Fidelity D & D Bancorp, Inc. · NASDAQ:FDBC
Fidelity D & D Bancorp — Shareholder Meeting (May 2013)
55 slides from Fidelity D & D Bancorp's shareholder meeting presentation, May 9, 2013
Slide 1: Exhibit 99.1
Exhibit 99.1
Slide 2: Fidelity bankstrong.com
D&D Bancorp, Inc.
Slide 3: Moving in the Same Direction… Together
170 Moving in the Same Direction… Together D&D Bancorp, Inc. During 2012, much of our efforts were spent on building internal and external relationships. The key to any successful relationships is when both parties derive a perceived benefit. The Fidelity Bankers are committed to providing superior
Slide 4: Balance Sheet Growth
Balance Sheet Growth $ in millions $576 $556 $562 $607 $602 $436 $424 $408 $403 $435 $433 $459 $482 $516 $515 2008 2009 2010 2011 2012 Assets Net Loans Deposits D&D Bancorp, Inc. Assets have increase modestly as we have restructured the balance sheet to reduce risk and volatility. Loans balances are
Slide 5: Total Deposits and Core Deposits
$ in millions $433 $459 $482 $516 $515 $260 $311 $339 $390 $398 $174 $148 $144 $125 $117 $60 $160 $260 $360 $460 $560 2008 2009 2010 2011 2012 Total Deposit Total Core Deposits Total CD's D&D Bancorp, Inc. D&D Bancorp, Inc. Total core deposits increased by $138 million. An annual core deposit growth
Slide 6: $17 Million DDA Increase in 2012
$17 Million DDA Increase in 2012 D&D Bancorp, Inc.
Slide 7: $16 Million Increase of Personal Trust Assets under management
$16 Million Increase of Personal Trust Assets under management D&D Bancorp, Inc.
Slide 8: Fidelity Asset Management
D&D Bancorp, Inc. Fidelity Asset Management: the financial services division under the leadership of Bill McAndrew generated revenue over $500,000. Bill was ranked in the top 3% of financial service representatives in the Invest system of over 500 representatives.
Slide 9: Mortgages Over $107.8 Million
600 Mortgages Over $107.8 Million D&D Bancorp, Inc. Fidelity continued its market dominance as one of the largest mortgage originators in Northeastern PA with over $107.8 million in residential mortgage loans.
Slide 10: Efficiency Ratio
Efficiency Ratio 72.98% 72.51% 65.38% 65.47% 63.40% 58.00% 60.00% 62.00% 64.00% 66.00% 68.00% 70.00% 72.00% 74.00% 2008 2009 2010 2011 2012 D&D Bancorp, Inc. Throughout the Bank, all employees have done an excellent job of controlling expenses. Our efficiency ratio is the lowest it has been in many
Slide 11: Thanks to all Fidelity Bankers
D&D Bancorp, Inc. These results would not have been possible without the hard work and efforts of all Fidelity Bankers. I want to thank them for the devotion to the bank and the work done on a daily basis.
Slide 12: Board of Directors investment in employees
D&D Bancorp, Inc. The Board of Directors have allowed us to invest in the employees to ensure that we have the necessary skills to move the business forward.
Slide 13: 2013 Annual Meeting of Shareholders Supplemental Financial Information
Fidelity D & D Bancorp, Inc. 2013 Annual Meeting of Shareholders Supplemental Financial Information Fiscal Year 2012 and First Quarter 2013 Salvatore R. DeFrancesco, Jr., CPA, CGMA Treasurer and Chief Financial Officer May 7, 2013 D&D Bancorp, Inc.
Slide 14: Forward-looking Statements
Forward - looking Statements This presentation contains forward - looking statements that describe our future plans, strategies and expectations. Forward - looki ng statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such
Slide 15: Income Statement Summary, Year-To-Date December 31, 2012
Dollars in Thousands except per share information Year-To-Date December 31, 2012 2011 Variance Net Interest Income 20,640$ 20,842$ (202)$ Provision for Loan Loss 3,250 1,800 1,450 Net Interest Income after Loan Loss 17,390 19,042 (1,652) Net Impairment (Loss) (136) (246) 110 Other Income 7,645 5,938
Slide 16: Net Interest Margin
Fidelity D & D Bancorp, Inc. 3.60% 3.71% 3.89% 3.89% 3.80% 2.50% 2.75% 3.00% 3.25% 3.50% 3.75% 4.00% 4.25% 4.50% 2008 2009 2010 2011 2012 Years Net Interest Margin UBPR Peer Group D&D Bancorp, Inc.
