||||||||||||
Balance March 31, 2011
|
$ | 63,237 | $ | 4,833,562 | $ | 86,913,069 | $ | 41,643,489 | $ | (641,389 | ) | $ | 1,752,678 | $ | (1,606,510 | ) | $ | 132,958,136 | ||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 2,674,969 | - | 98,245 | - | 2,773,214 | ||||||||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 2,409,728 | - | - | 2,409,728 | ||||||||||||||||||||||||
Comprehensive income
|
5,182,942 | |||||||||||||||||||||||||||||||
Common cash dividends declared, $0.04 per share
|
- | - | - | (185,863 | ) | - | - | - | (185,863 | ) | ||||||||||||||||||||||
Preferred cash dividends declared and accrued
|
- | - | - | (915,462 | ) | - | - | - | (915,462 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 120,280 | (120,280 | ) | - | - | - | - | |||||||||||||||||||||||
Proceeds from issuance of 11,355 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 11,355 | 61,582 | - | - | - | - | 72,937 | ||||||||||||||||||||||||
Proceeds from issuance of 10,967 shares of
common stock as a result of stock options exercised
|
- | 10,967 | 65,205 | - | - | - | - | 76,172 | ||||||||||||||||||||||||
Exchange of 379 shares of common stock in
connection with stock options exercised
|
- | (379 | ) | (3,033 | ) | - | - | - | - | (3,412 | ) | |||||||||||||||||||||
Stock compensation expense
|
- | - | 141,370 | 141,370 | ||||||||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | (2,066 | ) | - | (2,066 | ) | ||||||||||||||||||||||
Balance June 30, 2011
|
$ | 63,237 | $ | 4,855,505 | $ | 87,298,473 | $ | 43,096,853 | $ | 1,768,339 | $ | 1,848,857 | $ | (1,606,510 | ) | $ | 137,324,754 | |||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 2,163,155 | - | 103,446 | - | 2,266,601 | ||||||||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 2,404,295 | - | - | 2,404,295 | ||||||||||||||||||||||||
Comprehensive income
|
4,670,896 | |||||||||||||||||||||||||||||||
Preferred cash dividends declared
|
- | - | - | (835,802 | ) | - | - | - | (835,802 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 1,352,256 | (1,352,256 | ) | - | - | - | - | |||||||||||||||||||||||
Proceeds from the issuance of 40,090 shares of Series F
Non-Cumulative Perpetual Preferred Stock
|
40,090 | - | 40,034,251 | - | - | - | - | 40,074,341 | ||||||||||||||||||||||||
Redemption of 38,237 shares of Series D Cumulative
Perpetual Preferred Stock
|
(38,237 | ) | - | (38,198,763 | ) | - | - | - | - | (38,237,000 | ) | |||||||||||||||||||||
Proceeds from issuance of 7,975 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 7,975 | 43,251 | - | - | - | - | 51,226 | ||||||||||||||||||||||||
Stock compensation expense
|
- | - | 149,160 | 149,160 | ||||||||||||||||||||||||||||
Restricted stock awards
|
- | 5,000 | (5,000 | ) | - | |||||||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | (28,702 | ) | - | (28,702 | ) | ||||||||||||||||||||||
Balance September 30, 2011
|
$ | 65,090 | $ | 4,868,480 | $ | 90,673,628 | $ | 43,071,950 | $ | 4,172,634 | $ | 1,923,601 | $ | (1,606,510 | ) | $ | 143,168,873 |
QCR HOLDINGS, INC. AND SUBSIDIARIES
|
||||||||||||||||||||||||||||||||
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) (continued)
|
||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2011 and 2010
|
||||||||||||||||||||||||||||||||
Additional
|
Accumulated
Other
|
|||||||||||||||||||||||||||||||
Preferred
|
Common
|
Paid-In
|
Retained
|
Comprehensive
|
Noncontrolling
|
Treasury
|
||||||||||||||||||||||||||
Stock
|
Stock
|
Capital
|
Earnings
|
Income
|
Interests
|
Stock
|
Total
|
|||||||||||||||||||||||||
Balance December 31, 2009
|
$ | 38,805 | $ | 4,674,536 | $ | 82,194,330 | $ | 38,458,477 | $ | 135,608 | $ | 1,699,630 | $ | (1,606,510 | ) | $ | 125,594,876 | |||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 1,292,009 | - | (77,076 | ) | - | 1,214,933 | |||||||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 1,663,236 | - | - | 1,663,236 | ||||||||||||||||||||||||
Comprehensive income
|
2,878,169 | |||||||||||||||||||||||||||||||
Preferred cash dividends declared and accrued
|
- | - | - | (924,088 | ) | - | - | - | (924,088 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 109,331 | (109,331 | ) | - | - | - | - | |||||||||||||||||||||||
Proceeds from issuance of warrants to purchase 54,000 shares
of common stock in conjunction with the issuance of
Series A Subordinated Notes
|
- | - | 84,240 | - | - | - | - | 84,240 | ||||||||||||||||||||||||
Proceeds from issuance of 6,270 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 6,270 | 40,849 | - | - | - | - | 47,119 | ||||||||||||||||||||||||
Exchange of 367 shares
of common stock in connection with payroll taxes for restricted stock
|
- | (367 | ) | (2,730 | ) | - | - | - | - | (3,097 | ) | |||||||||||||||||||||
Stock compensation expense
|
- | - | 181,489 | 181,489 | ||||||||||||||||||||||||||||
Restricted stock awards
|
- | 23,598 | (23,598 | ) | - | - | - | - | - | |||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | (2,065 | ) | - | (2,065 | ) | ||||||||||||||||||||||
Balance March 31, 2010
|
$ | 38,805 | $ | 4,704,037 | $ | 82,583,911 | $ | 38,717,067 | $ | 1,798,844 | $ | 1,620,489 | $ | (1,606,510 | ) | $ | 127,856,643 | |||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 1,737,501 | - | 62,336 | - | 1,799,837 | ||||||||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 2,043,708 | - | - | 2,043,708 | ||||||||||||||||||||||||
Comprehensive income
|
3,843,545 | |||||||||||||||||||||||||||||||
Common cash dividends declared, $0.04 per share
|
- | - | - | (182,730 | ) | - | - | - | (182,730 | ) | ||||||||||||||||||||||
Preferred cash dividends declared and accrued
|
- | - | - | (924,088 | ) | - | - | - | (924,088 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 113,225 | (113,225 | ) | - | - | - | - | |||||||||||||||||||||||
Exchange of 268 shares of Series B Non-Cumulative Perpetual
Preferred Stock for 13,400 shares of Series E Non-Cumulative
Perpetual Convertible Preferred Stock
|
13,132 | - | (13,132 | ) | - | - | - | - | - | |||||||||||||||||||||||
Exchange of 300 shares of Series C Non-Cumulative Perpetual
Preferred Stock for 7,500 shares of Series E Non-Cumulative
Perpetual Convertible Preferred Stock
|
7,200 | - | (7,200 | ) | - | - | - | - | - | |||||||||||||||||||||||
Proceeds from issuance of 4,100 shares of Series E Non-Cumulative
Perpetual Convertible Preferred Stock
|
4,100 | - | 3,199,333 | - | - | - | - | 3,203,433 | ||||||||||||||||||||||||
Proceeds from issuance of 9,629 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 9,629 | 62,733 | - | - | - | - | 72,362 | ||||||||||||||||||||||||
Proceeds from the issuance of 1,504 shares of common stock in connection with options exercised
|
- | 1,504 | 11,715 | - | - | - | - | 13,219 | ||||||||||||||||||||||||
Stock compensation expense
|
- | - | 112,693 | - | - | - | - | 112,693 | ||||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | 4,706 | - | 4,706 | ||||||||||||||||||||||||
Balance June 30, 2010
|
$ | 63,237 | $ | 4,715,170 | $ | 86,063,278 | $ | 39,234,525 | $ | 3,842,552 | $ | 1,687,531 | $ | (1,606,510 | ) | $ | 133,999,783 | |||||||||||||||
Comprehensive in
come:
|
||||||||||||||||||||||||||||||||
Net income
|
- | - | - | 2,014,086 | - | 109,786 | - | 2,123,872 | ||||||||||||||||||||||||
Other comprehensive income, net of tax
|
- | - | - | - | 160,545 | - | - | 160,545 | ||||||||||||||||||||||||
Comprehensive income
|
2,284,417 | |||||||||||||||||||||||||||||||
Preferred cash dividends declared and accrued
|
- | - | - | (915,462 | ) | - | - | - | (915,462 | ) | ||||||||||||||||||||||
Discount accretion on cumulative preferred stock
|
- | - | 113,224 | (113,224 | ) | - | - | - | - | |||||||||||||||||||||||
Proceeds from issuance of 6,420 shares of
common stock as a result of stock purchased
under the Employee Stock Purchase Plan
|
- | 6,420 | 41,827 | - | - | - | - | 48,247 | ||||||||||||||||||||||||
Proceeds from the issuance of 750 shares of common stock in
connection with options exercised
|
- | 750 | 4,907 | - | - | - | - | 5,657 | ||||||||||||||||||||||||
Additional issuance cost related to the Series E Non-Cumulative
Perpetual Convertible Preferred Stock
|
- | - | (16,200 | ) | - | - | - | - | (16,200 | ) | ||||||||||||||||||||||
Stock compensation expense
|
- | - | 118,448 | 118,448 | ||||||||||||||||||||||||||||
Other adjustments to noncontrolling interests
|
- | - | - | - | - | (2,066 | ) | - | (2,066 | ) | ||||||||||||||||||||||
Balance September 30, 2010
|
$ | 63,237 | $ | 4,722,340 | $ | 86,325,484 | $ | 40,219,925 | $ | 4,003,097 | $ | 1,795,251 | $ | (1,606,510 | ) | $ | 135,522,824 |
QCR HOLDINGS, INC. AND SUBSIDIARIES
|
||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
|
||||||||
Nine Months Ended September 30, | ||||||||
|
||||||||
2011
|
2010
|
|||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
||||||||
Net income
|
$ | 7,271,299 | $ | 5,138,642 | ||||
Adjustments to reconcile net income to net cash
provided by operating activities:
|
||||||||
Depreciation
|
1,866,403 | 1,926,876 | ||||||
Provision for loan/lease losses
|
5,196,850 | 4,413,650 | ||||||
Amortization of offering costs on subordinated debentures
|
10,738 | 10,738 | ||||||
Stock-based compensation expense
|
547,087 | 467,768 | ||||||
Losses on sales of other real estate owned, net
|
90,492 | 632,806 | ||||||
Amortization of premiums on securities, net
|
2,541,408 | 2,555,204 | ||||||
Securities gains
|
(1,472,528 | ) | - | |||||
Other-than-temporary impairment losses on securities
|
118,847 | 113,800 | ||||||
Loans originated for sale
|
(65,240,469 | ) | (103,689,462 | ) | ||||
Proceeds on sales of loans
|
75,960,589 | 95,662,334 | ||||||
Gains on sales of loans, net
|
(1,923,185 | ) | (1,831,856 | ) | ||||
Prepayment fees on Federal Home Loan Bank advances
|
832,099 | - | ||||||
Losses on lease residual values
|
- | 617,000 | ||||||
(Decrease) increase in accrued interest receivable
|
(376,868 | ) | 447,886 | |||||
Decrease in prepaid FDIC insurance
|
1,362,876 | 1,788,261 | ||||||
Increase in cash value of bank-owned life insurance
|
(1,032,493 | ) | (973,659 | ) | ||||
Increase in other assets
|
(278,687 | ) | (651,803 | ) | ||||
Increase in other liabilities
|
955,174 | 1,504,602 | ||||||
Net cash provided by operating activities
|
$ | 26,429,632 | $ | 8,132,787 | ||||
CASH FLOWS FROM INVESTING ACTIVITIES
|
||||||||
Net decrease (increase) in federal funds sold
|
56,170,000 | (15,356,667 | ) | |||||
Net decrease (increase) in interest-bearing deposits at financial institutions
|
15,080,252 | (7,152,522 | ) | |||||
Proceeds from sales of foreclosed assets
|
8,376,898 | 1,759,607 | ||||||
Activity in securities portfolio:
|
||||||||
Purchases
|
(458,081,700 | ) | (294,445,750 | ) | ||||
Calls, maturities and redemptions
|
302,145,002 | 243,389,938 | ||||||
Paydowns
|
4,977,152 | 400,605 | ||||||
Sales
|
54,326,191 | - | ||||||
Activity in restricted investment securities:
|
||||||||
Purchases
|
(245,000 | ) | (1,704,350 | ) | ||||
Redemptions
|
1,675,700 | 204,800 | ||||||
Activity in bank-owned life insurance:
|
||||||||
Purchases
|
(7,000,000 | ) | (3,150,000 | ) | ||||
Surrender of policy
|
- | 609,772 | ||||||
Net (increase) decrease in loans/leases originated and held for investment
|
(48,043,333 | ) | 51,105,615 | |||||
Purchase of premises and equipment
|
(1,693,870 | ) | (2,025,145 | ) | ||||
Net cash used in investing activities
|
$ | (72,312,708 | ) | $ | (26,364,097 | ) | ||
CASH FLOWS FROM FINANCING ACTIVITIES
|
||||||||
Net increase (decrease) in deposit accounts
|
92,653,389 | (2,589,804 | ) | |||||
Net increase (decrease) in short-term borrowings
|
2,431,992 | (14,481,044 | ) | |||||
Activity in Federal Home Loan Bank advances:
|
||||||||
Advances
|
5,000,000 | 36,000,000 | ||||||
Calls and maturities
|
