Atlantic Union Bankshares Corporation · NYSE:AUB
Atlantic Union Bankshares — Union Bankshares — Investor Presentation (February 2015)
19 slides from Atlantic Union Bankshares's investor presentation, Feb 9, 2015
Slide 1: Investor Presentation February/March 2015
Investor Presentation February/March 2015
Slide 2: Forward-Looking Statement
Forward - Looking Statement Certain statements in this report may constitute “forward - looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward - looking statements are statements that include projections, predictions, expectations, or beliefs about fu
Slide 3: Company Overview
Company Overview • The largest community banking organization headquartered in Virginia • Holding company formed in 1993 – Banking history goes back more than 100 years • Assets of $7.4 Billion • Comprehensive financial services provider offering commercial and retail banking, mortgage, investment,
Slide 4: Union's Strengths
Union’s Strengths • Unique branch network across Virginia, competitive banking products and services and a loyal client base • Well positioned for organic growth given commercial activity, household income levels and population growth in its footprint • Strong balance sheet and solid capital base •
Slide 5: Union First Market Footprint
Union First Market Footprint 5 • Only Virginia - based bank with a statewide presence – 131 branches
Slide 6: Branch Franchise
NC DC VA AL CT DE GA IL IN KY MA MD MI MS NJ NY OH RI SC TN WV Branch Franchise 6 Branches FTEs Assets Loans Deposits 131 1,471 $7.4 Billion $5 .3 Billion $5.6 Billion Source: SNL Financial, FDIC and MapInfo Professional as of 6/30/2014 Note: Richmond market total deposits includes non - retail depo
Slide 7: Diversity Supports Growth in Virginia
Diversity Supports Growth in Virginia Richmond • State Capital • Fortune 500 headquarters (6) • Finance and insurance • VCU & VCU Medical Center Fredericksburg • Defense and security contractors • Health care • Retail • Real Estate development Charlottesville • University of Virginia & Medical Colle
Slide 8: Growing Market Share
Growing Market Share 8 Source: SNL Financial - Deposit data as of 6/30/2014 Rank Institution Number of Branches Total Deposits ($000) Market Share (%) 1 Wells Fargo & Co. (CA) 291 31,222,493 18.25% 2 Bank of America Corp. (NC) 153 23,745,941 13.88% 3 BB&T Corp. (NC) 361 21,538,540 12.59% 4 SunTrust
Slide 9: Uniquely Positioned To Grow
Uniquely Positioned To Grow • Unmatched footprint in Virginia – significant barriers for competitors to overcome • Higher lending capacity than other Virginia banks – larger potential customer base • Expansion opportunities in Northern Virginia and Virginia Beach • Consolidation opportunities in the
Slide 10: Balance Sheet Trends
Balance Sheet Trends 10 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2009 2010 2011 2012 2013 2014 $1,874 $2,837 $2,819 $2,967 $3,039 $5,346 Loans ($M) $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2009 2010 2011 2012 2013 2014 $1,916 $3,070 $3,175 $3,2
Slide 11: Capital Ratios
Capital Ratios 11 • As of January 28, 2015, approximately $10 million remaining on $65 million stock buyback authorization 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 2010 2011 2012 2013 2014 14.68% 14.51% 14.57% 14.17% 13.39% 8.22% 8.91% 8.97% 8.94% 9.28% Total risk-based capital Tang
Slide 12: Profitability Ratios and Income Trends
Profitability Ratios and Income Trends 12 * excludes after - tax acquisition expenses and acquisition accounting impact 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 2010* 2011* 2012* 2013* 2014* 0.78% 0.80% 0.89% 0.90% 0.91% Return on Average Assets (ROA) 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 2010* 201
Slide 13: Loan Portfolio
Loan Portfolio 13 12/31/2014 Change 09/14 to 12/14 $ % of Portfolio % of Type Construction, Land Development, and Other Land $656.4 12.3% $44.7 0.4% 7.3% Commercial Real Estate $2,349.2 43.9% $75.0 0.0% 3.3% Residential 1 - 4 Family $925.4 17.3% - $6.3 - 0.7% - 0.7% Equity Lines of Credit $523.8 9.8
Slide 14: NPAs by Type
NPAs by Type 14 12/31/2014 Change 9/14 to 12/14 $ % of Portfolio % of Type Construction and Land Development $3.3 7.0% - $2.4 - 2.8% - 41.7% Commercial $5.5 11.6% $2.3 6.1% 73.4% Commercial NonOwner Occupied $5.9 12.4% $5.7 12.2% n/a Commercial Owner Occupied $1.0 2.1% - $0.3 - 0.1% - 22.5% Consumer
Slide 15: OREO Breakdown
Construction and Land Development , 41.9% King Carter Golf Community , 21.2% Commercial , 0.2% Commercial Non - Owner Occupied , 2.7% Commercial Owner Occupied , 1.0% Consumer , 13.6% Former Branch Sites, 19.5% OREO 15 12/31/2014 Change 9/14 to 12/14 # of loans $ % of Portfolio % of Type Constructio
Slide 16: Top-Tier Financial Performance Focus
Top - Tier Financial Performance Focus • Union is committed to achieving top tier financial performance and providing our shareholders with above average returns on their investment • Key financial performance metrics benchmarked against top quartile peers • Top Tier Financial Performance targets: •
Slide 17: 2015 Outlook
2015 Outlook • Leveraging new franchise • Stable to growing economy in footprint • Mid single digit loan growth • Modest net interest margin compression • Continued asset quality improvement – reduction of OREO • Improving ROA, ROTCE and Efficiency Ratio • $65 million in share repurchases authorized
Slide 18: Value Proposition
Value Proposition • Statewide Branch footprint is a competitive advantage and brings a unique franchise value • Strong balance sheet and capital base • Organic growth and acquisition opportunities • Experienced management team • Committed to top tier financial performance • Shareholder Value Driven
Slide 19: Thank You!
THANK YOU! UNION
Union Bankshares — Investor Presentation (February 2015) on 6ix