Credit Quality Indicators Maintain Positive Course
TULSA, Okla.--(BUSINESS WIRE)--
BOK Financial Corporation (NASDAQ: BOKF) reported net income for the
first quarter of 2010 of $60.1 million or $0.88 per diluted share, up
from $42.8 million or $0.63 per diluted share for the fourth quarter of
2009 and $55.0 million or $0.81 per diluted share for the first quarter
of 2009. Net income for the first quarter of 2010 included a $6.5
million or $0.10 per share day-one gain from the purchase of the rights
to service $4.2 billion of residential mortgage loans on favorable terms.
"BOK Financial is pleased to announce a strong start to 2010," said
President and CEO Stan Lybarger. "Our performance continues to be among
the best performing banks $12 billion and larger in the country. Credit
quality indicators continue to migrate in a positive direction. Total
nonperforming assets are declining and net loans charged off have
stabilized in a range between $34 million and $36 million per quarter
for the past four quarters. We have modestly lowered our quarterly
provision for credit losses in each of the past two quarters."
Highlights of first quarter of 2010 included:
-- Net interest revenue totaled $182.6 million compared to $184.5 million
for the fourth quarter of 2009. Net interest margin was 3.68% for the
first quarter of 2010 and 3.64% for the fourth quarter of 2009. Average
earning assets for the first quarter of 2010 decreased $23 million from
the previous quarter.
-- Fees and commissions revenue totaled $115.3 million, down $634 thousand
from the previous quarter. Deposit service charges decreased $2.7
million and mortgage banking revenue increased $1.5 million.
-- Operating expenses, excluding changes in the fair value of mortgage
servicing rights, totaled $177.7 million, down $4.1 million from the
prior quarter. Decreases in mortgage banking costs and most other
operating expense categories were partially offset by higher personnel
expenses and net losses and operating expenses on repossessed assets.
-- Combined reserves for credit losses totaled $314 million or 2.86% of
outstanding loans at March 31, 2010, up from $306 million or 2.72% of
outstanding loans at December 31, 2009. Net loans charged off and
provision for credit losses were $34.5 million and $42.1 million,
respectively, for the first quarter of 2010 compared to $35.0 million
and $48.6 million, respectively for the fourth quarter of 2009.
-- Nonperforming assets totaled $483 million or 4.36% of outstanding loans
and repossessed assets at March 31, 2010 compared to $484 million or
4.24% of outstanding loans and repossessed assets at December 31, 2009.
Nonaccruing loans increased $4.2 million and real estate and other
repossessed assets decreased $7.1 million during the first quarter.
-- Available for sale securities totaled $8.9 billion at March 31, 2010, up
$32 million since December 31, 2009 due primarily to an increase in the
fair value of portfolio. Other-than-temporary impairment charges on
certain privately-issued residential mortgage backed securities reduced
pre-tax income by $4.2 million during the first quarter of 2010 and
$14.5 million during the fourth quarter of 2009.
-- Outstanding loan balances were $11.0 billion at March 31, 2010, down
$308 million since December 31, 2009 largely due to reduced customer
demand and normal repayment trends. Unfunded loan commitments totaled
$4.9 billion at March 31, 2010 and $5.0 billion at December 31, 2009.
-- Total period end deposits increased $9.3 million during the first
quarter of 2010 to $15.5 billion. Growth in interest-bearing transaction
deposits was offset by a decrease in higher-costing time deposits and a
seasonal decrease in demand deposits.
-- Tangible common equity ratio increased to 8.46% at March 31, 2010, from
7.99% at December 31, 2009, due to an increase in the fair value of the
securities portfolio and retained earnings growth. The tangible common
equity ratio is a non-GAAP measure of capital strength used by the
Company and investors based on shareholders' equity minus intangible
assets and equity that does not benefit common shareholders, such as
equity provided by the U.S. Treasury's Asset Relief Program ("TARP"). We
chose not to participate in the TARP Capital Purchase Program. The
Company's Tier 1 capital ratios as defined by banking regulations were
11.45% at March 31, 2010 and 10.86% at December 31, 2009.
-- The Company paid a cash dividend of $16.3 million or $0.24 per common
share during the first quarter of 2010. Subject to approval on April 27,
2010, the board of directors expects to increase the quarterly cash
dividend to $0.25 per common share payable on or about May 28, 2010 to
shareholders of record as of May 14, 2010.
Net Interest Revenue
Net interest revenue totaled $182.6 million for the first quarter of
2010, down $1.9 million compared to the fourth quarter of 2009. Net
interest margin increased over the previous quarter. However, average
earning assets were lower.
Net interest margin was 3.68% for the first quarter of 2010 and 3.64%
for the fourth quarter of 2009. The increase in net interest margin over
the previous quarter resulted primarily from lower funding costs. The
yield on average earning assets decreased 1 basis point. A 9 basis point
decrease in the securities portfolio yield was largely offset by a 7
basis point increase in the loan portfolio yield. The cost of
interest-bearing liabilities decreased 7 basis points, primarily due to
a 9 basis point decrease in the cost of interest-bearing deposits.
Average earning assets decreased $23 million during the first quarter of
2010. Average securities increased $346 million, primarily from an
increase in the fair value of securities during the first quarter of
2010 and purchases of residential mortgage-backed securities issued by
U.S. government agencies during the fourth quarter of 2009. Average
outstanding loans decreased $305 million during the quarter. Average
balances of commercial, commercial real estate and consumer loans were
lower compared to the previous quarter. In addition, average residential
mortgage loans held for sale decreased $57 million.
Average deposits decreased $179 million during the first quarter of 2010
primarily due to a $230 million decrease in higher-costing average time
deposits and a seasonal decrease of $181 million in average demand
deposits, offset by growth in average interest-bearing transaction
accounts of $229 million.
Fees and Commission Revenue
Fees and commissions revenue decreased to $115.3 million for the first
quarter of 2010 compared to $115.9 million for the fourth quarter of
2009. Deposit service charges were down $2.7 million and mortgage
banking revenue was up $1.5 million over the prior quarter. Overdraft
fees decreased $2.6 million compared to the previous quarter due to a
seasonal decrease in transaction volume. Overdraft volumes historically
are lower in the first quarter of each year. Mortgage servicing revenue
increased $2.9 million primarily as a result of mortgage servicing
rights purchased during the first quarter of 2010. Revenue from mortgage
loan sales was down $1.4 million compared to the previous quarter.
