Independent Bank Corp. · NASDAQ:INDB
Independent Bank — KBW 2006 Regional Banking Conference
26 slides from Independent Bank's conference presentation, Mar 1, 2006
Slide 1: Investor Presentation - KBW 2006 Regional Banking Conference
Investor Presentation KBW 2006 Regional Banking Conference March 1-2, 2006 "People Do Business with People" (r)
Slide 2: Who We Are
Who We Are Largest publicly held commercial bank headquartered in Massachusetts Banking assets of $3.0 billion at December 31, 2005 Listed on NASDAQ, market capitalization of $443 million 50 full service branches, seven commercial banking centers, four mortgage banking centers, one consumer lending
Slide 3: Stock Profile
Stock Profile NASDAQ Symbol: INDB Recent Price (2/10/06 ): $28.74 Market Cap: $443 million Shares Outstanding: 15.4 million Avg. Daily Volume: 36k Forward P/E: 12.8 Price/Book (mrq): 1.92 Source: Bloomberg
Slide 4: Company Footprint
Company Footprint 52 Branches 4 Mortgage Banking Centers 7 Commercial Banking Centers 3 Investment Management Centers New Bedford Commercial Expansion Boston
Slide 5: Strong Regional Community Bank
Strong Regional Community Bank Established Regional Brand in a Growth Market with Increasingly Unique Market Position Consistent Long-term Profitability Superb Asset Quality and Significant Reserve Coverage Strong Net Interest Margin Well Balanced Traditional Banking Balance Sheet Working Together t
Slide 6: Growth Market - Infrastructure
Growth Market - Infrastructure Existing Under Construction Proposed Rt. 44 Expansion
Slide 7: Attractive Demographics
Attractive Demographics Source: Woods & Poole Economics, Inc. US 49747 MA 63171 Plymouth County 69018 Barnstable County 56246 US 0.0491 MA 0.0205 Plymouth County 0.0544 Barnstable County 0.0631 Source: SNL Financial
Slide 8: Consumer Household Growth
Consumer Household Growth 2004 includes 2,296 Households from Falmouth Bancorp acquisition . Consumer households with a checking account relationship only. 7% growth 15.5% growth
Slide 9: Deposit Market Share
Deposit Market Share Independent Bank Corp. maintains the largest deposit market share in Plymouth County and a growing share in the other counties in which it operates. Source: SNL Financial; Deposit/Market Share data as of June 30, 2005 including pending transactions. (Includes Credit Unions)
Slide 10: Strong Asset Quality
Delinquency/Loans Strong Asset Quality ($ in millions) Reserve/Loans NPA's/Assets
Slide 11: Net Interest Margin (FTE)
Net Interest Margin (FTE) * Includes impact of FIN 46 prospectively. Impact of approx. 0.13% for 2004 and 0.16% for 2005.
Slide 12: Earning Asset Profile
Earning Asset Profile 2001 2005
Slide 13: Commercial Loan Diversification
Commercial Loan Diversification NAICS Subsector Distribution 4Q'05 Outstanding by NAICS Subsector
Slide 14: Strong Core Funding
Strong Core Funding 2001 2005
Slide 15: New Business Generation
Total Home Equity Loans and Lines New Business ($ in millions) New Business Generation Total Commercial Loans New Business ($ in millions) Investment Management New Business ($ in millions)
Slide 16: New Business Generation (Cont'd)
Mortgage New Business ($ in millions) New Business Generation (Cont'd) Consumer - Indirect New Business ($ in millions)
Slide 17: Financial Performance Ratios - ROA and ROE
Return On Average Assets Financial Performance Ratios Return On Average Equity
Slide 18: Financial Performance Ratios - Diluted EPS
Financial Performance Ratios Diluted Earnings Per Share ($'s) Operating Basis GAAP Basis Diluted Earnings Per Share ($'s)
Slide 19: Net Interest Income Sensitivity
k aterest Rate Net Interest Income Sensitivity (Ramped) as of 12/31/05 First 12 Months Parallel Shift +200 -1.56% -200 -0.87% INDEPENDENT. NASDAQ: INDE Slide Number: 19
Slide 20: 2006 Strategic Goals
Focus on Building Customer Relationships Continue the Transition to a Performance Based Culture Enhance and Leverage Information Infrastructure Expand into New Markets and Opportunistically Evaluate Acquisition Candidates Manage Balance Sheet and Capital with Great Discipline 2006 Strategic Goals
Slide 21: Earning Asset Change 2005-2006
Earning Asset Change 2005 2006
Slide 22: Capital Management
Capital Management * Estimates 1 Adjusted to account for tax deductibility of the goodwill associated with Fleet branch acquisition 5% Stock Buyback announced January 2006 Capital Ratios 2004 2005 2006* Tier 1 Leverage 7.06% 7.71% 7.63% Total Risk Based 11.44% 11.99% 11.67% Tangible Equity/ 5.32% 5.
Slide 23: Strong Core Funding 2005-2006
Strong Core Funding 2005 2006
Slide 24: 2006 Financial Metrics
2006 Financial Metrics* 2005 2006 Growth GAAP Diluted EPS $2.14 $2.24 5% Operating Diluted EPS $2.13 $2.24 5% Net Interest Margin (FTE) 3.88% 4.00% ? Efficiency Ratio 61% 60% ? * Estimates
Slide 25: INDB Stock Performance
INDB Stock Performance 500.00% 40.00% 00.00% 200.00% 100.0% 0.00% 10.00% NASDAQ: INDB Holding Period Ending 12/31/05 30% 283% 158% 133% 19% aay 4% 50% * | 2 wala 1 aYr 8Yr 10 Yr mINDB GNASDAQ Bank Index S&P S00 Index INDEPENDENT Bank Cort Slide Number: 25
Slide 26: Contact and Forward-Looking Statements
Investor Presentation NASDAQ Ticker: INDB www.rocklandtrust.com Denis Sheahan - CFO Shareholder Relations: Jennifer Kingston (781) 878-6100 Statements contained in this presentation that are not historical facts are "forward-looking statements" that are subject to risks and uncertainties which could
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