Western New England Bancorp, Inc. · NASDAQ:WNEB
Western New England Bancorp — Westfield Financial — Sterne Agee Financial Services Symposium 2010
26 slides from Western New England Bancorp's conference presentation, Feb 9, 2010
Slide 1: Investor Handouts
Investor Handouts Sterne Agee Financial Services Symposium February 9 & 10, 2010
Slide 2: Forward-Looking Statements
FORWARD - LOOKING STATEMENTS Today’s presentation may contain “forward-looking statements” which may be identified by the use of such words as “believe,” “expect,” “anticipate,” “should,” “planned,” “estimated,” and “potential.” Examples of forward-looking statements include, but are not limited to,
Slide 3: Overview
Overview Headquartered in Westfield, MA 11 branch offices located throughout Hampden County Strategic Focus is Commercial & Industrial Relationships Did not participate in TARP
Slide 4: Commercial and Industrial Relationships
Commercial and Industrial Relationships (C & I) Non-Real Estate Owner-Occupied Commercial Real Estate WB has developed the capital, expertise, culture, & reputation to support business development. Westfield Bank has not conducted any subprime lending programs Strategic Focus
Slide 5: 2009 Financial Highlights
2009 Financial Highlights Very well capitalized. Stockholders’ equity/total asset ratio of 20.76% Net income of $5.5 million, or $0.18 diluted EPS for 2009 Deposits increased by $60 million, or 10% Commercial real estate loan growth of $5.2 million, or 2.3%
Slide 6: 2009 Financial Highlights
2009 Financial Highlights Slight Margin Compression: 3.04% in 2009 compared to 3.23% in 2008 Nonperforming loans/total loans of 1.15% Allowance loan loss/total loans of 1.60%
Slide 7: Capital Management
Capital Management Possible uses of capital: Repurchase shares of our common stock Pay dividends to shareholders Fund organic growth or leverage the balance sheet Finance acquisitions of other financial institutions or other businesses related to banking
Slide 8: Stock Repurchase Plan
Stock Repurchase Plan On January 22, 2008 the Board of Directors approved a repurchase plan to buy back 3.2 million shares or 10% As of December 31, 2009 Westfield Financial had repurchases of 2.6 million shares
Slide 9: Dividends Paid to Shareholders
Dividends Paid to Shareholders 2009 Regular Dividends $ 0.20 Special Dividends 0.30 Calendar Year 2009 $ 0.50 2008 Regular Dividends $ 0.20 Special Dividends 0.40 Calendar Year 2008 $ 0.60
Slide 10: Total Assets
Total Assets 1,039 1,109 1,191 $700 $800 $900 $1,000 $1,100 $1,200 $1,300 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 11: Stockholders’ Equity / Total Assets
Stockholders’ Equity / Total Assets The decrease in equity was primarily due to the stock repurchase program, along with regular and special dividends 14.83 14.39 29.03 27.56 23.44 20.76 0.00 10.00 20.00 30.00 40.00 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 12: Total Loan Portfolio
Total Loan Portfolio December 2009 (dollars in millions)
Slide 13: Commercial & Industrial Loans
Commercial & Industrial Loans
Slide 14: Commercial Real Estate Loans
Commercial Real Estate Loans OWNER OCCUPIED 42.5% NON-OWNER OCCUPIED 32.9% APARTMENT & MULTI FAMILY 12.5% ACCOMMODATION SERVICES 6.5% ALL OTHER REAL ESTATE 5.6% DELINQUENCIES 30 – 89: $722,066 (2 BORROWERS) NONACCRUAL: $782,417 (2 BORROWERS)
Slide 15: Nonperforming Loans
Nonperforming Loans 2.2 1.9 1.0 1.2 8.8 5.5 $0 $2 $4 $6 $8 $10 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 16: Allowance for Loan Loss
2.50 2.00 183 ® Allowance for 1.60 Joan toss as a E Q percent of total 1.50 138 5 ee 1.00 te 11s =Nonperforming | loans asa 0.69 percent of total 0.50 loans 0.00 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09
Slide 17: Securities Portfolio
Securities Portfolio December 2009 (dollars in millions)
Slide 18: Securities Portfolio
Securities Portfolio December 2009 PRIVATE LABEL MBS BOOK: $15.3 MILLION MARKET: $13.1 MILLION
Slide 19: Balance Sheet Funding
Balance Sheet Funding December 2009 (dollars in millions)
Slide 20: Total Deposits
Total Deposits In 2007 and 2008 management placed less emphasis on gather time deposits in favor of alternative funding $560 $580 $600 $620 $640 $660 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 21: Short and Long Term Borrowings
Short and Long Term Borrowings $0.00 $50.00 $100.00 $150.00 $200.00 $250.00 $300.00 $350.00 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 22: Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09
8.7 a 6.7 ; 5.5 : : [ $0.0 : : i : : Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 bc) ay — L F rs —) 1 Ph N — L
Slide 23: Diluted Earnings Per Share
Diluted Earnings Per Share 0.20 0.20 0.15 0.29 0.23 0.18 $0.00 $0.05 $0.10 $0.15 $0.20 $0.25 $0.30 $0.35 Dec - Dec - Dec - Dec - Dec - Dec -
Slide 24: Net Interest Margin
Net Interest Margin (fully taxable equivalent basis) 3.24 3.23 3.17 3.11 3.07 3.04 0.00 1.00 2.00 3.00 4.00 Sep - Dec - Mar - Jun - Sep - Dec -
Slide 25: Index Value
Index Value 200 100 123104 ats Westfield Financial, Ine. 123106 123107 Russet 2000 123108 “= NASDAG Bank 123109
Slide 26: Westfield Financial, Inc. Thank You
WESTFIELD FINANCIAL, INC Thank You
Westfield Financial — Sterne Agee Financial Services Symposium 2010 on 6ix