TULSA, Okla.--(BUSINESS WIRE)--
BOK Financial Corporation (NASDAQ:BOKF) reported net income of $52.1
million or $0.77 per diluted share for the second quarter of 2009. Net
income totaled $55.0 million or $0.81 per diluted share for the first
quarter of 2009 and a net loss of $1.2 million or $0.02 per diluted
share was recognized in second quarter of 2008. Net income for the six
months ended June 30, 2009 totaled $107.1 million or $1.58 per diluted
share compared with net income of $61.1 million or $0.90 per diluted
share for the six months ended June 30, 2008. The second quarter of 2008
was impacted by $87.0 million of pre-tax charges for loan and energy
derivative credit exposure related to the bankruptcy filing by SemGroup
LP and related entities which reduced net income for the second quarter
of 2008 by approximately $57.0 million or $0.84 per diluted share.
In the second quarter of 2009, the Company incurred an $11.8 million
pre-tax charge for a special assessment by the FDIC and recognized net
pre-tax gains on available for sale securities of $15.2 million. In the
first quarter of 2009, the Company recognized net pre-tax gains on
available for sale securities of $7.2 million.
"BOK Financial is pleased to report net interest growth and solid fee
revenue for the second quarter of 2009," said President and CEO Stan
Lybarger. "The growth from our diversified revenue sources continues to
enhance our strong capital and liquidity position. However, declining
loan demand may challenge future net interest revenue and mortgage
banking revenue until the economy begins to recover."
Highlights of the second quarter of 2009 included:
-- Net interest revenue totaled $175.6 million, up $5.7 million compared to
the first quarter of 2009. Net interest margin was 3.55% for the second
quarter of 2009, up 8 basis points over the first quarter of 2009 due
largely to higher loan yields and lower funding costs.
-- Fees and commissions revenue totaled $123.1 million for the second
quarter of 2009. Mortgage banking revenue remained at relative high
levels due to increased loan volume driven by government initiatives to
lower national mortgage interest rates.
-- Operating expenses totaled $175.8 million, up $10.0 million over the
first quarter of 2009. Increased operating expenses included an $11.8
million FDIC special assessment.
-- Combined reserve for credit losses totaled $274 million or 2.27% of
outstanding loans at June 30, 2009, up from $262 million or 2.07% of
outstanding loans at March 31, 2009. Net loans charged off and provision
for credit losses were $34.9 million and $47.1 million, respectively,
for the second quarter of 2009.
-- Non-performing assets totaled $446 million or 3.67% of outstanding loans
and repossessed assets at June 30, 2009. Non-performing assets totaled
$414 million or 3.26% of outstanding loans and repossessed assets at
March 31, 2009.
-- Outstanding loan balances were $12.1 billion at June 30, 2009, down $570
million since March 31, 2009. Commercial, commercial real estate and
consumer loans all decreased during the second quarter due largely to
reduced customer demand.
-- Average deposit balances totaled $15.3 billion for the second quarter of
2009, up $479 million compared with average deposits for the first
quarter of 2009. Total period-end deposits were $14.7 billion at June
30, 2009, down $615 million since March 31, 2009 due largely to lower
brokered time deposit account balances.
-- The Company's tangible common equity ratio and tier 1 common equity
ratio increased to 7.55% and 9.77%, respectively, at June 30, 2009 from
6.84% and 9.58%, respectively, at March 31, 2009 due largely to lower
unrealized losses on securities. The tangible common equity ratio and
tier 1 common equity ratio are non-GAAP measures of capital strength
used by the Company and investors based on shareholders' equity as
defined by generally accepted accounting principles minus intangible
assets and equity that does not benefit common shareholders such as
preferred equity and equity provided by the U.S. Treasury's TARP Capital
Purchase Program. The Company chose not to participate in the U.S.
Treasury's TARP Capital Purchase Program. Tier 1 capital ratios were
9.86% at June 30, 2009 and 9.66% at March 31, 2009.
-- The Company paid a cash dividend of $16.2 million or $0.24 per common
share during the second quarter of 2009. On July 28, 2009, the board of
directors declared a cash dividend of $0.24 per common share payable on
or about August 28, 2009 to shareholders of record as of August 14,
2009.
Net Interest Revenue
Net interest revenue totaled $175.6 million, up $5.7 million compared to
the first quarter of 2009 and $16.6 million or 10% over the second
quarter of 2008. Net interest margin was 3.55% for the second quarter of
2009, 3.47% for the first quarter of 2009 and 3.44% for the second
quarter of 2008. The increase in net interest margin over the previous
quarter resulted from lower funding costs, partially offset by a
decrease in the yield on earning assets. The cost of interest-bearing
liabilities decreased 19 basis points, including a 27 basis point
decrease in the cost of interest-bearing deposits and a 5 basis point
decrease in the cost of other borrowed funds. The yield on average
earning assets for the second quarter of 2009 decreased 10 basis points
compared with the previous quarter. Securities yields decreased 42 basis
points and loan yields increased 8 basis points.
In addition to changes due to net interest margin, net interest revenue
increased due to earning asset growth. Average earning assets grew $205
million during the second quarter of 2009, primarily due to a $542
million increase in average securities, primarily mortgage-backed
securities issued by U.S. government agencies, partially offset by a
decrease of $382 million in average outstanding loans.
Average deposits increased $479 million compared with the first quarter
of 2009, including a $243 million increase in average interest-bearing
transaction accounts, a $319 million increase in average demand
deposits, and a $91 million decrease in average time deposits. Average
funds purchased, repurchase agreements and other borrowed funds
decreased $452 million from the first quarter of 2009.
Fees and Commissions Revenue
Fees and commissions revenue totaled $123.1 million for the second
quarter of 2009, $121.5 million for the first quarter of 2009 and $63.7
million for the second quarter of 2008. Fees and commissions revenue for
the second quarter of 2008 included a $60.7 million charge to adjust
SemGroup LP derivative contracts to fair value. The $1.6 million
increase in fees and commissions revenue from the previous quarter was
primarily due to increases in transaction card revenue, mortgage banking
revenue and deposit service charges partially offset by decreased
brokerage and trading revenue. Mortgage banking revenue totaled $19.9
million for the second quarter of 2009 and $18.5 million for the first
quarter of 2009, well above historic norms. Mortgage loan originations
totaled $1.0 billion for the second quarter of 2009, up $315 million
over the previous quarter due to government initiatives to lower
national mortgage interest rates. Mortgage loan originations totaled
$289 million in the second quarter of 2008.
