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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) July 18, 2005
FIRST BUSEY CORPORATION
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(Exact name of registrant as specified in its charter)
Nevada 0-15959 37-1078406
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (217) 365-4513
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(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities
Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange
Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13a-4(c))
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ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On Monday, July 18, 2005, the Registrant issued a press release disclosing
financial results for the quarter ended June 30, 2005. The press release is made
part of this Form and is attached as Exhibit 99.1.
The press release made a part of this Form includes forward looking statements
that are intended to be covered by the safe-harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward looking statements
include but are not limited to comments with respect to the objectives and
strategies, financial condition, results of operations and business of the
Registrant.
These forward looking statements involve numerous assumptions, inherent risks
and uncertainties, both general and specific, and the risk that predictions and
other forward looking statements will not be achieved. The Registrant cautions
you not to place undue reliance on these forward looking statements as a number
of important factors could cause actual future results to differ materially from
the plans, objectives, expectations, estimates and intentions expressed in such
forward looking statements.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
99.1 Press release dated July 18, 2005.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: July 18, 2005 FIRST BUSEY CORPORATION
By: /s/ Barbara J. Harrington
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Name: Barbara J. Harrington
Title: Chief Financial Officer
EXHIBIT INDEX
99.1 Press Release, dated July 18, 2005.
Exhibit 99.1
FIRST BUSEY CORPORATION EARNINGS RELEASE FOR QUARTER ENDING JUNE 30, 2005
URBANA, Ill., July 18 /PRNewswire-FirstCall/ --
FINANCIAL HIGHLIGHTS
As scheduled, First Capital Bank merged into Busey Bank on May 20, 2005.
This places all Illinois banking locations under one charter. On June 20, 2005,
at a special meeting of their shareholders, Tarpon Coast Bancorp, Inc. approved
the merger agreement with First Busey Corporation. First Busey has received
regulatory approval for this transaction, and this acquisition is scheduled to
close on Friday, July 29, 2005.
Net income increased $735,000 or 13.3% to $6,276,000 for the quarter ending
June 30, 2005, as compared to $5,541,000 for the comparable period in 2004. For
the quarter ending June 30, 2005, earnings per share on a fully- diluted basis
were $0.31, an increase of $0.04 or 14.8% from $0.27 for the comparable period
in 2004. On a year-to-date basis, net income increased $1,911,000 or 17.5% to
$12,812,000, as compared to $10,901,000 for the comparable period in 2004. For
the six-month period ending June 30, 2005, earnings per share on a fully-diluted
basis were $0.62, an increase of $0.09 or 17.0% from $0.53 for the comparable
period in 2004.
Net interest income increased $3,855,000 or 29.0% to $17,149,000 in the
second quarter of 2005 compared to $13,294,000 in the comparable quarter in
2004. Interest income increased $7,573,000 during the second quarter of 2005
compared to the same period in 2004 due primarily to asset growth combined with
higher yields on outstanding loans. Interest expense increased significantly
during the second quarter of 2005 compared to the same period in 2004. This
increase in interest expense is due to growth in the average balances of deposit
and other funding sources combined with higher interest rates on those funding
sources.
Provision for loan losses was $1,425,000 during the second quarter of 2005
compared to $655,000 in the prior year period due to growth in the average
balance of outstanding loans. The allowance for loan losses expressed as a
percentage of average loans was 1.34% and 1.26% as of June 30, 2005 and 2004,
respectively.
Non-interest income was $5,964,000 during the second quarter of 2005, which
represents a decrease of $70,000 or 1.2% from non-interest income of $6,034,000
during the second quarter of 2004. This decrease in non-interest income is due
to lower gains on the sale of investment securities.
Non-interest expense increased $1,956,000 or 19.2% to $12,152,000 during the
quarter ended June 30, 2005, as compared to $10,196,000 during the comparable
prior year period due primarily to increased operating costs associated with the
addition of First Capital Bank.
