Flagstar Bank, N.a. · NYSE:FLG
Flagstar Bank, N.a — New York Community Bancorp — Q1 2011 Earnings Presentation
39 slides from Flagstar Bank, N.a's earnings presentation, May 3, 2011
Slide 1: First Quarter 2011 Investor Presentation
First Quarter 2011 Investor Presentation * * * * * * * Exhibit 99.1
Slide 2: Forward-looking Statements and Associated Risk Factors
New York Community Bancorp, Inc. Page 2 Forward-looking Statements and Associated Risk Factors This presentation, like many written and oral communications presented by New York Community Bancorp, Inc. and our authorized officers, may contain certain forward-looking statements regarding our prospect
Slide 3: New York Community Bancorp ranks among the top bank holding companies in the United States
New York Community Bancorp, Inc. Page 3 New York Community Bancorp ranks among the top 25 bank holding companies in the United States. Note: Except as otherwise indicated, all industry data was provided by SNL Financial as of 4/28/11.
Slide 4: Largely reflecting our acquisition strategy, we currently have 276 locations in five states
New York Community Bancorp, Inc. Page 4 Largely reflecting our acquisition strategy, we currently have 276 locations in five states. Metro New York 157 Branches Ohio 28 Branches New Jersey 52 Branches Florida 25 Branches Arizona 14 Branches
Slide 5: We have a meaningful share of deposits in several of the markets we serve
New York Community Bancorp, Inc. Page 5 We have a meaningful share of deposits in several of the markets we serve.
Slide 6: 1st Quarter 2011 Performance Highlights
1st Quarter 2011 Performance Highlights * * * * * * * * ****************
Slide 7: Our 1Q 2011 performance reflected solid earnings
New York Community Bancorp, Inc. Page 7 Our 1Q 2011 performance reflected solid earnings. (a) Please see page 36 for a reconciliation of our GAAP and operating earnings. (b) Please see page 39 for a reconciliation of our GAAP and non-GAAP capital measures. (c) Please see page 36 for a reconciliation
Slide 8: We also continued to strengthen our balance sheet
New York Community Bancorp, Inc. Page 8 We also continued to strengthen our balance sheet.
Slide 9: Our asset quality measures continue to compare favorably with those of our industry
New York Community Bancorp, Inc. Page 9 Our asset quality measures continue to compare favorably with those of our industry as a whole . (a) Non-performing loans are defined as non-accrual loans and loans 90 days or more past due but still accruing interest. (b) Non-annualized
Slide 10: Growth has been supported by our earnings
New York Community Bancorp, Inc. Page 10 Growth has been supported by our earnings. (a) Please see page 38 for a reconciliation of our GAAP and non-GAAP capital measures. Our dividend has been a significant component of our total return to shareholders since our first year of public life. In April 2
Slide 11: A Successful Business Model
A Successful Business Model * * * * * * * * ********* *******
Slide 12: Our business model has consistently focused on building value while building the Company
New York Community Bancorp, Inc. Page 12 Our business model has consistently focused on building value while building the Company. (a) Please see page 36 for a reconciliation of our GAAP and operating efficiency ratios.
Slide 13: Growth through Acquisitions
Growth through Acquisitions * * * * * * * * ********* *******
Slide 14: We have completed acquisitions since 2000
New York Community Bancorp, Inc. Page 14 We have completed 10 acquisitions since 2000. Note: The number of branches indicated reflects the number of branches in our current franchise that stemmed from each transaction. Transaction Type: Savings Bank Commercial Bank Branch FDIC
Slide 15: Our deposit growth has been largely acquisition-driven
New York Community Bancorp, Inc. Page 15 Our deposit growth has been largely acquisition- driven.
Slide 16: Acquisitions have provided much of the funding for the organic growth of our loan portfolio
New York Community Bancorp, Inc. Page 16 Acquisitions have provided much of the funding for the organic growth of our loan portfolio. (a) Originations of loans held for sale totaled $888.5 million in 2009, $10.8 billion in 2010, and $1.5 billion in 1Q 2011.
Slide 17: We have capitalized on opportunities for revenue growth stemming from our acquisitions
New York Community Bancorp, Inc. Page 17 We have capitalized on opportunities for revenue growth stemming from our acquisitions. HAVN RCBK LICB We enhanced our revenue stream by selling third-party investment products (insurance, mutual funds, and annuities) through CFS Investments , generating reve
Slide 18: Mortgage banking statistics
Statistics at or for 3/31/1 + 4-4 family mortgage loans funded in 1 2011 = $1.5 billion % sold to GSEs = 100% + Average FICO = 766 + Average loan-to-value ratio = 67.0% + Rank among U.S. residential loan aggregators = #13 + 12011 mortgage banking income from originations = $15.8 million + Loan produ
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Slide 20: We have been a leading producer of multi-family loans on apartment buildings in New York City
New York Community Bancorp, Inc. Page 20 For more than 40 years, we have been a leading producer of multi-family loans on apartment buildings in New York City, most of which feature below-market rents.
