Camden National Corporation · NASDAQ:CAC
Camden National — Investor Presentation (June 2013)
22 slides from Camden National's investor presentation, Jun 12, 2013
Slide 1: Camden National Corporation
Camden National Corporation June 12, 2013 NASDAQ: CAG
Slide 2: Safe Harbor Statement
Safe Harbor Statement The information presented may contain forward - looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon current beliefs and expectations and are subject to significant risks and uncertainties some of which a
Slide 3: Corporate Snapshot and Financial Overview
Camden National Corporation Corporate Snapshot Financial Overview • Headquartered in Camden, ME; Founded 1875 (in 000's) 1 st Q 2013 2012 2011 • Subsidiaries: Loans $1,578 $1,564 $1,520 • Camden National Bank - $2.6B Assets Assets $2,591 $2,565 $2,303 Deposits $1,952 $1,929 $1,591 • Acadia Trust - $
Slide 4: Camden National Corporation Profile
Camden National Corporation Profile • Founded 1875 n i Camden, Maine • Largest publicly traded community bank n i Maine and Northern New England • Second largest Maine based bank • Fourth n i the state for deposit market share 3
Slide 5: Core Strengths
Core Strengths • Above peer earnings performance • Disciplined risk management culture • Consistent shareholder returns • Solid track record of organic and acquired growth 4
Slide 6: Above Peer Earnings Performance
Above Peer Earnings Performance Highlights Return on Average Assets • Consistent, top- quartile 1.13% 1.20% 1.09% performance against Northeast and 1.00% 0.98% 1.00% 0.90% National peer groups 0.80% • Driven to create consistent returns 0.60% for our shareholders 0.40% • Efficient operations focused
Slide 7: Disciplined Risk Management Culture
Disciplined Risk Management Culture Highlights Total Risk Based Capital • Strong capital growth to support 18.00% 15.95% 15.56% 15.60% future loan growth 16.00% 15.05% 13.49% • Credit quality consistent with 14.00% Northeast peer group 12.00% • Stable asset quality through 10.00% economic downturn 8
Slide 8: Consistent Shareholder Returns
Consistent Shareholder Returns Earnings Per Share $4.50 $4.00 $3.50 $3.23 $3.41 $3.09 $3.05 • Earnings per share $2.98 $3.00 $2.80 $2.93 $2.38 $2.53 compound annual $2.50 $2.11 $2.00 growth of 6. 01% over $2.00 $1.69 $1.89 $1.50 $1.27 $1.38 $1.27 a 15- year period $1.00 $0.50 $0.00 1997 1998 1999 20
Slide 9: Solid Track Record of Organic and Acquired Growth
Solid Track Record of Organic and Acquired Growth Asset Growth History Total Assets (in millions) $3,000 Over 18 year period $2,500 Organic growth $ 969 million Acquired growth 1,140 million Total growth $2,109 million $2,000 Bank of America 14 Branches $287 million $1,500 Union Bankshares $565 mill
Slide 10: Branch Strategy: Focus on Growth Markets
Branch Strategy Focus on Growth Markets Franklin County Branch Divestiture ($87MM Deposits) I - 95 Corridor BofA Branch Acquisition ($287MM Deposits) Mid- Coast Region ($864MM Deposits) Source: SNL Financial 9
Slide 11: Branch Strategy: Preparing for the Future
Branch Strategy Preparing for the Future • Acquisitions • Acquisition of 14 branches from Bank of America resulted n i $287 million n i core deposits • Increased our market share in Maine and improved presence n i growth markets • Earn back of Tangible Book Value within four years • Divestitures • S
