Univest Corporation of Pennsylvania - Univest Bank and Trust Co. - Reports Fourth Quarter and Year End Earnings

SOUDERTON, Pa., Jan. 28, 2015 (GLOBE NEWSWIRE) -- Univest Corporation of Pennsylvania ("Univest") (Nasdaq:UVSP), parent company of Univest Bank and Trust Co. and its insurance, investments and equipment financing subsidiaries, today announced financial results for the quarter and year ended December 31, 2014. Univest reported net income of $5.2 million or $0.32 diluted earnings per share for the quarter ended December 31, 2014, a 5% increase from reported net income of $4.9 million or $0.30 diluted earnings per share for the quarter ended December 31, 2013. Net income for the year ended December 31, 2014 was $22.2 million or $1.36 diluted earnings per share, a 5% increase in net income compared to $21.2 million or $1.27 diluted earnings per share for the comparable period in the prior year. The quarter and year ended December 31, 2014 results include $531 thousand and $1.3 million in acquisition-related costs or $0.03 and $0.06 diluted earnings per share on a tax affected basis, respectively. These fourth quarter and year-to-date financial results do not include the financial results of Valley Green Bank which Univest acquired on January 1, 2015, and are prior to the effective date of the merger of Valley Green Bank with and into Univest Bank and Trust Co.

Loans

Gross loans and leases increased $85.1 million or 6% from December 31, 2013. The growth in loans from December 31, 2013 was primarily in commercial real estate loans, municipal loans and leases, and residential real estate loans as economic conditions continued to improve. Gross loans and leases increased $28.9 million or 2% from September 30, 2014, mainly due to growth in municipal loans and leases and residential real estate loans.

Deposits

Total deposits increased $16.8 million or 1% from December 31, 2013 and remained consistent with September 30, 2014. Deposits, excluding public funds, grew $31.2 million from December 31, 2013 and $36.2 million from September 30, 2014, primarily due to increases in non-interest bearing and interest bearing demand deposits partially offset by decreases in savings and time deposits.

Net Interest Income and Margin

The net interest margin on a tax-equivalent basis for the fourth quarter of 2014 was 3.78%, compared to 3.88% for the third quarter of 2014 and 3.82% for the fourth quarter of 2013. Net interest income of $18.0 million for the fourth quarter of 2014 was consistent with the fourth quarter of 2013. Net interest income declined $573 thousand, or less than 1%, to $71.9 million for the year ended December 31, 2014, compared to the prior year. The decline in year-to-date net interest income from the prior year was primarily attributable to a reduction in investment securities. This decline was partially offset by loan and lease growth which more than compensated for the reduction in loan rates. It was also offset by maturities of time deposits, reductions in time deposit rates and redemption of Univest's trust preferred securities in 2013.

Non-Interest Income

Non-interest income for the quarter ended December 31, 2014 was $12.1 million, an increase of $960 thousand or 9% from the comparable period in the prior year. Non-interest income for the year ended December 31, 2014 was $48.7 million, an increase of $1.9 million or 4% from the prior year. Investment advisory commission and fee income increased $772 thousand for the quarter and $4.3 million for the year ended December 31, 2014, primarily due to the acquisition of Girard Partners ("Girard") effective January 1, 2014. Insurance commission and fee income increased $724 thousand for the quarter, primarily due to the acquisition of Sterner Insurance ("Sterner") on July 1, 2014. Insurance commission and fee income increased $2.1 million for the year ended December 31, 2014, primarily due to the acquisition of Sterner, an increase in contingent income during the first quarter of 2014 and the acquisition of the John T. Fretz Insurance Agency on May 1, 2013.

These favorable increases were partially offset for the year ended December 31, 2014 by a $2.3 million decline in net gain on mortgage banking activities. In 2014, higher interest rates led to a decline in refinance activity while new home purchase activity remained below historical norms. These factors led to a 51% decline in funded first mortgage volume for the year ended December 31, 2014 compared to 2013. However, funded first mortgage volume during the fourth quarter of 2014 was up 39% from the fourth quarter of 2013 due to an increase in purchase volume. In addition, there was a $361 thousand decline in net gain on sales of securities for the quarter ended December 31, 2014 from the comparable period in the prior year and a $2.8 million decline for the year ended December 31, 2014. Excess proceeds from bank owned life insurance death benefits of $1.1 million were recognized in 2013. Lastly, the year ended December 31, 2013 included a $1.9 million loss on the termination of an interest rate swap which was used as a hedge of trust preferred securities.