Mortgage loans funded were $382 million in the first quarter of 2010 and
$560 million in the fourth quarter of 2009. All other sources of fees
and commissions revenue remained largely unchanged.
Operating Expenses
Total operating expenses were $163.7 million for the first quarter of
2010, down $12.7 million compared to the previous quarter. Excluding
changes in the fair value of mortgage servicing rights, operating
expenses totaled $177.7 million, down $4.1 million compared to the
fourth quarter of 2009. Most operating expense categories were down from
the previous quarter. Losses on mortgage loans sold with recourse, which
are included in mortgage banking costs, decreased $2.6 million from the
previous quarter.
Reduced operating expenses were partially offset by higher personnel
costs and repossessed asset expenses. Personnel costs increased $3.1
million primarily due to seasonal increases in payroll taxes. A decrease
in salaries and wages from the previous quarter was offset by an
increase in deferred compensation expense which is directly linked to
the market value of Company stock and performance of other investments.
Repossessed asset expenses were up $2.1 million. Net losses from sales
and write-downs of repossessed property increased $2.6 million during
the first quarter of 2010. Operating expenses of repossessed assets were
down $439 thousand.
During the first quarter of 2010, the Company purchased the rights to
service $4.2 billion of residential mortgage loans. The loans to be
serviced are primarily concentrated in the New Mexico market and
predominately held by Fannie Mae, Freddie Mac and Ginnie Mae. The cash
purchase price for these servicing rights was approximately $32 million.
The day-one fair value of the servicing rights purchased, based on
independent analyses which were further supported by assumptions and
models we regularly use to value our portfolio of servicing rights was
approximately $11.8 million higher than the purchase price.
Credit Quality
Nonperforming assets decreased $1.0 million during the first quarter of
2010 to $483 million or 4.36% of outstanding loans and repossessed
assets at March 31, 2010. Nonperforming assets at March 31, 2010
consisted of nonaccruing loans of $344 million, renegotiated loans of
$18 million (including $14 million of residential mortgage loans
guaranteed by U.S. government agencies) and $122 million of real estate
and other repossessed assets. Nonaccruing loans increased $4.2 million
and repossessed assets decreased $7.1 million during the quarter.
Nonaccruing loans totaled $344 million or 3.13% of outstanding loans at
March 31, 2010 compared to $339 million or 3.01% of outstanding loans at
December 31, 2009. During the first quarter of 2010, $73 million of new
nonaccruing loans were identified offset by $33 million in payments
received, $32 million in charge-offs and $6 million in foreclosures and
repossessions. In addition, $4 million of nonaccruing loans returned to
accrual status during the first quarter of 2010.
Nonaccruing commercial loans totaled $84 million or 1.40% of total
commercial loans at March 31, 2010. At March 31, 2010, nonaccruing
commercial loans are primarily composed of $36 million or 2.04% of total
services sector loans, $17 million or 0.91% of total energy sector loans
and $11 million or 1.36% of total healthcare sector loans. Nonaccruing
commercial loans decreased $17 million since December 31, 2009 primarily
related to manufacturing, energy, and wholesale / retail sector loans.
Newly identified nonaccruing loans commercial loans totaled $20 million,
offset by $25 million in payments and $10 million in charge-offs during
the first quarter of 2010.
Nonaccruing commercial real estate loans totaled $220 million or 8.99%
of outstanding commercial real estate loans at March 31, 2010.
Nonaccruing commercial real estate loans attributed to our various
markets included $65 million or 32% of total commercial real estate
loans in Arizona, $57 million or 25% of total commercial real estate
loans in Colorado, $39 million or 4.91% of total commercial real estate
loans in Oklahoma and $34 million or 4.39% of total commercial real
estate loans in Texas. Nonaccruing commercial real estate loans continue
to be largely concentrated in land development and residential
construction loans. At March 31, 2010, $141 million or 23% of all land
development and construction loans was nonaccruing. Total nonaccruing
commercial real estate loans increased $15 million since December 31,
2009. Newly identified nonaccruing commercial real estate loans totaled
$53 million, partially offset by $21 million of charge-offs, $8 million
of cash payments received and $5 million of foreclosures.
Nonaccruing residential mortgage loans totaled $36 million or 2.02% of
outstanding residential mortgage loans at March 31, 2010. The
distribution of nonaccruing residential mortgage loans among our various
markets included $14 million or 1.11% of residential mortgage loans in
Oklahoma, $10 million or 3.16% of residential mortgage loans in Texas
and $9 million or 13.48% of residential mortgage loans in Arizona.
Nonaccruing residential mortgage loans increased $6.3 million compared
to December 31, 2009. Residential mortgage loans past due 30 to 89 days
totaled $24 million, down $1.1 million from December 31, 2009.
The combined allowance for credit losses totaled $314 million or 2.86%
of outstanding loans and 91% of non-accruing loans at March 31, 2010.
The allowance for loan losses was $300 million and the reserve for
off-balance sheet credit losses was $14 million. Approximately $125
million of impaired loans, which consist primarily of nonaccruing
commercial and commercial real estate loans, have been charged-down to
the amount management expects to recover and accordingly have no reserve
for loan loss attributed to them. The remaining $186 million of impaired
loans have $12 million of the reserve for loan losses attributed to
them. During the first quarter of 2010, the Company recognized a $42.1
million provision for credit losses. Net losses charged against the
allowance for loan losses totaled $34.5 million or 1.23% annualized of
average outstanding loans.
Real estate and other repossessed assets totaled $122 million at March
31, 2010 consisting of $62 million of 1-4 family residential properties
and residential land development properties, $34 million of developed
commercial real estate properties, $13 million of equity interest
received in partial satisfaction of debts, $7 million of undeveloped
land, $4 million of equipment and $1 million of automobiles. The
distribution of real estate owned and other repossessed assets among
various markets included $47 million in Arizona, $24 million in Texas,
$21 million in Oklahoma, $11 million in Colorado, $7 million in New
Mexico, $6 million in Arkansas and $5 million in Kansas/Missouri. Real
estate and other repossessed assets decreased by $7 million during the
first quarter due to additions of $6 million offset by $7 million in
sales and $6 million in write-downs based on updated appraisals.