Slide 17: Noninterest Income
$- $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 2010 2011 2012 $1,887 $1,778 $1,787 $815 $972 $1,090 $798 $799 $1,766 $710 $721 $1,022 $328 $344 $556 $519 $348 $420 $611 $520 $629 $522 Noninterest Income Dollars in Thousands Deposit service charges Interchange fees Gain on sale of loans L
Slide 18: Noninterest Expense
$- $5,000 $10,000 $15,000 $20,000 2010 2011 2012 $9,001 $8,786 $9,104 $7,511 $7,924 $7,814 $859 $617 $505 $645 $717 $779 Noninterest Expense Dollars in Thousands Salaries and Benefits Other Operating Expense FHLB Prepament Fee FDIC Premiums Credit-related Costs D&D Bancorp, Inc.
Slide 19: Condensed Balance Sheet
Condensed Balance Sheet Dollars in Thousands December 31, December 31, YTD 2012 2011 Variance Assets Cash & cash equivalents 21,846$ 52,165$ (30,319)$ Securities 100,730 108,544 (7,814) Mortgages Held-for-Sale 10,545 4,537 6,008 Loans and Leases 433,556 406,294 27,262 Allowance for Loan Loss (8,972)
Slide 20: Income Statement Summary, First Quarter 2013
Dollars in Thousands except per share information Quarterly Year-over-year 1Q '13 1Q '12 Variance Net Interest Income 5,233$ 5,114$ 119$ Provision for Loan Loss 550 700 (150) Net Interest Income after Loan Loss 4,683 4,414 269 Net Impairment (Loss) - (105) 105 Other Income 2,033 2,056 (23) Total Oth
Slide 21: Fidelity D & D
Fidelity D & D Bancorp, Inc. D&D Bancorp, Inc.
Slide 22: Noninterest Income, 1Q
$- $500 $1,000 $1,500 $2,000 1Q '13 1Q '12 $452 $419 $272 $254 $504 $395 $234 $294 $119 $254 $155 $168 $149 $158 $148 $114 Noninterest Income Dollars in Thousands Deposit service charges Interchange fees Gain on sale of loans Loan service charges Gain on sale of securities Financial service fees Tru
Slide 23: Noninterest Expense, 1Q
$- $1,000 $2,000 $3,000 $4,000 $5,000 1Q '13 1Q '12 $2,474 $2,357 $1,962 $1,860 $236 $126 $122 $283 $138 Noninterest Expense Dollars in Thousands Salaries and Benefits Other Operating Expense FHLB Prepament Fee FDIC Premiums Credit-related Costs D&D Bancorp, Inc.
Slide 24: Condensed Balance Sheet, March 31, 2013
Condensed Balance Sheet Dollars in Thousands March 31, December 31, 1st Quarter March 31, * Unaudited 2013* 2012 Variance 2012* Assets Cash & cash equivalents 20,730$ 21,846$ (1,116)$ 65,681$ Securities 99,496 100,730 (1,234) 115,367 Loans and Leases 450,677 444,101 6,576 422,272 Allowance for Loan
Slide 25: Balance Sheet Growth
Balance Sheet Growth Fidelity D & D Bancorp, Inc. D&D Bancorp, Inc.
Slide 26: Capital Adequacy Ratios
Capital Adequacy Ratios March 31, December 31, March 31, Well 2013 2012 2012 Capitalized Total - Risk Based Capital 13.5% 13.5% 12.9% 10.0% Tier I - Risk Based Capital 12.2% 12.2% 11.6% 6.0% Leverage 9.5% 9.7% 8.7% 5.0% Dollars in Thousands as of March 31,2013 Total Capital to Risk Weighted Assets 6
Slide 27: The Future
The Future || NEXT EXIT al
Slide 28: Our Vision
Our Vision. We are Fidelity Bank. We are passionate about success and committed to building strong relationships through superior service. We will be the best bank for our employees to work at, our customers to bank with, our shareholders to invest in, and for our community to prosper. D&D Bancorp,
Slide 29: What Gives Us That Competitive Advantage?
What Gives Us That Competitive Advantage? D&D Bancorp, Inc.
Slide 30: Fidelity Bank Value Chain
Inbound Logistics Sales & Marketing Service Operations Outbound Logistics Fidelity Bank Value Chain How Can We All Contribute? D&D Bancorp, Inc.
Slide 31: Total Revenue
Total Revenue $24,290 $24,573 $26,177 $26,780 $28,285 $22,000 $23,000 $24,000 $25,000 $26,000 $27,000 $28,000 $29,000 2008 2009 2010 2011 2012 D&D Bancorp, Inc.