Operating Expenses
Operating expenses totaled $175.8 million for the second quarter of
2009, up $10.0 million from the preceding quarter. Changes in the fair
value of mortgage servicing rights reduced operating expenses by $7.9
million in the second quarter of 2009 and $2.0 million in the first
quarter of 2009. The increase in the fair value of mortgage servicing
rights resulted from the effect of changes in interest rates on
anticipated prepayment speeds, potential earnings on escrow funds and
discount rates. Excluding mortgage servicing rights, operating expense
increased $15.9 million primarily due to an $11.8 millionFDIC insurance
special assessment in the second quarter of 2009 and increased personnel
expenses of $3.6 million. Operating expenses totaled $159.3 million for
the second quarter of 2008.
Credit Quality
Non-performing assets continued to increase during the second quarter of
2009. "We are pleased to acknowledge that the non-performing asset
growth rate has decreased over the past three quarters", Lybarger said.
"We continue to aggressively address credit quality through evaluation
and improvement of our loan portfolio and proactively manage
non-performing assets in a manner that maximizes their value."
Non-performing assets totaled $446 million or 3.67% of outstanding loans
and repossessed assets at June 30, 2009 which consisted of non-accruing
loans of $353 million, renegotiated loans of $17 million (including $11
million of residential mortgage loans guaranteed by U.S. government
agencies) and $75 million of real estate and other repossessed assets.
Non-accruing energy loans included $47 million that represents
approximately one-third of the pre-bankruptcy amount due from SemGroup
LP. Subsequent to June 30, the Company sold $25 million of the face
amount of its SemGroup bankruptcy claims which will reduce non-accruing
loans by $13.2 million.
Non-accruing loans totaled $353 million or 2.92% of outstanding loans at
June 30, 2009, compared with $339 million or 2.68% of outstanding loans
at March 31, 2009 and $149 million or 1.19% of outstanding loans at June
30, 2008. Approximately $207 million of non-accruing loans have been
charged-down to reported values of $99 million, amounts management
expects to recover. During the second quarter of 2009, $72 million of
new non-accruing loans were identified, offset by $27 million in charge
offs, $20 million in foreclosures and $9 million in payments.
Approximately $106 million or 20% of loans in the Arizona market were
non-accruing at June 30, 2009, down from $112 million at March 31, 2009.
Non-accruing loans in Oklahoma and Texas, the Company's largest markets,
totaled $108 million or 1.96% of outstanding loans and $52 million or
1.49% of outstanding loans in the respective markets, at June 30, 2009.
Non-accruing loans in New Mexico and Colorado markets totaled $30
million and $46 million, respectively, up approximately $12 million and
$7 million, respectively. Less than 5% of outstanding loans in these
respective markets at June 30, 2009 were non-accruing.
Non-accruing commercial loans totaled $127 million or 1.88% of total
commercial loans at June 30, 2009. Non-accruing commercial loans have
decreased $2.0 million since March 31, 2009.
Non-accruing commercial real estate loans totaled $190 million or 7.26%
of outstanding commercial real estate loans at June 30, 2009. Total
non-accruing commercial real estate loans increased $14 million since
March 31, 2009, primarily due to a $7 million increase in loans secured
by retail facilities in the Arizona market and a $4 million increase in
loans secured by commercial office buildings. Non-accruing commercial
real estate loans attributed to various markets included $100 million or
38% of total commercial real estate loans in Arizona, $32 million or 12%
of commercial real estate loans in Colorado, $28 million or 3% of
commercial real estate loans in Oklahoma and $18 million or 6% of
commercial real estate loans in New Mexico.
Non-accruing residential mortgage loans totaled $36 million or 1.96% of
outstanding residential mortgage loans at June 30, 2009, a $1.7 million
increase over March 31, 2009. The distribution of non-accruing
residential mortgage loans among various markets included $12 million or
3.38% of mortgage loans in Texas, $11 million or 0.90% of mortgage loans
in Oklahoma and $5 million or 8.99% of mortgage loans in Arizona.
Mortgage loans past due 30 to 90 days were $27 million at June 30, 2009
compared to $28 million at March 31, 2009.
The combined reserve for credit losses totaled $274 million or 2.27% of
outstanding loans and 78% of non-accruing loans at June 30, 2009. The
allowance for loan losses was $263 million and the reserve for
off-balance sheet credit losses was $11 million. During the second
quarter of 2009, the Company recognized a $47.1 million provision for
credit losses. Net losses charged against the allowance for loan losses
totaled $34.9 million or 1.13% annualized of average outstanding loans.
Real estate and other repossessed assets totaled $75 million at June 30,
2009, up $14 million from March 31, 2009. Real estate and other
repossessed assets increased by $20 million in additions offset by $6
million in sales. Real estate and other repossessed assets included $43
million of 1-4 family residential properties and residential land
development properties, $17 million of developed commercial real estate
properties, $7 million of equipment, $5 million of undeveloped land and
$2 million of automobiles. The distribution of real estate owned and
other repossessed assets among various markets included $25 million in
Arizona, $17 million in Texas, $8 million in New Mexico, $7 million in
Kansas City, $6 million in Arkansas, $6 million in Oklahoma, and $5
million in Colorado.
The Company also has off-balance sheet obligations related to certain
community development residential mortgage loans sold to U.S. government
agencies with recourse. These mortgage loans were underwritten to
standards approved by the agencies, including full documentation and
originated under programs available only for owner-occupied properties.
The outstanding principal balance of these loans totaled $346 million at
June 30, 2009. These loans are primarily to borrowers in the Company's
primary market areas, including $243 million in Oklahoma, $39 million in
Arkansas, $19 million in New Mexico, $17 million in Texas and $14
million in Kansas City. At June 30, 2009, approximately 4.30% of these
loans are non-performing and 6% were past due 30 to 90 days. A separate
reserve for credit risk of $10.8 million is available for losses on
these loans.
Securities and Derivatives
The Company's portfolio of available for sale securities totaled $7.2
billion at June 30, 2009, up $233 million since March 31, 2009. The
increase in the securities portfolio included $100 million of net
securities purchased and a $133 million increase in the net fair value.
The available for sale portfolio consisted primarily of mortgage-backed
securities, including $5.8 billion fully backed by U.S government
agencies and $1.2 billion privately issued by publicly owned financial
institutions. The portfolio does not hold any securities backed by
sub-prime mortgage loans, collateralized debt obligations or
collateralized loan obligations. The Company holds no debt of corporate
issuers.
Net unrealized losses on the Company's portfolio of available for sale
securities totaled $128 million at June 30, 2009, a $133 million
improvement from March 31, 2009. Net unrealized gains on mortgage-backed
securities issued by U.S. government agencies increased by $20 million
and net unrealized losses on privately-issued mortgage backed securities
decreased by $106 million.
