Board of Directors Declares $0.25 per Share
Quarterly Cash Dividend
1Q 2011 Performance Highlights
-
Solid Profitability Measures: GAAP earnings generated a 1.34%
return on average tangible assets and a 17.01% return on average
tangible stockholders' equity. (3)
-
Margin Stability: At 3.58%, the margin was 17 basis points
wider than the year-earlier measure and three basis points narrower
than the margin in 4Q 2010.
-
Strong Loan Production: Loans produced for investment totaled
$1.9 billion in the current first quarter, exceeding the year-earlier
volume by $1.1 billion and the trailing-quarter volume by $279.6
million.
-
Total Delinquencies Decline: Non-performing assets and loans 30
to 89 days past due declined $106.0 million, or 13.2%, linked-quarter,
to $697.6 million.
-
Stable Asset Quality Measures: Non-performing non-covered
assets represented 1.58% of total assets at quarter-end, comparable to
the measure at the end of December; non-performing non-covered loans
represented 2.19% of total loans, a three-month improvement of four
basis points.
-
Increased Capital Strength: Excluding accumulated other
comprehensive loss, net of tax (“AOCL”), the ratio of adjusted
tangible stockholders’ equity to adjusted tangible assets rose 66
basis points year-over-year and nine basis points linked-quarter, to
7.99% at March 31st. (3)
-
Continued Efficiency: The GAAP efficiency ratio was 38.50% in
1Q 2011. (4)
Note: Please see the last page of this release for footnotes
to the text.
WESTBURY, N.Y.--(BUSINESS WIRE)--
New York Community Bancorp, Inc. (NYSE: NYB) (the “Company”) today
reported GAAP earnings of $123.2 million, or $0.28 per diluted share,
for the three months ended March 31, 2011, generating a return on
average tangible assets of 1.34% and a return on average tangible
stockholders' equity of 17.01%. (3)
The Company also reported first quarter 2011 operating earnings of
$117.2 million, or $0.27 per diluted share, generating a 1.27% return on
average tangible assets and a 16.21% return on average tangible
stockholders' equity. (2)(3)
In addition, the Company reported cash earnings of $135.8 million, or
$0.31 per diluted share, for the current first quarter. The Company’s
first quarter 2011 cash earnings thus contributed $12.6 million, or
10.3%, more to tangible capital than its first quarter 2011 GAAP
earnings alone. (1)(3)
Commenting on the Company's first quarter results, President and Chief
Executive Officer Joseph R. Ficalora stated, “In the first quarter of
2011, we realized a substantial decline in total delinquencies, an
increase in the production of loans for investment, and an increase in
our tangible capital measures to the vicinity of 8%.
“Reflecting a $102.3 million linked-quarter decline in loans 30 to 89
days past due, and more modest declines in non-performing loans and
assets, total delinquencies fell $106.0 million, or 13.2%, in the three
months ended March 31st. During the same time, we originated $1.9
billion of loans for portfolio, including $1.1 billion of multi-family
loans.
"During the quarter, the expectation of rising interest rates triggered
a significant increase in refinancing activity in the multi-family
arena, contributing to an overall increase in the balance of
held-for-investment loans. Reflecting the increase in refinancing
activity, prepayment penalty income added $19.6 million to our net
interest income in the current first quarter, up from $15.2 million and
$1.3 million, respectively, in the trailing and year-earlier three
months.
“Another benefit of the increase in refinancing activity was a
meaningful reduction in the expected weighted average lives of our
multi-family and commercial real estate, or CRE, loan portfolios. At
March 31st, the expected weighted average life of our multi-family loans
was 3.2 years—an eleven-month reduction from the December 31st average.
During this time, the expected weighted average life of our CRE loan
portfolio declined to 3.5 years from four.
"The benefit of the increase in the balance of loans held for investment
was nonetheless exceeded by the impact of a substantial decline in the
balance of one-to-four family loans held for sale. Reflecting fewer
willing and eligible borrowers, one-to-four family loans produced for
sale fell $2.4 billion linked-quarter, impacting both the quarter-end
and average balances of our total loan portfolio.
"The reduction in the balance of one-to-four family loans held for sale
was largely due to a substantial decline in residential refinancing
activity as mortgage interest rates rose throughout the quarter, and to
the continuation of very weak home purchase activity across the United
States.
“In addition to the decline in one-to-four family loans held for sale
and the related decrease in mortgage banking income, our first quarter
earnings reflect an increase in the loan loss provision in connection
with the reappraisal of properties collateralizing certain large loan
relationships.
"Nonetheless, we generated GAAP earnings of $123.2 million, or $0.28 per
diluted share, in the quarter, generating a 1.34% return on average
tangible assets and a 17.01% return on average tangible stockholders’
equity. (3)
"Furthermore, at March 31st, excluding AOCL, our tangible stockholders’
equity represented 7.99% of tangible assets--nine basis points higher
than the December 31st measure and 66 basis points higher than the
measure at March 31, 2010." (3)
Board of Directors Declares $0.25 per Share
Dividend, Payable on May 17th
“In view of our continued capital growth and strength, which was
supported by our first quarter earnings, the Board of Directors last
night declared our 29th consecutive quarterly cash dividend of $0.25 per
share. The dividend is payable on May 17, 2011 to shareholders of record
at the close of business on May 6th,” Mr. Ficalora said.
Balance Sheet Summary at March 31, 2011
The Company recorded total assets of $41.0 billion at March 31, 2011,
down $143.7 million from the balance recorded at December 31, 2010.
Notwithstanding a $317.2 million increase in non-covered loans held for
investment, the balance of loans, net, declined by $526.5 million,
largely reflecting a $699.6 million decrease in the balance of loans
held for sale. Liabilities declined $158.1 million from the year-end
amount, to $35.5 billion, as a $389.1 million increase in total deposits
tempered the impact of a $516.6 million reduction in borrowed funds. The
net effect of the decline in total assets and total liabilities was a
$14.4 million increase in stockholders' equity to $5.5 billion,
representing 13.50% of total assets at March 31st.
Loans
Loans, net, totaled $28.5 billion at March 31, 2011, representing 69.5%
of total assets at that date. Covered loans, net (i.e., loans acquired
in the AmTrust Bank (“AmTrust”) and Desert Hills Bank (“Desert Hills”)
acquisitions that are covered by FDIC loss sharing agreements)
accounted for $4.1 billion, or 14.5%, of the March 31st total,
reflecting a linked-quarter reduction of $156.8 million.
The remainder of the loan portfolio at March 31st consisted of
non-covered loans held for investment and non-covered loans held for
sale. At $24.0 billion, non-covered loans held for investment were up
$317.2 million from the year-end 2010 balance, while non-covered loans
held for sale declined to $507.5 million from $1.2 billion in the fourth
quarter of 2010.
Non-Covered Loans Held for Sale
The portfolio of non-covered loans held for sale primarily consists of
agency-conforming one-to-four family loans that were originated
throughout the country for sale to government-sponsored enterprises
(“GSEs”) by the Company's mortgage banking subsidiary, NYCB Mortgage
Company, LLC.
One-to-four family loans originated for sale totaled $1.5 billion in the
current first quarter, representing a linked-quarter reduction of $2.4
billion and a $176.8 million increase year-over-year. The linked-quarter
reduction was primarily due to a decline in applications, as homeowners
were discouraged by continued weakness in the U.S. housing market and
increasing mortgage interest rates. As a result, rate-lock volume (a
leading indicator of expected future near-term loan funding levels)
declined to $1.6 billion in the current first quarter from $2.6 billion
in the fourth quarter of 2010.
Non-Covered Loans Held for Investment
The held-for-investment portfolio consists primarily of multi-family
loans secured by below-market rental apartment buildings in New York
City and, to a lesser extent, CRE loans secured by commercial properties
in New York City and Long Island, New York.
At $1.9 billion, loans originated for investment were up $279.6 million
on a linked-quarter basis and $1.1 billion year-over-year. Multi-family
loans represented $1.1 billion, or 59.0%, of the current first quarter
total, representing a $112.1 million increase from the trailing-quarter
volume and a $658.9 million increase from the volume produced in the
first quarter of 2010.