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 $324 million at
March 31, 2010, down from $331 million at December 31, 2009. The loans
are primarily to borrowers in our primary market areas, including $228
million in Oklahoma, $35 million in Arkansas, $18 million in New Mexico,
$16 million in Kansas/Missouri and $15 million in Texas. At March 31,
2010, approximately 5% of these loans are non-performing and 4% were
past due 30 to 89 days. A separate reserve for credit risk of $14
million is available for losses on these loans.
Securities and Derivatives
The fair value of available for sale securities totaled $8.9 billion at
March 31, 2010, up $32 million since December 31, 2009. The available
for sale portfolio consisted primarily of residential mortgage-backed
securities, including $7.9 billion fully backed by U.S. government
agencies and $766 million 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 portfolio of available for sale securities had net unrealized gains
of $108 million at March 31, 2010 compared to net unrealized gains of
$13 million at December 31, 2009. Net unrealized gains on residential
mortgage-backed securities issued by U.S. government agencies increased
$66 million during the first quarter to $230 million at March 31, 2010.
Net unrealized losses on privately-issued residential mortgage-backed
securities decreased $25 million to $144 million at March 31, 2010.
The amortized cost of privately-issued residential mortgage-backed
securities totaled $910 million at March 31, 2010, down $52 million
since December 31, 2009 due primarily to cash received. Approximately
$593 million of the privately issued residential mortgage-backed
securities were rated below investment grade by at least one
nationally-recognized rating agency. The aggregate unrealized losses on
privately-issued residential mortgage-backed securities rated below
investment grade totaled $120 million at March 31, 2010. Aggregate
unrealized losses on these same below investment grade securities were
$135 million at December 31, 2009. The Company recognized a $4.2 million
other-than-temporary impairment charge against earnings in the first
quarter related to these securities due to further declines in projected
cash flows as a result of worsening trends in delinquencies and
foreclosures.
The Company added $70 million to its investment (held-to-maturity)
securities portfolio during the first quarter of 2010 comprised
primarily of qualifying school construction bonds. These bonds were
issued with the Company's assistance by several school districts in our
Texas markets under a program authorized by the U.S. Treasury
Department. Interest on these bonds is payable through federal income
tax credits.
Net realized gains on securities totaled $4.5 million for the first
quarter of 2010, compared with $7.3 million for the fourth quarter of
2009 and $20.1 million for the first quarter of 2009.
Three Months Ended
March 31, 2010 Dec. 31, 2009 March 31, 2009
Net gain on available for sale $ 4,076 $ 11,717 $ 22,226
securities
Gain (loss) on mortgage hedge 448 (4,440 ) (2,118 )
securities
Net gain on securities $ 4,524 $ 7,277 $ 20,108
Gain (loss) on change in fair
value of mortgage servicing $ 2,100 (1 ) $ 5,285 $ 1,955
rights
(1) Excluding $11.8 million day-one gain on the purchase of mortgage
servicing rights.
The Company recognized $4.1 million of gains on the sale of $286 million
of available for sale securities in the first quarter of 2010 and $11.7
million of gains on the sale of $765 million of available for sale
securities in the fourth quarter of 2009. Securities were sold either to
mitigate extension exposure from rising interest rates or because they
had reached their expected maximum potential total return.
The Company has a portfolio of derivative contracts held for customer
risk management programs and internal interest rate risk management
programs. At March 31, 2010, the fair value of all asset contracts
totaled $325 million, net of cash margin held by the Company. The
largest net amount due from a single counterparty, a subsidiary of an
international energy company, to these contracts at March 31 was $89
million. Letters of credit issued by independent financial institutions
offset $68 million of this amount.
Loans, Deposits and Capital
Outstanding loans at March 31, 2010 were $11.0 billion, down $308
million from December 31, 2009. Loan balances were lower across most
sectors of the loan portfolio and markets.
Outstanding commercial loans totaled $6.0 billion at March 31, 2010,
down $193 million at December 31, 2009. The decrease in outstanding
balances is due to reduced customer demand in response to current
economic conditions and normal repayment trends. Outstanding commercial
loans decreased across all sectors of the portfolio including a $66
million decrease in services sector loans, a $49 million decrease in
wholesale/retail sector loans and a $31 million decrease in other
commercial and industrial loans. Total unfunded commercial loan
commitments decreased $12 million to $4.3 billion. Unfunded energy loan
commitments increased $10 million to $1.9 billion. All other unfunded
commercial loan commitments decreased $22 million.
Outstanding commercial real estate loans decreased $48 million compared
to the prior quarter, primarily due to a $46 million decrease in other
real estate loans, a $40 million decrease in residential construction
and land development loans and a $14 million decrease in loan secured by
retail facilities. Loans secured by industrial properties increased $34
million and loans secured by multifamily properties increased $17
million. Unfunded commercial real estate loan commitments decreased $42
million to $156 million as existing commitments continue to mature.
Residential mortgage loans increased $4.1 million from the prior quarter
primarily due to a $3.8 million increase in home equity loans. Consumer
loans decreased $72 million compared to the prior quarter primarily due
to a $58 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 increased $9.3 million during the first quarter and
totaled $15.5 billion at March 31, 2010. Interest-bearing deposits
increased $163 million, offset by a $114 million decrease in time
deposit balances and a $54 million seasonal decrease in demand deposit
balances. The Company continued to decrease brokered deposits and other
higher cost certificates of deposit. Among the lines of business,
commercial and consumer deposits increased $85 million and $52 million,
respectively, offset by a $41 million decrease in wealth management
deposits.
The Company and each of its subsidiary banks exceeded the regulatory
definition of well capitalized at March 31, 2010. The Company's Tier 1
and total capital ratios were 11.45% and 15.09%, respectively, at March
31, 2010. The Company's Tier 1 and total capital ratios were 10.86% and
14.43%, respectively, at December 31, 2009. In addition the Company's
tangible common equity ratio, a non-GAAP measure, was 8.46% at March 31,
2010 and 7.99% at December 31, 2009.
