Capitol Federal Financial, Inc. · NASDAQ:CFFN
Capitol Federal Financial — Shareholder Meeting (January 2005)
22 slides from Capitol Federal Financial's shareholder meeting presentation, Jan 26, 2005
Slide 1: Welcome to the 2004 Annual Meeting of Capitol Federal Financial
WELCOME to the 2004 ANNUAL MEETING of CAPITOL FEDERAL FINANCIAL January 25, 2005 Topeka, KS
Slide 2: Strength, Security, Commitment to Community
Strength Security Commitment to Community True Blue for Over 100 Years WELCOME to the 2004 ANNUAL MEETING of CAPITOL FEDERAL FINANCIAL January 25, 2005 Topeka, KS
Slide 3: Board of Directors
Board of Directors B. B. Andersen John B. Dicus, President & CEO John C. Dicus, Chairman Robert B. Maupin Carl W. Quarnstrom Jeffrey R. Thompson Marilyn S. Ward
Slide 4: Capitol Federal Management
Capitol Federal Management R. Joe Aleshire, Executive Vice President Larry K. Brubaker, Executive Vice President Morris J. Huey, II, Executive Vice President Neil F. M. McKay, Executive Vice President Kent G. Townsend, Senior Vice President Mary R. Culver, Corporate Secretary James D. Wempe, VP - In
Slide 5: 2004 Annual Meeting of Capitol Federal Financial
2004 ANNUAL MEETING of CAPITOL FEDERAL FINANCIAL January 25, 2005 Topeka, KS
Slide 6: Safe Harbor Disclosure
Safe Harbor Disclosure Except for the historical information contained in this presentation, the matters discussed may be deemed to be forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, that involve risks and uncertainties, including changes in ec
Slide 7: Transactions - Fiscal Year 2004
Transactions - Fiscal Year 2004 • Entered into Interest Rate Swaps, • Issued $53.6 million of pooled Trust Preferred Securities, • Refinanced $2.4 billion of FHLB advances.
Slide 8: Interest Rate Swaps
Interest Rate Swaps • The interest rate swap is an exchange of interest payments between two parties, • In December 2003, $800 million of fixed rate advances at 6.16%, • Converted to 1 month LIBOR with an average spread of 248 basis points, • Fiscal year 2004 savings of $15.7 million.
Slide 9: Issued $56 million in Pooled Trust Preferred Securities
Issued $56 million in Pooled Trust Preferred Securities • In March 2004, CFFN issued debt securities, • The proceeds of which are for general corporate and capital purposes, including the payment of dividends, • Priced off 3 month LIBOR plus 275 basis points.
Slide 10: Refinanced FHLB Advances
Refinanced FHLB Advances • In July 2004, refinanced $2.40 billion fixed- rate advances into new fixed-rate, fixed-term advances, • Prepayment penalty of $146.6 million, after tax, • New $2.65 billion of advances were structured in a laddered portfolio with terms ranging from 6 to 72 months.
Slide 11: Refinanced FHLB Advances
Refinanced FHLB Advances • Average rate on the refinanced advances was 3.78% compared to 6.13% one year ago, • Contributed $9.7 million to 4th quarter pre-tax earnings in FY 2004.
Slide 12: Fiscal Year 2004 At September 30th
Fiscal Year 2004 At September 30th (000’s omitted) Total Assets: $8,541,036 Total Stockholders’ Equity: $832,414 Total Deposits: $4,127,472 Total Loans: $4,747,228
Slide 13: Financial Performance FY 2004
Financial Performance FY 2004 (000’s omitted) Net income (loss): ($106,275) Prepayment penalty (net of tax): $146,565 Adjusted net income: $40,290 Diluted EPS based upon Adjusted net income: .551 1 The 2004 earnings per share are not presented in accordance with GAAP, they exclude the one-time after
Slide 14: Financial Performance FY 2004
Financial Performance FY 2004 ROAA: 0.48%1 ROAE: 4.16%1 Efficiency Ratio: 52.35%1 Operating Expense Ratio: 0.86%1 Non-performing Assets to Total Assets Ratio 0.12% Capital Ratio 9.75% 1 The 2004 financial ratios are not presented in accordance with GAAP, they exclude the one-time after tax charge fo
Slide 15: Stock Highlights of 2004
Stock Highlights of 2004 High Low Stock Trading Range: $39.58 $29.27 Book Value per Share: $11.54 (as of September 30, 2004) Total Shares Outstanding 74,067,526 (as of September 30, 2004) Public Shares Outstanding: 19,983,238 (as of September 30, 2004)
Slide 16: Shareholder Value
Shareholder Value • In November 2003, the Board modified its dividend policy with the intent to pay a calendar year dividend in four equal quarterly installments, • This was done in calendar year 2004 with the payment of a $0.50 per share dividend each quarter, • Today the Board declared a $0.50 per
Slide 17: Calendar Year Dividend History
Calendar Year Dividend History $2.00 $1.50 $1.00 $0.50 $- CY 99 CY 00 CY 01 CY 02 CY 03 CY 04
Slide 18: Enhanced Dividend Policy
Enhanced Dividend Policy • CFFN will pay a special dividend in December of each year equal to 25% of reported net income in excess of the amount required to meet its current dividend policy, • If the reported net income does not exceed the amount required to meet its current dividend policy, it is o
Slide 19: 2004 Annual Meeting Questions & Answers
CAPITOL FEDERAL FINANCIAL 2004 ANNUAL MEETING QUESTIONS & ANSWERS
Slide 20: Jeffrey M. Johnson, Wichita, Kansas
Jeffrey M. Johnson Wichita, Kansas
Slide 21: Michael T. McCoy, M.D., Topeka, Kansas
Michael T. McCoy, M.D. Topeka, Kansas
Slide 22: Thank You for Attending the 2004 Annual Meeting
THANK YOU FOR ATTENDING the 2004 ANNUAL MEETING of CAPITOL FEDERAL FINANCIAL January 25, 2005 Topeka, KS
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