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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, 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 or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
201 W. 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
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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))
ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On Monday, October 18, 2004, the Registrant issued a press release disclosing
financial results for the quarter ended September 30, 2004. 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.
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, 2004 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, 2004.
Exhibit 99.1
First Busey Corporation Third Quarter Earnings Release
URBANA, Ill., Oct. 18 /PRNewswire-FirstCall/ --
FINANCIAL HIGHLIGHTS
-- Net income increased $474,000 or 8.9% to $5,784,000 for the quarter
ending September 30, 2004, as compared to $5,310,000 for the comparable
period in 2003. For the quarter ending September 30, 2004, earnings
per share on a fully-diluted bases were $0.28, an increase of $0.02 or
7.7% from $0.26 for the comparable period in 2003. On a year-to-date
basis, net income increased $1,177,000 or 7.6% to $16,685,000 as
compared to $15,508,000 for the comparable period in 2003. For the
nine-month period ending September 30, 2004, earnings per share on a
fully-diluted basis were $0.81, an increase of $0.05 or 6.6% from $0.76
for the comparable period in 2003.
-- Net interest income increased $2,545,000 or 20.7% to $14,844,000 in the
third quarter of 2004 compared to $12,299,000 during the third quarter
of 2003. Interest income increased $4,864,000 or 26.4% during the
third quarter of 2004 compared to the same period in 2003 due primarily
to loan growth. Interest expense increased $2,319,000 or 37.9% due to
increases in deposits and long-term debt. On June 1, 2004, First Busey
completed the acquisition of First Capital Bank in Peoria, IL. Most of
the growth in First Busey's net interest income for the third quarter
of 2004 as compared to the same period in 2003 is related to the
addition of First Capital Bank.
-- Non-interest income increased $303,000 or 5.3% during the third quarter
of 2004 compared to the same period in 2003. Increased service charge
income, security gains, and other operating income offset a decline in
mortgage banking income during the third quarter of 2004 as compared to
the same period in 2003.
-- Non-interest expense increased $1,127,000 or 11.2% to $11,150,000
during the quarter ended September 30, 2004, as compared to $10,023,000
during the comparable prior-year period due primarily to growth in
salary and benefits, occupancy, and amortization expenses associated
with the addition of First Capital Bank.
-- It's our pleasure to announce that Douglas C. Mills has been named
2004 Illinois Banker of the Year. Doug was recognized by his fellow
Bankers at the Illinois Bankers Association Annual Meeting held in
June. Congratulations, Doug!
FINANCIAL SUMMARY
Three Months Ended Nine Months Ended
September 30, September 30,
2004 2003 2004 2003
(in thousands, except per share data)
Earnings & Per Share Data
Net Income $5,784 $5,310 $16,685 $15,508
Basic earnings per share 0.28 0.26 0.82 0.76
Fully-diluted earnings
per share 0.28 0.26 0.81 0.76
Dividends per share 0.13 0.11 0.38 0.34
Average Balances
Assets $1,913,380 $1,488,759 $1,685,603 $1,454,058
Investment securities 286,687 251,248 243,273 244,538
Loans 1,473,532 1,130,799 1,322,833 1,104,637
Earning assets 1,777,575 1,397,700 1,574,597 1,363,369
Deposits 1,510,088 1,236,251 1,350,329 1,209,860
Stockholders' equity 131,085 123,385 128,501 120,544
Performance Ratios
Return on average assets 1.20% 1.42% 1.32% 1.43%
Return on average equity 17.51% 17.07% 17.34% 17.20%
Net interest margin 3.39% 3.58% 3.52% 3.62%
Efficiency ratio 52.61% 54.19% 52.27% 54.03%
Loan Performance
Net credit losses $850 $44 $1,915 $107
Accruing loans 90+ days
past due 1,215 2,817
Non-accrual loans 947 2,607
Foreclosed assets 4,930 5,461
BUSE
Stock Performance
First Busey Corporation has been trading for six years on The Nasdaq Stock
Market. Below is the total return for BUSE in comparison to some other
indices for the six-year period ending September 30, 2004.