(24,000,000 | ) | (13,100,000 | ) | ||||
Prepayments
|
(15,832,099 | ) | - | |||||
Net (decrease) increase in other borrowings
|
(9,941,030 | ) | 7,536,866 | |||||
Proceeds from issuance of Series A Subordinated Notes and detachable warrants
to purchase 54,000 shares of common stock
|
- | 2,700,000 | ||||||
Payment of cash dividends on common and preferred stock
|
(3,274,991 | ) | (3,136,626 | ) | ||||
Proceeds from issuance of Series E Noncumulative Convertible
|
- | 3,187,233 | ||||||
Perpetual Preferred Stock, net
|
||||||||
Proceeds from issuance of Series F Noncumulative Perpetual Preferred Stock
|
40,074,341 | - | ||||||
Redemption of Series D Cumulative Perpetual Preferred Stock
|
(38,237,000 | ) | - | |||||
Proceeds from issuance of common stock, net
|
409,379 | 183,507 | ||||||
Net cash provided by financing activities
|
$ | 49,283,981 | $ | 16,300,132 | ||||
Net increase (decrease) in cash and due from banks
|
3,400,905 | (1,931,178 | ) | |||||
Cash and due from banks, beginning
|
42,030,806 | 35,878,046 | ||||||
Cash and due from banks, ending
|
$ | 45,431,711 | $ | 33,946,868 | ||||
Supplemental disclosure of cash flow information, cash payments for:
|
||||||||
Interest
|
$ | 18,521,222 | $ | 23,362,893 | ||||
Income/franchise taxes
|
$ | 1,196,948 | $ | 1,497,611 | ||||
Supplemental schedule of noncash investing activities:
|
||||||||
Change in accumulated other comprehensive income,
unrealized gains on securities available for sale, net
|
$ | 3,468,469 | $ | 3,867,489 | ||||
Transfers of loans to other real estate owned
|
$ | 8,220,271 | $ | 5,442,568 |
Gross
|
Gross
|
|||||||||||||||
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
|||||||||||||
Cost
|
Gains
|
(Losses)
|
Value
|
|||||||||||||
September 30, 2011:
|
||||||||||||||||
Securities held to maturity,
other bonds
|
$ | 200,000 | $ | - | $ | - | $ | 200,000 | ||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 412,874,368 | $ | 2,280,889 | $ | (371,420 | ) | $ | 414,783,837 | |||||||
Residential mortgage-backed securities
|
80,069,540 | 3,382,915 | - | 83,452,455 | ||||||||||||
Municipal securities
|
24,580,364 | 1,410,952 | - | 25,991,316 | ||||||||||||
Trust preferred securities
|
86,200 | - | (14,400 | ) | 71,800 | |||||||||||
Other securities
|
1,346,972 | 106,442 | (41,036 | ) | 1,412,378 | |||||||||||
$ | 518,957,444 | $ | 7,181,198 | $ | (426,856 | ) | $ | 525,711,786 | ||||||||
December 31, 2010:
|
||||||||||||||||
Securities held to maturity,
other bonds
|
$ | 300,000 | $ | - | $ | - | $ | 300,000 | ||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 401,711,432 | $ | 3,218,843 | $ | (2,704,919 | ) | $ | 402,225,356 | |||||||
Residential mortgage-backed securities
|
64,912 | 5,526 | - | 70,438 | ||||||||||||
Municipal securities
|
20,134,611 | 579,215 | (110,346 | ) | 20,603,480 | |||||||||||
Trust preferred securities
|
86,200 | - | (8,200 | ) | 78,000 | |||||||||||
Other securities
|
1,414,661 | 168,331 | (13,499 | ) | 1,569,493 | |||||||||||
$ | 423,411,816 | $ | 3,971,915 | $ | (2,836,964 | ) | $ | 424,546,767 |
Less than 12 Months
|
12 Months or More
|
Total
|
||||||||||||||||||||||
Gross
|
Gross
|
Gross
|
||||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
|||||||||||||||||||
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
|||||||||||||||||||
September 30, 2011:
|
||||||||||||||||||||||||
Securities available for sale:
|
||||||||||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 102,397,415 | $ | (371,420 | ) | $ | - | $ | - | $ | 102,397,415 | $ | (371,420 | ) | ||||||||||
Trust preferred securities
|
71,800 | (14,400 | ) | - | - | 71,800 | (14,400 | ) | ||||||||||||||||
Other securities
|
301,176 | (40,510 | ) | 2,725 | (526 | ) | 303,901 | (41,036 | ) | |||||||||||||||
$ | 102,770,391 | $ | (426,330 | ) | $ | 2,725 | $ | (526 | ) | $ | 102,773,116 | $ | (426,856 | ) | ||||||||||
December 31, 2010:
|
||||||||||||||||||||||||
Securities available for sale:
|
||||||||||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 159,302,061 | $ | (2,704,919 | ) | $ | - | $ | - | $ | 159,302,061 | $ | (2,704,919 | ) | ||||||||||
Municipal securities
|
4,333,786 | (47,884 | ) | 678,378 | (62,462 | ) | 5,012,164 | (110,346 | ) | |||||||||||||||
Trust preferred securities
|
86,200 | (8,200 | ) | - | - | 86,200 | (8,200 | ) | ||||||||||||||||
Other securities
|
226,250 | (12,671 | ) | 2,872 | (828 | ) | 229,122 | (13,499 | ) | |||||||||||||||
$ | 163,948,297 | $ | (2,773,674 | ) | $ | 681,250 | $ | (63,290 | ) | $ | 164,629,547 | $ | (2,836,964 | ) |
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30, 2011
|
September 30, 2010
|
September 30, 2011
|
September 30, 2010
|
|||||||||||||
Proceeds from sales of securities
|
$ | 8,601,107 | $ | - | $ | 54,326,191 | $ | - | ||||||||
Pre-tax gross gains from sales of securities
|
443,614 | - | 1,472,528 | - | ||||||||||||
Amortized
|
||||||||
Cost
|
Fair Value
|
|||||||
Securities held to maturity:
|
||||||||
Due in one year or less
|
$ | 50,000 | $ | 50,000 | ||||
Due after one year through five years
|
100,000 | 100,000 | ||||||
Due after five years
|
50,000 | 50,000 | ||||||
$ | 200,000 | $ | 200,000 | |||||
Securities available for sale:
|
||||||||
Due in one year or less
|
$ | 2,803,210 | $ | 2,811,980 | ||||
Due after one year through five years
|
68,117,087 | 68,470,834 | ||||||
Due after five years
|
366,620,635 | 369,564,139 | ||||||
$ | 437,540,932 | $ | 440,846,953 | |||||
Residential mortgage-backed securities
|
80,069,540 | 83,452,455 | ||||||
Other securities
|
1,346,972 | 1,412,378 | ||||||
$ | 518,957,444 | $ | 525,711,786 | |||||
As of September 30,
|
As of December 31,
|
|||||||
2011
|
2010
|
|||||||
Commercial and industrial loans
|
$ | 363,997,365 | $ | 365,625,271 | ||||
Commercial real estate loans
|
||||||||
Owner-occupied commercial real estate
|
160,485,944 | 141,411,027 | ||||||
Commercial construction, land development, and other land
|
63,582,594 | 65,529,058 | ||||||
Other non owner-occupied commercial real estate
|
344,418,820 | 346,777,179 | ||||||
568,487,358 | 553,717,264 | |||||||
Direct financing leases *
|
88,893,130 | 83,009,647 | ||||||
Residential real estate loans **
|
94,073,045 | 82,196,622 | ||||||
Installment and other consumer loans
|
79,892,870 | 86,239,944 | ||||||
1,195,343,768 | 1,170,788,748 | |||||||
Plus deferred loan/lease orgination costs, net of fees
|
2,237,942 | 1,749,855 | ||||||
1,197,581,710 | 1,172,538,603 | |||||||
Less allowance for estimated losses on loans/leases
|
(19,578,486 | ) | (20,364,656 | ) | ||||
$ | 1,178,003,224 | $ | 1,152,173,947 | |||||
* Direct financing leases:
|
||||||||
Net minimum lease payments to be received
|
$ | 101,466,699 | $ | 94,921,417 | ||||
Estimated unguaranteed residual values of leased assets
|
1,108,701 | 1,204,865 | ||||||
Unearned lease/residual income
|
(13,682,270 | ) | (13,116,635 | ) | ||||
88,893,130 | 83,009,647 | |||||||
Plus deferred lease origination costs, net of fees
|
2,800,256 | 2,341,628 | ||||||
91,693,386 | 85,351,275 | |||||||
Less allowance for estimated losses on leases
|
(1,051,960 | ) | (1,530,572 | ) | ||||
$ | 90,641,426 | $ | 83,820,703 |
Classes of Loans/Leases
|
Current
|
30-59 Days Past Due
|
60-89 Days Past Due
|
Accruing Past Due 90 Days or More
|
Nonaccrual Loans/Leases
|
Total
|
||||||||||||||||||
Commercial and Industrial
|
$ | 357,960,272 | $ | 384,752 | $ | 101,500 | $ | - | $ | 5,550,841 | $ | 363,997,365 | ||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
157,028,882 | 860,990 | - | - | 2,596,072 | 160,485,944 | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
53,798,001 | - | 1,039,528 | - | 8,745,065 | 63,582,594 | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
323,363,602 | 5,763,492 | 5,824,332 | 321,605 | 9,145,789 | 344,418,820 | ||||||||||||||||||
Direct Financing Leases
|
86,897,793 | 1,158,023 | 120,825 | - | 716,489 | 88,893,130 | ||||||||||||||||||
Residential Real Estate
|
92,747,679 | - | 131,302 | - | 1,194,064 | 94,073,045 | ||||||||||||||||||
Installment and Other Consumer
|
78,113,490 | 289,418 | 420,426 | 11,886 | 1,057,650 | 79,892,870 | ||||||||||||||||||
$ | 1,149,909,719 | $ | 8,456,675 | $ | 7,637,913 | $ | 333,491 | $ | 29,005,970 | $ | 1,195,343,768 | |||||||||||||
As a percentage of total loan/lease portfolio
|
96.20 | % | 0.71 | % | 0.64 | % | 0.03 | % | 2.43 | % | 100.00 | % |
Classes of Loans/Leases
|
Current
|
30-59 Days Past Due
|
60-89 Days Past Due
|
Accruing Past Due 90 Days or More
|
Nonaccrual Loans/Leases
|
Total
|
||||||||||||||||||
Commercial and Industrial
|
$ | 353,437,063 | $ | 300,224 | $ | 203,722 | $ | - | $ | 11,684,262 | $ | 365,625,271 | ||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
139,880,634 | 236,910 | - | 103,015 | 1,190,468 | 141,411,027 | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
55,552,352 | 746,545 | - | - | 9,230,161 | 65,529,058 | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
335,171,858 | 275,000 | 546,019 | 70,125 | 10,714,177 | 346,777,179 | ||||||||||||||||||
Direct Financing Leases
|
79,708,979 | 1,605,836 | 92,244 | - | 1,602,588 | 83,009,647 | ||||||||||||||||||
Residential Real Estate
|
79,910,279 | 876,509 | - | 123,557 | 1,286,277 | 82,196,622 | ||||||||||||||||||
Installment and Other Consumer
|
84,214,010 | 101,770 | 182,349 | 23,139 | 1,718,676 | 86,239,944 | ||||||||||||||||||
$ | 1,127,875,175 | $ | 4,142,794 | $ | 1,024,334 | $ | 319,836 | $ | 37,426,609 | $ | 1,170,788,748 | |||||||||||||
As a percentage of total loan/lease portfolio
|
96.33 | % | 0.35 | % | 0.09 | % | 0.03 | % | 3.20 | % | 100.00 | % |
Classes of Loans/Leases
|
Accruing Past Due 90 Days or More
|
Nonaccrual Loans/Leases *
|
Troubled Debt Restructurings - Accruing
|
Total Nonperforming Loans/Leases
|
Percentage of Total Nonperforming Loans/Leases
|
|||||||||||||||
Commercial and Industrial
|
$ | - | $ | 5,550,841 | $ | - | $ | 5,550,841 | 17.34 | % | ||||||||||
Commercial Real Estate
|
||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
- | 2,596,072 | - | 2,596,072 | 8.11 | % | ||||||||||||||
Commercial Construction, Land Development, and Other Land
|
- | 8,745,065 | 1,114,956 | 9,860,021 | 30.80 | % | ||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
321,605 | 9,145,789 | 941,140 | 10,408,534 | 32.51 | % | ||||||||||||||
Direct Financing Leases
|
- | 716,489 | 619,114 | 1,335,603 | 4.17 | % | ||||||||||||||
Residential Real Estate
|
- | 1,194,064 | - | 1,194,064 | 3.73 | % | ||||||||||||||
Installment and Other Consumer
|
11,886 | 1,057,650 | - | 1,069,536 | 3.34 | % | ||||||||||||||
$ | 333,491 | $ | 29,005,970 | $ | 2,675,210 | $ | 32,014,671 | 100.00 | % |
Classes of Loans/Leases
|
Accruing Past Due 90 Days or More
|
Nonaccrual Loans/Leases **
|
Troubled Debt Restructurings - Accruing
|
Total Nonperforming Loans/Leases
|
Percentage of Total Nonperforming Loans/Leases
|
|||||||||||||||
Commercial and Industrial
|
$ | - | $ | 11,684,262 | $ | 180,228 | $ | 11,864,490 | 28.83 | % | ||||||||||
Commercial Real Estate
|
||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
103,015 | 1,190,468 | - | 1,293,483 | 3.14 | % | ||||||||||||||
Commercial Construction, Land Development, and Other Land
|
- | 9,230,161 | 961,879 | 10,192,040 | 24.77 | % | ||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
70,125 | 10,714,177 | 2,100,837 | 12,885,139 | 31.31 | % | ||||||||||||||
Direct Financing Leases
|
- | 1,602,588 | 162,502 | 1,765,090 | 4.29 | % | ||||||||||||||
Residential Real Estate
|
123,557 | 1,286,277 | - | 1,409,834 | 3.43 | % | ||||||||||||||
Installment and Other Consumer
|
23,139 | 1,718,676 | - | 1,741,815 | 4.23 | % | ||||||||||||||
$ | 319,836 | $ | 37,426,609 | $ | 3,405,446 | $ | 41,151,891 | 100.00 | % |
Three Months Ended September 30, 2011
|
||||||||||||||||||||||||