Non-Interest Expense

Non-interest expense for the quarter ended December 31, 2014 was $22.6 million, an increase of $939 thousand or 4% compared to the fourth quarter of 2013. Non-interest expense for the year ended December 31, 2014 was $87.3 million, an increase of $6.1 million or 8% from the prior year. Salaries and benefit expense increased $2.7 million for the year ended December 31, 2014, primarily attributable to the Girard and Sterner acquisitions and lower deferred loan origination costs which were partially offset by reduced pension plan expense. Intangible expenses increased by $2.0 million for the year ended December 31, 2014, mainly due to the Girard acquisition and the reduction to the contingent consideration liability related to the Javers acquisition which resulted in a reduction of expense of $959 thousand during 2013. Premises and equipment expenses increased $532 thousand for the quarter and $1.9 million for the year ended December 31, 2014, mainly due to increased costs related to computer equipment and software, our new leased office location in the Lehigh Valley which opened in December 2013 and the Girard acquisition. Acquisition-related costs for the quarter were $531 thousand and $1.3 million for the year ended December 31, 2014, mainly attributable to the completed acquisition of Valley Green Bank. These unfavorable variances were partially offset by a decrease in commission expense of $875 thousand for the year ended December 31, 2014, mainly due to the decline in mortgage banking activity. In addition, non-interest expense in 2013 included restructuring charges of $534 thousand.

Asset Quality and Provision for Loan and Lease Losses

Non-accrual loans and leases, including non-accrual troubled debt restructured loans, decreased to $17.3 million at December 31, 2014, from $18.8 million at September 30, 2014 and $23.2 million at December 31, 2013. The $5.9 million decrease in non-accrual loans from December 31, 2013 was mainly due to sales, charge-offs, and pay-downs exceeding additions to non-accrual loans. Net loan and lease charge-offs were $1.7 million during the fourth quarter of 2014 compared to $2.0 million for the fourth quarter of 2013. Net loan and lease charge-offs were $7.4 million for the year ended December 31, 2014 compared to $11.5 million in the prior year. Non-accrual loans and leases as a percentage of total loans and leases held for investment were 1.07% at December 31, 2014 compared to 1.18% at September 30, 2014 and 1.51% at December 31, 2013.

The provision for loan and lease losses was $648 thousand for the fourth quarter of 2014 compared to $1.6 million for the fourth quarter of 2013. The provision for loan and lease losses was $3.6 million for the year ended December 31, 2014, down from $11.2 million in the prior year. The decrease in the year-to-date loan and lease provision was mainly due to improvements in historical loss factors utilized to calculate the allowance for loan and lease loss requirement, a decline in collateral value for a commercial real estate borrower in the second quarter of 2013 and updated assessments of residential building lots for a commercial real estate developer in the third quarter of 2013.

The allowance for loan and lease losses as a percentage of loans and leases held for investment was 1.27% at December 31, 2014, compared to 1.36% at September 30, 2014 and 1.59% at December 31, 2013. The allowance for loan and lease losses to nonaccrual loans and leases held for investment equaled 119.18% at December 31, 2014, compared to 115.67% at September 30, 2014 and 105.42% at December 31, 2013.

Capital

Univest continues to remain well-capitalized at December 31, 2014. Total risk-based capital at December 31, 2014 was 12.91%, well in excess of the regulatory minimum for well-capitalized status of 10%.

Dividend

On November 26, 2014, Univest declared a quarterly cash dividend of $0.20 per share, payable on January 2, 2015. This represented a 4.00% annualized yield based on the closing price of Univest's stock on the date the dividend was paid.

Merger with Valley Green Bank

On January 1, 2015, Univest completed its previously announced acquisition of Valley Green Bank and began operating its three full-service branches and two loan production offices in the Philadelphia marketplace as Valley Green Bank – a Division of Univest Bank and Trust Co. This acquisition brings Univest its first physical presence in the Philadelphia marketplace. Philadelphia is a rapidly growing market which makes it very desirable for Univest to deliver its comprehensive financial solutions.

About Univest Corporation of Pennsylvania

Univest Corporation of Pennsylvania (UVSP), including its wholly-owned subsidiary, Univest Bank and Trust Co., has $2.2 billion in assets and more than $3.0 billion in assets under management and supervision through its Wealth Management lines of business. Headquartered in Souderton, Pa. and founded in 1876, the Corporation and its subsidiaries provide a full range of financial solutions for individuals, businesses, municipalities and nonprofit organizations in the Mid-Atlantic Region. Univest delivers these services through a network of more than 50 offices in southeastern Pennsylvania extending to the Lehigh Valley, Maryland and online at www.univest.net.