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 March 31, 2010 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
March 31, December 31, March 31,
2010 2009 2009
(Unaudited) (Unaudited)
ASSETS
Cash and due from banks $ 902,575 $ 875,250 $ 686,976
Trading securities 115,641 65,354 128,179
Funds sold and resell 29,410 45,966 27,197
agreements
Securities:
Available for sale 8,904,395 8,872,023 6,991,803
Investment 309,910 240,405 251,848
Mortgage trading securities 427,196 285,950 454,493
Total securities 9,641,501 9,398,378 7,698,144
Residential mortgage loans 178,362 217,826 245,791
held for sale
Loans:
Commercial 6,014,739 6,207,840 7,101,530
Commercial real estate 2,443,848 2,491,434 2,732,081
Residential mortgage 1,797,711 1,793,622 1,819,950
Consumer 714,926 786,802 986,355
Total loans 10,971,224 11,279,698 12,639,916
Less reserve for loan losses (299,717 ) (292,095 ) (251,002 )
Loans, net of reserve 10,671,507 10,987,603 12,388,914
Premises and equipment, net 279,152 280,260 281,300
Accrued revenue receivable 107,300 108,822 104,205
Goodwill 335,601 335,601 335,829
Intangible assets, net 17,315 18,638 23,694
Mortgage servicing rights, 119,066 73,824 50,246
net
Real estate and other 121,933 129,034 61,383
repossessed assets
Bankers' acceptances 2,945 3,869 9,316
Derivative contracts 325,364 343,782 551,316
Cash surrender value of 248,927 247,357 239,348
bank-owned life insurance
Other assets 405,377 385,267 501,604
TOTAL ASSETS $ 23,501,976 $ 23,516,831 $ 23,333,442
LIABILITIES AND EQUITY
Deposits:
Demand $ 3,599,981 $ 3,653,844 $ 3,050,896
Interest-bearing transaction 8,093,725 7,930,439 6,627,222
Savings 179,554 165,952 168,644
Time 3,654,256 3,767,993 5,423,659
Total deposits 15,527,516 15,518,228 15,270,421
Funds purchased and 2,638,263 2,471,743 2,217,081
repurchase agreements
Other borrowings 1,909,934 2,133,357 2,276,430
Subordinated debentures 398,578 398,539 398,443
Accrued interest, taxes, and 117,179 111,880 146,111
expense
Bankers' acceptances 2,945 3,869 9,316
Due on unsettled securities 103,186 212,335 311,133
trades
Derivative contracts 311,685 308,360 640,275
Other liabilities 159,973 133,146 118,181
TOTAL LIABILITIES 21,169,259 21,291,457 21,387,391
Shareholders' equity:
Capital, surplus and retained 2,264,786 2,216,553 2,111,823
earnings
Accumulated other 47,657 (10,740 ) (180,523 )
comprehensive income (loss)
TOTAL SHAREHOLDERS' EQUITY 2,312,443 2,205,813 1,931,300
Non-controlling interest 20,274 19,561 14,751
TOTAL EQUITY 2,332,717 2,225,374 1,946,051
TOTAL LIABILITIES AND EQUITY $ 23,501,976 $ 23,516,831 $ 23,333,442
AVERAGE BALANCE SHEETS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
March 31, December 31, September 30, June 30, March 31,
2010 2009 2009 2009 2009
ASSETS
Trading $ 70,979 $ 68,027 $ 64,763 $ 112,960 $ 111,962
securities
Funds sold and
resell 32,363 30,358 67,032 29,277 50,701
agreements
Securities:
Available for 8,884,678 8,583,032 7,782,254 7,242,931 6,645,086
sale
Investment 256,003 238,479 235,967 271,068 238,562
Mortgage trading 366,845 340,456 267,591 365,434 453,304
securities
Total securities 9,507,526 9,161,967 8,285,812 7,879,433 7,336,952
Residential
mortgage loans 137,404 194,760 176,403 286,077 201,135
held for sale
Loans:
Commercial 6,132,889 6,325,580 6,521,438 6,901,057 7,182,481
Commercial real 2,492,535 2,538,737 2,621,176 2,684,020 2,762,789
estate
Residential 1,833,602 1,827,339 1,873,457 1,884,023 1,841,006
mortgage
Consumer 728,294 801,040 871,347 933,950 998,489
Total loans 11,187,320 11,492,696 11,887,418 12,403,050 12,784,765
Less allowance (309,194 ) (298,157 ) (281,289 ) (273,335 ) (252,734 )
for loan losses
Total loans, net 10,878,126 11,194,539 11,606,129 12,129,715 12,532,031
Total earning 20,626,398 20,649,651 20,200,139 20,437,462 20,232,781
assets
Cash and due 1,089,971 1,095,087 828,965 638,791 661,433
from banks
Cash surrender
value of 247,415 245,460 242,715 240,199 237,805
bank-owned life
insurance
Derivative 300,865 352,143 401,887 493,448 476,091
contracts
Other assets 1,448,098 1,353,393 1,376,828 1,264,131 1,335,259
TOTAL ASSETS $ 23,712,747 $ 23,695,734 $ 23,050,534 $ 23,074,031 $ 22,943,369
LIABILITIES AND
EQUITY
Deposits:
Demand $ 3,485,504 $ 3,666,663 $ 3,392,578 $ 3,183,338 $ 2,864,751
Interest-bearing 7,963,752 7,734,678 7,162,477 6,854,003 6,610,805
transaction
Savings 170,990 167,572 167,677 167,813 159,537
Time 3,772,295 4,002,337 4,404,854 5,123,947 5,215,091
Total deposits 15,392,541 15,571,250 15,127,586 15,329,101 14,850,184
Funds purchased
and repurchase 2,575,286 2,173,476 2,284,985 2,316,990 2,562,066
agreements
Other borrowings 2,249,470 2,380,938 2,173,103 1,951,699 2,158,963
Subordinated 398,559 398,522 398,484 398,456 398,425
debentures
Derivative 276,696 318,809 392,277 536,232 641,974
contracts
Other 521,567 605,994 539,129 534,889 416,242
liabilities
TOTAL 21,414,119 21,448,989 20,915,564 21,067,367 21,027,854
LIABILITIES
Total equity 2,298,628 2,246,745 2,134,970 2,006,664 1,915,515
TOTAL
