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Florida
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59-2260678
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(State or Other Jurisdiction of
Incorporation or Organization
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(I.R.S. Employer
Identification No.)
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815 COLORADO AVENUE,
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STUART
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FL
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34994
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(Address of Principal Executive Offices)
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(Zip Code)
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(772)
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287-4000
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(Registrant’s Telephone Number, Including Area Code)
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Common Stock
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SBCF
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Nasdaq Global Select Market
|
Large accelerated filer
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☒
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Accelerated filer
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☐
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Non-accelerated filer
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☐
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Smaller reporting company
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☐
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Emerging growth company
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☐
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PAGE #
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Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In thousands, except per share data)
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Interest and fees on loans
|
$
|
62,288
|
|
|
$
|
46,519
|
|
|
$
|
124,575
|
|
|
$
|
91,776
|
|
Interest and dividends on securities
|
9,076
|
|
|
9,605
|
|
|
18,346
|
|
|
19,209
|
|
||||
Interest on interest bearing deposits and other investments
|
873
|
|
|
585
|
|
|
1,791
|
|
|
1,201
|
|
||||
Total Interest Income
|
72,237
|
|
|
56,709
|
|
|
144,712
|
|
|
112,186
|
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||||
|
|
|
|
|
|
|
|
||||||||
Interest on deposits
|
4,825
|
|
|
1,988
|
|
|
8,698
|
|
|
3,526
|
|
||||
Interest on time certificates
|
5,724
|
|
|
2,629
|
|
|
10,683
|
|
|
4,808
|
|
||||
Interest on borrowed money
|
1,552
|
|
|
1,885
|
|
|
4,421
|
|
|
3,883
|
|
||||
Total Interest Expense
|
12,101
|
|
|
6,502
|
|
|
23,802
|
|
|
12,217
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Net Interest Income
|
60,136
|
|
|
50,207
|
|
|
120,910
|
|
|
99,969
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Provision for loan losses
|
2,551
|
|
|
2,529
|
|
|
3,948
|
|
|
3,614
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Net Interest Income after Provision for Loan Losses
|
57,585
|
|
|
47,678
|
|
|
116,962
|
|
|
96,355
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Noninterest income
|
|
|
|
|
|
|
|
||||||||
Other income
|
14,043
|
|
|
12,769
|
|
|
26,888
|
|
|
25,167
|
|
||||
Securities losses, net
|
(466
|
)
|
|
(48
|
)
|
|
(475
|
)
|
|
(150
|
)
|
||||
Total Noninterest Income (Note I)
|
13,577
|
|
|
12,721
|
|
|
26,413
|
|
|
25,017
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Total Noninterest Expenses (Note I)
|
41,000
|
|
|
38,246
|
|
|
84,099
|
|
|
75,410
|
|
||||
Income Before Income Taxes
|
30,162
|
|
|
22,153
|
|
|
59,276
|
|
|
45,962
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Provision for income taxes
|
6,909
|
|
|
5,189
|
|
|
13,318
|
|
|
10,971
|
|
||||
Net Income
|
$
|
23,253
|
|
|
$
|
16,964
|
|
|
$
|
45,958
|
|
|
$
|
34,991
|
|
|
|
|
|
|
|
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|
||||||||
Share Data
|
|
|
|
|
|
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|
||||||||
Net income per share of common stock
|
|
|
|
|
|
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|
||||||||
Diluted
|
$
|
0.45
|
|
|
$
|
0.35
|
|
|
$
|
0.88
|
|
|
$
|
0.73
|
|
Basic
|
0.45
|
|
|
0.36
|
|
|
0.89
|
|
|
0.74
|
|
||||
Average common shares outstanding
|
|
|
|
|
|
|
|
||||||||
Diluted
|
51,952
|
|
|
47,974
|
|
|
51,998
|
|
|
47,828
|
|
||||
Basic
|
51,446
|
|
|
47,165
|
|
|
51,403
|
|
|
47,059
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In thousands)
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Net Income
|
$
|
23,253
|
|
|
$
|
16,964
|
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|
$
|
45,958
|
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$
|
34,991
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
|
||||||||
Unrealized gains (losses) on securities available for sale
|
11,633
|
|
|
(5,995
|
)
|
|
24,309
|
|
|
(17,016
|
)
|
||||
Reclassification of unrealized losses on securities transferred to available for sale upon adoption of new accounting pronouncement
|
—
|
|
|
—
|
|
|
(730
|
)
|
|
—
|
|
||||
Amortization of unrealized losses on securities transferred to held to maturity, net
|
72
|
|
|
218
|
|
|
143
|
|
|
334
|
|
||||
Reclassification adjustment for losses included in net income
|
556
|
|
|
—
|
|
|
643
|
|
|
—
|
|
||||
(Provision) benefit for income taxes
|
(2,774
|
)
|
|
1,543
|
|
|
(6,035
|
)
|
|
4,439
|
|
||||
Total other comprehensive income (loss)
|
9,487
|
|
|
(4,234
|
)
|
|
18,330
|
|
|
(12,243
|
)
|
||||
Comprehensive Income
|
$
|
32,740
|
|
|
$
|
12,730
|
|
|
$
|
64,288
|
|
|
$
|
22,748
|
|
|
June 30,
|
|
December 31,
|
||||
(In thousands, except share data)
|
2019
|
|
2018
|
||||
Assets
|
|
|
|
|
|
||
Cash and due from banks
|
$
|
97,792
|
|
|
$
|
92,242
|
|
Interest bearing deposits with other banks
|
61,987
|
|
|
23,709
|
|
||
Total cash and cash equivalents
|
159,779
|
|
|
115,951
|
|
||
|
|
|
|
||||
Time deposits with other banks
|
4,980
|
|
|
8,243
|
|
||
|
|
|
|
||||
Debt securities:
|
|
|
|
||||
Securities available for sale (at fair value)
|
914,615
|
|
|
865,831
|
|
||
Securities held to maturity (fair value $288,450 at June 30, 2019 and $349,895 at December 31, 2018)
|
287,302
|
|
|
357,949
|
|
||
Total debt securities
|
1,201,917
|
|
|
1,223,780
|
|
||
|
|
|
|
||||
Loans held for sale (at fair value)
|
17,513
|
|
|
11,873
|
|
||
|
|
|
|
||||
Loans
|
4,888,139
|
|
|
4,825,214
|
|
||
Less: Allowance for loan losses
|
(33,505
|
)
|
|
(32,423
|
)
|
||
Loans, net of allowance for loan losses
|
4,854,634
|
|
|
4,792,791
|
|
||
|
|
|
|
||||
Bank premises and equipment, net
|
68,738
|
|
|
71,024
|
|
||
Other real estate owned
|
11,043
|
|
|
12,802
|
|
||
Goodwill
|
205,260
|
|
|
204,753
|
|
||
Other intangible assets, net
|
22,672
|
|
|
25,977
|
|
||
Bank owned life insurance
|
125,233
|
|
|
123,394
|
|
||
Net deferred tax assets
|
19,353
|
|
|
28,954
|
|
||
Other assets
|
133,764
|
|
|
128,117
|
|
||
Total Assets
|
$
|
6,824,886
|
|
|
$
|
6,747,659
|
|
|
|
|
|
||||
Liabilities
|
|
|
|
||||
Deposits
|
$
|
5,541,209
|
|
|
$
|
5,177,240
|
|
Securities sold under agreements to repurchase, maturing within 30 days
|
82,015
|
|
|
214,323
|
|
||
Federal Home Loan Bank (FHLB) borrowings
|
140,000
|
|
|
380,000
|
|
||
Subordinated debt
|
70,944
|
|
|
70,804
|
|
||
Other liabilities
|
60,479
|
|
|
41,025
|
|
||
Total Liabilities
|
5,894,647
|
|
|
5,883,392
|
|
||
|
|
|
|
||||
Shareholders' Equity
|
|
|
|
||||
Common stock, par value $0.10 per share, authorized 120,000,000 shares, issued 51,711,513 and outstanding 51,460,617 at June 30, 2019, and authorized 120,000,000, issued 51,514,734 and outstanding 51,361,079 shares at December 31, 2018
|
5,146
|
|
|
5,136
|
|
||
Other shareholders' equity
|
925,093
|
|
|
859,131
|
|
||
Total Shareholders' Equity
|
930,239
|
|
|
864,267
|
|
||
Total Liabilities and Shareholders' Equity
|
$
|
6,824,886
|
|
|
$
|
6,747,659
|
|
|
Six Months Ended June 30,
|
||||||
(In thousands)
|
2019
|
|
2018
|
||||
Cash Flows from Operating Activities
|
|
|
|
|
|
||
Net income
|
$
|
45,958
|
|
|
$
|
34,991
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
||||
Depreciation
|
3,308
|
|
|
3,134
|
|
||
Amortization of premiums and discounts on securities, net
|
1,223
|
|
|
1,732
|
|
||
Amortization of operating lease right-of-use assets
|
2,041
|
|
|
—
|
|
||
Other amortization and accretion, net
|
(1,632
|
)
|
|
225
|
|
||
Stock based compensation
|
4,027
|
|
|
3,622
|
|
||
Origination of loans designated for sale
|
(139,219
|
)
|
|
(159,991
|
)
|
||
Sale of loans designated for sale
|
138,961
|
|
|
173,385
|
|
||
Provision for loan losses
|
3,948
|
|
|
3,614
|
|
||
Deferred income taxes
|
3,736
|
|
|
4,559
|
|
||
Losses on sale of securities
|
643
|
|
|
—
|
|
||
Gains on sale of loans
|
(3,980
|
)
|
|
(5,277
|
)
|
||
(Gains) losses on sale and write-downs of other real estate owned
|
(408
|
)
|
|
298
|
|
||
Losses on disposition of fixed assets
|
464
|
|
|
231
|
|
||
Changes in operating assets and liabilities, net of effects from acquired companies:
|
|
|
|
||||
Net increase in other assets
|
(21
|
)
|
|
(2,103
|
)
|
||
Net (decrease) increase in other liabilities
|
(9,623
|
)
|
|
