First Bancorp. New · NYSE:FBP
First Bancorp. New — First Bancorp — Corporate Update (April 2020)
14 slides from First Bancorp. New's corporate update, Apr 30, 2020
Slide 1: COVID-19 Pandemic Preparedness and Response: First BanCorp Investor Update
COVID-19 PandemicPreparedness and ResponseFirst BanCorpInvestor UpdateApril 2020
Slide 2: Forward Looking Statements
Forward Looking Statements 2 This presentation may contain “forward-looking statements” concerning the Corporation’s future economic, operational and financial performance. The words or phrases “expect,” “anticipate,” “intend,” “look forward,” “should,” “would,” “believes” and similar expressions ar
Slide 3: Proven Track Record of Operating under Uncertain Conditions
Proven Track Record of Operating under Uncertain Conditions. We are entering this crisis from a position of Strength 3 Operational Readiness We have continued to improve credit quality, grow core deposits and loans, improve earnings and accrete capital throughout decade long recession, devastating h
Slide 4: Operational Readiness: COVID-19 Pandemic Response
Operational Readiness COVID-19 Pandemic Response 4 Operations and Employee Considerations Market Background - Puerto Rico on lockdown since 3/16, ECR “Stay at Home” since 3/13 and Florida on “Stay at Home” since 3/26Dispersion of key operating functions (call centers, customer service, executives);
Slide 5: Fortress Balance Sheet: Capital Ratios Among the Highest in the Banking Sector
Fortress Balance SheetCapital Ratios Among the Highest in the Banking Sector 5 Capital ratios are among top 5% of banks above $10 billion in assetsCapital ratios are approximately 1,000 basis points above regulatory “Well Capitalized” ratiosFully committed to current dividends, reinstated common div
Slide 6: Fortress Balance Sheet: Dramatically Stronger Financial Profile Compared to prior Financial Crisis
Fortress Balance SheetDramatically Stronger Financial Profile Compared to prior Financial Crisis 6 Our financial metrics going into this pandemic are substantially stronger than the prior financial crisis Capital Asset Quality Higher quality Loan Portfolio when compared to prior financial crisis and
Slide 7: Fortress Balance Sheet: Strong Liquidity and Improved Funding Mix
Fortress Balance SheetStrong Liquidity and Improved Funding Mix 7 The Corporation holds a strong liquidity position with core liquidity (cash on hand and unpledged securities available for sale within one day) representing 17.5% of assets as of March 31, 2020Liquidity and deposits movement is monito
Slide 8: Fortress Balance Sheet: CECL Q1 2020 ACL to Total Loans Provides Ample Coverage
Fortress Balance SheetCECL Q1 2020 ACL to Total Loans Provides Ample Coverage 8 ALLL - Q4 2019 ($millions) Day-1 CECL ACL ($millions) CECL ACL Q1 2020 ($millions) $53.6(34%) $44.8(29%) $56.8(36%) Residential Mortgage HTM and Other Assets Commercial Consumer ALLL – Q4 2019: $155.1 million $88.7(36%)
Slide 9: Strong Credit Quality Mitigants in Place: Diversification and Improved Risk Profile
Strong Credit Quality Mitigants in PlaceDiversification and Improved Risk Profile Commercial Loan Categories > $25 million as a % of Total Commercial March 31, 2020 The diverse mix of our loan portfolio by region and industries improves our risk profile; compared to the prior financial crisis, the r
Slide 10: Strong Credit Quality Mitigants in Place: Unprecedented Short-Term Mitigants to Support the Economy
Strong Credit Quality Mitigants in PlaceUnprecedented Short-Term Mitigants to Support the Economy 10 Strong regulatory support under recently issued regulatory inter-agency guidance “encourages financial institutions to work constructively with borrowers affected by COVID 19, will not criticize inst
Slide 11: Strong Credit Quality Mitigants in Place: Leveraging Recent Experience Gained through Prior Cycles
Strong Credit Quality Mitigants in PlaceLeveraging Recent Experience Gained through Prior Cycles 11 Recent experience from 2017 natural disasters (Hurricanes Irma and Maria) has prepared us well for recent events by providing actionable insights for establishing the pandemic relief program on a time
Slide 12: Economic Impact on FirstBank's Operating Environment: Extensive Stimulus and Tax Relief Measures
Economic Impact on FirstBank’s Operating EnvironmentExtensive Stimulus and Tax Relief Measures are Expected to Offset Economic Impact 12 The pandemic has triggered the enactment of meaningful fiscal and economic stimulus at both the federal and local level geared towards containing the magnitude of
Slide 13: Banco Santander Puerto Rico Acquisition: Summary Transaction Highlights
Banco Santander Puerto Rico AcquisitionSummary Transaction Highlights 13 On October 21, 2019, the Corporation announced the cash acquisition of Banco Santander Puerto Rico (“BSPR”) for 1.175x base purchase price / core tangible common equity ($63 million premium at announcement) Creates a stronger
Slide 14: Appendix
Appendix