Enterprise Financial Services Corporation · NASDAQ:EFSC
Enterprise Financial Services — Investor Presentation (January 2010)
26 slides from Enterprise Financial Services's investor presentation, Jan 26, 2010
Slide 1: Enterprise Financial Services Corp Offering Presentation
Exhibit 99.4 ENTERPRISE FINANCIAL SERVICES CORP OFFERING PRESENTATION ORR —
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS ‘This presentation contains statements that are_ considered “forward-looking Slalements” wihin the meaning of the safe harbor provisions of the Private Seourties Litgation Reform Act of 1005, or the PSLRA. Forward-looking Statements fyprealy are identified with use of ferm
Slide 3: Overview
OVERVIEW
Slide 4: Offering Summary
OFFERING SUMMARY Private common stock offering: $5 million - $15 million total Investor minimum 20,000 shares, maximum 518,800 shares Offering price $7.71 per share | Offering will close January 22, 2010 © Shares entitled to registration rights > Offered only to accredited investors
Slide 5: Offering Rationale
OFFERING RATIONALE > Further strengthens capital position > Supports additional, profitable loan growth Opens opportunities to expand market share in St. Louis ‘transactions Positions Enterprise to compete more effectively against vulnerable competition | Higher growth capacity enhances ability to a
Slide 6: Enterprise Value Proposition
ENTERPRISE VALUE PROPOSITION Strategie focus on privately held business and their owner families ENTERPRISE BANK Billion in Banking Asset 1.2 Bilin n Trust Assets Under Adminstration Largest publicly held banking company based in St. Louis
Slide 7: Strengthened Wealth Management Team
STRENGTHENED WEALTH MANAGEMENT TEAM | Recruited Brendan Freeman as President, Advisory Services. Former Senior Vice President, Bank of America / US Trust. Added three new client advisors with experience at Merrill Lynch, Bank of America, Deutsche Bank, National City and Regions Bank. Current team in
Slide 8: Company Markets
COMPANY MARKETS St. Louis MSA Kansas City MSA 72 millon population; 186 argest metro aes ‘Median household income $62,200 vs. US median $50,700 50,000 households with investable assets over 81 millon 70.00 pivaely held businesses nicer hentare,hancal seve, rnspraon and defence "20 milion popuaton; 2
Slide 9: Commercial Real Estate Market Statistics
COMMERCIAL REAL ESTATE MARKET STATISTICS | Markets not as overheated | St. Louis Metropolitan Commercial Office vacancy rates are lowest in Midwest at 15.6% followed by Kansas City at 16.5% J St. Louis suburban office market has 3rd lowest vacancy rate in US. at 13.1% J Kansas City and St. Louis ind
Slide 10: Deposit Market Share - STL & KC
DEPOSIT MARKET SHARE - STL & KC ‘st Lote
Slide 11: Phoenix Acquisition
PHOENIX ACQUISITION | Gained full service banking capability in Arizona through FDIC- 2009 / Gained branching rights for Enterprise Bank & Trust throughout Arizona [> Significant milestone in Arizona expansion strategy; low-cost, low tisk entry into market | Loss sharing agreement with FDIC protects
Slide 12: Asset Quality
ASSET QUALITY
Slide 13: Strong Asset Quality Position
STRONG ASSET QUALITY POSITION J Sound portfolio composition + NO loans over 90 days past due still accruing + NO exotic mortgage securities or sub-prime residential mortgages + Granular loan portfolio: average loan relationship under $1M + Limited concentration risk: $10M limit aggregate relationshi
Slide 14: Loan Portfolio Mix by Collateral
LOAN PORTFOLIO MIX BY COLLATERAL ‘Loan Portfolio Composition
Slide 15: Proactive Credit Management
PROACTIVE CREDIT MANAGEMENT Credit Risk Management Approach Net Charge Offs and NPAs Reserves [NPL Delinquency Trends
Slide 16: Non Performing Loans & Foreclosed Real Estate
NON PERFORMING LOANS & FORECLOSED REAL ESTATE > No single large exposures | Non performing loans of $47 milion are well reserved | Foreclosed real estate (OREO) of $19.2 milion is only 1.4% of total real estate secured portfolio of $1.4 billion (SRED rps ot costes _anount vane _atoto festeris tones
Slide 17: EFSC Relative Peer Positioning
EFSC RELATIVE PEER POSITIONING Note peatng Pes neice CZRK BPFH MTC, C*N,CORZ PAFP, PUT, SYST, SASR SIE, TFC. Prog ees nce a pate aks win asses eee S00 mln ane Sn.
Slide 18: Profitability and Growth
PROFITABILITY AND GROWTH
Slide 19: Pre-Tax Pre-Provision Earnings Power
PRE-TAX PRE-PROVISION EARNINGS POWER (eta nar GEE EE A sets pane oT) “ac tenemepete eno) ey Ingomar or er ee rove pe acer oY was argument ort 2 ce) aecuresrorameanng 3s sae
Slide 20: Increasing Core Deposit Balances
INCREASING CORE DEPOSIT BALANCES
Slide 21: Securities Portfolio
SECURITIES PORTFOLIO Conservative Approach + Secures pools hlds ne CD0s or private hice + No hlcings of ther financial insttuton bust prefered seou'ies or subordinated debt, + No subprime, tA or priate MBS + Average Life 208 years + Motes duraton ~ 266 years + Tarabi equivalent yeld-2.70% » Oat
Slide 22: Stable Margin and Operating Leverage
STABLE MARGIN AND OPERATING LEVERAGE INET INTEREST MARGIN (TE) INON INTEREST EXPENSE/ AVG. ASSETS
Slide 23: Diversified Fee Income
DIVERSIFIED FEE INCOME ‘ctu ranch ae gare
Slide 24: Solid Capital Position in Uncertain Economy
SOLID CAPITAL POSITION IN UNCERTAIN ECONOMY Jzsioe | 92009 | 118009 Tier 1 Risk Based 8.89% 2.49% | 10.79% Capital Total Risk Based 12.81% tioa% | 13.37% Capital Tangible Common 5.38% 514% 551% Eauity to Tangible Assets ® Added $35 milion in CPP Preferred in 40 2008, Added $25 milion in Convertible
Slide 25: Investment Considerations
INVESTMENT CONSIDERATIONS ® Successful business model focusing on attractive private business niches Experienced management team with “skin in the game” Well positioned balance sheet * Loan diversity * Core deposit funding * Capital strength ® Opportunities for growth in market share ® Sound credit
Slide 26: Q&A
Q&A
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