LIABILITIES AND $ 23,712,747 $ 23,695,734 $ 23,050,534 $ 23,074,031 $ 22,943,369
EQUITY
STATEMENTS OF EARNINGS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except per share data)
Quarter Ended
March 31,
2010 2009
Interest revenue $ 219,370 $ 233,227
Interest expense 36,796 63,382
Net interest revenue 182,574 169,845
Provision for credit losses 42,100 45,040
Net interest revenue after provision for 140,474 124,805
credit losses
Other operating revenue
Brokerage and trading revenue 21,035 24,699
Transaction card revenue 25,687 25,428
Trust fees and commissions 16,320 16,510
Deposit service charges and fees 26,792 27,405
Mortgage banking revenue 14,871 18,498
Bank-owned life insurance 2,972 2,317
Margin asset fees 36 67
Other revenue 7,602 6,583
Total fees and commissions 115,315 121,507
Gain (loss) on other assets (1,390 ) 143
Gain (loss) on derivatives, net (341 ) (1,664 )
Gain (loss) on securities, net 4,524 20,108
Total other-than-temporary impairment losses (9,708 ) (54,368 )
Portion of loss recognized in other (5,483 ) (39,366 )
comprehensive income
Net impairment losses recognized in earnings (4,225 ) (15,002 )
Total other operating revenue 113,883 125,092
Other operating expense
Personnel 96,824 92,627
Business promotion 3,978 4,428
Professional fees and services 6,401 6,512
Net occupancy and equipment 15,511 16,258
Insurance 6,533 5,638
Data processing and communications 20,309 19,306
Printing, postage and supplies 3,322 4,571
Net (gains) losses and operating expenses of 7,220 1,806
repossessed assets
Amortization of intangible assets 1,324 1,686
Mortgage banking costs 9,267 7,467
Change in fair value of mortgage servicing (13,932 ) (1,955 )
rights
Other expense 6,975 7,450
Total other operating expense 163,732 165,794
Net income before taxes 90,625 84,103
Federal and state income taxes 30,283 28,838
Net income before non-controlling interest 60,342 55,265
Net income (loss) attributable to 209 233
non-controlling interest
Net income attributable to BOK Financial $ 60,133 $ 55,032
Corporation
Average shares outstanding:
Basic 67,592,315 67,315,986
Diluted 67,790,049 67,387,102
Net income per share:
Basic $ 0.88 $ 0.81
Diluted $ 0.88 $ 0.81
FINANCIAL HIGHLIGHTS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and share data)
Quarter Ended
March 31, December 31, September 30, June 30, March 31,
2010 2009 2009 2009 2009
Capital:
Period-end
shareholders' $ 2,312,443 $ 2,205,813 $ 2,185,013 $ 2,050,572 $ 1,931,300
equity
Risk weighted $ 16,787,566 $ 17,275,808 $ 17,515,147 $ 18,338,540 $ 18,355,862
assets
Risk-based
capital ratios:
Tier 1 11.45 % 10.86 % 10.56 % 9.86 % 9.66 %
Total capital 15.09 % 14.43 % 14.10 % 13.34 % 13.08 %
Leverage ratio 8.25 % 8.05 % 8.16 % 7.97 % 7.85 %
Tangible common
equity ratio 8.46 % 7.99 % 7.78 % 7.55 % 6.84 %
(A)
Tier 1 common
equity ratio 11.33 % 10.75 % 10.45 % 9.77 % 9.58 %
(B)
Common stock:
Book value per $ 33.99 $ 32.53 $ 32.27 $ 30.30 $ 28.57
share
Market value
per share:
High $ 53.11 $ 47.91 $ 48.10 $ 43.02 $ 40.71
Low $ 45.43 $ 41.87 $ 34.81 $ 34.46 $ 22.95
Cash dividends $ 16,304 $ 16,201 $ 16,280 $ 16,184 $ 15,027
paid
Dividend payout 27.11 % 37.88 % 32.14 % 31.05 % 27.31 %
ratio
Shares
outstanding, 68,042,918 67,802,807 67,707,547 67,674,442 67,589,045
net
Stock buy-back
program:
Shares - - - - -
repurchased
Amount $ - $ - $ - $ - $ -
Average price $ - $ - $ - $ - $ -
per share
Performance
ratios (quarter
annualized):
Return on 1.03 % 0.72 % 0.87 % 0.91 % 0.97 %
average assets
Return on 10.61 % 7.55 % 9.41 % 10.42 % 11.65 %
average equity
Net interest 3.68 % 3.64 % 3.63 % 3.55 % 3.47 %
margin
Efficiency 59.11 % 60.02 % 58.09 % 61.02 % 57.10 %
ratio
Other data:
Gain (loss) on
economic hedge
of mortgage $ (211 ) $ (4,440 ) $ 3,560 $ (10,199 ) $ (2,118 )
servicing
rights
Trust assets $ 30,739,254 $ 30,385,365 $ 29,945,585 $ 29,288,041 $ 28,700,791
Mortgage
servicing $ 10,895,182 $ 6,603,132 $ 6,339,764 $ 6,082,501 $ 5,515,893
portfolio
Mortgage loan
fundings during $ 382,028 $ 560,254 $ 536,173 $ 1,023,272 $ 708,561
the quarter
Mortgage loan
refinances to 55.00 % 47.00 % 49.00 % 71.00 % 73.51 %
total fundings
Tax equivalent $ 2,416 $ 2,196 $ 1,982 $ 1,791 $ 2,105
adjustment
Unrealized gain
(loss) on $ 107,754 $ 13,226 $ 30,898 $ (128,492 ) $ (261,856 )
available for
sale securities
(A) Tangible
common equity
ratio is a
non-GAAP
measure.
Reconciliation
to a GAAP
financial
measure
follows:
Total
shareholders' $ 2,312,443 $ 2,205,813 $ 2,185,013 $ 2,050,572 $ 1,931,300
equity
Less:
intangible (352,916 ) (354,239 ) (356,152 ) (357,838 ) (359,523 )
assets, net
Tangible common $ 1,959,527 $ 1,851,574 $ 1,828,861 $ 1,692,734 $ 1,571,777
equity
Total assets $ 23,501,976 $ 23,516,831 $ 23,876,841 $ 22,768,319 $ 23,333,442
Less:
intangible (352,916 ) (354,239 ) (356,152 ) (357,838 ) (359,523 )
assets, net
$ 23,149,060 $ 23,162,592 $ 23,520,689 $ 22,410,481 $ 22,973,919
Tangible common 8.46 % 7.99 % 7.78 % 7.55 % 6.84 %
equity ratio
(B) Tier 1
common equity
ratio is a
non-GAAP
measure.
