×

First Community Bancshares, Inc. Announces Second Quarter 2017 Results and Increased Quarterly Dividend

BLUEFIELD, Va., July 25, 2017 (GLOBE NEWSWIRE) -- First Community Bancshares, Inc. (NASDAQ:FCBC) (www.firstcommunitybank.com) (the “Company”) today reported its unaudited results of operations and other financial information for the quarter and six months ended June 30, 2017. The Company reported net income available to common shareholders of $6.42 million, or $0.38 per diluted common share for the quarter ended June 30, 2017, which represents a 5.56% increase in per share diluted earnings compared to the same quarter of 2016. Net income available to common shareholders was $12.62 million, or $0.74 per diluted common share for the six months ended June 30, 2017, which represents a 5.71% increase in per share diluted earnings compared to the same period of 2016.

The Company also announced today that the Board of Directors declared a quarterly cash dividend to common shareholders of eighteen cents ($0.18) per common share, which represents an increase of 12.50% over the most recent cash dividend. The quarterly dividend is payable to common shareholders of record on August 4, 2017, and is expected to be paid on or about August 18, 2017. The current year marks the 32nd consecutive year of cash dividends paid to stockholders.

Second Quarter 2017 Highlights

  • Income Statement
    • Net income available to common shareholders increased $163 thousand, or 2.61%, to $6.42 million compared to the same quarter of 2016.
    • Diluted earnings per share increased $0.02, or 5.56%, to $0.38 compared to the same quarter of 2016.
    • Net interest margin increased 24 basis points to 4.32%, and normalized net interest margin increased 18 basis points to 3.99% compared to the same quarter of 2016.
  • Balance Sheet
    • Book value per common share increased $0.55 to $20.50 compared to December 31, 2016.
    • Tangible book value per common share increased $0.58 to $14.47 compared to December 31, 2016.
    • The Company and its subsidiary bank both significantly exceed regulatory “well capitalized” targets as of June 30, 2017.

Non-GAAP Financial Measures

The Company prepares its financial statements in accordance with generally accepted accounting principles in the United States (“GAAP”). This press release also refers to certain non-GAAP financial measures that the Company believes provide investors with important information, when used in conjunction with results presented in accordance with GAAP, regarding its operational performance. The Company’s non-GAAP financial measures presented in this release include core earnings, the efficiency ratio, tangible book value per common share, average tangible common equity, and normalized net interest margin. Management believes that core earnings provide the Company and investors a valuable tool to evaluate the Company’s financial results. Management believes that the efficiency ratio provides important information about the Company’s operating expense control and efficiency of operations. Management also believes this ratio focuses attention on the core operating performance of the Company over time and is highly useful in comparing period-to-period operating performance of core business operations. The efficiency ratio used by the Company may not be comparable to efficiency ratios reported by other financial institutions. The reconciliations of these measures to GAAP measures are provided within this news release.

About First Community Bancshares, Inc.

First Community Bancshares, Inc., a financial holding company headquartered in Bluefield, Virginia, provides banking products and services through its wholly owned subsidiary First Community Bank. First Community Bank operated 44 branch banking locations in Virginia, West Virginia, North Carolina, and Tennessee as of June 30, 2017. First Community Bank provides insurance services through First Community Insurance Services, which operates 6 in-branch locations in Virginia and West Virginia and offers wealth management and investment advice through its Trust Division and First Community Wealth Management, which collectively managed $926 million in combined assets as of June 30, 2017. The Company reported consolidated assets of $2.37 billion as of June 30, 2017. The Company’s common stock is listed on the NASDAQ Global Select Market under the trading symbol, “FCBC”. Additional investor information is available on the Company’s website at www.fcbinc.com.

This news release may include forward-looking statements. These forward-looking statements are based on current expectations that involve risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may differ materially. These risks include: changes in business or other market conditions; the timely development, production and acceptance of new products and services; the challenge of managing asset/liability levels; the management of credit risk and interest rate risk; the difficulty of keeping expense growth at modest levels while increasing revenues; and other risks detailed from time to time in the Company’s Securities and Exchange Commission reports including, but not limited to, the Annual Report on Form 10-K for the most recent fiscal year end. Pursuant to the Private Securities Litigation Reform Act of 1995, the Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

