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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20579
-------------------------------------
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) - January 20, 2004
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 of other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
201 West Main Street, Urbana, Illinois 61801
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (217) 365-4513
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
99.1 Press Release, dated January 20, 2004
ITEM 12. DISCLOSURE OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On Tuesday, January 20, 2004, the Registrant issued a press release
disclosing financial results for the quarter ended December 31, 2003. 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.
2
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 thereunto duly authorized.
FIRST BUSEY CORPORATION
Date: January 20, 2004 By: //Barbara J. Harrington//
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Name: Barbara J. Harrington
Title: Chief Financial Officer
3
EXHIBIT INDEX
99.1 Press Release, dated January 20, 2004.
4
Exhibit 99.1
First Busey Corporation Earnings Release
URBANA, Ill., Jan. 20 /PRNewswire-FirstCall/ --
FINANCIAL HIGHLIGHTS
* Net income increased $1,960,000 or 11.0% to $19,864,000 for the year
ended December 31, 2003, compared to $17,904,000 for the year 2002.
First Busey Corporation earned $1.45 per share on a fully-diluted basis
for 2003, an increase of 10.7% over per share earnings of $1.31 for
2002. Earnings for the fourth quarter of 2003 were $4,356,000 compared
to $4,355,000 for the fourth quarter of 2002. Earnings per share were
$0.32 for the fourth quarters of 2003 and 2002.
* Net interest income for the year ended December 31, 2003 was
$48,231,000, an increase of $2,640,000 or 5.8% from $45,591,000 for the
year ended December 31, 2002. Net interest income increased $536,000
or 4.6% to $12,253,000 in the fourth quarter of 2003 compared to
$11,717,000 in the fourth quarter of 2002. The Corporation benefited
from lower funding costs combined with growth in the average balance of
outstanding loans.
* Provision for loan losses was $3,058,000 for the year ended December
31, 2003 compared to $3,125,000 for 2002. For the fourth quarter of
2003, the provision for loan losses was $1,680,000 as compared to
$1,070,000 in the same period of 2002. The increase in provision
expense for the fourth quarter of 2003 is due to loan growth and an
increase in net charge-offs primarily attributable to one credit.
* Non-interest income increased $2,148,000 or 9.5% to $24,685,000 for the
year ended December 31, 2003 compared to $22,537,000 for 2002. The
Corporation recognized gains of $6,183,000 from sales of mortgage loans
in 2003 compared to $3,395,000 in 2002. Non- interest income decreased
$430,000 or 7.1% to $5,621,000 during the fourth quarter of 2003
compared to $6,051,000 during the same period in 2002. For the
quarter, growth in brokerage fees, security gains, and other operating
income were offset by a significant decline in gains on the sale of
mortgage loans.
* Non-interest expense increased $1,043,000 or 2.7% to $39,969,000 for
the year ended December 31, 2003 compared to $38,926,000 for 2002.
This increase was primarily due to an increase in salary expense
associated with growth in mortgage activity. Non-interest expense
decreased $1,378,000 or 12.6% to $9,580,000 for the fourth quarter of
2003 compared to $10,958,000 during the same period in 2002. The
quarterly decrease is attributable to lower salary expense due to
decreased mortgage activity and reduced expenses related to real estate
acquired in satisfaction of debt.
FINANCIAL SUMMARY
Three Months Ended Twelve Months Ended
December 31, December 31,
2003 2002 2003 2002
(in thousands except per share data)
Earnings & Per Share Data
Net income $4,356 $4,355 19,864 $17,904
Basic earnings per share 0.32 0.32 1.46 1.32
Diluted earnings per
share 0.32 0.32 1.45 1.31
Dividends per share 0.17 0.15 0.68 0.60
Average Balances
Assets $1,509,049 $1,411,732 1,467,959 $1,341,409
Investment securities 236,855 232,972 242,238 220,448
Loans 1,160,352 1,062,996 1,118,667 1,015,073
Earning assets 1,414,246 1,324,242 1,376,195 1,253,193
Deposits 1,250,795 1,179,549 1,220,292 1,121,175
Stockholders' equity 125,150 113,214 121,600 109,770
Performance Ratios
Return on average assets 1.15% 1.22% 1.35% 1.33%
Return on average equity 13.81% 15.26% 16.34% 16.31%
Net interest margin 3.52% 3.61% 3.60% 3.74%
Efficiency ratio 54.06% 60.25% 54.04% 55.72%
Loan Performance
Net credit losses $2,183 $(123) 2,290 $1,353
Accruing loans 90+ days
past due 420 963 420 963
Non-accrual loans 2,638 1,265 2,638 1,265
Foreclosed assets 4,791 5,574 4,791 5,574
December 31, 2003
NASDAQ symbol .................................. BUSE