Reconciliation
to a GAAP
financial
measure
follows:
Tier 1 capital $ 1,922,783 $ 1,876,778 $ 1,849,254 $ 1,807,705 $ 1,773,576
Less:
non-controlling (20,274 ) (19,561 ) (18,981 ) (15,590 ) (14,751 )
interest
Tier 1 common $ 1,902,509 $ 1,857,217 $ 1,830,273 $ 1,792,115 $ 1,758,825
equity
Risk weighted $ 16,787,566 $ 17,275,808 $ 17,515,147 $ 18,338,540 $ 18,355,862
assets
Tier 1 common 11.33 % 10.75 % 10.45 % 9.77 % 9.58 %
equity ratio
QUARTERLY EARNINGS TRENDS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and per share data)
Quarter Ended
March 31, December 31, September 30, June 30, March 31,
2010 2009 2009 2009 2009
Interest revenue $ 219,370 $ 224,411 $ 226,246 $ 230,685 $ 233,227
Interest expense 36,796 39,933 45,785 55,105 63,382
Net interest revenue 182,574 184,478 180,461 175,580 169,845
Provision for credit 42,100 48,620 55,120 47,120 45,040
losses
Net interest revenue
after provision for 140,474 135,858 125,341 128,460 124,805
credit losses
Other operating
revenue
Brokerage and 21,035 20,240 24,944 21,794 24,699
trading revenue
Transaction card 25,687 26,292 26,264 27,533 25,428
revenue
Trust fees and 16,320 16,492 16,315 16,860 16,510
commissions
Deposit service 26,792 29,501 30,464 28,421 27,405
charges and fees
Mortgage banking 14,871 13,403 13,197 19,882 18,498
revenue
Bank-owned life 2,972 2,870 2,634 2,418 2,317
insurance
Margin asset fees 36 50 51 68 67
Other revenue 7,602 7,101 6,087 6,124 6,583
Total fees and 115,315 115,949 119,956 123,100 121,507
commissions
Gain (loss) on other (1,390 ) (205 ) 3,223 973 143
assets
Gain (loss) on (341 ) (370 ) (294 ) (1,037 ) (1,664 )
derivatives, net
Gain (loss) on 4,524 7,277 12,266 6,471 20,108
securities, net
Total
other-than-temporary (9,708 ) (67,390 ) (6,133 ) (1,263 ) (54,368 )
impairment losses
Portion of loss
recognized in other (5,483 ) (52,902 ) (2,752 ) 279 (39,366 )
comprehensive income
Net impairment
losses recognized in (4,225 ) (14,488 ) (3,381 ) (1,542 ) (15,002 )
earnings
Total other 113,883 108,163 131,770 127,965 125,092
operating revenue
Other operating
expense
Personnel 96,824 93,687 98,012 96,191 92,627
Business promotion 3,978 5,758 4,827 4,569 4,428
Professional fees 6,401 8,813 7,555 7,363 6,512
and services
Net occupancy and 15,511 17,600 15,884 15,973 16,258
equipment
Insurance 6,533 6,412 6,092 5,898 5,638
FDIC special - - - 11,773 -
assessment
Data processing and 20,309 21,121 20,413 20,452 19,306
communications
Printing, postage 3,322 3,601 3,716 4,072 4,571
and supplies
Net (gains) losses
and operating 7,220 5,101 3,497 996 1,806
expenses of
repossessed assets
Amortization of 1,324 1,912 1,686 1,686 1,686
intangible assets
Mortgage banking 9,267 11,436 8,065 9,336 7,467
costs
Change in fair value
of mortgage (13,932 ) (5,285 ) 2,981 (7,865 ) (1,955 )
servicing rights
Other expense 6,975 6,281 6,004 5,326 7,450
Total other 163,732 176,437 178,732 175,770 165,794
operating expense
Net income before 90,625 67,584 78,379 80,655 84,103
taxes
Federal and state 30,283 24,780 24,772 28,315 28,838
income taxes
Net income before
non-controlling 60,342 42,804 53,607 52,340 55,265
interest
Net income (loss)
attributable to 209 33 2,947 225 233
non-controlling
interest
Net income
attributable to BOK $ 60,133 $ 42,771 $ 50,660 $ 52,115 $ 55,032
Financial
Corporation
Average shares
outstanding:
Basic 67,592,315 67,446,326 67,392,059 67,344,577 67,315,986
Diluted 67,790,049 67,600,344 67,513,700 67,448,029 67,387,102
Net income per
share:
Basic $ 0.88 $ 0.63 $ 0.75 $ 0.77 $ 0.81
Diluted $ 0.88 $ 0.63 $ 0.75 $ 0.77 $ 0.81
LOANS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
March 31, December 31, September June 30, March 31,
30,
2010 2009 2009 2009 2009
Oklahoma:
Commercial $ 2,616,086 $ 2,649,252 $ 2,738,217 $ 2,918,478 $ 3,119,362
Commercial 787,543 820,578 815,362 855,742 881,620
real estate
Residential 1,235,788 1,228,822 1,245,917 1,249,104 1,234,417
mortgage
Consumer 404,570 451,829 483,369 521,431 562,021
Total 5,043,987 5,150,481 5,282,865 5,544,755 5,797,420
Oklahoma
Texas:
Commercial 1,935,819 2,017,081 2,075,379 2,182,756 2,277,186
Commercial 769,682 735,338 734,742 741,199 816,830
real estate
Residential 307,643 313,113 335,797 345,780 337,044
mortgage
Consumer 160,449 170,062 188,374 196,752 214,134
Total Texas 3,173,593 3,235,594 3,334,292 3,466,487 3,645,194
New Mexico:
Commercial 326,203 341,802 344,910 380,378 393,180
Commercial 298,197 305,061 344,988 313,190 315,511
real estate
Residential 85,629 86,415 88,271 90,944 99,805
mortgage
Consumer 16,713 17,473 18,176 18,826 19,900