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Balance, beginning
|
$ | 7,124,444 | $ | 8,602,639 | $ | 1,591,309 | $ | 757,075 | $ | 1,727,165 | $ | 19,802,632 | ||||||||||||
Provisions charged to expense
|
(211,491 | ) | 2,645,457 | 159,965 | 92,032 | (228,998 | ) | 2,456,965 | ||||||||||||||||
Loans/leases charged off
|
(1,465,577 | ) | (852,174 | ) | (701,658 | ) | - | (84,358 | ) | (3,103,767 | ) | |||||||||||||
Recoveries on loans/leases previously charged off
|
174,013 | 212,683 | 2,344 | - | 33,616 | 422,656 | ||||||||||||||||||
Balance, ending
|
$ | 5,621,389 | $ | 10,608,605 | $ | 1,051,960 | $ | 849,107 | $ | 1,447,425 | $ | 19,578,486 | ||||||||||||
Three Months Ended September 30, 2010
|
||||||||||||||||||||||||
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Balance, beginning
|
$ | 5,875,508 | $ | 11,907,867 | $ | 1,707,762 | $ | 567,491 | $ | 1,502,335 | $ | 21,560,963 | ||||||||||||
Provisions charged to expense
|
839,037 | 205,290 | 210,232 | 109,850 | 69,823 | 1,434,232 | ||||||||||||||||||
Loans/leases charged off
|
(1,151,574 | ) | (1,631,524 | ) | (695,176 | ) | - | (100,919 | ) | (3,579,193 | ) | |||||||||||||
Recoveries on loans/leases previously charged off
|
13,995 | 278,594 | 156,288 | - | 17,947 | 466,824 | ||||||||||||||||||
Balance, ending
|
$ | 5,576,966 | $ | 10,760,227 | $ | 1,379,106 | $ | 677,341 | $ | 1,489,186 | $ | 19,882,826 | ||||||||||||
Nine Months Ended September 30, 2011
|
||||||||||||||||||||||||
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Balance, beginning
|
$ | 7,548,922 | $ | 9,087,315 | $ | 1,530,572 | $ | 748,028 | $ | 1,449,819 | $ | 20,364,656 | ||||||||||||
Provisions charged to expense
|
1,005,002 | 3,038,359 | 463,850 | 101,079 | 588,560 | 5,196,850 | ||||||||||||||||||
Loans/leases charged off
|
(3,256,194 | ) | (1,773,711 | ) | (945,104 | ) | - | (701,390 | ) | (6,676,399 | ) | |||||||||||||
Recoveries on loans/leases previously charged off
|
323,659 | 256,642 | 2,642 | - | 110,436 | 693,379 | ||||||||||||||||||
Balance, ending
|
$ | 5,621,389 | $ | 10,608,605 | $ | 1,051,960 | $ | 849,107 | $ | 1,447,425 | $ | 19,578,486 | ||||||||||||
Nine Months Ended September 30, 2010
|
||||||||||||||||||||||||
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Balance, beginning
|
$ | 5,425,624 | $ | 12,665,721 | $ | 1,681,376 | $ | 685,732 | $ | 2,046,281 | $ | 22,504,734 | ||||||||||||
Provisions charged to expense
|
3,033,353 | 721,158 | 468,651 | (8,391 | ) | 198,879 | 4,413,650 | |||||||||||||||||
Loans/leases charged off
|
(2,993,277 | ) | (3,030,503 | ) | (928,019 | ) | - | (891,008 | ) | (7,842,807 | ) | |||||||||||||
Recoveries on loans/leases previously charged off
|
111,266 | 403,851 | 157,098 | - | 135,034 | 807,249 | ||||||||||||||||||
Balance, ending
|
$ | 5,576,966 | $ | 10,760,227 | $ | 1,379,106 | $ | 677,341 | $ | 1,489,186 | $ | 19,882,826 |
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Allowance for loans/leases individually evaluated for impairment
|
$ | 945,475 | $ | 4,741,965 | $ | 8,000 | $ | 66,035 | $ | 108,724 | $ | 5,870,199 | ||||||||||||
Allowance for loans/leases collectively evaluated for impairment
|
4,675,914 | 5,866,640 | 1,043,960 | 783,072 | 1,338,701 | 13,708,287 | ||||||||||||||||||
$ | 5,621,389 | $ | 10,608,605 | $ | 1,051,960 | $ | 849,107 | $ | 1,447,425 | $ | 19,578,486 | |||||||||||||
Loans/leases individually evaluated for impairment
|
$ | 3,420,793 | $ | 22,539,729 | $ | 1,335,603 | $ | 1,194,063 | $ | 721,943 | $ | 29,212,131 | ||||||||||||
Loans/leases collectively evaluated for impairment
|
360,576,572 | 545,947,629 | 87,557,527 | 92,878,982 | 79,170,927 | 1,166,131,637 | ||||||||||||||||||
$ | 363,997,365 | $ | 568,487,358 | $ | 88,893,130 | $ | 94,073,045 | $ | 79,892,870 | $ | 1,195,343,768 | |||||||||||||
Allowance as a percentage of loans/leases individually evaluated for impairment
|
27.64 | % | 21.04 | % | 0.60 | % | 5.53 | % | 15.06 | % | 20.10 | % | ||||||||||||
Allowance as a percentage of loans/leases collectively evaluated for impairment
|
1.30 | % | 1.07 | % | 1.19 | % | 0.84 | % | 1.69 | % | 1.18 | % | ||||||||||||
1.54 | % | 1.87 | % | 1.18 | % | 0.90 | % | 1.81 | % | 1.63 | % |
Commercial and Industrial
|
Commercial Real Estate
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
|||||||||||||||||||
Allowance for loans/leases individually evaluated for impairment
|
$ | 3,331,437 | $ | 3,709,177 | $ | 335,000 | $ | 27,355 | $ | 49,777 | $ | 7,452,746 | ||||||||||||
Allowance for loans/leases collectively evaluated for impairment
|
4,217,485 | 5,378,138 | 1,195,572 | 720,673 | 1,400,042 | 12,911,910 | ||||||||||||||||||
$ | 7,548,922 | $ | 9,087,315 | $ | 1,530,572 | $ | 748,028 | $ | 1,449,819 | $ | 20,364,656 | |||||||||||||
Loans/leases individually evaluated for impairment
|
$ | 8,824,670 | $ | 24,770,032 | $ | 1,765,090 | $ | 1,286,277 | $ | 1,611,098 | $ | 38,257,167 | ||||||||||||
Loans/leases collectively evaluated for impairment
|
356,800,601 | 528,947,232 | 81,244,557 | 80,910,345 | 84,628,846 | 1,132,531,581 | ||||||||||||||||||
$ | 365,625,271 | $ | 553,717,264 | $ | 83,009,647 | $ | 82,196,622 | $ | 86,239,944 | $ | 1,170,788,748 | |||||||||||||
Allowance as a percentage of loans/leases individually evaluated for impairment
|
37.75 | % | 14.97 | % | 18.98 | % | 2.13 | % | 3.09 | % | 19.48 | % | ||||||||||||
Allowance as a percentage of loans/leases collectively evaluated for impairment
|
1.18 | % | 1.02 | % | 1.47 | % | 0.89 | % | 1.65 | % | 1.14 | % | ||||||||||||
2.06 | % | 1.64 | % | 1.84 | % | 0.91 | % | 1.68 | % | 1.74 | % |
Classes of Loans/Leases
|
Recorded Investment
|
Unpaid Principal Balance
|
Related Allowance
|
Average Recorded Investment
|
Interest Income Recognized
|
Interest Income Recognized for Cash Payments Received
|
||||||||||||||||||
Impaired Loans/Leases with No Specific Allowance Recorded: | ||||||||||||||||||||||||
Commercial and Industrial
|
$ | 771,177 | $ | 1,446,065 | $ | - | $ | 4,363,221 | $ | 15,961 | $ | 15,961 | ||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
1,572,641 | 1,625,409 | - | 2,009,518 | 54,314 | 54,314 | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
234,890 | 234,890 | - | 1,524,700 | - | - | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
1,730,764 | 1,730,764 | - | 3,665,415 | - | - | ||||||||||||||||||
Direct Financing Leases
|
1,231,385 | 1,231,385 | - | 529,106 | - | - | ||||||||||||||||||
Residential Real Estate
|
932,813 | 932,813 | - | 1,008,968 | - | - | ||||||||||||||||||
Installment and Other Consumer
|
613,219 | 613,219 | - | 835,483 | - | - | ||||||||||||||||||
$ | 7,086,889 | $ | 7,814,545 | $ | - | $ | 13,936,411 | $ | 70,275 | $ | 70,275 | |||||||||||||
Impaired Loans/Leases with Specific Allowance Recorded: | ||||||||||||||||||||||||
Commercial and Industrial
|
$ | 2,649,616 | $ | 2,649,616 | $ | 945,475 | $ | 1,515,521 | $ | - | $ | - | ||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
1,390,681 | 1,390,681 | 611,350 | 160,397 | - | - | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
9,625,131 | 9,663,955 | 3,356,291 | 4,927,747 | 473 | 473 | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
7,985,622 | 8,485,622 | 774,324 | 6,894,571 | - | - | ||||||||||||||||||
Direct Financing Leases
|
104,218 | 104,218 | 8,000 | 1,021,241 | - | - | ||||||||||||||||||
Residential Real Estate
|
261,250 | 295,928 | 66,035 | 168,233 | - | - | ||||||||||||||||||
Installment and Other Consumer
|
108,724 | 110,527 | 108,724 | 64,922 | - | - | ||||||||||||||||||
$ | 22,125,242 | $ | 22,700,547 | $ | 5,870,199 | $ | 14,752,632 | $ | 473 | $ | 473 | |||||||||||||
Total Impaired Loans/Leases:
|
||||||||||||||||||||||||
Commercial and Industrial
|
$ | 3,420,793 | $ | 4,095,681 | $ | 945,475 | $ | 5,878,742 | $ | 15,961 | $ | 15,961 | ||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
2,963,322 | 3,016,090 | 611,350 | 2,169,915 | 54,314 | 54,314 | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
9,860,021 | 9,898,845 | 3,356,291 | 6,452,447 | 473 | 473 | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
9,716,386 | 10,216,386 | 774,324 | 10,559,986 | - | - | ||||||||||||||||||
Direct Financing Leases
|
1,335,603 | 1,335,603 | 8,000 | 1,550,347 | - | - | ||||||||||||||||||
Residential Real Estate
|
1,194,063 | 1,228,741 | 66,035 | 1,177,201 | - | - | ||||||||||||||||||
Installment and Other Consumer
|
721,943 | 723,746 | 108,724 | 900,405 | - | - | ||||||||||||||||||
$ | 29,212,131 | $ | 30,515,092 | $ | 5,870,199 | $ | 28,689,043 | $ | 70,748 | $ | 70,748 |
Classes of Loans/Leases
|
Average Recorded Investment
|
Interest Income Recognized
|
Interest Income Recognized for Cash Payments Received
|
|||||||||
Impaired Loans/Leases with No Specific Allowance Recorded:
|
||||||||||||
Commercial and Industrial
|
$ | 2,236,289 | $ | - | $ | - | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
1,774,342 | 11,909 | 11,909 | |||||||||
Commercial Construction, Land Development, and Other Land
|
286,339 | - | - | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
1,730,764 | - | - | |||||||||
Direct Financing Leases
|
668,944 | - | - | |||||||||
Residential Real Estate
|
942,011 | - | - | |||||||||
Installment and Other Consumer
|
710,560 | - | - | |||||||||
$ | 8,349,249 | $ | 11,909 | $ | 11,909 | |||||||
Impaired Loans/Leases with Specific Allowance Recorded:
|
||||||||||||
Commercial and Industrial
|
$ | 1,534,968 | $ | - | $ | - | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
360,894 | - | - | |||||||||
Commercial Construction, Land Development, and Other Land
|
5,595,484 | 473 | 473 | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
7,488,032 | - | - | |||||||||
Direct Financing Leases
|
983,131 | - | - | |||||||||
Residential Real Estate
|
200,625 | - | - | |||||||||
Installment and Other Consumer
|
108,859 | - | - | |||||||||
$ | 16,271,993 | $ | 473 | $ | 473 | |||||||
Total Impaired Loans/Leases:
|
||||||||||||
Commercial and Industrial
|
$ | 3,771,257 | $ | - | $ | - | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
2,135,236 | 11,909 | 11,909 | |||||||||
Commercial Construction, Land Development, and Other Land
|
5,881,823 | 473 | 473 | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
9,218,796 | - | - | |||||||||
Direct Financing Leases
|
1,652,075 | - | - | |||||||||
Residential Real Estate
|
1,142,636 | - | - | |||||||||
Installment and Other Consumer
|
819,419 | - | - | |||||||||
$ | 24,621,242 | $ | 12,382 | $ | 12,382 | |||||||
Classes of Loans/Leases
|
Recorded Investment
|
Unpaid Principal Balance
|
Related Allowance
|
|||||||||
Impaired Loans/Leases with No Specific Allowance Recorded:
|
||||||||||||
Commercial and Industrial
|
$ | 1,459,790 | $ | 3,350,036 | $ | - | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
681,727 | 681,727 | - | |||||||||
Commercial Construction, Land Development, and Other Land
|
2,538,621 | 2,872,083 | - | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
2,942,189 | 3,792,226 | - | |||||||||
Direct Financing Leases
|
953,994 | 953,994 | - | |||||||||
Residential Real Estate
|
758,031 | 758,031 | - | |||||||||
Installment and Other Consumer
|
1,561,322 | 1,561,322 | - | |||||||||
$ | 10,895,674 | $ | 13,969,419 | $ | - | |||||||
Impaired Loans/Leases with Specific Allowance Recorded:
|
||||||||||||
Commercial and Industrial
|
$ | 7,364,880 | $ | 7,866,634 | $ | 3,331,436 | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
1,074,210 | 1,074,210 | 232,194 | |||||||||
Commercial Construction, Land Development, and Other Land
|
7,660,458 | 7,660,458 | 1,818,193 | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
9,872,826 | 10,091,777 | 1,658,791 | |||||||||
Direct Financing Leases
|
811,096 | 811,096 | 335,000 | |||||||||
Residential Real Estate
|
528,246 | 528,246 | 27,355 | |||||||||
