Camden National Corporation · NASDAQ:CAC
Camden National — Investor Presentation (February 2014)
19 slides from Camden National's investor presentation, Feb 13, 2014
Slide 1: February 13, 2014
February 13, 2014 NASDAQ: CAC
Slide 2: Safe Harbor Statement
Safe Harbor Statement The information presented may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon current beliefs and expectations and are subject to significant risks and uncertainties some of which are
Slide 3: Corporate Snapshot
Camden National Corporation Corporate Snapshot • Headquartered in Camden, ME; Founded 1875 • Subsidiaries: • Camden National Bank - $2.6B Assets • Acadia Trust - $696MM AUM • 481 Employees • 44 Branch Locations Financial Overview Shareholder Profile • Shares Outstanding 7.6 million • Institutional /
Slide 4: Camden National Corporation Profile
Camden National Corporation Profile 3 • Founded 1875 in Camden, Maine • Largest publicly traded community bank in Maine and Northern New England • Second largest Maine based bank • Fourth in the state for deposit market share Source: SNL Financial
Slide 5: Financial Highlights As of 12/31/13
4 (in 000’s) 2013 2012 Loans (a) $1,580 $1,564 Investment Securities 828 802 Total Assets 2,604 2,565 Deposits (b) 1,814 1,929 Borrowings 530 360 Shareholders’ Equity 231 234 (a) 2013 reflects $46 million of divested loans. 4% organic growth in 2013 when excluding sale. (b) 2013 reflects $80 million
Slide 6: Financial Highlights As of 12/31/13
5 2013 2012 Net Income (in millions) (a) $22.8 $23.4 Diluted Earnings per Share $2.97 $3.05 Return on Tangible Equity 14.55% 13.19% Return on Assets 0.88% 0.98% Efficiency Ratio 62.78% 57.45% Net Interest Margin 3.20% 3.36% (a) 2013 includes after tax impact of goodwill impairment write-down of $2.8
Slide 7: Loans and Funding
Checking 30% Savings/Money Market 29% CD's 19% Borrowings 22% Funding Mix Home Equity/ Consumer 19% Commercial Real Estate 34% Residential Mortgages 36% Commercial 11% Loan Portfolio Total Loans: $1.58 billion Yield: 4.46% Funding: $2.34 billion Total Funding Cost: 0.55% Deposit Cost: 0.32% 6 Loans
Slide 8: Investment Portfolio
Portfolio Stats Market Value $808 Million Average Yield 2.26% Duration 3.9 Years Premium $7.2 Million Premium as % of Portfolio 0.9% Investment Portfolio As of 12/31/13 7 Excludes FRB/FHLB stock of $20 million MBS $397 48% Agency CMO $387 47% Municipals $30 4% Non-Agency $7 1% Book Value - $821 Mill
Slide 9: Deposit Market Share
8 Source: FDIC Deposit Market Share data. Pro forma results excluding divested branches. Maine 2013 Rank Institution 2013 Number of Branches 2013 Total Deposits in Market ($000) 2013 Total Market Share (%) 1 Toronto-Dominion Bank 51 3,681,736 15.8 2 KeyCorp (OH) 54 2,566,856 11.0 3 Bangor Bancorp MH
Slide 10: Core Strengths
Core Strengths • Solid track record of organic and acquired growth • Solid earnings performance • Disciplined risk management culture • Consistent shareholder returns 9
Slide 11: Solid Track Record of Organic and Acquired Growth
$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Total Assets (in millions) United Corp. $54 million KSB Bancorp $179 million Union Bankshares $565 million Bank of America 14 Branches $287 million Key Bank
Slide 12: Solid Earnings Performance
Solid Earnings Performance • Investment in branches, lenders, and technology impact financial performance in the short-term • Driven to create consistent returns for our shareholders • Efficient operations focused on revenue generation Proxy Peer – Average of 19 publicly traded commercial and saving
Slide 13: Disciplined Risk Management Culture
Disciplined Risk Management Culture 12 • Strong capital growth to support future loan growth • Credit quality consistent with Northeast peer group • Stable asset quality through economic downturn NPAs to Total Assets Net Charge Offs to Average Loans Total Risk Based Capital Highlights Proxy Peer – A
Slide 14: Consistent Shareholder Returns
13 Consistent Shareholder Returns • Earnings per share compound annual growth of 5.24% over a 15-year period • Tangible book value compound annual growth of 7.12% over a 15-year period $1.38 $1.27 $1.69 $1.89 $2.11 $2.38 $2.53 $2.80 $2.93 $3.09 $2.00 $2.98 $3.23 $3.40 $3.05 $2.97 $0.00 $0.50 $1.00 $
Slide 15: Branch Strategy: Deposit Market Share
14 Branch Strategy Deposit Market Share 60% 5% 15% 10% 7% 26% 9% 2% 6% 41% 6% Source: SNL Financial FDIC Deposit Market Share data as of 6/30/13. Pro Forma results include adjustment for 2013 branch sale.
Slide 16: Branch Strategy: Focus on Growth Markets
15 Source: SNL Financial Branch Strategy Focus on Growth Markets Franklin County Branch Divestiture ($80MM Deposits) I-95 Corridor BofA Branch Acquisition ($287MM Deposits) Mid-Coast Region ($854MM Deposits)
Slide 17: Branch Strategy: Preparing for the Future
• Acquisitions • Acquisition of 14 branches from Bank of America resulted in $287 million in core deposits • Increased our market share in Maine and improved presence in growth markets • Earn back of Tangible Book Value within four years • Divestitures • Sold five branches in Franklin County in 2013
Slide 18: Awards and Recognition
17 “Financial Institution of the Year” by Finance Authority of Maine KBWs “Bank Honor Roll” 2011 and 2012 One of “America’s Most Trustworthy Companies” by Forbes
Slide 19: Proxy Peer Group
Proxy Peer Group Arrow Financial Corporation - NY Bar Harbor Bankshares - ME Berkshire Hills Bancorp, Inc. - MA Brookline Bancorp, Inc. - MA Century Bancorp, Inc. - MA Chemung Financial Corporation - NY Enterprise Bancorp, Inc. - MA Financial Institutions, Inc. - NY First Bancorp, Inc. – ME Independ
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