Slide 32: Accountability, Strategic Direction, and Execution
Accountability, Strategic Direction, and Execution Key Performance Indicators Reaching our Goals High Performing Organization D&D Bancorp, Inc.
Slide 33: Equity to Assets
Equity to Assets 8.50% 8.21% 8.33% 8.84% 9.80% 7.00% 7.50% 8.00% 8.50% 9.00% 9.50% 10.00% 2008 2009 2010 2011 2012 D&D Bancorp, Inc.
Slide 34: Total Risk Based Capital
D&D Bancorp, Inc. Total Risk Based 13.64% 11.43% 11.86% 12.97% 13.51% 10.00% 10.50% 11.00% 11.50% 12.00% 12.50% 13.00% 13.50% 14.00% 2008 2009 2010 2011 2012
Slide 35: PNC plans to cut branches
PNC plans to cut 200 branches [No specif sites mentioned es bart shifts more toward online business. es ssietererscrcns Bieter ae See retin ‘th ean ae ba Inpentne sa ie mar weenie Sted cc ats ‘age Osis Sener sou ere Sheltered et Nbeanches, Mir Deel Sheurciems ‘pata neon ot senso branes Bee peccetoar
Slide 36: A True Community Bank
A True Community Bank D&D Bancorp, Inc.
Slide 37: D&D Bancorp, Inc.
D&D Bancorp, Inc.
Slide 38: Increase Customer Loyalty
Increase Customer Loyalty • Customer Retention 90% (industry benchmark 85%) • Household Growth < 600 • Retail Mystery Shops = 91% (Goal > 90%) D&D Bancorp, Inc.
Slide 39: Increase Customer Loyalty
Increase Customer Loyalty • Established a Structured Business Calling Program • Purchased our Moosic and Kingston Office in 2012 D&D Bancorp, Inc.
Slide 40: Comprehensive Sales and Marketing Plan
Comprehensive Sales and Marketing Plan How Do We Grow Fidelity Bank? D&D Bancorp, Inc.
Slide 41: The Commonwealth Medical College commencement
Commencement is a milestone event for The Commonwealth Medical College. 2013 marks the first graduation of medical doctors in Northeastern and North Central Pennsylvania. Conceived by community innovators, TCMC was built to educate students who would become community - minded, service - led physicia
Slide 42: The Times-Tribune: growing South Abington vet hospital
The Times-Tritane Js growing South Abington vet hospital
Slide 43: Our Market? Higher Education
Our Market? Higher Education Johnson College Lackawanna College Luzerne County Community College Keystone College Kings College Marywood University Misericordia University TCMC University of Scranton Wilkes University D&D Bancorp, Inc.
Slide 44: Growth
Growth D&D Bancorp, Inc.
Slide 45: It's All About the Customer
It’s All About the Customer D&D Bancorp, Inc.
Slide 46: Feet On The Street
Feet On The Street D&D Bancorp, Inc.
Slide 47: Strong Business Relationships = Success
Strong Business Relationships = Success D&D Bancorp, Inc.
Slide 48: The Best Employees
The Best Employees D&D Bancorp, Inc.
Slide 49: Henry Ford quote
“Coming together is the beginning. Keeping together is progress. Working together is success.” - Henry Ford D&D Bancorp, Inc.
Slide 50: Building Strong Foundations One Customer at a Time
Building Strong Foundations One Customer at a Time D&D Bancorp, Inc.
Slide 51: Slide 51
Slide 52: Employee Engagement
Employee Engagement • Over 5,000 hours of training • Developed incentive and recognition programs support achievement and accountability • Developed a structured recruiting process where we hire the best and the brightest D&D Bancorp, Inc.
Slide 53: Book Value
Book Value $23.73 $21.69 $21.48 $23.78 $25.37 19 20 21 22 23 24 25 26 2008 2009 2010 2011 2012 D&D Bancorp, Inc.
Slide 54: Total Return Performance
Fidelity D & D Bancorp, Inc. Total Return Performance 75 100 125 150 175 200 12/31/09 12/31/10 12/31/11 12/31/12 03/31/13 Index Value Fidelity D & D Bancorp, Inc. NASDAQ Composite SNL Bank Pink > $500M Period Ending Index 12/31/09 12/31/10 12/31/11 12/31/12 03/31/13 Fidelity D & D Bancorp, Inc. 100.
Slide 55: Thank You!
Thank You!
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