Installment and Other Consumer
|
49,777 | 49,777 | 49,777 | |||||||||
$ | 27,361,493 | $ | 28,082,198 | $ | 7,452,746 | |||||||
Total Impaired Loans/Leases:
|
||||||||||||
Commercial and Industrial
|
$ | 8,824,670 | $ | 11,216,670 | $ | 3,331,436 | ||||||
Commercial Real Estate
|
||||||||||||
Owner-Occupied Commercial Real Estate
|
1,755,937 | 1,755,937 | 232,194 | |||||||||
Commercial Construction, Land Development, and Other Land
|
10,199,079 | 10,532,541 | 1,818,193 | |||||||||
Other Non Owner-Occupied Commercial Real Estate
|
12,815,015 | 13,884,003 | 1,658,791 | |||||||||
Direct Financing Leases
|
1,765,090 | 1,765,090 | 335,000 | |||||||||
Residential Real Estate
|
1,286,277 | 1,286,277 | 27,355 | |||||||||
Installment and Other Consumer
|
1,611,099 | 1,611,099 | 49,777 | |||||||||
$ | 38,257,167 | $ | 42,051,617 | $ | 7,452,746 |
Commercial Real Estate
|
||||||||||||||||||||
Non Owner-Occupied
|
||||||||||||||||||||
Internally Assigned Risk Rating
|
Commercial and Industrial
|
Owner-Occupied Commercial Real Estate
|
Commercial Construction, Land Development, and Other Land
|
Other Commercial Real Estate
|
Total
|
|||||||||||||||
Pass (Ratings 1 through 5)
|
$ | 326,845,312 | $ | 146,744,108 | $ | 50,025,363 | $ | 303,472,012 | $ | 827,086,795 | ||||||||||
Special Mention (Rating 6)
|
9,211,829 | 2,704,551 | 505,706 | 19,546,611 | 31,968,697 | |||||||||||||||
Substandard (Rating 7)
|
27,940,224 | 11,037,285 | 13,051,525 | 21,400,197 | 73,429,231 | |||||||||||||||
Doubtful (Rating 8)
|
- | - | - | - | - | |||||||||||||||
$ | 363,997,365 | $ | 160,485,944 | $ | 63,582,594 | $ | 344,418,820 | $ | 932,484,723 | |||||||||||
As of September 30, 2011
|
||||||||||||||||||||
Delinquency Status *
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
||||||||||||||||
Performing
|
$ | 87,557,527 | $ | 92,878,981 | $ | 78,823,334 | $ | 259,259,842 | ||||||||||||
Nonperforming
|
1,335,603 | 1,194,064 | 1,069,536 | 3,599,203 | ||||||||||||||||
$ | 88,893,130 | $ | 94,073,045 | $ | 79,892,870 | $ | 262,859,045 |
Commercial Real Estate
|
||||||||||||||||||||
Non Owner-Occupied
|
||||||||||||||||||||
Internally Assigned Risk Rating
|
Commercial and Industrial
|
Owner-Occupied Commercial Real Estate
|
Commercial Construction, Land Development, and Other Land
|
Other Commercial Real Estate
|
Total
|
|||||||||||||||
Pass (Ratings 1 through 5)
|
$ | 327,875,886 | $ | 120,271,507 | $ | 43,881,561 | $ | 308,631,488 | $ | 800,660,442 | ||||||||||
Special Mention (Rating 6)
|
10,457,805 | 7,510,519 | 10,338,187 | 15,244,142 | 43,550,653 | |||||||||||||||
Substandard (Rating 7)
|
27,270,474 | 13,629,001 | 11,309,310 | 22,901,549 | 75,110,334 | |||||||||||||||
Doubtful (Rating 8)
|
21,106 | - | - | - | 21,106 | |||||||||||||||
$ | 365,625,271 | $ | 141,411,027 | $ | 65,529,058 | $ | 346,777,179 | $ | 919,342,535 | |||||||||||
As of December 31, 2010
|
||||||||||||||||||||
Delinquency Status *
|
Direct Financing Leases
|
Residential Real Estate
|
Installment and Other Consumer
|
Total
|
||||||||||||||||
Performing
|
$ | 81,244,557 | $ | 80,786,788 | $ | 84,498,129 | $ | 246,529,474 | ||||||||||||
Nonperforming
|
1,765,090 | 1,409,834 | 1,741,815 | 4,916,739 | ||||||||||||||||
$ | 83,009,647 | $ | 82,196,622 | $ | 86,239,944 | $ | 251,446,213 |
For the three months ended September 30, 2011
|
For the nine months ended September 30, 2011
|
|||||||||||||||||||||||
Classes of Loans/Leases
|
Number of TDRs
|
Pre-Modification Recorded Investment
|
Post-Modification Recorded Investment
|
Number of TDRs
|
Pre-Modification Recorded Investment
|
Post-Modification Recorded Investment
|
||||||||||||||||||
CONCESSION - Extension of maturity
|
||||||||||||||||||||||||
Commercial and Industrial
|
- | $ | - | $ | - | - | $ | - | $ | - | ||||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
- | - | - | - | - | - | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
- | - | - | - | - | - | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
- | - | - | 1 | 2,500,530 | 2,500,530 | ||||||||||||||||||
Direct Financing Leases
|
- | - | - | - | - | - | ||||||||||||||||||
Residential Real Estate
|
- | - | - | - | - | - | ||||||||||||||||||
Installment and Other Consumer
|
- | - | - | - | - | - | ||||||||||||||||||
- | $ | - | $ | - | 1 | $ | 2,500,530 | $ | 2,500,530 | |||||||||||||||
CONCESSION - Significant payment delay
|
||||||||||||||||||||||||
Commercial and Industrial
|
- | $ | - | $ | - | - | $ | - | $ | - | ||||||||||||||
Commercial Real Estate
|
||||||||||||||||||||||||
Owner-Occupied Commercial Real Estate
|
- | - | - | - | - | - | ||||||||||||||||||
Commercial Construction, Land Development, and Other Land
|
- | - | - | - | - | - | ||||||||||||||||||
Other Non Owner-Occupied Commercial Real Estate
|
- | - | - | - | - | - | ||||||||||||||||||
Direct Financing Leases
|
- | - | - | 2 | 619,114 | 619,114 | ||||||||||||||||||
Residential Real Estate
|
- | - | - | - | - | - | ||||||||||||||||||
Installment and Other Consumer
|
- | - | - | - | - | - | ||||||||||||||||||
- | $ | - | $ | - | 2 | $ | 619,114 | $ | 619,114 |
September 30, 2011
|
||||||||||||||||
Weighted
|
Weighted
|
|||||||||||||||
Average
|
Amount Due
|
Average
|
||||||||||||||
Interest Rate
|
with
|
Interest Rate
|
||||||||||||||
Amount Due
|
at Quarter-End
|
Putable Option *
|
at Quarter-End
|
|||||||||||||
Maturity:
|
||||||||||||||||
Year ending December 31:
|
||||||||||||||||
2012
|
$ | 19,400,000 | 3.94 | % | $ | 5,000,000 | 4.93 | % | ||||||||
2013
|
24,000,000 | 2.64 | - | - | ||||||||||||
2014
|
23,850,000 | 3.37 | - | - | ||||||||||||
2015
|
14,000,000 | 1.68 | - | - | ||||||||||||
Thereafter
|
123,500,000 | 4.09 | 103,500,000 | 4.25 | ||||||||||||
Total FHLB advances
|
$ | 204,750,000 | 3.74 | $ | 108,500,000 | 4.28 | ||||||||||
December 31, 2010
|
||||||||||||||||
Weighted
|
Weighted
|
|||||||||||||||
Average
|
Amount Due
|
Average
|
||||||||||||||
Interest Rate
|
with
|
Interest Rate
|
||||||||||||||
Amount Due
|
at Year-End
|
Putable Option *
|
at Year-End
|
|||||||||||||
Maturity:
|
||||||||||||||||
Year ending December 31:
|
||||||||||||||||
2011
|
$ | 19,000,000 | 2.99 | % | $ | 7,500,000 | 5.12 | % | ||||||||
2012
|
49,750,000 | 4.43 | 35,000,000 | 4.77 | ||||||||||||
2013
|
24,000,000 | 2.64 | 2,000,000 | 3.48 | ||||||||||||
2014
|
3,500,000 | 2.19 | - | - | ||||||||||||
2015
|
14,000,000 | 1.68 | - | - | ||||||||||||
Thereafter
|
128,500,000 | 4.11 | 118,500,000 | 4.13 | ||||||||||||
Total FHLB advances
|
$ | 238,750,000 | 3.84 | $ | 163,000,000 | 4.30 |
Three months ended
|
Nine months ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net income
|
$ | 2,266,601 | $ | 2,123,872 | $ | 7,271,299 | $ | 5,138,642 | ||||||||
Less: Net income attributable to noncontrolling interests
|
103,446 | 109,786 | 308,215 | 95,046 | ||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 2,163,155 | $ | 2,014,086 | $ | 6,963,084 | $ | 5,043,596 | ||||||||
Less: Preferred stock dividends and discount accretion
|
2,188,058 | ** | 1,028,686 | 4,256,171 | ** | 3,099,418 | ||||||||||
Net income (loss) attributable to QCR Holdings, Inc. common stockholders
|
$ | (24,903 | ) | $ | 985,400 | $ | 2,706,913 | $ | 1,944,178 | |||||||
Earnings (loss) per common share attributable to QCR Holdings, Inc. common stockholders
|
||||||||||||||||
Basic
|
$ | (0.01 | ) | $ | 0.21 | $ | 0.56 | $ | 0.42 | |||||||
Diluted
|
$ | (0.01 | ) | $ | 0.21 | $ | 0.56 | $ | 0.42 | |||||||
Weighted average common shares outstanding
|
4,866,692 | 4,598,566 | 4,795,382 | 4,587,883 | ||||||||||||
Weighted average common shares issuable upon exercise of stock options
and under the employee stock purchase plan
|
- | * | 21,008 | 52,051 | 29,219 | |||||||||||
Weighted average common and common equivalent shares outstanding
|
4,866,692 | * | 4,619,574 | 4,847,433 | 4,617,102 | |||||||||||
Commercial Banking
|
||||||||||||||||||||||||||||
Quad City
|
Cedar Rapids
|
Rockford
|
Wealth
|
|
Intercompany
|
Consolidated
|
||||||||||||||||||||||
Bank & Trust
|
Bank & Trust
|
Bank & Trust
|
Management
|
All other
|
Eliminations
|
Total
|
||||||||||||||||||||||
Three Months Ended September 30, 2011
|
||||||||||||||||||||||||||||
Total revenue
|
$ | 12,147,213 | $ | 7,110,970 | $ | 3,377,454 | $ | 1,311,647 | $ | 3,319,882 | $ | (3,362,429 | ) | $ | 23,904,737 | |||||||||||||
Net interest income
|
$ | 7,944,108 | $ | 3,873,339 | $ | 2,355,471 | $ | - | $ | (344,214 | ) | $ | - | $ | 13,828,704 | |||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 1,854,914 | $ | 1,375,114 | $ | (243,710 | ) | $ | 257,611 | $ | 2,192,761 | $ | (3,273,535 | ) | $ | 2,163,155 | ||||||||||||
Total assets
|
$ | 1,056,656,935 | $ | 565,822,310 | $ | 287,574,174 | $ | - | $ | 193,059,135 | $ | (204,152,062 | ) | $ | 1,898,960,492 | |||||||||||||
Provision for loan/lease losses
|
$ | 1,158,965 | $ | 250,000 | $ | 1,048,000 | $ | - | $ | - | $ | - | $ | 2,456,965 | ||||||||||||||
Goodwill
|
$ | 3,222,688 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 3,222,688 | ||||||||||||||
Three Months Ended September 30, 2010
|
||||||||||||||||||||||||||||
Total revenue
|
$ | 11,655,728 | $ | 7,455,990 | $ | 3,575,942 | $ | 1,490,742 | $ | 3,194,862 | $ | (3,274,722 | ) | $ | 24,098,542 | |||||||||||||
Net interest income
|
$ | 6,979,173 | $ | 3,763,143 | $ | 2,042,785 | $ | - | $ | (621,526 | ) | $ | - | $ | 12,163,575 | |||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 1,601,579 | $ | 881,372 | $ | 235,095 | $ | 442,634 | $ | 2,038,028 | $ | (3,184,622 | ) | $ | 2,014,086 | |||||||||||||
Total assets
|
$ | 982,315,353 | $ | 548,462,235 | $ | 274,910,743 | $ | - | $ | 185,977,307 | $ | (184,740,323 | ) | $ | 1,806,925,315 | |||||||||||||
Provision for loan/lease losses
|
$ | 241,232 | $ | 950,000 | $ | 243,000 | $ | - | $ | - | $ | - | $ | 1,434,232 | ||||||||||||||
Goodwill
|
$ | 3,222,688 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 3,222,688 | ||||||||||||||
Nine Months Ended September 30, 2011
|
||||||||||||||||||||||||||||
Total revenue
|
$ | 35,990,157 | $ | 21,482,485 | $ | 10,046,334 | $ | 4,238,644 | $ | 10,776,476 | $ | (10,885,546 | ) | $ | 71,648,550 | |||||||||||||
Net interest income
|
$ | 22,772,375 | $ | 11,859,003 | $ | 6,641,533 | $ | - | $ | (1,284,350 | ) | $ | - | $ | 39,988,561 | |||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 5,777,707 | $ | 3,964,627 | $ | 45,697 | $ | 741,263 | $ | 7,054,192 | $ | (10,620,402 | ) | $ | 6,963,084 | |||||||||||||
Total assets
|
$ | 1,056,656,935 | $ | 565,822,310 | $ | 287,574,174 | $ | - | $ | 193,059,135 | $ | (204,152,062 | ) | $ | 1,898,960,492 | |||||||||||||
Provision for loan/lease losses
|
$ | 2,236,850 | $ | 1,035,000 | $ | 1,925,000 | $ | - | $ | - | $ | - | $ | 5,196,850 | ||||||||||||||
Goodwill
|
$ | 3,222,688 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 3,222,688 | ||||||||||||||
Nine Months Ended September 30, 2010
|
||||||||||||||||||||||||||||
Total revenue
|
$ | 35,704,318 | $ | 21,609,584 | $ | 10,437,241 | $ | 3,764,384 | $ | 8,712,310 | $ | (8,923,912 | ) | $ | 71,303,925 | |||||||||||||
Net interest income
|
$ | 21,597,716 | $ | 11,786,684 | $ | 5,933,622 | $ | - | $ | (1,802,787 | ) | $ | - | $ | 37,515,235 | |||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 4,569,482 | $ | 2,517,463 | $ | 768,950 | $ | 679,350 | $ | 5,181,035 | $ | (8,672,684 | ) | $ | 5,043,596 | |||||||||||||
Total assets
|
$ | 982,315,353 | $ | 548,462,235 | $ | 274,910,743 | $ | - | $ | 185,977,307 | $ | (184,740,323 | ) | $ | 1,806,925,315 | |||||||||||||
Provision for loan/lease losses
|
$ | 1,243,650 | $ | 2,900,000 | $ | 270,000 | $ | - | $ | - | $ | - | $ | 4,413,650 | ||||||||||||||
Goodwill
|
$ | 3,222,688 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 3,222,688 | ||||||||||||||
|
1.
