Customers Bancorp, Inc · NYSE:CUBI
Customers Bancorp — IPO Roadshow (June 2017)
21 slides from Customers Bancorp's IPO roadshow presentation, Jun 26, 2017
Slide 1: $75,000,000 Senior Notes Issuance Investor Presentation
$75,000,000 Senior Notes Issuance Investor PresentationJune 2017NYSE: CUBI
Slide 2: Forward-Looking Statements
This presentation, as well as other written or oral communications made from time to time by us, contains forward-looking information within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements relate to future events or future pred
Slide 3: Forward-Looking Statements
Forward-Looking Statements timely development and acceptance of new banking products and services and perceived overall value of these products and services by users, including the products and services being developed and introduced to the market by the BankMobile division of Customers Bank;changes
Slide 4: Forward-Looking Statements
Forward-Looking Statements the levels of usage of other BankMobile student customers following graduation of additional product and service offerings of BankMobile or Customers Bank, including mortgages and consumer loans, and the mix of products and services used; our ability to implement changes t
Slide 5: Offering Summary
Issuer: Customers Bancorp, Inc. Security: Senior Unsecured Notes Ticker / Exchange: CUBI / NYSE Coupon: To be determined Maturity: Five Years Total Offering Size: $75 Million Current Issuer Credit Ratings: Kroll: BBB Use of Proceeds: For general corporate purposes, primarily to downstream as capital
Slide 6: Our Goals & Objectives
Our Goals & Objectives Highly Focused, Innovative, Relationship BankingBased Commercial Bank Providing;Strong Organic Growth, Well Capitalized,Branch Lite Bank in Attractive MarketsHighly skilled teams targeting privately held businesses and high net worth familiesRobust risk management driven busin
Slide 7: Customers Business Model: Approach to Winning Model
Approach to Winning Model Relationship driven but never deviate from following critical success factorsOnly focus on very strong credit quality nichesVery strong risk management cultureOperate at lower efficiency ratio than peers to deliver sustainable strong profitability and growth Always attract
Slide 8: Banking Strategy – Community Business Banking
Very Experienced Teams Exceptional Service Risk Based Incentive Compensation Community Business Bank is Focused on the following businesses:Banking Privately Held Businesses – Commercial C&I loans are 37% of the portfolio Manufacturing, service, technology, wholesale, equipment financing, private mi
Slide 9: Our Competitive Advantage: Highly Experienced Management Team
Our Competitive Advantage: Highly Experienced Management Team
Slide 10: Organic Growth of Deposits with Controlled Costs
Results in: Organic Growth of Deposits with Controlled Costs Source: Company data. Customers’ strategies of single point of contact and recruiting known teams in target markets produce rapid deposit growth with low total cost Total Deposit Growth ($mm) Cost of Deposits Amounts presented are on a “Co
Slide 11: Deposit Composition
Source: Company data. Deposit Composition
Slide 12: Lending Strategy: High Growth with Strong Credit Quality
High Growth with Strong Credit QualityContinuous recruitment and retention of high quality teamsCentralized credit committee approval for all loansLoans are stress tested for higher rates and a slower economyInsignificant delinquencies on loans originated since new management team took overCreation
Slide 13: Build an Outstanding Loan Quality Portfolio
NPL Source: SNL Financial, Company data. Peer data consists of Northeast and Mid-Atlantic banks and thrifts with comparable size in assets and loan portfolios (excluding banks with large residential mortgage loan portfolios). Industry data includes all commercial and savings banks. Peer and Industry
Slide 14: Banking Strategy: Privately Held Business
Private & Commercial BankingTarget companies with up to $100 million annual revenuesSingle point of contactNE, NY, PA & NJ marketsSBA loans originated by small business relationship managersBanking Mortgage CompaniesPrivate banking focused on privately held mortgage companies generally with equity o
Slide 15: Multi-Family Banking Strategy
Banking High Net Worth Families Multi-Family Loan and Deposit Growth ($mm) Focus on families that have income producing real estate in their portfoliosPrivate banking approachFocus Markets: New York & Philadelphia MSAsAverage Loan Size at 3/31/2017: $6.7millionRemote banking for deposits and other r
Slide 16: Build Efficient Operations
Source: SNL Financial, Company data based on continuing operations. Peer data consists of Northeast and Mid-Atlantic banks and thrifts with comparable size in assets and loan portfolios (excluding banks with large residential mortgage loan portfolios). Industry data includes SEC reporting banks. Pee
Slide 17: Disciplined & Profitable Growth
Strategy execution has produced superior growth in revenues and earnings Source: Company dataNon-GAAP measure calculated as GAAP net income less/plus securities gains and losses (including the impairment loss recognized on the equity investment) . Amounts presented are on a Continuing Operations bas
Slide 18: BankMobile Status Update
Customers Bank acquired the Disbursements Business of Higher One, Inc. on June 15, 2016The acquired Disbursements Business was combined with Customers Bank’s existing BankMobile product line in Q2 2016Effective for the 2016 fourth quarter and year end financial reports, Customers begins reporting Ba
Slide 19: Segment Results
Comparable 2016 periods are not provided as BankMobile was not operating as a segment in the first quarter of 2016 and its operations were not material.Segment results presented above include an internal allocation from Community Business Banking to BankMobile of $4.3 million in Q1 2017 for interest
Slide 20: Pro Forma Double Leverage and Interest Coverage
Amounts presented on this page are on a continuing operations basis. Pro Forma Double Leverage and Interest Coverage
Slide 21: Contacts
Company:Robert Wahlman, CFO Tel: 610-743-8074 rwahlman@customersbank.comwww.customersbank.com Jay SidhuChairman & CEOTel: 610-301-6476 jsidhu@customersbank.comwww.customersbank.com Contacts