3,184
|
|
||
Net cash provided by operating activities
|
49,426
|
|
|
61,604
|
|
||
|
|
|
|
||||
Cash Flows from Investing Activities
|
|
|
|
||||
Maturities and repayments of debt securities available for sale
|
41,564
|
|
|
77,860
|
|
||
Maturities and repayments of debt securities held to maturity
|
16,935
|
|
|
34,360
|
|
||
Proceeds from sale of debt securities available for sale
|
73,297
|
|
|
—
|
|
||
Purchases of debt securities available for sale
|
(87,433
|
)
|
|
(101,354
|
)
|
||
Maturities of time deposits with other banks
|
3,263
|
|
|
1,991
|
|
||
Net new loans and principal repayments
|
(12,017
|
)
|
|
(161,038
|
)
|
||
Purchases of loans held for investment
|
(50,562
|
)
|
|
—
|
|
||
Proceeds from sale of other real estate owned
|
2,722
|
|
|
5,184
|
|
||
Proceeds from sale of FHLB and Federal Reserve Bank Stock
|
29,070
|
|
|
20,570
|
|
||
Purchase of FHLB and Federal Reserve Bank Stock
|
(22,648
|
)
|
|
(23,055
|
)
|
||
Proceeds from sale of Visa Class B Stock
|
—
|
|
|
21,333
|
|
||
Redemption of bank owned life insurance
|
12,378
|
|
|
4,232
|
|
||
Additions to bank premises and equipment
|
(1,485
|
)
|
|
(2,475
|
)
|
||
Net cash provided by (used in) investing activities
|
5,084
|
|
|
(122,392
|
)
|
|
Six Months Ended June 30,
|
||||||
(In thousands)
|
2019
|
|
2018
|
||||
Cash Flows from Financing Activities
|
|
|
|
|
|
||
Net increase in deposits
|
$
|
363,969
|
|
|
$
|
104,720
|
|
Net decrease in federal funds purchased and repurchase agreements
|
(132,308
|
)
|
|
(16,044
|
)
|
||
Net decrease in FHLB borrowings with original maturities of three months or less
|
(177,000
|
)
|
|
(66,000
|
)
|
||
Repayments of FHLB borrowings with original maturities of more than three months
|
(63,000
|
)
|
|
—
|
|
||
Proceeds from FHLB borrowings with original maturities of more than three months
|
—
|
|
|
60,000
|
|
||
Stock based employee benefit plans
|
(2,343
|
)
|
|
129
|
|
||
Dividends paid
|
—
|
|
|
—
|
|
||
Net cash (used in) provided by financing activities
|
(10,682
|
)
|
|
82,805
|
|
||
Net increase in cash and cash equivalents
|
43,828
|
|
|
22,017
|
|
||
Cash and cash equivalents at beginning of period
|
115,951
|
|
|
109,504
|
|
||
Cash and cash equivalents at end of period
|
$
|
159,779
|
|
|
$
|
131,521
|
|
|
|
|
|
||||
Supplemental disclosure of cash flow information:
|
|
|
|
||||
Cash paid during the period for interest
|
$
|
23,200
|
|
|
$
|
11,919
|
|
Cash paid during the period for taxes
|
6,000
|
|
|
6,200
|
|
||
Initial recognition of operating lease right-of-use assets
|
29,077
|
|
|
—
|
|
||
Initial recognition of operating lease liabilities
|
33,403
|
|
|
—
|
|
||
|
|
|
|
||||
Supplemental disclosure of non cash investing activities:
|
|
|
|
||||
Transfer of debt securities from held to maturity to available for sale
|
$
|
52,796
|
|
|
$
|
—
|
|
Transfers from loans to other real estate owned
|
555
|
|
|
4,207
|
|
||
Transfers from bank premises to other real estate owned
|
—
|
|
|
2,052
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
Other |
|
|
|||||||||||||
|
|
Common Stock
|
|
Paid-in
|
|
Retained
|
|
Treasury
|
|
Comprehensive
|
|
|
|||||||||||||||
(In thousands)
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Stock
|
|
Income (Loss)
|
|
Total
|
|||||||||||||
Balance at March 31, 2019
|
|
51,414
|
|
|
$
|
5,141
|
|
|
$
|
780,680
|
|
|
$
|
119,779
|
|
|
$
|
(4,959
|
)
|
|
$
|
(4,217
|
)
|
|
$
|
896,424
|
|
Comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23,253
|
|
|
—
|
|
|
9,487
|
|
|
32,740
|
|
||||||
Stock based compensation expense
|
|
—
|
|
|
—
|
|
|
1,899
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,899
|
|
||||||
Common stock issued for stock based employee benefit plans
|
|
22
|
|
|
2
|
|
|
(12
|
)
|
|
—
|
|
|
(1,178
|
)
|
|
—
|
|
|
(1,188
|
)
|
||||||
Common stock issued for stock options
|
|
25
|
|
|
3
|
|
|
361
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
364
|
|
||||||
Three months ended June 30, 2019
|
|
47
|
|
|
5
|
|
|
2,248
|
|
|
23,253
|
|
|
(1,178
|
)
|
|
9,487
|
|
|
33,815
|
|
||||||
Balance at June 30, 2019
|
|
51,461
|
|
|
$
|
5,146
|
|
|
$
|
782,928
|
|
|
$
|
143,032
|
|
|
$
|
(6,137
|
)
|
|
$
|
5,270
|
|
|
$
|
930,239
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
Other |
|
|
|||||||||||||
|
|
Common Stock
|
|
Paid-in
|
|
Retained
|
|
Treasury
|
|
Comprehensive
|
|
|
|||||||||||||||
(In thousands)
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Stock
|
|
Income (Loss)
|
|
Total
|
|||||||||||||
Balance at March 31, 2018
|
|
46,983
|
|
|
$
|
4,698
|
|
|
$
|
663,727
|
|
|
$
|
47,826
|
|
|
$
|
(2,279
|
)
|
|
$
|
(12,110
|
)
|
|
$
|
701,862
|
|
Comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,964
|
|
|
—
|
|
|
(4,234
|
)
|
|
12,730
|
|
||||||
Stock based compensation expense
|
|
—
|
|
|
—
|
|
|
2,167
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,167
|
|
||||||
Common stock issued for stock based employee benefit plans
|
|
(6
|
)
|
|
17
|
|
|
(11
|
)
|
|
—
|
|
|
(605
|
)
|
|
—
|
|
|
(599
|
)
|
||||||
Common stock issued for stock options
|
|
187
|
|
|
1
|
|
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3
|
|
||||||
Three months ended June 30, 2018
|
|
181
|
|
|
18
|
|
|
2,158
|
|
|
16,964
|
|
|
(605
|
)
|
|
(4,234
|
)
|
|
14,301
|
|
||||||
Balance at June 30, 2018
|
|
47,164
|
|
|
$
|
4,716
|
|
|
$
|
665,885
|
|
|
$
|
64,790
|
|
|
$
|
(2,884
|
)
|
|
$
|
(16,344
|
)
|
|
$
|
716,163
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
Other |
|
|
|||||||||||||
|
|
Common Stock
|
|
Paid-in
|
|
Retained
|
|
Treasury
|
|
Comprehensive
|
|
|
|||||||||||||||
(In thousands)
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Stock
|
|
Income (Loss)
|
|
Total
|
|||||||||||||
Balance at December 31, 2018
|
|
51,361
|
|
|
$
|
5,136
|
|
|
$
|
778,501
|
|
|
$
|
97,074
|
|
|
$
|
(3,384
|
)
|
|
$
|
(13,060
|
)
|
|
$
|
864,267
|
|
Comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
45,958
|
|
|
—
|
|
|
18,330
|
|
|
64,288
|
|
||||||
Stock based compensation expense
|
|
—
|
|
|
—
|
|
|
4,028
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,028
|
|
||||||
Common stock issued for stock based employee benefit plans
|
|
71
|
|
|
7
|
|
|
(26
|
)
|
|
—
|
|
|
(2,753
|
)
|
|
—
|
|
|
(2,772
|
)
|
||||||
Common stock issued for stock options
|
|
29
|
|
|
3
|
|
|
425
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
428
|
|
||||||
Six months ended June 30, 2019
|
|
100
|
|
|
10
|
|
|
4,427
|
|
|
45,958
|
|
|
(2,753
|
)
|
|
18,330
|
|
|
65,972
|
|
||||||
Balance at June 30, 2019
|
|
51,461
|
|
|
$
|
5,146
|
|
|
$
|
782,928
|
|
|
$
|
143,032
|
|
|
$
|
(6,137
|
)
|
|
$
|
5,270
|
|
|
$
|
930,239
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
Other |
|
|
|||||||||||||
|
|
Common Stock
|
|
Paid-in
|
|
Retained
|
|
Treasury
|
|
Comprehensive
|
|
|
|||||||||||||||
(In thousands)
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Stock
|
|
Income (Loss)
|
|
Total
|
|||||||||||||
Balance at December 31, 2017
|
|
46,918
|
|
|
$
|
4,693
|
|
|
$
|
661,632
|
|
|
$
|
29,914
|
|
|
$
|
(2,359
|
)
|
|
$
|
(4,216
|
)
|
|
$
|
689,664
|
|
Comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,991
|
|
|
—
|
|
|
(12,243
|
)
|
|
22,748
|
|
||||||
Reclassification of unrealized losses on equity investment upon adoption of new accounting pronouncement
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(115
|
)
|
|
—
|
|
|
115
|
|
|
—
|
|
||||||
Stock based compensation expense
|
|
—
|
|
|
—
|
|
|
3,622
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,622
|
|
||||||
Common stock issued for stock based employee benefit plans
|
|
(3
|
)
|
|
17
|
|
|
(13
|
)
|
|
—
|
|
|
(525
|
)
|
|
—
|
|
|
(521
|
)
|
||||||
Common stock issued for stock options
|
|
249
|
|
|
6
|
|
|
644
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
650
|
|
||||||
Six months ended June 30, 2018
|
|
246
|
|
|
23
|
|
|
4,253
|
|
|
34,876
|
|
|
(525
|
)
|
|
(12,128
|
)
|
|
26,499
|
|
||||||
Balance at June 30, 2018
|
|
47,164
|
|
|
$
|
4,716
|
|
|
$
|
665,885
|
|
|
$
|
64,790
|
|
|
$
|
(2,884
|
)
|
|
$
|
(16,344
|
)
|
|
$
|
716,163
|
|
|
|
January 1, 2019
|
||||||||||
(In thousands)
|
|
Amortized Cost
|
|
Net Unrealized Gain (Loss) Reflected in OCI
|
|
Fair Value
|
||||||
Private mortgage-backed securities and collateralized mortgage obligations
|
|
$
|
21,526
|
|
|
$
|
147
|
|
|
$
|
21,673
|
|
Collateralized loan obligations
|
|
32,000
|
|
|
(877
|
)
|
|
31,123
|
|
|||
Totals
|
|
$
|
53,526
|
|
|
$
|
(730
|
)
|
|
$
|
52,796
|
|
ASU 2016-13, Financial Instruments –Credit Losses (Topic 326)
|
|
Description
|
In June 2016, FASB issued guidance to replace the incurred loss model with an expected loss model, which is referred to as the current expected credit loss (CECL) model. The CECL model is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held to maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (i.e. loan commitments, standby letters of credit, financial guarantees and other similar instruments).
|
Date of Adoption
|
This amendment is effective for SEC registrants that are not Smaller Reporting Companies, including the Company, for reporting periods beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted only as of annual reporting periods after December 15, 2018, including interim reporting periods within that period.