CRE loan originations represented $513.7 million, or 27.5%, of loans
produced in the current first quarter and were up $165.9 million on a
linked-quarter basis and $382.4 million year-over-year.
At March 31, 2011, multi-family loans represented $16.9 billion, or
70.3%, of total non-covered loans held for investment, a $91.4 million
increase from the balance recorded at December 31, 2010. Although the
production of multi-family loans increased substantially over the
quarter as refinancing activity increased, the benefit was largely
offset by a rise in the volume of satisfied loans.
CRE loans represented $5.7 billion, or 23.7%, of total loans held for
investment at the close of the current first quarter, signifying a
$263.1 million increase from the balance recorded at December 31st.
At March 31, 2011, the average multi-family loan had a principal balance
of $4.0 million and the average CRE loan had a principal balance of $3.2
million. The portfolios of multi-family and CRE loans had average
loan-to-value ratios at origination of 59.25% and 53.41%, respectively,
and expected weighted average lives of 3.2 years and 3.5 years,
respectively, at quarter-end.
The remainder of the held-for-investment portfolio consists of
acquisition, development, and construction ("ADC") loans, other loans
(primarily commercial and industrial, or C&I, loans), and seasoned
one-to-four family loans, most of which were acquired in acquisitions
prior to 2009. At March 31, 2011, ADC loans represented $554.4 million,
or 2.3%, of loans held for investment, a $14.8 million reduction from
the balance at December 31st. Other loans also declined during this
time, by $7.9 million, to $719.9 million, while the balance of
one-to-four family loans held for investment fell $14.6 million to
$155.8 million.
Pipeline
At the present time, the loan pipeline approximates $3.0 billion,
including loans originated for investment of approximately $2.4 billion
and loans originated for sale of approximately $560 million.
Multi-family loans represent approximately $1.8 billion, or 74.5%, of
the current pipeline of held-for-investment loans.
Asset Quality
The following discussion pertains only to the Company's portfolio of
non-covered loans held for investment and non-covered other real estate
owned ("OREO").
Reflecting a substantial decline in loans 30 to 89 days past due, and a
more modest decline in non-performing non-covered assets, total
delinquencies fell $106.0 million, or 13.2%, on a linked-quarter basis
to $697.6 million at March 31st.
Non-covered loans 30 to 89 days past due declined $102.3 million during
this time, to $48.7 million. Multi-family and CRE loans accounted for
$18.5 million and $7.8 million, respectively, of the quarter-end total,
reflecting reductions of $102.7 million and $383,000 from the respective
balances at December 31st. Although past due ADC loans rose $9.7 million
during this time to $14.9 million, past due one-to-four family and other
loans declined by $3.1 million and $5.8 million, respectively, to $2.6
million and $4.9 million over the three-month period.
Non-performing non-covered loans declined to $616.8 million, or 2.19% of
total loans, at the end of the first quarter from $624.4 million, or
2.23% of total loans, at December 31, 2010. Although non-performing
multi-family loans rose $60.5 million on a linked-quarter basis, this
increase was exceeded by a $55.5 million reduction in non-performing CRE
loans, together with smaller reductions in non-performing ADC,
one-to-four family, and other loans totaling $12.6 million.
Non-performing non-covered assets declined $3.6 million over the course
of the quarter, to $648.9 million, representing 1.58% of total assets,
consistent with the measure recorded at December 31, 2010. Although
non-covered OREO rose $4.0 million during this time, this increase was
exceeded by the reduction in non-performing non-covered loans.
While the aforementioned measures reflected improvements, net
charge-offs rose $24.7 million on a linked-quarter basis to $38.6
million, representing 0.14% of average loans (non-annualized) in the
first three months of the year. Multi-family and CRE loans represented
$26.0 million and $7.1 million, respectively, of the first quarter-end
total, while ADC, one-to-four family, and other loans accounted for
$665,000, $42,000, and $4.8 million, respectively.
Reflecting management’s assessment of the allowance for losses on
non-covered loans, the Company recorded a $26.0 million loan loss
provision in the current first quarter, up from $17.0 million and $20.0
million, respectively, in the trailing and year-earlier three months.
Reflecting the current first quarter provision and the quarter's net
charge-offs, the allowance for losses on non-covered loans totaled
$146.3 million, representing 23.72% of non-performing non-covered loans,
at March 31, 2011.
Securities
Securities totaled $4.8 billion in the current first quarter,
representing 11.7% of total assets, a modest increase from the balance
at December 31, 2010. While available-for-sale securities declined
$162.2 million during this time, to $490.8 million, the balance of
held-to-maturity securities rose $168.3 million to $4.3 billion.
Funding Sources
Deposits rose $389.1 million over the course of the quarter to $22.2
billion, representing 54.1% of total assets at March 31st. While core
deposits (i.e., NOW and money market accounts, savings accounts, and
non-interest-bearing accounts) rose $770.7 million during this time, to
$14.7 billion, deposit growth was somewhat tempered by a $381.6 million
reduction in certificates of deposit ("CDs") to $7.5 billion. Core
deposits thus represented 66.4% of total deposits, while CDs represented
the remaining 33.6%. The decline in CDs was largely strategic in nature,
reflecting management's unwillingness to compete for such deposits by
paying higher rates of interest on such accounts.
The balance of borrowed funds also declined over the course of the
quarter, by $516.6 million to $13.0 billion at March 31st.
Wholesale borrowings accounted for the bulk of the reduction, having
declined to $12.0 billion from $12.5 billion over the three-month
period. Wholesale borrowings thus represented 29.2% of total assets,
down from 30.3% at December 31, 2010.
Stockholders’ Equity
Stockholders’ equity totaled $5.5 billion at March 31, 2011,
representing a $14.4 million increase from the balance at December 31,
2010. The March 31st amount was equivalent to 13.50% of total assets,
reflecting an eight-basis point increase, while book value per share
declined $0.02 to $12.67.
Tangible stockholders' equity rose $21.8 million linked-quarter, to $3.0
billion, representing 7.87% of tangible assets, an eight-basis point
increase from the measure at December 31st. Excluding AOCL from the
calculation, the ratio of adjusted tangible equity to adjusted tangible
assets rose nine basis points linked-quarter, to 7.99% at March 31, 2011.
(3)
The Company’s subsidiary banks also reported solid levels of capital at
the close of the current first quarter, and continued to exceed the
requirements for classification as “well capitalized” institutions under
the FDIC Improvement Act. At March 31, 2011, New York Community Bank had
a leverage capital ratio of 8.96%, exceeding the minimum required for
“well capitalized” classification by 396 basis points. At the same date,
New York Commercial Bank had a leverage capital ratio of 11.79%,
exceeding the minimum required for such classification by 679 basis
points.
Earnings Summary for the Three Months Ended
March 31, 2011
The Company generated net income of $123.2 million, or $0.28 per diluted
share, in the current first quarter, as compared to $149.8 million, or
$0.34 per diluted share, in the trailing quarter and $124.1 million, or
$0.29 per diluted share, in the first quarter of 2010.
In the first quarter of 2011, the Company recorded a $10.0 million
pre-tax gain on the sale of securities that added $6.0 million to
earnings on an after-tax basis and $0.01 to diluted earnings per share.
Absent this gain, the Company generated operating earnings of $117.2
million in the current first quarter, equivalent to $0.27 per diluted
share.(2)
In the trailing quarter, the Company recorded a $22.4 million pre-tax
gain on the sale of securities that added $13.5 million to earnings on
an after-tax basis and $0.03 to diluted earnings per share. Absent this
gain, which was tempered by after-tax acquisition-related costs of $3.8
million, or $0.01 per diluted share, the Company generated operating
earnings of $140.1 million in the trailing quarter, equivalent to $0.32
per diluted share.(2)
In the first quarter of 2010, the Company recorded GAAP and operating
earnings of $124.1 million and $125.9 million, respectively, both of
which were equivalent to $0.29 per diluted share. The modest difference
between the Company's first quarter 2010 GAAP and operating earnings was
attributable to pre-tax acquisition-related costs of $2.7 million, which
were equivalent to $1.7 million after-tax.(2)
Net Interest Income
The Company generated net interest income of $303.3 million in the
current first quarter, representing a year-over-year increase of $8.7
million and a linked-quarter reduction of $1.7 million.