Financial Performance

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
Three Months Ended Six Months Ended
June 30, March 31, December 31, September 30, June 30, June 30,
(Amounts in thousands, except share and per share data) 2017 2017 2016 2016 2016 2017 2016
Interest income
Interest and fees on loans$22,914 $21,827 $21,956 $21,952 $22,237 $44,741 $43,810
Interest on securities 1,170 1,206 1,362 1,643 1,891 2,376 3,848
Interest on deposits in banks 221 159 98 26 9 380 29
Total interest income 24,305 23,192 23,416 23,621 24,137 47,497 47,687
Interest expense
Interest on deposits 1,233 1,166 1,145 1,133 1,087 2,399 2,201
Interest on borrowings 778 885 1,314 1,367 1,359 1,663 2,684
Total interest expense 2,011 2,051 2,459 2,500 2,446 4,062 4,885
Net interest income 22,294 21,141 20,957 21,121 21,691 43,435 42,802
Provision for (recovery of) loan losses 934 492 500 (1,154) 722 1,426 1,909
Net interest income after
provision (recovery) 21,360 20,649 20,457 22,275 20,969 42,009 40,893
Total noninterest income 5,475 5,691 6,238 5,895 7,030 11,166 14,933
Total noninterest expense 17,458 17,083 16,653 18,557 18,722 34,541 37,536
Income before income taxes 9,377 9,257 10,042 9,613 9,277 18,634 18,290
Income tax expense 2,959 3,055 3,638 3,230 3,022 6,014 5,951
Net income 6,418 6,202 6,404 6,383 6,255 12,620 12,339
Dividends on preferred stock - - - - - - -
Net income available to common shareholders$6,418 $6,202 $6,404 $6,383 $6,255 $12,620 $12,339
Earnings per common share
Basic$0.38 $0.36 $0.38 $0.37 $0.36 $0.74 $0.70
Diluted 0.38 0.36 0.38 0.37 0.36 0.74 0.70
Cash dividends per common share 0.16 0.16 0.16 0.16 0.14 0.32 0.28
Weighted average shares outstanding
Basic 17,012,189 16,998,125 16,891,010 17,031,074 17,414,320 17,005,196 17,636,783
Diluted 17,082,832 17,072,174 17,043,869 17,083,526 17,462,845 17,075,961 17,675,128
Performance ratios
Return on average assets 1.08% 1.06% 1.05% 1.03% 1.02% 1.07% 1.00%
Return on average common equity 7.41% 7.35% 7.49% 7.58% 7.47% 7.38% 7.31%
Return on average tangible common equity(1) 10.51% 10.50% 10.75% 11.07% 10.88% 10.51% 10.60%
(1) A non-GAAP financial measure defined as average stockholders’ equity less average goodwill, other intangibles, and preferred stock liquidation preference


RECONCILIATION OF GAAP NET INCOME TO CORE EARNINGS (Unaudited)
Three Months Ended Six Months Ended
June 30, March 31, December 31, September 30, June 30, June 30,
2017 2017 2016 2016 2016 2017 2016
(Amounts in thousands, except per share data)
Net income, GAAP$6,418 $6,202 $6,404 $6,383 $6,255 $12,620 $12,339
Non-GAAP adjustments:
Net gain on divestitures - - (619) (3,065) - - -
Allowance reversal for sold loans - - - (1,354) - - -
Merger, acquisition, and divestiture expense - - 55 226 410 - 449
Net loss (gain) on sale of securities 657 - (388) (25) 79 657 78
Net impairment losses - - - 4,635 11 - 11
Other non-core items (174) (18) (48) (264) - (192) (240)
Total adjustments to core earnings 483 (18) (1,000) 153 500 465 298
Tax effect 345 (7) (708) 56 184 338 110
Core earnings, non-GAAP(1)$6,556 $6,191 $6,112 $6,480 $6,571 $12,747 $12,527
Core diluted earnings per common share$0.38 $0.36 $0.36 $0.38 $0.38 $0.74 $0.71
Performance ratios
Core return on average assets 1.11% 1.06% 1.01% 1.05% 1.07% 1.08% 1.02%
Core return on average common equity 7.57% 7.33% 7.15% 7.70% 7.85% 7.45% 7.42%
Core return on average tangible common equity(2) 10.74% 10.48% 10.26% 11.24% 11.43% 10.61% 10.77%
(1) Excludes gains, losses, and impairment losses on securities; goodwill and intangible impairment; taxes; and other non-recurring income and expense items from net income
(2) A non-GAAP financial measure defined as average stockholders’ equity less average goodwill, other intangibles, and preferred stock liquidation preference

