Dime Community Bancshares, Inc. · NYSE:DCOM
Dime Community Bancshares — Barclays 2010 Global Financial Services Conference
24 slides from Dime Community Bancshares's conference presentation, Sep 13, 2010
Slide 1: Barclays 2010 Global Financial Services Conference Investor Presentation
[E Community Bancshares, Inc. BARCLAYS 2010 GLOBAL FINANCIAL SERVICES CONFERENCE INVESTOR PRESENTATION SEPTEMBER 13-14, 2010 res, Inc. Nas
Slide 2: Forward Looking Statement
Forward Looking Statement Certain statements contained inthis presentation that are net statements of historical fact contitute fonvardooking statement within the meaning of the Private Seourties Litigation Reform Act of 1096 (he "Aet), nobuthstanding that such statements are not=peotically Wentfed
Slide 3: Who We Are
Who We Are + Dime Savings Bank founded 1864 as a mutual savings bank in Williamsburg, Brooklyn * Converted to Public Ownership in June 1996 * Community retail bank model with an emphasis on multifamily residential lending « Help to grow to current size through 2 thrift acquisitions: “> Pioneer Savin
Slide 4: Experienced Operators
Experienced Operators The Management Team includes officers with many years of experience in commercial real estate and multifamily lending through numerous credit cycles in the New York market, including: + Vincent Palagiano, Chairman/CEO, 39 years with Dime + Michael Devine, President/COO, 38 year
Slide 5: Insider Ownership
Insider Ownership* The Executive Officers and Directors, and employees, have a significant ownership stake in the performance of the Company. Vincent F. Palagiano - Chairman of the Board & CEO 992,104" 2.9% Michael P. Devine - President and Chief Operating Officer 656,542" 1.9% Kenneth J. Mahon - Fi
Slide 6: Prudent Branch Expansion
Prudent Branch Expansion Two De novo branches set G to open in 2010, are / Yomi strategically located and er ¥ deepen the Dime footprint. = ca: ee a Opened in June 2010 | | somtimes 24 Branch locations as of June 30, 2010
Slide 7: Balance Sheet Review
Balance Sheet Review As of or for the Three Months Ended June 30, 2010 2009 change Total Assets $4,148,295 $3,974,399 $ 173,896 44% increase Total Loans 3,465,734 3,245,962 $219,772 6 8%increase Total Deposits 2,439,815 2,293,109 $146,706 6 4%increase Consolidated Tangible Equity 264,127 235,252 $28
Slide 8: Balance Sheet Composition
Balance Sheet Composition Loans comprise 85% of assets; 142% Loan to Deposit Ratio Assets can shortterm Al Other Investments Invedments! bo Ea MES EP ‘wCash/short term Investments 5% wwestmentsMBS 6% Loans 84% QA Other 5% Dime Community Bancshares, In Liabilities and Equity otter Eauty cy Note: as o
Slide 9: Financial Performance Review
Financial Performance Review Three Months Ended June 30, 2010 Core Earnings Per Share $0.31 Net Interest Margin 3.35% Core Return on Average Tangible Equity 15.9% Core Return on Average Assets 0.99% Efficiency ratio 43.9% a 8 WON > Dime Community Bancshares, inc.