|
Effect on the Consolidated Financial Statements
|
The Company continues to validate and refine the credit loss estimation techniques and related processes that have been developed. Updates to business processes and the documentation of accounting policy decisions are ongoing. The Company expects to recognize an increase in the allowance for credit losses upon adoption, which will be recorded as a one-time cumulative adjustment to retained earnings at the adoption date, January 1, 2020. However, the magnitude of the impact on the Company's consolidated financial statements has not yet been determined.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(Dollars in thousands, except per share data)
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Basic earnings per share
|
|
|
|
|
|
|
|
||||||||
Net income
|
$
|
23,253
|
|
|
$
|
16,964
|
|
|
$
|
45,958
|
|
|
$
|
34,991
|
|
Average common shares outstanding
|
51,446
|
|
|
47,165
|
|
|
51,403
|
|
|
47,059
|
|
||||
Net income per share
|
$
|
0.45
|
|
|
$
|
0.36
|
|
|
$
|
0.89
|
|
|
$
|
0.74
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per share
|
|
|
|
|
|
|
|
||||||||
Net income
|
$
|
23,253
|
|
|
$
|
16,964
|
|
|
$
|
45,958
|
|
|
$
|
34,991
|
|
Average common shares outstanding
|
51,446
|
|
|
47,165
|
|
|
51,403
|
|
|
47,059
|
|
||||
Add: Dilutive effect of employee restricted stock and stock options
|
506
|
|
|
809
|
|
|
595
|
|
|
769
|
|
||||
Average diluted shares outstanding
|
51,952
|
|
|
47,974
|
|
|
51,998
|
|
|
47,828
|
|
||||
Net income per share
|
$
|
0.45
|
|
|
$
|
0.35
|
|
|
$
|
0.88
|
|
|
$
|
0.73
|
|
|
June 30, 2019
|
||||||||||||||
(In thousands)
|
Amortized
Cost
|
|
Gross Unrealized
Gains
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
||||||||
Debt securities available for sale
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities and obligations of U.S. Government Sponsored Entities
|
$
|
10,781
|
|
|
$
|
240
|
|
|
$
|
—
|
|
|
$
|
11,021
|
|
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
554,889
|
|
|
7,072
|
|
|
(1,610
|
)
|
|
560,351
|
|
||||
Private mortgage-backed securities and collateralized mortgage obligations
|
64,224
|
|
|
1,692
|
|
|
(5
|
)
|
|
65,911
|
|
||||
Collateralized loan obligations
|
242,702
|
|
|
2
|
|
|
(1,133
|
)
|
|
241,571
|
|
||||
Obligations of state and political subdivisions
|
34,837
|
|
|
1,035
|
|
|
(111
|
)
|
|
35,761
|
|
||||
Totals
|
$
|
907,433
|
|
|
$
|
10,041
|
|
|
$
|
(2,859
|
)
|
|
$
|
914,615
|
|
|
|
|
|
|
|
|
|
||||||||
Debt securities held to maturity
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities of U.S. Government Sponsored Entities
|
$
|
287,302
|
|
|
$
|
2,910
|
|
|
$
|
(1,762
|
)
|
|
$
|
288,450
|
|
Totals
|
$
|
287,302
|
|
|
$
|
2,910
|
|
|
$
|
(1,762
|
)
|
|
$
|
288,450
|
|
|
December 31, 2018
|
||||||||||||||
(In thousands)
|
Amortized
Cost
|
|
Gross Unrealized
Gains
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
||||||||
Debt securities available for sale
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities and obligations of U.S. Government Sponsored Entities
|
$
|
7,200
|
|
|
$
|
106
|
|
|
$
|
(6
|
)
|
|
$
|
7,300
|
|
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
567,753
|
|
|
300
|
|
|
(14,047
|
)
|
|
554,006
|
|
||||
Private mortgage-backed securities and collateralized mortgage obligations
|
55,569
|
|
|
560
|
|
|
(401
|
)
|
|
55,728
|
|
||||
Collateralized loan obligations
|
212,807
|
|
|
1
|
|
|
(3,442
|
)
|
|
209,366
|
|
||||
Obligations of state and political subdivisions
|
39,543
|
|
|
339
|
|
|
(451
|
)
|
|
39,431
|
|
||||
Totals
|
$
|
882,872
|
|
|
$
|
1,306
|
|
|
$
|
(18,347
|
)
|
|
$
|
865,831
|
|
|
|
|
|
|
|
|
|
||||||||
Debt securities held to maturity
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities of U.S. Government Sponsored Entities
|
$
|
304,423
|
|
|
$
|
—
|
|
|
$
|
(7,324
|
)
|
|
$
|
297,099
|
|
Private mortgage-backed securities and collateralized mortgage obligations
|
21,526
|
|
|
277
|
|
|
(130
|
)
|
|
21,673
|
|
||||
Collateralized loan obligations
|
32,000
|
|
|
—
|
|
|
(877
|
)
|
|
31,123
|
|
||||
Totals
|
$
|
357,949
|
|
|
$
|
277
|
|
|
$
|
(8,331
|
)
|
|
$
|
349,895
|
|
|
Held to Maturity
|
|
Available for Sale
|
||||||||||||
(In thousands)
|
Amortized
Cost
|
|
Fair
Value
|
|
Amortized
Cost
|
|
Fair
Value
|
||||||||
Due in less than one year
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
8,262
|
|
|
$
|
8,288
|
|
Due after one year through five years
|
—
|
|
|
—
|
|
|
120,813
|
|
|
120,747
|
|
||||
Due after five years through ten years
|
—
|
|
|
—
|
|
|
150,800
|
|
|
150,501
|
|
||||
Due after ten years
|
—
|
|
|
—
|
|
|
8,445
|
|
|
8,817
|
|
||||
|
—
|
|
|
—
|
|
|
288,320
|
|
|
288,353
|
|
||||
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
287,302
|
|
|
288,450
|
|
|
554,889
|
|
|
560,351
|
|
||||
Private mortgage-backed securities and collateralized mortgage obligations
|
—
|
|
|
—
|
|
|
64,224
|
|
|
65,911
|
|
||||
Totals
|
$
|
287,302
|
|
|
$
|
288,450
|
|
|
$
|
907,433
|
|
|
$
|
914,615
|
|
|
June 30, 2019
|
||||||||||||||||||||||
|
Less Than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
||||||||||||
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
$
|
54,200
|
|
|
$
|
(236
|
)
|
|
$
|
221,222
|
|
|
$
|
(3,136
|
)
|
|
$
|
275,422
|
|
|
$
|
(3,372
|
)
|
Private mortgage-backed securities and collateralized mortgage obligations
|
11,343
|
|
|
(5
|
)
|
|
—
|
|
|
—
|
|
|
11,343
|
|
|
(5
|
)
|
||||||
Collateralized loan obligations
|
183,452
|
|
|
(635
|
)
|
|
53,002
|
|
|
(498
|
)
|
|
236,454
|
|
|
(1,133
|
)
|
||||||
Obligations of state and political subdivisions
|
—
|
|
|
—
|
|
|
3,577
|
|
|
(111
|
)
|
|
3,577
|
|
|
(111
|
)
|
||||||
Totals
|
$
|
248,995
|
|
|
$
|
(876
|
)
|
|
$
|
277,801
|
|
|
$
|
(3,745
|
)
|
|
$
|
526,796
|
|
|
$
|
(4,621
|
)
|
|
December 31, 2018
|
||||||||||||||||||||||
|
Less Than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
|
Fair
Value
|
|
Unrealized
Losses
|
||||||||||||
U.S. Treasury securities and obligations of U.S. Government Sponsored Entities
|
$
|
99
|
|
|
$
|
(1
|
)
|
|
$
|
642
|
|
|
$
|
(5
|
)
|
|
$
|
741
|
|
|
$
|
(6
|
)
|
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
200,184
|
|
|
(2,235
|
)
|
|
623,420
|
|
|
(19,136
|
)
|
|
823,604
|
|
|
(21,371
|
)
|
||||||
Private mortgage-backed securities and collateralized mortgage obligations
|
20,071
|
|
|
(344
|
)
|
|
12,739
|
|
|
(187
|
)
|
|
32,810
|
|
|
(531
|
)
|
||||||
Collateralized loan obligations
|
238,894
|
|
|
(4,319
|
)
|
|
—
|
|
|
—
|
|
|
238,894
|
|
|
(4,319
|
)
|
||||||
Obligations of state and political subdivisions
|
19,175
|
|
|
(241
|
)
|
|
9,553
|
|
|
(210
|
)
|
|
28,728
|
|
|
(451
|
)
|
||||||
Totals
|
$
|
478,423
|
|
|
$
|
(7,140
|
)
|
|
$
|
646,354
|
|
|
$
|
(19,538
|
)
|
|
$
|
1,124,777
|
|
|
$
|
(26,678
|
)
|
|
June 30, 2019
|
||||||||||||||
(In thousands)
|
Portfolio Loans
|
|
PCI Loans
|
|
PULs
|
|
Total
|
||||||||
Construction and land development
|
$
|
300,182
|
|
|
$
|
155
|
|
|
$
|
79,654
|
|
|
$
|
379,991
|
|
Commercial real estate
|
1,552,024
|
|
|
10,324
|
|
|
627,937
|
|
|
2,190,285
|
|
||||
Residential real estate
|
1,153,951
|
|
|
2,468
|
|
|
243,765
|
|
|
1,400,184
|
|
||||
Commercial and financial
|
605,237
|
|
|
634
|
|
|
95,876
|
|
|
701,747
|
|
||||
Consumer
|
205,964
|
|
|
—
|
|
|
9,968
|
|
|
215,932
|
|
||||
Totals1
|
$
|
3,817,358
|
|
|
$
|
13,581
|
|
|
$
|
1,057,200
|
|
|
$
|
4,888,139
|
|
|
December 31, 2018
|
||||||||||||||
(In thousands)
|
Portfolio Loans
|
|
PCI Loans
|
|
PULs
|
|
Total
|
||||||||
Construction and land development
|
$
|
301,473
|
|
|
$
|
151
|
|
|
$
|
141,944
|
|
|
$
|
443,568
|
|
Commercial real estate
|
1,437,989
|
|
|
10,828
|
|
|
683,249
|
|
|
2,132,066
|
|
||||
Residential real estate
|
1,055,525
|
|
|
2,718
|
|
|
266,134
|
|
|
1,324,377
|
|
||||
Commercial and financial
|
603,057
|
|
|
737
|
|
|
118,528
|
|
|
722,322
|
|
||||
Consumer
|
190,207
|
|
|
—
|
|
|
12,674
|
|
|
202,881
|
|
||||
Totals1
|
$
|
3,588,251
|
|
|
$
|
14,434
|
|
|
$
|
1,222,529
|
|
|
$
|
4,825,214
|
|
1Net loan balances as of June 30, 2019 and December 31, 2018 include deferred costs of $18.2 million and $16.9 million for each period, respectively.
|
|
June 30, 2019
|
||||||||||||||||||||||
(In thousands)
|
Current
|
|
Accruing
30-59 Days
Past Due
|
|
Accruing
60-89 Days
Past Due
|
|
Accruing
Greater
Than
90 Days
|
|
Nonaccrual
|
|
Total
Financing
Receivables
|
||||||||||||
Portfolio Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Construction and land development
|
$
|
295,828
|
|
|
$
|
—
|
|
|
$
|
4,328
|
|
|
$
|
—
|
|
|
$
|
26
|
|
|
$
|
300,182
|
|
Commercial real estate
|
1,543,584
|
|
|
1,098
|
|
|
1,423
|
|
|
—
|
|
|
5,919
|
|
|
1,552,024
|
|
||||||
Residential real estate
|
1,143,397
|
|
|
2,686
|
|
|
121
|
|
|
—
|
|
|
7,747
|
|
|
1,153,951
|
|
||||||
Commercial and financial
|
597,048
|
|
|
5,764
|
|
|
221
|
|
|
172
|
|
|
2,032
|
|
|
605,237
|
|
||||||
Consumer
|
205,157
|
|
|
374
|
|
|
306
|
|
|
41
|
|
|
86
|
|
|
205,964
|
|
||||||
Total Portfolio Loans
|
3,785,014
|
|
|
9,922
|
|
|
6,399
|
|
|
213
|
|
|
15,810
|
|
|
3,817,358
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased Unimpaired Loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
78,693
|
|
|
387
|
|
|
—
|
|
|
—
|
|
|
574
|
|
|
79,654
|
|
||||||
Commercial real estate
|
625,472
|
|
|
166
|
|
|
326
|
|
|
—
|
|
|
1,973
|
|
|
627,937
|
|
||||||
Residential real estate
|
242,698
|
|
|
—
|
|
|
131
|
|
|
—
|
|
|
936
|
|
|
243,765
|
|
||||||
Commercial and financial
|
95,311
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
565
|
|
|
95,876
|
|
||||||
Consumer
|
9,938
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
30
|
|
|
9,968
|
|
||||||
Total PULs
|
1,052,112
|
|
|
553
|
|
|
457
|
|
|
—
|
|
|
4,078
|
|
|
1,057,200
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased Credit Impaired Loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
141
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14
|
|
|
155
|
|
||||||
Commercial real estate
|
9,353
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
971
|
|
|
10,324
|
|
||||||
Residential real estate
|
562
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,906
|
|
|
2,468
|
|
||||||
Commercial and financial
|
617
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
17
|
|
|
634
|
|
||||||
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total PCI Loans
|
10,673
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,908
|
|
|
13,581
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Total Loans
|
$
|
4,847,799
|
|
|
$
|
10,475
|
|
|
$
|
6,856
|
|
|
$
|
213
|
|
|
$
|
22,796
|
|
|
$
|
4,888,139
|
|
|
December 31, 2018
|
||||||||||||||||||||||
(In thousands)
|
Current
|
|
Accruing
30-59 Days
Past Due
|
|
Accruing
60-89 Days
Past Due
|
|
Accruing
Greater
Than
90 Days
|
|
Nonaccrual
|
|
Total
Financing
Receivables
|
||||||||||||
Portfolio Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Construction and land development
|
$
|
301,348
|
|
|
$
|
97
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
28
|
|
|
$
|
301,473
|
|
Commercial real estate
|
1,427,413
|
|
|
3,852
|
|
|
97
|
|
|
141
|
|
|
6,486
|
|
|
1,437,989
|
|
||||||
Residential real estate
|
1,044,375
|
|
|
2,524
|
|
|
525
|
|
|
295
|
|
|
7,806
|
|
|
1,055,525
|
|
||||||
Commercial and financial
|
594,930
|
|
|
5,186
|
|
|
1,661
|
|
|
—
|
|
|
1,280
|
|
|
603,057
|
|
||||||
Consumer
|
189,061
|
|
|
637
|
|
|
326
|
|
|
—
|
|
|
183
|
|
|
190,207
|
|
||||||
Total Portfolio Loans
|
3,557,127
|
|
|
12,296
|
|
|
2,609
|
|
|
436
|
|
|
15,783
|
|
|
3,588,251
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased Unimpaired Loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
140,013
|
|
|
1,931
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
141,944
|
|
||||||
Commercial real estate
|
680,060
|
|
|
1,846
|
|
|
—
|
|
|
—
|
|
|
1,343
|
|
|
683,249
|
|
||||||
Residential real estate
|
260,781
|
|
|
1,523
|
|
|
—
|
|
|
90
|
|
|
3,740
|
|
|
266,134
|
|
||||||
Commercial and financial
|
116,173
|
|
|
342
|
|
|
—
|
|
|
—
|
|
|
2,013
|
|
|
118,528
|
|
||||||
Consumer
|
12,643
|
|
|
—
|
|
|
31
|
|
|
—
|
|
|
—
|
|
|
12,674
|
|
||||||
Total PULs
|
1,209,670
|
|
|
5,642
|
|
|
31
|
|
|
90
|
|
|
7,096
|
|
|
1,222,529
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased Credit Impaired Loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
135
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16
|
|
|
151
|
|
||||||
Commercial real estate
|
8,403
|
|
|
1,034
|
|
|
—
|
|
|
—
|
|
|
1,391
|
|
|
10,828
|
|
||||||
Residential real estate
|
556
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,162
|
|
|
2,718
|
|
||||||
Commercial and financial
|
74
|
|
|
635
|
|
|
—
|
|
|
—
|
|
|
28
|
|
|
737
|
|
||||||
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total PCI Loans
|
9,168
|
|
|
1,669
|
|
|
—
|
|
|
—
|
|
|
3,597
|
|
|
14,434
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Total Loans
|
$
|
4,775,965
|
|
|
$
|
19,607
|
|
|
$
|
2,640
|
|
|
$
|
526
|
|
|
$
|
26,476
|
|
|
$
|
4,825,214
|
|
•
|
Pass: Loans that are not problem loans or potential problem loans are considered to be pass-rated.
