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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) October 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.)
(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 Tuesday, October 18, 2005, the Registrant issued a press release disclosing
financial results for the quarter ended September 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
Exhibit 99.1 Press release dated October 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: October 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 October 18, 2005.
Exhibit 99.1
FIRST BUSEY CORPORATION EARNINGS RELEASE FOR QUARTER ENDING SEPTEMBER 30, 2005
URBANA, Ill., Oct. 18 /PRNewswire-FirstCall/ --
FINANCIAL HIGHLIGHTS
The financial results of First Busey Corporation (Nasdaq: BUSE) for the
first nine months of 2005 substantiate my continued enthusiasm about the future
of your organization, my continuing role as Chief Executive Officer, and the
strides we are making towards achieving Vision 2010.
On July 29th, we completed the acquisition of Tarpon Coast Bancorp, and its
subsidiary bank, Tarpon Coast National Bank. Tarpon is headquartered in Port
Charlotte, Florida, with four branches in Charlotte and Sarasota Counties.
Subject to the receipt of regulatory approval, we anticipate merging Busey Bank
Florida with Tarpon to form Busey Bank, National Association, a national bank
with total assets in excess of $400 million. Our position in the high growth
market of Southwest Florida, combined with our strong market presence in Central
Illinois, makes for a dynamic time for the Busey Organization. I take a great
deal of "PRIDE" in leading the charge!
Net income increased $1,775,000 or 30.7% to $7,559,000 for the quarter ended
September 30, 2005, as compared to $5,784,000 for the comparable period in 2004.
For the quarter ended September 30, 2005, earnings per share on a fully-diluted
basis were $0.36, an increase of $0.08 or 28.6% from $0.28 for the comparable
period in 2004. On a year-to-date basis, net income increased $3,686,000 or
22.1% to $20,371,000, as compared to $16,685,000 for the comparable period in
2004. For the nine-month period ended September 30, 2005, earnings per share on
a fully-diluted basis were $0.98, an increase of $0.17 or 21.0% from $0.81 for
the comparable period in 2004.
Net interest income increased $3,630,000 or 24.5% to $18,474,000 in the
third quarter of 2005 compared to $14,844,000 in the comparable quarter in 2004.
Interest income increased $7,164,000 during the third quarter of 2005 compared
to the same period in 2004 due primarily to loan growth and higher yields on
outstanding loans. Interest expense increased $3,534,000 or 41.9% to $11,971,000
during the third quarter of 2005 compared to the same period in 2004 due to
growth in deposits and other funding sources combined with higher interest rates
on deposits.
Provision for loan losses was $650,000 during the third quarter of 2005
compared to $1,240,000 during the comparable period in 2004 due to lower credit
losses. The allowance for loan losses expressed as a percentage of total loans
was 1.32% and 1.27% as of September 30, 2005 and 2004, respectively.
Non-interest income was $6,118,000 during the third quarter of 2005, which
represents an increase of $97,000 or 1.6% from non-interest income of $6,021,000
during the third quarter of 2004. The Corporation recognized a net loss of
$106,000 during the third quarter of 2005 from the sale of investment securities
compared to a net gain of $402,000 during the comparable period in 2004. The
Corporation recognized the losses in 2005 in an effort to reposition the
investment portfolio for better performance under the current interest rate
environment and to restructure maturities of certain securities to better meet
the liquidity needs of the organization.
Non-interest expense increased $2,013,000 or 18.1% to $13,163,000 during the
third quarter of 2005, as compared to $11,150,000 during the comparable prior
year period due primarily to increased operating costs associated with the
addition of Tarpon Coast National Bank. Data processing expenses were lower
during the third quarter of 2005 compared to the same period in 2004 due to
efficiencies gained in the May 2005 merger of First Capital Bank into Busey
Bank.
FINANCIAL SUMMARY
Three Months Ended Nine Months Ended
September 30, September 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 $ 7,559 $ 5,784 $ 20,371 $ 16,685
Basic earnings per share 0.36 0.28 0.99 0.82
Fully diluted earnings
per share 0.36 0.28 0.98 0.81
Dividends per share 0.14 0.13 0.42 0.38
Average Balances
Assets $ 2,154,818 $ 1,913,380 $ 2,049,798 $ 1,685,603
Investment securities 316,687 286,688 318,090 243,273
Loans 1,663,366 1,473,532 1,567,303 1,322,833
Earning assets 1,997,671 1,777,575 1,906,871 1,574,597
Deposits 1,713,591 1,510,088 1,628,218 1,350,327
Stockholders' equity 153,831 131,085 144,856 128,501
Performance Ratios
Return on average
assets 1.39% 1.20% 1.33% 1.32%
Return on average
equity 19.50% 17.51% 18.80% 17.36%
Net interest margin 3.75% 3.39% 3.72% 3.52%
Efficiency ratio 51.09% 52.61% 50.95% 52.27%
Loan Performance