Cumulative Annualized
Total Return Total Return
BUSE 77.40% 10.03%
NASDAQ Bank Index 71.83% 9.44%
S&P 500 Index 29.13% 4.35%
NASDAQ Composite 11.98% 1.90%
CONSOLIDATED BALANCE SHEETS
(unaudited)
September 30,
2004 2003
(in thousands except per share data)
Assets
Cash and due from banks $61,917 $44,024
Federal funds sold 50,650 -
Investment securities 298,362 251,369
Loans 1,468,259 1,144,846
Less allowance for loan losses (18,703) (16,731)
Net loans 1,449,556 1,128,115
Premises and equipment, net 26,179 22,163
Goodwill and other intangibles 35,895 9,535
Other assets 42,939 38,979
Total assets $1,965,498 $1,494,185
Liabilities & Stockholders' Equity
Non-interest bearing deposits $185,723 $162,616
Interest-bearing deposits 1,372,923 1,050,063
Total deposits $1,558,646 $1,212,679
Federal funds purchased & securities
sold under agreements to repurchase 39,025 34,500
Short-term borrowings 11,250 -
Long-term debt 171,796 87,759
Junior subordinated debt
owed to unconsolidated trust 40,000 25,000
Other liabilities 10,147 9,010
Total liabilities $1,830,864 $1,368,948
Common stock $6,291 $6,291
Surplus 21,447 20,932
Retained earnings 111,244 100,237
Other comprehensive income 9,056 10,322
Treasury stock (10,529) (10,731)
Unearned ESOP shares (2,853) (1,759)
Deferred compensation for stock grants (22) (55)
Total stockholders' equity $134,634 $125,237
Total liabilities & stockholders' equity $1,965,498 $1,494,185
Per Share Data
Book value per share $6.54 $6.12
Tangible book value per share $4.80 $5.65
Ending number of shares outstanding 20,577,751 20,474,280
CONSOLIDATED STATEMENTS
OF INCOME (unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2004 2003 2004 2003
(in thousands, except per share data)
Interest and fees on
loans $21,088 $16,386 $55,804 $49,225
Interest on investment
securities 2,128 1,994 5,552 6,250
Other interest income 65 37 93 114
Total interest income $23,281 $18,417 $61,449 $55,589
Interest on deposits $5,961 $4,592 $14,858 $15,192
Interest on short-term
borrowings 189 30 352 127
Interest on long-term debt 1,572 933 3,803 2,604
Junior subordinated debt
owed to unconsolidated
trust 715 563 1,936 1,688
Total interest expense $8,437 $6,118 $20,949 $19,611
Net interest income $14,844 $12,299 $40,500 $35,978
Provision for loans losses 1,240 448 2,320 1,378
Net interest income
after provision $13,604 $11,851 $38,180 $34,600
Trust fees $1,211 $1,176 $4,002 $3,467
Commissions and brokers'
fees 578 565 1,774 1,541
Fees for customer services 2,632 2,376 7,353 6,860
Gain on sale of loans 703 1,359 1,984 5,833
Security gains, net 402 23 1,090 322
Other 495 219 1,546 1,041
Total non-interest income $6,021 $5,718 $17,749 $19,064
Salaries and employee
benefits $6,153 $5,883 $17,513 $17,403
Net occupancy expense 1,081 797 2,898 2,326
Furniture and equipment
expenses 649 589 1,772 1,899
Other operating expenses 3,267 2,754 8,630 8,761
Total non-interest
expense $11,150 $10,023 $30,813 $30,389
Income before income
taxes $8,475 $7,546 $25,116 $23,275
Income taxes 2,691 2,236 8,431 7,767
Net Income $5,784 $5,310 $16,685 $15,508
Common Share Data*
Basic earnings per share $0.28 $0.26 $0.82 $0.76
Fully-diluted earnings
per share $0.28 $0.26 $0.81 $0.76
Average number of
shares outstanding 20,500,424 20,550,576 20,493,753 20,529,095
* 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, 2003.
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 seventeen banking centers serving Champaign, McLean
and Ford 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 $1.5 billion as of September 30,
2004. 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 $162 million as of September 30, 2004. On June 1,
2004, First Busey Corporation completed its acquisition of First Capital Bank
in Peoria, Illinois. First Capital Bank has three banking centers in Peoria
and one in Pekin, Illinois. Total assets of First Capital Bank as of
September 30, 2004 were $260 million. Busey 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 with approximately $1.26
billion in assets under care. First Busey Securities, Inc. (member NASD/SIPC)
is a full-service broker/dealer subsidiary with approximately $669 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 750,000
shares of stock. BUSE closed on September 30, 2004 at $19.11, an increase of
6.2% from the adjusted closing price of $18.00* on December 31, 2003.
SOURCE First Busey Corporation
-0- 10/18/2004
/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