|
•
|
Special Mention: Loans that do not currently expose the Company to sufficient risk to warrant classification in the Substandard or Doubtful categories, but possess weaknesses that deserve management's close attention are deemed to be Special Mention.
|
•
|
Substandard: Loans with the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected.
|
•
|
Doubtful: Loans that have all the weaknesses inherent in those classified Substandard with the added characteristic that the weakness present makes collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. The principal balance of loans classified as doubtful are likely to be charged off.
|
|
June 30, 2019
|
||||||||||||||||||
(In thousands)
|
Pass
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Construction and land development
|
$
|
372,287
|
|
|
$
|
2,534
|
|
|
$
|
5,170
|
|
|
$
|
—
|
|
|
$
|
379,991
|
|
Commercial real estate
|
2,123,840
|
|
|
39,942
|
|
|
26,503
|
|
|
—
|
|
|
2,190,285
|
|
|||||
Residential real estate
|
1,375,087
|
|
|
5,148
|
|
|
19,949
|
|
|
—
|
|
|
1,400,184
|
|
|||||
Commercial and financial
|
684,628
|
|
|
10,806
|
|
|
6,019
|
|
|
294
|
|
|
701,747
|
|
|||||
Consumer
|
212,444
|
|
|
2,421
|
|
|
1,067
|
|
|
—
|
|
|
215,932
|
|
|||||
Totals
|
$
|
4,768,286
|
|
|
$
|
60,851
|
|
|
$
|
58,708
|
|
|
$
|
294
|
|
|
$
|
4,888,139
|
|
|
December 31, 2018
|
||||||||||||||||||
(In thousands)
|
Pass
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Construction and land development
|
$
|
428,044
|
|
|
$
|
10,429
|
|
|
$
|
5,095
|
|
|
$
|
—
|
|
|
$
|
443,568
|
|
Commercial real estate
|
2,063,589
|
|
|
41,429
|
|
|
27,048
|
|
|
—
|
|
|
2,132,066
|
|
|||||
Residential real estate
|
1,296,634
|
|
|
3,654
|
|
|
24,089
|
|
|
—
|
|
|
1,324,377
|
|
|||||
Commercial and financial
|
707,663
|
|
|
8,387
|
|
|
6,247
|
|
|
25
|
|
|
722,322
|
|
|||||
Consumer
|
198,367
|
|
|
3,397
|
|
|
1,117
|
|
|
—
|
|
|
202,881
|
|
|||||
Totals
|
$
|
4,694,297
|
|
|
$
|
67,296
|
|
|
$
|
63,596
|
|
|
$
|
25
|
|
|
$
|
4,825,214
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In thousands)
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Beginning balance
|
$
|
2,608
|
|
|
$
|
3,552
|
|
|
$
|
2,924
|
|
|
$
|
3,699
|
|
Additions
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Deletions
|
—
|
|
|
—
|
|
|
—
|
|
|
(43
|
)
|
||||
Accretion
|
(273
|
)
|
|
(262
|
)
|
|
(1,049
|
)
|
|
(705
|
)
|
||||
Reclassification from non-accretable difference
|
9
|
|
|
(101
|
)
|
|
469
|
|
|
238
|
|
||||
Ending balance
|
$
|
2,344
|
|
|
$
|
3,189
|
|
|
$
|
2,344
|
|
|
$
|
3,189
|
|
|
June 30, 2019
|
||||||||||
(In thousands)
|
Recorded
Investment
|
|
Unpaid
Principal
Balance
|
|
Related
Valuation
Allowance
|
||||||
Impaired Loans with No Related Allowance Recorded:
|
|
|
|
|
|
|
|
|
|||
Construction and land development
|
$
|
588
|
|
|
$
|
791
|
|
|
$
|
—
|
|
Commercial real estate
|
5,651
|
|
|
6,965
|
|
|
—
|
|
|||
Residential real estate
|
9,939
|
|
|
14,462
|
|
|
—
|
|
|||
Commercial and financial
|
1,679
|
|
|
1,938
|
|
|
—
|
|
|||
Consumer
|
147
|
|
|
160
|
|
|
—
|
|
|||
Impaired Loans with an Allowance Recorded:
|
|
|
|
|
|
||||||
Construction and land development
|
169
|
|
|
184
|
|
|
19
|
|
|||
Commercial real estate
|
9,591
|
|
|
12,758
|
|
|
338
|
|
|||
Residential real estate
|
5,336
|
|
|
5,478
|
|
|
543
|
|
|||
Commercial and financial
|
1,294
|
|
|
1,444
|
|
|
1,179
|
|
|||
Consumer
|
294
|
|
|
308
|
|
|
119
|
|
|||
Total Impaired Loans
|
|
|
|
|
|
||||||
Construction and land development
|
757
|
|
|
975
|
|
|
19
|
|
|||
Commercial real estate
|
15,242
|
|
|
19,723
|
|
|
338
|
|
|||
Residential real estate
|
15,275
|
|
|
19,940
|
|
|
543
|
|
|||
Commercial and financial
|
2,973
|
|
|
3,382
|
|
|
1,179
|
|
|||
Consumer
|
441
|
|
|
468
|
|
|
119
|
|
|||
Totals
|
$
|
34,688
|
|
|
$
|
44,488
|
|
|
$
|
2,198
|
|
|
December 31, 2018
|
||||||||||
(In thousands)
|
Recorded
Investment
|
|
Unpaid
Principal
Balance
|
|
Related
Valuation
Allowance
|
||||||
Impaired Loans with No Related Allowance Recorded:
|
|
|
|
|
|
|
|
|
|||
Construction and land development
|
$
|
15
|
|
|
$
|
229
|
|
|
$
|
—
|
|
Commercial real estate
|
3,852
|
|
|
5,138
|
|
|
—
|
|
|||
Residential real estate
|
13,510
|
|
|
18,111
|
|
|
—
|
|
|||
Commercial and financial
|
1,191
|
|
|
1,414
|
|
|
—
|
|
|||
Consumer
|
280
|
|
|
291
|
|
|
—
|
|
|||
Impaired Loans with an Allowance Recorded:
|
|
|
|
|
|
||||||
Construction and land development
|
196
|
|
|
211
|
|
|
22
|
|
|||
Commercial real estate
|
9,786
|
|
|
12,967
|
|
|
369
|
|
|||
Residential real estate
|
5,537
|
|
|
5,664
|
|
|
805
|
|
|||
Commercial and financial
|
2,131
|
|
|
2,309
|
|
|
1,498
|
|
|||
Consumer
|
202
|
|
|
211
|
|
|
34
|
|
|||
Total Impaired Loans
|
|
|
|
|
|
||||||
Construction and land development
|
211
|
|
|
440
|
|
|
22
|
|
|||
Commercial real estate
|
13,638
|
|
|
18,105
|
|
|
369
|
|
|||
Residential real estate
|
19,047
|
|
|
23,775
|
|
|
805
|
|
|||
Commercial and financial
|
3,322
|
|
|
3,723
|
|
|
1,498
|
|
|||
Consumer
|
482
|
|
|
502
|
|
|
34
|
|
|||
Totals
|
$
|
36,700
|
|
|
$
|
46,545
|
|
|
$
|
2,728
|
|
|
Three Months Ended June 30, 2019
|
||||||||||||||||||||||
(In thousands)
|
Beginning
Balance
|
|
Provision
for Loan
Losses
|
|
Charge-
Offs
|
|
Recoveries
|
|
TDR
Allowance
Adjustments
|
|
Ending
Balance
|
||||||||||||
Construction & land development
|
$
|
2,320
|
|
|
$
|
(79
|
)
|
|
$
|
(1
|
)
|
|
$
|
3
|
|
|
$
|
—
|
|
|
$
|
2,243
|
|
Commercial real estate
|
11,753
|
|
|
(433
|
)
|
|
—
|
|
|
565
|
|
|
(15
|
)
|
|
11,870
|
|
||||||
Residential real estate
|
7,445
|
|
|
51
|
|
|
(28
|
)
|
|
51
|
|
|
(11
|
)
|
|
7,508
|
|
||||||
Commercial and financial
|
8,573
|
|
|
2,114
|
|
|
(1,881
|
)
|
|
106
|
|
|
—
|
|
|
8,912
|
|
||||||
Consumer
|
2,731
|
|
|
898
|
|
|
(734
|
)
|
|
78
|
|
|
(1
|
)
|
|
2,972
|
|
||||||
Totals
|
$
|
32,822
|
|
|
$
|
2,551
|
|
|
$
|
(2,644
|
)
|
|
$
|
803
|
|
|
$
|
(27
|
)
|
|
$
|
33,505
|
|
|
Three Months Ended June 30, 2018
|
||||||||||||||||||||||
(In thousands)
|
Beginning
Balance
|
|
Provision
for Loan
Losses
|
|
Charge-
Offs
|
|
Recoveries
|
|
TDR
Allowance
Adjustments
|
|
Ending
Balance
|
||||||||||||
Construction & land development
|
$
|
2,058
|
|
|
$
|
224
|
|
|
$
|
—
|
|
|
$
|
5
|
|
|
$
|
—
|
|
|
$
|
2,287
|
|
Commercial real estate
|
8,842
|
|
|
210
|
|
|
(14
|
)
|
|
103
|
|
|
(15
|
)
|
|
9,126
|
|
||||||
Residential real estate
|
8,047
|
|
|
414
|
|
|
(27
|
)
|
|
433
|
|
|
(17
|
)
|
|
8,850
|
|
||||||
Commercial and financial
|
7,393
|
|
|
1,630
|
|
|
(1,945
|
)
|
|
24
|
|
|
—
|
|
|
7,102
|
|
||||||
Consumer
|
1,778
|
|
|
51
|
|
|
(328
|
)
|
|
59
|
|
|
(1
|
)
|
|
1,559
|
|
||||||
Totals
|
$
|
28,118
|
|
|
$
|
2,529
|
|
|
$
|
(2,314
|
)
|
|
$
|
624
|
|
|
$
|
(33
|
)
|
|
$
|
28,924
|
|
|
Six Months Ended June 30, 2019
|
||||||||||||||||||||||
(In thousands)
|
Beginning
Balance
|
|
Provision
for Loan
Losses
|
|
Charge-
Offs
|
|
Recoveries
|
|
TDR
Allowance
Adjustments
|
|
Ending
Balance
|
||||||||||||
Construction & land development
|
$
|
2,233
|
|
|
$
|
4
|
|
|
$
|
—
|
|
|
$
|
7
|
|
|
$
|
(1
|
)
|
|
$
|
2,243
|
|
Commercial real estate
|
11,112
|
|
|
192
|
|
|
(16
|
)
|
|
612
|
|
|
(30
|
)
|
|
11,870
|
|
||||||
Residential real estate
|
7,775
|
|
|
(363
|
)
|
|
(65
|
)
|
|
190
|
|
|
(29
|
)
|
|
7,508
|
|
||||||
Commercial and financial
|
8,585
|
|
|
2,967
|
|
|
(2,825
|
)
|
|
185
|
|
|
—
|
|
|
8,912
|
|
||||||
Consumer
|
2,718
|
|
|
1,148
|
|
|
(1,217
|
)
|
|
325
|
|
|
(2
|
)
|
|
2,972
|
|
||||||
Totals
|
$
|
32,423
|
|
|
$
|
3,948
|
|
|
$
|
(4,123
|
)
|
|
$
|
1,319
|
|
|
$
|
(62
|
)
|
|
$
|
33,505
|
|
|
Six Months Ended June 30, 2018
|
||||||||||||||||||||||
(In thousands)
|
Beginning
Balance
|
|
Provision
for Loan
Losses
|
|
Charge-
Offs
|
|
Recoveries
|
|
TDR
Allowance
Adjustments
|
|
Ending
Balance
|
||||||||||||
Construction & land development
|
$
|
1,642
|
|
|
$
|
635
|
|
|
$
|
—
|
|
|
$
|
10
|
|
|
$
|
—
|
|
|
$
|
2,287
|
|
Commercial real estate
|
9,285
|
|
|
(365
|
)
|
|
(14
|
)
|
|
250
|
|
|
(30
|
)
|
|
9,126
|
|
||||||
Residential real estate
|
7,131
|
|
|
1,201
|
|
|
(27
|
)
|
|
634
|
|
|
(89
|
)
|
|
8,850
|
|
||||||
Commercial and financial
|
7,297
|
|
|
1,900
|
|
|
(2,143
|
)
|
|
48
|
|
|
—
|
|
|
7,102
|
|
||||||
Consumer
|
1,767
|
|
|
243
|
|
|
(635
|
)
|
|
186
|
|
|
(2
|
)
|
|
1,559
|
|
||||||
Totals
|
$
|
27,122
|
|
|
$
|
3,614
|
|
|
$
|
(2,819
|
)
|
|
$
|
1,128
|
|
|
$
|
(121
|
)
|
|
$
|
28,924
|
|
|
June 30, 2019
|
||||||||||||||||||||||
|