Approximately $506 million of the privately-issued mortgage-backed
securities were rated below investment grade by at least one
nationally-recognized rating agency. The aggregate unrealized losses on
securities rated below investment grade totaled $148 million at June 30,
2009. Aggregate unrealized losses on these same securities were $191
million at March 31, 2009. The Company recognized a $279 thousand
other-than-temporary impairment charge against earnings in the second
quarter related to certain mortgage-backed securities due to further
declines in the projected cash flows. Other-than-temporary impairment of
$7.0 million was recognized in earnings in the first quarter of 2009
from these same securities.
Net unrealized losses on perpetual preferred stocks issued by other
financial institutions totaled $2.9 million at June 30, 2009 and $8.3
million at March 31, 2009. No other-than-temporary impairment charge was
recognized on these securities during the second quarter of 2009.
Net gains on securities totaled $6.5 million for the second quarter of
2009, compared with a net gain of $20.1 million for the first quarter of
2009 and a net loss of $5.2 million for the second quarter of 2008.
Three Months Ended
June 30, March 31, June 30,
2009 2009 2008
Gain on available for sale securities $ 16,670 $ 22,226 $ 276
Loss on mortgage hedge securities (10,199 ) (2,118 ) (5,518 )
Net gain (loss) on securities $ 6,471 $ 20,108 $ (5,242 )
Gain (loss) on change in fair value of
mortgage servicing rights $ 7,865 $ 1,955 $ (767 )
The Company recognized $16.7 million of gains on the sale of $1.2
billion of available for sale securities in the second quarter of 2009.
These securities were purchased at deep discounts near the beginning of
the recent market disruption. Securities sold were low coupon U.S.
government agency issued mortgage-backed securities. These were replaced
with higher coupon securities that will have superior future yields. The
Company intends to sell an additional $91 million of similar securities
after June 30. The current fair value of these securities was below
their amortized cost and the Company recognized $1.3 million in
other-than-temporary impairment charges on these securities during the
second quarter.
BOK Financial also maintains a portfolio of mortgage-backed securities
issued by U.S. government agencies as an economic hedge against changes
in the fair value of mortgage servicing rights. The fair value of
mortgage servicing rights increased $7.9 million and the fair value of
mortgage hedge securities decreased $10.2 million during the second
quarter of 2009.
The Company has a portfolio of derivative contracts held for customer
risk management programs and internal interest rate risk management
programs. At June 30, 2009, the fair value of all asset contracts
totaled $463 million, net of cash margin held by the Company. The
largest net amount due from a single counterparty, a domestic subsidiary
of a major energy company, at June 30, 2009 was $164 million. This
amount was offset by $140 million in letters of credit issued by
independent financial institutions.
Balance Sheet Management
Outstanding loans at June 30, 2009 were $12.1 billion, down $570 million
from March 31, 2009. Loan balances were lower across most sectors of the
loan portfolio and markets due to reduced customer demand in response to
current economic conditions, normal repayment trends and management
decisions to mitigate credit risk by exiting certain loan type and
relationships. Commercial loans decreased $386 million from March 31,
2009, primarily due to a decrease of $126 million in energy sector loans
and $106 million in wholesale/retail sector loans. Commercial real
estate loans decreased $120 million compared to the prior quarter,
primarily due to a $61 million decrease in construction and land
development, a $38 million decrease in multifamily and a $21 million
decrease in industrial sectors of the real estate loan portfolio.
Residential mortgage loans increased $14 million from the prior quarter
primarily due to increased originations driven by lower interest rates.
Consumer loans decreased $78 million compared to the prior quarter
primarily due to a $68 million decrease in indirect automobile loans
related to the previously announced decision to curtail that business
during the first quarter of 2009 in favor of a customer-focused direct
approach to consumer lending.
Total deposits decreased $615 million during the second quarter and
totaled $14.7 billion at June 30, 2009. Time deposit balances were down
$852 million due largely to a $492 million decrease in brokered deposits
and reductions in certain higher-costing retail accounts. Among our
lines of business, commercial banking deposits increased $522 million
during the second quarter of 2009, offset by decreased wealth management
deposits of $472 million and decreased consumer banking deposits of $47
million.
The Company and each of its subsidiary banks exceeded the regulatory
definition of well capitalized at June 30, 2009. The Company's Tier 1
and total capital ratios were 9.86% and 13.34%, respectively, at June
30, 2009. The Company's Tier 1 and total capital ratios were 9.66% and
13.08%, respectively, at March 31, 2009. In addition, the Company's
tangible common equity ratio was 7.55% at June 30, 2009 and 6.84% at
March 31, 2009. The increase in tangible common equity ratio was
primarily due to retained earnings growth and reduced net unrealized
losses on available for sale securities.
About BOK Financial Corporation
BOK Financial is a regional financial services company that provides
commercial and consumer banking, investment and trust services, mortgage
origination and servicing, and an electronic funds transfer network.
Holdings include Bank of Albuquerque, N.A., Bank of Arizona, N.A., Bank
of Arkansas, N.A., Bank of Oklahoma, N.A., Bank of Texas, N.A., Colorado
State Bank & Trust, N.A., Bank of Kansas City, N.A., BOSC, Inc., Cavanal
Hill Investment Management, Inc., the TransFund electronic funds
network, and Southwest Trust Company, N.A. Shares of BOK Financial are
traded on the NASDAQ under the symbol BOKF. For more information, visit www.bokf.com.
The Company will continue to evaluate critical assumptions and
estimates, such as the adequacy of the allowance for credit losses and
asset impairment as of June 30, 2009 through the date its financial
statements are filed with the Securities and Exchange Commission and
will adjust amounts reported if necessary.
This news release contains forward-looking statements that are based on
management's beliefs, assumptions, current expectations, estimates and
projections about BOK Financial, the financial services industry and the
economy generally. Words such as "anticipates," "believes," "estimates,"
"expects," "forecasts," "plans," "projects," variations of such words
and similar expressions are intended to identify such forward-looking
statements. Management judgments relating to and discussion of the
provision and allowance for credit losses involve judgments as to future
events and are inherently forward-looking statements. Assessments that
BOK Financial's acquisitions and other growth endeavors will be
profitable are necessary statements of belief as to the outcome of
future events based in part on information provided by others which BOK
Financial has not independently verified. These statements are not
guarantees of future performance and involve certain risks,
uncertainties, and assumptions which are difficult to predict with
regard to timing, extent, likelihood and degree of occurrence.
Therefore, actual results and outcomes may materially differ from what
is expected, implied or forecasted in such forward-looking statements.
