Valley National Bancorp · NASDAQ:VLY
Valley National Bancorp — Investor Presentation (November 2013)
19 slides from Valley National Bancorp's investor presentation, Nov 14, 2013
Slide 1: Investor Presentation
Exhibit 99.1 Investor Presentation © 2013 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved.
Slide 2: Forward Looking Statements
Forward Looking Statements Theforegoing contains forward-lookingstatements within the meaningof the Private SecuritiesLitigation ReformAct of 1995. Suchstatements are not historical facts and include expressionsabout management’sconfidenceand strategiesand management’sexpectationsabout new and exist
Slide 3: Valley National Bancorp Our Approach
Valley National Bancorp Our Approach • Focus on credit quality • Large percentage of retail • Conservative growth strategies ownership – Long-term investment approach • Never had a losing quarter – Focus on cash and stock • Affluent and heavily populated dividends footprint • Large insider ownership
Slide 4: Valley National Bancorp Corporate Profile
Valley National Bancorp Corporate Profile • Traded on the NYSE (VLY) • Regional Bank Holding Company • Headquartered in Wayne, NJ • 204 Branches – Northern NJ – Central NJ – Manhattan – Brooklyn – Queens – Long Island As of 9/30/2013 Total Assets $16.0 billion Total Net Loans $11.3 billion Total Dep
Slide 5: Valley's 3Q 2013 Highlights Dashboard
Valley’s 3Q 2013 Highlights Dashboard 3Q Highlights Linked Quarter Loan Growth* • Total non-covered loans increased $534.5 million or 19.9% on an annualized basis • 3Q NIM increased by 5 bps to 3.20% • 4Q 2013 sale of previously impaired TRUP security will result in a $10.7 million realized gain in
Slide 6: Asset & Loan Composition
Asset & Loan Composition Total Assets $16.0 Billion Non-Covered Loans (Gross) $11.3 Billion <1> Other Assets includes bank owned branch locations carrieda at cost estimated by management to be significantly less than the current market value. <2> Loans subject to loss sharing agreements with the FDI
Slide 7: New Loan Originations Trend
New Loan Originations Trend 4 year average increase between 20102013 – *Annualized As of 9/30/2013, excludes purchased loans © 2013 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 7
Slide 8: Commercial Real Estate (CRE) Diversified Portfolio
Commercial Real Estate (CRE) Diversified Portfolio Primary $ Amount % of Avg 2009 Total CRE$4.8 - Billion Property Type (Millions) Total LTV Avg LTV (Includes both Covered and Non-Covered Loans) Apartments 1,238 26% 36% 47% Retail 1,065 22% 51% 51% Industrial 763 16% 52% 55% Office 520 11% 49% 54% M
Slide 9: Commercial Real Estate Retail Composition
Commercial Real Estate Retail Composition Total Retail Property Types $1.1 - Billion % of 2009 (Non-Covered Loans) Retail Property Type AvgLTV Total Avg LTV Multi-Tenanted - No 24% 54% 57% Anchor Multi-Tenanted -Anchor 23% 52% 50% Single Tenant 22% 50% 53% Auto Dealership 9% 50% 53% Private & Public
Slide 10: Construction Loan Composition
Construction Loan Composition Total Construction Loans $407 - Million (Non-Covered Loans) Primary Property $ Amount 2009 % of Type % of Total (Millions) Total Residential 136 33% 47% Apartments 78 19% 5% Retail 67 17% 11% Land Loans 45 11% 13% Mixed Use 38 9% 11% Specialty 11 3% 2% Healthcare 14 3%
Slide 11: Asset Quality 2003-2013 Average Net Charge-offs
Asset Quality 2003 –2013 Average Net Charge-offs Source: SNL Financial data as of 11/4/2013 Peer group includes banks between $3 billion and $50 billion in assets As of 9/30/2013 © 2013 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 11
Slide 12: Investment Portfolio Key Highlights & Composition
Investment Portfolio Key Highlights & Composition By Investment Grade Key Comments Investment Grade 2013 • $2.6 billion investment portfolio AAA 69% • As part of Valley’s macro asset/liability AA 11% strategy, the bank continues to manage the A 3% duration of its investment portfolio BBB 5% Non Inve
Slide 13: Liability & Deposit Composition
Liability & Deposit Composition Total Liabilities* $14.5 Billion Total Deposits $11.1 Billion *includes junior subordinated debentures issued to capital trusts (of which debentures with a carrying value of $132.4 million were redeemed in 4Q 2013) As of 09/30/2013 13 © 2013 Valley National Bank. Memb
Slide 14: Deposits & Borrowings Key Highlights and Comments
Deposits & Borrowings Key Highlights and Comments Non-Interest Bearing Deposits Key Comments • 3Q 2013 total cost of interest bearing deposits declined 2 basis points to 0.61% from 2Q 2013 • 3Q 2013 total cost of interest bearing liabilities declined 1 basis point to 1.57% from 2Q 2013 *Period Endin
Slide 15: Regulatory Capital Composition & Ratios
Regulatory Capital Composition & Ratios As of Adjusted “Well Capital Ratios 9/30/13 9/30/13* Capitalized” Tangible Common Equity 6.79% 6.79% N/A / Tangible Assets Tangible Common Equity 9.02% 9.02% N/A / Risk-Weighted Assets Tier I Common Ratio 9.17% 9.17% N/A Tier I Common Capital 71% Tier I 10.64%
Slide 16: Shareholder Returns
Shareholder Returns Historical Financial Data (1) (Dollars in millions, except for share data) Diluted Earnings Per Return on Return on Cash Dividends Period Ended Net Income Common Average Average Declared Per (2) Total Assets (3) Share Assets Equity Common Share Common Stock Splits and Dividends Y
Slide 17: For More Information
For More Information Log onto our web site: www.valleynationalbank.com E-mail requests to: dgrenz@valleynationalbank.com Call Shareholder Relations at: (973) 305-3380 Write to: Valley National Bank 1455 Valley Road Wayne, New Jersey 07470 Attn: Dianne M. Grenz, First Senior Vice President Director o
Slide 18: Non-GAAP Disclosure Reconciliations
9/30/2013 Non-GAAP Disclosure Reconciliations ($ in Thousands) Total Equity $1,520,056 Total Assets $15,976,943 Plus: Net unrealized losses on securities Less: Goodwill & Other Intangible Assets (466,193) available for sale, net of tax 13,436 Plus: Accumulated net losses on cash Total Tangible Asset
Slide 19: Non-GAAP Disclosure Reconciliations
9/30/2013 Non-GAAP Disclosure Reconciliations ($ in Thousands) Common Shares Outstanding 199,450,531 Shareholders’ Equity $1,520,056 Less: Goodwill and Other Intangible Assets (466,193) Tangible Shareholders’ Equity $1,053,863 Tangible Book Value $5.28 19 © 2013 Valley National Bank. Member FDIC. Eq
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