Individually Evaluated for Impairment
|
|
Collectively Evaluated for Impairment
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Recorded
Investment
|
|
Associated
Allowance
|
|
Recorded
Investment
|
|
Associated
Allowance
|
|
Recorded
Investment
|
|
Associated
Allowance
|
||||||||||||
Construction & land development
|
$
|
757
|
|
|
$
|
19
|
|
|
$
|
379,079
|
|
|
$
|
2,224
|
|
|
$
|
379,836
|
|
|
$
|
2,243
|
|
Commercial real estate
|
15,242
|
|
|
338
|
|
|
2,164,719
|
|
|
11,532
|
|
|
2,179,961
|
|
|
11,870
|
|
||||||
Residential real estate
|
15,275
|
|
|
543
|
|
|
1,382,441
|
|
|
6,965
|
|
|
1,397,716
|
|
|
7,508
|
|
||||||
Commercial and financial
|
2,973
|
|
|
1,179
|
|
|
698,140
|
|
|
7,733
|
|
|
701,113
|
|
|
8,912
|
|
||||||
Consumer
|
441
|
|
|
119
|
|
|
215,491
|
|
|
2,853
|
|
|
215,932
|
|
|
2,972
|
|
||||||
Totals
|
$
|
34,688
|
|
|
$
|
2,198
|
|
|
$
|
4,839,870
|
|
|
$
|
31,307
|
|
|
$
|
4,874,558
|
|
|
$
|
33,505
|
|
|
December 31, 2018
|
||||||||||||||||||||||
|
Individually Evaluated for Impairment
|
|
Collectively Evaluated for Impairment
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Recorded
Investment
|
|
Associated
Allowance
|
|
Recorded
Investment
|
|
Associated
Allowance
|
|
Recorded
Investment
|
|
Associated
Allowance
|
||||||||||||
Construction & land development
|
$
|
211
|
|
|
$
|
22
|
|
|
$
|
443,206
|
|
|
$
|
2,211
|
|
|
$
|
443,417
|
|
|
$
|
2,233
|
|
Commercial real estate
|
13,638
|
|
|
369
|
|
|
2,107,600
|
|
|
10,743
|
|
|
2,121,238
|
|
|
11,112
|
|
||||||
Residential real estate
|
19,047
|
|
|
805
|
|
|
1,302,612
|
|
|
6,970
|
|
|
1,321,659
|
|
|
7,775
|
|
||||||
Commercial and financial
|
3,322
|
|
|
1,498
|
|
|
718,263
|
|
|
7,087
|
|
|
721,585
|
|
|
8,585
|
|
||||||
Consumer
|
482
|
|
|
34
|
|
|
202,399
|
|
|
2,684
|
|
|
202,881
|
|
|
2,718
|
|
||||||
Totals
|
$
|
36,700
|
|
|
$
|
2,728
|
|
|
$
|
4,774,080
|
|
|
$
|
29,695
|
|
|
$
|
4,810,780
|
|
|
$
|
32,423
|
|
|
June 30, 2019
|
|
December 31, 2018
|
||||||||||||
|
PCI Loans Individually Evaluated for Impairment
|
||||||||||||||
(In thousands)
|
Recorded Investment
|
|
Associated Allowance
|
|
Recorded Investment
|
|
Associated Allowance
|
||||||||
Construction & land development
|
$
|
155
|
|
|
$
|
—
|
|
|
$
|
151
|
|
|
$
|
—
|
|
Commercial real estate
|
10,324
|
|
|
—
|
|
|
10,828
|
|
|
—
|
|
||||
Residential real estate
|
2,468
|
|
|
—
|
|
|
2,718
|
|
|
—
|
|
||||
Commercial and financial
|
634
|
|
|
—
|
|
|
737
|
|
|
—
|
|
||||
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Totals
|
$
|
13,581
|
|
|
$
|
—
|
|
|
$
|
14,434
|
|
|
$
|
—
|
|
(In thousands)
|
June 30, 2019
|
|
December 31, 2018
|
||||
Fair value of pledged securities - overnight and continuous:
|
|
|
|
||||
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities
|
$
|
106,379
|
|
|
$
|
246,829
|
|
(In thousands)
|
|
Three Months Ended June 30, 2019
|
|
Six Months Ended June 30, 2019
|
||||
Operating lease cost
|
|
$
|
1,384
|
|
|
$
|
2,789
|
|
Variable lease cost
|
|
290
|
|
|
596
|
|
||
Short-term lease cost
|
|
191
|
|
|
420
|
|
||
Sublease income
|
|
(133
|
)
|
|
(261
|
)
|
||
Total lease cost
|
|
$
|
1,732
|
|
|
$
|
3,544
|
|
(In thousands, except for weighted average data)
|
|
June 30, 2019
|
||
Operating lease right-of-use assets
|
|
$
|
27,036
|
|
Operating lease liabilities
|
|
31,141
|
|
|
Cash paid for amounts included in the measurement of operating lease liabilities
|
|
2,981
|
|
|
Right-of-use assets obtained in exchange for new operating lease obligations
|
|
—
|
|
|
Weighted average remaining lease term for operating leases
|
|
9 years
|
|
|
Weighted average discount rate for operating leases
|
|
4.70
|
%
|
Twelve Months Ended June 30,
|
|
(In thousands)
|
||
2020
|
|
$
|
5,866
|
|
2021
|
|
4,827
|
|
|
2022
|
|
4,622
|
|
|
2023
|
|
3,666
|
|
|
2024
|
|
3,456
|
|
|
Thereafter
|
|
16,159
|
|
|
Total undiscounted cash flows
|
|
38,596
|
|
|
Less: Net present value adjustment
|
|
(7,455
|
)
|
|
Total
|
|
$
|
31,141
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In thousands)
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Noninterest income
|
|
|
|
|
|
|
|
|
|
||||||
Service charges on deposit accounts
|
$
|
2,894
|
|
|
$
|
2,674
|
|
|
$
|
5,591
|
|
|
$
|
5,346
|
|
Trust fees
|
1,147
|
|
|
1,039
|
|
|
2,164
|
|
|
2,060
|
|
||||
Mortgage banking fees
|
1,734
|
|
|
1,336
|
|
|
2,849
|
|
|
2,738
|
|
||||
Brokerage commissions and fees
|
541
|
|
|
461
|
|
|
977
|
|
|
820
|
|
||||
Marine finance fees
|
201
|
|
|
446
|
|
|
563
|
|
|
1,019
|
|
||||
Interchange income
|
3,405
|
|
|
3,076
|
|
|
6,806
|
|
|
6,018
|
|
||||
BOLI income
|
927
|
|
|
1,066
|
|
|
1,842
|
|
|
2,122
|
|
||||
SBA gains
|
691
|
|
|
748
|
|
|
1,327
|
|
|
1,482
|
|
||||
Other income
|
2,503
|
|
|
1,923
|
|
|
4,769
|
|
|
3,562
|
|
||||
|
14,043
|
|
|
12,769
|
|
|
26,888
|
|
|
25,167
|
|
||||
Securities losses, net
|
(466
|
)
|
|
(48
|
)
|
|
(475
|
)
|
|
(150
|
)
|
||||
Total
|
$
|
13,577
|
|
|
$
|
12,721
|
|
|
$
|
26,413
|
|
|
$
|
25,017
|
|
|
|
|
|
|
|
|
|
||||||||
Noninterest expense
|
|
|
|
|
|
|
|
||||||||
Salaries and wages
|
$
|
19,420
|
|
|
$
|
16,429
|
|
|
$
|
37,926
|
|
|
$
|
31,810
|
|
Employee benefits
|
3,195
|
|
|
3,034
|
|
|
7,401
|
|
|
6,115
|
|
||||
Outsourced data processing costs
|
3,876
|
|
|
3,393
|
|
|
7,721
|
|
|
7,072
|
|
||||
Telephone/data lines
|
893
|
|
|
643
|
|
|
1,704
|
|
|
1,255
|
|
||||
Occupancy
|
3,741
|
|
|
3,316
|
|
|
7,548
|
|
|
6,433
|
|
||||
Furniture and equipment
|
1,544
|
|
|
1,468
|
|
|
3,301
|
|
|
2,925
|
|
||||
Marketing
|
1,211
|
|
|
1,344
|
|
|
2,343
|
|
|
2,596
|
|
||||
Legal and professional fees
|
2,033
|
|
|
2,301
|
|
|
4,880
|
|
|
4,274
|
|
||||
FDIC assessments
|
337
|
|
|
595
|
|
|
825
|
|
|
1,193
|
|
||||
Amortization of intangibles
|
1,456
|
|
|
1,004
|
|
|
2,914
|
|
|
1,993
|
|
||||
Foreclosed property expense and net (gain)/loss on sale
|
(174
|
)
|
|
405
|
|
|
(214
|
)
|
|
597
|
|
||||
Other
|
3,468
|
|
|
4,314
|
|
|
7,750
|
|
|
9,147
|
|
||||
Total
|
$
|
41,000
|
|
|
$
|
38,246
|
|
|
$
|
84,099
|
|
|
$
|
75,410
|
|
(In thousands)
|
June 30, 2019
|
|
December 31, 2018
|
||||
Aggregate fair value
|
$
|
17,513
|
|
|
$
|
11,873
|
|
Contractual balance
|
16,818
|
|
|
11,562
|
|
||
Excess
|
695
|
|
|
311
|
|
(In thousands, except per share data)
|
|
October 19, 2018
|
||
Shares exchanged for cash
|
|
$
|
5,462
|
|
Per share exchange ratio
|
|
0.7324
|
|
|
Number of shares of common stock issued
|
|
4,000
|
|
|
Multiplied by common stock price per share on October 19, 2018
|
|
$
|
26.87
|
|
Value of common stock issued
|
|
107,486
|
|
|
Cash paid for First Green vested stock options
|
|
6,558
|
|
|
Total purchase price
|
|
$
|
114,044
|
|
(In thousands)
|
|
Initially Measured October 19, 2018
|
|
Measurement
Period
Adjustments
|
|
As Adjusted October 19, 2018
|
||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|||
Cash
|
|
$
|
29,434
|
|
|
$
|
—
|
|
|
$
|
29,434
|
|
Investment securities
|
|
32,145
|
|
|
—
|
|
|
32,145
|
|
|||
Loans, net
|
|
631,497
|
|
|
—
|
|
|
631,497
|
|
|||
Fixed assets
|
|
16,828
|
|
|
—
|
|
|
16,828
|
|
|||
Other real estate owned
|
|
410
|
|
|
—
|
|
|
410
|
|
|||
Core deposit intangibles
|
|
10,170
|
|
|
(678
|
)
|
|
9,492
|
|
|||
Goodwill
|
|
56,198
|
|
|
506
|
|
|
56,704
|
|
|||
Other assets
|
|
40,669
|
|
|
172
|
|
|
40,841
|
|
|||
Totals
|
|
$
|
817,351
|
|
|
$
|
—
|
|
|
$
|
817,351
|
|
Liabilities:
|
|
|
|
|
|
|
||||||
Deposits
|
|
$
|
624,289
|
|
|
$
|
—
|
|
|
$
|
624,289
|
|
Other liabilities
|
|
79,018
|
|
|
—
|
|
|
79,018
|
|
|||
Totals
|
|
$
|
703,307
|
|
|
$
|
—
|
|
|
$
|
703,307
|
|
|
|
October 19, 2018
|
||||||
(In thousands)
|
|
Book Balance
|
|
Fair Value
|
||||
Loans:
|
|
|
|
|
|
|
||
Single family residential real estate
|
|
$
|
101,674
|
|
|
$
|
101,119
|
|
Commercial real estate
|
|
437,767
|
|
|
406,613
|
|
||
Construction/development/land
|
|
61,195
|
|
|
58,385
|
|
||
Commercial loans
|
|
56,288
|
|
|
54,973
|
|
||
Consumer and other loans
|
|
9,156
|
|
|
8,942
|
|
||
Purchased Credit Impaired
|
|
2,136
|
|
|
1,465
|
|
||
Total acquired loans
|
|
$
|
668,216
|
|
|
$
|
631,497
|
|
(In thousands)
|
|
October 19, 2018
|
||
Contractually required principal and interest
|
|
$
|
2,136
|
|
Non-accretable difference
|
|
(671
|
)
|
|
Cash flows expected to be collected
|
|
1,465
|
|
|
Accretable yield
|
|
—
|
|
|
Total purchased credit-impaired loans acquired
|
|
$
|
1,465
|
|
(In thousands, except per share amounts)
|
|
Three Months Ended June 30, 2018
|
|