Total New 726,742 750,751 796,345 803,338 828,396
Mexico
Arkansas:
Commercial 86,566 103,443 99,559 97,676 99,955
Commercial 129,125 132,436 128,984 133,026 133,227
real estate
Residential 17,071 16,849 19,128 19,015 17,145
mortgage
Consumer 110,123 124,265 136,461 152,620 168,971
Total 342,885 376,993 384,132 402,337 419,298
Arkansas
Colorado:
Commercial 495,916 545,724 569,549 595,858 675,223
Commercial 228,998 239,970 249,879 269,923 267,035
real estate
Residential 68,049 66,504 68,667 58,557 59,120
mortgage
Consumer 17,991 17,362 18,272 14,097 14,599
Total 810,954 869,560 906,367 938,435 1,015,977
Colorado
Arizona:
Commercial 209,019 199,143 219,330 215,540 211,953
Commercial 202,192 227,249 257,169 262,607 285,841
real estate
Residential 68,015 65,047 57,304 58,265 61,605
mortgage
Consumer 3,068 3,461 4,826 3,229 5,261
Total 482,294 494,900 538,629 539,641 564,660
Arizona
Kansas:
Commercial 345,130 351,395 323,112 325,165 324,671
Commercial 28,111 30,802 29,211 36,006 32,017
real estate
Residential 15,516 16,872 14,740 12,310 10,814
mortgage
Consumer 2,012 2,350 1,871 1,454 1,469
Total 390,769 401,419 368,934 374,935 368,971
Kansas
TOTAL BOK $ 10,971,224 $ 11,279,698 $ 11,611,564 $ 12,069,928 $ 12,639,916
FINANCIAL
DEPOSITS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
Quarter Ended
March 31, December 31, September June 30, March 31,
30,
2010 2009 2009 2009 2009
Oklahoma:
Demand $ 2,062,084 $ 2,068,908 $ 1,895,980 $ 1,451,057 $ 1,651,111
Interest-bearing:
Transaction 5,237,983 5,134,902 4,566,058 4,374,089 4,089,838
Savings 101,708 93,006 93,443 94,048 95,827
Time 1,360,756 1,397,240 1,765,980 2,033,312 2,876,313
Total 6,700,447 6,625,148 6,425,481 6,501,449 7,061,978
interest-bearing
Total Oklahoma 8,762,531 8,694,056 8,321,461 7,952,506 8,713,089
Texas:
Demand 1,068,656 1,108,401 1,138,794 1,002,266 1,021,424
Interest-bearing:
Transaction 1,675,759 1,748,319 1,716,460 1,660,642 1,527,399
Savings 37,175 35,129 35,724 33,992 33,867
Time 1,043,813 1,100,602 1,007,579 1,035,919 1,054,632
Total 2,756,747 2,884,050 2,759,763 2,730,553 2,615,898
interest-bearing
Total Texas 3,825,403 3,992,451 3,898,557 3,732,819 3,637,322
New Mexico:
Demand 222,685 209,090 216,330 175,033 180,308
Interest-bearing:
Transaction 480,189 444,247 424,528 434,498 401,000
Savings 20,036 17,563 18,039 18,255 17,858
Time 495,243 510,202 511,507 542,388 561,300
Total 995,468 972,012 954,074 995,141 980,158
interest-bearing
Total New Mexico 1,218,153 1,181,102 1,170,404 1,170,174 1,160,466
Arkansas:
Demand 17,599 21,526 19,077 17,261 16,503
Interest-bearing:
Transaction 61,398 50,879 85,061 73,972 63,924
Savings 1,266 1,346 1,131 1,031 1,100
Time 105,794 101,839 137,109 162,505 150,015
Total 168,458 154,064 223,301 237,508 215,039
interest-bearing
Total Arkansas 186,057 175,590 242,378 254,769 231,542
Colorado:
Demand 136,048 146,929 121,555 113,895 111,048
Interest-bearing:
Transaction 456,508 448,846 477,418 445,521 466,276
Savings 18,118 17,802 18,518 18,144 18,905
Time 509,410 525,844 520,906 579,709 584,971
Total 984,036 992,492 1,016,842 1,043,374 1,070,152
interest-bearing
Total Colorado 1,120,084 1,139,421 1,138,397 1,157,269 1,181,200
Arizona:
Demand 61,183 68,651 54,046 55,975 54,362
Interest-bearing:
Transaction 81,851 81,909 95,242 89,842 66,809
Savings 1,105 958 971 1,282 970
Time 64,592 60,768 56,809 59,775 54,923
Total 147,548 143,635 153,022 150,899 122,702
interest-bearing
Total Arizona 208,731 212,286 207,068 206,874 177,064
Kansas /
Missouri:
Demand 31,726 30,339 16,406 9,692 16,140
Interest-bearing:
Transaction 100,037 21,337 15,682 12,907 11,976
Savings 146 148 70 54 117
Time 74,648 71,498 84,923 158,325 141,505
Total 174,831 92,983 100,675 171,286 153,598
interest-bearing
Total Kansas / 206,557 123,322 117,081 180,978 169,738
Missouri
TOTAL BOK $ 15,527,516 $ 15,518,228 $ 15,095,346 $ 14,655,389 $ 15,270,421
FINANCIAL
NET INTEREST MARGIN TREND - UNAUDITED
BOK FINANCIAL CORPORATION
Quarter Ended
March 31, December September June 30, March 31,
31, 30,
2010 2009 2009 2009 2009
TAX-EQUIVALENT
ASSETS YIELDS
Trading securities 4.53 % 5.41 % 4.72 % 3.49 % 3.69 %
Funds sold and 0.10 % 0.21 % 0.11 % 0.19 % 0.24 %
resell agreements
Securities:
Taxable 3.73 % 3.83 % 4.18 % 4.50 % 4.90 %
Tax-exempt 5.28 % 5.16 % 5.03 % 5.69 % 6.64 %
Total securities 3.78 % 3.87 % 4.21 % 4.54 % 4.96 %
Residential
mortgage loans held 5.16 % 4.71 % 4.94 % 4.51 % 4.79 %
for sale
Loans 4.81 % 4.74 % 4.67 % 4.64 % 4.56 %
Less reserve for - - - - -
loan losses