Closing price ................................. $27.00
Price/earnings ratio ........................... 18.62x
Price/book ratio ................................ 295%
52-week price range ........................... $22.40-$28.84
Book value per share ........................... $9.15
Dividend per share .............................. $0.68
Common shares outstanding ..................... 13.7 million
CONSOLIDATED BALANCE SHEETS
(unaudited)
December 31,
2003 2002
(in thousands)
Assets
Cash and due from banks $52,397 $47,645
Investment securities 224,733 233,830
Loans 1,192,396 1,101,043
Less allowance for loan losses (16,228) (15,460)
Net loans 1,176,168 1,085,583
Premises and equipment, net 22,223 27,359
Goodwill and other intangibles 9,480 9,844
Other assets 37,083 31,317
Total assets $1,522,084 $1,435,578
Liabilities & Stockholders' Equity
Non-interest bearing deposits $160,578 $151,105
Interest bearing deposits 1,096,017 1,062,500
Total deposits $1,256,595 $1,213,605
Federal funds purchased & securities
sold under agreements to repurchase 16,000 2,467
Long-term debt 92,853 71,759
Company obligated mandatorily
redeemable preferred securities 25,000 25,000
Other liabilities 6,459 7,584
Total liabilities $1,396,907 $1,320,415
Common stock $6,291 $6,291
Surplus 20,968 20,862
Retained earnings 102,288 91,639
Other comprehensive income 9,191 10,276
Treasury stock (10,667) (12,050)
Unearned ESOP shares (2,853) (1,759)
Deferred compensation for stock grants (41) (96)
Total stockholders' equity $125,177 $115,163
Total liabilities & stockholders' equity $1,522,084 $1,435,578
CONDENSED CONSOLIDATED STATEMENTS
OF INCOME (unaudited)
Three Months Ended Twelve Months Ended
December 31, December 31,
2003 2002 2003 2002
(in thousands, except per share data)
Interest and fees
on loans $16,378 $16,980 $65,603 $66,586
Interest on investment
securities 1,847 2,241 8,097 9,239
Other interest income 35 92 149 260
Total interest income $18,260 $19,313 $73,849 $76,085
Interest on deposits $4,452 $6,046 $19,644 $24,598
Interest on short-term
borrowings 19 54 146 394
Interest on long-term debt 974 934 3,578 3,252
Company obligated
mandatorily redeemable
preferred securities 562 562 2,250 2,250
Total interest expense $6,007 $7,596 $25,618 $30,494
Net interest income $12,253 $11,717 $48,231 $45,591
Provision for loans
losses 1,680 1,070 3,058 3,125
Net interest income
after provision $10,573 $10,647 $45,173 $42,466
Trust fees $1,148 $1,099 $4,615 $4,781
Commissions and brokers'
fees 562 448 2,103 2,106
Fees for customer
services 2,295 2,328 9,155 8,870
Gain on sale of loans 350 1,612 6,183 3,995
Security gains, net 653 193 975 762
Other 613 371 1,654 2,023
Total non-interest
income $5,621 $6,051 $24,685 $22,537
Salaries and employee
benefits $4,911 $5,234 $22,314 $21,003
Net occupancy expense 832 797 3,158 3,076
Furniture and equipment
expenses 547 873 2,446 3,112
Other operating expenses 3,290 4,054 12,051 11,735
Total non-interest
expense $9,580 $10,958 $39,969 $38,926
Income before income
taxes $6,614 $5,740 $29,889 $26,077
Income taxes 2,258 1,385 10,025 8,173
Net Income $4,356 $4,355 $19,864 $17,904
Common Share Data
Book value $9.15 8.49 $9.15 $8.49
Tangible book value $8.46 7.76 $8.46 $7.76
Average number of
shares outstanding 13,699,937 13,569,190 13,689,560 13,617,247
Ending number of
shares outstanding 13,677,477 13,568,220 13,677,477 13,568,220
CORPORATE PROFILE
First Busey Corporation (Nasdaq: BUSE) is a 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 eighteen banking centers serving
Champaign, McLean and Ford Counties in Illinois. Busey Bank also has a
banking center in Indianapolis, Indiana and a loan production office in Ft.
Myers, Florida. Total assets of Busey Bank were $1.4 billion as of December
31, 2003. Busey Bank Florida is a federal thrift headquartered in Ft. Myers,
Florida with two banking centers located in Cape Coral, Florida. Total assets
of Busey Bank Florida were $113 million as of December 31, 2003. Busey
provides electronic delivery of financial services through Busey e-bank,
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 with approximately
$1.2 billion in assets under care. First Busey Securities, Inc. (member
NASD/SIPC) is a full-service broker/dealer subsidiary with more than $600
million in assets under care. Busey Insurance Services, Inc. provides
personal insurance products and specializes in long-term healthcare insurance.
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 500,000
shares of stock. BUSE closed on December 31, 2003 at $27.00, an increase of
17.1% from the closing price of $23.06 on December 31, 2002.
SOURCE First Busey Corporation
-0- 01/20/2004
/CONTACT: Barbara J. Kuhl, President & COO of First Busey Corporation,
+1-217-365-4513/
/Web site: http://www.busey.com /
(BUSE)
CO: First Busey Corporation
ST: Illinois
IN: FIN
SU: ERN