Internal and external factors that might cause such a difference
include, but are not limited to (1) the ability to fully realize
expected cost savings from mergers within the expected time frames, (2)
the ability of other companies on which BOK Financial relies to provide
goods and services in a timely and accurate manner, (3) changes in
interest rates and interest rate relationships, (4) demand for products
and services, (5) the degree of competition by traditional and
nontraditional competitors, (6) changes in banking regulations, tax
laws, prices, levies and assessments, (7) the impact of technological
advances and (8) trends in consumer behavior as well as their ability to
repay loans. BOK Financial and its affiliates undertake no obligation to
update, amend or clarify forward-looking statements, whether as a result
of new information, future events, or otherwise.
BALANCE SHEETS
BOK FINANCIAL CORPORATION
(In thousands)
Period Ended
June 30, March 31, June 30,
2009 2009 2008
(Unaudited) (Unaudited)
ASSETS
Cash and due from banks $ 470,553 $ 686,976 $ 712,324
Trading 84,548 128,179 62,532
securities
Funds sold and resell 112,128 27,197 52,005
agreements
Securities:
Available for 7,224,673 6,991,803 5,926,602
sale
Investment 269,844 251,848 245,754
Mortgage trading 222,864 454,493 98,269
securities
Total 7,717,381 7,698,144 6,270,625
securities
Residential mortgage 326,363 245,791 119,944
loans held for sale
Loans:
Commercial 6,715,851 7,101,530 7,038,573
Commercial 2,611,693 2,732,081 2,827,497
real estate
Residential 1,833,975 1,819,950 1,607,597
mortgage
Consumer 908,409 986,355 1,044,371
Total loans 12,069,928 12,639,916 12,518,038
Less reserve for loan (263,309 ) (251,002 ) (154,018 )
losses
Loans, net of 11,806,619 12,388,914 12,364,020
reserve
Premises and equipment, 286,295 281,300 266,435
net
Accrued revenue 118,718 104,205 159,066
receivable
Intangible 357,838 359,523 365,060
assets, net
Mortgage servicing 67,413 50,246 72,103
rights, net
Real estate and other 75,243 61,383 21,025
repossessed assets
Bankers' 8,260 9,316 16,031
acceptances
Derivative 462,971 551,316 1,380,876
contracts
Cash surrender value of 241,792 239,348 231,527
bank-owned life insurance
Receivable on unsettled 237,200 - 39,052
securities trades
Other assets 394,997 501,604 303,312
TOTAL ASSETS $ 22,768,319 $ 23,333,442 $ 22,435,937
LIABILITIES AND EQUITY
Deposits:
Demand $ 2,825,179 $ 3,050,896 $ 1,951,939
Interest-bearing 7,091,471 6,627,222 7,650,255
transaction
Savings 166,806 168,644 162,138
Time 4,571,933 5,423,659 4,361,384
Total 14,655,389 15,270,421 14,125,716
deposits
Funds purchased and 2,798,274 2,217,081 3,101,425
repurchase agreements
Other 2,152,177 2,276,430 2,153,853
borrowings
Subordinated 398,465 398,443 398,340
debentures
Accrued interest, 119,003 146,111 81,507
taxes, and expense
Bankers' 8,260 9,316 16,031
acceptances
Due on unsettled - 311,133 -
securities trades
Derivative 445,463 640,275 456,379
contracts
Other 125,126 118,181 140,758
liabilities
TOTAL 20,702,157 21,387,391 20,474,009
LIABILITIES
Shareholders'
equity:
Capital, surplus and retained 2,149,020 2,111,823 2,006,754
earnings
Accumulated other (98,448 ) (180,523 ) (64,378 )
comprehensive loss
TOTAL SHAREHOLDERS' 2,050,572 1,931,300 1,942,376
EQUITY
Non-controlling 15,590 14,751 19,552
interest
TOTAL EQUITY 2,066,162 1,946,051 1,961,928
TOTAL LIABILITIES AND $ 22,768,319 $ 23,333,442 $ 22,435,937
EQUITY
AVERAGE BALANCE SHEETS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
June 30, March 31, December 31, September 30, June 30,
2009 2009 2008 2008 2008
ASSETS
Trading $ 112,960 $ 111,962 $ 78,840 $ 66,419 $ 74,058
securities
Funds sold
and resell 29,277 50,701 48,246 79,862 72,444
agreements
Securities:
Available 7,242,931 6,645,086 6,409,906 5,945,220 5,880,844
for sale
Investment 271,068 238,562 242,503 239,655 249,723
Mortgage
trading 365,434 453,304 237,319 126,837 155,612
securities
Total 7,879,433 7,336,952 6,889,728 6,311,712 6,286,179
securities
Residential
mortgage 286,077 201,135 121,184 116,533 105,925
loans held
for sale
Loans:
Commercial 6,901,057 7,182,481 7,452,799 7,228,814 6,976,292
Commercial 2,684,020 2,762,789 2,716,465 2,696,503 2,802,292
real estate
Residential 1,884,023 1,841,006 1,641,023 1,655,710 1,606,518
mortgage
Consumer 933,950 998,489 1,016,409 1,015,796 1,035,985
Total loans 12,403,050 12,784,765 12,826,696 12,596,823 12,421,087
Less
allowance for (273,335 ) (252,734 ) (209,319 ) (182,844 ) (145,524 )
loan losses
Total loans, 12,129,715 12,532,031 12,617,377 12,413,979 12,275,563
net
Total
earning 20,437,462 20,232,781 19,755,374 18,988,504 18,814,168
assets
Cash and due 638,791 661,433 534,039 499,992 524,922
from banks
Cash surrender
value of 240,199 237,805 235,195 232,465 229,731
bank-owned
life insurance
Derivative 493,448 476,091 352,083 900,777 896,569
contracts
Other assets 1,264,131 1,335,259 1,394,960 1,199,425 1,142,910
TOTAL ASSETS $ 23,074,031 $ 22,943,369 $ 22,271,651 $ 21,821,163 $ 21,608,300
LIABILITIES
AND EQUITY
Deposits:
Demand $ 3,183,338 $ 2,864,751 $ 2,712,384 $ 2,739,209 $ 2,634,038
Interest-bearing 6,854,003 6,610,805 6,116,465 6,565,935 6,420,291
transaction
Savings 167,813 159,537 155,784 159,856 159,798
Time 5,123,947 5,215,091 5,109,303 4,792,366 4,076,167
Total 15,329,101 14,850,184 14,093,936 14,257,366 13,290,294
deposits
Funds
purchased
and 2,316,990 2,562,066 3,095,054 3,061,186 3,126,110
repurchase
agreements
Other 1,951,699 2,158,963 1,986,857 1,390,233 2,267,076