|
Level 1 – Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in markets;
|
|
2.
|
Level 2 – Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and
|
|
3.
|
Level 3 – Inputs to the valuation methodology are unobservable and significant to the fair value measurement.
|
Fair Value Measurements at Reporting Date Using
|
||||||||||||||||
Quoted Prices
|
Significant
|
|||||||||||||||
in Active
|
Other
|
Significant
|
||||||||||||||
Markets for
|
Observable
|
Unobservable
|
||||||||||||||
Identical Assets
|
Inputs
|
Inputs
|
||||||||||||||
Fair Value
|
(Level 1)
|
(Level 2)
|
(Level 3)
|
|||||||||||||
September 30, 2011:
|
||||||||||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 414,783,837 | $ | - | $ | 414,783,837 | $ | - | ||||||||
Residential mortgage-backed securities
|
83,452,455 | - | 83,452,455 | - | ||||||||||||
Municipal securities
|
25,991,316 | - | 25,991,316 | - | ||||||||||||
Trust preferred securities
|
71,800 | - | 71,800 | - | ||||||||||||
Other securities
|
1,412,378 | 176,068 | 1,236,310 | - | ||||||||||||
$ | 525,711,786 | $ | 176,068 | $ | 525,535,718 | $ | - | |||||||||
December 31, 2010
:
|
||||||||||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 402,225,356 | $ | - | $ | 402,225,356 | $ | - | ||||||||
Residential mortgage-backed securities
|
70,438 | - | 70,438 | - | ||||||||||||
Municipal securities
|
20,603,480 | - | 20,603,480 | - | ||||||||||||
Trust preferred securities
|
78,000 | - | 78,000 | - | ||||||||||||
Other securities
|
1,569,493 | 209,680 | 1,359,813 | - | ||||||||||||
$ | 424,546,767 | $ | 209,680 | $ | 424,337,087 | $ | - |
Fair Value Measurements at Reporting Date Using
|
||||||||||||||||
Quoted Prices
|
Significant
|
|||||||||||||||
in Active
|
Other
|
Significant
|
||||||||||||||
Markets for
|
Observable
|
Unobservable
|
||||||||||||||
Identical Assets
|
Inputs
|
Inputs
|
||||||||||||||
Fair Value
|
(Level 1)
|
(Level 2)
|
(Level 3)
|
|||||||||||||
September 30, 2011:
|
||||||||||||||||
Impaired loans/leases
|
$ | 17,555,446 | $ | - | $ | - | $ | 17,555,446 | ||||||||
Other real estate owned
|
8,950,599 | - | - | 8,950,599 | ||||||||||||
$ | 26,506,045 | $ | - | $ | - | $ | 26,506,045 | |||||||||
December 31, 2010:
|
||||||||||||||||
Impaired loans/leases
|
$ | 21,501,447 | $ | - | $ | - | $ | 21,501,447 | ||||||||
Other real estate owned
|
9,217,488 | - | - | 9,217,488 | ||||||||||||
$ | 30,718,935 | $ | - | $ | - | $ | 30,718,935 |
As of September 30, 2011
|
As of December 31, 2010
|
|||||||||||||||
Carrying
|
Estimated
|
Carrying
|
Estimated
|
|||||||||||||
Value
|
Fair Value
|
Value
|
Fair Value
|
|||||||||||||
Cash and due from banks
|
$ | 45,431,711 | $ | 45,431,711 | $ | 42,030,806 | $ | 42,030,806 | ||||||||
Federal funds sold
|
5,790,000 | 5,790,000 | 61,960,000 | 61,960,000 | ||||||||||||
Interest-bearing deposits at financial institutions
|
24,665,359 | 24,665,359 | 39,745,611 | 39,745,611 | ||||||||||||
Investment securities:
|
||||||||||||||||
Held to maturity
|
200,000 | 200,000 | 300,000 | 300,000 | ||||||||||||
Available for sale
|
525,711,786 | 525,711,786 | 424,546,767 | 424,546,767 | ||||||||||||
Loans/leases receivable, net
|
1,178,003,224 | 1,202,671,000 | 1,152,173,947 | 1,169,015,000 | ||||||||||||
Accrued interest receivable
|
6,812,857 | 6,812,857 | 6,435,989 | 6,435,989 | ||||||||||||
Deposits
|
1,207,469,246 | 1,211,463,000 | 1,114,815,857 | 1,118,245,000 | ||||||||||||
Short-term borrowings
|
143,586,491 | 143,586,491 | 141,154,499 | 141,154,499 | ||||||||||||
Federal Home Loan Bank advances
|
204,750,000 | 223,371,000 | 238,750,000 | 254,307,000 | ||||||||||||
Other borrowings
|
140,129,755 | 156,046,000 | 150,070,785 | 161,454,000 | ||||||||||||
Accrued interest payable
|
1,740,603 | 1,740,603 | 2,167,648 | 2,167,648 | ||||||||||||
|
·
|
Quad City Bank & Trust commenced operations in 1994 and provides full-service commercial and consumer banking, and trust and asset management services, to the Quad City area and adjacent communities through its five offices that are located in Bettendorf and Davenport, Iowa and Moline, Illinois. Quad City Bank & Trust also provides leasing services through its 80%-owned subsidiary, m2 Lease Funds, located in Brookfield, Wisconsin. In addition, Quad City Bank & Trust owns 100% of Quad City Investment Advisors, LLC (formerly known as CMG Investment Advisors, LLC), which is an investment management and advisory company.
|
|
·
|
Cedar Rapids Bank & Trust commenced operations in 2001 and provides full-service commercial and consumer banking, and trust and asset management services, to Cedar Rapids, Iowa and adjacent communities through its main office located on First Avenue in downtown Cedar Rapids, Iowa and its branch facility located on Council Street in northern Cedar Rapids. Cedar Rapids Bank & Trust also provides residential real estate mortgage lending services through its 50%-owned joint venture, Cedar Rapids Mortgage Company.
|
|
·
|
Rockford Bank & Trust commenced operations in January 2005 and provides full-service commercial and consumer banking, and trust and asset management services, to Rockford, Illinois and adjacent communities through its main office located in downtown Rockford and its branch facility on Guilford Road at Alpine Road in Rockford.
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net income
|
$ | 2,266,601 | $ | 2,123,872 | $ | 7,271,299 | $ | 5,138,642 | ||||||||
Less: Net income attributable to noncontrolling interests
|
103,446 | 109,786 | 308,215 | 95,046 | ||||||||||||
Net income attributable to QCR Holdings, Inc.
|
$ | 2,163,155 | $ | 2,014,086 | $ | 6,963,084 | $ | 5,043,596 | ||||||||
Less: Preferred stock dividends and discount accretion
|
2,188,058 | 1,028,686 | 4,256,171 | 3,099,418 | ||||||||||||
Net income (loss) attributable to QCR Holdings, Inc. common stockholders
|
$ | (24,903 | ) | $ | 985,400 | $ | 2,706,913 | $ | 1,944,178 | |||||||
Diluted earnings (loss) per common share
|
$ | (0.01 | ) | $ | 0.21 | $ | 0.56 | $ | 0.42 | |||||||
Weighted average common and common equivalent shares outstanding
|
4,866,692 | * | 4,619,574 | 4,847,433 | 4,617,102 |
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||||||
September 30, 2011
|
June 30, 2011
|
September 30, 2010
|
September 30, 2011
|
September 30, 2010
|
||||||||||||||||
Net interest income
|
$ | 13,828,704 | $ | 13,951,055 | $ | 12,163,575 | $ | 39,988,561 | $ | 37,515,235 | ||||||||||
Provision for loan/lease losses
|
(2,456,965 | ) | (1,672,221 | ) | (1,434,232 | ) | (5,196,850 | ) | (4,413,650 | ) | ||||||||||
Noninterest income
|
4,335,307 | 4,173,381 | 4,358,286 | 13,565,812 | 10,727,993 | |||||||||||||||
Noninterest expense
|
(12,773,149 | ) | (12,555,547 | ) | (12,133,765 | ) | (38,340,967 | ) | (36,790,273 | ) | ||||||||||
Federal and state income tax
|
(667,296 | ) | (1,123,454 | ) | (829,992 | ) | (2,745,257 | ) | (1,900,663 | ) | ||||||||||
Net income
|
$ | 2,266,601 | $ | 2,773,214 | $ | 2,123,872 | $ | 7,271,299 | $ | 5,138,642 |
|
·
|
The average yield on interest-earning assets decreased 16 basis points.
|
|
·
|
The average cost of interest-bearing liabilities decreased 49 basis points.
|
|
·
|
The net interest spread improved 33 basis points from 2.52% to 2.85%.
|
|
·
|
The net interest margin improved 31 basis points from 2.85% to 3.16%.
|
|
·
|
The average yield on interest-earning assets decreased 32 basis points.
|
|
·
|
The average cost of interest-bearing liabilities decreased 42 basis points.
|
|
·
|
The net interest spread improved 10 basis points from 2.62% to 2.72%.
|
|
·
|
The net interest margin improved 11 basis points from 2.94% to 3.11%.
|
|
·
|
Significantly reduced interest expense and improved net interest margin in subsequent quarters
|
|
·
|
Stronger regulatory capital
|
|
·
|
Reduced reliance on wholesale funding
|
(1) Interest earned and yields on nontaxable investment securities are determined on a tax equivalent basis using a 34% tax rate for each period presented.
|
|||||||
(2) Loan/lease fees are not material and are included in interest income from loans/leases receivable in accordance with accounting and regulatory guidance.
|
|||||||
(3) Non-accrual loans/leases are included in the average balance for gross loans/leases receivable in accordance with accounting and regulatory guidance.
|
|||||||
(4) In accordance with ASC 860, effective January 1, 2010, the Company accounts for some participations sold, including sales of SBA-guaranteed portions
|
|||||||
of loans during the recourse period, as secured borrowings. As such, these amounts are included in the average balance for gross loans/leases
|
|||||||
receivable and other borrowings. For the three months ended September 30, 2011 and 2010, this totaled $0.5 million and $9.9 million, respectively. During
|
|||||||
the second quarter of 2011, SBA removed the recourse provision for sales which allowed for sale accounting treatment at the time of sale; thus,
|
|||||||
the decline in average balance.
|
Analysis of Changes of Interest Income/Interest Expense
|
For the three months ended September 30, 2011
|
(1) The column "Inc./(Dec.) from Prior Period" is segmented into the changes attributable to variations in volume and the
|
|||||||||
changes attributable to changes in interest rates. The variations attributable to simultaneous volume and rate changes have been
|
|||||||||
proportionately alloctaed to rate and volume.