Among the factors contributing to the year-over-year increase were an
$18.4 million rise in prepayment penalty income, primarily reflecting an
increase in refinancing activity in the Company's multi-family lending
niche, and the continued decline in its cost of funds.
Among the factors contributing to the linked-quarter decline was a
marked reduction in the average balance of one-to-four family loans held
for sale, which impacted the average balance of loans and
interest-earning assets, together with a decline in the average yield on
loans.
Year-Over-Year Comparison
The year-over-year increase in net interest income was the net effect of
an $11.5 million decline in interest income to $470.9 million and a
$20.1 million decline in interest expense to $167.7 million.
Loans generated interest income of $415.9 million in the current first
quarter, representing a $2.3 million increase from the year-earlier
amount. The increase was the net effect of a $201.3 million rise in the
average balance of loans to $28.5 billion and a one-basis point decline
in the average yield to 5.84%. Prepayment penalty income contributed
$19.6 million to interest income in the current first quarter in
contrast to $1.3 million in the year-earlier three months.
The benefit of the increase in the interest income generated by loans
was exceeded by the impact of a $13.7 million decline in the interest
income produced by securities and money market investments to $55.0
million, as the average balance of such assets declined $867.9 million
to $5.2 billion and the average yield declined by 30 basis points to
4.25%.
As a result of these factors, the average balance of interest-earning
assets fell $666.6 million year-over-year to $33.7 billion, accompanied
by a two-basis point decline in the average yield to 5.60%.
The year-over-year decline in interest expense was the net effect of a
$2.0 billion reduction in the average balance of interest-bearing
liabilities to $33.0 billion and an 11-basis point reduction in the
average cost of funds to 2.06%. Interest-bearing deposits generated
interest expense of $42.3 million in the current first quarter, down
$17.5 million from the year-earlier level, primarily reflecting a $10.6
million decrease in the interest expense produced by CDs.
Year-over-year, the average balance of CDs declined by $1.3 billion to
$7.6 billion, while the average cost of such funds fell 27 basis points
to 1.43%.
The interest expense produced by borrowed funds fell $2.6 million
year-over-year, to $125.4 million, the net effect of an $861.1 million
decline in the average balance to $13.0 billion, and a 16-basis point
increase in the average cost of such funds to 3.89%.
Linked-Quarter Comparison
The modest linked-quarter decline in net interest income was the net
effect of a $9.9 million decrease in interest income and an $8.1 million
decrease in interest expense.
During the quarter, the interest income produced by securities and money
market investments rose $3.0 million, as the average balance of such
assets increased by $369.9 million, tempering the impact of a
seven-basis point drop in the average yield. However, the interest
income produced by loans fell $12.9 million over the course of the
quarter, as the benefit of a $4.5 million increase in prepayment penalty
income was exceeded by the impact of a $602.9 million decline in the
average balance and a five-basis point drop in the average yield.
Reflecting these factors, the average balance of interest-earning assets
fell $233.0 million in the current first quarter, and the average yield
fell seven basis points.
The linked-quarter decline in interest expense reflects a $149.5 million
decrease in the average balance of interest-bearing liabilities and a
four-basis point reduction in the average cost of funds. During the
quarter, the interest expense produced by interest-bearing deposits fell
by $3.8 million, as the average balance declined by $52.7 million and
the average cost dropped by five basis points. Similarly, the interest
expense produced by borrowed funds fell $4.3 million during the quarter,
as the average balance of such funds declined by $96.9 million and the
average cost declined by three basis points.
Interest Rate Spread and Net Interest Margin
In the first quarter of 2011, the Company’s interest rate spread and net
interest margin were impacted by the same factors that impacted its net
interest income. At 3.54%, the Company's spread was three basis points
narrower than the trailing-quarter measure but nine basis points wider
than the year-earlier spread. Similarly, the Company's margin was three
basis points narrower on a linked-quarter basis, but 17 basis points
wider than the measure in the first quarter of 2010.
Prepayment penalty income added 23 basis points to the Company's spread
and margin in the current first quarter, in contrast to 18 basis points
in the fourth quarter of 2010. In the first quarter of 2010, prepayment
penalty income added one basis point to the Company’s spread and two
basis points to its margin.
Provision for Losses on Non-Covered Loans
The provision for losses on non-covered loans is based on management’s
assessment of the adequacy of the allowance for losses on non-covered
loans which, in turn, is based on its evaluation of inherent losses in
the non-covered loan portfolio in accordance with GAAP. This evaluation
considers several factors, including the current and historical
performance of the non-covered loan portfolio; its inherent risk
characteristics; the level of non-performing non-covered loans and
charge-offs; delinquency levels and trends; local economic and market
conditions; declines in real estate values; and the levels of
unemployment and vacancy rates.
The provision for losses on non-covered loans was $26.0 million in the
current first quarter, representing a $9.0 million increase from the
trailing-quarter level and a $6.0 million increase from the year-earlier
amount. Reflecting the current first quarter provision, and net
charge-offs of $38.6 million, the allowance for loan losses was reduced
to $146.3 million at March 31, 2011 from $158.9 million at December 31,
2010. The March 31st amount was equivalent to 23.72% of non-performing
non-covered loans and 0.61% of total non-covered loans at that date.
Non-Interest Income
The Company has four ongoing sources of non-interest income: mortgage
banking income; fee income; income from bank-owned life insurance
(“BOLI”); and other income. Non-interest income from these ongoing
sources totaled $48.6 million in the current first quarter, as compared
to $69.5 million in the trailing quarter and $55.1 million in the first
quarter of 2010.
These reductions were largely due to a decrease in mortgage banking
income to $19.9 million from $40.4 million and $27.5 million,
respectively, in the trailing and year-earlier three months. The
linked-quarter reduction was primarily due to a $21.2 million decline in
income from originations to $15.8 million, tempered by a $709,000
increase in income from servicing. The year-over-year reduction in
mortgage banking income was the result of an $844,000 decrease in income
from originations and a $6.8 million reduction in income from servicing.
The decline in mortgage banking income from originations had been
expected, given the extent to which one-to-four family refinancing
activity declined in the fourth quarter of 2010 and the first quarter of
this year. The decline in refinancing activity was primarily due to an
increase in residential mortgage interest rates over the quarter and
continued weakness in the U.S. housing market.
While other income rose linked-quarter and year-over-year, to $9.9
million, fee income fell to $11.9 million over the corresponding periods.
In the first quarter of 2011, non-interest income also included a $10.0
million gain on the sale of certain securities, which was $12.4 million
less than the gain on sale recorded in the fourth quarter of 2010. In
addition to the $22.4 million gain, non-interest income was increased in
the trailing quarter by FDIC indemnification income of $11.3 million.
Reflecting these items, non-interest income totaled $58.6 million in the
current first quarter, as compared to $103.3 million in the trailing
quarter and $55.0 million in the first quarter of 2010.
Non-Interest Expense
Non-interest expense consists of operating expenses (comprised of
compensation and benefits, occupancy and equipment, and general and
administrative, or G&A, expenses); and the amortization of core deposit
intangibles ("CDI").
In the first quarter of 2011, non-interest expense totaled $146.7
million, representing a linked-quarter reduction of $1.6 million and a
year-over-year increase of $10.0 million. Operating expenses accounted
for $139.3 million of the current first quarter total, reflecting a
linked-quarter decline of $1.3 million and a year-over-year increase of
$10.5 million.
At $72.1 million, compensation and benefits expense accounted for the
bulk of operating expenses, and was up $4.8 million and $5.2 million,
respectively, from the trailing-quarter and year-earlier amounts. At
$21.9 million, occupancy and equipment expense was fairly consistent
with the levels recorded in the trailing and year-earlier quarters.
Although G&A expense rose $5.0 million year-over-year, to $45.3 million,
the linked-quarter comparison reflects a $5.8 million decline. In the
trailing-quarter, G&A expense included acquisition-related costs of $6.3
million.