borrowings
Subordinated 398,456 398,425 398,392 398,361 398,336
debentures
Derivative 536,232 641,974 494,778 509,057 239,211
contracts
Other 534,889 416,242 293,752 258,775 282,656
liabilities
TOTAL 21,067,367 21,027,854 20,362,769 19,874,978 19,603,683
LIABILITIES
Total equity 2,006,664 1,915,515 1,908,882 1,946,185 2,004,617
TOTAL
LIABILITIES $ 23,074,031 $ 22,943,369 $ 22,271,651 $ 21,821,163 $ 21,608,300
AND EQUITY
STATEMENTS OF EARNINGS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except per share data)
Quarter Ended Six Months Ended
June 30, June 30,
2009 2008 2009 2008
Interest $ 230,685 $ 260,086 $ 463,912 $ 536,127
revenue
Interest 55,105 101,147 118,487 230,060
expense
Net
interest 175,580 158,939 345,425 306,067
revenue
Provision for 47,120 59,310 92,160 76,881
credit losses
Net interest
revenue after 128,460 99,629 253,265 229,186
provision for
credit losses
Other
operating
revenue
Brokerage and
trading 21,794 (35,462 ) 46,493 (11,549 )
revenue
Transaction 27,533 25,786 52,961 49,344
card revenue
Trust fees and 16,860 20,940 33,370 41,736
commissions
Deposit
service 28,421 30,199 55,826 57,885
charges and
fees
Mortgage
banking 19,882 8,203 38,380 16,237
revenue
Bank-owned 2,418 2,658 4,735 5,170
life insurance
Margin
asset 68 4,460 135 6,427
fees
Other 6,124 6,965 12,707 12,356
revenue
Total fees and 123,100 63,749 244,607 177,606
commissions
Gain (loss) on 973 (1,149 ) 1,116 (1,145 )
other assets
Gain (loss) on
derivatives, (1,037 ) (2,961 ) (2,701 ) (848 )
net
Gain (loss) on
securities, 6,471 (5,242 ) 26,579 4,684
net
Total
other-than-temporary (1,542 ) - (55,910 ) (5,306 )
impairment losses
Portion of loss
recognized in other - - (39,366 ) -
comprehensive income
Net impairment
losses recognized in (1,542 ) - (16,544 ) (5,306 )
earnings
Total other
operating 127,965 54,397 253,057 174,991
revenue
Other
operating
expense
Personnel 96,191 89,597 188,818 177,703
Business 4,569 5,777 8,997 10,416
promotion
Professional
fees and 7,363 6,973 13,875 12,621
services
Net occupancy 15,973 15,100 32,231 30,161
and equipment
Insurance 5,898 2,626 11,536 6,336
FDIC special 11,773 - 11,773 -
assessment
Data
processing and 20,452 19,523 39,758 38,416
communications
Printing,
postage and 4,072 4,156 8,643 8,575
supplies
Net (gains) losses
and operating 996 (229 ) 2,802 149
expenses of
repossessed assets
Amortization
of intangible 1,686 1,885 3,372 3,810
assets
Mortgage 9,336 6,054 16,803 11,735
banking costs
Change in fair value
of mortgage (7,865 ) 767 (9,820 ) 2,529
servicing rights
Visa retrospective
responsibility - - - (2,767 )
obligation
Other 5,326 7,039 12,776 12,988
expense
Total other
operating 175,770 159,268 341,564 312,672
expense
Net income 80,655 (5,242 ) 164,758 91,505
before taxes
Federal and
state income 28,315 (2,862 ) 57,153 31,588
taxes
Net income before
non-controlling 52,340 (2,380 ) 107,605 59,917
interest
Non-controlling
interest income (225 ) 1,219 (458 ) 1,187
(expense), net
Net income
attributable to BOK $ 52,115 $ (1,161 ) $ 107,147 $ 61,104
Financial
Corporation
Average shares
outstanding:
Basic 67,344,577 67,452,181 67,330,590 67,327,155
Diluted 67,448,029 67,452,181 67,417,874 67,690,919
Net income per
share:
Basic $ 0.77 $ (0.02 ) $ 1.59 $ 0.91
Diluted $ 0.77 $ (0.02 ) $ 1.58 $ 0.90
FINANCIAL HIGHLIGHTS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and share data)
Quarter Ended
June 30, March 31, December 31, September 30, June 30,
2009 2009 2008 2008 2008
Capital:
Period-end
shareholders' $ 2,050,572 $ 1,931,300 $ 1,846,257 $ 1,940,503 $ 1,942,376
equity
Risk
weighted $ 18,338,540 $ 18,355,862 $ 18,401,051 $ 18,347,504 $ 18,665,121
assets
Risk-based
capital ratios:
Tier 1 9.86 % 9.66 % 9.40 % 9.31 % 8.92 %
Total 13.34 % 13.08 % 12.81 % 12.62 % 12.00 %
capital
Leverage 7.97 % 7.85 % 7.89 % 7.94 % 7.83 %
ratio
Tangible common
equity ratio 7.55 % 6.84 % 6.64 % 7.16 % 7.15 %
(A)
Tier 1 common
equity ratio 9.77 % 9.58 % 9.32 % 9.20 % 8.82 %
(B)
Common
stock:
Book value $ 30.30 $ 28.57 $ 27.36 $ 28.78 $ 28.78
per share
Market value
per share:
High $ 43.02 $ 40.71 $ 54.42 $ 53.94 $ 60.74
Low $ 34.46 $ 22.95 $ 38.40 $ 38.61 $ 49.11
Cash
dividends $ 16,184 $ 15,027 $ 15,358 $ 15,170 $ 15,180
paid
Dividend 31.05 % 27.31 % 43.33 % 26.76 % (1307.49 %)
payout ratio
Shares
outstanding, 67,674,442 67,589,045 67,473,086 67,433,837 67,488,388
net
Stock buy-back
program:
Shares - - - 75,000 -
repurchased
Amount $ - $ - $ - $ 3,337,000 $ -
Average price $ - $ - $ - $ 44.49 $ -
per share
Performance
ratios (quarter
annualized):
Return on 0.91 % 0.97 % 0.63 % 1.03 % (0.02 %)
average assets
Return on 10.42 % 11.65 % 7.39 % 11.59 % (0.23 %)
average equity
Net interest 3.55 % 3.47 % 3.57 % 3.48 % 3.44 %
margin
Efficiency 61.02 % 57.10 % 54.94 % 54.19 % 70.52 %
ratio
Other data:
Gain (loss) on
economic hedge $ (10,199 ) $ (2,118 ) $ 15,089 $ 1,186 $ (5,518 )
of mortgage
servicing rights
Trust assets $ 29,288,041 $ 28,700,791 $ 30,454,512 $ 33,242,296 $ 34,433,874
Mortgage
servicing $ 6,082,501 $ 5,515,893 $ 5,256,159 $ 5,167,584 $ 5,075,285
portfolio
Mortgage loan
fundings during $ 1,023,272 $ 708,561 $ 214,521 $ 258,171 $ 288,937
the quarter
Mortgage loan
refinances to 71.00 % 73.51 % 34.84 % 25.14 % 36.76 %
total fundings
Tax equivalent $ 1,791 $ 2,105 $ 2,063 $ 1,927 $ 2,084
adjustment
Unrealized gain
(loss) on $ (128,492 ) $ (261,856 ) $ (330,973 ) $ (158,652 ) $ (91,226 )
available for
sale securities
(A) Tangible
common equity
ratio is a
non-GAAP
measure.
