Fulton Financial Corporation · NASDAQ:FULT
Fulton Financial — Shareholder Meeting (April 2004)
37 slides from Fulton Financial's shareholder meeting presentation, Apr 22, 2004
Slide 1: Fulton Financial Corporation 2004 Annual Meeting
Fulton Financial Corporation 2004 Annual Meeting April 22, 2004
Slide 2: Safe Harbor statement
Safe Harbor statement The following presentation may contain forward-looking statements about Fulton Financial Corporation’s growth and acquisition strategies, new products and services, and future financial performance, including earnings and dividends per share, return on average assets, return on
Slide 3: Introduction and Message to Shareholders
Rufus A. Fulton, Jr. Chairman and CEO Introduction and Message to Shareholders
Slide 4: 2004 Annual Report: Consistent Performance
2004 Annual Report: Consistent Performance
Slide 5: Annual Report Highlights
Annual Report Highlights
Slide 6: Annual Report Highlights
Annual Report Highlights \\ ge \ \ \
Slide 7: Milestones of 2003
Milestones of 2003 Fulton Financial Corporation
Slide 8: Premier Bank
Premier Bank Doylestown Office Executive Office
Slide 9: Premier Bank offices
Premier Bank offices Southampton Office Yardley Office
Slide 10: Premier Bank offices
Premier Bank offices Montgomeryville Office Bensalem Office Abington Office
Slide 11: Bank Insurance & Securities
Bank Insurance & Securities
Slide 12: Resource Bank
Resource Bamk . Double-digit growth in earnings per share, deposits and loans . Ranked 5th in three-year return on equity . The only Virginia-based bank with offices in Virginia’s three major markets . Market area accounts for over 73% of all deposits in the state
Slide 13: Lawrence N. Smith
(es Lawrence N. Smith
Slide 14: Acquisitions
Acquisitions . Resource Bank . Premier Bank . Drovers & Mechanics Bank . 18 Sovereign Bank Branches . Dearden, Maguire, Weaver and Barrett, Inc. . Skylands Community Bank . Ambassador Bank of the Commonwealth . Lebanon Valley National Bank . Peoples Bank of Elkton . Woodstown National Bank & Trust C
Slide 15: Possible future expansion
Possible future expansion Current Markets Future Expansion
Slide 16: New Ag Business
New Ag Business .$ 165 million . 350 new clients . Located in Pennsylvania and Delaware . #1 Ag lender in Pennsylvania and the northeast . Lenders have joined our team
Slide 17: Fulton Mortgage Company
Fulton Mortgage Company Mortgage Originations: . 2003: $1.1 billion . 2002: $800 million
Slide 18: Fulton Financial Corporation
Fulton Financial Corporation 2004 Annual Meeting April 22, 2004
Slide 19: 2003 Financial Performance
Scott Smith President and Chief Operating Officer 2003 Financial Performance
Slide 20: Corporate Profile
Corporate Profile (as of 12/31/03) .? 9.8 billion in assets (Rank: 56th) .? 2.59 billion in market capitalization (Rank: 49th) . 2nd largest commercial bank headquartered in the Third Federal Reserve District
Slide 21: Where are we located?
Where are we located? The Bank Delaware National Bank FNB Bank Fulton Bank Hagerstown Trust Lafayette Ambassador Bank Lebanon Valley Farmers Bank The peoples Bank of Elkton Premier Bank Resource Bank Skylands Community Bank Swineford National Bank
Slide 22: Accomplishments
Accomplishments . 22 consecutive years of record earnings . 8.8% compounded annual growth rate in earnings per share . 29 consecutive years of dividend increases . 10.3% compounded annual growth rate in dividends per share . Proven business model . Consistently high performance
Slide 23: Fulton Financial Corporation
Fulton Financial Corporation . Record earnings . High asset quality . Strong net interest margin . Prudent expense control
Slide 24: 2003 Performance
2003 Performance $ 1.28 Net income per share (4.1% increase over 2002) $ 0.623 Cash dividends per share (11.4% increase over 2002) 1.57% Return on Assets 15.45% Return on Equity 53.80% Efficiency Ratio
Slide 25: Five-Year Performance
Five-Year Performance 1998 2003 Net income per share $ .88 $1.28 Cash dividends per share $ .37 $.62 Return on assets 1.60% 1.57% Return on equity 15.06% 15.45% Efficiency ratio 55.3% 53.8% Dividend payout 41.6% 48.7% All information is as originally reported
Slide 26: 2003 Total Return
2003 Total Return Institution/Index Percent Change Nasdaq Nat’l Market 50.77 FULTON FINANCIAL 34.33 Nasdaq Bank Index 33.03 NYSE Bank Index 31.79 S&P 500 28.67 Dow Jones 28.26 Large Banks 25.59 Peer Group 24.39
Slide 27: Five-Year Total Return
Five-Year Total Return Institution/Index Percent change FULTON FINANCIAL 80.85 Nasdaq Banks 77.73 Peer Group 50.59 NYSE Banks 42.00 Large Banks 25.40 Dow Jones 24.97 S&P 500 -2.81 Nasdaq Nat’l. Market -7.04
Slide 28: Wall Street Journal ranking of banks
Wall Street Journal (3/8/04) Ranking of Banks by 5-Year Average Compound Annual Total Return* . 62 banks listed . 43 banks ranked lower than Fulton, including Wells Fargo, Bank of America, Marshall & Ilsley, Wilmington Trust, Mercantile, Synovus, Fifth Third, PNC, BB&T, Wachovia, J.P. Morgan Chase a
Slide 29: Stock Performance (1982-2003)
Stock Performance (1982-2003) 1982—100 shares—$1,750 2003—1,567 shares—$34,317 return WITHOUT %dividend reinvestment
Slide 30: Stock Performance (1982-2003)
Stock Performance (1982-2003) 1982—100 shares—$1,750 2003—3,322 shares—$72,752 19 return WITH %dividend reinvestment
Slide 31: Stock Highlights
Stock Highlights Average daily trading volume 116,730 Number of Analysts 11 Number of Market Makers 35 Number of shares outstanding 117.2 million Market capitalization $2.59 billion
Slide 32: Employee Stock Ownership
Employee Stock Ownership . 70% of our employees collectively own more than 2 million shares of FFC stock . Stock options help us to retain long-term, loyal employees
Slide 33: Employee Retention
Employee Retention 1999 2000 2001 2002 2003 Exempt Non-exempt Overall
Slide 34: Analysts
Analysts . Citigroup Smith Barney Hold . Cohen Bros Outperform . Ferris Baker Watts Strong Buy . Janney Montgomery Scott Hold . Keefe Bruyette & Woods Marketperform . Legg Mason Wood Walker Hold . McDonald Investments Buy . Moors & Cabot Hold . RBC Capital Markets Underperform . Ryan Beck Outperform
Slide 35: Accounting/Auditing
Accounting/Auditing . Compliance with accounting standards . Designated a financial expert . Disclosure committee . Enhanced Audit Committee role . CEO and CFO certifications . Audit Committee approval of financial filings
Slide 36: Mission Statement, Affiliate Locations, Investor Information
le EO Yen Fates Took Heb FULTON FINANCIAL ~ CORPORATION — ‘Mission Statomeont Affliate Locations Investor Information ister Perfornarde, “ mS Consistently providing value to customers, shareholders, employees, the Fulton Financial way, ch ero po he
Slide 37: Fulton Financial Corporation
Fulton Financial Corporation 2004 Annual Meeting April 22, 2004