|
|||||||||
(2) Interest earned and yields on nontaxable investment securities are determined on a tax equivalent basis using a 34% tax rate for
|
|||||||||
each period presented.
|
|||||||||
(3) Loan/lease fees are not material and are included in interest income from loans/leases receivable in accordance with accounting and
|
|||||||||
regulatory guidance.
|
|||||||||
(4) Non-accrual loans/leases are included in the average balance for gross loans/leases receivable in accordance with accounting and
|
|||||||||
regulatory guidance.
|
|||||||||
(5) In accordance with ASC 860, effective January 1, 2010, the Company accounts for some participations sold, including sales of
|
|||||||||
SBA-guaranteed portions of loans during the recourse period, as secured borrowings. As such, these amounts are included in the
|
|||||||||
average balance for gross loans/leases receivable and other borrowings. For the three months ended September 30, 2011 and 2010, this
|
|||||||||
totaled $0.5 million and $9.9 million, respectively. During the second quarter of 2011, SBA removed the recourse provision for sales
|
|||||||||
which allowed sale accounting treatment at the time of sale; thus, the decline in average balance.
|
|||||||||
(1) Interest earned and yields on nontaxable investment securities are determined on a tax equivalent basis using a 34% tax rate in each year presented.
|
|||||||
(2) Loan/lease fees are not material and are included in interest income from loans/leases receivable in accordance with accounting and regulatory guidance.
|
|||||||
(3) Non-accrual loans/leases are included in the average balance for gross loans/leases receivable in accordance with accounting and regulatory guidance.
|
|||||||
(4) In accordance with ASC 860, effective January 1, 2010, the Company accounts for some participations sold, including sales of SBA-guaranteed
|
|||||||
portions of loans during the recourse period, as secured borrowings. As such, these amounts are included in the average balance for gross loans/leases
|
|||||||
receivable and other borrowings. For the nine months ended September 30, 2011 and 2010, this totaled $3.4 million and $9.6 million, respectively. During
|
|||||||
the second quarter of 2011, SBA removed the recourse provision for sales which allowed sale accounting treatment at the time of sale; thus,
|
|||||||
the decline in average balance.
|
(1) The column "Inc./(Dec.) from Prior Period" is segmented into the changes attributable to variations in volume and the
changes attributable to changes in interest rates. The variations attributable to simultaneous volume and rate changes have been
proportionately alloctaed to rate and volume.
|
|||||||||
(2) Interest earned and yields on nontaxable investment securities are determined on a tax equivalent basis using a 34% tax rate for
each period presented.
|
|||||||||
(3) Loan/lease fees are not material and are included in interest income from loans/leases receivable in accordance with accounting and
regulatory guidance.
|
|||||||||
(4) Non-accrual loans/leases are included in the average balance for gross loans/leases receivable in accordance with accounting and
regulatory guidance.
|
|||||||||
(5) In accordance with ASC 860, effective January 1, 2010, the Company accounts for some participations sold, including sales of
SBA-guaranteed portions of loans during the recourse period, as secured borrowings. As such, these amounts are included in the
average balance for gross loans/leases receivable and other borrowings. For the nine months ended September 30, 2011 and 2010, this
totaled $3.4 million and $9.6 million, respectively. During the second quarter of 2011, SBA removed the recourse provision for sales
which allowed sale accounting treatment at the time of sale; thus, the decline in average balance.
|
Three Months Ended
|
||||||||||||||||
September 30, 2011
|
September 30, 2010
|
$ Change
|
% Change
|
|||||||||||||
Trust department fees
|
$ | 762,133 | $ | 803,423 | $ | (41,290 | ) | (5.1 | ) % | |||||||
Investment advisory and management fees, gross
|
549,515 | 419,416 | 130,099 | 31.0 | ||||||||||||
Deposit service fees
|
893,685 | 902,787 | (9,102 | ) | (1.0 | ) | ||||||||||
Gains on sales of loans, net
|
408,364 | 1,109,724 | (701,360 | ) | (63.2 | ) | ||||||||||
Securities gains
|
443,614 | - | 443,614 | 100.0 | ||||||||||||
Gains (losses) on sales of other real estate owned, net
|
42,262 | (188,158 | ) | 230,420 | (122.5 | ) | ||||||||||
Earnings on bank-owned life insurance
|
331,440 | 353,003 | (21,563 | ) | (6.1 | ) | ||||||||||
Credit card fees, net of processing costs
|
178,636 | 34,866 | 143,770 | 412.4 | ||||||||||||
Other
|
725,658 | 923,225 | (197,567 | ) | (21.4 | ) | ||||||||||
$ | 4,335,307 | $ | 4,358,286 | $ | (22,979 | ) | (0.5 | ) % | ||||||||
Nine Months Ended
|
||||||||||||||||
September 30, 2011
|
September 30, 2010
|
$ Change
|
% Change
|
|||||||||||||
Trust department fees
|
$ | 2,607,668 | $ | 2,438,473 | $ | 169,195 | 6.9 | % | ||||||||
Investment advisory and management fees, gross
|
1,630,976 | 1,325,910 | 305,066 | 23.0 | ||||||||||||
Deposit service fees
|
2,623,018 | 2,585,873 | 37,145 | 1.4 | ||||||||||||
Gains on sales of loans, net
|
1,923,185 | 1,831,856 | 91,329 | 5.0 | ||||||||||||
Securities gains
|
1,472,528 | - | 1,472,528 | 100.0 | ||||||||||||
Losses on sales of other real estate owned, net
|
(90,492 | ) | (632,806 | ) | 542,314 | (85.7 | ) | |||||||||
Earnings on bank-owned life insurance
|
1,032,493 | 973,659 | 58,834 | 6.0 | ||||||||||||
Credit card fees, net of processing costs
|
397,132 | 231,439 | 165,693 | 71.6 | ||||||||||||
Other
|
1,969,304 | 1,973,589 | (4,285 | ) | (0.2 | ) | ||||||||||
$ | 13,565,812 | $ | 10,727,993 | $ | 2,837,819 | 26.5 | % |
Three Months Ended
|
||||||||||||||||
September 30, 2011
|
September 30, 2010
|
$ Change
|
% Change
|
|||||||||||||
Salaries and employee benefits
|
$ | 7,651,695 | $ | 6,910,016 | $ | 741,679 | 10.7 | % | ||||||||
Occupancy and equipment expense
|
1,359,758 | 1,410,429 | (50,671 | ) | (3.6 | ) | ||||||||||
Professional and data processing fees
|
1,077,435 | 1,096,100 | (18,665 | ) | (1.7 | ) | ||||||||||
FDIC and other insurance
|
578,776 | 887,509 | (308,733 | ) | (34.8 | ) | ||||||||||
Loan/lease expense
|
839,993 | 678,535 | 161,458 | 23.8 | ||||||||||||
Advertising and marketing
|
277,376 | 292,148 | (14,772 | ) | (5.1 | ) | ||||||||||
Postage and telephone
|
242,103 | 252,512 | (10,409 | ) | (4.1 | ) | ||||||||||
Stationery and supplies
|
122,582 | 135,064 | (12,482 | ) | (9.2 | ) | ||||||||||
Bank service charges
|
186,351 | 112,742 | 73,609 | 65.3 | ||||||||||||
Other-than-temporary impairment losses on securities
|
- | 113,800 | (113,800 | ) | 100.0 | |||||||||||
Other
|
437,080 | 244,910 | 192,170 | 78.5 | ||||||||||||
$ | 12,773,149 | $ | 12,133,765 | $ | 639,384 | 5.3 | % | |||||||||
Nine Months Ended
|
||||||||||||||||
September 30, 2011
|
September 30, 2010
|
$ Change
|
% Change
|
|||||||||||||
Salaries and employee benefits
|
$ | 22,480,731 | $ | 20,869,335 | $ | 1,611,396 | 7.7 | % | ||||||||
Occupancy and equipment expense
|
4,017,506 | 4,147,101 | (129,595 | ) | (3.1 | ) | ||||||||||
Professional and data processing fees
|
3,338,935 | 3,379,080 | (40,145 | ) | (1.2 | ) | ||||||||||
FDIC and other insurance
|
2,149,093 | 2,575,000 | (425,907 | ) | (16.5 | ) | ||||||||||
Loan/lease expense
|
1,772,290 | 1,658,647 | 113,643 | 6.9 | ||||||||||||
Advertising and marketing
|
836,459 | 701,603 | 134,856 | 19.2 | ||||||||||||
Postage and telephone
|
703,803 | 750,611 | (46,808 | ) | (6.2 | ) | ||||||||||
Stationery and supplies
|
380,754 | 379,347 | 1,407 | 0.4 | ||||||||||||
Bank service charges
|
525,007 | 284,134 | 240,873 | 84.8 | ||||||||||||
Prepayment fees on Federal Home Loan Bank advances
|
832,099 | - | 832,099 | 100.0 | ||||||||||||
Losses on lease residual values
|
- | 617,000 | (617,000 | ) | (100.0 | ) | ||||||||||
Other-than-temporary impairment losses on securities
|
118,847 | 113,800 | 5,047 | 4.4 | ||||||||||||
Other
|
1,185,443 | 1,314,615 | (129,172 | ) | (9.8 | ) | ||||||||||
$ | 38,340,967 | $ | 36,790,273 | $ | 1,550,694 | 4.2 | % |
|
·
|
Customary annual salary and benefits increases for the majority of the Company’s employee base in 2011. For 2010, the Company did not generally increase salaries across the employee base.
|
|
·
|
Continued increase in health insurance-related employee benefits for the majority of the Company’s employee base.
|
|
·
|
Higher accrued incentive compensation based on improved performance through the first nine months of 2011.
|
|
·
|
Increase in the Company’s employee base as full-time equivalents increased from 345 at September 30, 2010 to 358 at September 30, 2011.