Reconciliation
to a GAAP
financial
measure follows:
Total
shareholders' $ 2,050,572 $ 1,931,300 $ 1,846,257 $ 1,940,503 $ 1,942,376
equity
Less:
intangible (357,838 ) (359,523 ) (361,209 ) (363,177 ) (365,060 )
assets, net
Tangible common $ 1,692,734 $ 1,571,777 $ 1,485,048 $ 1,577,326 $ 1,577,316
equity
Total assets $ 22,768,319 $ 23,333,442 $ 22,734,648 $ 22,377,802 $ 22,435,937
Less:
intangible (357,838 ) (359,523 ) (361,209 ) (363,177 ) (365,060 )
assets, net
$ 22,410,481 $ 22,973,919 $ 22,373,439 $ 22,014,625 $ 22,070,877
Tangible common 7.55 % 6.84 % 6.64 % 7.16 % 7.15 %
equity ratio
(B) Tier 1
common equity
ratio is a
non-GAAP
measure.
Reconciliation
to a GAAP
financial
measure follows:
Tier 1 $ 1,807,705 $ 1,773,576 $ 1,728,926 $ 1,707,390 $ 1,665,448
capital
Less:
non-controlling (15,590 ) (14,751 ) (13,855 ) (19,286 ) (19,552 )
interest
Tier 1 common $ 1,792,115 $ 1,758,825 $ 1,715,071 $ 1,688,104 $ 1,645,896
equity
Risk weighted $ 18,338,540 $ 18,355,862 $ 18,401,051 $ 18,347,504 $ 18,665,121
assets
Tier 1 common 9.77 % 9.58 % 9.32 % 9.20 % 8.82 %
equity ratio
QUARTERLY EARNINGS TRENDS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and per share data)
Quarter Ended
June 30, March 31, December 31, September 30, June 30,
2009 2009 2008 2008 2008
Interest $ 230,685 $ 233,227 $ 262,160 $ 263,358 $ 260,086
revenue
Interest 55,105 63,382 85,713 99,010 101,147
expense
Net
interest 175,580 169,845 176,447 164,348 158,939
revenue
Provision for 47,120 45,040 73,001 52,711 59,310
credit losses
Net interest
revenue after 128,460 124,805 103,446 111,637 99,629
provision for
credit losses
Other
operating
revenue
Brokerage and
trading 21,794 24,699 23,507 30,846 (35,462 )
revenue
Transaction 27,533 25,428 25,177 25,632 25,786
card revenue
Trust fees and 16,860 16,510 17,143 20,100 20,940
commissions
Deposit
service 28,421 27,405 29,239 30,404 30,199
charges and
fees
Mortgage
banking 19,882 18,498 7,217 7,145 8,203
revenue
Bank-owned 2,418 2,317 2,682 2,829 2,658
life insurance
Margin
asset 68 67 187 1,934 4,460
fees
Other 6,124 6,583 5,778 7,768 6,965
revenue
Total fees and 123,100 121,507 110,930 126,658 63,749
commissions
Gain (loss) on 973 143 (7,420 ) (841 ) (1,149 )
other assets
Gain (loss) on
derivatives, (1,037 ) (1,664 ) (2,219 ) 4,366 (2,961 )
net
Gain (loss) on
securities, 6,471 20,108 20,156 2,103 (5,242 )
net
Total
other-than-temporary (1,542 ) (54,368 ) - - -
impairment losses
Portion of loss
recognized in other - (39,366 ) - - -
comprehensive income
Net impairment
losses recognized in (1,542 ) (15,002 ) - - -
earnings
Total other
operating 127,965 125,092 121,447 132,286 54,397
revenue
Other
operating
expense
Personnel 96,191 92,627 87,695 87,549 89,597
Business 4,569 4,428 7,283 5,837 5,777
promotion
Professional
fees and 7,363 6,512 7,923 6,501 6,973
services
Net occupancy 15,973 16,258 14,901 15,570 15,100
and equipment
Insurance 5,898 5,638 3,216 2,436 2,626
FDIC special 11,773 - - - -
assessment
Data
processing and 20,452 19,306 19,720 19,911 19,523
communications
Printing,
postage and 4,072 4,571 3,823 4,035 4,156
supplies
Net (gains) losses
and operating 996 1,806 1,006 (136 ) (229 )
expenses of
repossessed assets
Amortization
of intangible 1,686 1,686 1,967 1,884 1,885
assets
Mortgage 9,336 7,467 4,967 5,811 6,054
banking costs
Change in fair value
of mortgage (7,865 ) (1,955 ) 26,432 5,554 767
servicing rights
Visa retrospective
responsibility - - (1,700 ) 1,700 -
obligation
Other 5,326 7,450 8,209 7,638 7,039
expense
Total other
operating 175,770 165,794 185,442 164,290 159,268
expense
Net income 80,655 84,103 39,451 79,633 (5,242 )
before taxes
Federal and
state income 28,315 28,838 10,363 22,958 (2,862 )
taxes
Net income before
non-controlling 52,340 55,265 29,088 56,675 (2,380 )
interest
Non-controlling
interest income (225 ) (233 ) 6,355 10 1,219
(expense), net
Net income
attributable to BOK $ 52,115 $ 55,032 $ 35,443 $ 56,685 $ (1,161 )
Financial
Corporation
Average shares
outstanding:
Basic 67,344,577 67,315,986 67,294,069 67,263,317 67,452,181
Diluted 67,448,029 67,387,102 67,456,267 67,432,444 67,452,181
Net income
(loss) per
share:
Basic $ 0.77 $ 0.81 $ 0.53 $ 0.84 $ (0.02 )
Diluted $ 0.77 $ 0.81 $ 0.52 $ 0.84 $ (0.02 )
LOANS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
June 30, March 31, December 31, September 30, June 30,
2009 2009 2008 2008 2008
Oklahoma:
Commercial $ 2,918,478 $ 3,119,362 $ 3,356,520 $ 3,368,823 $ 3,228,179
Commercial 855,742 881,620 843,576 827,357 875,546
real estate
Residential 1,249,104 1,234,417 1,196,924 1,134,066 1,099,277
mortgage
Consumer 521,431 562,021 579,809 580,211 601,184
Total 5,544,755 5,797,420 5,976,829 5,910,457 5,804,186
Oklahoma
Texas:
Commercial 2,182,756 2,277,186 2,353,860 2,205,169 2,166,925
Commercial 741,199 816,830 825,769 853,653 889,364
real estate
Residential 345,780 337,044 315,438 307,655 299,996
mortgage
Consumer 196,752 214,134 212,820 214,133 204,081
Total Texas 3,466,487 3,645,194 3,707,887 3,580,610 3,560,366
New Mexico:
Commercial 380,378 393,180 418,732 442,644 451,225
Commercial 313,190 315,511 286,574 281,061 271,177
real estate
Residential 90,944 99,805 98,018 95,165 89,469
mortgage
Consumer 18,826 19,900 18,616 18,296 16,977
Total New 803,338 828,396 821,940 837,166 828,848
Mexico
Arkansas:
Commercial 97,676 99,955 103,446 104,630 96,775
Commercial 133,026 133,227 134,015 127,925 124,049
real estate
Residential 19,015 17,145 16,875 16,941 19,527
mortgage
Consumer 152,620 168,971 175,647 183,543 197,979
Total 402,337 419,298 429,983 433,039 438,330
Arkansas
Colorado:
Commercial 595,858 675,223 660,546 598,519 489,844
Commercial 269,923 267,035 261,820 266,739 276,062
real estate
Residential 58,557 59,120 53,875 49,676 38,517
mortgage
Consumer 14,097 14,599 16,141 18,328 16,367
Total 938,435 1,015,977 992,382 933,262 820,790
Colorado
Arizona:
Commercial 215,540 211,953 211,356 213,861 207,173
Commercial 262,607 285,841 319,525 326,615 351,058
real estate
Residential 58,265 61,605 62,123 58,800 53,321
mortgage
Consumer 3,229 5,261 6,075 5,551 5,315
Total 539,641 564,660 599,079 604,827 616,867
Arizona
Kansas:
Commercial 325,165 324,671 307,143 340,156 398,452
Commercial 36,006 32,017 29,969 30,642 40,241
real estate
Residential 12,310 10,814 9,321 7,650 7,490
mortgage
Consumer 1,454 1,469 1,473 2,161 2,468
Total 374,935 368,971 347,906 380,609 448,651
Kansas
TOTAL BOK $ 12,069,928 $ 12,639,916 $ 12,876,006 $ 12,679,970 $ 12,518,038
FINANCIAL
DEPOSITS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
June 30, March 31, December 31, September 30, June 30,
2009 2009 2008 2008 2008
Oklahoma:
Demand $ 1,451,057 $ 1,651,111 $ 1,683,374 $ 1,681,325 $ 1,455,997
Interest-bearing:
Transaction 4,374,089 4,089,838 4,117,729 4,151,430 3,997,136
Savings 94,048 95,827 86,476 86,900 90,100
Time 2,033,312 2,876,313 3,104,933 3,036,297 2,672,401
Total 6,501,449 7,061,978 7,309,138 7,274,627 6,759,637
interest-bearing
Total Oklahoma 7,952,506 8,713,089 8,992,512 8,955,952 8,215,634
Texas:
Demand 1,002,266 1,021,424 1,067,456 956,846 1,046,651
Interest-bearing:
Transaction 1,660,642 1,527,399 1,460,576 1,543,974 1,713,131
Savings 33,992 33,867 32,071 32,400 33,207
Time 1,035,919 1,054,632 857,416 794,911 723,146
Total 2,730,553 2,615,898 2,350,063 2,371,285 2,469,484
interest-bearing
Total Texas 3,732,819 3,637,322 3,417,519 3,328,131 3,516,135
New Mexico:
Demand 175,033 180,308 155,345 176,477 168,621
Interest-bearing:
Transaction 434,498 401,000 397,382 376,941 417,607
Savings 18,255 17,858 16,289 16,316 16,432
Time 542,388 561,300 522,894 475,560 445,505
Total 995,141 980,158 936,565 868,817 879,544
interest-bearing
Total New Mexico 1,170,174 1,160,466 1,091,910 1,045,294 1,048,165
Arkansas:
Demand 17,261 16,503 16,293 23,565 21,142
Interest-bearing:
Transaction 73,972 63,924 38,566 19,146 24,524
Savings 1,031 1,100 1,083 865 895
Time 162,505 150,015 75,579 47,684 39,305
Total 237,508 215,039 115,228 67,695 64,724
interest-bearing
Total Arkansas 254,769 231,542 131,521 91,260 85,866
Colorado:
Demand 113,895 111,048 116,637 115,677 109,697
Interest-bearing:
Transaction 445,521 466,276 480,113 440,888 507,260
Savings 18,144 18,905 17,660 19,300 20,245
Time 579,709 584,971 532,475 428,872 423,014
Total 1,043,374 1,070,152 1,030,248 889,060 950,519
interest-bearing
Total Colorado 1,157,269 1,181,200 1,146,885 1,004,737 1,060,216
Arizona:
Demand 55,975 54,362 39,424 45,725 49,895
Interest-bearing:
Transaction 89,842 66,809 56,985 64,463 73,034
Savings 1,282 970 1,014 1,033 1,233
Time 59,775 54,923 34,290 14,433 6,364
Total 150,899 122,702 92,289 79,929 80,631
interest-bearing
Total Arizona 206,874 177,064 131,713 125,654 130,526
Kansas /
Missouri:
Demand 9,692 16,140 3,850 5,548 7,157
Interest-bearing:
Transaction 12,907 11,976 10,999 9,780 10,342
Savings 54 117 42 33 26
Time 158,325 141,505 55,656 19,794 51,649
Total 171,286 153,598 66,697 29,607 62,017
interest-bearing
Total Kansas / 180,978 169,738 70,547 35,155 69,174
Missouri
TOTAL BOK $ 14,655,389 $ 15,270,421 $ 14,982,607 $ 14,586,183 $ 14,125,716
FINANCIAL
NET INTEREST MARGIN TREND - UNAUDITED
BOK FINANCIAL CORPORATION
Quarter Ended
June 30, March 31, December 31, September June 30,
30,
2009 2009 2008 2008 2008
TAX-EQUIVALENT
ASSETS YIELDS
Trading 3.49 % 3.69 % 6.55 % 5.61 % 6.88 %
securities
Funds sold and 0.19 % 0.24 % 0.76 % 1.44 % 1.97 %
resell agreements
Securities:
Taxable 4.50 % 4.90 % 5.12 % 5.09 % 5.08 %