Loans, net of 4.95 % 4.86 % 4.78 % 4.75 % 4.65 %
reserve
Total
tax-equivalent 4.41 % 4.42 % 4.54 % 4.65 % 4.75 %
yield on earning
assets
COST OF
INTEREST-BEARING
LIABILITIES
Interest-bearing
deposits:
Interest-bearing 0.52 % 0.57 % 0.65 % 0.78 % 0.95 %
transaction
Savings 0.42 % 0.47 % 0.48 % 0.25 % 0.28 %
Time 1.86 % 1.95 % 2.20 % 2.48 % 2.83 %
Total
interest-bearing 0.94 % 1.03 % 1.23 % 1.49 % 1.76 %
deposits
Funds purchased and
repurchase 0.32 % 0.30 % 0.32 % 0.35 % 0.45 %
agreements
Other borrowings 0.29 % 0.29 % 0.38 % 0.49 % 0.58 %
Subordinated debt 5.66 % 5.52 % 5.53 % 5.67 % 5.67 %
Total cost of
interest-bearing 0.87 % 0.94 % 1.09 % 1.31 % 1.50 %
liabilities
Tax-equivalent net
interest revenue 3.54 % 3.48 % 3.45 % 3.34 % 3.25 %
spread
Effect of
noninterest-bearing 0.14 % 0.16 % 0.18 % 0.21 % 0.22 %
funding sources and
other
Tax-equivalent net 3.68 % 3.64 % 3.63 % 3.55 % 3.47 %
interest margin
CREDIT QUALITY INDICATORS
BOK FINANCIAL CORPORATION
(In thousands, except ratios)
Quarter Ended
March 31, December September June 30, March 31,
31, 30,
2010 2009 2009 2009 2009
Nonperforming
assets:
Nonaccruing loans
(B):
Commercial $ 84,491 $ 101,384 $ 128,266 $ 126,510 $ 128,501
Commercial real 219,639 204,924 212,418 189,586 175,487
estate
Residential 36,281 29,989 38,220 35,860 34,182
mortgage
Consumer 3,164 3,058 3,897 1,037 1,065
Total nonaccruing $ 343,575 $ 339,355 $ 382,801 $ 352,993 $ 339,235
loans
Renegotiated loans 17,763 15,906 17,426 17,479 13,623
(A)
Real estate and
other repossessed 121,933 129,034 89,507 75,243 61,383
assets
Total nonperforming $ 483,271 $ 484,295 $ 489,734 $ 445,715 $ 414,241
assets
Nonaccruing loans
by principal market
(B):
Oklahoma $ 89,512 $ 83,176 $ 112,610 $ 108,490 $ 105,536
Texas 61,839 66,892 65,911 51,582 55,225
New Mexico 23,572 26,693 35,541 29,640 18,046
Arkansas 15,206 13,820 5,911 3,888 4,078
Colorado 66,990 60,082 50,432 45,794 38,567
Arizona 85,808 84,559 108,161 106,076 111,772
Kansas 648 4,133 4,235 7,523 6,011
Total nonaccruing $ 343,575 $ 339,355 $ 382,801 $ 352,993 $ 339,235
loans
- - - - -
Nonaccruing loans
by loan portfolio
sector (B):
Commercial:
Energy $ 17,182 $ 22,692 $ 48,992 $ 53,842 $ 49,618
Manufacturing 4,834 15,765 17,429 16,975 18,248
Wholesale / retail 6,629 12,057 7,623 10,983 8,650
Agriculture 65 65 98 105 115
Services 35,535 30,926 30,094 24,713 30,226
Healthcare 10,538 13,103 13,758 14,222 14,288
Other 9,708 6,776 10,272 5,670 7,356
Total commercial 84,491 101,384 128,266 126,510 128,501
Commercial real
estate:
Land development 140,508 109,779 113,868 97,425 99,922
and construction
Retail 14,843 26,236 22,254 17,474 9,893
Office 26,660 25,861 31,406 27,685 23,305
Multifamily 15,725 26,540 28,223 27,827 27,198
Industrial - 279 527 527 575
Other commercial 21,903 16,229 16,140 18,648 14,594
real estate
Total commercial 219,639 204,924 212,418 189,586 175,487
real estate
Residential
mortgage:
Permanent mortgage 34,134 28,314 36,431 34,149 32,848
Home equity 2,147 1,675 1,789 1,711 1,334
Total residential 36,281 29,989 38,220 35,860 34,182
mortgage
Consumer 3,164 3,058 3,897 1,037 1,065
Total nonaccruing $ 343,575 $ 339,355 $ 382,801 $ 352,993 $ 339,235
loans
- - - - -
Performing loans 90 $ 12,915 $ 10,308 $ 24,238 $ 32,479 $ 46,123
days past due
Gross charge-offs $ 40,328 $ 37,974 $ 38,581 $ 37,409 $ 34,535
Recoveries 5,850 2,950 2,594 2,472 2,664
Net charge-offs $ 34,478 $ 35,024 $ 35,987 $ 34,937 $ 31,871
Provision for $ 42,100 $ 48,620 $ 55,120 $ 47,120 $ 45,040
credit losses
Reserve for loan
losses to period 2.73 % 2.59 % 2.42 % 2.18 % 1.99 %
end loans
Combined reserves
for credit losses 2.86 % 2.72 % 2.52 % 2.27 % 2.07 %
to period end loans
Nonperforming
assets to period 4.36 % 4.24 % 4.19 % 3.67 % 3.26 %
end loans and
repossessed assets
Net charge-offs
(annualized) to 1.23 % 1.22 % 1.21 % 1.13 % 1.00 %
average loans
Reserve for loan
losses to 87.23 % 86.07 % 73.38 % 74.59 % 73.99 %
nonaccruing loans
Combined reserves
for credit losses 91.42 % 90.31 % 76.51 % 77.55 % 77.11 %
to nonaccruing
loans
(A) includes
residential
mortgage loans
guaranteed by
agencies of the
U.S. government. $ 14,083 $ 12,799 $ 11,234 $ 11,079 $ 10,514
These loans have
been modified to
extend payment
terms and/or reduce
interest rates to
current market.
(B) includes loans
subject to First $ 4,281 $ 4,311 $ 4,173 $ 8,305 $ 11,287
United Bank sellers
escrow
Source: BOK Financial Corporation
Contact: BOK Financial Corporation
Steven Nell, 918-588-6752
Chief Financial Officer
or
Jesse Boudiette, 918-588-6532
Corporate Communications Director