FINANCIAL SUMMARY
Three Months Ended Six Months Ended
June 30, June 30
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2005 2004 2005 2004
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(in thousands, except per share data)
Earnings & Per Share
Data
Net income $ 6,276 $ 5,541 $ 12,812 $ 10,901
Basic earnings per
share* 0.31 0.27 0.63 0.54
Fully diluted earnings
per share* 0.31 0.27 0.62 0.53
Dividends per share* 0.14 0.1267 0.28 0.2533
Average Balances
Assets $ 2,003,971 $ 1,651,993 $ 1,991,406 $ 1,584,338
Investment
securities 310,795 227,908 319,349 221,353
Loans 1,553,819 1,306,537 1,522,930 1,256,235
Earning assets 1,869,972 1,545,837 1,856,996 1,484,228
Deposits 1,603,725 1,326,731 1,590,417 1,278,423
Stockholders' equity 140,684 127,722 139,587 127,041
Performance Ratios
Return on average
assets 1.26% 1.35% 1.30% 1.38%
Return on average
equity 17.89% 17.40% 18.51% 17.26%
Net interest margin 3.76% 3.53% 3.71% 3.56%
Efficiency ratio 51.45% 52.57% 50.87% 52.09%
Loan Performance
Net credit losses $ 87 $ 1,065 $ 213 $ 1,064
Accruing loans 90+
days past due 1,270 1,121 1,270 1,121
Non-accrual loans 1,880 2,030 1,880 2,030
Foreclosed assets 3,811 4,911 3,811 4,911
* Share and per share data have been adjusted to effect a three-for-two
common stock split effective August 3, 2004, as if it had occurred on
January 1, 2004.
June 30, 2005
NASDAQ symbol BUSE
Closing price $19.31
Price/earnings ratio 15.96x
Price/book ratio 276%
52-week price range $18.24 - $21.53
Book value per share $6.99
YTD dividend per share $0.28
Common shares outstanding 20.6 million
CONSOLIDATED BALANCE SHEETS
(unaudited)
June 30,
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2005 2004
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(in thousands except per
share data)
Assets
Cash and due from banks $ 55,611 $ 47,242
Federal funds sold 1,600 5,850
Investment securities 305,991 284,533
Loans 1,575,742 1,451,460
Less allowance for loan losses (21,119) (18,313)
Net loans 1,554,623 1,433,147
Premises and equipment, net 27,635 26,228
Goodwill and other intangibles 35,247 36,244
Other assets 47,155 41,814
Total assets $ 2,027,862 $ 1,875,058
Liabilities & Stockholders' Equity
Non-interest bearing deposits $ 205,212 $ 181,599
Interest-bearing deposits 1,427,502 1,301,598
Total deposits $ 1,632,714 $ 1,483,197
Federal funds purchased & securities
sold under agreements to repurchase 37,532 35,480
Short-term borrowings 1,000 14,250
Long-term debt 151,801 165,167
Junior subordinated debt owed to
unconsolidated trusts 50,000 40,000
Other liabilities 10,941 8,341
Total liabilities $ 1,883,988 $ 1,746,435
Common stock $ 21 $ 6,291
Surplus 28,147 21,071
Retained earnings 121,453 108,036
Other comprehensive income 7,744 7,757
Treasury stock (11,026) (11,651)
Unearned ESOP shares (2,456) (2,853)
Deferred compensation for stock grants (9) (28)
Total stockholders' equity $ 143,874 $ 128,623
Total liabilities & stockholders' equity $ 2,027,862 $ 1,875,058
Per Share Data*
Book value per share $ 6.99 $ 6.27
Tangible book value per share $ 5.28 $ 4.50
Ending number of shares outstanding 20,592,251 20,483,103
* Share and per share data have been adjusted to effect a three-for-two
common stock split effective August 3, 2004, as if it had occurred on
January 1, 2004.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
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2005 2004 2005 2004
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(in thousands, except common share data)
Interest and fees
on loans $ 24,921 $ 18,077 $ 47,783 $ 34,716
Interest on investment
securities 2,501 1,808 5,042 3,424
Other interest income 63 27 223 28
Total interest income $ 27,485 $ 19,912 $ 53,048 $ 38,168