This press release of Univest Corporation of Pennsylvania and the reports Univest Corporation of Pennsylvania files with the Securities and Exchange Commission often contain "forward-looking statements" relating to present or future trends or factors affecting the financial services industry and, specifically, the financial operations, markets and products of Univest Corporation of Pennsylvania. These forward-looking statements involve certain risks and uncertainties. There are a number of important factors that could cause Univest Corporation of Pennsylvania's future results to differ materially from historical performance or projected performance. These factors include, but are not limited to: (1) a significant increase in competitive pressures among financial institutions; (2) changes in the interest rate environment that may reduce net interest margins; (3) changes in prepayment speeds, loan sale volumes, charge-offs and loan loss provisions; (4) general economic conditions; (5) legislative or regulatory changes that may adversely affect the businesses in which Univest Corporation of Pennsylvania is engaged; (6) technological issues which may adversely affect Univest Corporation of Pennsylvania's financial operations or customers; (7) changes in the securities markets or (8) risk factors mentioned in the reports and registration statements Univest Corporation of Pennsylvania files with the Securities and Exchange Commission. Univest Corporation of Pennsylvania undertakes no obligation to revise these forward-looking statements or to reflect events or circumstances after the date of this press release.

Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
December 31, 2014
(Dollars in thousands)
Balance Sheet (Period End) 12/31/14 09/30/14 06/30/14 03/31/14 12/31/13
Assets $ 2,235,321 $ 2,222,196 $ 2,197,252 $ 2,201,194 $ 2,191,559
Investment securities 368,630 360,778 358,460 381,724 402,284
Loans held for sale 3,302 2,156 9,811 1,856 2,267
Loans and leases held for investment, gross 1,626,625 1,597,736 1,586,994 1,560,446 1,541,484
Allowance for loan and lease losses 20,662 21,762 24,094 24,567 24,494
Loans and leases held for investment, net 1,605,963 1,575,974 1,562,900 1,535,879 1,516,990
Total deposits 1,861,341 1,860,143 1,832,234 1,839,760 1,844,498
Noninterest-bearing deposits 449,339 436,189 432,399 426,430 411,714
NOW, money market and savings 1,159,409 1,162,778 1,131,605 1,145,994 1,161,995
Time deposits 252,593 261,176 268,230 267,336 270,789
Borrowings 41,974 38,005 45,066 41,486 37,256
Shareholders' equity 284,554 289,814 286,787 283,296 280,506
Balance Sheet (Average) For the three months ended, For the twelve months ended,
12/31/14 09/30/14 06/30/14 03/31/14 12/31/13 12/31/14 12/31/13
Assets $ 2,239,015 $ 2,217,474 $ 2,179,057 $ 2,172,551 $ 2,208,995 $ 2,202,247 $ 2,231,333
Investment securities 363,567 360,274 376,970 390,630 447,672 372,752 479,689
Loans and leases, gross 1,607,918 1,597,965 1,566,293 1,550,346 1,527,330 1,580,835 1,499,351
Deposits 1,875,938 1,860,138 1,819,546 1,823,589 1,858,905 1,844,988 1,833,358
Shareholders' equity 291,547 288,429 285,489 282,574 275,983 287,038 281,539
Asset Quality Data (Period End)
12/31/14 09/30/14 06/30/14 03/31/14 12/31/13
Nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and leases and nonaccrual loans held for sale $ 17,337 $ 18,814 $ 17,742 $ 19,287 $ 23,235
Accruing loans and leases 90 days or more past due 451 344 524 581 413
Accruing troubled debt restructured loans and leases 5,469 5,463 6,340 7,036 7,943
Other real estate owned 955 955 1,650 1,650 1,650
Nonperforming assets 24,212 25,576 26,256 28,554 33,241
Allowance for loan and lease losses 20,662 21,762 24,094 24,567 24,494