The year-over-year increase in compensation and benefits expense largely
reflects normal salary increases, stock award grants, and the impact of
the FDIC-assisted acquisition of Desert Hills on March 26, 2010. The
year-over-year increase in G&A expense largely reflects the expansion of
the Company's branch network and an increase in expenses in connection
with the management and sale of OREO.
Also included in G&A expense are the Company's FDIC deposit insurance
premiums, which totaled $11.9 million in the first three months of this
year. Reflecting a legislated change in the manner in which FDIC deposit
insurance premiums are calculated, the Company's FDIC insurance premiums
are subject to an increase, effective April 1st.
Income Tax Expense
Income tax expense totaled $66.0 million in the current first quarter,
representing a linked-quarter decrease of $15.2 million and a
year-over-year decrease of $2.7 million. Pre-tax income fell $41.9
million to $189.2 million on a linked-quarter basis and was down
$3.7 million year-over-year. In addition, the effective tax rate
declined to 34.9% in the current first quarter from 35.1% and 35.6%,
respectively, in the trailing and year-earlier three months.
About New York Community Bancorp, Inc.
With assets of $41.0 billion at March 31, 2011, New York Community
Bancorp, Inc. is the 22nd largest bank holding company in the nation and
a leading producer of multi-family mortgage loans in New York City, with
an emphasis on apartment buildings that feature below-market rents. The
Company has two bank subsidiaries: New York Community Bank, a thrift
with 242 branches serving customers throughout Metro New York, New
Jersey, Ohio, Florida, and Arizona; and New York Commercial Bank, with
34 branches serving customers in Manhattan, Queens, Brooklyn, Long
Island, and Westchester County in New York.
Reflecting its growth through a series of acquisitions, the Community
Bank operates through seven local divisions, each with a history of
service and strength: Queens County Savings Bank in Queens; Roslyn
Savings Bank on Long Island; Richmond County Savings Bank on Staten
Island; Roosevelt Savings Bank in Brooklyn; Garden State Community Bank
in New Jersey; Ohio Savings Bank in Ohio; and AmTrust Bank in Florida
and Arizona. Similarly, the Commercial Bank operates 17 of its branches
under the divisional name Atlantic Bank. Additional information about
the Company and its bank subsidiaries is available at www.myNYCB.com
and www.NewYorkCommercialBank.com.
Post-Earnings Release Conference Call
The Company will host a conference call on Tuesday, April 19, 2011, at
9:30 a.m. (Eastern Time) to discuss its performance and strategies in
the three months ended March 31, 2011. The conference call may be
accessed by dialing 800-862-9098 (for domestic calls) or 785-424-1051
(for international calls) and providing the following access code:
1Q11NYCB. A replay will be available approximately two hours following
completion of the call through midnight on April 23rd, and may be
accessed by calling 800-374-0328 (domestic) or 402-220-0663
(international) and providing the same access code. The conference call
also will be webcast, and may be accessed by visiting ir.myNYCB.com. The
webcast will be archived through 5:00 p.m. on May 17, 2011.
Earnings Release Dates in 2011
The Company currently expects to issue its earnings releases for the
second and third quarters of 2011 on the following dates: 2nd Quarter - Thursday,
July 21, 2011, and 3rd Quarter - Wednesday, October 19, 2011.
Earnings release dates and conference call details will be announced,
and posted to the Company’s web site, during the last week of June and
September.
Forward-Looking Statements
This earnings release and the associated conference call include
forward-looking statements by the Company and our authorized officers
pertaining to such matters as our goals, intentions, and expectations
regarding revenues, earnings, loan production, asset quality, and
acquisitions, among other matters; our estimates of future costs and
benefits of the actions we may take; our assessments of probable losses
on loans; our assessments of interest rate and other market risks; and
our ability to achieve our financial and other strategic goals.
Forward-looking statements are typically identified by words such as
“believe,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,”
“forecast,” “project,” and other similar words and expressions, and are
subject to numerous assumptions, risks, and uncertainties, which change
over time. Additionally, forward-looking statements speak only as of the
date they are made; the Company does not assume any duty, and does not
undertake, to update our forward-looking statements. Furthermore,
because forward-looking statements are subject to assumptions and
uncertainties, actual results or future events could differ, possibly
materially, from those anticipated in our statements, and our future
performance could differ materially from our historical results.
Our forward-looking statements are subject to the following principal
risks and uncertainties: general economic conditions and trends, either
nationally or locally; conditions in the securities markets; changes in
interest rates; changes in deposit flows, and in the demand for deposit,
loan, and investment products and other financial services; changes in
real estate values; changes in the quality or composition of our loan or
investment portfolios; changes in competitive pressures among financial
institutions or from non-financial institutions; our ability to retain
key members of management; our ability to successfully integrate any
assets, liabilities, customers, systems, and management personnel we may
acquire into our operations, and to realize related revenue synergies
and cost savings within expected time frames; changes in legislation,
regulations, and policies; and a variety of other matters which, by
their nature, are subject to significant uncertainties and/or are beyond
our control.
Greater detail regarding some of these factors is provided in our Form
10-K for the year ended December 31, 2010 and our Forms 10-Q for the
quarters ended March 31, June 30, and September 30, 2010, including in
the Risk Factors section of those and other SEC reports. Our
forward-looking statements may also be subject to other risks and
uncertainties, including those we may discuss elsewhere in this news
release, our conference call, during investor presentations, or in our
SEC filings, which are accessible on our web site and at the SEC’s web
site, www.sec.gov.
- Financial Statements and Highlights Follow -
|
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
CONSOLIDATED STATEMENTS OF CONDITION
|
|
(in thousands, except share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31,
|
|
December 31,
|
|
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
(unaudited)
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
|
$
|
2,351,729
|
|
|
$
|
1,927,542
|
|
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
Available-for-sale
|
|
|
|
|
490,779
|
|
|
|
652,956
|
|
|
Held-to-maturity
|
|
|
|
|
4,304,218
|
|
|
|
4,135,935
|
|
|
Total securities
|
|
|
|
|
4,794,997
|
|
|
|
4,788,891
|
|
|
Loans held for sale
|
|
|
|
|
507,461
|
|
|
|
1,207,077
|
|
|
Non-covered mortgage loans held for investment:
|
|
|
|
|
|
|
|
|
|
|
|
Multi-family
|
|
|
|
|
16,893,236
|
|
|
|
16,801,868
|
|
|
Commercial real estate
|
|
|
|
|
5,701,409
|
|
|
|
5,438,270
|
|
|
Acquisition, development, and construction
|
|
|
|
|
554,389
|
|
|
|
569,193
|
|
|
One-to-four family
|
|
|
|
|
155,813
|
|
|
|
170,392
|
|
|
Total non-covered mortgage loans held for investment
|
|
|
|
|
23,304,847
|
|
|
|
22,979,723
|
|
|
Non-covered other loans held for investment
|
|
|
|
|
719,886
|
|
|
|
727,771
|
|
|
Total non-covered loans held for investment
|
|
|
|
|
