Southstate Bank Corporation · NYSE:SSB
Southstate Bank — SCBT Financial — SunTrust Robinson Humphrey Financial Services Unconference 2008
27 slides from Southstate Bank's conference presentation, May 21, 2008
Slide 1: SunTrust Robinson Humphrey Financial Services Unconference
SunTrust Robinson Humphrey Financial Services Unconference May 21, 2008 SCBT Financial Corporation SERVICE All day. Every day.
Slide 2: Forward-Looking Statements
2 Statements contained in this presentation, which are not historical facts, are forward-looking statements. In addition, SCBT Financial Corporation (SCBT) through its senior management or directors may from time to time make forward-looking public statements concerning matters herein. Such forward-
Slide 3: SCBT Financial Corporation
3 SCBT Financial Corporation Third largest independent commercial bank headquartered in Third largest independent commercial bank headquartered in South Carolina South Carolina Eighth largest commercial bank in South Carolina Eighth largest commercial bank in South Carolina1 Operates in 5 of the top
Slide 4: Experienced Management Team
4 Experienced Management Team Years of Name Experience Current Position Robert R. Hill, Jr. 12/18 CEO John C. Pollok 12/18 COO & CFO Joe E. Burns 7/30 CCO Richard C. Mathis 8/25 CRO John F. Windley 5/31 President SCBT Thomas S. Camp 9/32 President SCBT Piedmont SERVICE All day. Every day.
Slide 5: At A Glance
5 Closing Price as of 5-14-2008 $35.16 Book Value (3-31-2008) $21.60 Tangible Book Value (3-31-2008) $15.17 1Q’08 Y-O-Y Net Income Growth 14.5% 1Q’08 Y-O-Y EPS Growth 3.9% Price / Earnings (TTM) 15.2x Market Capitalization at 5-14-2008 ~$358MM (10,185,915 outstanding shares) Listed on the NASDAQ Glo
Slide 6: 2007 Accomplishments
6 2007 ACCOMPLISHMENTS Diluted EPS of $2.32 – Up 7.9% YOY Operating diluted EPS of $2.37 – Up 10.5% YOY (excludes $525,000 of merger cost, after tax) Margin expansion – during the last three quarters of 2007 Opened banking locations in Myrtle Beach, Charleston and Lexington markets Non-interest inco
Slide 7: 1st Qtr 2008 Accomplishments
7 1st QTR 2008 ACCOMPLISHMENTS Diluted EPS of $0.58 – Up 3.9% YOY Net income of $6.0 million – Up 14.5% YOY Asset quality remained strong with 0.09% in net charge-offs and 0.36% in NPAs to period-end loans Margin expansion – by 2 basis point YOY; experienced some margin compression in 1Q as Fed lowe
Slide 8: Branch Footprint
8 BRANCH FOOTPRINT SCBT Branch SERVICE All day. Every day.
Slide 9: Demographics: Peer Banks Assets and Population Growth
9 Demographics Assets 2007 - 2012 Rank Company Ticker State ($ Billions) Pop. Growth 1 United Community Banks, Inc . UCBI GA $8.21 13.09% 2 Pinnacle Financial Partners, Inc. PNFP TN 3.79 12.79 3 Security Bank Corporation SBKC GA 2.83 9.63 4 Green Bankshares, Inc. GRNB TN 2.95 9.05 5 SCBT Financial C
Slide 10: South Carolina Deposit Market Share
10 Deposits Market Rank Institution ($000) _ Share Branches 1 Wachovia (NC) $11,617,048 18.13% 152 2 Bank of America (NC) 7,169,929 11.19 122 3 BB&T (NC) 7,011,559 10.94 122 4 South Financial Group (SC) 5,370,231 8.38 79 5 First Citizens Bancorp (SC) 4,768,136 7.44 163 6 Synovus Financial (GA) 3,818
Slide 11: Charlotte MSA Deposit Market Share
11 Charlotte MSA Deposit Market Share SCBT Financial Corporation Deposits Market Rank Institution ($000) Share Branches 1 Wachovia (NC) $59,971,020 61.58% 84 2 Bank of America (NC) 24,959,235 25.43 56 3 BB&T (NC) 3,332,095 3.40 53 4 First Charter Bank (NC) 2,375,450 2.42 33 5 Suntrust Bank (GA) 1,24
Slide 12: Demographics – Population & Income
12 Demographics – Population & Income Projected Change in Population 2006-2011 (%) Projected Median Household Income 2011 ($) Source: SNL Financial and Keefe Bruyette & Woods Population and median household income are deposit weighted 9.4 9 6.7 0 2.5 5 7.5 10 SCBT Southeast United States $52,246 $55
Slide 13: How we measure success?
