Community Trust Bancorp, Inc. · NASDAQ:CTBI
Community Trust Bancorp — Investor Presentation (March 2007)
36 slides from Community Trust Bancorp's investor presentation, Mar 6, 2007
Slide 1: Community Trust Bancorp, Inc. - Community Banking... Our Franchise
2 Community Trust Bancorp, Inc. Community Banking... Our Franchise NASDAQ: CTBI * = March 2007
Slide 2: Forward-looking information
Information provided herein by the Corporation contains “forward-looking” information. The Corporation cautions that any forward-looking statements made by the Corporation are not guarantees of future performance and that actual results may differ materially from those in the forward-looking stateme
Slide 3: Company key figures
Total Assets Total Loans Total Deposits* Total Equity Total Market Capitalization on 1/31/07 Dividend Yield 2006 EPS S otherwise noted. $3.0 billion $2.2 billion $2.5 billion $282.4 million $593.7 million 2.53% $2.59 16.0x.
Slide 4: Community Trust Bank Branch Office locations
Community Trust Bank Branch Office * Community Trust & Investment Office Headquartered in Pikeville, KY 74 banking locations throughout Eastern and Central KY 5 banking locations in Southern WV ‘5 trust offices across Kentucky eo &
Slide 5: Competitive Position
Competitive Position + 7 largest bank in Kentucky in terms of deposit market share for all FDIC insured institutions > #1 in Kentucky in deposit market share of all Kentucky domiciled FDIC insured institutions Economic Diversity + Eastern Kentucky Region * Northeastern Region > Energy - coal and nat
Slide 6: Company history
1903 The Pikeville National Bank founded 1936 Pikeville National Bank & Trust Co. incorporated 1981 Formed Pikeville National Corporation 1987- Acquired 14 banks and purchased 17 2005 branches 1997 Changed name to Community Trust Bancorp, Inc. 1997- Merged all banks into lead bank-- 2002 Community T
Slide 7: Community Trust Bancorp, Inc. structure
Community Trust Bancorp, Inc. Pikeville, Kentucky Community Trust and Investment Company Lexington, Kentucky Community Trust Bank, Inc. Pikeville, Kentucky * Community Trust Bank, Inc. > Regional market structure provides synergies * Community Trust and Investment Company > Assets under it $1.1 bill
Slide 8: Executive management
Name Jean R. Hale Mark A. Gooch Tracy E. Little Kevin J. Stumbo Steven E. Jameson James J. Gartner James B. Draughn Position Chairman, President and CEO. CTB President and CEO CTIC President and CEO EVP /Controtier EVP /Risk Manager EVP/Chief Credit Officer EVP /Operations EVP /Central Kentucky Pres
Slide 9: Initial public offering 1981, stock splits, stock dividends
Initial public offering 1981 12 stock splits 9 stock dividends 26 years of consecutive increases in cash dividends 5-year compound growth rate of cash dividends 11.5% Recognized by Mergent, Inc. as 2005 Dividend Achiever Stock selected in 2006 for listing in the new NASDAQ Global Select Market ‘of 5
Slide 10: Executive Management and Board Commitment to Corporate Governance
Executive Management and Board of Director Commitment to Corporate Governance Local Market Presidents Decentralized decision making Centralized operations and risk management Specialized product offerings Maximized use of technology
Slide 11: Acquisitions, de novo branches and trust investment
* Acquisitions > 14 Banks > 17 Branches >» Last acquisition in June 2005 ~ De Nova Branches and Branch Expansion/Relocation >» 3 De Nova Branches opened in 2005 > 2 Expansion/Relocations in 2006 ‘+ Investment in Trust Subsidiary > Increase in Assets Under Management of $214.8 million > Investment in
Slide 12: Certificate of Deposit
Certificate of Deposit Stop by your local branch for more F information. Visit our website at you'll ha, www.ctbi.com to locate the branch bs Someapee. Gi ‘a Community $2,500.00 minimum deposit. HOOPS CD is available “through November 14, 2006. Substantial penalty Yor early withdrawal varies as need
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Slide 14: Key performance ratios 2004-2006
Earnings Per Share (basic) Return on Average Assets Return on Average Equity Net Interest Margin Efficiency Ratio Nonperforming Loans Net Charge-offs a % of Average Assets: % 2006 2005 2004 $2.59 $2.31 $2.09 1.33% 1.22% 1.22% 14.51% 13.98% 13.48%. 4.02% 4.02% 4.06% 56.67% 56.83% 58.25% 0.66% 1.02% 1
Slide 15: 2006 results versus goals
Net Income EPS ROAA ROAE Loan Growth Deposit Growth Total Asset Growth Efficiency Ratio % of Average Assets: y Revenue $39.1 million $2.59 1.33% 14.51% $60.1 million $94.6 million $118.7 million 56.67% 1.11% 2006 Goals $36.4 million $2.45 1.26% 13.73% $208 million $83 million $71 million 56.44% 1.21