Six Months Ended June 30, 2018
|
||||
Net interest income
|
|
$
|
58,205
|
|
|
$
|
115,621
|
|
Net income
|
|
21,305
|
|
|
43,370
|
|
||
EPS - basic
|
|
$
|
0.42
|
|
|
$
|
0.85
|
|
EPS - diluted
|
|
0.41
|
|
|
0.84
|
|
•
|
the effects of current and future economic, business and market conditions in the United States generally or in the communities we serve;
|
•
|
changes in governmental monetary and fiscal policies, including interest rate policies of the Board of Governors of the Federal Reserve System (the “Federal Reserve”);
|
•
|
legislative and regulatory changes, including changes in banking, securities and tax laws and regulations and their application by our regulators, including those associated with the Dodd Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) and changes in the scope and cost of Federal Deposit Insurance Corporation (“FDIC”) insurance and other coverage;
|
•
|
changes in accounting policies, rules and practices and applications or determinations made thereunder, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board (the “FASB”), the Securities and Exchange Commission (the “Commission” or “SEC”), and the Public Company Accounting Oversight Board (the “PCAOB”);
|
•
|
the risks of changes in interest rates on the levels, composition and costs of deposits, including the risk of losing customer checking and savings account deposits as customers pursue other, high-yield investments, which could increase our funding costs;
|
•
|
the risks of changes in interest rates on loan demand, and the values and liquidity of loan collateral, debt securities, and interest sensitive assets and liabilities;
|
•
|
changes in borrower credit risks and payment behaviors;
|
•
|
changes in the availability and cost of credit and capital in the financial markets;
|
•
|
changes in the prices, values and sales volumes of residential and commercial real estate in the United States and in the communities we serve, which could impact write-downs of assets, our ability to liquidate non-performing assets, realized losses on the disposition of non-performing assets and increased credit losses;
|
•
|
our ability to comply with any requirements imposed on us or our banking subsidiary, Seacoast Bank by regulators and the potential negative consequences that may result;
|
•
|
the effects of problems encountered by other financial institutions that adversely affect us or the banking industry generally could require us to change certain business practices, reduce our revenue, impose additional costs on us, or otherwise negatively affect our businesses;
|
•
|
our concentration in commercial real estate loans;
|
•
|
the failure of assumptions and estimates, as well as differences in, and changes to, economic, market and credit conditions, including changes in borrowers’ credit risks and payment behaviors from those used in our loan portfolio stress test;
|
•
|
the effects of competition from a wide variety of local, regional, national and other traditional and non-traditional providers of financial, investment and insurance services;
|
•
|
the failure of assumptions and estimates underlying the establishment of reserves for possible loan losses and other estimates;
|
•
|
the impact on the valuation of our investments due to market volatility or counterparty payment risk;
|
•
|
statutory and regulatory restrictions on our ability to pay dividends to our shareholders;
|
•
|
any applicable regulatory limits on Seacoast Bank’s ability to pay dividends to us;
|
•
|
increases in regulatory capital requirements for banking organizations generally, which may adversely affect our ability to expand our business or could cause us to shrink our business;
|
•
|
the risks of mergers, acquisitions and divestitures, including, without limitation, the related time and costs of implementing such transactions, integrating operations as part of these transactions and possible failures to achieve expected gains, revenue growth and/or expense savings from such transactions;
|
•
|
our ability to continue to identify acquisition targets and successfully acquire desirable financial institutions to sustain our growth, to expand our presence in our markets and to enter new markets;
|
•
|
changes in technology or products that may be more difficult, costly, or less effective than anticipated;
|
•
|
our ability to identify and address increased cybersecurity risks, including data security breaches, malware, "denial of service" attacks, "hacking", and identity theft, a failure of which could result in potential business disruptions or financial losses;
|
•
|
inability of our risk management framework to manage risks associated with our business such as credit risk and operational risk, including third party vendors and other service providers;
|
•
|
dependence on key suppliers or vendors to obtain equipment or services for our business on acceptable terms;
|
•
|
reduction in or the termination of our ability to use the mobile-based platform that is critical to our business growth strategy, including a failure in or breach of our operational or security systems or those of its third party service providers;
|
•
|
the effects of war or other conflicts, acts of terrorism, natural disasters or other catastrophic events that may affect general economic conditions;
|
•
|
unexpected outcomes of, and the costs associated with, existing or new litigation involving us;
|
•
|
our ability to maintain adequate internal controls over financial reporting;
|
•
|
potential claims, damages, penalties, fines and reputational damage resulting from pending or future litigation, regulatory proceedings and enforcement actions;
|
•
|
the risks that our deferred tax assets could be reduced if estimates of future taxable income from our operations and tax planning strategies are less than currently estimated and sales of our capital stock could trigger a reduction in the amount of net operating loss carryforwards that we may be able to utilize for income tax purposes; and
|
•
|
other factors and risks described under “Risk Factors” herein and in any of our subsequent reports filed with the SEC and available on its website at www.sec.gov.
|
|
Vision 2020 Targets
|
Return on Tangible Assets
|
1.30% +
|
Return on Tangible Common Equity
|
16% +
|
Efficiency Ratio
|
Below 50%
|
•
|
After a successful pilot program early this year, we launched marketing efforts in the second quarter highlighting automated fulfillment for small business loan products. While currently limited to a select group of products, the platform offers digitized onboarding and should significantly reduce the cost to originate small business loans to current customers, while maintaining our strict underwriting principles.
|
•
|
We consolidated one banking center location in the second quarter of 2019 with an eight month payback period and one-time expense of $0.3 million. We have one remaining consolidation planned for the third quarter of 2019.
|
•
|
We’ve now achieved our Vision 2020 objective of reducing our footprint by 20% to meet the evolving needs of our customers. We were able to achieve this objective ahead of plan due to successful M&A and the repositioning of our banking center network in strategic growth markets.
|
•
|
At quarter end, average deposits per banking center exceeded $113 million, up from $96 million during the same period last year.
|
•
|
During the quarter, we completed our previously announced $10 million annual expense reduction initiative, which included reducing the full time equivalent employee count by 50, renegotiating key vendor contracts, and reducing expenses across a number of line items.
|
•
|
Late last year we launched a large-scale initiative to implement a fully digital loan origination platform across all business banking units. In the second quarter, the implementation and launch were completed. This follows the successful rollout of our fully digital mortgage banking origination platform. This investment should lead to significant improvement in operational efficiency and banker productivity in 2020 and beyond.
|
•
|
We continue to invest in business bankers. In the second quarter we on-boarded 5 new bankers, 15 year to date, in order to fully support the strong markets we serve. We have a robust pipeline of talent as we enter the third quarter of 2019 and will continue to opportunistically add top-tier bankers in the Tampa and Fort Lauderdale markets.