Tax-exempt 5.69 % 6.64 % 6.43 % 6.64 % 6.46 %
Total securities 4.54 % 4.96 % 5.17 % 5.15 % 5.14 %
Total loans 4.64 % 4.56 % 5.27 % 5.69 % 5.79 %
Less Allowance for - - - - -
loan losses
Total loans, net 4.74 % 4.65 % 5.35 % 5.77 % 5.86 %
Total tax-equivalent
yield on earning 4.65 % 4.75 % 5.28 % 5.55 % 5.61 %
assets
COST OF
INTEREST-BEARING
LIABILITIES
Interest-bearing
deposits:
Interest-bearing 0.78 % 0.95 % 1.51 % 1.72 % 1.74 %
transaction
Savings 0.25 % 0.28 % 0.37 % 0.37 % 0.37 %
Time 2.48 % 2.83 % 3.28 % 3.39 % 3.77 %
Total
interest-bearing 1.49 % 1.76 % 2.29 % 2.39 % 2.50 %
deposits
Funds purchased and 0.35 % 0.45 % 0.94 % 1.98 % 1.95 %
repurchase agreements
Other borrowings 0.49 % 0.58 % 1.51 % 2.56 % 2.49 %
Subordinated 5.67 % 5.67 % 5.48 % 5.55 % 5.88 %
debt
Total cost of
interest-bearing 1.31 % 1.50 % 2.02 % 2.41 % 2.47 %
liabilities
Tax-equivalent net
interest revenue 3.34 % 3.25 % 3.26 % 3.14 % 3.14 %
spread
Effect of
noninterest-bearing 0.21 % 0.22 % 0.31 % 0.34 % 0.30 %
funding sources and
other
Tax-equivalent net 3.55 % 3.47 % 3.57 % 3.48 % 3.44 %
interest margin
CREDIT QUALITY INDICATORS
BOK FINANCIAL CORPORATION
(In thousands, Quarter Ended
except ratios)
June 30, March 31, December 31, September June 30,
30,
2009 2009 2008 2008 2008
Nonperforming
assets:
Nonaccruing
loans (B):
Commercial $ 126,510 $ 128,501 $ 134,846 $ 105,757 $ 69,679
Commercial 189,586 175,487 137,279 78,235 60,456
real estate
Residential 35,860 34,182 27,387 27,075 17,861
mortgage
Consumer 1,037 1,065 561 758 611
Total
nonaccruing $ 352,993 $ 339,235 $ 300,073 $ 211,825 $ 148,607
loans
Renegotiated 17,479 13,623 13,039 12,326 11,840
loans (A)
Real estate
and other 75,243 61,383 29,179 28,088 21,025
repossessed
assets
Total
nonperforming $ 445,715 $ 414,241 $ 342,291 $ 252,239 $ 181,472
assets
Nonaccruing
loans by
principal
market (B):
Oklahoma $ 108,490 $ 105,536 $ 108,367 $ 87,885 $ 57,155
Texas 51,582 55,225 42,934 29,141 20,860
New Mexico 29,640 18,046 16,016 12,293 9,838
Arkansas 3,888 4,078 3,263 3,386 2,924
Colorado 45,794 38,567 32,415 20,980 23,812
Arizona 106,076 111,772 80,994 54,832 33,482
Kansas 7,523 6,011 16,084 3,308 536
Total
nonaccruing $ 352,993 $ 339,235 $ 300,073 $ 211,825 $ 148,607
loans
- - - - -
Nonaccruing
loans by loan
portfolio
sector (B):
Commercial:
Energy $ 53,842 $ 49,618 $ 49,364 $ 49,839 $ 12,342
Manufacturing 16,975 18,248 7,343 6,479 6,731
Wholesale / 10,983 8,650 18,773 7,806 3,735
retail
Agriculture 105 115 680 755 811
Services 24,713 30,226 36,873 26,581 30,080
Healthcare 14,222 14,288 12,118 3,300 3,791
Other 5,670 7,356 9,695 10,997 12,189
Total 126,510 128,501 134,846 105,757 69,679
commercial
Commercial
real estate:
Land
development 97,425 99,922 76,082 53,624 45,291
and
construction
Retail 17,474 9,893 15,625 13,011 7,591
Office 27,685 23,305 7,637 3,022 3,304
Multifamily 27,827 27,198 24,950 896 896
Industrial 527 575 6,287 390 396
Other
commercial 18,648 14,594 6,698 7,292 2,978
real estate
Total
commercial 189,586 175,487 137,279 78,235 60,456
real estate
Residential
mortgage:
Permanent 34,149 32,848 26,233 26,401 17,039
mortgage
Home equity 1,711 1,334 1,154 674 822
Total
residential 35,860 34,182 27,387 27,075 17,861
mortgage
Consumer 1,037 1,065 561 758 611
Total
nonaccruing $ 352,993 $ 339,235 $ 300,073 $ 211,825 $ 148,607
loans
- - - - -
Performing
loans 90 days $ 32,479 $ 46,123 $ 19,123 $ 20,213 $ 10,683
past due
Gross $ 37,409 $ 34,535 $ 35,681 $ 33,926 $ 41,526
charge-offs
Recoveries 2,472 2,664 2,022 13,712 2,535
Net $ 34,937 $ 31,871 $ 33,659 $ 20,214 $ 38,991
charge-offs
Provision for $ 47,120 $ 45,040 $ 73,001 $ 52,711 $ 59,310
credit losses
Reserve for
loan losses to 2.18 % 1.99 % 1.81 % 1.47 % 1.23 %
period end
loans
Combined
reserves for
credit losses 2.27 % 2.07 % 1.93 % 1.65 % 1.41 %
to period end
loans
Nonperforming
assets to
period end 3.67 % 3.26 % 2.65 % 1.98 % 1.45 %
loans and
repossessed
assets
Net charge-offs
(annualized) to 1.13 % 1.00 % 1.05 % 0.64 % 1.26 %
average loans
Reserve for
loan losses to 74.59 % 73.99 % 77.73 % 88.05 % 103.64 %
nonaccruing
loans
Combined
reserves for
credit losses 77.55 % 77.11 % 82.78 % 98.69 % 118.81 %
to nonaccruing
loans
(A) includes
residential
mortgage loans
guaranteed by
agencies of the
U.S.
government.
These loans $ 11,079 $ 10,514 $ 10,396 $ 9,604 $ 8,638
have been
modified to
extend payment
terms and/or
reduce interest
rates to
current market.
(B) includes
loans subject
to First United $ 8,305 $ 11,287 $ 13,181 $ 13,262 $ 11,973
Bank sellers
escrow
Source: BOK Financial Corporation
Contact: BOK Financial Corporation
Steven Nell, 918-588-6000
Chief Financial Officer
or
Jesse Boudiette, 918-588-6532
Corporate Communications Manager