Net Interest Income and Margin

AVERAGE BALANCE SHEETS AND NET INTEREST INCOME ANALYSIS (Unaudited)
Three Months Ended June 30,
2017
2016
Average Average Yield/ Average Average Yield/
(Amounts in thousands)Balance Interest(1) Rate(1) Balance Interest(1) Rate(1)
Assets
Earning assets
Loans(2)$1,843,441 $22,986 5.00% $1,775,435 $22,263 5.04%
Securities available for sale 167,869 1,455 3.48% 336,510 2,195 2.62%
Securities held to maturity 34,664 125 1.45% 72,331 191 1.06%
Interest-bearing deposits 68,455 221 1.29% 5,184 9 0.70%
Total earning assets 2,114,429 24,787 4.70% 2,189,460 24,658 4.53%
Other assets 263,767 283,945
Total assets$2,378,196 $2,473,405
Liabilities and stockholders' equity
Interest-bearing deposits
Demand deposits$387,113 $110 0.11% $339,365 $60 0.07%
Savings deposits 525,808 35 0.03% 542,238 63 0.05%
Time deposits 514,527 1,088 0.85% 518,163 964 0.75%
Total interest-bearing deposits 1,427,448 1,233 0.35% 1,399,766 1,087 0.31%
Borrowings
Federal funds purchased 5 - 1.07% 9,078 14 0.62%
Retail repurchase agreements 60,809 10 0.07% 65,718 12 0.07%
Wholesale repurchase agreements 25,000 201 3.22% 50,000 469 3.77%
FHLB advances and other borrowings 55,635 567 4.09% 132,459 864 2.62%
Total borrowings 141,449 778 2.21% 257,255 1,359 2.12%
Total interest-bearing liabilities 1,568,897 2,011 0.51% 1,657,021 2,446 0.59%
Noninterest-bearing demand deposits 441,547 460,255
Other liabilities 20,197 19,520
Total liabilities 2,030,641 2,136,796
Stockholders' equity 347,555 336,609
Total liabilities and stockholders' equity$2,378,196 $2,473,405
Net interest income, FTE $22,776 $22,212
Net interest rate spread 4.19% 3.94%
Net interest margin 4.32% 4.08%
(1) Fully taxable equivalent ("FTE") basis based on the federal statutory rate of 35%
(2) Nonaccrual loans are included in average balances; however, no related interest income is recorded during the period of nonaccrual.


AVERAGE BALANCE SHEETS AND NET INTEREST INCOME ANALYSIS (Unaudited)
Six Months Ended June 30,
2017 2016
Average Average Yield/ Average Average Yield/
(Amounts in thousands)Balance Interest(1) Rate(1) Balance Interest(1) Rate(1)
Assets
Earning assets
Loans(2)$1,841,152 $44,880 4.92% $1,752,918 $43,862 5.03%
Securities available for sale 164,820 2,939 3.60% 345,546 4,463 2.60%
Securities held to maturity 40,854 276 1.36% 72,421 385 1.07%
Interest-bearing deposits 62,140 380 1.23% 10,388 29 0.56%
Total earning assets 2,108,966 48,475 4.64% 2,181,273 48,739 4.49%
Other assets 267,163 290,551
Total assets$2,376,129 $2,471,824
Liabilities and stockholders' equity
Interest-bearing deposits
Demand deposits$384,098 $212 0.11% $340,945 $117 0.07%
Savings deposits 525,691 71 0.03% 539,004 129 0.05%
Time deposits 515,014 2,116 0.83% 525,899 1,955 0.75%
Total interest-bearing deposits 1,424,803 2,399 0.34% 1,405,848 2,201 0.31%
Borrowings
Federal funds purchased 3 - 1.07% 6,251 20 0.64%
Retail repurchase agreements 63,861 21 0.07% 71,855 25 0.07%
Wholesale repurchase agreements 25,000 399 3.22% 50,000 937 3.77%
FHLB advances and other borrowings 61,096 1,243 4.10% 120,236 1,702 2.85%
Total borrowings 149,960 1,663 2.24% 248,342 2,684 2.17%
Total interest-bearing liabilities 1,574,763 4,062 0.53% 1,654,190 4,885 0.59%
Noninterest-bearing demand deposits 433,588 454,552
Other liabilities 22,822 23,652
Total liabilities 2,031,173 2,132,394
Stockholders' equity 344,956 339,430
Total liabilities and stockholders' equity$2,376,129 $2,471,824
Net interest income, FTE $44,413 $43,854
Net interest rate spread 4.11% 3.90%
Net interest margin 4.25% 4.04%
(1) Fully taxable equivalent ("FTE") basis based on the federal statutory rate of 35%
(2) Nonaccrual loans are included in average balances; however, no related interest income is recorded during the period of nonaccrual.