|
|
|
Second
|
|
First
|
|
Second
|
|
Six Months Ended
|
||||||||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
June 30,
|
||||||||||||
(In thousands)
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||
Commercial pipeline
|
|
$
|
261,586
|
|
|
$
|
177,318
|
|
|
$
|
194,928
|
|
|
$
|
261,586
|
|
|
$
|
194,928
|
|
Commercial loans closed
|
|
156,958
|
|
|
109,076
|
|
|
140,437
|
|
|
266,034
|
|
|
262,501
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential pipeline
|
|
50,479
|
|
|
45,284
|
|
|
63,714
|
|
|
50,479
|
|
|
63,714
|
|
|||||
Residential loans retained
|
|
51,755
|
|
|
49,645
|
|
|
75,036
|
|
|
101,400
|
|
|
154,089
|
|
|||||
Residential loans sold
|
|
61,391
|
|
|
32,558
|
|
|
52,175
|
|
|
93,949
|
|
|
101,862
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Consumer and small business pipeline
|
|
65,532
|
|
|
67,591
|
|
|
52,915
|
|
|
65,532
|
|
|
52,915
|
|
|||||
Consumer and small business originations
|
|
136,479
|
|
|
118,503
|
|
|
104,910
|
|
|
254,982
|
|
|
203,291
|
|
Customer Relationship Funding
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
June 30,
|
|
March 31,
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
||||||||||
(In thousands, except ratios)
|
|
2019
|
|
2019
|
|
2018
|
|
2018
|
|
2018
|
||||||||||
Noninterest demand
|
|
$
|
1,669,804
|
|
|
$
|
1,676,009
|
|
|
$
|
1,569,602
|
|
|
$
|
1,488,689
|
|
|
$
|
1,463,652
|
|
Interest-bearing demand
|
|
1,124,519
|
|
|
1,100,477
|
|
|
1,014,032
|
|
|
912,891
|
|
|
976,281
|
|
|||||
Money market
|
|
1,172,971
|
|
|
1,192,070
|
|
|
1,173,950
|
|
|
1,036,940
|
|
|
1,023,170
|
|
|||||
Savings
|
|
519,732
|
|
|
508,320
|
|
|
493,807
|
|
|
451,958
|
|
|
444,736
|
|
|||||
Time certificates of deposit
|
|
1,054,183
|
|
|
1,128,702
|
|
|
925,849
|
|
|
753,032
|
|
|
789,601
|
|
|||||
Total deposits
|
|
$
|
5,541,209
|
|
|
$
|
5,605,578
|
|
|
$
|
5,177,240
|
|
|
$
|
4,643,510
|
|
|
$
|
4,697,440
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Customer sweep accounts
|
|
$
|
82,015
|
|
|
$
|
148,005
|
|
|
$
|
214,323
|
|
|
$
|
189,035
|
|
|
$
|
200,050
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Noninterest demand deposits as % of total deposits
|
|
30.1
|
%
|
|
29.9
|
%
|
|
30.3
|
%
|
|
32.1
|
%
|
|
31.2
|
%
|
|
|
Second
|
|
First
|
|
Second
|
|
Six Months Ended
|
||||||||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
June 30,
|
||||||||||||
(In thousands, except ratios)
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||
Nontaxable interest income adjustment
|
|
$
|
83
|
|
|
$
|
87
|
|
|
$
|
87
|
|
|
$
|
170
|
|
|
$
|
178
|
|
Tax Rate
|
|
21
|
%
|
|
21
|
%
|
|
21
|
%
|
|
21
|
%
|
|
21
|
%
|
|||||
Net interest income (TE)
|
|
$
|
60,219
|
|
|
$
|
60,861
|
|
|
$
|
50,294
|
|
|
$
|
121,080
|
|
|
$
|
100,147
|
|
Total net interest income (not TE)
|
|
60,136
|
|
|
60,774
|
|
|
50,207
|
|
|
120,910
|
|
|
99,969
|
|
|||||
Net interest margin (TE)
|
|
3.94
|
%
|
|
4.02
|
%
|
|
3.77
|
%
|
|
3.98
|
%
|
|
3.78
|
%
|
|||||
Net interest margin (not TE)
|
|
3.94
|
|
|
4.01
|
|
|
3.76
|
|
|
3.97
|
|
|
3.78
|
|
|||||
TE = Tax Equivalent
|
|
|
|
|
|
|
|
|
|
|
|
|
Second
|
|
First
|
|
Second
|
|
Six Months Ended
|
||||||||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
June 30,
|
||||||||||||
(In thousands)
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||
Service charges on deposit accounts
|
|
$
|
2,894
|
|
|
$
|
2,697
|
|
|
$
|
2,674
|
|
|
$
|
5,591
|
|
|
$
|
5,346
|
|
Trust fees
|
|
1,147
|
|
|
1,017
|
|
|
1,039
|
|
|
2,164
|
|
|
2,060
|
|
|||||
Mortgage banking fees
|
|
1,734
|
|
|
1,115
|
|
|
1,336
|
|
|
2,849
|
|
|
2,738
|
|
|||||
Brokerage commissions and fees
|
|
541
|
|
|
436
|
|
|
461
|
|
|
977
|
|
|
820
|
|
|||||
Marine finance fees
|
|
201
|
|
|
362
|
|
|
446
|
|
|
563
|
|
|
1,019
|
|
|||||
Interchange income
|
|
3,405
|
|
|
3,401
|
|
|
3,076
|
|
|
6,806
|
|
|
6,018
|
|
|||||
BOLI income
|
|
927
|
|
|
915
|
|
|
1,066
|
|
|
1,842
|
|
|
2,122
|
|
|||||
SBA gains
|
|
691
|
|
|
636
|
|
|
748
|
|
|
1,327
|
|
|
1,482
|
|
|||||
Other income
|
|
2,503
|
|
|
2,266
|
|
|
1,923
|
|
|
4,769
|
|
|
3,562
|
|
|||||
|
|
14,043
|
|
|
12,845
|
|
|
12,769
|
|
|
26,888
|
|
|
25,167
|
|
|||||
Securities losses, net
|
|
(466
|
)
|
|
(9
|
)
|
|
(48
|
)
|
|
(475
|
)
|
|
(150
|
)
|
|||||
Total
|
|
$
|
13,577
|
|
|
$
|
12,836
|
|
|
$
|
12,721
|
|
|
$
|
26,413
|
|
|
$
|
25,017
|
|
|
|
Second
|
|
First
|
|
Second
|
|
Six Months Ended
|
||||||||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
June 30,
|
||||||||||||
(In thousands)
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||
Noninterest expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Salaries and wages
|
|
$
|
19,420
|
|
|
$
|
18,506
|
|
|
$
|
16,429
|
|
|
$
|
37,926
|
|
|
$
|
31,810
|
|
Employee benefits
|
|
3,195
|
|
|
4,206
|
|
|
3,034
|
|
|
7,401
|
|
|
6,115
|
|
|||||
Outsourced data processing costs
|
|
3,876
|
|
|
3,845
|
|
|
3,393
|
|
|
7,721
|
|
|
7,072
|
|
|||||
Telephone/data lines
|
|
893
|
|
|
811
|
|
|
643
|
|
|
1,704
|
|
|
1,255
|
|
|||||
Occupancy
|
|
3,741
|
|
|
3,807
|
|
|
3,316
|
|
|
7,548
|
|
|
6,433
|
|
|||||
Furniture and equipment
|
|
1,544
|
|
|
1,757
|
|
|
1,468
|
|
|
3,301
|
|
|
2,925
|
|
|||||
Marketing
|
|
1,211
|
|
|
1,132
|
|
|
1,344
|
|
|
2,343
|
|
|
2,596
|
|
|||||
Legal and professional fees
|
|
2,033
|
|
|
2,847
|
|
|
2,301
|
|
|
4,880
|
|
|
4,274
|
|
|||||
FDIC assessments
|
|
337
|
|
|
488
|
|
|
595
|
|
|
825
|
|
|
1,193
|
|
|||||
Amortization of intangibles
|
|
1,456
|
|
|
1,458
|
|
|
1,004
|
|
|
2,914
|
|
|
1,993
|
|
|||||
Foreclosed property expense and net (gain)/loss on sale
|
|
(174
|
)
|
|
(40
|
)
|
|
405
|
|
|
(214
|
)
|
|
597
|
|
|||||
Other
|
|
3,468
|
|
|
4,282
|
|
|
4,314
|
|
|
7,750
|
|
|
9,147
|
|
|||||
Total
|
|
$
|
41,000
|
|
|
$
|
43,099
|
|
|
$
|
38,246
|
|
|
$
|
84,099
|
|
|
$
|
75,410
|
|
|
|
Second
|
|
First
|
|
Second
|
|
Six Months Ended
|
||||||||||||
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
June 30,
|
||||||||||||
(In thousands, except per share data)
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||||
Net income, as reported:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income
|
|
$
|
23,253
|
|
|
$
|
22,705
|
|
|
$
|
16,964
|
|
|
$
|
45,958
|
|
|
$
|
34,991
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted earnings per share
|
|
$
|
0.45
|
|
|
$
|
0.44
|
|
|
$
|
0.35
|
|
|
$
|
0.88
|
|
|
$
|
0.73
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted net income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income
|
|
$
|
23,253
|
|
|
$
|
22,705
|
|
|
$
|
16,964
|
|
|
$
|
45,958
|
|
|
$
|
34,991
|
|
Securities losses, net
|
|
466
|
|
|
9
|
|
|
48
|
|
|
475
|
|
|
150
|
|
|||||
Total adjustments to revenue
|
|
466
|
|
|
9
|
|
|
48
|
|
|
475
|
|
|
150
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Merger related charges
|
|
—
|
|
|
(335
|
)
|
|
(695
|
)
|
|
(335
|
)
|
|
(1,165
|
)
|
|||||
Amortization of intangibles
|
|
(1,456
|
)
|
|
(1,458
|
)
|
|
(1,004
|
)
|
|
(2,914
|
)
|
|
(1,993
|
)
|
|||||
Branch reductions and other expense initiatives1
|
|
(1,517
|
)
|
|
(208
|
)
|
|
—
|
|
|
(1,725
|
)
|
|
—
|
|
|||||
Total adjustments to noninterest expense
|
|
(2,973
|
)
|
|
(2,001
|
)
|
|
(1,699
|
)
|
|
(4,974
|
)
|
|
(3,158
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Tax effect of adjustments
|
|
874
|
|
|
510
|
|
|
443
|
|
|
1,384
|
|
|
981
|
|
|||||
Effect of change in corporate tax rate
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(248
|
)
|
|||||
Adjusted net income
|
|
$
|
25,818
|
|
|
$
|
24,205
|
|
|
$
|
18,268
|
|
|
$
|
50,023
|
|
|
$
|
37,566
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted diluted earnings per share
|
|
$
|
0.50
|
|
|
$
|
0.47
|
|
|
$
|
0.38
|
|
|
$
|
0.96
|
|
|
$
|
0.79
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average Assets
|
|
$
|
6,734,994
|
|
|
$
|
6,770,978
|
|
|
$
|
5,878,035
|
|
|
$
|
6,752,886
|
|
|
$
|
5,864,934
|
|
Less average goodwill and intangible assets
|
|
(228,706
|
)
|
|
(230,066
|
)
|
|
(166,393
|
)
|
|
(229,382
|
)
|
|
(166,762
|
)
|
|||||
Average Tangible Assets
|
|
$
|
6,506,288
|
|
|
$
|
6,540,912
|
|
|
$
|
5,711,642
|
|
|
$
|
6,523,504
|
|
|
$
|
5,698,172
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on Average Assets (ROA)
|
|
1.38
|
%
|
|
1.36
|
%
|
|
1.16
|
%
|
|
1.37
|
%
|
|
1.20
|
%
|
|||||
Impact of removing average intangible assets and related amortization
|
|
0.12
|
|
|
0.12
|
|
|
0.08
|
|
|
0.12
|
|
|
0.09
|
|
|||||
Return on Average Tangible Assets (ROTA)
|
|
1.50
|
|
|
1.48
|
|
|
1.24
|
|
|
1.49
|
|
|
1.29
|
|
|||||
Impact of other adjustments for Adjusted Net Income
|
|
0.09
|
|
|
0.02
|
|
|
0.04
|
|
|
0.06
|
|
|
0.04
|
|
|||||
Adjusted Return on Average Tangible Assets
|
|
1.59
|
|
|
1.50
|
|
|
1.28
|
|
|
1.55
|
|
|
1.33
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2019
|
||||||||||||||
(In thousands)
|
|
Portfolio Loans
|
|
PCI Loans
|
|
PULs
|
|
Total
|
||||||||
Construction and land development
|
|
$
|
300,182
|
|
|
$
|
155
|
|
|
$
|
79,654
|
|
|
$
|
379,991
|
|
Commercial real estate1
|
|
1,552,024
|
|
|
10,324
|
|
|
627,937
|
|
|
2,190,285
|
|
||||
Residential real estate
|
|
1,153,951
|
|
|
2,468
|
|
|
243,765
|
|
|
1,400,184
|
|
||||
Commercial and financial
|
|
605,237
|
|
|
634
|
|
|
95,876
|
|
|
701,747
|
|
||||
Consumer
|
|
205,964
|
|
|
—
|
|
|
9,968
|
|
|
215,932
|
|
||||
Net Loan Balances2
|
|
$
|
3,817,358
|
|
|
$
|
13,581
|
|
|
$
|
1,057,200
|
|
|
$
|
4,888,139
|
|
|
|
December 31, 2018
|
||||||||||||||
(In thousands)
|
|
Portfolio Loans
|
|
PCI Loans
|
|
PULs
|
|
Total
|
||||||||
Construction and land development
|
|
$
|
301,473
|
|
|
$
|
151
|
|
|
$
|
141,944
|
|
|
$
|
443,568
|
|
Commercial real estate1
|
|
1,437,989
|
|
|
10,828
|
|
|
683,249
|
|
|
2,132,066
|
|
||||
Residential real estate
|
|
1,055,525
|
|
|
2,718
|
|
|
266,134
|
|
|
1,324,377
|
|
||||
Commercial and financial
|
|
603,057
|
|
|
737
|
|
|
118,528
|
|
|
722,322
|
|
||||
Consumer
|
|
190,207
|
|
|
—
|
|
|
12,674
|
|
|
202,881
|
|
||||
Net Loan Balances2
|
|
$
|
3,588,251
|
|
|
$
|
14,434
|
|
|
$
|
1,222,529
|
|
|
$
|
4,825,214
|
|
1Commercial real estate includes owner-occupied balances of $1.0 billion and $1.0 billion for June 30, 2019 and December 31, 2018, respectively.
