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Yields below are based on the Q2-09 dividends ASBC, CMA, FMBI, FULT, HBAN, MBFI, ONB, SNV, SUSQ and USB have reduced their Q2-09 dividends ASBC Reports $0.28 for Q4-08 vs. $0.52 in Q4-07 Business Wire 4-16 Green Bay's Associated Banc-Corp reported Q4-08 Net income available to common shareholders of $35.4 million [$0.28/share] compared to $66.5 million [$0.52/share] for Q1-08. ROA was 0.71% and ROE was 5.98%. Book value was $18.68. Stockholders' equity / assets ratio was 11.90%. Tangible common equity / tangible assets ratio was 6.10%. Tangible equity to tangible assets ratio was 8.27%. The net interest income was $189.3 million compared to $165.1 million for Q1-08. The net interest margin was 3.59% compared to 3.58% at March 31, 2008. The provision for loan losses for the quarter was $105.4 million compared to $23.0 million for Q1-08. Total earning assets of $21.959 billion earned $269.029 million at an average yield of 4.94%. Total interest-bearing liabilities of $18.458 million cost $73.207 million at an average yield of 1.61%. Core fee-based revenue was $61.368 million compared to $61.298 million in Q1-08. Deposit fees growth was offset by declines in other categories. Service charges on deposit accounts rose to $27.205 million from $23.684 million in Q1-08. Trust service fees fell to $8.477 million from $10.074 million in Q1-08 largely due to market declines.Total noninterest income [which includes security gains and mortgage related revenues] was $88.977 million compared to $82.628 million in Q1-08. Nonperforming loans were $452.175 million [2.84% of loans] compared to $340.668 million [2.09%] at December 31, 2008 and $207.457 million [1.31%] at the end of Q1-08. The increase in nonperforming loans reflects the continued deterioration in commercial real estate and construction credits. NPLs of $452.175 million plus OREO of $54.883 million resulted in Total nonperforming assets of $507.058 million [2.08% of assets and 3.17% of total loans plus OREO]. Net charge offs were $57.6 million [1.42% of average loans] compared to $16.0 million [0.41%] for Q1-08. The increase in net charge offs is primarily attributable to several commercial and industrial loans. BBT Reports $0.48 vs. $0.78 in Q1-08 Business Wire 4-16 Winston-Salem's BB&T Corporation reported net income available to common shareholders of $271 million [$0.48/share] compared with $428 million [$.78/share] for Q1-08. ROA was 0.86% compared to 1.29% in Q1-08. ROE was 8.29% compared to 13.30% in Q1-08. Book value per share at the end of Q1-08 was $23.29. The tangible common equity ratio was 5.7%. The tangible common equity to risk weighted assets ratio was 7.1%. BB&T's leverage ratio was 9.4%. Tier 1 risk-based capital was 12.1%. Total risk-based capital ratio was 17.1%. Excluding the U.S. Treasury's preferred stock investment from capital, BB&T's Tier 1 risk-based capital ratio was 9.3% and the total risk-based capital ratio was 14.3%. BB&T's FTE net interest income totaled $1.174 billion compared to 1.918 billion for Q1-08. Provision for credit losses were $676 million comared to $223 million in Q1-09, resulting in NII after provison of $470 million compared with $794 million in Q1-08. The net interest margin was 3.57% - up 3 basis points from 3.54% in Q1-08. Total earning assets of $132,331 billion produced income of $1.709 billion at an average yield of 5 .21% [compared to 5.59% in Q1-08]. Total interest-bearing liabilities of $114.346 billion produced expenses of $535 million at an average yield of 1.90% [compared to 2.45% in Q1-08. Noninterest income was $1.031 billion compared to $0.771 billion in Q1-08. Mortgage-related revenues totaled $188 million, an increase of 218.6% compared to Q1-08. In addition, insurance income increased $40 million, or 18.9%, compared to the first quarter of 2008. The increase in insurance income was primarily the result of growth in property and casualty and employee benefit commissions, including growth from acquisitions. Nonperforming assets of $2.750 billion [1.92% of total assets and 2.72% of loans + OREO] compared to $0.989 billion [0.73% and 1.05%] at the end of Q1-08. NPAs were comprised of $1.724 billion in nonaccrual loans, $958 million in OREO, $65 million in other foreclosed property, and $3 million in restructured loans. Annualized net charge-offs were 1.58% of average loans and leases, up from 1.29% in the fourth quarter last year. Auto loan past dues are down. OREO is down. From the conference call: BBT has a granular loan portfolio with an average loan size of $515,000. BBT average $6 billion in new loans per month. CCP investment [meaning TARP funds] will be paid back ASAP - which has had a negative impact on the company. BBT is prevented from speaking about the 'stress test'. Approximately 60% of BBT's stock holders are retail who depend on the dividend - and BBT wants to maintain and grow the dividend for those investors despite the current tough economic conditions. What is holding you back from paying back TARP? BBT: The top 19 banks are required to go through the stress test and can not apply to pay back TARP until that process is over. What unemployment rate are you assuming in your outlook? BBT: 9.25% to 9.50%. Some are seeing 10% - but we are not. But unemployment rate does not effect on us. Our credit card portfolio is tested and correlated to unemployment, but that portfolio is not as sensitive as the average bank. Why pay back TARP - why not build your reserves? What if things get worse? BBT: You can't do that. You can not just add to reserves. Your loans create to reserves. That is not proper GAAP handling. [But that is made to fit your models -and models can change] True - but whatever you get your reserves up to - it will stay there for a while. One should build reserves in good times and use it in bad times. The requirements make us do the opposite. We are going to do the requirements. On the reserve, say you end up at 2% - so all new loans would have the match the 2%? BBT: That is the reality. That reserve rate will have to be maintained. And that kills the margin and hurts the share holders. In theory - we would rate the loans one at a time. But practice in not like that. Example - if we changed from making loans to high quality loans to making 'super high quality' loans. How would folks think about us then reducing our reserve requirements at this time? So there is a portion of the reserve process that is psychological and not mathamatical. Deposit services charges are down [and we see that throughout the industry]. BBT: There are a lot of card charges in Q4 that guild up the fees. Then the new year comes and people get their income tax refunds and loans go down. That is seasonal and that is expected. CHCO Reports $0.69 vs. $0.80 in Q1-08 PRNewswire 4-29 Charleston, West Virginia's City Holding Company reported for Q1-09 net income of $10.9 million [$0.69/share] compared to $13.0 million [$0.80/share] in Q1-08. Q1-08 contained a gain of $3.3 million Visa and charges of $1.2 million for the early redemption of trust preferred securities - with the resulting net income increased by $2.1 million, or $0.09/share. ROA was 1.70%. ROE was x.xx%. Book value was $14.08. Leverage Ratio was 9.37%, the Tier I Capital ratio was 12.32%, and the Total Risk-Based Capital ratio was 13.47%. FTE net interest income increased $24.1 million in Q1-08 to $25.0 million, as interest expense on deposits and other interest bearing liabilities decreased more quickly than interest income from loans and investments. The net interest margin increased from 4.40% in Q1-08 to 4.46%. During Q4 and Q4-08, CHCO sold $450 million of interest rate floors. The gain from sales of these interest rate floors of $16.7 million will be recognized over the remaining lives of the various hedged loans. During Q1-09, CHCO recognized $2.9 million of interest income compared to $1.0 million of interest income recognized in Q1-08 from the interest rate floors. Total interest-earning assets of $2.271 billion produced income of 34.754 million at an average yield of 6.21%. Total interest-bearing liabilities of $1.927 billion produced expenses of $9.780 million at an average yield of 2.06%. Exclusive of investment losses and the gain from the Visa IPO, non-interest income increased $0.5 million to $14.5 million as compared to $14.0 million in Q1-08. Insurance commissions revenues increased $0.9 million [86.2%] from $1.0 million during Q1-08 to $1.9 million on the strength of contingency payments and new business. Partially offsetting this increase was a decrease of $0.8 million [7.4%] in service charges from depository accounts. Net charge-offs were $1.924 million [0.43% of average loans] compared with $0.897 million [0.21% of average loans] in Q1-08. Total non-performing loans of $20.457 million [$16.352 million in Q1-08] plus OREO of $7.060 million [$4.340 million in Q1-08] resulted in Total non-performing assets of $27.517 million [$20.692 million in Q1-08]. With Total Assets of $2.584 billion, NPAs were 1.06% of assets. The ratio of non-performing assets to total loans + OREO improved from 1.64% at December 31, 2008 to 1.53% at March 31, 2009. Approximately 43% of CHCO's non-performing loans [$9 million] were associated with a $13 million portfolio of loans to builders of speculative homes at the Greenbrier Resort in White Sulphur Springs, West Virginia. This portfolio is collateralized by completed homes and eight residential lots. The Greenbrier Resort has a long history and storied tradition as a top resort destination. But the current economic scenario has been challenging for the Greenbrier, which lost $35 million in 2008. During March 2009, the Greenbrier filed for Chapter 11 bankruptcy. Marriott International was willing to buy the Greenbrier, pending court approval. CMA Reports - $0.16 vs. $0.73 in Q1-08 PRNewswire 4-21 Dallas based but Detriot born Comerica reported for Q1-09 net income of $9 million compared to $109 million for Q1-08. After preferred dividends of $33 million, the net loss applicable to common stock was $24 million [- $0.16/share] compared to net income of $109 million [$0.73/share] for Q1-08. Q1-09 included a $203 million provision for loan losses, compared to $159 million for Q1-08. Preferred stock dividends to the U.S. Treasury Department under the Capital Purchase Program had a $0.22/share negative impact on EPS. ROA was 0.06%. ROE was - 1.90%. Book value per share was $33.32. Tier 1 capital ratio was 11.08%. Tangible common equity ratio was 7.27%. Tier 1 common ratio was 7.33%. Total risk-based capital ratio was 15.39%. Net interest income was $384 million compared with $476 million in Q1-08. The net interest margin of 2.53% decreased from 2.82% in Q4-08, primarily reflecting the limited opportunity to reduce deposit rates and the decreased contribution of noninterest-bearing funds in a significantly lower rate environment, partially offset by increasing loan spreads. Total earning assets of $61.752 billion produced income of $565 million at an averege yield of 3.71%. Total interest-bearing liabilities of $46.704 billion produced expenses of $179 million at an average yield of 1.55%. CMA also had $11.364 billion in Noninterest-bearing deposits. Noninterest income was $223 million compared to $174 million Q4-08 and $237 million for Q1-08. Net credit-related charge-offs were $157 million [1.26% of average total loans] compared to $133 million [1.04%] for Q4-08. Nonperforming assets were $1.073 billion [Total nonperforming loans of $982 million plus Foreclosed property of $91 million] compared with $0.983 billion in Q4-08 and $0.560 billion in Q1-08. With Total assets of $67.370 billion, NPAs were 1.59% of assets. CRBC Reports - $0.39 vs. $0.15 in Q1-08 PRNewswire 4-23 Flint, Michigan's Citizens Republic Bancorp reported for Q1-09 a net loss of $45.1 million compared with net income of $11.1 million for Q1-08. After $4.1 million in dividends to the preferred shareholders, the net loss attributable to common shareholders was $49.3 million [- $0.39/share] compared with $0.15/share for Q1-08. ROA was - 1.40%. ROE was - 11.40%. Book value per share was $10.29. Tier 1 capital ratio was 12.17%. Total capital ratio was 14.23%. Tier 1 leverage ratio was 9.29%. Tangible common equity to tangible assets ratio was 5.53%. Tangible equity to tangible assets ratio was 7.69%. Net interest income was $76.9 million compared with $85.7 million for Q4-08 and $88.3 million for Q1-08. The decreases were due to the lower net interest margin. Net interest margin was 2.73% compared with 3.03% for Q4-08 and 3.12% for Q1-08. The decrease from Q4-08 was primarily the result of a reduction in loan balances due to weak customer demand, deposit price competition in Citizens' markets and an increase in loan balances transferring to nonperforming status, partially offset by expanding commercial and consumer loan spreads. Total earning assets of $11.967 billion produced income at an average yield of 5.20% while Total interest-bearing liabilities of $10.157 billion produced expenses at an average yield of 2.90%. Liabilities had a higher than average cost due to CRBC having $4.549 billion in Time deposits with an average yield of 3.59% and also having $2.116 billion in Long-term debt with an avereage yield of 4.88%. Noninterest income was $19.2 million, an increase of $3.5 million over Q4-08. The improvement was primarily due to fee income received on approximately $100 million in mortgage origination volume during Q1-09. Trust fees and losses on loans held for sale continue to be negatively affected by conditions in the financial market and real estate values, respectively. Total Nonperforming Loans of $428.6 million and 4.90% of total loans [compared with $306.0 million at 3.36% in Q4-08] plus Nonperforming Held for Sale of $64.6 million [$75.2 million] plus Other Repossessed Assets Acquired of $57.4 million [$58.0 million] resulted in Total Nonperforming Assets of $550.6 million [$439.2 million in Q4-08]. NPAs at March 31, 2009 represented 6.25% of total loans plus other repossessed assets acquired. With total assets of $12.982 billion, NPAs were 4.24% of assets. Net charge-offs totaled $36.7 million [1.67% of average portfolio loans] compared with $81.0 million [3.48%] in Q4-08 and $17.4 million [0.74%] in Q1-08. The decrease from Q4-08 was primarily the result of charging off four large commercial loans in that quarter and not charging off any large commercial loans in Q1-09. FITB Reports - $0.04 vs. $0.54 in Q1-08 PRNewswire 4-23 Cincinnati, Ohoi's Fifth Third Bancorp reported for Q1-09 net income of $50 million. Preferred dividends of $76 million increased from $42 million in Q4-08 primarily related to the issuance of $3.4 billion in preferred