Interest on deposits $ 7,671 $ 4,650 $ 14,446 $ 8,897
Interest on short-term
borrowings 352 95 581 163
Interest on long-term
debt 1,511 1,215 3,052 2,231
Junior subordinated
debt owed to
unconsolidated trusts 802 658 1,559 1,221
Total interest expense $ 10,336 $ 6,618 $ 19,638 $ 12,512
Net interest income $ 17,149 $ 13,294 $ 33,410 $ 25,656
Provision for loans
losses 1,425 655 2,115 1,080
Net interest income
after provision $ 15,724 $ 12,639 $ 31,295 $ 24,576
Trust fees $ 1,471 $ 1,396 $ 2,911 $ 2,791
Commissions and
brokers' fees 525 604 1,051 1,196
Fees for customer
services 2,519 2,525 4,852 4,721
Gain on sale of loans 589 459 1,012 1,281
Security gains, net 250 497 412 688
Other 610 553 1,281 1,051
Total non-interest
income $ 5,964 $ 6,034 $ 11,519 $ 11,728
Salaries and wages $ 5,438 $ 4,583 $ 10,635 $ 9,124
Employee benefits 1,175 1,213 2,379 2,236
Net occupancy expense 1,121 933 2,068 1,817
Furniture and equipment
expenses 743 588 1,426 1,123
Amortization expense 195 129 390 234
Other operating
expenses 3,480 2,750 6,503 5,129
Total non-interest
expense $ 12,152 $ 10,196 $ 23,401 $ 19,663
Income before income
taxes $ 9,536 $ 8,477 $ 19,413 $ 16,641
Income taxes 3,260 2,936 6,601 5,740
Net Income $ 6,276 $ 5,541 $ 12,812 $ 10,901
Common Share Data*
Basic earnings
per share $ 0.31 $ 0.27 $ 0.63 $ 0.54
Fully-diluted earnings
per share $ 0.31 $ 0.27 $ 0.62 $ 0.53
Average shares
outstanding 20,514,271 20,478,121 20,549,358 20,490,381
* Share and per share data have been adjusted to effect a three-for-two
common stock split effective August 3, 2004, as if it had occurred on
January 1, 2004.
CORPORATE PROFILE
First Busey Corporation (Nasdaq: BUSE) is financial holding company
headquartered in Urbana, Illinois. First Busey Corporation has two wholly- owned
banking subsidiaries with locations in three states. Busey Bank is headquartered
in Urbana, Illinois, and has twenty-one banking centers servicing Champaign,
McLean, Peoria, Ford, and Tazewell Counties in Illinois. Busey Bank also has a
banking center in Indianapolis, Indiana, and loan production offices in Ft.
Myers and Naples, Florida. Total assets of Busey Bank were $1.8 billion as of
June 30, 2005. On June 1, 2004, First Busey Corporation completed its
acquisition of First Capital Bank in Peoria, Illinois. On May 20, 2005, First
Capital Bank's assets were merged into Busey Bank. Busey Bank Florida is a
federal thrift headquartered in Ft. Myers, Florida, with two additional banking
centers in Cape Coral, Florida. Total assets of Busey Bank Florida were $241
million as of June 30, 2005.
Through Busey Investment Group, First Busey provides investment management
and fiduciary services, security broker/dealer services, and personal insurance
products. Busey Investment Group is a wholly-owned subsidiary of First Busey
Corporation and owns three subsidiaries. First Busey Trust & Investment Co.
specializes in asset management and trust services. First Busey Securities, Inc.
(member NASD/SIPC) is a full-service broker/dealer subsidiary. Busey Insurance
Services, Inc. provides personal insurance products and specializes in long-term
healthcare insurance. Busey Investment Group has approximately $2 billion in
assets under care.
Busey provides electronic delivery of financial services through Busey e-
bank, http://www.busey.com .
First Busey Corporation common stock is traded on the Nasdaq National Market
under the symbol "BUSE." First Busey Corporation has a repurchase program in
effect under which it is authorized to purchase up to 750,000 shares of stock.
SOURCE First Busey Corporation
-0- 07/18/2005
/CONTACT: Barbara J. Kuhl, President & COO of First Busey Corporation,
+1-217-365-4513/
/Web site: http://www.busey.com /