Third Quarter Synopsis: First Midwest Bancorp, Inc. (the "Company" or "First Midwest") (
-- Operating Highlights, Balance Sheet Highlights and Stock Performance Data (1 page) -- Condensed Consolidated Statements of Condition (1 page) -- Condensed Consolidated Statements of Income (1 page) -- Selected Quarterly Data and Asset Quality (1 page)Press Release and Additional Information Available on Website. This press release, the accompanying financial statements and tables, and certain additional unaudited Selected Financial Information (totaling 3 pages) are available through the "Investor Relations" section of First Midwest's website at www.firstmidwest.com.
First Midwest Bancorp, Inc. Press Release Dated October 24, 2007 Operating Highlights Unaudited Quarters Ended Nine Months Ended ------------------------------ ------------------- (Amounts in thousands except Sept. 30, June 30, Sept. 30, Sept. 30, Sept. 30, per share data) 2007 2007 2006 2007 2006 --------- --------- --------- --------- --------- Net income $ 27,237 $ 29,311 $ 31,215 $ 85,577 $ 85,718 Diluted earnings per share $ 0.55 $ 0.59 $ 0.62 $ 1.71 $ 1.74 Return on average equity 14.57% 15.47% 17.09% 15.18% 17.05% Return on average assets 1.35% 1.44% 1.44% 1.40% 1.40% Net interest margin 3.63% 3.61% 3.69% 3.59% 3.71% Efficiency ratio 51.87% 52.13% 49.06% 52.06% 50.86% Balance Sheet Highlights Unaudited Period Ending Balances As Of ------------------------------------- (Amounts in thousands except per share data) Sept. 30, June 30, Sept. 30, 2007 2007 2006 ------------ ------------ ------------ Total assets $ 7,884,345 $ 8,055,358 $ 8,596,864 Total loans 4,931,472 4,909,858 5,069,554 Total deposits 5,834,175 5,814,744 6,229,390 Stockholders' equity 727,928 741,060 745,869 Book value per share $ 14.94 $ 14.97 $ 14.92 Period end shares outstanding 48,735 49,494 50,001 Stock Performance Data Unaudited Quarters Ended -------------------------------------- Sept. 30, June 30, Sept. 30, 2007 2007 2006 ------------ ------------ ------------ Market Price: Quarter End $ 34.16 $ 35.51 $ 37.89 High $ 36.62 $ 38.17 $ 38.89 Low $ 31.87 $ 34.82 $ 34.42 Quarter end price to book value 2.3x 2.4x 2.5x Quarter end price to consensus estimated 2007 earnings 14.5x 14.9x N/A Dividends declared per share $ 0.295 $ 0.295 $ 0.275 -------------------------------------- First Midwest Bancorp, Inc. Press Release Dated October 24, 2007 Condensed Consolidated Statements of Condition Unaudited (1) September 30, ------------------------ (Amounts in thousands) 2007 2006 ----------- ----------- Assets Cash and due from banks $ 182,495 $ 182,484 Funds sold and other short-term investments 4,842 9,516 Trading account securities 17,431 14,069 Securities available for sale 1,924,357 2,561,962 Securities held to maturity, at amortized cost 92,913 98,745 Loans 4,931,472 5,069,554 Reserve for loan losses (61,412) (62,370) ----------- ----------- Net loans 4,870,060 5,007,184 ----------- ----------- Premises, furniture, and equipment 126,322 122,662 Investment in corporate owned life insurance 201,418 194,632 Goodwill and other intangible assets 289,341 293,839 Accrued interest receivable and other assets 175,166 111,771 ----------- ----------- Total assets $ 7,884,345 $ 8,596,864 ----------- ----------- Liabilities and Stockholders' Equity Deposits $ 5,834,175 $ 6,229,390 Borrowed funds 998,502 1,295,316 Subordinated debt 227,948 228,747 Accrued interest payable and other liabilities 95,792 97,542 ----------- ----------- Total liabilities 7,156,417 7,850,995 ----------- ----------- Common