CNB Community Bancorp Inc · OTC:CNBB
CNB Community Bancorp — Community Bancorp — Investor Presentation (March 2006)
29 slides from CNB Community Bancorp's investor presentation, Mar 30, 2006
Slide 1: Investor Presentation
INVESTOR PRESENTATION Exhibit 99.1
Slide 2: Forward Looking Information
Certain statements contained in this presentation, including, without limitation, statements containing the words “believes”, “anticipates”, “intends”, “expects”, and words of similar import, constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and
Slide 3: Key Investment Considerations
• One of the largest community banks headquartered in the high growth market of Las Vegas • Consistent, high performing institution – Five year CAGR of assets and net income of 26% and 24% respectively – Five year average ROE and ROA of 15.7% and 1.21% respectively – Year-end 2005 ROE and ROA of 11.
Slide 4: Stock Summary
Issuer: Community Bancorp NASDAQ Symbol: CBON Shares Outstanding (12/31/05): 7,374,712 Trading Range: $23.00 - $34.75 per Share Market Capitalization Range: $170 Million to $256 Million Lead Manager: Keefe, Bruyette & Woods, Inc. Co-Manager: D.A. Davidson & Co. Stock Summary 4 Commercial Real Estate
Slide 5: Company Overview
Company Overview • Community Bancorp is the bank holding company for Community Bank of Nevada serving the greater Las Vegas market with nine branches • Community Bank of Nevada, founded in 1995, is one of the largest community banks headquartered in the greater Las Vegas area • Profitable every year
Slide 6: Branch Locations & Market Area
Branch Locations & Market Area • Nine full service offices located throughout the greater Las Vegas Area • One of the largest community banks in the greater Las Vegas Area • Between 2001 and 2005 Clark County’s population grew by approximately 5% per year compared to the national average of 1.2%* •
Slide 7: Deposit Market Share
Deposit Market Share Source: SNL Securities at 6/30/05 (includes Bank of Commerce deposits) One of the largest community banks based in Las Vegas 7
Slide 8: Growth Strategies
• Continue as a public company • To capitalize on growth opportunities in Las Vegas and other rapidly expanding markets – Acquire other community banks in markets that offer regional continuity, such as the greater Las Vegas area or similar high-growth markets in Arizona and California – Planning th
Slide 9: Growth Strategies - Continued
Growth Strategies - Continued SBA Financed Property • Expand our commercial lending portfolio • Increase our SBA production from each of our three loan production offices in Las Vegas, Phoenix and San Diego • Continue to grow our commercial real estate lending and real estate lending. 9
Slide 10: Operating Strategies
Operating Strategies Commercial Real Estate Funded Property • Enhance our risk management function – Proactively manage sound procedures – Commit experienced human resources to this effort. In Q305 an experienced former bank regulator joined the management team to oversee this commitment to internal
Slide 11: Operating Strategies - Continued
Operating Strategies- Continued • Expand commercial and industrial, as well as small business relationships • Diversify our revenue source – Increase number of products being sold to each of our client relationships 11 Commercial Real Estate Funded Property
Slide 12: Experienced Management Team - Community Bancorp
Experienced Management Team- Community Bancorp * Community Bancorp was founded in 2002 Management Position Edward M. Jamison Lawrence K. Scott Cathy Robinson Founder and Chief Executive Officer President and Chief Operating Officer EVP and Chief Financial Officer Years of Experience 33+ 20+ 25+ Year
Slide 13: Experienced Management Team - Community Bank of Nevada
Experienced Management Team- Community Bank of Nevada * Community Bank of Nevada was founded in 1995 Management Position Edward M. Jamison Lawrence K. Scott Cathy Robinson Don F. Bigger Cassandra Eisinger Bruce Ford Tom McGrath Rich Robinson Founder and Chief Executive Officer President and Chief Op
Slide 14: Financial Performance
FINANCIAL PERFORMANCE 14
Slide 15: Strong Asset Growth
Strong Asset Growth ($000) 15 Organic Growth Acquisition Growth* * Based on fair value of assets acquired on August 26, 2005 $- $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 2001 2002 2003 2004 2005 $304,058 $400,571 $463,431 $892,708 $573,961 $722,009 CAGR = 31%
Slide 16: Loan Growth
Loan Growth ($000) 16 Organic Growth Acquisition Growth $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 2001 2002 2003 2004 2005 CAGR = 28% $247,182 $293,535 $350,082 $663,407 $403,270 $559,349
Slide 17: Loan Portfolio Matches the Marketplace
Loan Portfolio Matches the Marketplace 2001 2005 Commercial Real Estate 40% Construction 28% Commercial 22% Consumer & Other 2% Residential Real Estate 8% Construction 48% Commercial Real Estate 28% Consumer & Other 1% Residential Real Estate 4% Commercial 19% 17
Slide 18: Deposit Growth
Deposit Growth ($000) 18 Organic Growth Acquisition Growth $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 2001 2002 2003 2004 2005 CAGR = 27% $277,422 $351,584 $403,713 $476,252 $606,847 $725,088
Slide 19: Improving Deposit Mix
Improving Deposit Mix Interest Bearing Demand 3% Money Market 29% Savings 1% Time Certificates 48% Non-interest Bearing Demand 19% 2001 2005 Average balances for the year ended December 31, 2001 Cost of Deposits = 3.97% 19 Non-interest Bearing Demand 27% Interest Bearing Demand 4% Money Market 44% S
Slide 20: Improving Credit Quality
Improving Credit Quality NPAs to Loans & OREO ($000) 20 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 2001 2002 2003 2004 2005 3.29% 1.99% 1.00% 0.78% 0.14%
Slide 21: Gains in Net Income
Gains in Net Income ($000) 21 $- $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 2001 2002 2003 2004 2005 $3,157 $4,725 $5,215 $5,421 $10,065
Slide 22: Consistently Profitable ROE
Consistently Profitable ROE 22 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 20.0% 2001 2002 2003 2004 2005 14.9% 19.1% 17.8% 15.1% 11.4%
Slide 23: Balance Sheet
Bank COMMUNITY BANCORD on ay Balance Sheet tin $0005) 2005 2004 2003 2002 2001 for Loan L qquity te 14%
Slide 24: Income Statement and Financial Ratios
g 46,337 12,511 $ 30,038 6,862 § 25,449 8,708 24,119 10,737 33,826 1,085 23,176 922 16,740 1,958 13,382 1,909 provision for loan losses Non-interest income Non-interest expense 32,741 2,275 20,512 22,254 1,489 15,946 14,782 1,392 9,112 11.473 1,670 8,460 Income before income taxes Provision for inco
Slide 25: Asset Quality
Asset Quality (1) Non-performing loans are defined as loans that are past due 90 days or more plus loans placed in non-accrual status and restructured loans. (2) Non-performing assets are defined as loans that are past due 90 days or more, non-accrual loans plus other real estate owned. 25
Slide 26: EPS - Diluted
EPS - Diluted 26 $- $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 2001 2002 2003 2004 2005 CAGR = 20% $0.68 $1.01 $1.10 $1.10 $1.42
Slide 27: Summary
Summary • Strong balance sheet growth • Consistent profitability • High quality credit • Strong asset sensitive balance sheet 27
Slide 28: Investment Thesis
Investment Thesis • One of the largest community banks headquartered in the high growth market of Las Vegas • Excellent expansion opportunities in both Las Vegas and other high growth markets • Consistent, high performance institution – Five year CAGR of assets and net income of 26% and 24% respecti
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