|
Gross
|
Gross
|
|||||||||||||||
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
|||||||||||||
Cost
|
Gains
|
(Losses)
|
Value
|
|||||||||||||
September 30, 2011:
|
(dollars in thousands)
|
|||||||||||||||
Securities held to maturity,
other bonds
|
$ | 200 | $ | - | $ | - | $ | 200 | ||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 412,874 | $ | 2,281 | $ | (371 | ) | $ | 414,784 | |||||||
Residential mortgage-backed securities
|
80,070 | 3,383 | - | 83,453 | ||||||||||||
Municipal securities
|
24,580 | 1,411 | - | 25,991 | ||||||||||||
Trust preferred securities
|
86 | - | (14 | ) | 72 | |||||||||||
Other securities
|
1,347 | 106 | (41 | ) | 1,412 | |||||||||||
$ | 518,957 | $ | 7,181 | $ | (426 | ) | $ | 525,712 | ||||||||
December 31, 2010:
|
||||||||||||||||
Securities held to maturity,
other bonds
|
$ | 300 | $ | - | $ | - | $ | 300 | ||||||||
Securities available for sale:
|
||||||||||||||||
U.S. govt. sponsored agency securities
|
$ | 401,711 | $ | 3,219 | $ | (2,705 | ) | $ | 402,225 | |||||||
Residential mortgage-backed securities
|
65 | 5 | - | 70 | ||||||||||||
Municipal securities
|
20,135 | 579 | (110 | ) | 20,604 | |||||||||||
Trust preferred securities
|
86 | - | (8 | ) | 78 | |||||||||||
Other securities
|
1,415 | 168 | (13 | ) | 1,570 | |||||||||||
$ | 423,412 | $ | 3,971 | $ | (2,836 | ) | $ | 424,547 |
Weighted
|
||||||||
Amortized
|
Average
|
|||||||
Cost
|
Yield
|
|||||||
(dollars in thousands)
|
||||||||
U.S. gov't. sponsored agency securities:
|
||||||||
Within 1 year
|
$ | 1,008 | 3.25 | % | ||||
After 1 but within 5 years
|
62,079 | 1.60 | % | |||||
After 5 but within 10 years
|
259,623 | 2.82 | % | |||||
After 10 years
|
90,164 | 3.48 | % | |||||
$ | 412,874 | 2.78 | % | |||||
Residential mortgage-backed securities:
|
||||||||
After 1 but within 5 years
|
$ | 38 | 6.00 | % | ||||
After 10 years
|
80,032 | 4.13 | % | |||||
$ | 80,070 | 4.13 | % | |||||
Municipal securities:
|
||||||||
Within 1 year
|
$ | 1,795 | 3.05 | % | ||||
After 1 but within 5 years
|
6,038 | 3.54 | % | |||||
After 5 but within 10 years
|
11,136 | 3.94 | % | |||||
After 10 years
|
5,611 | 4.64 | % | |||||
$ | 24,580 | 3.94 | % | |||||
Trust preferred securities:
|
||||||||
After 10 years
|
$ | 86 | 7.80 | % | ||||
Other bonds:
|
||||||||
Within 1 year
|
$ | 50 | 6.55 | % | ||||
After 1 but within 5 years
|
100 | 5.50 | % | |||||
After 5 but within 10 years
|
50 | 5.43 | % | |||||
$ | 200 | 5.75 | % | |||||
Other securities with no maturity or stated face rate
|
$ | 1,347 |
Weighted
|
||||||||
Amortized
|
Average
|
|||||||
Cost
|
Yield
|
|||||||
(dollars in thousands)
|
||||||||
U.S. gov't. sponsored agency securities:
|
||||||||
Within 1 year
|
$ | 12,104 | 3.48 | % | ||||
After 1 but within 5 years
|
74,278 | 2.27 | % | |||||
After 5 but within 10 years
|
207,759 | 2.92 | % | |||||
After 10 years
|
107,570 | 4.39 | % | |||||
$ | 401,711 | 3.21 | % | |||||
Residential mortgage-backed securities:
|
||||||||
After 1 but within 5 years
|
$ | 65 | 6.00 | % | ||||
Municipal securities:
|
||||||||
Within 1 year
|
$ | 1,157 | 4.50 | % | ||||
After 1 but within 5 years
|
5,337 | 4.60 | % | |||||
After 5 but within 10 years
|
5,999 | 3.86 | % | |||||
After 10 years
|
7,642 | 4.60 | % | |||||
$ | 20,135 | 4.37 | % | |||||
Trust preferred securities:
|
||||||||
After 10 years
|
$ | 86 | 7.80 | % | ||||
Other bonds:
|
||||||||
Within 1 year
|
$ | 100 | 5.30 | % | ||||
After 1 but within 5 years
|
150 | 5.85 | % | |||||
After 5 but within 10 years
|
50 | 5.43 | % | |||||
$ | 300 | 5.60 | % | |||||
Other securities with no maturity or stated face rate
|
$ | 1,415 |
As of September 30,
|
As of December 31,
|
|||||||||||||||
2011
|
2010
|
|||||||||||||||
Amount
|
%
|
Amount
|
%
|
|||||||||||||
(dollars in thousands)
|
||||||||||||||||
Lessors of Nonresidential Buildings
|
$ | 162,022 | 29 | % | $ | 154,427 | 28 | % | ||||||||
Lessors of Residential Buildings
|
53,541 | 9 | % | 52,582 | 9 | % | ||||||||||
Land Subdivision
|
33,931 | 6 | % | 30,572 | 6 | % | ||||||||||
Hotels
|
20,726 | 4 | % | 16,081 | 3 | % | ||||||||||
New Car Dealers
|
16,148 | 3 | % | 6,521 | 1 | % | ||||||||||
Lessors of Other Real Estate Property
|
15,722 | 3 | % | 19,688 | 4 | % | ||||||||||
New Single Family Construction
|
12,523 | 2 | % | 16,053 | 3 | % | ||||||||||
Other *
|
253,874 | 44 | % | 257,793 | 46 | % | ||||||||||
Total Commercial Real Estate Loans
|
$ | 568,487 | 100 | % | $ | 553,717 | 100 | % |
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30, 2011
|
September 30, 2010
|
September 30, 2011
|
September 30, 2010
|
|||||||||||||
Balance, beginning
|
$ | 19,802,632 | $ | 21,560,963 | $ | 20,364,656 | $ | 22,504,734 | ||||||||
Provisions charged to expense
|
2,456,965 | 1,434,232 | 5,196,850 | 4,413,650 | ||||||||||||
Loans/leases charged off
|
(3,103,767 | ) | (3,579,193 | ) | (6,676,399 | ) | (7,842,807 | ) | ||||||||
Recoveries on loans/leases previously charged off
|
422,656 | 466,824 | 693,379 | 807,249 | ||||||||||||
Balance, ending
|
$ | 19,578,486 | $ | 19,882,826 | $ | 19,578,486 | $ | 19,882,826 |
As of September 30,
|
As of June 30,
|
As of December 31,
|
As of September 30,
|
|||||||||||||
2011
|
2011
|
2010
|
2010
|
|||||||||||||
(dollars in thousands)
|
||||||||||||||||
Nonaccrual loans/leases (1) (2)
|
$ | 29,006 | $ | 23,295 | $ | 37,427 | $ | 42,185 | ||||||||
Accruing loans/leases past due 90 days or more
|
333 | 358 | 320 | 3,610 | ||||||||||||
Troubled debt restructures - accruing
|
2,675 | 3,592 | 3,405 | 1,510 | ||||||||||||
Other real estate owned
|
8,288 | 10,430 | 8,535 | 11,976 | ||||||||||||
Other repossessed assets
|
160 | 194 | 366 | 89 | ||||||||||||
$ | 40,462 | $ | 37,869 | $ | 50,053 | $ | 59,370 | |||||||||
Nonperforming loans/leases to total loans/leases
|
2.67 | % | 2.30 | % | 3.51 | % | 3.98 | % | ||||||||
Nonperforming assets to total loans/leases plus reposessed property
|
3.35 | % | 3.17 | % | 4.24 | % | 4.94 | % | ||||||||
Nonperforming assets to total assets
|
2.13 | % | 2.02 | % | 2.73 | % | 3.29 | % | ||||||||
Texas ratio (3)
|
25.58 | % | 24.77 | % | 33.57 | % | 39.43 | % |
|
(1)
|
Includes government guaranteed portion of loan.
|
|
(2)
|
Includes troubled debt restructuringss of $8.6 million at September 30, 2011, $11.0 million at June 30, 2011, $12.6 million at December 31, 2010, and $2.8 million at September 30, 2010.
|
|
(3)
|
Texas Ratio = Nonperforming Assets (excluding Other Repossessed Assets) / Tangible Equity plus Allowance for Estimated Losses on Loans/Leases. Texas Ratio is a non-GAAP financial measure. Management included this ratio as this is considered to be a critical metric with which to analyze and evaluate asset quality. Other companies may calculate this ratio differently.
|
As of September 30, 2011
|
As of December 31, 2010
|
As of September 30, 2010
|
||||||||||
(dollars in thousands)
|
||||||||||||
Noninterest bearing demand deposits
|
$ | 326,710 | $ | 276,827 | $ | 237,965 | ||||||
Interest bearing demand deposits
|
490,656 | 424,819 | 379,083 | |||||||||
Savings deposits
|
37,896 | 35,805 | 34,131 | |||||||||
Time deposits
|
304,674 | 312,010 | 354,104 | |||||||||
Brokered time deposits
|
47,533 | 65,355 | 81,450 | |||||||||
$ | 1,207,469 | $ | 1,114,816 | $ | 1,086,733 |
As of September 30, 2011
|
As of December 31, 2010
|
As of September 30, 2010
|
||||||||||
(dollars in thousands)
|
||||||||||||
Overnight repurchase agreements with customers
|
$ | 101,886 | $ | 118,904 | $ | 113,099 | ||||||
Federal funds purchased
|
41,700 | 22,250 | 23,320 | |||||||||
$ | 143,586 | $ | 141,154 | $ | 136,419 |
As of September 30, 2011
|
As of December 31, 2010
|
|||||||
(dollars in thousands)
|
||||||||
Wholesale repurchase agreements
|
$ | 135,000 | $ | 135,000 | ||||
364-day revolving note
|
2,500 | 2,500 | ||||||
Series A subordinated notes
|
2,630 | 2,624 | ||||||
Secured borrowings - loan participations sold
|
- | 9,936 | ||||||
Other
|
- | 10 | ||||||
$ | 140,130 | $ | 150,070 |
As of September 30, 2011
|
As of December 31, 2010
|
|||||||
(dollars in thousands)
|
||||||||
Common stock
|
$ | 4,868 | $ | 4,732 | ||||
Additional paid in capital - common
|
25,098 | 24,328 | ||||||
Retained earnings
|
43,072 | 40,551 | ||||||
Accumulated other comprehensive income
|
4,173 | 704 | ||||||
Noncontrolling interests
|
1,924 | 1,648 | ||||||
Less: Treasury stock
|
(1,606 | ) | (1,606 | ) | ||||
Total common stockholders' equity
|
77,529 | 70,357 | ||||||
Preferred stock - par value
|
65 | 63 | ||||||
Additional paid-in capital - preferred
|
65,575 | 62,151 | ||||||
Total preferred stockholders' equity
|
65,640 | 62,214 | ||||||
Total stockholders' equity
|
$ | 143,169 | $ | 132,571 |
|
·
|
$1.8 million for the quarterly dividends on the outstanding shares of Series D Cumulative Perpetual Preferred Stock at a stated rate of 5.00%, including the related discount accretion, paid up through redemption which occurred on September 15, 2011,
|
|
·
|
$1.2 million for the accelerated accretion of the remaining discount on the redeemed Series D Cumulative Perpetual Preferred Stock, and
|
|
·
|
$1.3 million for the three quarterly dividends on the outstanding shares of Series E Non-Cumulative Perpetual Preferred Stock at a stated dividend rate of 7.00%.
|
Name
|
Date Issued
|
Amount Issued
|
Interest Rate
|
Interest
Rate as of
9/30/11
|
Interest
Rate as of
12/31/10
|
|||||||||
QCR Holdings Statutory Trust II
|
February 2004
|
$ | 12,372,000 |
2.85% over 3-month LIBOR *
|
3.10% | 6.93% | ||||||||
QCR Holdings Statutory Trust III
|
February 2004
|
8,248,000 |
2.85% over 3-month LIBOR
|
3.10% | 3.15% | |||||||||
QCR Holdings Statutory Trust IV
|
May 2005
|
5,155,000 |
1.80% over 3-month LIBOR
|
2.05% | 2.09% | |||||||||
QCR Holdings Statutory Trust V
|
February 2006
|
10,310,000 |
1.55% over 3-month LIBOR **
|
1.80% | 6.62% | |||||||||
$ | 36,085,000 |
Date Issued
|
Aggregate Purchase Price
|
Stated Dividend Rate
|
|||||||
Series E Non-Cumulative Convertible Perpetual Preferred Stock
|
June 2010
|
25,000,000 | 7.00 | % | |||||
Series F Non-Cumulative Convertible Perpetual Preferred Stock
|
September 2011
|
40,090,000 | 5.00 | % * | |||||
$ | 65,090,000 |
Actual |
For Capital
Adequacy Purposes
|
To Be Well
Capitalized Under
|
||||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||||
As of September 30, 2011:
|
||||||||||||||||||||||||||
Company:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 190,428 | 14.01 | % | $ | 108,760 |
>
|
8.0 | % | N/A | N/A | |||||||||||||||
Tier 1 risk-based capital
|
168,803 | 12.42 | % | 54,380 |
>
|
4.0 | N/A | N/A | ||||||||||||||||||
Tier 1 leverage ratio
|
168,803 | 8.88 | % | 76,043 |
>
|
4.0 | N/A | N/A | ||||||||||||||||||
Quad City Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 96,477 | 13.16 | % | $ | 58,633 |
>
|
8.0 | % | $ | 73,291 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
87,836 | 11.98 | % | 29,317 |
>
|
4.0 | 43,975 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
87,836 | 8.35 | % | 42,083 |
>
|
4.0 | 52,604 |
>
|
5.00 | % | ||||||||||||||||
Cedar Rapids Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 56,670 | 14.43 | % | $ | 31,415 |
>
|
8.0 | % | $ | 39,269 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
51,734 | 13.17 | % | 15,708 |
>
|
4.0 | 23,561 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
51,734 | 9.04 | % | 22,891 |
>
|
4.0 | 28,613 |
>
|
5.00 | % | ||||||||||||||||
Rockford Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 35,878 | 15.18 | % | $ | 18,907 |
>
|
8.0 | % | $ | 23,634 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
32,913 | 13.93 | % | 9,454 |
>
|
4.0 | 14,180 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
32,913 | 11.44 | % | 11,507 |
>
|
4.0 | 14,383 |
>
|
5.00 | % |
To Be Well
|
||||||||||||||||||||||||||
Capitalized Under
|
||||||||||||||||||||||||||
For Capital
|
Prompt Corrective
|
|||||||||||||||||||||||||
Actual
|
Adequacy Purposes
|
Action Provisions
|
||||||||||||||||||||||||
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
|||||||||||||||||||||
As of December 31, 2010:
|
||||||||||||||||||||||||||
Company:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 183,030 | 13.70 | % | $ | 106,870 |
>
|
8.0 | % | N/A | N/A | |||||||||||||||
Tier 1 risk-based capital
|
161,939 | 12.12 | % | 53,435 |
>
|
4.0 | N/A | N/A | ||||||||||||||||||
Tier 1 leverage ratio
|
161,939 | 8.71 | % | 74,342 |
>
|
4.0 | N/A | N/A | ||||||||||||||||||
Quad City Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 95,875 | 13.12 | % | $ | 58,455 |
>
|
8.0 | % | $ | 73,069 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
86,821 | 11.88 | % | 29,228 |
>
|
4.0 | 43,841 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
86,821 | 8.48 | % | 40,965 |
>
|
4.0 | 51,206 |
>
|
5.00 | % | ||||||||||||||||
Cedar Rapids Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 55,401 | 14.14 | % | $ | 31,335 |
>
|
8.0 | % | $ | 39,169 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
50,465 | 12.88 | % | 15,667 |
>
|
4.0 | 23,501 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
50,465 | 9.03 | % | 22,354 |
>
|
4.0 | 27,942 |
>
|
5.00 | % | ||||||||||||||||
Rockford Bank & Trust:
|
||||||||||||||||||||||||||
Total risk-based capital
|
$ | 33,852 | 15.82 | % | $ | 17,119 |
>
|
8.0 | % | $ | 21,399 |
>
|
10.00 | % | ||||||||||||
Tier 1 risk-based capital
|
31,171 | 14.57 | % | 8,560 |
>
|
4.0 | 12,839 |
>
|
6.00 | % | ||||||||||||||||
Tier 1 leverage ratio
|
31,171 | 11.31 | % | 11,027 |
>
|
4.0 | 13,784 |
>
|
5.00 | % |
NET INTEREST INCOME EXPOSURE in YEAR 1
|
||||||||||||||||
INTEREST RATE SCENARIO
|
As of June 30, 2011
|
As of March 31, 2011
|
As of December 31, 2010
|
As of September 30, 2010
|
||||||||||||
100 basis point downward shift
|
-1.9 | % | -1.8 | % | -1.9 | % | -1.0 | % | ||||||||
200 basis point upward shift
|
-3.6 | % | -3.6 | % | -3.0 | % | -3.3 | % | ||||||||
300 basis point upward shift
|
-5.1 | % | -4.1 | % | -1.6 | % | -2.5 | % |
Item 1
|
Legal Proceedings
|
There are no material pending legal proceedings to which the Company or any of its subsidiaries is a party other than ordinary routine litigation incidental to their respective businesses.