stock 613 613 Additional paid-in capital 206,951 203,860 Retained earnings 865,435 807,039 Accumulated other comprehensive (loss) (36,385) (1,674) Treasury stock, at cost (308,686) (263,969) ----------- ----------- Total stockholders' equity 727,928 745,869 ----------- ----------- Total liabilities and stockholders' equity $ 7,884,345 $ 8,596,864 ----------- ----------- (1) While unaudited, the Condensed Consolidated Statements of Condition have been prepared in accordance with U.S. generally accepted accounting principles and, as of September 30, 2006, are derived from quarterly financial statements on which Ernst & Young LLP, First Midwest's independent registered public accounting firm, has rendered a Quarterly Review Report; Ernst & Young is currently in the process of completing their Quarterly Review Report for the quarter ended September 30, 2007. First Midwest Bancorp, Inc. Press Release Dated October 24, 2007 Condensed Consolidated Statements of Income Quarters Ended Nine Months Ended Unaudited (1) September 30, September 30, --------------------- --------------------- (Amounts in thousands except per share data) 2007 2006 2007 2006 --------- ---------- --------- ---------- Interest Income Loans $ 93,020 $ 93,929 $ 277,372 $ 258,756 Securities 26,885 32,374 84,354 91,833 Other 185 134 624 423 --------- ---------- --------- ---------- Total interest income 120,090 126,437 362,350 351,012 --------- ---------- --------- ---------- Interest Expense Deposits 41,949 40,335 125,669 105,349 Borrowed funds 13,680 16,799 43,392 46,869 Subordinated debt 3,764 3,630 11,258 9,698 --------- ---------- --------- ---------- Total interest expense 59,393 60,764 180,319 161,916 --------- ---------- --------- ---------- Net interest income 60,697 65,673 182,031 189,096 Provision for loan losses 470 2,715 5,191 6,364 --------- ---------- --------- ---------- Net interest income after provision for loan losses 60,227 62,958 176,840 182,732 --------- ---------- --------- ---------- Noninterest Income Service charges on deposit accounts 11,959 10,971 33,029 29,442 Trust and investment management fees 3,934 3,736 11,640 10,603 Other service charges, commissions, and fees 5,601 5,471 16,859 14,773 Card-based fees 4,054 3,734 11,946 10,065 --------- ---------- --------- ---------- Subtotal, fee-based revenues 25,548 23,912 73,474 64,883 --------- ---------- --------- ---------- Corporate owned life insurance income 2,023 2,206 5,916 5,650 Security (losses) gains, net (5,165) 509 (760) 898 Other 989 364 4,088 2,199 --------- ---------- --------- ---------- Total noninterest income 23,395 26,991 82,718 73,630 --------- ---------- --------- ---------- Noninterest Expense Salaries and employee benefits 27,354 27,023 83,912 79,694 Net occupancy expense 5,686 5,482 16,574 15,146 Equipment expense 2,580 2,651 7,796 7,487 Technology and related costs 1,767 1,770 5,324 5,052 Other 12,594 12,192 35,267 37,441 --------- ---------- --------- ---------- Total noninterest expense 49,981 49,118 148,873 144,820 --------- ---------- --------- ---------- Income before taxes 33,641 40,831 110,685 111,542 Income tax expense 6,404 9,616 25,108 25,824 --------- ---------- --------- ---------- Net Income $ 27,237 $ 31,215 $ 85,577 $ 85,718 --------- ---------- --------- ---------- Diluted Earnings Per Share $ 0.55 $ 0.62 $ 1.71 $ 1.74 --------- ---------- --------- ---------- Dividends Declared Per Share $ 0.295 $ 0.275 $ 0.885 $ 0.825 --------- ---------- --------- ---------- Weighted Average Diluted Shares Outstanding 49,447 