24,024,733
|
|
|
|
23,707,494
|
|
|
Less: Allowance for losses on non-covered loans
|
|
|
|
|
(146,306
|
)
|
|
|
(158,942
|
)
|
|
Non-covered loans held for investment, net
|
|
|
|
|
23,878,427
|
|
|
|
23,548,552
|
|
|
Covered loans
|
|
|
|
|
4,141,082
|
|
|
|
4,297,869
|
|
|
Less: Allowance for losses on covered loans
|
|
|
|
|
(11,903
|
)
|
|
|
(11,903
|
)
|
|
Covered loans, net
|
|
|
|
|
4,129,179
|
|
|
|
4,285,966
|
|
|
Total loans, net
|
|
|
|
|
28,515,067
|
|
|
|
29,041,595
|
|
|
Federal Home Loan Bank stock, at cost
|
|
|
|
|
422,731
|
|
|
|
446,014
|
|
|
Premises and equipment, net
|
|
|
|
|
246,975
|
|
|
|
233,694
|
|
|
FDIC loss share receivable
|
|
|
|
|
777,183
|
|
|
|
814,088
|
|
|
Goodwill
|
|
|
|
|
2,436,159
|
|
|
|
2,436,159
|
|
|
Core deposit intangibles, net
|
|
|
|
|
70,349
|
|
|
|
77,734
|
|
|
Other assets (includes $81,197 of other real estate owned (“OREO”)
covered by FDIC loss sharing agreements at March 31, 2011)
|
|
|
|
|
1,431,754
|
|
|
|
1,424,972
|
|
|
Total assets
|
|
|
|
$
|
41,046,944
|
|
|
$
|
41,190,689
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders’ Equity
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market accounts
|
|
|
|
$
|
8,919,226
|
|
|
$
|
8,235,825
|
|
|
Savings accounts
|
|
|
|
|
3,949,970
|
|
|
|
3,885,785
|
|
|
Certificates of deposit
|
|
|
|
|
7,453,547
|
|
|
|
7,835,161
|
|
|
Non-interest-bearing accounts
|
|
|
|
|
1,875,404
|
|
|
|
1,852,280
|
|
|
Total deposits
|
|
|
|
|
22,198,147
|
|
|
|
21,809,051
|
|
|
Borrowed funds:
|
|
|
|
|
|
|
|
|
|
|
|
Wholesale borrowings
|
|
|
|
|
11,984,163
|
|
|
|
12,500,659
|
|
|
Junior subordinated debentures
|
|
|
|
|
426,903
|
|
|
|
426,992
|
|
|
Other borrowings
|
|
|
|
|
608,496
|
|
|
|
608,465
|
|
|
Total borrowed funds
|
|
|
|
|
13,019,562
|
|
|
|
13,536,116
|
|
|
Other liabilities
|
|
|
|
|
288,649
|
|
|
|
319,302
|
|
|
Total liabilities
|
|
|
|
|
35,506,358
|
|
|
|
35,664,469
|
|
|
Stockholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock at par $0.01 (5,000,000 shares authorized; none
issued)
|
|
|
|
|
--
|
|
|
|
--
|
|
|
Common stock at par $0.01 (600,000,000 shares authorized;
437,341,143 and 435,646,845 shares issued and outstanding,
respectively)
|
|
|
|
|
4,373
|
|
|
|
4,356
|
|
|
Paid-in capital in excess of par
|
|
|
|
|
5,290,868
|
|
|
|
5,285,715
|
|
|
Retained earnings
|
|
|
|
|
295,866
|
|
|
|
281,844
|
|
|
Accumulated other comprehensive loss, net of tax:
|
|
|
|
|
|
|
|
|
|
|
|
Net unrealized gain on securities available for sale, net of tax
|
|
|
|
|
7,010
|
|
|
|
12,600
|
|
|
Net unrealized loss on the non-credit portion of
other-than-temporary impairment (“OTTI”) losses, net of tax
|
|
|
|
|
(20,552
|
)
|
|
|
(20,572
|
)
|
|
Pension and post-retirement obligations, net of tax
|
|
|
|
|
(36,979
|
)
|
|
|
(37,723
|
)
|
|
Total accumulated other comprehensive loss, net of tax
|
|
|
|
|
(50,521
|
)
|
|
|
(45,695
|
)
|
|
Total stockholders’ equity
|
|
|
|
|
5,540,586
|
|
|
|
5,526,220
|
|
|
Total liabilities and stockholders’ equity
|
|
|
|
$
|
41,046,944
|
|
|
$
|
41,190,689
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
CONSOLIDATED STATEMENTS OF INCOME
|
|
(in thousands, except per share data)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
March 31,
|
|
|
|
|
|
|
2011
|
|
2010
|
|
Interest Income:
|
|
|
|
|
|
|
|
|
Mortgage and other loans
|
|
|
|
$
|
415,942
|
|
$
|
413,675
|
|
|
Securities and money market investments
|
|
|
|
|
54,981
|
|
|
68,703
|
|
|
Total interest income
|
|
|
|
|
470,923
|
|
|
482,378
|
|
|
|
|
|
|
|
|
|
|
|
Interest Expense:
|
|
|
|
|
|
|
|
|
NOW and money market accounts
|
|
|
|
|
11,154
|
|
|
16,431
|
|
|
Savings accounts
|
|
|
|
|
4,127
|
|
|
5,745
|
|
|
Certificates of deposit
|
|
|
|
|
26,974
|
|
|
37,553
|
|
|
Borrowed funds
|
|
|
|
|
125,416
|
|
|
128,065
|
|
|
Total interest expense
|
|
|
|
|
167,671
|
|
|
187,794
|
|
|
Net interest income
|
|
|
|
|
303,252
|
|
|
294,584
|
|
|
Provision for loan losses
|
|
|
|
|
26,000
|
|
|
20,000
|
|
|
Net interest income after provision for loan losses
|
|
|
|
|
277,252
|
|
|
274,584
|
|
|
|
|
|
|
|
|
|
|
|
Non-Interest Income:
|
|
|
|
|
|
|
|
|
Fee income
|
|
|
|
|
11,899
|
|
|
13,965
|
|
|
Bank-owned life insurance
|
|
|
|
|
6,889
|
|
|
7,401
|
|
|
Net gain (loss) on sale of securities
|
|
|
|
|
9,992
|
|
|
(8
|
)
|
|
Mortgage banking income
|
|
|
|
|
19,938
|
|
|
27,533
|
|
|
Other income
|
|
|
|
|
9,892
|
|
|
6,153
|
|
|
Total non-interest income
|
|
|
|
|
58,610
|
|
|
55,044
|
|
|
|
|
|
|
|
|
|
|
|
Non-Interest Expense:
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
Compensation and benefits
|
|
|
|
|
72,068
|
|
|
66,900
|
|
|
Occupancy and equipment
|
|
|
|
|
21,940
|
|
|
21,665
|
|
|
General and administrative
|
|
|
|
|
45,309
|
|
|
40,290
|
|
|
Total operating expenses
|
|
|
|
|
139,317
|
|
|
128,855
|
|
|
Amortization of core deposit intangibles
|
|
|
|
|
7,385
|
|
|
7,892
|
|
|
Total non-interest expense
|
|
|
|
|
146,702
|
|
|
136,747
|
|
|
Income before income taxes
|
|
|
|
|
189,160
|
|
|
192,881
|
|
|
Income tax expense
|
|
|
|
|
65,984
|
|
|
68,732
|
|
|
Net Income
|
|
|
|
$
|
123,176
|
|
$
|
124,149
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share
|
|
|
|
$
|
0.28
|
|
$
|
0.29
|
|
|
Diluted earnings per share
|
|
|
|
$
|
0.28
|
|
$
|
0.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
RECONCILIATIONS OF GAAP AND OPERATING EARNINGS
|
|
(unaudited)
|
|
|
|
|
|
|
|
Although operating earnings are not a measure of performance
calculated in accordance with U.S. generally accepted accounting
principles (“GAAP”), we believe that operating earnings are an
important indication of our ability to generate earnings through
our fundamental banking business. Since operating earnings exclude
the effects of certain items that are unusual and/or difficult to
predict, we believe that our operating earnings provide useful
supplemental information to both management and investors in
evaluating our financial results.
|
|
|
|
|
|
|
|
Operating earnings should not be considered in isolation or as a
substitute for net income, cash flows from operating activities,
or other income or cash flow statement data calculated in
accordance with GAAP. Moreover, the manner in which we calculate
our operating earnings may differ from that of other companies
reporting measures with similar names.
|
|
|
|
|
|
|
|
Reconciliations of our GAAP and operating earnings for the three
months ended March 31, 2011, December 31, 2010, and March 31, 2010
follow:
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
|
|
|
|
March 31,
|
|
Dec. 31,
|
|
March 31,
|
|
(in thousands, except per share data)
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
GAAP Earnings
|
|
|
|
$
|
123,176
|
|
|
$
|
149,832
|
|
|
$
|
124,149
|
|
|
Adjustments to GAAP earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on sales of securities
|
|
|
|
|
(9,992
|
)
|
|
|
(22,438
|
)
|
|
|
--
|
|
|
Acquisition-related costs
|
|
|
|
|
--
|
|
|
|
6,317
|
|
|
|
2,682
|
|
|
Income tax effect
|
|
|
|
|
4,016
|
|
|
|
6,422
|
|
|
|
(956
|
)
|
|
Operating earnings
|
|
|
|
$
|
117,200
|
|
|
$
|
140,133
|
|
|
$
|
125,875
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted GAAP Earnings per Share
|
|
|
|
$
|
0.28
|
|
|
$
|
0.34
|
|
|
$
|
0.29
|
|
|
Adjustments to diluted GAAP earnings per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on sales of securities
|
|
|
|
|
(0.01
|
)
|
|
|
(0.03
|
)
|
|
|
--
|
|
|
Acquisition-related costs
|
|
|
|
|
--
|
|
|
|
0.01
|
|
|
|
--
|
|
|
Diluted operating earnings per share
|
|
|
|
$
|
0.27
|
|
|
$
|
0.32
|
|
|
$
|
0.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
RECONCILIATION OF GAAP AND CASH EARNINGS
|
|
(unaudited)
|
|
|
|
|
|
|
|
Although cash earnings are not a measure of performance calculated
in accordance with GAAP, we believe that they are important
because of their contribution to tangible stockholders’ equity.