RECONCILIATION OF GAAP NET INTEREST MARGIN TO NON-GAAP NORMALIZED NET INTEREST MARGIN (Unaudited)
Three Months Ended June 30,
2017
2016
(Amounts in thousands)Interest(1) Average Yield/
Rate(1)
Interest(1) Average Yield/
Rate(1)
Earning assets
Loans(2)$22,986 5.00% $22,263 5.04%
Accretion income 2,534 2,248
Less: cash accretion income 788 786
Non-cash accretion income 1,746 1,462
Loans, normalized(3) 21,240 4.62% 20,801 4.71%
Other earning assets 1,801 2.67% 2,395 2.33%
Total earning assets 23,041 4.37% 23,196 4.26%
Total interest-bearing liabilities 2,011 0.51% 2,446 0.59%
Net interest income, FTE(3)$21,030 $20,750
Net interest rate spread, normalized(3) 3.86% 3.67%
Net interest margin, normalized(3) 3.99% 3.81%
(1) FTE basis based on the federal statutory rate of 35%
(2) Nonaccrual loans are included in average balances; however, no related interest income is recorded during the period of nonaccrual.
(3) Normalized totals are non-GAAP financial measures that exclude non-cash loan interest accretion related to PCI loans.
Six Months Ended June 30,
2017
2016
(Amounts in thousands)Interest(1) Average Yield/
Rate(1)
Interest(1) Average Yield/
Rate(1)
Earning assets
Loans(2)$44,880 4.92% $43,862 5.03%
Accretion income 4,318 4,500
Less: cash accretion income 1,438 1,591
Non-cash accretion income 2,880 2,909
Loans, normalized(3) 42,000 4.60% 40,953 4.70%
Other earning assets 3,595 2.71% 4,877 2.29%
Total earning assets 45,595 4.36% 45,830 4.23%
Total interest-bearing liabilities 4,062 0.53% 4,885 0.59%
Net interest income, FTE(3)$41,533 $40,945
Net interest rate spread, normalized(3) 3.83% 3.63%
Net interest margin, normalized(3) 3.97% 3.77%
(1) FTE basis based on the federal statutory rate of 35%
(2) Nonaccrual loans are included in average balances; however, no related interest income is recorded during the period of nonaccrual.
(3) Normalized totals are non-GAAP financial measures that exclude non-cash loan interest accretion related to PCI loans.

Noninterest Income and Expense

CONDENSED QUARTERLY STATEMENTS OF INCOME (Unaudited)
Three Months Ended Six Months Ended
June 30, March 31, December 31, September 30, June 30, June 30,
(Amounts in thousands) 2017 2017 2016 2016 2016 2017 2016
Noninterest income
Wealth management$791 $790 $681 $653 $810 $1,581 $1,494
Service charges on deposits 3,360 3,113 3,442 3,494 3,361 6,473 6,652
Other service charges and fees 2,168 2,078 2,014 2,024 2,054 4,246 4,064
Insurance commissions 325 373 59 1,592 1,600 698 3,791
Net impairment losses recognized in earnings - - - (4,635) (11) - (11)
Net gain (loss) on sale of securities (657) - 388 25 (79) (657) (78)
Net FDIC indemnification asset amortization (1,586) (1,332) (1,618) (1,369) (1,328) (2,918) (2,487)
Net gain on divestitures - - 619 3,065 - - -
Other operating income 1,074 669 653 1,046 623 1,743 1,508
Total noninterest income 5,475 5,691 6,238 5,895 7,030 11,166 14,933
Noninterest expense
Salaries and employee benefits 9,157 8,884 9,411 9,828 10,198 18,041 20,673
Occupancy expense 1,341 1,248 1,158 1,249 1,359 2,589 2,890
Furniture and equipment expense 1,087 1,091 1,070 1,066 1,109 2,178 2,205
Amortization of intangibles 263 261 265 316 277 524 555
FDIC premiums and assessments 227 244 274 363 372 471 746
Merger, acquisition, and divestiture expense - - 55 226 410 - 449
Other operating expense 5,383 5,355 4,420 5,509 4,997 10,738 10,018
Total noninterest expense 17,458 17,083 16,653 18,557 18,722 34,541 37,536