stock to the U.S. Treasury on December 31, 2008. Including preferred dividends, the net loss attributable to common shares was $26 million [- $0.04/share] compared with net income of $286 million [$0.54/share] in Q1-08. Q1-08 results included a gain and an expense reversal totaling $425 million pre-tax [$0.52/share] related to Visa. ROA was 0.17%. ROE was - 1.40%. Book value per share was $13.61. Tier 1 capital ratio was 10.93%. Total risk-based capital ratio was 15.13%. Tier I leverage ratio was 10.29%. Tangible equity ratio was 7.9%. FTE Net interest income was $781 million compared with $826 million in Q1-08. The Provision for loan and lease losses was $773 million compared with $544 million in Q1-08. The reported net interest margin was 3.06%. Total interest-earning assets $103.664 billion produce income of $1.183 billion at an average yield of 4.63%. Total interest-bearing liabilities of $86.218 billion produces expenses of $402 million at an average yield of 1.89%. FITB's low margin was cause by some low yields in its assets. Commercial loans of $28.968 billion had an average yield of only 4.00%. Commercial construction loans had an average yield of 3.35% while Commercial leases had an average yield of 3.12%. Total noninterest income was $697 million compared with $864 million in Q1-08. Q1-09 results included $54 million in charges related to one of our BOLI policies and $24 million in securities losses. Q1-08 results included a $273 million gain resulting from the Visa IPO and securities gains of $27 million, partially offset by a $152 million non-cash BOLI charge. Total nonaccrual loans and leases of $2.229 billion [$1.224 billion in Q1-08] plus Restructured loans and leases of $167 million [$43 million] plus Repossessed personal property of $25 million [$22 million] plus OREO of $227 million [$182 million] plus Nonaccrual loans held for sale of $403 million [zero] resulted in Total nonperforming assets of $3.051 billion [$1.471 billion in Q1-08]. NPAs [excluding NPAs held for sale] at quarter end were $2.6 billion or 3.19% of total loans and leases + OREO. Growth in NPAs continues to be primarily associated with commercial and residential real estate loans in Michigan and Florida. With Total assets of $119.313 billion, NPAs were 2.56% of assets. Total net losses charged off were $490 million [2.37% of average loans and leases] compared with $276 million [1.37%] in Q1-08. On the high side - The net charge off ratios for Commercial construction loans were 6.21% and for Credit cards were 7.92%. On the low side - The net charge off ratios for Commercial loans were 1.45% and for Automobile loans were 2.17%. FMBI Reports $0.07 vs. $0.51 in Q1-08 Market Wire 4-22 Itasca, Illinois' First Midwest Bancorp reported for Q1-09 Net income available to shareholders of $3.2 million [$0.07/share] compared to $25.0 million [$0.51/share] for Q1-08. ROA was 0.15% compared to 1.25% in Q1-08. ROE was 1.78% compared to 13.75% in Q1-08. Book value per share [from Yahoo] was $14.68. Tier 1 Risk Based Capital ratio was 11.85%. Total Risk Based Capital was 14.62%. Tier 1 Leverage Capital ratio was 9.60%. Net interest income was $64.219 million compared with $58.500 million in Q1-08 while the Provision for loan losses was $48.410 million compared with $9.060 million in Q1-08 resulting in Net interest income after provision for loan losses of $15.809 million compared with $49.440 million in Q1-09. The FTE net interest margin was 3.67%. Fee-based revenues were $20.1 million, a decline of approximately $3.0 million, compared to both Q4 and Q1-08. This decrease largely stems from reduced consumer spending and the impact on overdraft fees as well as card-based fees. Further, trust and investment advisory fees declined 16% as compared to Q1-08, resulting from the adverse impact of lower asset values on revenues. Non-performing loans were $258.5 million compared to $172.1 million at December 31, 2008, with residential land and development loans comprising 50% of the March 31, 2009 total. Non-accrual loans at March 31, 2009 totaled $183.5 million compared to $127.8 million at December 31, 2008, while loans 90 days past due and still accruing totaled $73.9 million, up from $37.0 million at December 31, 2008. Restructured loans totaled $1.1 million at March 31, 2009, a decline of $6.3 million from December 31, 2008. As of March 31, 2009, loans 30-89 days past due totaled $54.3 million, a decline of $61.9 million from December 31, 2008. The decline reflects the benefits derived from expanded resources focused on the early remediation of potential problem loans as well as the migration of certain loans to other problem categories. Foreclosed real estate was $39.0 million as of March 31, 2009 as compared to $24.4 million as of December 31, 2008. All properties are recorded at current appraised values, less estimated selling costs. With Total assets of $8.253 billion and calculated NPAs [NPLs + restructure loans + OREO] of 298.6 million, NPAs were 3.62% of assets. FMER Reports $0.34 vs. $0.39 in Q1-08 PRNewswire 4-28 Akron, Ohio's FirstMerit Corporation reported for Q1-09 net income of $29.4 million [$0.34/share] compared with $31.4 million [$0.39/share] for Q1-08. ROA was 1.07%. ROE was 11.12%. Book value per share was $11.78. FTE Net interest income was $88.6 million compared with $94.9 million in Q4-08 and $85.7 million in Q1-08. Net interest margin was 3.53% compared with 3.82% for Q4-08 and 3.60% for Q1-08, reflecting a rapid decline in market interest rates late in Q4-08 and the impact on rates earned on loans repricing more quickly than the rates paid on interest-bearing deposits. Total earning assets of $10.189 billion produced income of $121.039 million at an average yield of 4.82%. Total interest bearing liabilities of $7.969 billion produced expenses of $32.462 million at an avereage yiled of 1.65%. Noninterest income net of securities transactions was $55.2 million, an increase of $3.9 million [7.70%] from Q4-08 and an increase of $2.9 million [5.46%] from Q1-08. Included in Q1-08 was a $7.9 million gain from the Visa IPO. Net charge-offs totaled $15.6 million [0.86% of average loans] compared with $15.2 million [0.82%] in Q4-08 and $11.3 million [0.65%] in Q1-08. Nonperforming assets totaled $76.2 million, an increase of $18.7 million [32.54%] compared with December 31, 2008 and $40.9 million [increase of 115.98%] compared with March 31, 2008. Nonperforming assets at March 31, 2009 represented 1.04% of period-end loans + OREO compared with 0.77% at December 31, 2008 and 0.50% at March 31, 2009. With Total Assets of $10.972 billion, NPAs were 0.69% of assets. FULT Reports $0.05 vs. $0.24 in Q1-08 Market Wire 4-21 Lancaster, PA's Fulton Financial Corporation reported Q1-09 net income available to common shareholders of $8.1 million [$0.05/share] compared with $41.496 million [$0.24/share] in Q1-08. The decrease was mainly due to a $38.8 million increase in the provision for loan losses and $5.0 million of dividends and discount accretion on the preferred stock issued to the US Treasury under the Capital Purchase Program. ROA was 0.33% compared to 1.05% in Q1-08. ROE was 2.84% compared to 10.53% in Q1-08. Book value per share was $x.xx. Net interest income was $124.116 million compared with $125.899 million in Q1-08. The net interest margin was 3.45%, 3.58% for Q1-08 and 3.68% for Q4-08. Total Interest-earning