13 How we measure success ? Soundness Profitability Growth SERVICE All day. Every day.
Slide 14: Sound Balance Sheet
14 SOUND BALANCE SHEET 2005 2006 2007 1Q ‘08 Non-Performing Assets / Total Assets* 0.24% 0.24% 0.27% 0.28% Non-Performing Assets / Total Loans & OREO* 0.30% 0.30% 0.33% 0.36% Allow. Loan Losses / Total Loans* 1.30% 1.29% 1.28% 1.27% Allow. Loan Losses / Non-Performing Loans* 469% 492% 419% 396% Net
Slide 15: Net Charge-offs / Average Total Loans
15 Net Charge-offs / Average Total Loans SCBT Financial Corporation 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% 0.35% 0.40% 2004 2005 2006 1Q ‘07 2Q ‘07 3Q ‘07 4Q ‘07 1Q ‘08 SCBTFC Peers 0.16% 0.11% 0.09% 0.16% 0.15% 0.09% Source: BHC Performance Report (1Q not yet available) 0.16% 0.20% SERVICE All d
Slide 16: Consistent Profitability
16 $7,940 $10,533 $12,257 $13,834 $14,786 $14,016 $16,655 $19,805 $21,565 $2.32 $2.15 $1.93 $1.64 $1.73 $1.62 $1.44 $1.23 $0.93 $0 $3,000 $6,000 $9,000 $12,000 $15,000 $18,000 $21,000 $24,000 1999 2000 2001 2002 2003 2004 2005 2006 2007 $0.00 $0.30 $0.60 $0.90 $1.20 $1.50 $1.80 $2.10 $2.40 (in Thous
Slide 17: Fee Income By Type
17 Fee Income By Type SCBT Financial Corporation 2005 2006 2007 1Q’08 Deposit Service Fees $12,473 $13,377 $15,114 $3,805 Mortgage Banking Income 3,156 3,464 3,595 1,030 Wealth Management 1,695 2,148 2,566 696 Bankcard Services Income 2,647 3,422 4,136 1,156 Other * 1,577 1,390 1,950 818 Total Non-i
Slide 18: Year Over Year EPS Growth Comparisons
18 YEAR OVER YEAR EPS GROWTH COMPARISONS -70% -60% -50% -40% -30% -20% -10% 0% 10% 20% 3Q 06 4Q 06 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 Super Regional Banks Regional Banks Small Cap Banks SCBT Financial Corporation Thrifts Source: FTN Midwest Securities Corp. SERVICE All day. Every day.
Slide 19: Checking Account Growth
19 Checking Account Growth 2.5 2.9 3.4 10.8 13.5 14.2 15.5 3.5 0 5 10 15 20 25 2004 2005 2006 2007 Number of New Checking Accounts (000’s) Consumer Business 12.6% CAGR SCBT Financial Corporation SERVICE All day. Every day.
Slide 20: Quality Growth – Total Assets
20 QUALITY GROWTH – TOTAL ASSETS $970 $1,025 $1,145 $1,198 $1,439 $1,926 $2,178 $2,597 $2,678 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 (in Millions) 2000 2001 2002 2003 2004 2005 2006 2007 1Q ‘08 15.1% 7 yr CAGR (2000-2007) SERVICE All day. Every day.
Slide 21: Loan Portfolio
21 LOAN PORTFOLIO % of * % of % of 1Q’08 Portfolio 4Q’07 Portfolio 1Q’07 Portfolio Commercial Real Estate : Commercial owner-occupied 276,067 12.9% 282,915 13.6% 177,257 9.9% Commercial non owner-occupied 249,352 11.6% 214,531 10.3% 208,979 11.7% Commercial construction 124,830 5.8% 132,818 6.4% 77,
Slide 22: Growth – Total Deposits
22 GROWTH - Total Deposits $758 $812 $898 $946 $1,174 $1,473 $1,707 $1,928 $2,016 $0 $300 $600 $900 $1,200 $1,500 $1,800 $2,100 (in Millions) 2000 2001 2002 2003 2004 2005 2006 2007 1Q ‘08 14.3% 7 YR CAGR (2000 – 2007) SERVICE All day. Every day.
Slide 23: Growth – Core Deposits
23 GROWTH – Core Deposits $638 $692 $749 $812 $1,012 $1,204 $1,335 $1,501 $1,534 $0 $300 $600 $900 $1,200 $1,500 $1,800 (in Millions) 2000 2001 2002 2003 2004 2005 2006 2007 1Q ‘08 13.0% 7 YR CAGR (2000 – 2007) SERVICE All day. Every day.
Slide 24: Operating Efficiency
24 OPERATING EFFICIENCY 41 45 50 50 65.33% 64.01% 65.66% 62.95% 30 35 40 45 50 55 60 2005 2006 2007 1Q ‘08 30.00% 40.00% 50.00% 60.00% 70.00% Number of Branches Efficiency Ratio SERVICE All day. Every day.
Slide 25: Market Capitalization
25 Market Capitalization $80,105,617 $120,586,067 $169,358,265 $217,693,785 $260,122,042 $284,589,548 $363,849,963 $321,780,881 $358,000,000 $0 $50,000,000 $100,000,000 $150,000,000 $200,000,000 $250,000,000 $300,000,000 $350,000,000 $400,000,000 2000 2001 2002 2003 2004 2005 2006 2007 1Q ‘08 SERVIC
Slide 26: Analyst Recommendations
26 Analyst Recommendations Analyst Apr. 2008 Recommendation SunTrust Robinson Humphrey BUY FTN Midwest Securities Corp. NEUTRAL FIG Partners OUTPERFORM Keefe Bruyette & Woods MARKET PERFORM Sandler, O’Neill + Partners HOLD SERVICE All day. Every day.
Slide 27: Investor Contacts
27 INVESTOR CONTACTS Robert R. Hill, Jr. Chief Executive Officer Richard C. Mathis Executive Vice President and Chief Risk Officer John C. Pollok Senior Executive Vice President and Chief Operating Officer and Chief Financial Officer SCBT Financial Corporation 520 Gervais Street Columbia, South Caro
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