Nonaccrual loans and leases / Loans and leases held for investment and nonaccrual loans held for sale 1.07% 1.18% 1.12% 1.24% 1.51%
Nonperforming loans and leases / Loans and leases held for investment and nonaccrual loans held for sale 1.43% 1.54% 1.55% 1.72% 2.05%
Allowance for loan and lease losses / Loans and leases held for investment 1.27% 1.36% 1.52% 1.57% 1.59%
Allowance for loan and lease losses / Nonaccrual loans and leases held for investment 119.18% 115.67% 140.00% 127.38% 105.42%
Allowance for loan and lease losses / Nonperforming loans and leases held for investment 88.84% 88.39% 100.08% 91.31% 77.53%
For the three months ended, For the twelve months ended,
12/31/14 09/30/14 06/30/14 03/31/14 12/31/13 12/31/14 12/31/13
Net loan and lease charge-offs $ 1,748 $ 2,565 $ 1,724 $ 1,402 $ 1,955 $ 7,439 $ 11,480
Net loan and lease charge-offs (annualized)/Average loans and leases 0.43% 0.64% 0.44% 0.37% 0.51% 0.47% 0.77%
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
December 31, 2014
(Dollars in thousands, except per share data)
For the three months ended, For the twelve months ended,
For the period: 12/31/14 09/30/14 06/30/14 03/31/14 12/31/13 12/31/14 12/31/13
Interest income $ 18,995 $ 19,219 $ 18,725 $ 18,946 $ 19,172 $ 75,885 $ 77,579
Interest expense 1,039 978 981 998 1,080 3,996 5,117
Net interest income 17,956 18,241 17,744 17,948 18,092 71,889 72,462
Provision for loan and lease losses 648 233 1,251 1,475 1,614 3,607 11,228
Net interest income after provision 17,308 18,008 16,493 16,473 16,478 68,282 61,234
Noninterest income:
Trust fee income 2,143 1,862 1,931 1,899 2,054 7,835 7,303
Service charges on deposit accounts 1,096 1,073 1,047 1,014 1,118 4,230 4,451
Investment advisory commission and fee income 2,760 3,086 3,009 3,049 1,988 11,904 7,642
Insurance commission and fee income 2,896 2,881 2,434 3,332 2,172 11,543 9,395
Bank owned life insurance income 461 346 443 378 496 1,628 2,968
Net gain on sales of investment securities 78 -- 415 142 439 635 3,389
Net gain on mortgage banking activities 698 616 519 349 476 2,182 4,523
Net gain on sales of other real estate owned -- 195 -- -- 176 195 626
Loss on termination of interest rate swap -- -- -- -- -- -- (1,866)
Other income 1,944 2,451 2,126 1,978 2,197 8,499 8,353
Total noninterest income 12,076 12,510 11,924 12,141 11,116 48,651 46,784
Noninterest expense:
Salaries and benefits 10,297 11,035 10,242 10,671 10,542 42,245 39,522
Commissions 2,052 2,200 1,795 1,590 1,983 7,637 8,512
Premises and equipment 3,368 3,115 3,097 3,088 2,836 12,668 10,734
Professional fees 765 744 846 809 1,131 3,164 3,471
Acquisition-related costs 531 180 516 43 53 1,270 87
Intangible expenses 405 352 650 760 356 2,167 157
Restructuring and integration charges -- 8 -- -- -- 8 534
Other expense 5,144 4,385 4,644 3,922 4,722 18,095 18,116
Total noninterest expense 22,562 22,019 21,790 20,883 21,623 87,254 81,133
Income before taxes 6,822 8,499 6,627 7,731 5,971 29,679 26,885
Income taxes 1,632 2,264 1,547 2,005 1,049 7,448 5,696
Net income $ 5,190 $ 6,235 $ 5,080 $ 5,726 $ 4,922 $ 22,231 $ 21,189
Per common share data:
Book value per share $ 17.54 $ 17.87 $ 17.65 $ 17.43 $ 17.22 $ 17.54 $ 17.22
Net income per share:
Basic $ 0.32 $ 0.38 $ 0.31 $ 0.35 $ 0.30 $ 1.37 $ 1.28
Diluted $ 0.32 $ 0.38 $ 0.31 $ 0.35 $ 0.30 $ 1.36 $ 1.27
Dividends declared per share $ 0.20 $ 0.20 $ 0.20 $ 0.20 $ 0.20 $ 0.80 $ 0.80
Weighted average shares outstanding 16,215,580 16,225,596 16,243,161 16,256,047 16,283,466 16,234,959 16,605,232
Period end shares outstanding 16,221,607 16,220,249 16,248,495 16,249,152 16,287,812 16,221,607 16,287,812
Univest Corporation of Pennsylvania
Consolidated Selected Financial Data
December 31, 2014
