First Bancorp. New · NYSE:FBP
First Bancorp. New — First Bancorp — Investor Presentation (June 2013)
16 slides from First Bancorp. New's investor presentation, Jun 3, 2013
Slide 1: Investor Presentation
Exhibit 99.1 Investor Presentation June 2013
Slide 2: Disclaimer
Disclaimer This presentation contains “forward-looking statements” concerning First BanCorp’s (the “Corporation”) future economic performance. The words or phrases “would be,” “will allow,” “intends to,” “will likely result,” “are expected to,” “expect,” “anticipate,” “look forward,” “should,” “beli
Slide 3: Franchise Overview
Franchise Overview Well diversified with significant competitive strengths Founded in 1948 (65 years) Headquartered in San Juan, Puerto Rico with operations in PR, Eastern Caribbean (Virgin Islands) and Florida A well diversified operation with over 650,000 retail & commercial customers 2nd largest
Slide 4: Core Franchise is Strong
Core Franchise is Strong Effectively executing Strategic Plan Improving risk profile; focusing on reducing NPAs th • NPAs decreased for the 12 consecutive quarter • NPAs down 18% year over year Balance Sheet • Completed a bulk sale of adversely classified loans and OREO properties with a book value
Slide 5: Franchise Overview
Franchise Overview Unique challenger to Puerto Rico’s largest player ($ in millions) Puerto Rico Total Assets¹ Puerto Rico Total Loans¹ Puerto Rico Deposits, Net of Brokered¹ Strong and uniquely positioned market Puerto Rico ECR Florida franchise in densely populated operating Banking Branches 47 14
Slide 6: Building Franchise Value
Building Franchise Value Targeted strategies for growth Puerto Rico MarketShareinMainMarket¹ Opportunities for ongoing market share gains on selected products based on fair share of market Dec-09 Mar-13 Rank – Largest opportunity on deposit products, electronic 18% Assets 15% 85% 2 banking & transac
Slide 7: Focus on Strategic Plan
Focus on Strategic Plan Rebuild earnings and de-risk Balance Sheet ($ in millions, except per share results) Income Statement 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 Net interest income, excluding valuations $ 101.6 $ 108.2 $ 125.3 $ 125.2 $ 124.1 Valuations 0.3 0.5 0.2 0.4 0.4 GAAP Net Interest Inc
Slide 8: Building Franchise Value
Building Franchise Value Successful deposits growth over recent years ($ in millions) Deposits, Net of Brokered CDs Total Deposit Composition $6,490 $6,622 $7,500 $6,176 Brokered CDs $5,800 34% $5,108 529 515 $6,000 481 470 448 2,077 2,122 Interest 2,126 $4,500 2,090 Bearing 1,505 1,108 1,161 57% 76
Slide 9: Well Diversified Loan Portfolio
Well Diversified Loan Portfolio Strong Origination Capabilities ($ in millions) Asset Composition Loan Portfolio Loans Held for Sale Commercial Construction Consumer & Finance Leases Residential Mortgage Continued focus on NPL reduction strategies while selectively Loan Originations replacing with p
Slide 10: Improving Risk Profile
Improving Risk Profile Proactively Managing Asset Quality ($ in millions) Non-performing Assets Net Charge-offs Loans Held for Sale Repossessed Assets & Other 1,790 NPLs Held for Investment $1,800 1,701 1,669 1,562 1,410 1,390 1,377 1,337 1,332 1,251 1,259 1,238 1,087 981 1,639 683 $- Q1 Q2 Q3 Q4 Q1
Slide 11: Capital Position and Asset Quality
Capital Position and Asset Quality Core Franchise is Strong Assetquality remainsour number one focus,while preservingandgrowingcapital. With quarterly pre-provision pre-tax income at approximately $50 million we will continue to grow our capital base while working out legacy credit issues. Not refle
Slide 12: Investment Opportunity
Investment Opportunity Core Franchise is Strong Strong capital position: – Total capital, Tier 1 capital and Leverage ratios of the Corporation of 16.9%, 15.6% and 11.6%, respectively pro forma for the write-down of the securities pledged to Lehman. $366million DeferredTaxAssetValuationAllowance. Fo
Slide 13: Exhibits
Exhibits Investor Presentation June 2013
Slide 14: Stock Profile
Stock Profile 5% or more Beneficial Ownership Trading Symbol: • FBP Percent of Beneficial Owner Amount Exchange: • NYSE Class Entities affiliated with Thomas H. Lee 50,684,485 24.59% Partners, L.P. SharePrice(5/30/13): • $6.05 Entities affiliated with Oaktree Capital 50,684,485 24.59% Management, L.
Slide 15: Non-performing Assets
Non-performing Assets ($ in millions) Year-over-Year Mar 2013 Dec 2012 Sep 2012 Jun 2012 Mar 2012 Change Non-performing loans held for investment: Residential mortgage $ 311.5 $ 313.6 $ 320.9 $ 333.0 $ 341.2 -8.7% Commercial mortgage 136.7 214.8 231.2 239.9 244.4 -44.1% Commercial & Industrial 141.0
Slide 16: Adjusted Pre-tax, Pre-provision Income Reconciliation
Adjusted Pre-tax, Pre-provision Income Reconciliation ($ in thousands) Quarter Ended 1Q 2013 4Q 2012 3Q 2012 2Q 2012 1Q 2012 Loss before income taxes $ (71,011) $ 16,028 $ 19,834 $ 10,901 $ (11,049) Add: Provision for loan and lease losses 111,123 30,466 28,952 24,884 36,197 Add: Net loss on investm