Assets of $15.016 billion produced income of $199.574 million at an average yield of 5.38%. Total Interest-bearing Liabilities of $12.549 billion produced expenses of $71.451 million at an average yield of 2.31%. Liability cost was higher than average due to FULT having $5.433 billion in Time deposits that had an average yield of 3.27% and $1.787 billion in Federal Home Loan Bank advances and long-term debt that had an average yeild of 4.55%. Total Other Income was $46.914 million compared with $37.680 million in Q1-08 and $10.411 million in Q4-08. the big variance between quarter came mostly from two lines. Gains on sale of mortgage loans was $8.591 million compared with $2.311 million in Q1-08 and $3.085 million in Q4-08. Investment securities gains were $2.919 million compared with $1.246 million in Q1-08 and a loss of $28.339 million in Q4-08. Non-performing assets were $269.2 million [1.63% of total assets] compared to $144.7 million [0.90%] at 3-31-08 and $219.0 million [1.35%] at 12-31-08. The $124.6 million [86.1%] increase in NPAs since 3-31-08 was primarily due to a $65.3 million [231.8%] increase in non-performing construction loans, a $29.7 million, or 98.6%, increase in non-performing commercial mortgage loans and a $15.0 million [42.4%] increase in non-performing commercial loans. [FULT reported an interesting metric: Non-performing assets to tangible common shareholders' equity and allowance for credit losses was 23.71%.] Annualized net charge-offs were 1.0% of average total loans, compared to 0.15% for the quarter ended 3-31-08 and 0.89% for the quarter ended 12-31-08. The increase was primarily in construction loans and commercial mortgages. HBAN Reports - $6.79 vs. $0.35 in Q1-08 PRNewswire 4-21 Columbus, Ohio's Huntington Bancshares reported for Q1-09 a loss of $2,433.2 million [- $6.79/share] copared with net income of $127.1 million [$0.35/share] reported in Q1-08. Q1-09 included a $2.6 billion goodwill impairment charge ($7.09/share) that reduced net income but had no impact on key capital ratios, partially offset by a $159.9 million one-time tax benefit ($0.44/share). ROA was - 18.22% and ROE, due to 'annualization' math, was [$2.433 billion loss times 4 quarters divided by $7.224 billion in equity] - 134.72%. Book value was $7.80. Tier 1 capital ratio was 11.03%. Total risk-based capital ratio was 14.19%. FTE net interest income decreased $41.2 million [11%] from Q1-08 reflecting the unfavorable impact of a 26 bps decline in the net interest margin to 2.97% from 3.23%. Average earning assets decreased $1.1 billion, reflecting a $0.9 billion [77%] decline in average trading account securities, and a $0.8 billion [98%] reduction in average fed funds sold, partially offset by a $0.5 billion [1%] increase in average total loans and leases. Total noninterest income was $239.1 million compared with $235.8 million in Q1-08. Mortgage banking income rose to $35.4 million compared with a loss of $7.1 million in Q1-09 while 'Other non-interest income' fell to $18.4 million compared with $57.7 million in Q1-08. Q1-08 other income inlcuded a gain of $25.1 million gain related to the Visa IPO. There was also a $9.9 million decrease in derivative swap income, and a $5.9 million loss on the current quarter's automobile securitization. Total nonaccrual loans and leases of $1.553 billion plus OREO of $210.8 million plus Impaired loans held for sale of $11.9 million reulted in Total nonperforming assets of $1.776 billion [3.93% of total loans and leases]. With total assets of $51.702 billion, NPAs were 3.43% of assets. Total net charge-offs $341.5 million [an annualized 3.34% of average total loans and leases]. Net charge-offs for total automobile loans and leases, home equity loans, and residential mortgages all declined from the prior quarter. MBFI Reports - $0.88 vs. $0.17 in Q1-08 Business Wire 4-30 Chicago's MB Financial reported for Q1-09 a net loss of $28.105 million [or a loss of $30.636 million - $0.88/share - available to common shareholders after the subtraction of $2.531 million for TARP preferred dividend] compared to net income of $5.824 million [$0.17/share] in Q1-08. ROA was - 1.30% and ROE was - 14.01%. Book value was $23.82. Total capital (to risk-weighted assets) ratio was 13.48%. Tier 1 capital (to risk-weighted assets) ratio was 11.48%. Tier 1 capital (to average assets) ratio was 9.25%. Net interest income was $56.028 million compared with $53.463 million in Q1-08. The net interest margin was 2.88% [FTE NIM = 3.01%] compared with 3.10% [FTE NIM 3.00%] in Q1-08. Total interest earning assets of $7.882 billion produced income of $98.366 million at an average yield of 5.06%. Total interest bearing liabilities of $6.663 billion produced expenses of $39.787 million at an average yield of 2.42%. Total other [non-interest] income was $32.684 million compared with $24.537 million in Q1-08. Q1-09 contained a Net gain on sale of investment securities of $9.694 million compared with Q1-08's gain of $1.105 million. Total non-performing loans of $229.537 million [$50.884 million in Q1-08] plus OREO of $2.500 million [$1.770 million] plus Repossessed vehicles of $0.245 million [$0.225 million] resulted in Total non-performing assets of $232.282 million [$52.879 million in Q1-08]. Non-performing loans to total loans increased to 3.63% and non-performing assets to total assets increased to 2.57%. Total net charge-offs were $54.428 million [3.52% of average loans] compared with $8.879 million [0.57%] in Q1-08. MI Reports - $0.44 vs. $0.56 in Q1-08 PRNewswire 4-21 Milwaukee's Marshall & Ilsley reported for Q1-09 a of net loss of $116.9 million [$0.44/share] as compared to net income of $146.2 million [$0.56/share] in Q1-08. Q-09 included tax benefit of $51 million [$0.19/share] and dividends paid to U.S. Treasury under Capital Purchase Program of $25 million [$0.09/share]. [Stats not provided by MI so they came from Yahoo:] ROA was - 3.65% and ROE was - 34.53%. Book value was $17.45 compared with $27.09 at the end of Q1-08. The FTE net interest income was $408.8 million, down $28.7 million [7%] compared to Q1-08. The net interest margin was 2.82%, down 27 bps from Q1-08. The margin contraction was primarily caused by the recent decline in short term interest rates. Avg. Interest Earning Assets had an average yield of 4.50% while Avg. Interest Bearing Liabilities had an average yield of 2.02%. Non-interest income was $176.7 million, down $7.6 million [4%] from Q1-08 when adjusted for the gain on the redemption of VISA shares in the same period last year. Wealth Management revenue was $62.7 million, falling $9.2 million [13%] from Q1-08. The decline was primarily driven by volatility in the equity markets during the quarter. Net charge-offs for the period were $328 million. Non-performing loans and leases were 5.15% of total loans and leases at March 31, 2009, compared to 3.62% at December 31, 2008. Nonaccrual Loans and Leases of $2.074 billion [$341 million in Q1-08] plus Renegaotiated loans of $446 million [$0.1 million] plus Loans 90+ days past due of $16.1 million [$10.9 million] plus OREO of $344.3 million [$26.5 million] resulted in Total Nonperforming Assets of $2.81 billion [$378 million in Q1-08]. With Total Assets of $61.790 billion, NPAs were 4.55% of assets. MTB Reports $0.49 vs. $1.82 in Q1-08 PRNewswire 4-21 Buffalo, New York's M&T Bank reported for Q1-09 earnings