Efficiency Ratio

EFFICIENCY RATIO CALCULATION (Unaudited)
Three Months Ended Six Months Ended
June 30, March 31, December 31, September 30, June 30, June 30,
2017 2017 2016 2016 2016 2017 2016
(Amounts in thousands)
Noninterest expense, GAAP$ 17,458 $ 17,083 $ 16,653 $ 18,557 $ 18,722 $ 34,541 $ 37,536
Non-GAAP adjustments
Merger, acquisition, and divestiture expense - - (55) (226) (410) - (449)
OREO expense and net loss (213) (328) (184) (278) (247) (541) (958)
Other non-core items (327) - 8 (168) (30) (327) (204)
Adjusted noninterest expense 16,918 16,755 16,422 17,885 18,035 33,673 35,925
Net interest income, GAAP 22,294 21,141 20,957 21,121 21,691 43,435 42,802
Noninterest income, GAAP 5,475 5,691 6,238 5,895 7,030 11,166 14,933
Non-GAAP adjustments
Tax equivalency adjustment 481 497 520 509 521 978 1,052
Net impairment losses - - - 4,635 11 - 11
Net loss (gain) on sale of securities 657 - (388) (25) 79 657 78
Net gain on divestitures - - (619) (3,065) - - -
Other non-core items (501) (18) (40) (432) (30) (519) (444)
Adjusted net interest and noninterest income 28,406 27,311 26,668 28,638 29,302 55,717 58,432
Non-GAAP efficiency ratio(1) 59.56% 61.35% 61.58% 62.45% 61.55% 60.44% 61.48%
GAAP efficiency ratio 62.87% 63.67% 61.24% 68.69% 65.19% 63.26% 65.01%
(1) A non-GAAP financial measure computed by dividing adjusted noninterest expense by the sum of tax equivalent net interest income and adjusted noninterest income

Balance Sheet and Capital

CONDENSED CONSOLIDATED QUARTERLY BALANCE SHEETS (Unaudited)
June 30, March 31, December 31, September 30, June 30,
(Amounts in thousands, except per share data) 2017 2017 2016 2016 2016
Assets
Total cash and cash equivalents$106,799 $152,851 $76,307 $65,929 $44,301
Securities available for sale 157,854 158,685 165,579 220,856 322,699
Securities held to maturity 25,216 47,092 47,133 72,182 72,239
Loans held for investment, net of unearned income
Non-covered 1,796,263 1,784,371 1,795,954 1,774,547 1,733,398
Covered 45,845 51,412 56,994 61,837 68,585
Less allowance for loan losses (18,886) (18,458) (17,948) (19,633) (21,099)
Loans held for investment, net 1,823,222 1,817,325 1,835,000 1,816,751 1,780,884
FDIC indemnification asset 8,159 9,931 12,173 14,332 16,431
Premises and equipment, net 49,598 50,057 50,085 50,564 50,199
Other real estate owned, non-covered 3,914 4,477 5,109 4,052 4,187
Other real estate owned, covered 124 241 276 2,437 2,017
Interest receivable 5,072 5,059 5,553 5,498 6,115
Goodwill 95,779 95,779 95,779 101,776 100,486
Other intangible assets 6,683 6,947 7,207 7,964 4,688
Other assets 84,183 82,069 86,197 87,932 91,082
Total assets$2,366,603 $2,430,513 $2,386,398 $2,450,273 $2,495,328
Liabilities
Deposits
Noninterest-bearing$443,800 $467,677 $427,705 $473,509 $451,003
Interest-bearing 1,413,574 1,438,917 1,413,633 1,388,390 1,373,412
Total deposits 1,857,374 1,906,594 1,841,338 1,861,899 1,824,415
Federal funds purchased - - - - 42,000
Securities sold under agreements to repurchase 86,011 90,653 98,005 118,532 113,392
FHLB borrowings 50,000 65,000 65,000 90,000 140,000
Other borrowings - 244 15,708 15,707 15,756
Interest, taxes, and other liabilities 24,443 24,618 27,290 26,599 25,553
Total liabilities 2,017,828 2,087,109 2,047,341 2,112,737 2,161,116
Stockholders' equity
Common stock 21,382 21,382 21,382 21,382 21,382
Additional paid-in capital 228,326 228,176 228,142 227,884 227,791
Retained earnings 177,556 173,860 170,377 166,689 163,030
Treasury stock, at cost (78,488) (78,533) (78,833) (78,789) (74,974)
Accumulated other comprehensive (loss) income (1) (1,481) (2,011) 370 (3,017)
Total stockholders' equity 348,775 343,404 339,057 337,536 334,212
Total liabilities and stockholders' equity$2,366,603 $2,430,513 $2,386,398 $2,450,273 $2,495,328
Shares outstanding at period-end 17,017,071 17,013,185 16,994,208 16,988,972 17,155,322
Book value per common share(1)$20.50 $20.18 $19.95 $19.87 $19.48
Tangible book value per common share(2) 14.47 14.15 13.89 13.41 13.35
(1) Stockholders' equity divided by as-converted common shares outstanding
(2) A non-GAAP financial measure defined as stockholders’ equity less goodwill and other intangibles, divided by as-converted common shares outstanding