Net credit losses $ 357 $ 850 $ 570 $ 1,064
Accruing loans 90+
days past due 913 1,215 913 1,215
Non-accrual loans 1,656 947 1,656 947
Foreclosed assets 222 4,930 222 4,930
CONSOLIDATED BALANCE SHEETS (unaudited)
September 30,
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2005 2004
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(in thousands except
per share data)
Assets
Cash and due from banks $ 59,826 $ 61,917
Federal funds sold 56,541 50,650
Investment securities 333,444 298,362
Loans 1,709,182 1,468,259
Less allowance for loan losses (22,620) (18,703)
Net loans 1,686,562 1,449,556
Premises and equipment, net 36,994 26,179
Goodwill and other intangibles 60,134 35,895
Other assets 44,071 42,939
Total assets $ 2,277,572 $ 1,965,498
Liabilities & Stockholders' Equity
Non-interest bearing deposits $ 256,933 $ 185,723
Interest-bearing deposits 1,566,561 1,372,923
Total deposits $ 1,823,494 $ 1,558,646
Federal funds purchased & securities
sold under agreements to repurchase 43,034 39,025
Short-term borrowings 5,991 11,250
Long-term debt 175,501 171,796
Junior subordinated debt
owed to unconsolidated trusts 50,000 40,000
Other liabilities 14,362 10,147
Total liabilities $ 2,112,382 $ 1,830,864
Common stock $ 22 $ 6,291
Common stock to be issued 495 -
Surplus 44,435 21,447
Retained earnings 126,150 111,244
Other comprehensive income 7,296 9,056
Treasury stock (10,745) (10,529)
Unearned ESOP shares (2,456) (2,853)
Deferred compensation for stock grants (7) (22)
Total stockholders' equity $ 165,190 $ 134,634
Total liabilities & stockholders' equity $ 2,277,572 $ 1,965,498
Per Share Data
Book value per share $ 7.70 $ 6.54
Tangible book value per share $ 4.89 $ 4.80
Ending number of shares outstanding 21,462,876 20,577,751
CONSOLIDATED STATEMENTS
OF INCOME (unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
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2005 2004 2005 2004
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(in thousands, except common share data)
Interest and fees
on loans $ 27,670 $ 21,088 $ 75,453 $ 55,804
Interest on investment
securities 2,640 2,128 7,682 5,552
Other interest income 135 65 358 93
Total interest income $ 30,445 $ 23,281 $ 83,493 $ 61,449
Interest on deposits $ 8,929 $ 5,961 $ 23,375 $ 14,858
Interest on short-term
borrowings 324 189 905 352
Interest on long-term
debt 1,785 1,572 4,837 3,803
Junior subordinated debt
owed to unconsolidated
trusts 933 715 2,492 1,936
Total interest expense $ 11,971 $ 8,437 $ 31,609 $ 20,949
Net interest income $ 18,474 $ 14,844 $ 51,884 $ 40,500
Provision for loans
losses 650 1,240 2,765 2,320
Net interest income
after provision $ 17,824 $ 13,604 $ 49,119 $ 38,180
Trust fees $ 1,366 $ 1,211 $ 4,277 $ 4,002
Commissions and
brokers' fees 628 578 1,679 1,774
Fees for customer
services 2,684 2,632 7,536 7,353
Gain on sale of loans 920 703 1,932 1,984
Net security (losses)
gains (106) 402 306 1,090
Other 626 495 1,907 1,546
Total non-interest
income $ 6,118 $ 6,021 $ 17,637 $ 17,749
Salaries and wages $ 6,062 $ 5,229 $ 16,697 $ 14,353
Employee benefits 1,332 924 3,711 3,160
Net occupancy expense 1,255 1,081 3,323 2,898
Furniture and equipment
expense 852 649 2,278 1,772
Data processing expense 429 529 1,496 1,417
Amortization expense 334 201 724 435
Other operating expenses 2,899 2,537 8,335 6,778
Total non-interest
expense $ 13,163 $ 11,150 $ 36,564 $ 30,813
Income before
income taxes $ 10,779 $ 8,475 $ 30,192 $ 25,116
Income taxes 3,220 2,691 9,821 8,431
Net Income $ 7,559 $ 5,784 $ 20,371 $ 16,685
Common Share Data
Basic earnings
per share $ 0.36 $ 0.28 $ 0.99 $ 0.82
Fully-diluted earnings
per share $ 0.36 $ 0.28 $ 0.98 $ 0.81
Average shares
outstanding 21,130,157 20,500,424 20,745,085 20,493,753
CORPORATE PROFILE
First Busey Corporation is a financial holding company headquartered in
Urbana, Illinois. First Busey Corporation has three wholly-owned banking
subsidiaries with locations in three states. Busey Bank is headquartered in
Urbana, Illinois, and has twenty-one banking centers serving Champaign, McLean,
Ford, Peoria, and Tazewell Counties in Illinois. Busey Bank also has a banking
center in Indianapolis, Indiana, and a loan production office in Ft. Myers,
Florida. As of September 30, 2005, Busey Bank had total assets of $1.8 million.
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 $242 million as of September 30, 2005. On July 29, 2005, First
Busey Corporation completed the acquisition of Tarpon Coast Bancorp, Inc. and
its primary subsidiary, Tarpon Coast National Bank. Tarpon Coast National Bank
has four banking centers located in Charlotte and Sarasota Counties in southwest
Florida. Tarpon Coast National Bank had total assets of $177 million as of
September 30, 2005. Busey also provides electronic delivery of financial
services through Busey e-bank, http://www.busey.com .
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 $2.2 billion in
assets under care. 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- 10/18/2005
/CONTACT: Barbara J. Kuhl, President & COO of First Busey Corporation,
+1-217-365-4513/
/First Call Analyst: /
/FCMN Contact: /
/Web site: http://www.busey.com /
(BUSE)