(Please see the discussion and reconciliations of stockholders’
equity and tangible stockholders’ equity that appear on the
following page.) We calculate cash earnings by adding back to GAAP
earnings certain items that have been charged against them but
that are added to, rather than subtracted from, tangible
stockholders’ equity. For this reason, we believe that cash
earnings are useful to investors seeking to evaluate our financial
performance and to compare our performance with other companies in
the banking industry that also report cash earnings.
|
|
|
|
|
|
|
|
Cash earnings should not be considered in isolation or as a
substitute for net income, cash flows from operating activities,
or other income or cash flow statement data calculated in
accordance with GAAP. Moreover, the manner in which we calculate
cash earnings may differ from that of other companies reporting
measures with similar names.
|
|
|
|
|
|
|
|
Reconciliations of our GAAP and cash earnings for the three months
ended March 31, 2011, December 31, 2010, and March 31, 2010 follow:
|
|
|
|
|
|
|
|
(in thousands, except per share data)
|
|
|
|
For the Three Months Ended
|
|
|
|
March 31,
2011
|
|
Dec. 31,
2010
|
|
March 31,
2010
|
|
GAAP Earnings
|
|
|
|
$
|
123,176
|
|
|
$
|
149,832
|
|
|
$
|
124,149
|
|
|
Additional contributions to tangible stockholders’ equity:(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization and appreciation of shares held in stock-related
benefit plans
|
|
|
|
|
3,612
|
|
|
|
3,880
|
|
|
|
4,057
|
|
|
Associated tax effects
|
|
|
|
|
1,639
|
|
|
|
815
|
|
|
|
657
|
|
|
Dividends on unallocated ESOP shares
|
|
|
|
|
--
|
|
|
|
74
|
|
|
|
75
|
|
|
Amortization of core deposit intangibles
|
|
|
|
|
7,385
|
|
|
|
7,673
|
|
|
|
7,892
|
|
|
Total additional contributions to tangible stockholders’ equity (1)
|
|
|
|
|
12,636
|
|
|
|
12,442
|
|
|
|
12,681
|
|
|
Cash earnings
|
|
|
|
$
|
135,812
|
|
|
$
|
162,274
|
|
|
$
|
136,830
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted GAAP Earnings per Share
|
|
|
|
$
|
0.28
|
|
|
$
|
0.34
|
|
|
$
|
0.29
|
|
|
Additional contributions to diluted GAAP earnings per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization and appreciation of shares held in stock-related
benefit plans
|
|
|
|
|
0.01
|
|
|
|
0.01
|
|
|
|
0.01
|
|
|
Associated tax effects
|
|
|
|
|
--
|
|
|
|
--
|
|
|
|
--
|
|
|
Dividends on unallocated ESOP shares
|
|
|
|
|
--
|
|
|
|
--
|
|
|
|
--
|
|
|
Amortization of core deposit intangibles
|
|
|
|
|
0.02
|
|
|
|
0.02
|
|
|
|
0.02
|
|
|
Total additional contributions to diluted GAAP earnings per share
|
|
|
|
|
0.03
|
|
|
|
0.03
|
|
|
|
0.03
|
|
|
Diluted cash earnings per share
|
|
|
|
$
|
0.31
|
|
|
$
|
0.37
|
|
|
$
|
0.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Earnings Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash return on average assets
|
|
|
|
|
1.33
|
%
|
|
|
1.58
|
%
|
|
|
1.29
|
%
|
|
Cash return on average tangible assets (1)
|
|
|
|
|
1.42
|
|
|
|
1.68
|
|
|
|
1.37
|
|
|
Cash return on average stockholders’ equity
|
|
|
|
|
9.86
|
|
|
|
11.75
|
|
|
|
10.20
|
|
|
Cash return on average tangible stockholders’ equity (1)
|
|
|
|
|
18.10
|
|
|
|
21.61
|
|
|
|
19.38
|
|
|
Cash efficiency ratio (2)
|
|
|
|
|
37.50
|
|
|
|
33.50
|
|
|
|
35.69
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Please see the reconciliations of stockholders’ equity and
tangible stockholders’ equity, total assets and tangible assets,
and the related measures that appear on the following page.
|
|
(2)
|
|
We calculate our cash efficiency ratio by dividing our operating
expenses by the sum of our net interest income and non-interest
income after excluding the pertinent non-cash items from our
operating expenses and non-interest income.
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
RECONCILIATIONS OF STOCKHOLDERS’ EQUITY AND TANGIBLE
STOCKHOLDERS’ EQUITY,
|
|
TOTAL ASSETS AND TANGIBLE ASSETS, AND THE RELATED MEASURES
|
|
(unaudited)
|
|
|
|
|
|
|
|
Although tangible stockholders’ equity, adjusted tangible
stockholders’ equity, tangible assets, and adjusted tangible
assets are not measures that are calculated in accordance with
GAAP, management uses these non-GAAP measures in their analysis of
our performance. We believe that these non-GAAP measures are an
important indication of our ability to grow both organically and
through business combinations, and, with respect to tangible
stockholders’ equity and adjusted tangible stockholders’ equity,
our ability to pay dividends and to engage in various capital
management strategies.
|
|
|
|
|
|
|
|
Neither tangible stockholders’ equity, adjusted tangible
stockholders’ equity, tangible assets, adjusted tangible assets,
nor the related measures should be considered in isolation or as a
substitute for stockholders’ equity, total assets, or any other
measure calculated in accordance with GAAP. Moreover, the manner
in which we calculate our tangible stockholders’ equity, adjusted
tangible stockholders’ equity, tangible assets, adjusted tangible
assets, and the related measures may differ from that of other
companies reporting measures with similar names.