For the three months ended, For the twelve months ended,
Profitability Ratios (annualized) 12/31/14 09/30/14 06/30/14 03/31/14 12/31/13 12/31/14 12/31/13
Return on average assets 0.92% 1.12% 0.94% 1.07% 0.88% 1.01% 0.95%
Return on average shareholders' equity 7.06% 8.58% 7.14% 8.22% 7.08% 7.74% 7.53%
Net interest margin (FTE) 3.78% 3.88% 3.86% 3.96% 3.82% 3.87% 3.81%
Efficiency ratio (1) 71.46% 68.39% 70.00% 66.19% 70.43% 69.01% 64.59%
Efficiency ratio (1), excluding acquisition-related costs and restructuring charges 69.78% 67.81% 68.34% 66.06% 70.25% 68.00% 64.09%
Capitalization Ratios
Dividends declared to net income 62.49% 52.01% 63.96% 56.72% 66.17% 58.40% 62.70%
Shareholders' equity to assets (Period End) 12.73% 13.04% 13.05% 12.87% 12.80% 12.73% 12.80%
Tangible common equity to tangible assets 9.49% 9.78% 9.94% 9.74% 10.10% 9.49% 10.10%
Regulatory Capital Ratios (Period End)
Tier 1 leverage ratio 10.55% 10.50% 10.72% 10.64% 10.85% 10.55% 10.85%
Tier 1 risk-based capital ratio 11.79% 11.98% 12.00% 12.00% 12.63% 11.80% 12.63%
Total risk-based capital ratio 12.91% 13.18% 13.26% 13.27% 13.90% 12.91% 13.90%
(1) Total operating expenses to net interest income before loan loss provision plus non-interest income adjusted for tax equivalent income.
Distribution of Assets, Liabilities and Shareholders' Equity: Interest Rates and Interest Differential
For the Three Months Ended December 31,
Tax Equivalent Basis 2014 2013
Average Income/ Average Average Income/ Average
(Dollars in thousands) Balance Expense Rate Balance Expense Rate
Assets:
Interest-earning deposits with other banks $ 48,393 $ 32 0.26% $ 30,412 $ 20 0.26%
U.S. government obligations 127,561 320 1.00 161,491 421 1.03
Obligations of state and political subdivisions 103,682 1,365 5.22 111,705 1,489 5.29
Other debt and equity securities 132,324 644 1.93 174,476 816 1.86
Total interest-earning deposits and investments 411,960 2,361 2.27 478,084 2,746 2.28
Commercial, financial, and agricultural loans 380,379 3,711 3.87 379,539 3,865 4.04
Real estate—commercial and construction loans 625,636 7,127 4.52 598,065 6,971 4.62
Real estate—residential loans 308,630 2,757 3.54 275,158 2,542 3.67
Loans to individuals 29,801 413 5.50 41,496 608 5.81
Municipal loans and leases 191,206 2,320 4.81 162,187 2,026 4.96
Lease financings 72,266 1,597 8.77 70,885 1,643 9.20
Gross loans and leases 1,607,918 17,925 4.42 1,527,330 17,655 4.59
Total interest-earning assets 2,019,878 20,286 3.98 2,005,414 20,401 4.04
Cash and due from banks 33,140 32,149
Reserve for loan and lease losses (22,315) (25,198)
Premises and equipment, net 36,186 33,965
Other assets 172,126 162,665
Total assets $ 2,239,015 $ 2,208,995
Liabilities:
Interest-bearing checking deposits $ 316,827 $ 43 0.05 $ 312,641 $ 45 0.06
Money market savings 320,559 159 0.20 324,564 83 0.10
Regular savings 523,768 79 0.06 534,114 79 0.06
Time deposits 256,637 751 1.16 278,005 865 1.23
Total time and interest-bearing deposits 1,417,791 1,032 0.29 1,449,324 1,072 0.29
Short-term borrowings 41,048 7 0.07 42,220 8 0.08
Total borrowings 41,048 7 0.07 42,220 8 0.08
Total interest-bearing liabilities 1,458,839 1,039 0.28 1,491,544 1,080 0.29
Noninterest-bearing deposits 458,147 409,581
Accrued expenses and other liabilities 30,482 31,887
Total liabilities 1,947,468 1,933,012
Shareholders' Equity:
Common stock 91,332 91,332
Additional paid-in capital 65,756 65,224
Retained earnings and other equity 134,459 119,427
Total shareholders' equity 291,547 275,983
Total liabilities and shareholders' equity $ 2,239,015 $ 2,208,995
Net interest income $ 19,247 $ 19,321
Net interest spread 3.70 3.75
Effect of net interest-free funding sources 0.08 0.07
Net interest margin 3.78% 3.82%