|
Item 1.A. |
Risk Factors
|
There have been no material changes in the risk factors applicable to the Company from those disclosed in Part I, Item 1.A. “Risk Factors,” in the Company’s 2010 Annual Report on Form 10-K. Please refer to that section of the Company’s Form 10-K for disclosures regarding the risks and uncertainties related to the Company’s business.
|
Item 2 |
Unregistered Sales of Equity Securities and Use of Proceeds
|
On September 15, 2011, the Company entered into a Securities Purchase Agreement with the U.S. Secretary of the Treasury (“Treasury”), pursuant to which the Company issued and sold to Treasury 40,090 shares of Senior Non-Cumulative Perpetual Preferred Stock, Series F (“Series F Preferred Stock”), having a liquidation preference of $1,000 per share, for aggregate proceeds of $40,090,000. The Series F Preferred Stock was issued in a private placement exempt from registration pursuant to Section 4(2) of the Securities Act of 1933, as amended.
|
Item 6 |
Exhibits
|
3.1
|
Certificate of Incorporation of QCR Holdings, Inc., as amended.
|
4.1
|
Form of Stock Certificate for Senior Non-Cumulative Perpetual Preferred Stock, Series F (incorporated by reference to Exhibit 4.1 of the Registrant’s Form 8-K filed on September 16, 2011).
|
10.1
|
Securities Purchase Agreement, dated September 15, 2011, between the Company and the Secretary of the Treasury, with respect to the issuance and sale of Senior Non-Cumulative Perpetual Preferred Stock, Series F (incorporated by reference to Exhibit 10.1 of the Registrant’s Form 8-K filed on September 16, 2011).
|
10.2
|
Repurchase Document, dated September 15, 2011, between the Company and the United States Department of the Treasury, with respect to the repurchase of Fixed Rate Cumulative Perpetual Preferred Stock, Series D (incorporated by reference to Exhibit 10.2 of the Registrant’s Form 8-K filed on September 16, 2011).
|
31.1
|
Certification of Chief Executive Officer Pursuant to Rule 13a-14(a)/15d-14(a).
|
31.2
|
Certification of Chief Financial Officer Pursuant to Rule 13a-14(a)/15d-14(a).
|
32.1
|
Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
32.2
|
Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
101*
|
Interactive data files pursuant to Rule 405 of Regulation S-T: (i) Consolidated Balance Sheets as of September 30, 2011 and December 31, 2010; (ii) Consolidated Statements of Income for the three and nine months ended September 30, 2011 and September 30, 2010; (iii) Consolidated Statements of Changes in Stockholders’ Equity for the nine months ended September 30, 2011 and September 30, 2010; (iv) Consolidated Statements of Cash Flows for the nine months ended September 30, 2011 and September 30, 2010; and (v) Notes to Consolidated Financial Statements, tagged as blocks of text.
|
|
* As provided in Rule 406T of Regulation S-T, this information shall not be deemed “filed” for purposes of Sections 11 and 12 of the Securities Act of 1933 and Section 18 of the Securities Exchange Act of 1934, or otherwise subject to liability under those sections.
|
Date
November 8, 2011
|
|
/s/ Douglas M. Hultquist | |
Douglas M. Hultquist, President | |||
Chief Executive Officer | |||
Date
November 8, 2011
|
|
/s/ Todd A. Gipple | |
Todd A. Gipple, Executive Vice President | |||
Chief Operating Officer | |||
Chief Financial Officer |
Name
|
Mailing Address
|
|
John S. Gosma, Esq.
|
c/o Noyes, O’Brien, Gosma & Brooke
400 North Main Street, Suite 16
Davenport, Iowa 52801
|
(a)
|
any merger or consolidation of the corporation or of any Subsidiary with or into any other corporation;
|
(b)
|
any sale, lease, exchange or other disposition by the corporation or any Subsidiary of assets constituting all or substantially all of the assets of the corporation and its Subsidiaries taken as a whole to or with any other corporation, person or other entity in a single transaction or a series of related transactions;
|
(c)
|
any issuance or transfer by the corporation or any Subsidiary, of any voting securities of the corporation (except for voting securities issued pursuant to a stock option, purchase, bonus or other plan for natural persons who are directors, employees, consultants and/or agents of the corporation or any Subsidiary) to any other corporation, person or other entity in exchange for cash, assets or securities or a combination thereof; and
|
(d)
|
the voluntary dissolution of the corporation;
|
/s/ John S. Gosma
|
||||
John S. Gosma, Esq.
|
||||
Being the sole incorporator of the corporation.
|
QUAD CITY HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist
|
||||
President
|
/s/ Richard R. Horst
|
||
Richard R. Horst
|
||
Secretary
|
1.
|
The name of the corporation (hereinafter called the “Corporation”) is Quad City Holdings, Inc.
|
||
2.
|
The Certificate of Incorporation of the Corporation, which was filed by the Secretary of Delaware of February 4, 1993, is hereby corrected.
|
3.
|
The inaccuracy to be corrected in said instrument is as follows: the Certificate of Incorporation contains a typographical error in Article XV.
|
||
4.
|
Article XV of the Certificate of Incorporation is corrected to read as follows:
|
|
QUAD CITY HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist
|
||||
President
|
/s/ Richard R. Horst
|
||
Richard R. Horst
|
||
Secretary
|
ATTEST
|
QUAD CITY HOLDINGS, INC.
|
|||||||||
By:
|
/s/ Douglas M. Hultquist
|
By:
|
/s/ Michael A. Bauer
|
|||||||
Douglas M. Hultquist
|
Michael A. Bauer
|
|||||||||
President
|
Chairman of the Board
|
|||||||||
STATE OF IOWA
|
)
|
|||||||||
) SS:
|
||||||||||
COUNTY OF SCOTT
|
)
|
/s/ Patti Easley
|
||||
Notary Public
|
QUAD CITY HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist,
|
||||
President
|
1.
|
The name of the Corporation is: Quad City Holdings, Inc.
|
2.
|
Article I of the Certificate of Incorporation of the Corporation is hereby amended to read in its entirety as follows:
|
3.
|
The amendment to the Certificate of Incorporation herein certified has been duly adopted in accordance with the provisions of Section 242 of the General Corporation Law of the State of Delaware.
|
QUAD CITY HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist,
|
||||
President
|
1.
|
The name of the Corporation is: QCR Holdings, Inc.
|
2.
|
The first sentence of
Article XII
of the Certificate of Incorporation of the Corporation is hereby amended to read in its entirety as follows:
|
|
The number of directors constituting the entire board of directors shall not be less than three nor more than twelve as fixed from time to time by resolution of not less than 80% of the number of directors which immediately prior to such proposed change had been fixed, in the manner prescribed herein, by the board of directors of the corporation, provided, however, that the number of directors shall not be reduced as to shorten the term of any director at the time in office, and provided further, that the number of directors constituting the entire board of directors shall be nine until otherwise fixed as described immediately above.
|
3.
|
The following provision is hereby added to the Certificate of Incorporation of the Corporation as a new
Article XVI
to read in its entirety as follows:
|
4.
|
The amendment to the Certificate of Incorporation herein certified has been duly adopted in accordance with the provisions of Section 242 of the General Corporation Law of the State of Delaware.
|
QCR HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist,
|
||||
President
|
QCR HOLDINGS, INC.
|
||||
/s/ Todd A. Gipple
|
||||
Todd A. Gipple
|
||||
Executive Vice President and
Chief Financial Officer
|
QCR HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Douglas M. Hultquist,
|
||||
President
|
QCR HOLDINGS, INC.
|
||||
/s/ Todd A. Gipple
|
||||
Todd A Gipple
|
||||
Executive Vice President and
Chief Financial Officer
|
QCR HOLDINGS, INC.
|
||||
/s/ Todd A. Gipple
|
||||
Todd A. Gipple
|
||||
Executive Vice President and
Chief Financial Officer
|
QCR HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Name:
|
Douglas M. Hultquist
|
|||
Title:
|
President and Chief Executive Officer
|
QCR HOLDINGS, INC.
|
||||
By:
|
/s/ Douglas M. Hultquist
|
|||
Name:
|
Douglas M. Hultquist
|
|||
Title:
|
President and Chief Executive Office Officer
|
|
2.
|
The first sentence of
Article IV
of the Certificate of Incorporation of the Corporation is hereby amended to read in its entirety as follows:
|
|
3.
|
The first sentence of
Article XII
of the Certificate of Incorporation of the Corporation is hereby amended to read in its entirety as follows:
|
|
4.
|
The amendment to the Certificate of Incorporation herein certified has been duly adopted in accordance with the provisions of Section 242 of the General Corporation Law of the State of Delaware.
|
QCR Holdings, Inc. | |||
Date
|
/s/ Todd A. Gipple | ||
Todd A. Gipple | |||
Executive Vice President, Chief Operating Officer and Chief Financial Officer | |||
QCR Holdings, Inc.
|
|||
By:
|
/s/ Todd A. Gipple
|
||
Name:
|
Todd A. Gipple
|
||
Title:
|
Executive Vice President,
|
||
Chief Operating Officer, and
Chief Financial Officer
|
(1)
|
With respect to the Initial Dividend Period, the Applicable Dividend Rate shall be five percent (5.0000000%).
|
(2)
|
With respect to each of the second (2nd) through the tenth (10th) Dividend Periods, inclusive (in each case, the “
Current Period
”), the Applicable Dividend Rate shall be:
|
(3)
|
With respect to the eleventh (11th) through the eighteenth (18th) Dividend Periods, inclusive, and that portion of the nineteenth (19th) Dividend Period prior to, but not including, the four and one half (4½) year anniversary of the Original Issue Date, the Applicable Dividend Rate shall be:
|
(4)
|
With respect to (A) that portion of the nineteenth (19th) Dividend Period beginning on the four and one half (4½) year anniversary of the Original Issue Date and (B) all Dividend Periods thereafter, the Applicable Dividend Rate shall be nine percent (9%).
|
(5)
|
Notwithstanding anything herein to the contrary, if the Issuer fails to submit a Supplemental Report that is due during any of the second (2nd) through tenth (10th)
|
Dividend Periods on or before the sixtieth (60th) day of such Dividend Period, the Issuer’s QSBL for the Dividend Period that would have been covered by such Supplemental Report shall be zero (0) for purposes hereof.
|
(6)
|
Notwithstanding anything herein to the contrary, but subject to Section 3(a)(i)(5) above, if the Issuer fails to submit the Supplemental Report that is due during the tenth (10th) Dividend Period, the Issuer’s QSBL for the shall be zero (0) for purposes of calculating the Applicable Dividend Rate pursuant to Section 3(a)(i)(3) and (4). The Applicable Dividend Rate shall be re-determined effective as of the first day of the calendar quarter following the date such failure is remedied, provided it is remedied prior to the four and one half (4½) anniversary of the Original Issue Date.
|
(7)
|
Notwithstanding anything herein to the contrary, if the Issuer fails to submit any of the certificates required by Sections 3.1(d)(ii) or 3.1(d)(iii) of the Definitive Agreement when and as required thereby, the Issuer’s QSBL for the shall be zero (0) for purposes of calculating the Applicable Dividend Rate pursuant to Section 3(a)(i)(2) or (3) above until such failure is remedied.
|
(
|
( QSBL for the Dividend Period – Baseline )
|
)
|
x 100
|
|
Baseline
|
(1)
|
The Issuer, at its option, subject to the approval of the Appropriate Federal Banking Agency, may redeem, in whole or in part, at any time and from time to time, out of funds legally available therefor, the shares of Designated Preferred Stock at the time outstanding; and
|
(2)
|
If, after the Signing Date, there is a change in law that modifies the terms of Treasury’s investment in the Designated Preferred Stock or the terms of Treasury’s Small Business Lending Fund program in a materially adverse respect for the Issuer, the Issuer may, after consultation with the Appropriate Federal Banking Agency, redeem all of the shares of Designated Preferred Stock at the time outstanding.
|
(1)
|
the Liquidation Amount per share,
|
(2)
|
the per-share amount of any unpaid dividends for the then current Dividend Period at the Applicable Dividend Rate to, but excluding, the date fixed for redemption (regardless
|
of whether any dividends are actually declared for that Dividend Period; and
|
(3)
|
the pro rata amount of CPP Lending Incentive Fees for the current Dividend Period.
|
|
I, Douglas M. Hultquist, certify that:
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q/A Amendment No. 1 of QCR Holdings, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f) for the registrant and have:
|
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purpose in accordance with generally accepted accounting principles;
|
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent function):
|
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
|
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date: November 8, 2011
|
/s/ Douglas M. Hultquist | ||
Douglas M. Hultquist | |||
Chief Executive Officer | |||
|
I, Todd A. Gipple, certify that:
|
2.
|
I have reviewed this Quarterly Report on Form 10-Q/A Amendment No. 1 of QCR Holdings, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f) for the registrant and have:
|
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purpose in accordance with generally accepted accounting principles;
|
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent function):
|
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
|
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date: November 8, 2011
|
/s/ Todd A. Gipple | ||
Todd A. Gipple | |||
Chief Operating Officer | |||
Chief Financial Officer |
(1)
|
The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
|
(1)
|
The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
|