Flagstar Bank, N.a. · NYSE:FLG
Flagstar Bank, N.a — New York Community Bancorp — Q2 2005 Earnings Presentation
27 slides from Flagstar Bank, N.a's earnings presentation, Jul 25, 2005
Slide 1: Second Quarter 2005 Investor Presentation
Exhibit 99.1 Second Quarter 2005 Investor Presentation
Slide 2: Forward-looking Statements
This The and Forward-looking “believe,” Company’s There statements. general rates, changes of the institutions; synergies products accounting in Reserve Additionally, Readers undertakes 2 information the ability is Company filing, which assets are including economic in Board; are or and a“estimate,”
Slide 3: A leading financial institution in the NY Metro region
We SNL The deposits the (a) (b) 3 Singer’s United are leading aDataSource of leading States $11.5 Annuity producer financial billion (c) and of multi-family at Funds institution 6/30/05 Report (a)in loans Ranked –the August/September NY in New among Metro York region… theCity, top2005 3% withof (c)a
Slide 4: Industry-leading operating performance with financial strength
…with The U.S. 2004 Operating NPAs Days NCOs/Average (a) 4 Based Company’s Thrifts Performance Past +an Loans on industry-leading Due/Total ROA ROE Efficiency 2004 90 Loans 14.40 1.82% 2004 or operating Measures More Assets Ratio operating 10.41 0.00 0.93%record 0.15 21.46 0.12 earnings; NYBperforma
Slide 5: 2005 Goals
We 2005 Increasing -Complementing 5 Reducing Increasing Maintaining are Goals: focused our securities deposits our share on our capital producing asset of thestrength mix multi-family awith solid Maintaining CRE financial lending and construction performance. a market strong dividend loans Maintaini
Slide 6: Producing Solid Financial Performance
Producing Our 1.53% 1.02% 0.86% ROTA U.S. (a) 1Q 29.66% 12.74% 10.58% ROTE 1H 6 SNL 2005 returns Thrifts DataSource aon (a) Solid tangible N.Y. Financial State assets Thrifts Performance and (a) equity NYB are among the highest in the industry.
Slide 7: Increasing Our Share of the Multi-family Lending Market
Increasing We (in Multi-family 2000 Total: 7 millions) are 2001 $616 the Our 2002 leading $1,150 Loan Share 2003 producer Originations $2,560 of 2004 the$4,330 1H Multi-family of multi-family 2005 All$6,040 OtherLending $3,758 Loan loans Originations for Market portfolio $74 in $542 NYC.$359 $791 $5
Slide 8: Multi-family Niche
Increasing We Niche: Longstanding 8 have Rent-controlled a highly Ourrelationships Share profitable, ofand the with -stabilized Multi-family efficient, leadingand buildings mortgage Lending resilient inMarket brokers NYC lending 5-year Represents niche. fixed /a5-year growing adjustable source of ra
Slide 9: Multi-family Loan Portfolio
Increasing (in Multi-family 267% 12/31/01 At % Average 9 of 6/30/05 millions) total $3,255 principal 12/31/02 loans: Our loans Loan $4,494 Share 76.2% balance: 12/31/03 Portfolio have $7,368 of the grown $3.4 Multi-family 12/31/04 $9,842 21% million $11,953 YTD 6/30/05 Average Lending and 40% loan-t
Slide 10: Multi-family Loan Refinancing and Rent Roll
Increasing Our Rent NYB Borrower 10 unique Roll Originates Refinances Uses /Our Income refinancing Share Funds Multi-Family Loan Stream of toBased cycle the Improve Increases Multi-family has on Loan Higher supported theBased over Property Income Lending the on the Term Current growth Stream, Market
Slide 11: Complementing Our Niche: CRE Loans
Complementing Our Office Niche: National 5-year Pre-payment 11 CREand fixed credit loans mixed-use /penalties: 5-year retail feature Our adjustable Asset shopping buildings a5-4-3-2-1 structure Mixcenters rates with inpoints similar NYCCRE ininNYC to Loans years thatand 1ofthrough Long our multi-fam
Slide 12: Commercial Real Estate Loan Portfolio
Complementing CRE (in Commercial 346% 12/31/01 At % Average 12 of 6/30/05 millions) total loans $562 principal 12/31/02 loans: have $533 Realgrown Our 16.0% $1,445 Estate balance: 12/31/03 Asset 17% Loan $2,141 Mix $2.5 12/31/04 YTD Portfolio with million $2,509 andCRE 6/30/05 35% Average Loans year
Slide 13: Construction Loans Niche
Complementing We Niche: Bulk 13 lend ofResidential proceeds to 9 of the Our distributed unit top Asset 10 subdivisions developers Mix upon with receipt on Construction onLong Long of signed Island Island. Loans contract Floatingofrate sale tied Notolosses primein more than a decade
Slide 14: Construction Loan Portfolio
Complementing (in Construction 463% 12/31/01 At % Average 14 of 6/30/05 millions) total $152 principal 12/31/02 loans: $117 loans LoanOur 5.4% $644 balance: 12/31/03 Portfolio have Asset $804 grown Mix $3.5 12/31/04 $855 6% with million YTD Construction 6/30/05 Average and 14%loan-to-value: Loans ye
