Valley National Bancorp · NASDAQ:VLY

Valley National Bancorp — Merger or Acquisition (August 2014)

22 slides from Valley National Bancorp's merger presentation, Aug 4, 2014

  1. Slide 1: Investor Presentation

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Investor Presentation

  2. Slide 2: Forward Looking Statements

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 2 Forward Looking Statements The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include exp

  3. Slide 3: Additional Information and Where to Find it

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 3 Additional Information and Where to Find it This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connectio

  4. Slide 4: Valley National Bancorp: Our Approach

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Valley National Bancorp • Focus on credit quality • Measured growth strategies • Never had a losing quarter • Heavily populated footprint • Strong customer service • Experienced senior and executive management •

  5. Slide 5: Valley's Franchise

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Valley’s Franchise 204 Branches New Jersey & New York NJ 72% NY 19% Loans NJ 68% NY 21% Deposits 5 16 Counties Demographic Overview (2013) NJ Core Market(1) New York City(2) Long Island U.S.A. Avg. Pop. per Sq.

  6. Slide 6: Valley's Franchise: Future Florida Franchise

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. • Business Friendly – #1 tax climate for businesses in the Southeast U.S. • Zero personal income tax • 5.5% Corporate Business Tax Rate – Pro-business Governor and legislative agenda – Competitive cost of doing

  7. Slide 7: Low Execution Risk

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Low Execution Risk • Rudy Schupp (CEO) to lead VLY’s Florida Operation • Warren Orlando (Chairman) & John Marino (President & CFO) will be prominent in leading the integration and client retention effort • Non-c

  8. Slide 8: Financially Attractive Transaction

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Financially Attractive Transaction Consideration & Structure Structure •100% common stock consideration; 0.89 / 1 exchange ratio* Transaction Value •~$312 million** Taxable / Non Taxable •Non-taxable merger tran

  9. Slide 9: Financial Highlights: Pro-Forma Impact

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Financial Highlights (1) Valley 3/31/2014 1st United 3/31/2014 Pro-Forma 3/31/2014 Assets ($ Billion) $16.3 $1.7 $18.1 Loans ($ Billion) $11.7 $1.2 $12.9 Covered Loans ($ Billion) $0.1 $0.2 $0.3 Deposits ($ Bill

  10. Slide 10: Valley's 2Q 2014 Highlights

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. $198.4 $194.2 $124.9 $114.6 $96.9 $50 $100 $150 $200 Jun-13 Sep-13 Dec-13 Mar-14 Jun-14 Th ou sa nd s Valley’s 2Q 2014 Highlights 2Q Highlights Year to Date Loan Growth* • 2Q 2014 net income of $29.5 million or

  11. Slide 11: Funding Base – Scheduled Maturities

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Valley National Bancorp Funding Base – Scheduled Maturities (thousands) 2015 2016 2017 Certificate of Deposits $261,909 $134,555 $243,511 Borrowings 400,000 326,979 805,000 Derivatives* 100,000 200,000 100,000 T

  12. Slide 12: Pro-Forma Impact: Loan Composition

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Pro-Forma Impact Loan Composition Commercial Real Estate 43% 1-4 Family 21% Commercial & Industrial 18% Auto 9% Other Consumer 6% Construction 3% Valley Commercial Real Estate 62% 1-4 Family 11% Commercial & Ind

  13. Slide 13: Asset & Loan Composition

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Valley National Bancorp Asset & Loan Composition Non-Covered Loans 72% Securities 16% Covered Loans <1% <2> Cash 2% Intangible Assets 3% Other Assets <1> 7% Commercial Real Estate 43.5% Residential Mortgages 21%

  14. Slide 14: Asset Quality

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Asset Quality 2003 – 2014 Average Net Charge-offs 0.08% 0.60% 0.23% 0.05% 0.04% 0.47% 0.23% 0.32% 0.77% 1.67% 0.40% 0.43% 1.41% 0.62% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% CRE C&I C&D Residential Home Equity Consu

  15. Slide 15: Commercial Real Estate Diversified Portfolio

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Total Commercial Real Estate - $5.1 Billion (Includes both Covered and Non-Covered Loans) Primary Property Type $ Amount (Millions) % of Total Avg LTV 2010 Avg LTV Apartments 1,391 27% 31% 51% Retail 1,108 22% 5

  16. Slide 16: Retail Composition: Commercial Real Estate

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Total Retail Property Types - $1.1 Billion 25% 22% 22% 10% 8% 4% 4% 3% 2% Retail Property Type % of Total Avg LTV 2010 Avg LTV Multi-Tenanted - Anchor 25% 53% 49% Multi-Tenanted – No Anchor 22% 54% 55% Single Te

  17. Slide 17: Construction Loan Composition

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 32% 23% 13% 12% 8% 8% 2% 2% Primary Property Type $ Amount (Millions) % of Total 2010 % of Total Residential 126 32% 47% Apartments 89 23% 4% Retail 52 13% 9% Land Loans 45 12% 13% Mixed Use 32 8% 13% Other 33 8

  18. Slide 18: Pro-Forma Impact: Deposit Composition

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Pro-Forma Impact Deposit Composition Non-Interest Bearing Deposits 31% Interest Bearing Deposits 50% Time Deposits 19% Valley Non-Interest Bearing Deposits 38% Interest Bearing Deposits 42% Time Deposits 20% 1st

  19. Slide 19: Shareholder Returns

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Shareholder Returns (1) All per share amounts have been adjusted retroactively for stock splits and stock dividends during the periods presented. Data for the years prior to 2001 in the table above exclude certa

  20. Slide 20: For More Information

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. For More Information Log onto our web site: www.valleynationalbank.com E-mail requests to: tscortes@valleynationalbank.com Call Shareholder Relations at: (973) 305-3380 Write to: Valley National Bank 1455 Valley

  21. Slide 21: Non-GAAP Disclosure Reconciliations

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. Non-GAAP Disclosure Reconciliations 21 3/31/2014 ($ in Thousands) VLY 3/31/2014 FUBC 3/31/2014 Pro-Forma* 3/31/2014 Total Assets $16,344,464 $1,738,395 $18,128,539 Less: Goodwill & Other Intangible Assets (462,4

  22. Slide 22: Opportunity Lender. All Rights Reserved.

    © 2014 Valley National Bank. Member FDIC. Equal Opportunity Lender. All Rights Reserved. 22

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