|
|
|
|
|
|
|
|
Reconciliations of our stockholders’ equity, tangible
stockholders’ equity, and adjusted tangible stockholders’ equity;
total assets, tangible assets, and adjusted tangible assets; and
the related measures at or for the three months ended March 31,
2011 and December 31, 2010 follow:
|
|
|
|
|
|
|
|
|
|
|
|
At or for the
|
|
|
|
|
|
Three Months Ended
|
|
|
|
|
|
March 31,
|
|
Dec. 31,
|
|
|
|
|
|
2011
|
|
2010
|
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
Total Stockholders’ Equity
|
|
|
|
$
|
5,540,586
|
|
|
$
|
5,526,220
|
|
|
Less: Goodwill
|
|
|
|
|
(2,436,159
|
)
|
|
|
(2,436,159
|
)
|
|
Core deposit intangibles
|
|
|
|
|
(70,349
|
)
|
|
|
(77,734
|
)
|
|
Tangible stockholders’ equity
|
|
|
|
$
|
3,034,078
|
|
|
$
|
3,012,327
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Assets
|
|
|
|
$
|
41,046,944
|
|
|
$
|
41,190,689
|
|
|
Less: Goodwill
|
|
|
|
|
(2,436,159
|
)
|
|
|
(2,436,159
|
)
|
|
Core deposit intangibles
|
|
|
|
|
(70,349
|
)
|
|
|
(77,734
|
)
|
|
Tangible assets
|
|
|
|
$
|
38,540,436
|
|
|
$
|
38,676,796
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible Stockholders’ Equity
|
|
|
|
$
|
3,034,078
|
|
|
$
|
3,012,327
|
|
|
Add back: Accumulated other comprehensive loss, net of tax
|
|
|
|
|
50,521
|
|
|
|
45,695
|
|
|
Adjusted tangible stockholders’ equity
|
|
|
|
$
|
3,084,599
|
|
|
$
|
3,058,022
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible Assets
|
|
|
|
$
|
38,540,436
|
|
|
$
|
38,676,796
|
|
|
Add back: Accumulated other comprehensive loss, net of tax
|
|
|
|
|
50,521
|
|
|
|
45,695
|
|
|
Adjusted tangible assets
|
|
|
|
$
|
38,590,957
|
|
|
$
|
38,722,491
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Stockholders’ Equity
|
|
|
|
$
|
5,511,970
|
|
|
$
|
5,522,942
|
|
|
Less: Average goodwill and core deposit intangibles
|
|
|
|
|
(2,511,349
|
)
|
|
|
(2,519,028
|
)
|
|
Average tangible stockholders’ equity
|
|
|
|
$
|
3,000,621
|
|
|
$
|
3,003,914
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Assets
|
|
|
|
$
|
40,713,044
|
|
|
$
|
41,047,792
|
|
|
Less: Average goodwill and core deposit intangibles
|
|
|
|
|
(2,511,349
|
)
|
|
|
(2,519,028
|
)
|
|
Average tangible assets
|
|
|
|
$
|
38,201,695
|
|
|
$
|
38,528,764
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income
|
|
|
|
$
|
123,176
|
|
|
$
|
149,832
|
|
|
Add back: Amortization of core deposit intangibles, net of tax
|
|
|
|
|
4,431
|
|
|
|
4,681
|
|
|
Adjusted net income
|
|
|
|
$
|
127,607
|
|
|
$
|
154,513
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
NET INTEREST INCOME ANALYSIS
|
|
(dollars in thousands)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31,
|
|
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
|
Average
|
|
|
|
|
|
Average
|
|
|
|
|
|
Average
|
|
|
|
Yield/
|
|
Average
|
|
|
|
Yield/
|
|
|
|
|
|
Balance
|
|
Interest
|
|
Cost
|
|
Balance
|
|
Interest
|
|
Cost
|
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage and other loans, net
|
|
|
|
$
|
28,491,025
|
|
$
|
415,942
|
|
5.84
|
%
|
|
$
|
28,289,706
|
|
$
|
413,675
|
|
5.85
|
%
|
|
Securities and money market investments
|
|
|
|
|
5,176,631
|
|
|
54,981
|
|
4.25
|
|
|
|
6,044,545
|
|
|
68,703
|
|
4.55
|
|
|
Total interest-earning assets
|
|
|
|
|
33,667,656
|
|
|
470,923
|
|
5.60
|
|
|
|
34,334,251
|
|
|
482,378
|
|
5.62
|
|
|
Non-interest-earning assets
|
|
|
|
|
7,045,388
|
|
|
|
|
|
|
|
8,178,813
|
|
|
|
|
|
|
Total assets
|
|
|
|
$
|
40,713,044
|
|
|
|
|
|
|
$
|
42,513,064
|
|
|
|
|
|
|
Liabilities and Stockholders’ Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market accounts
|
|
|
|
$
|
8,430,376
|
|
$
|
11,154
|
|
0.54
|
%
|
|
$
|
8,363,939
|
|
$
|
16,431
|
|
0.80
|
%
|
|
Savings accounts
|
|
|
|
|
3,910,617
|
|
|
4,127
|
|
0.43
|
|
|
|
3,820,433
|
|
|
5,745
|
|
0.61
|
|
|
Certificates of deposit
|
|
|
|
|
7,642,160
|
|
|
26,974
|
|
1.43
|
|
|
|
8,977,527
|
|
|
37,553
|
|
1.70
|
|
|
Total interest-bearing deposits
|
|
|
|
|
19,983,153
|
|
|
42,255
|
|
0.86
|
|
|
|
21,161,899
|
|
|
59,729
|
|
1.14
|
|
|
Borrowed funds
|
|
|
|
|
13,047,968
|
|
|
125,416
|
|
3.89
|
|
|
|
13,909,058
|
|
|
128,065
|
|
3.73
|
|
|
Total interest-bearing liabilities
|
|
|
|
|
33,031,121
|
|
|
167,671
|
|
2.06
|
|
|
|
35,070,957
|
|
|
187,794
|
|
2.17
|
|
|
Non-interest-bearing deposits
|
|
|
|
|
1,811,249
|
|
|
|
|
|
|
|
1,696,176
|
|
|
|
|
|
|
Other liabilities
|
|
|
|
|
358,704
|
|
|
|
|
|
|
|
381,693
|
|
|
|
|
|
|
Total liabilities
|
|
|
|
|
35,201,074
|
|
|
|
|
|
|
|
37,148,826
|
|
|
|
|
|
|
Stockholders’ equity
|
|
|
|
|
5,511,970
|
|
|
|
|
|
|
|
5,364,238
|
|
|
|
|
|
|
Total liabilities and stockholders’ equity
|
|
|
|
$
|
40,713,044
|
|
|
|
|
|
|
$
|
42,513,064
|
|
|
|
|
|
|
Net interest income/interest rate spread
|
|
|
|
|
|
$
|
303,252
|
|
3.54
|
%
|
|
|
|
$
|
294,584
|
|
3.45
|
%
|
|
Net interest margin
|
|
|
|
|
|
|
|
3.58
|
%
|
|
|
|
|
|
3.41
|
%
|
|
Ratio of interest-earning assets to interest-bearing liabilities
|
|
|
|
|
|
|
|
1.02
|
x
|
|
|
|
|
|
0.98
|
x
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core deposits (1)
|
|
|
|
$
|
14,152,242
|
|
$
|
15,281
|
|
0.44
|
%
|
|
$
|
13,880,548
|
|
$
|
22,176
|
|
0.65
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Refers to all deposits other than certificates of deposit.