Slide 16: 8th consecutive year of increased EPS
2002 2003 2004 * 8th consecutive year of increased EPS * Earnings per share increased 12.1% in 2006 > 12.3% compound growth rate for EPS for the past five years 2007 EPS projected between $2.45 and $2.57
Slide 17: Net income
{in millions} $39.1 $27.6 2002 2003 2004 2005 2006 * Performance drivers Loan and deposit growth Increased net interest income Stable noninterest income Noninterest expense control Improved asset quality T projected net income $37 and $39 million mop OO
Slide 18: Revenue
{in millions} $136.7 $140.3 $117.2 2002 2003 2004 2005 2006 * 5.6% compound growth rate for revenues for the past five years > 2006 revenues increased 2.7% projected revenues between $145 and $147 million
Slide 19: Noninterest income
{in miltions} ooo aoe 21% } 1596 2002 2003 2004 2005 2006 [ma Noninterest Income ——% of Total Revenue = 2006 noninterest income > Increase in deposit fees > Change in mortgage loan activity > Stable brokerage revenue > Increase in trust revenue 1007 projected noninterest revenue as % of total revenu
Slide 20: Net interest revenue
uk {in millions} mae $103.0 $93.1 $89.3 $84.6 2002 2003 2004 2005, 2006 * 2006 increase in net interest revenue was 4.4% > Interest income increased > Interest expense increased
Slide 21: Net interest margin
4.12% 4.07% 4.07% 4.07% 4.08% 4.03% 4.04% 4.02% i | 3.94% | | Dec 05 Mar 06 Jun 06 Sep 06 Dec 06 { = CTBI = Peer Pressure on the margin 1-year cumulative gap position at 12/31/06 \ 5.99% % of assets repricing > Within 30 days 38.4% * % of liabilities repricing > Within 30 > Within 90 days > Within 1
Slide 22: Noninterest expense
. z g ee 8 fF 8 9 c 8 $88 8 8 4 7 7 ani — : y ‘ = a elo 9 iS 9 A 3 : ap w gaa.0 2005 $78.6 ay 2004 3, asa, 2004 terest Expense ——% of Bar: 2003 interest Expense } 2002 mn Net No: ions| aso. Uli in mil {in millions} t
Slide 23: Total assets
iin billions} $2.49 * Total assets increased 4.2% from 12/31/05 to 12/31/06 > Loan growth $60.1 million > Deposit growth $127.1 million Total assets are expected to remain stable or decline slightly
Slide 24: Total loans
{in billions} $2.11 $2.17 $1.90 $1.74 $1.63 2002 2003 2004 7 2005 2006 2007 projected loan growth between $178 December 31, 2006 Consumer 20% Comm RIE 28% R/E Mortgage 29% ‘Camm Other 16%
Slide 25: Total deposits
iin billions} $2.50 $2.38 $2.18 go1g ($228 December 31, 2006 Repurchase Bo uayoue tate Bearing Other Time 11% } 5% a Now 2006 i? CDs <$ 100K Ze MMDA Total deposits including repurchase 19% are expected to remain stable , per funding needs. = ~ = Savings CDs >$100K 8% 18%
Slide 26: Asset quality
2006 2005 1.06% | | i “f 2004 1.27% 2006 2003 1.39% 2002 4.42% © 1.42% 4.40% 0.29% 2006 2003 2004 2005
Slide 27: Loan portfolio concentrations
@ Agricultural m Apartments & Rental Housing mCoal Miniag & Support m Floorplans m Hotel/Motel lm Noa-Resideatial Real Estate Rental ~ Single Family Construction
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Slide 29: Cash dividends growth
1.05 $0.98 ba 2002 2003 2004 2005 2006 % 11.5% compound growth rate for cash dividends for the past five years * Increased dividend by 1¢ (3.85%) effective with the January 2007 dividend 2006 cash dividends increased 7.1% ver 31, 2006 cash divi 2.53%
Slide 30: Return to Investors
Return to Investors December 31, 2006 39.08% 22.09% 18.35% 18.27% 13.55% isd 1-Year 3-Year 5-Year 10-Year 15.28% 11.39% Bevin, i= | | = CTBI Russell 2000 > 1-,3-, 5-, and 10-y returns annualized
Slide 31: Stock performance versus NASDAQ
—e—Community Trt Bancorp, Ine. —S— NASDAQ Stock Market (U.S)
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Slide 33: Attaining our 2007 corporate goals
Attaining our 2007 corporate goals * Internal growth of core banking businesses Continued expansion of trust and brokerage services Expansion through new branches and acquisitions Improved management and customer information Continued expansion of profitable product lines
Slide 34: Major impacts on 2007 corporate goals
Allo) Major impacts on 2007 corporate goals ~* Loan growth + Asset quality + Net interest margin * Noninterest income ~ Profitable deposit growth driven by liquidity needs
Slide 35: History of Solid Investor Returns
* History of Solid Investor Returns » Consistent growth in dividends * Positive Asset Quality Trends * Community Banking Strategy > Centralized processing with decentralized decision making * Growth and Good Financial Performance in Slow Growth Markets + Investment in Faster Growing Markets Strong E
Slide 36: Community Trust Bancorp, Inc. - Built on Trust
2 Community Trust Bancorp, Inc. Building Communities... Built on Trust a
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