Asset Quality

SELECTED CREDIT QUALITY INFORMATION (Unaudited)
June 30, March 31, December 31, September 30, June 30,
(Amounts in thousands) 2017 2017 2016 2016 2016
Allowance for Loan Losses
Beginning balance$18,458 $17,948 $19,633 $21,099 $20,467
Provision for (recovery of) loan losses charged
to operations 934 492 500 (1,154) 722
Recovery of loan losses recorded
through the FDIC indemnification asset - - - - (10)
Charge-offs (902) (357) (2,485) (772) (691)
Recoveries 396 375 300 460 611
Net (charge-offs) recoveries (506) 18 (2,185) (312) (80)
Ending balance$18,886 $18,458 $17,948 $19,633 $21,099
Nonperforming Assets
Non-covered nonperforming assets
Nonaccrual loans$20,146 $18,537 $15,854 $17,487 $16,626
Accruing loans past due 90 days or more - 20 - 62 64
Troubled debt restructurings ("TDRs")(1) 100 - 114 115 115
Total non-covered nonperforming loans 20,246 18,557 15,968 17,664 16,805
OREO 3,914 4,477 5,109 4,052 4,187
Total non-covered nonperforming assets$24,160 $23,034 $21,077 $21,716 $20,992
Covered nonperforming assets
Nonaccrual loans$446 $918 $608 $688 $680
Total covered nonperforming loans 446 918 608 688 680
OREO 124 241 276 2,437 2,017
Total covered nonperforming assets$570 $1,159 $884 $3,125 $2,697
Additional Information
Performing TDRs(2)$8,485 $8,593 $12,838 $13,336 $13,562
Total TDRs(3) 8,585 8,593 12,952 13,451 13,677
Non-covered ratios
Nonperforming loans to total loans 1.13% 1.04% 0.89% 1.00% 0.97%
Nonperforming assets to total assets 1.04% 0.97% 0.90% 0.91% 0.87%
Non-PCI allowance to nonperforming loans 93.24% 99.40% 112.32% 111.08% 125.48%
Non-PCI allowance to total loans 1.05% 1.03% 1.00% 1.11% 1.22%
Annualized net charge-offs to average loans 0.11% 0.00% 0.49% 0.07% 0.02%
Total ratios
Nonperforming loans to total loans 1.12% 1.06% 0.89% 1.00% 0.97%
Nonperforming assets to total assets 1.04% 1.00% 0.92% 1.01% 0.95%
Allowance for loan losses to nonperforming loans 91.27% 94.78% 108.28% 106.98% 120.67%
Allowance for loan losses to total loans 1.03% 1.01% 0.97% 1.07% 1.17%
Annualized net charge-offs to average loans 0.11% 0.00% 0.47% 0.07% 0.02%
(1) Accruing TDRs restructured within the past six months or nonperforming
(2) Accruing TDRs with six months or more of satisfactory payment performance
(3) Accruing total TDRs


FOR MORE INFORMATION, CONTACT: David D. Brown (276) 326-9000

Source:First Community Bancshares, Inc.