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
NET INTEREST INCOME ANALYSIS
|
|
(dollars in thousands)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
|
|
|
|
March 31, 2011
|
|
December 31, 2010
|
|
|
|
|
|
|
|
|
|
Average
|
|
|
|
|
|
Average
|
|
|
|
|
|
Average
|
|
|
|
Yield/
|
|
Average
|
|
|
|
Yield/
|
|
|
|
|
|
Balance
|
|
Interest
|
|
Cost
|
|
Balance
|
|
Interest
|
|
Cost
|
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage and other loans, net
|
|
|
|
$
|
28,491,025
|
|
$
|
415,942
|
|
5.84
|
%
|
|
$
|
29,093,967
|
|
$
|
428,850
|
|
5.89
|
%
|
|
Securities and money market investments
|
|
|
|
|
5,176,631
|
|
|
54,981
|
|
4.25
|
|
|
|
4,806,688
|
|
|
51,949
|
|
4.32
|
|
|
Total interest-earning assets
|
|
|
|
|
33,667,656
|
|
|
470,923
|
|
5.60
|
|
|
|
33,900,655
|
|
|
480,799
|
|
5.67
|
|
|
Non-interest-earning assets
|
|
|
|
|
7,045,388
|
|
|
|
|
|
|
|
7,147,137
|
|
|
|
|
|
|
Total assets
|
|
|
|
$
|
40,713,044
|
|
|
|
|
|
|
$
|
41,047,792
|
|
|
|
|
|
|
Liabilities and Stockholders’ Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and money market accounts
|
|
|
|
$
|
8,430,376
|
|
$
|
11,154
|
|
0.54
|
%
|
|
$
|
8,209,423
|
|
$
|
11,605
|
|
0.56
|
%
|
|
Savings accounts
|
|
|
|
|
3,910,617
|
|
|
4,127
|
|
0.43
|
|
|
|
3,892,312
|
|
|
4,464
|
|
0.46
|
|
|
Certificates of deposit
|
|
|
|
|
7,642,160
|
|
|
26,974
|
|
1.43
|
|
|
|
7,934,080
|
|
|
29,989
|
|
1.50
|
|
|
Total interest-bearing deposits
|
|
|
|
|
19,983,153
|
|
|
42,255
|
|
0.86
|
|
|
|
20,035,815
|
|
|
46,058
|
|
0.91
|
|
|
Borrowed funds
|
|
|
|
|
13,047,968
|
|
|
125,416
|
|
3.89
|
|
|
|
13,144,827
|
|
|
129,751
|
|
3.92
|
|
|
Total interest-bearing liabilities
|
|
|
|
|
33,031,121
|
|
|
167,671
|
|
2.06
|
|
|
|
33,180,642
|
|
|
175,809
|
|
2.10
|
|
|
Non-interest-bearing deposits
|
|
|
|
|
1,811,249
|
|
|
|
|
|
|
|
1,963,577
|
|
|
|
|
|
|
Other liabilities
|
|
|
|
|
358,704
|
|
|
|
|
|
|
|
380,631
|
|
|
|
|
|
|
Total liabilities
|
|
|
|
|
35,201,074
|
|
|
|
|
|
|
|
35,524,850
|
|
|
|
|
|
|
Stockholders’ equity
|
|
|
|
|
5,511,970
|
|
|
|
|
|
|
|
5,522,942
|
|
|
|
|
|
|
Total liabilities and stockholders’ equity
|
|
|
|
$
|
40,713,044
|
|
|
|
|
|
|
$
|
41,047,792
|
|
|
|
|
|
|
Net interest income/interest rate spread
|
|
|
|
|
|
$
|
303,252
|
|
3.54
|
%
|
|
|
|
$
|
304,990
|
|
3.57
|
%
|
|
Net interest margin
|
|
|
|
|
|
|
|
3.58
|
%
|
|
|
|
|
|
3.61
|
%
|
|
Ratio of interest-earning assets to interest-bearing liabilities
|
|
|
|
|
|
|
|
1.02
|
x
|
|
|
|
|
|
1.02
|
x
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core deposits (1)
|
|
|
|
$
|
14,152,242
|
|
$
|
15,281
|
|
0.44
|
%
|
|
$
|
14,065,312
|
|
$
|
16,069
|
|
0.45
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Refers to all deposits other than certificates of deposit.
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
|
|
CONSOLIDATED FINANCIAL HIGHLIGHTS
|
|
(dollars in thousands, except share and per share data)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31,
|
|
|
|
|
|
2011
|
|
2010
|
|
GAAP EARNINGS DATA:
|
|
|
|
|
|
|
|
|
|
Net income
|
|
|
|
$
|
123,176
|
|
|
$
|
124,149
|
|
|
Basic earnings per share
|
|
|
|
|
0.28
|
|
|
|
0.29
|
|
|
Diluted earnings per share
|
|
|
|
|
0.28
|
|
|
|
0.29
|
|
|
Return on average assets
|
|
|
|
|
1.21
|
%
|
|
|
1.17
|
%
|
|
Return on average tangible assets (1)
|
|
|
|
|
1.34
|
|
|
|
1.29
|
|
|
Return on average stockholders’ equity
|
|
|
|
|
8.94
|
|
|
|
9.26
|
|
|
Return on average tangible stockholders’ equity (1)
|
|
|
|
|
17.01
|
|
|
|
18.26
|
|
|
Efficiency ratio (2)
|
|
|
|
|
38.50
|
|
|
|
36.85
|
|
|
Operating expenses to average assets
|
|
|
|
|
1.37
|
|
|
|
1.21
|
|
|
Interest rate spread
|
|
|
|
|
3.54
|
|
|
|
3.45
|
|
|
Net interest margin
|
|
|
|
|
3.58
|
|
|
|
3.41
|
|
|
Shares used for basic EPS computation
|
|
|
|
|
435,563,415
|
|
|
|
432,131,304
|
|
|
Shares used for diluted EPS computation
|
|
|
|
|
436,413,349
|
|
|
|
432,446,674
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING EARNINGS DATA: (3)
|
|
|
|
|
|
|
|
|
|
Operating earnings
|
|
|
|
$
|
117,200
|
|
|
$
|
125,875
|
|
|
Basic operating earnings per share
|
|
|
|
|
0.27
|
|
|
|
0.29
|
|
|
Diluted operating earnings per share
|
|
|
|
|
0.27
|
|
|
|
0.29
|
|
|
Return on average assets
|
|
|
|
|
1.15
|
%
|
|
|
1.18
|
%
|
|
Return on average tangible assets (1)
|
|
|
|
|
1.27
|
|
|
|
1.31
|
|
|
Return on average stockholders’ equity
|
|
|
|
|
8.51
|
|
|
|
9.39
|
|
|
Return on average tangible stockholders’ equity (1)
|
|
|
|
|
16.21
|
|
|
|
18.51
|
|
|
Operating efficiency ratio (2)
|
|
|
|
|
39.59
|
|
|
|
36.09
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Please see the reconciliations of stockholders’ equity and
tangible stockholders’ equity, total assets and tangible assets,
and the related measures earlier in this release.
|
|
(2)
|
|
We calculate our GAAP and operating efficiency ratios by dividing
the respective operating expenses by the respective sums of net
interest income and non-interest income. Please see the
reconciliations of GAAP and operating earnings earlier in this
release.
|
|
(3)
|
|
Please see the reconciliations of GAAP and operating earnings
earlier in this release.
|
|
|
|
|
|
|
|
NEW YORK COMMUNITY BANCORP, INC.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
At or for the Three Months Ended
|
|
|
|
March 31,
|
|
December 31,
|
|
|
|
|
|
2011
|
|
2010
|
|
BALANCE SHEET DATA:
|
|
|
|
|
|
|
|
|
|
Book value per share
|
|
|
|
$
|
12.67
|
|
|
$
|
12.69
|
|
|
Tangible book value per share (1)
|
|
|
|
|
6.94
|
|
|
|
6.91
|
|
|
Stockholders’ equity to total assets
|
|
|
|
|
13.50
|
%
|
|
|
13.42
|
%
|
|
Tangible stockholders’ equity to tangible assets (1)
|
|
|
|
|
7.87
|
|
|
|
7.79
|
|
|
Tangible stockholders’ equity to tangible assets excluding
accumulated other comprehensive loss, net of tax (1)
|
|
|
|
|
7.99
|
|
|
|
7.90
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSET QUALITY RATIOS:
|
|
|
|
|
|
|
|
|
|
Non-performing non-covered loans to total loans
|
|
|
|
|
2.19
|
%
|
|
|
2.23
|
%
|
|
Non-performing non-covered assets to total assets
|
|
|
|
|
1.58
|
|
|
|
1.58
|
|
|
Allowance for losses on non-covered loans to non-performing non-
covered loans
|
|
|
|
|
23.72
|
|
|
|
25.45
|
|
|
Allowance for losses on non-covered loans to total non-covered loans
|
|
|
|
|
0.61
|
|
|
|
0.67
|
|
|
Net charge-offs during the period to average loans outstanding
during the period
|
|
|
|
|
0.14
|
|
|
|
0.05
|
|
|
Net charge-offs during the period to the average allowance for
losses on non-covered loans during the period
|
|
|
|
|
24.39
|
|
|
|
8.91
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Please see the reconciliations of stockholders’ equity and tangible
stockholders’ equity, total assets and tangible assets, and the
related measures earlier in this release.
|
|
|
|
|
|
|
|
Footnotes to the Text
|
|
|
|
|
|
(1)
|
|
Please see the reconciliations of our GAAP and cash earnings that
appear elsewhere in this release.
|
|
(2)
|
|
Please see the reconciliations of our GAAP and operating earnings
that appear elsewhere in this release.
|
|
(3)
|
|
Please see the reconciliations of our stockholders’ equity and
tangible stockholders’ equity, total assets and tangible assets,
and the related measures that appear elsewhere in this release.
|
|
(4)
|
|
We calculate our GAAP and operating efficiency ratios by dividing
the respective operating expenses by the respective sums of net
interest income and non-interest income. Please see the
reconciliations of GAAP and operating earnings that appear
elsewhere in this release.
|
|
|
|
|
Source: New York Community Bancorp, Inc.