Shore Bancshares, Inc. · NASDAQ:SHBI

Shore Bancshares — Shareholder Meeting (April 2016)

22 slides from Shore Bancshares's shareholder meeting presentation, Apr 27, 2016

  1. Slide 1: Shore Bancshares, Inc. Annual Meeting

    Shore Bancshares, Inc. | Annual Meeting April 27, 2016 Good things happen when we're United

  2. Slide 2: Welcome & Introductions

    Welcome & Introductions Christopher F. Spurry Chairman of the Board

  3. Slide 3: Directors

    Directors Shore Bancshares, Inc. • Blenda W. Armistead • David J. Bates • Lloyd L. “Scott” Beatty, Jr. • James A. Judge • Frank E. Mason, III • David W. Moore • Christopher F. Spurry • W. Moorhead Vermilye • John H. Wilson 3

  4. Slide 4: Chairman's Remarks & Procedural Matters

    Chairman’s Remarks & Procedural Matters Christopher F. Spurry Camille A. Pecorak

  5. Slide 5: Nominees

    Nominees • Frank E. Mason, III Class I (term expires 2019) • Christopher F. Spurry Class I (term expires 2019) • John H. Wilson Class I (term expires 2019) • Jeffrey E. Thompson Class I (term expires 2019) • David A. Fike Class II (term expires 2017) • Clyde V. Kelly, III Class II (term expires 2017

  6. Slide 6: President & CEO Remarks

    President & CEO Remarks Lloyd L. “Scott” Beatty, Jr.

  7. Slide 7: Forward-Looking Statement

    Forward - Looking Statement This presentation includes forward - looking statements, including statements about future results. These statements are subject to uncertainties and risks, including but not limited to our ability to integrate acquisitions; the strength of the U.S. economy and the local

  8. Slide 8: A Very Good Year!

    A Very Good Year! • Improved earnings to $0.56 per share up 41% over 2014 • Notable improvement in economy with $84 million or 11.9% in loan growth • Launched a companywide marketing campaign to expand and diversify product offerings • Expand Company footprint with a new branch in Dover, DE, a LPO i

  9. Slide 9: Bank Branch Competitors Report

    Shore Bancshares, Inc. Bank Branch Competitors Report Within 1 Mile Within 5 Miles Company Name Competing Branches Deposits in Competing Branches Competing Branches Deposits in Competing Branches (Dollars in Thousands) Shore Bancshares, Inc . 18 $ 936,286 Money Centers/Regionals 29 1,722,762 38 $ 2,

  10. Slide 10: Looking Toward the Future

    Looking Toward the Future • Look for opportunities to expand our footprint • Continue to enhance client relationships in Banking, Insurance, and Investments • Continue to add products and services • Focus on development of our employees, our most valuable assets • Focus on our community. We are vest

  11. Slide 11: Bank Consolidation

    11 Bank Consolidation • Banks affiliated since 2000 • Merger application filed • New name

  12. Slide 12: Bank Consolidation

    Bank Consolidation • Merger provides efficiencies allowing us to focus on our mission: • Creates security & stability for our clients, communities and employees • Reduces impact of growing costs as a result of current regulatory environment

  13. Slide 13: Bank Consolidation

    13 Bank Consolidation • Create more awareness of the size and capabilities of our organization: • $1.1 Billion Bank • Retain all 18 Branches & LPO • One name creates awareness of the size of our footprint • One brand for easier customer recognition • 100% of banking activity, not just transactions,

  14. Slide 14: Bank Consolidation

    14 Bank Consolidation • From customer perspective – no adverse changes: • Basically a name change • Very minimal customer disruption • Same great people, products, and service

  15. Slide 15: Year End Highlights

    Shore Bancshares, Inc. Year End Highlights George S. Rapp Chief Financial Officer

  16. Slide 16: Annual Results – Strong Earnings Improvement

    Annual Results – Strong Earnings Improvement RESULTS OF OPERATION: Years Ended December 31, $(000) 2015 2014 Net interest income $ 35,525 $ 34,042 Provision for credit losses 2,075 3,350 Noninterest income 15,416 16,781 Noninterest expense 37,350 39,361 Net income before tax 11,516 8,112 Income t ax

  17. Slide 17: Quarterly Results – A 70% Increase Over Last Year

    Quarterly Results – A 70% Increase Over last Year RESULTS OF OPERATION: $(000) 1Q16 4Q15 1Q15 Net interest income $ 9,243 $ 9,293 $ 8,539 Provision for credit losses 450 475 650 Noninterest income 4,541 3,638 4,085 Noninterest expense 9,339 8,950 9,704 Net Income before tax 3,995 3,506 2,270 Income

  18. Slide 18: Improving Credit Quality

    Improving Credit Quality $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,000 $90,000 $100,000 12/31/2015 12/31/2014 12/31/13 12/31/2012 Total NPA & TDRs Total NPAs 18

  19. Slide 19: Capital Ratios - Very Strong

    19 Capital Ratios - Very Strong 11.93% 11.70% 8.41% 8.36% 15.60% 15.27% 10.09% 12.05% 16.67% 16.36% 11.34% 13.32% 15.60% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% YE 2015 YE 2014 YE 2013 YE 2012 Tangible Common equity / Tangible Assets Tier 1 Risk-Based Capital Ratio Total Ris

  20. Slide 20: Questions and Answers

    Questions and Answers SHORE BANCSHARES, INC. Good things ~i = <

  21. Slide 21: Report on Voting

    Report on Voting SHORE BANCSHARES, INC. Good things r = = a

  22. Slide 22: Adjournment

    Adjournment SHORE BANCSHARES, INC. Good a « _ - id

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