|
||||||||||||||||
2Net loan balances at June 30, 2019 and December 31, 2018 include deferred costs of $18.2 million and $16.9 million, respectively.
|
|
|
June 30, 2019
|
||||||||||||||
|
|
Nonaccrual Loans
|
|
Accruing
Restructured Loans
|
||||||||||||
(In thousands)
|
|
Non-Current
|
|
Performing
|
|
Total
|
|
|||||||||
Construction & land development
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial
|
|
574
|
|
|
—
|
|
|
574
|
|
|
7
|
|
||||
Individuals
|
|
—
|
|
|
39
|
|
|
39
|
|
|
150
|
|
||||
|
|
574
|
|
|
39
|
|
|
613
|
|
|
157
|
|
||||
Residential real estate mortgages
|
|
2,747
|
|
|
7,843
|
|
|
10,590
|
|
|
6,553
|
|
||||
Commercial real estate mortgages
|
|
6,933
|
|
|
1,930
|
|
|
8,863
|
|
|
7,335
|
|
||||
Real estate loans
|
|
10,254
|
|
|
9,812
|
|
|
20,066
|
|
|
14,045
|
|
||||
Commercial and financial
|
|
1,618
|
|
|
996
|
|
|
2,614
|
|
|
180
|
|
||||
Consumer
|
|
51
|
|
|
65
|
|
|
116
|
|
|
309
|
|
||||
|
|
$
|
11,923
|
|
|
$
|
10,873
|
|
|
$
|
22,796
|
|
|
$
|
14,534
|
|
|
|
June 30, 2019
|
|
December 31, 2018
|
||||||||||
(In thousands)
|
|
Number
|
|
Amount
|
|
Number
|
|
Amount
|
||||||
Rate reduction
|
|
53
|
|
|
$
|
12,074
|
|
|
56
|
|
|
$
|
10,739
|
|
Maturity extended with change in terms
|
|
45
|
|
|
4,779
|
|
|
48
|
|
|
5,083
|
|
||
Chapter 7 bankruptcies
|
|
21
|
|
|
1,166
|
|
|
22
|
|
|
1,275
|
|
||
Not elsewhere classified
|
|
10
|
|
|
739
|
|
|
11
|
|
|
966
|
|
||
|
|
129
|
|
|
$
|
18,758
|
|
|
137
|
|
|
$
|
18,063
|
|
(In thousands)
|
|
2019
|
|
2018
|
||||
Beginning balance at December 31, 2018 and 2017
|
|
$
|
864,267
|
|
|
$
|
689,664
|
|
Net income
|
|
45,958
|
|
|
34,876
|
|
||
Stock compensation, net of Treasury shares acquired
|
|
1,684
|
|
|
3,751
|
|
||
Change in other comprehensive income
|
|
18,330
|
|
|
(12,128
|
)
|
||
Ending balance at June 30, 2019 and 2018
|
|
$
|
930,239
|
|
|
$
|
716,163
|
|
June 30, 2019
|
|
Seacoast (Consolidated)
|
|
Seacoast
Bank
|
|
Minimum to be Well- Capitalized1
|
|||
Total Risk-Based Capital Ratio
|
|
15.29
|
%
|
|
14.39
|
%
|
|
10.0
|
%
|
Tier 1 Capital Ratio
|
|
14.65
|
%
|
|
13.74
|
%
|
|
8.0
|
%
|
Common Equity Tier 1 Ratio (CET1)
|
|
13.29
|
%
|
|
13.74
|
%
|
|
6.5
|
%
|
Leverage Ratio
|
|
11.77
|
%
|
|
11.04
|
%
|
|
5.0
|
%
|
1For subsidiary bank only
|
|
|
|
|
|
|
•
|
the allowance and the provision for loan losses;
|
•
|
acquisition accounting and purchased loans;
|
•
|
intangible assets and impairment testing;
|
•
|
other fair value adjustments;
|
•
|
other than temporary impairment of debt securities;
|
•
|
realization of deferred tax assets; and
|
•
|
contingent liabilities.
|
•
|
Income before tax ("IBT") has steadily increased as a result of organic growth, and the 2016 Floridian and BMO, 2017 GulfShore, NorthStar and PBCB, and 2018 First Green acquisitions will further assist in achieving management’s forecast of future earnings which recovers the remaining state net operating loss carry-forwards well before expiration;
|
•
|
The Company has utilized all of its federal net operating loss carry-forwards, with the exception of those assumed in the acquisitions to which section 382 limitations apply;
|
•
|
Credit costs and overall credit risk have been stable which decreases their impact on future taxable earnings;
|
•
|
Growth rates for loans are at levels adequately supported by loan officers and support staff;
|
•
|
We believe new loan production credit quality and concentrations are actively managed; and
|
•
|
Current economic growth forecasts for Florida and the Company’s markets are supportive.
|
|
|
% Change in Projected Baseline Net Interest Income
|
||||
Change in Interest Rates
|
|
1-12 months
|
|
13-24 months
|
||
|
|
|
|
|
||
+2.00%
|
|
7.72
|
%
|
|
9.85
|
%
|
+1.00%
|
|
3.95
|
%
|
|
5.11
|
%
|
Current
|
|
0.00
|
%
|
|
0.00
|
%
|
-1.00%
|
|
-3.97
|
%
|
|
-5.27
|
%
|
Period
|
|
Total
Number of
Shares
Purchased
|
|
Average Price
Paid Per Share
|
|
Total Number of
Shares Purchased
as part of Public
Announced Plan1
|
|
Maximum
Number of
Shares that May
yet be Purchased
Under the Plan
|
|||||
1/1/19 to 1/31/19
|
|
1,431
|
|
|
$
|
26.14
|
|
|
327,337
|
|
|
87,663
|
|
2/1/19 to 2/28/19
|
|
1,489
|
|
|
25.03
|
|
|
328,826
|
|
|
86,174
|
|
|
3/1/19 to 3/31/19
|
|
1,353
|
|
|
27.57
|
|
|
330,179
|
|
|
84,821
|
|
|
Total - 1st Quarter
|
|
4,273
|
|
|
$
|
26.21
|
|
|
330,179
|
|
|
84,821
|
|
4/1/19 to 4/30/19
|
|
1,362
|
|
|
26.94
|
|
|
331,541
|
|
|
83,459
|
|
|
5/1/19 to 5/31/19
|
|
1,696
|
|
|
22.03
|
|
|
333,237
|
|
|
81,763
|
|
|
6/1/19 to 6/30/19
|
|
1,429
|
|
|
24.17
|
|
|
334,666
|
|
|
80,334
|
|
|
Total - 2nd Quarter
|
|
4,487
|
|
|
24.38
|
|
|
334,666
|
|
|
80,334
|
|
|
Year to Date 2019
|
|
8,760
|
|
|
$
|
25.18
|
|
|
334,666
|
|
|
80,334
|
|
|
Exhibit 3.1.1 Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company's Quarterly Report on Form 10-Q, filed May 10, 2006.
|
|
|
|
Exhibit 3.1.2 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K, filed December 23, 2008.
|
|
|
|
Exhibit 3.1.3 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.4 to the Company's Form S-1, filed June 22, 2009.
|
|
|
|
Exhibit 3.1.4 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company's Form 8-K, filed July 20, 2009.
|
|
|
|
Exhibit 3.1.5 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K, filed December 3, 2009.
|
|
|
|
Exhibit 3.1.6 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K/A, filed July 14, 2010.
|
|
|
|
Exhibit 3.1.7 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K, filed June 25, 2010.
|
|
|
|
Exhibit 3.1.8 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K, filed June 1, 2011.
|
|
|
|
Exhibit 3.1.9 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company’s Form 8-K, filed December 13, 2013.
|
|
|
|
Exhibit 3.1.10 Articles of Amendment to the Amended and Restated Articles of Incorporation Incorporated herein by reference from Exhibit 3.1 to the Company's Form 8K, filed May 30, 2018.
|
|
|
|
Exhibit 3.2 Amended and Restated By-laws of the Company Incorporated herein by reference from Exhibit 3.2 to the Company’s Form 8-K, filed December 21, 2007.
|
|
SEACOAST BANKING CORPORATION OF FLORIDA
|
August 7, 2019
|
/s/ Dennis S. Hudson, III
|
|
DENNIS S. HUDSON, III
|
|
Chairman & Chief Executive Officer
|
August 7, 2019
|
/s/ Charles M. Shaffer
|
|
CHARLES M. SHAFFER
|
|
Chief Operating Officer & Chief Financial Officer
|
1.
|
I have reviewed this quarterly report on Form 10-Q of Seacoast Banking Corporation of Florida;
|
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(s) 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 purposes 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 (the registrant’s fourth fiscal quarter in the case of an annual report) 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(s) 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 the registrant’s board of directors (or persons performing the equivalent functions):
|
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control 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: August 7, 2019
|
|
|
|
/s/ Dennis S. Hudson, III
|
|
|
|
|
Dennis S. Hudson, III
|
|
|
|
|
Chairman & Chief Executive Officer
|
1.
|
I have reviewed this quarterly report on Form 10-Q of Seacoast Banking Corporation of Florida;
|
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(s) 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 purposes 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 (the registrant’s fourth fiscal quarter in the case of an annual report) 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(s) 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 the registrant’s board of directors (or persons performing the equivalent functions):
|
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control 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: August 7, 2019
|
|
|
|
/s/ Charles M. Shaffer
|
|
|
|
|
Charles M. Shaffer
|
|
|
|
|
Chief Operating Officer and 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 results of operations of the Company.
|
|
|
|
|
|
Date: August 7, 2019
|
|
|
|
/s/ Dennis S. Hudson, III
|
|
|
|
|
Dennis S. Hudson, III
|
|
|
|
|
Chairman & Chief Executive 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 results of operations of the Company.
|
|
|
|
|
|
Date: August 7, 2019
|
|
|
|
/s/ Charles M. Shaffer
|
|
|
|
|
Charles M. Shaffer
|
|
|
|
|
Chief Operating Officer and Chief Financial Officer
|