Slide 21: Our focus on multi-family lending on rent-regulated buildings distinguishes us from peers
New York Community Bancorp, Inc. Page 21 Our focus on multi-family lending on rent-regulated buildings has enabled us to distinguish ourselves from our industry peers. 64.0% of the rental housing units in New York City are subject to rent regulation and therefore feature below-market rents. (a) Rent
Slide 22: Multi-family Loan Portfolio
New York Community Bancorp, Inc. Page 22 Multi-family Loan Portfolio Multi-family loans have grown at a CAGR of 25.2% since 12/31/99. (in millions)
Slide 23: Commercial Real Estate Loan Portfolio
New York Community Bancorp, Inc. Page 23 Commercial Real Estate Loan Portfolio Our commercial real estate loans feature the same structure as our multi-family loans. (in millions)
Slide 24: Asset Quality
Asset Quality * * * * * * * * ****************
Slide 25: We have been distinguished by our low level of net charge-offs
New York Community Bancorp, Inc. Page 25 Both historically and currently, we have been distinguished by our low level of net charge-offs. Net Charge-Offs / Average Loans (a) (a) (a) Non-annualized
Slide 26: The quality of our loan portfolio continues to exceed that of our industry
New York Community Bancorp, Inc. Page 26 The quality of our loan portfolio continues to exceed that of our industry, as it has in the past. Non-Performing Loans (a) / Total Loans (a) Non-performing loans are defined as non-accrual loans and loans 90 days or more past due but still accruing interest.
Slide 27: Few of our non-performing loans have resulted in charge-offs
New York Community Bancorp, Inc. Page 27 Historically and currently, few of our non-performing loans have resulted in charge-offs. (a) Non-performing loans are defined as non-accrual loans and loans 90 days or more past due but still accruing interest. (b) Non-performing loans exclude covered loans.
Slide 28: The quality of our assets reflects our multi-family lending niche and underwriting standards
New York Community Bancorp, Inc. Page 28 The quality of our assets reflects the nature of our multi-family lending niche and our strong underwriting standards.
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Slide 31: Our operating efficiency ratio was 39.59% in 1Q 2011
New York Community Bancorp, Inc. Page 31 Our operating efficiency ratio was 39.59% in 1Q 2011, well below the SNL U.S. Bank and Thrift Index efficiency ratio of 63.85%. (a) Please see pages 36 and 37 for a reconciliation of our GAAP and operating efficiency ratios.
Slide 32: Our efficiency is driven by several factors
New York Community Bancorp, Inc. Page 32 Our efficiency is driven by several factors. Franchise expansion has largely stemmed from mergers and acquisitions; we generally do not engage in de novo branch development. Multi-family and commercial real estate lending are both broker-driven, with the borr
Slide 33: Total Return on Investment
Total Return on Investment * * * * * * * * ********** ******
Slide 34: We are committed to building value for our investors
New York Community Bancorp, Inc. Page 34 We are committed to building value for our investors. TOTAL RETURN ON INVESTMENT (a) Bloomberg As a result of nine stock splits in a span of years, our charter shareholders have 2,700 shares of NYB stock for each 100 shares originally purchased.
Slide 35: For More Information
New York Community Bancorp, Inc. Page 35 For More Information 4/28/2011
Slide 36: Reconciliation of GAAP and Operating Earnings and Efficiency Ratios
New York Community Bancorp, Inc. Page 36 Reconciliation of GAAP and Operating Earnings and Efficiency Ratios For the Three Months Ended March 31, 2011 (dollars in thousands) GAAP Operating Total non-interest income and net interest income $361,862 $361,862 Adjustments: Gain on sales of securities --
Slide 37: Reconciliation of GAAP and Operating Efficiency Ratios
New York Community Bancorp, Inc. Page 37 Reconciliation of GAAP and Operating Efficiency Ratios The following table presents reconciliations of the Company’s GAAP and operating efficiency ratios for the years ended December 31, 2006, 2007, 2008, 2009, and 2010. For the Years Ended December 31, 2010
Slide 38: Reconciliation of GAAP and Non-GAAP Capital Measures
New York Community Bancorp, Inc. Page 38 Reconciliation of GAAP and Non-GAAP Capital Measures March 31, December 31, March 31, (dollars in thousands) 2011 2010 2010 Total stockholders’ equity $ 5,540,586 $ 5,526,220 $ 5,413,461 Less: Goodwill (2,436,159) (2,436,159) (2,436,401) Core deposit intangib
Slide 39: Reconciliation of GAAP and Non-GAAP Capital Measures
New York Community Bancorp, Inc. Page 39 Reconciliation of GAAP and Non-GAAP Capital Measures (dollars in thousands) For the Three Months Ended March 31, 2011 Average Stockholders’ Equity $ 5,511,970 Less: Average goodwill and core deposit intangibles (2,511,349) Average tangible stockholders’ equit
New York Community Bancorp — Q1 2011 Earnings Presentation on 6ix