of $64 million [$0.49/share] compared with $202 million [$1.82/share] in Q1-08. M&T recognized $32 million (pre-tax) of OTTI impairment charges on investment securities which reduced net income by $20 million [$0.18/share]. The provision for credit losses was $158 million compared with $60 million in Q1-08. ROA was 0.40% and ROE was 3.61%. Book value was $56.95. FTE net interest income totaled $453 million compared with $485 million in Q1-08 and $491 million in Q4-08. The lower net interest income reflects a narrowing of the FTE net interest margin, which fell to 3.19% from 3.37% in Q4-08. The narrowing was largely attributable to a rapid decline in market interest rates and the impact on rates earned on loans repricing more quickly than the rates paid on interest-bearing liabilities. Total earning assets of $57.509 billion produced income of $654.512 million at an average yield of 4.65%. Total interest-bearing liabilities of $48.052 billion produced expenses of $206.705 million at an average yield of 1.74%. Excluding gains and losses from investment securities, noninterest income totaled $264 million compared with $279 million in Q1-08. this decrease was due to declines in credit-related fees, trust income, and trading account and foreign exchange gains, partially offset by significantly higher residential mortgage banking revenues. Net charge-offs of loans were $100 million [0.83% of average loans] compared with $144 million [1.17%] in Q4-08 and $46 million [0.38%] in Q1-08. Nonaccrual loans of $1.004 billion [$477 million in Q1-+08] plus Accruing loans past due 90 days or more of $143 million [81 million] plus Renegotiated loans of $131 million [$17 million] plus OREO of $100 million [$53 million] resulted in Total Non-performing Assets of $1.378 billion. With total assets of $64.883 billion, NPAs were 2.12%. NAL Reports $0.12 vs. $0.13 in Q1-08 Business Wire 4-28 New Haven's NewAlliance Bancshares reported for Q1-09 net income of $11.6 million [$0.12/share] for compared to $12.9 million [$0.13/share] for Q1-08. ROA was 0.55% and ROE was 3.35%. Book value was $13.06. Tier 1 leverage ratio was 11.02%. Tangible equity/tangible assets ratio was 10.41%. Tangible common equity/tangible assets ratio was 10.10%. Net interest income was $43.893 million compared to $44.003 million in Q4-08 and $44.306 million in Q1-08. There was downward pricing of NAL's loan portfolio as a result of the Federal Reserve rate cuts. The net interest margin remained stable at 2.58% as compared to 2.59% in Q4-08 which NAL considered to be quite good as the current quarter margin does not include dividends from the Federal Home Loan Bank of Boston. The FHLB eliminated their quarterly dividend in the current quarter and for the foreseeable future. Based on Q4-08 results we estimate the loss of the FHLB dividend to approximate 4 bps to the margin. Total interest-earning assets of $7.450 billion produced income of $94.755 million at an average yield of 5.09%. Total interest-bearing liabilities of $6.404 billion produced expenses of $46.762 million at an average yield of 2.92%. The cost of liabilities was high due to NAL having $2.207 billion in FHLB advances and other borrowings that had a yield costing 4.24% and $1.739 billion in Time deposits that had a yield costing 3.20%. Non-interest income was $14.263 million compared to $12.306 million in Q4-08 and $15.666 million in Q1-08. Investment management, brokerage and insurance fees and gains on the sale of loans and investments outpaced the declines experienced in banking service charges and write-downs associated with mortgage servicing rights as compared to Q4-08. Nonperforming loans [$50.122 million] to total loans were 1.02% as compared to 0.77% in Q4-08 and nonperforming assets [$51.504 million] to total assets were 0.61% as compared to 0.49% for Q4-08. Net charge-offs increased to $3.4 million [0.27% of average loans] compared to $0.099 million [0.01%] in Q1-08. Total delinquencies are 1.33% at quarter end, up from 1.22% from the prior quarter. NBTB Reports $0.40 vs. $0.43 in Q1-08 Market Wire 4-27 Norwich, New York's NBT Bancorp reported for Q1-09 net income of $13.1 million [$0.40/share] compared with $13.7 million [$0.43/share] for Q1-08. ROA was 0.99% and ROE was 12.14%. Book value was $13.55. Tier 1 Leverage Ratio was 7.47%. Tier 1 Capital Ratio was 10.11%. Total Risk-Based Capital Ratio was 11.36%. Net interest income was $48.1 million compared with $44.1 million for Q1-08. The FTE net interest margin was 4.09% as compared with 3.84% for Q1-08. NBTB experienced a 3.0% growth in average earning assets. Although the yield on interest-earning assets decreased 57 bps, the yield on interest-bearing liabilities declined 98 bps, which led to the increase in the net interest margin. The yield on money market deposit accounts was 1.34% for the three months ended March 31, 2009, down from 2.37% for the three months ended March 31, 2008. Noninterest income was $19.6 million compared with $16.1 million for Q1-08. The increase was due primarily to an increase in broker/dealer and insurance revenue of approximately $4.2 million, primarily due to the acquisition of Mang Insurance Agency, LLC during Q3-08. This increase was partially offset by a decrease in trust administration income of $0.4 million compared with Q1-08. This decrease was primarily the result of a decline in the value of trust assets under administration. Net charge-offs totaled $5.7 million [0.63% of average loans and leases], up from $4.2 million [0.64%] for the three months ended March 31, 2008. Total Nonperforming Loans of $27.284 million [$26.496 million in Q4-08] plus OREO of $1.254 million [$0.665 million in Q4-08] resulted in Total Nonperforming Assets of $28.538 million [$27.161 million in Q4-08]. Total Nonperforming Loans to Total Loans and Leases was 0.75% compared to 0.73% in Q4-08. Total Nonperforming Assets to Total Assets ratio was 0.53% compared to 0.51% in Q4-08. NTRS Reports $0.61 vs. $1.71 in Q1-08 PRNewswire 4-21 Chicago's Northern Trust Corporation reported Q1-09 net income of $161.8 million [$0.61/share] compared with $385.2 million [$1.71/share] in Q1-08. Q1-08's included a pre-tax non-operating benefit of $244.0 million ($.68/share) realized in connection with the Visa IPO. In addition, $23.0 million of preferred stock dividends were accrued in Q1-09 in connection with participation in the Treasury's Capital Purchase Program, which reduced earnings per share by $0.10/share. ROA was 0.85% and ROE was 10.88%. Book value was $22.44. NTRS's tier 1 capital ratio was 13.0% and the tangible common equity ratio was 5.9%. Total risk-based capital ratio was 15.2%. Total Noninterest Income was $616.5 million compared with $801.4 million in Q1-08. Trust, investment and other servicing fees decreased 22% from last year to $410.7 million and represented 45% of Q1-09 revenues. Foreign exchange trading income increased 16% and net interest income increased 8% from Q1-08. Total fee-related income represented 68% of revenues. FTE Net interest income totaled $287.7 million compared with $266.1 million in Q1-08, reflecting higher levels of average earning assets partially offset by a decrease in the net interest margin. Average earning assets of $69.4 billion were 16% higher than a year ago, driven by growth in securities and loans. The net interest margin was 1.68%, down from 1.79% in Q1-08, reflecting the diminished value of noninterest-related funding sources resulting from the significant interest rate cuts over the past year. Nonperforming Loans of $167.8 million plus OREO of $4.3 million resulted in Total Nonperforming Assets of $172.1 million [0.57% of loans + OREO]. With Total assets of $77.355 billion, NPAs were 0.22% of assets. Net Charge-offs of $2.7 million were 0.04% of average loans. ONB Reports $0.08 vs. $0.29 in Q1-08 Globe Newswire 4-27 Evansville, Indiana's Old National Bancorp reported for Q1-09 net income of $9.4 million [$0.08/share] compared with $19.3 million [$0.29/share] in Q1-08. Excluding $3.9 million from the impact of TARP preferred stock dividends and amortization, earnings per common share would have been $0.14/share. During Q1-09 ONB repurchase the preferred stock from the Capital Purchase Program and completed acquisition of Charter One's Indiana franchise which added $428 million in core deposits and added 65 locations. ONB Incurred one-time expenses of $3.0 million related to Charter One acquisition. 