Slide 10: 2009 P&L Line Items
2009 P&L Line Items 2009 REPORTED EPS = $ .79 1. OTTI credit charges of $7.9 million (13 cents per share) 2. Loan credit costs of $16.5 million (27 cents per share) 3. FDIC Assessment cost of $5.5 million (9 cents per share) (of which 3 cents was a one-time special assessment) EPS after adjustments
Slide 11: New York City
New York City Types of Housing* Mitchell. 1to 4 Family Renter- Lama 21% Occupied 2% 67% Condo, 2% * Housing stock equals 3,325,902 units. ine. DI Sourve: 2005 New York City Housing and Vacancy Siney, U.S. Cones Bureau, www oenais.cou Dime Community Bancshare. "1
Slide 12: Loan Portfolio Composition
Loan Portfolio Composition At June 30, 2010 Construction Traditional % ‘to 4 Family 3% Dime Community Bancshares, Inc. 12
Slide 13: Real Estate Loan Portfolio Composition
Real Estate Loan Portfolio Composition Tradtional 1to 4 Fanily /COOP Unit [Primary Residence sgazc6 poo] 51% NI 38% ui amity Residential, igea77o p00] aes rd 04% Mutifanily’ Moved Use Portfotio [MuliEamiy (Commercial Reni <60%5 eearepo0] ea 48 244% Mixed Use (Commerial Rents > 609% 35270100 | 65% 48
Slide 14: Loan Originations
Loan Originations EE Total Originations —e=Average Loan Origination Rate Average 5-Year Treasury Rate 31,2000 7.00% $1,086.7 1,000.0 6.00% 5.00% 3800.0 4.00% 36000 3.00% $400.0 2.00% $2000 00g 00 0.00% 2007 2008 § in mitions 2009 2010 YTD Dime Community Bancshares, inc. 14
Slide 15: Repricing Loans
Repricing Loans $n millions 26% of the Loan Portfolio reprices within the next 24 months $4,375 @m Annual Repricings $3,500 — Cumulative Repricings $2,625 $1,750 $875 $96.4 $137.8 $228.7 $0 Pe 6.21% 2010 2011-2012, 2013-2014 2015 «2016-2017 Beyond $in millions 2ule Dime Community Bancshare. 15
Slide 16: Loan-to-Value Ratios on New Loans
Loan-to-Value Ratios on New Loans Loan policy permits LTVs to 80%; however, weighted average consistently below 70% 100% 80% 60% 40% 20% 0% 2006 2007 2008 2009 2010YTD. Dime Community Bancshares, Inc. 16
Slide 17: Low Level of Non-Performing Assets
Low Level of Non-Performing Assets Dime is an industry leader in loan quality, with a low level of non-performing assets... Non-performing assets as % of Assets 5.00% mDCOM 4.36% Industry Median industry Average 4.00% sof 1 2010 2.73% 3.00% 0.474 June 2.00% 1.00% 0.00% Mar-2010 Dime Community Bancsh
Slide 18: Charge-off Experience
Charge-off Experience Loan Charge-offs by Location & Portfolio Portfolio Year New York New Jerse Total FannieMAE = 2008 § 4,294,298 § 4294204 2009 10,274,617 10.274 617 2010 4.001 B01 (858,279) 3.133 522 Total Fannie Mae $4po1 Bot § 13,700,632 § 17 702,433 84% Grand Total $ 6 A30,755 $14,595,046 $ 2
Slide 19: Funding Liabilities
Funding Liabilities June 30, 2009 Trust Preferred Deposits mBorowings 1 Trust Preferreds / Subordinated Notes| Dime Community Bancshares, Inc. June 30, 2010 Trust refered ae Deposits mBorrowings Trust Preferreds 19
Slide 20: Maturing Borrowings
Maturing Borrowings June 30, 2010 - Total Borrowings = $1.22 Weighted Average Duration = 3.3 years nt $in thousands $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $0 240 2 2012 2013 2014 Bonds * Excludes $68.5 milion 7% tust preferred borrowing that matures in 2084, 20
Slide 21: Maturing CD's
Maturing CD’s CD Maturities by Quarter 2009 ys 2010 500 02009 m9 2010 400 i 300 4 Ls086: 171% 5 200 1.740% £ 1.7896 “ im | a! eee Weighted Average Duration of CD’s = 15.9 Months at June 30, 2010 Weighted Average Duration of CD’s = 10.6 Months at June 30, 2009 Dime Community Bancshares, inc. 21
Slide 22: Focus on Profitable Deposits
Focus on Profitable Deposits June 30, 2009 June 30, 2010 Total Deposits = $2.29 billion Total Deposits = $2.44 billion Prime Dime Other Prime 3% Checking Dime Community Bancshares, Inc. 22
Slide 23: Dime's Deposit Share
DIME’S DEPOSIT SHARE 9 9 $854,900 251% $34,113,822 13 8 $816,800 1.98% $ 41,339,284 16 5 $552,692 102% $64,303,097 18 1 $68,717 067% — $10,250,729 Data as of June 30, 2009 Source: FDIC Dime Community Bancshares, Inc. 23
Slide 24: Turnover Rate for NYC Commercial Real Estate
TURNOVER RATE for NYC Commercial Real Estate The turnaver rate for buildings—the ratio of the number of buildings sold compared to the existing stack of buildings—hit a 25-year low of 0.87% in 2009. During the previcus two recessions, the turnover rate fell only as far as 1.6%. Over the last 25 year
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