50,315 49,915 49,158 --------- ---------- --------- ---------- (1) While unaudited, the Condensed Consolidated Statements of Income have been prepared in accordance with U.S. generally accepted accounting principles and, for the quarter ended September 30, 2006, are derived from quarterly financial statements on which Ernst & Young LLP, First Midwest's independent registered public accounting firm, has rendered a Quarterly Review Report; Ernst & Young is currently in the process of completing their Quarterly Review Report for the quarter ended September 30, 2007. First Midwest Bancorp, Inc. Press Release Dated October 24, 2007 Selected Quarterly Data Unaudited (Amounts in thousands Year to Date Quarters Ended except per ----------------- ---------------------------------------- share data) 9/30/07 9/30/06 9/30/07 6/30/07 3/31/07 12/31/06 9/30/06 -------- -------- ------- ------- ------- -------- ------- Net interest income $182,031 $189,096 $60,697 $60,964 $60,370 $ 62,763 $65,673 Provision for loan losses 5,191 6,364 470 1,761 2,960 3,865 2,715 Noninterest income 82,718 73,630 23,395 30,623 28,700 29,653 26,991 Noninterest expense 148,873 144,820 49,981 50,737 48,155 47,795 49,118 Net income 85,577 85,718 27,237 29,311 29,029 31,528 31,215 Diluted earnings per share $ 1.71 $ 1.74 $ 0.55 $ 0.59 $ 0.58 $ 0.63 $ 0.62 Return on average equity 15.18% 17.05% 14.57% 15.47% 15.48% 16.40% 17.09% Return on average assets 1.40% 1.40% 1.35% 1.44% 1.42% 1.47% 1.44% Net interest margin 3.59% 3.71% 3.63% 3.61% 3.53% 3.57% 3.69% Efficiency ratio 52.06% 50.86% 51.87% 52.13% 52.19% 49.56% 49.06% -------- -------- ------- ------- ------- -------- ------- Period end shares outstanding 48,735 50,001 48,735 49,494 49,747 50,025 50,001 Book value per share $ 14.94 $ 14.92 $ 14.94 $ 14.97 $ 15.16 $ 15.01 $ 14.92 Dividends declared per share $ 0.885 $ 0.825 $ 0.295 $ 0.295 $ 0.295 $ 0.295 $ 0.275 -------- -------- ------- ------- ------- -------- ------- Asset Quality Unaudited (Amounts in Year to Date Quarters Ended thousands) ----------------- ---------------------------------------- 9/30/07 9/30/06 9/30/07 6/30/07 3/31/07 12/31/06 9/30/06 -------- -------- ------- ------- ------- -------- ------- Nonaccrual loans $ 12,771 $ 17,459 $12,771 $14,927 $17,582 $ 16,209 $17,459 Foreclosed real estate 4,032 4,088 4,032 3,683 3,195 2,727 4,088 Loans past due 90 days and still accruing 21,421 11,296 21,421 19,633 15,603 12,810 11,296 -------- -------- ------- ------- ------- -------- ------- Nonperforming loans to loans 0.26% 0.34% 0.26% 0.30% 0.35% 0.32% 0.34% Nonperforming assets to loans plus foreclosed real estate 0.34% 0.42% 0.34% 0.38% 0.42% 0.38% 0.42% Nonperforming assets plus loans past due 90 days to loans plus foreclosed real estate 0.77% 0.65% 0.77% 0.78% 0.73% 0.63% 0.65% Reserve for loan losses to loans 1.25% 1.23% 1.25% 1.27% 1.25% 1.25% 1.23% Reserve for loan losses to nonperforming loans 481% 357% 481% 418% 355% 385% 357% -------- -------- ------- ------- ------- -------- ------- Provision for loan losses $ 5,191 $ 6,364 $ 470 $ 1,761 $ 2,960 $ 3,865 $ 2,715 Net loan charge-offs 6,149 6,322 1,449 1,770 2,930 3,865 2,704 -------- -------- ------- ------- ------- -------- ------- Net loan charge-offs to average loans 0.17% 0.18% 0.12% 0.14% 0.24% 0.30% 0.21% -------- -------- ------- ------- ------- -------- -------
Contact Information: CONTACT: Paul F. Clemens EVP, Chief Financial Officer (630) 875-7347 www.firstmidwest.com First Midwest Bancorp One Pierce Place, Suite 1500 Itasca, Illinois 60143 (630) 875-7450