1Q08 contained a $1.5 million gain for VISA shares as well as $2.1 million in additional company-owned life insurance revenue. ROA was 0.47% and ROE was 3.43%. Book value was $9.51. The tier 1 capital ratio was 9.9%. Total risk-based capital ratio was 12.2%. FTE net interest income was $65.1 million and represented a net interest margin on total average earning assets of 3.63%. This compares net interest income of $64.2 million and a margin of 3.68% for Q1-08. Old National reported total fees, service charges and other revenue of $38.6 million compared to $36.6 million for Q4-08 and $43.0 million in Q1-08. Net Charge-offs to Average Loans was 1.07% compared with 0.52% in Q1-08. Non-accrual loans of $35.9 million were 1.67% of loans. Non-perfoming loans were $77.4 million. OREO was 0.05% of loans [and with total loans of $4.641 billion, OREO was a calculated $232 thousand]. NPAs [a statistic ONB did not give so I added NPLs + OREO to get NPAs] were a calculated $77.632 million and with total assets of $8.356 billion, NPAs were 0.93% of assets. ONB's Home equity line of credit had a LTV breakdown of 15% of line with a greater than 90% LTV and an average credit buteau score of 739; 18% at 80% - 90% LTV and an average credit buteau score of 760; and 67% of lines with LTVs under 80% and an average credit buteau score of 771. ONB at 4-24-09 had a Moddy's rating of A1 with a negative outlook, an S&P rating of BBB+ with a stable outlook, and a Fitch rating of BBB+ with a stable outlook. SNV Reports - $0.46 vs. $0.24 in Q1-08 Business Wire 4-24 Columbus Georgia's Synovus reported a loss for Q1-09 of $136.7 million [$0.46/share] compared to net income of $81.0 million [$0.24/share] for Q1-08. ROA was - 1.58% and ROE was -21.90%. Book value was $8.32. Tier 1 Capital Ratio was 11.05%. Total Risk-Based Capital Ratio was 14.21%. Tangible Common Equity to Tangible Assets Ratio was 7.8%. Net interest income was $243.2 million compared to $278.6 million in Q1-08. The net interest margin was 3.05% compared to 3.20% in Q4-08. Total Interest Earning Assets of $32.426 billion produced income at an average yield of 4.84%. Total Interest Bearing Liabilities of $27.439 billion produced expenses at an average yield of 2.11%. Time deposites with an average yield over 3.3% contributed $12.469 billion to those liabilities. Non-interest income was $88.7 million, unchanged from Q3-08, with mortgage banking revenue growth of 80% over Q4-08 and 14% over Q1-08. Bankcard fees grew 4%, service charges increased 1%, brokerage and investment banking revenue declined 19%, and fiduciary and asset management fees – which include trust, financial planning and asset management fees – declined 14%, as compared to Q1-08. Nonperforming Loans of $1.441 billion [5.20% of total loans compared to Q1-08's 515.302 million at 1.90%] plus Impaired Loans Held for Sale of $22.751 million [$42.270 million] plus OREO of $287.246 million [$121.753 million] resulted in Total Nonperforming Assets of $1.751 billion [6.25% of loans + OREO compared to Q1-08's $679.325 million at 2.49%]. With Total assets of $34.547 billion, NPA's were 5.07% of assets. Net Charge-Offs were $246.314 million [3.53% of average loans] compared with $63.813 million [0.95%] in Q1-08. SUSQ Reports $0.02 vs. $0.33 in Q1-08 Business Wire 4-22 Lititz, Pa.'s Susquehanna Bancshares reported for Q1-09 net income available to common shareholders of $1.9 million [$0.02/share] compared to $28.0 million [$0.33/share] for Q1-08. The provision for loan and lease losses increased to $35.0 million compared to $9.8 million for Q1-08. FDIC insurance premiums increased from $0.2 million for Q1-08 to $6.0 million for Q1-09. The Capital Purchase Program provided Susquehanna with $300 million of funds in December 2008 and resulted in Q1-09 preferred stock dividends and accretions of $4.2 million. ROA was 0.18% and ROE was 3.60%. Book value was $19.04. The Leverage Ratio was 9.76%. The Tier 1 Capital Ratio was 11.13%. The Total Risk-Based Capital Ratio was 13.65%. Net interest income was $95.270 million compared with $98.181 million in Q1-08 while Net interest income after provision for loan and lease losses was $60.270 million compared with $88.344 million in Q1-08. Net interest margin decreased 31 bps to 3.40% compared to 3.71% for Q1-08. Total interest-earning assets of $11.747 billion produced income of $164.825 million at an average yield of 5.69%. Total interest-bearing liabilities of $10.289 billion produced expenses of $66.300 million at an average yield of 2.61%. The cost of liabilites was high due to Time deposits of $4.569 billion with a yield of 3.52% combined with FHLB borrowings of $1.054 billion with a yield of 3.87%. Total noninterest income was $42.220 million compared with $42.902 million in Q1-08. While noninterest income was mostly flat, there was churning inside the grand total. Service charges on deposit accounts fell to $9.549 million from $11.088 million in Q1-08 and Vehicle origination, servicing, and securitization fees fell to $2.086 million from $3.428 million in Q1-08 while Asset management fees [atypically] rose to $5.969 million from $4.845 million in Q1-08 and 'Other' rose to $14.043 million from $10.707 million in Q1-08. Net charge-offs were $16.584 million [0.70% of average loans and leases] compared to $5.411 million [0.25%] for Q1-08. Nonaccrual loans & leases of $153.527 million [$74.462 million in Q1-08] plus Restructured loans of $2.493 million [$2.582 million] plus OREO of $13.216 million [$14.947 million] resulted in Total nonperforming assets of $169.236 million [$91.991 million in Q1-08]. Non-performing assets as a percentage of loans, leases and other real estate owned were 1.73% at March 31, 2009 compared to 1.03% at March 31, 2008. With Total assets of $13.733 billion, NPAs were 1.23%. USB Reports $0.24 vs. $0.62 in Q1-08 Business Wire 4-21 Minneapolis' U.S. Bancorp reported Q1-09 net income of $529 million [$0.24/share] compared with $1.090 billion [$0.62/share] in Q1-08. Included in Q1-09 results were net securities losses totaling $.09/share and a provision for credit losses in excess of net charge-offs of $530 million [$.23/share]. ROA was 0.81% and ROE was 9.00%. Book value was $10.96. Tier 1 capital ratio was 10.9%. Total risk-based capital ratio was 14.4%. The Leverage ratio was 9.8%. FTE net interest income $2.095 billion compared with $1.830 billion in Q1-08, an increase of $265 million (14.5%). The increase was a result of growth in average earning assets, as well as a higher net interest margin percentage compared with a year ago. Average earning assets were higher by $28.3 billion (13.7%), driven by an increase of $30.5 billion (19.6%) in average loans. The net interest margin was 3.59% compared with 3.55% in Q1-08. The net interest margin increased primarily because of growth in average loans at higher credit spreads. Average yield on earning assets was 5.01% compared with 6.32% in Q1-08. The average yield on interest-bearing liabilities 1.72% compared with 3.20% in Q1-08. Noninterest income was $1.788 billion; $256 million (12.5%) lower than Q1-08. Noninterest income declined principally due to the $492 million Visa Gain included in Q1-08's results. Offsetting this item was a significant increase in mortgage banking revenue due to an increase in mortgage loan production, the result of the current low rate environment. Other increases in noninterest income included higher ATM processing services of $18 million (21.4%) related to growth in transaction volumes and business expansion, an increase in treasury management fees of $13 million (10.5%) as declining rates reduced customer earnings credits and transaction volumes grew, and an increase in commercial products revenue of $17 million (15.2%) due to higher foreign exchange revenue, letters of credit and other commercial loan fees. Fee-based revenue in certain revenue categories decreased because weaker economic conditions adversely impacted consumer and business behavior. Nonperforming assets were $3.410 billion [1.85 of loans + OREO] compared with $2.624 billion [1.14%] at December 31, 2008, and $845 million [0.53%] at March 31, 2008. Nonperforming assets included $702 million of covered assets at March 31, 2009, and $643 million at December 31, 2008. The majority of these covered nonperforming assets were considered credit-impaired at acquisition, and were recorded at their estimated fair value at the date of acquisition. The remaining linked quarter and year-over-year increase in nonperforming assets was driven by continuing stress in residential home construction and related industries, as well as the residential mortgage portfolio, an increase in foreclosed properties, and the impact of the economic slowdown on some commercial customers. With Total assets of $263.624 billion, NPAs were 1.29% of assets. Total net charge-offs were $788 million [1.72% of ending loans], compared with $632 million [1.42%] in Q4-08, and $293 million [0.76%] in Q1-08. VLY Reports $0.23 vs. $0.24 in Q1-08 PRNewswire 4-23 Wayne, New Jersey's Valley National Bancorp reported for Q1-09 net income of $37.4 million [$0.23/share] compared to $31.6 million [$0.24/share] for Q1-08. ROA was 1.07% and ROE was 11.33%. Book value was $7.73. Total risk-based capital ratio was 13.91%. Tier I capital ratio was 12.07%. Leverage capital ratio was 9.17%. FTE Net interest income was $110.8 million, an increase of $13.8 million from Q1-08. The FTE net interest margin was 3.35% compared with 3.30% in Q4-08 and unchanged as compared to Q1-08. Total interest earning assets of $13.186 billion produced income of $187.934 million at an avereage yield of 5.70%. Total interest bearing liabilities of $10.955 billion produced expenses of $79.204 million at an average yield of 2.89%. Time deposits of $3.551 billion [at a cost of 3.56%] and Long-term borrowings of $3.164 billion [at a cost of 4.48%] contributed to liabilities having a higher than average cost. Non-interest income was $31.0 million compared with $19.2 million for Q1-08 due to increases in net trading gains and net gains on sales of loans, partially offset by decreases in net gains on securities transactions and bank owned life insurance income. VLY had net trading gains of $13.8 million from a the change in the fair value of Valley's junior subordinated debentures carried at fair value compared to a loss of $1.7 million on such debentures for Q1-08. Net loan charge-offs were $7.2 million [0.29% of average loans] compared to $6.7 million [0.21%] for Q4-08, and $3.9 million [0.18%] for Q1-08. Non-accrual loans of $47.388 million [$31.832 million in Q1-08] plus OREO of $5.241 million [$233 million] plus Other repossessed assets of $4.346 million [$1.202 million] resulted in Total non-performing assets of $56.975 million [$33.267 million in Q1-08]. With Total Assets of $14.429 billion 0.39% of assets. WL Reports $0.26 vs. $0.61 in Q1-08 Business Wire 4-24 Wilmington, Delaware's Wilmington Trust reported for Q1-09 net income of $21.8 million [$0.26/share] compared with $41.4 million [$0.61/share] in Q-08. ROA was 0.73% and ROE was 8.77%. Book value was $14.64. Total risk-based capital ratio was 14.15%. Tier 1 risk-based capital ratio was 9.40%. Tier 1 leverage capital ratio was 9.02%. The net interest income (before the provision for loan losses) was $78.5 million compared with 86.9 million in Q1-08. The effects of 2008 declines in market interest rates compressed the net interest margin to 2.91% compared to 3.37% for Q1-08. Total earning assets of produced income of $117.1 million at an average yield of 4.34%. Total interest-bearing liabilities produced expenses of $38.6 million at an average yield of 1.66%. Noninterest income was $110.7 million compared with $102.8 million in Q1-08. Total net charge-offs were $21.2 million, down from $25.5 million for the 2008 fourth quarter, as commercial construction, commercial mortgage, and retail net charge-offs all decreased. This brought the net charge-off ratio to 22 basis points, down from 27 basis points for the 2008 fourth quarter. Total nonaccruing loans of $230.1 million [$53.4 million in Q1-08] plus Renegotiated loans of $1.2 million [$24.1 million] plus OREO of $19.8 million [$0.2 million] resulted in Total nonperforming assets of $251.1 million [$77.7 million in Q1-08]. Period-end non-performing assets to loans ratio was 2.67% compared with 0.88% in Q1-08. With total assets of $12.120 billion, NPAs were 2.07% of assets. Ratings & Dividend Changes - April On 4-16 ASBC declared a reduced dividend of $0.05/share [prior div was $0.32] payable May 15, 2009, to shareholders of record at the close of business on May 7, 2009. On 4-21 HBAN declared a dividend of $0.01/share payable July 1, 2009, to shareholders of record on June 12, 2009. On 4-21 NTRS declared a dividend of $0.28/share July 1, 2009, to stockholders of record on June 10, 2009. On 4-22 MBFI declared a reduced dividend of $0.01/share payable 5-29-09 to shareholders of record as of 5-15-09. On 4-22 WL declared a dividend of $0.1725/share payable on May 15, 2009 to shareholders of record on May 4, 2009. On 4-27 ONB declared a reduced dividend of $0.07/share [from $0.23/share paid in March] payable June 15, 2009, to shareholders of record June 1, 2009. On 4-28 MI declared a dividend of $0.01/share payable on June 12, 2009, to common stock shareholders of record at the close of business on May 29, 2009. On 4-28 NAL declared a dividend of $0.07/share payable on May 19, 2009 to shareholders of record on May 8, 2009. On 4-06 Calyon Securities analyst Mike Mayo said the default rate on loans will exceed that of the Great Depression. In initiating coverage at his new firm, Mayo, a well-known banking analyst, rates the sector "Underperform." He was previously an analyst for Deutsche Bank. Aside from the sector rating, Mayo initiated coverage on 11 of the nation's largest national and regional banks. Each of the banks received "Underperform" or "Sell" ratings. In a research note, Mayo said U.S. banks will see a "rolling recession" by asset class as loan losses across various assets peak at different times. While banks might be nearing the end of write-downs in risky investments, they are still early in battling loan losses, Mayo wrote in the note. Mayo projects loan losses will increase to 3.5% by the end of 2010, from a current rate of about 2%, as mortgage defaults continue to rise and amid an acceleration in defaults among cards, consumer credit, construction, commercial real estate and industrial loans. Total loan losses peaked at about 3.4% in 1934, Mayo noted. Under a stress scenario, loan losses could rise as high as 5.5 percent, according to the note. In the 3.5% loss rate scenario, Mayo said banks will lose between $600 billion and $1 trillion over the next three years, more than the roughly $400 billion in write-downs they've taken on risky investments. Government support to help minimize losses is also a difficult situation, Mayo said, because the government could "go easy on banks," but that would leave many of the assets on their balance sheets that have been leading to large losses and reducing their capacity to lend. Moving in the opposite direction and taking tougher actions could force banks into making large capital increases, which would then dilute current shareholdings, Mayo said. Among the banks Mayo rates "Underperform" are: Bank of America, Citigroup, Comerica, JPMorgan Chase, PNC Financial Services and Wells Fargo. An "Underperform" rating means the stock is expected to perform up to 10% worse than the broader market over the next year. Mayo rates BB&T, Fifth Third Bancorp, KeyCorp, SunTrust Banks. and US Bancorp as "Sell." A "Sell" rating indicates the stock is likely to perform at least 10% worse than the broader market. On 4-07 Moody's Investors Service cut its ratings on HBAN, dropping one to junk territory, because the declining quality of its assets is hurting its capital position and profitability. Moody's expects higher losses from the regional bank's commercial real-estate and commercial and industrial portfolios because of declining real estate prices and the worsening economy in Ohio and the Midwest, where the company operates. It also cited risks from Huntington's exposure to residential mortgage loans related to subprime mortgage lender Franklin Credit Management Corp. despite the recent restructuring of that relationship. Huntington acquired Franklin as part of its 2007 purchase of Sky Financial. The ratings agency downgraded Huntington's senior debt rating two notches to Baa2, two steps above junk territory. Huntington's subordinate debt was reduced two notches to Baa3, one step above junk, and preferred was cut three notches to Ba2, two notches below investment grade. Huntington National Bank's financial strength rating was downgraded to C- from C+. The outlook is negative. In January, Huntington said its fourth-quarter loss widened on market-related losses and woes related to a business acquired in 2007 pressured results. It also slashed its dividend to a nominal 1 cent. Huntington is scheduled to receive $1.4 billion in government funds under the Treasury's Troubled Asset Relief Program. On 4-14 Moody's Investors Service downgraded the debt ratings of Susquehanna Bancshares to junk status due to expectations for higher credit costs in the coming quarters. The ratings service lowered the ratings on the bank's subordinated debt two notches to "Ba1" from "Baa2." A rating of "Ba1" is one notch below investment grade. The rating on the bank's long-term bank deposits went to "Baa2" from "A3," and its bank financial strength rating went to "C-" from "C." The outlook on the ratings is negative. Moody's said it is concerned by the bank's large commercial real estate portfolio. "The sharp decline in real estate prices and anticipated deterioration in loan performance has led Moody's to considerably increase its loss expectations for commercial real estate, especially construction and land development," the ratings service said. Moody's said the bank's capital levels are relatively low compared with peers, despite a $300 million investment from the government last fall. After the market closed Thursday, SUSQ said it expects to report first-quarter earnings below Wall Street's estimates, due in part to the need to set aside more money to cover loan losses. On 4-15 SUSQ reduced the dividend to $0.05/share payable on May 20, 2009 to shareholders of record May 1, 2009. “Our board made the decision to reduce our quarterly dividend after long and careful consideration,” said William J. Reuter, Chairman and CEO. “Susquehanna is well capitalized, and we believe this is a prudent step to ensure that we maintain our strong position during the current economic downturn. Reducing the quarterly dividend from $0.26 to $0.05 will enable us to retain $18 million in additional capital quarterly. Our board will regularly review the dividend, with the expectation that it can return to a more normalized rate when the economy stabilizes,” Reuter said. On 4-24 Moody's Investors Service downgraded Wilmington Trust long-term issuer rating to Baa3 from Baa1, and the rating of long-term deposits of operating bank subisidary, Wilming Trust Company to Baa2 from A3. Moody's says rating outlook is negative and Wilmington's capital position could come under pressure over next 12 to 18 months because of large real estate lending concentration as well as investments in bank trust preferred securities. On 4-24 Moody's Investors Service downgraded SNV's debt rating from “A2” to “Ba2,” or junk status. On 4-24 S&P Ratings Services cut its counterparty credit rating on Marshall & Ilsley closer to junk status, citing the regional bank's losses and deteriorating credit quality. S&P downgraded the counterparty credit rating to BBB-/A-3, its lowest investment-grade rating, from BBB+/A-2, with a negative outlook, signaling the possibility of further downgrade if business conditions worsen. S&P also cut its long-term counterparty credit ratings on Marshall & Ilsley's subsidiaries, including prime banking subsidiary M&I Marshall & Ilsley Bank, to BBB from A-. That unit's short-term counterparty credit rating remains at A-2. S&P credit analyst Robert Hansen said the two-notch downgrades "result from significant net losses and a continued deterioration in credit quality." Hansen said S&P expects net losses to continue through 2009 due to the large sums Marshall & Ilsley is setting aside to cover loan losses. "Furthermore, we are most concerned about the large construction-and-development loan portfolio, which has declined to about 17 percent of total loans and leases," Hansen said. On 4-02 FTN Equity Capital Initiated coverage on NTRS at Neutral. On 4-08 RBC Capital Marktes Initiated coverage on ASBC at Sector Perform. On 4-08 Soleil Initiated coverage on BBT and UCBI at Hold, and SNV at Buy. On 4-09 Keefe Bruyette Downgraded BBT from Market Perform to Underperform. On 4-22 Keefe Bruyette Downgraded MTB from Market Perform to Underperform . On 4-28 Deutsche Securities Initiated MTB at Hold. Home Page Factoids Previous Update |