Slide 15: Maintaining the Quality of Our Assets: Conservative Underwriting
Maintaining The Conservative Minimum Mortgage loans the 15 lower quality overof and debt $10 of economic Asset LTV Real our million coverage assets Quality ratios Estate or Allratio: reflects market Committee properties 120% our value stringent appraised (aConstruction majority credit byofindependen
Slide 16: Maintaining Our Asset Quality: NPAs
Maintaining Our NPAs No 16 losses loan = 0.17% portfolio onAsset local-market residential of total is Quality structured assets unit multi-family subdivision at to 6/30/05 reduceloans NPLs construction credit in=risk. 20+ 0.27%years loans of total Noin losses 10+ loans years on at 6/30/05 commercial
Slide 17: Maintaining Efficiency Emphasis
Maintaining Efficiency Emphasis HAVN: Above-average 89 Profitable 1-4 Insurance 17 traditional family 54and on income-producing is loans branches Efficiency amulti-family branches investment key deposits component RCBK: 49per products in-store lending traditional 26 third-party ofbranches our Franch
Slide 18: Maintaining Efficiency: Operating Efficiency Ratio
Maintaining We Efficiency 2002 27.03% 59.44% 63.52% 21.46%(a) 57.40% 64.04% 23.59%(a) 57.28% 62.95% 25.32% 57.68% 61.75% U.S. (a) 18 Operating consistently Thrifts 2003 Ratio 2004 (b) Efficiency efficiency N.Y. rank 1Q 2005 State among ratio. 1H Thrifts the 2005 Please most (b) see NYB efficient sli
Slide 19: Strengthening Our Balance Sheet
Strengthening We (dollars Multi-family Core Total Wholesale 19 have deposits loans securities insignificantly billions) borrowings 15.7 loans 7.4 11.5 Our 6.0 10.9 6.1 Balance $12.0 10.0 12.1 6/30/05 43.6 19.9 enhanced 9.3 15.1 (50.6) $7.8 11.9 Sheet 3/31/04 53.3 (22.0) our% % asset Change and liabi
Slide 20: Loans and Securities as Percent of Assets
Strengthening We (in Loans % 3/31/04 20 of millions) are Total Securities deploying 6/30/04 Assets: Our 3/31/05 $10,919 the 41.2% Balance cash 6/30/05 45.7% $12,119 flows Sheet49.3% from $11,877 securities 35.1% $8,464 59.0% into $14,524 loan 26.8% production. $6,601 62.3%$15,684 23.7% $5,983
Slide 21: Increasing the Significance of Deposits
Increasing We (in Wholesale Deposits 3/31/04 21 millions) are increasing 6/30/04 Deposits Borrowings 3/31/05 the significance $11,869 6/30/05$10,027 of deposits $9,924within $10,016 our $9,614 funding$10,588 mix. $9,259 $11,538
Slide 22: Increasing Total Deposits
Increasing Total (in 117% Deposits $3,043 $3,307 $5,967 $6,649 12/31/01 $7,366 Total: Core Richmond Queens Nassau (a) 22 SNL millions) Deposits deposits $2,408 $5,451 $1,949 $4,362 $3,753 $4,172 County: County: DataSource 12/31/02 Deposits County: $5,256 =have CDs 64% #2 #212/31/03 thrift, #2 grown
Slide 23: Increasing Deposits: Initiatives
Increasing We Created State to with Introducing 23 55,000 have students andaengaged City residents Private Deposits a Offering program deposits Banking inEstablished several payment to Established service Group initiatives asolutions health depository toaattract nationwide tosavings increase toperso
Slide 24: Maintaining Company Capital Strength
Maintaining We Company 6/30/05 Tangible unrealized Bank Leverage Tier Total 24 are 1risk-based Capital risk-based a well stockholders’ equity/tangible ratio Capital losses Our Measures: capitalized 8.47% capital Capital capital on Measures: securities equity ratio ratio assets assets, Strength insti
Slide 25: Maintaining Our Annual Dividend
Maintaining Our Annual 300% 2000 (a) (annualized) 25 Adjusted dividend 2001 $0.25 Dividend 2002 $0.30 atoyield Strong reflect 2003 (a) $0.43 currently Dividend 3-for-2 2004 $0.66 1H exceeds stock $0.96 2005splits 5%. $1.00on 3/29/01 and 9/20/01 and 4-for-3 stock splits on 5/21/03 and 2/17/04.
Slide 26: For More Information
For More The Log 615 26 Merrick Company onto our Information Avenue web trades site: Westbury, onwww.myNYCB.com the NYSE NY under 11590theE-mail symbolrequests “NYB”.to: ir@myNYCB.com Call Investor Relations at: (516) 683-4420 Write to: New York Community Bancorp, Inc.
Slide 27: Reconciliation of GAAP and Operating Earnings
Reconciliation The For (in Net Adjustments Other-than-temporary Balance Gain Merger-related Total Income Operating Basic Diluted 27 7/25/05 thousands, the income following on adjustments operating Years tax operating sales sheet earnings effect $355,086 to Ended of repositioning except table of expe
New York Community Bancorp — Q2 2005 Earnings Presentation on 6ix