Slide 12: Deposit Market Share - ProForma Maine
Deposit Market Share - ProForma Maine 2012 2012 Number 2012 Total Deposits in 2012 Total Rank Institution of Branches Market ($000) Market Share (%) 1 TD Bank 55 3,708,955 16.23 2 Key Bank 60 2,662,362 11.65 3 Bangor Savings Bank 60 2,019,820 8.84 4 Camden National Bank 44 1,892,879 8.28 5 Bank of A
Slide 13: Deposit Market Share
Deposit Market Share 41% 6% 12% 6% 16% 26% 7% 10% 7% 61% 2% Source: SNL Financial FDIC Deposit Market Share data as of 6/30/12 .. Proforma results include adjustment for 2012 branch acquisition and proposed 2013 branch sale. 12
Slide 14: Financial Overview
Financial Overview • Financial Highlights for past five years • Loans, Investments and Funding Mix • Recent Recognitions 13
Slide 15: Financial Highlights (balance sheet)
Financial Highlights As of 3/31/13 (in 000’s) 3/31/13 2012 2011 2010 2009 2008 Loans $1,578 $1,564 $1,520 $1,530 $1,527 $1,501 Investment Securities 823 802 613 612 540 670 Total Assets 2,591 2,565 2,303 2,306 2,235 2,341 Deposits (a) 1,952 1,929 1,591 1,516 1,496 1,490 Borrowings 366 360 456 560 52
Slide 16: Financial Highlights (earnings)
Financial Highlights As of 3/31/13 1Q 2013 2012 2011 2010 2009 2008 (a) (a) Net Income (in millions) $5.7 $23.4 $26.2 $24.8 $22.8 $15.3 Diluted Earnings per $0.74 $3.05 $3.40 $3.23 $2.97 $2.00 Share Return on Tangible 12.69% 12.95% 15.42% 16.15% 17.38% 12.86% Equity Return on Assets 0.90% 0.98% 1.13
Slide 17: Financial Highlights (capital and credit quality)
Financial Highlights As of 3/31/13 1Q 2013 2012 2011 2010 2009 2008 Tangible Common 7.19% 7.19% 7.69% 7.09% 6.59% 5.20% Equity Ratio Total Risk- Based Capital 15.60% 15.56% 15.95% 15.05% 13.49% 12.32% Ratio Leverage Ratio 8.95% 8.94% 9.59% 8.77% 7.80% 7.28% Net charge- offs to 0.09% 0.24% 0.26% 0.28
Slide 18: Loans
Loans As of 3/31/13 Loan Portfolio Stats Commercial NPLs as % of Total Loans 1.72% Home Equity/ 12% Consumer 19% Annualized Net Charge - offs 0.09% ALL to Total Loans 1.48% Residential Mortgages Lodging Concentration to Total Commercial 10% 36% Loans Real Estate 32% Large Relationships to Total Loan
Slide 19: Investment Portfolio
Investment Portfolio As of 3/31/13 Municipals Non - 4% Agency 1% Portfolio Stats Market Value $804 Million Average Yield 2.31% Agency MBS CMO Duration 3.8 Years 43% 52% Premium $8.1 Million Premium as % of Portfolio 1.0% Investment Book Value of $788 million Excludes FRB/FHLB stock of $20 million 18
Slide 20: Funding
Funding As of 3/31/13 Portfolio Stats Cost of Funds 0.58% Deposit Cost of Funds 0.33% Borrowing Cost of Funds 1.50% Loan -to-Deposit Ratio 81% Core Deposits as % of Total Funding now 59% compared to 49% a year ago Borrowings/Brokered 23% Checking 29% Savings/Money Market 30% CD's 18% Deposits and Bo
Slide 21: Recent Recognitions
One of “America’s Most “Financial Institution KBWs Trustworthy Companies” of the Year” “Bank Honor Roll” by Forbes by Finance Authority 2011 and 2012 of Maine 20
Slide 22: Proxy Peer Group
Proxy Peer Group Alliance Financial Corporation - NY Independent Bank Corp. - MA Arrow Financial Corporation - NY Merchants Bancshares, Inc. - VT Bar Harbor Bankshares -ME Meridian Interstate Bancorp, Inc. (MHC) - MA Berkshire Hills Bancorp, Inc. - MA Provident New York Bancorp - NY Brookline Bancor