Ratio of average interest-earning assets to average interest-bearing liabilities 138.46% 134.45%
Notes: For rate calculation purposes, average loan and lease categories include unearned discount.
Nonaccrual loans and leases have been included in the average loan and lease balances.
Loans held for sale have been included in the average loan balances.
Tax-equivalent amounts for the three months ended December 31, 2014 and 2013 have been calculated using the Corporation's federal applicable rate of 35.0%.
Distribution of Assets, Liabilities and Shareholders' Equity: Interest Rates and Interest Differential
For the Twelve Months Ended December 31,
Tax Equivalent Basis 2014 2013
Average Income/ Average Average Income/ Average
(Dollars in thousands) Balance Expense Rate Balance Expense Rate
Assets:
Interest-earning deposits with other banks $ 33,482 $ 81 0.24% $ 46,469 $ 126 0.27%
U.S. government obligations 128,487 1,287 1.00 172,414 1,870 1.08
Obligations of state and political subdivisions 106,365 5,554 5.22 118,235 6,263 5.30
Other debt and equity securities 137,900 2,702 1.96 189,040 3,562 1.88
Total interest-earning deposits and investments 406,234 9,624 2.37 526,158 11,821 2.25
Commercial, financial, and agricultural loans 392,747 15,636 3.98 403,993 16,958 4.20
Real estate—commercial and construction loans 608,602 27,918 4.59 577,230 27,546 4.77
Real estate—residential loans 293,610 10,523 3.58 261,704 9,896 3.78
Loans to individuals 33,675 2,040 6.06 42,339 2,392 5.65
Municipal loans and leases 180,914 8,767 4.85 145,463 7,360 5.06
Lease financings 71,287 6,404 8.98 68,622 6,381 9.30
Gross loans and leases 1,580,835 71,288 4.51 1,499,351 70,533 4.70
Total interest-earning assets 1,987,069 80,912 4.07 2,025,509 82,354 4.07
Cash and due from banks 32,710 32,854
Reserve for loan and lease losses (24,287) (25,519)
Premises and equipment, net 35,099 33,197
Other assets 171,656 165,292
Total assets $ 2,202,247 $ 2,231,333
Liabilities:
Interest-bearing checking deposits $ 314,784 $ 172 0.05 $ 286,487 $ 164 0.06
Money market savings 295,209 373 0.13 319,958 314 0.10
Regular savings 535,346 317 0.06 536,701 313 0.06
Time deposits 264,591 3,102 1.17 299,792 3,795 1.27
Total time and interest-bearing deposits 1,409,930 3,964 0.28 1,442,938 4,586 0.32
Short-term borrowings 41,215 32 0.08 72,211 48 0.07
Subordinated notes and capital securities -- -- -- 10,710 483 4.51
Total borrowings 41,215 32 0.08 82,921 531 0.64
Total interest-bearing liabilities 1,451,145 3,996 0.28 1,525,859 5,117 0.34
Noninterest-bearing deposits 435,058 390,420
Accrued expenses and other liabilities 29,006 33,515
Total liabilities 1,915,209 1,949,794
Shareholders' Equity:
Common stock 91,332 91,332
Additional paid-in capital 65,464 64,874
Retained earnings and other equity 130,242 125,333
Total shareholders' equity 287,038 281,539
Total liabilities and shareholders' equity $ 2,202,247 $ 2,231,333
Net interest income $ 76,916 $ 77,237
Net interest spread 3.79 3.73
Effect of net interest-free funding sources 0.08 0.08
Net interest margin 3.87% 3.81%
Ratio of average interest-earning assets to average interest-bearing liabilities 136.93% 132.75%
Notes: For rate calculation purposes, average loan and lease categories include unearned discount.
Nonaccrual loans and leases have been included in the average loan and lease balances.
Loans held for sale have been included in the average loan balances.
Tax-equivalent amounts for the twelve months ended December 31, 2014 and 2013 have been calculated using the Corporation's federal applicable rate of 35.0%.

CONTACT: Mike Keim UNIVEST CORPORATION OF PENNSYLVANIA Chief Financial Officer 215-721-2511, keimm@univest.net

Source:Univest Corporation of Pennsylvania