• Westamerica Bancorporation Reports Fourth Quarter 2020 Financial Results

    Source: Nasdaq GlobeNewswire / 21 Jan 2021 09:54:19   America/Chicago

    SAN RAFAEL, Calif., Jan. 21, 2021 (GLOBE NEWSWIRE) -- Westamerica Bancorporation (Nasdaq: WABC), parent company of Westamerica Bank, generated net income for the fourth quarter 2020 of $23.8 million and diluted earnings per common share ("EPS") of $0.89. Fourth quarter 2020 results include a gain on sale of a closed branch building, make-whole interest income on corporate bonds redeemed prior to maturity, and a customary adjustment to the tax provision for the filed 2019 tax returns which increased EPS $0.15. These results compare to net income of $20.1 million and EPS of $0.74 for the third quarter 2020 and net income of $20.7 million and EPS of $0.77 for the fourth quarter 2019.

    "Westamerica remains focused on maintaining superior customer service during the pandemic. In keeping all our branches open, we are following all health orders affecting our business to provide a safe environment for our customers and employees. Operating expenses were $24.5 million for the fourth quarter 2020, representing only 43 percent of revenues on a fully-taxable equivalent basis. Westamerica’s revenues continue to reflect current operating conditions, including reduced demand for certain bank products and services due to the pandemic, and low market interest rates. Credit quality remained stable with nonperforming loans of $4.8 million at December 31, 2020,” said Chairman, President and CEO David Payne. “Fourth quarter 2020 results generated an annualized 13.2 percent return on average common equity, and shareholders were paid a $0.41 per common share dividend during the quarter,” concluded Payne.

    Net interest income on a fully-taxable equivalent (FTE) basis was $43.3 million for the fourth quarter 2020, including make-whole interest income on called corporate bonds of $1.9 million. Fourth quarter 2020 net interest income (FTE) compares to $41.8 million for the third quarter 2020 and $40.5 million for the fourth quarter 2019. Average total deposits grew $123 million from the third quarter 2020 to the fourth quarter 2020. Checking and savings deposits represented ninety-seven percent of the Company’s average deposit base during the fourth quarter 2020 generating a 0.03 percent annualized cost of funding interest-earning assets.

    At December 31, 2020, nonperforming loans totaled $4.8 million and the allowance for credit losses on loans was $23.9 million. The Company continues to work with loan customers requesting deferral of loan payments due to economic weakness caused by the pandemic. At December 31, 2020, consumer loans granted loan deferrals totaled $2.5 million, commercial real estate loans with deferred payments totaled $7.8 million, primarily for hospitality, restaurant and retail properties, and commercial loans with deferred payments totaled $33 thousand. The commercial real estate loans with deferred payments are seasoned with low loan-to-value ratios.

    Noninterest income for the fourth quarter 2020 totaled $14.0 million, including a $3.5 million gain on sale of a closed branch building. Noninterest income was $10.5 million and $11.7 million for the third quarter 2020 and fourth quarter 2019, respectively.

    Noninterest expense for the fourth quarter 2020 was $24.5 million compared to $24.6 million for the third quarter 2020 and $24.2 million for the fourth quarter 2019.

    The tax rate (FTE) applied to pre-tax income (FTE) was 27.1 percent for the fourth quarter 2020 compared to 27.5 percent for the third quarter 2020 and 26.0 percent for the fourth quarter 2019. The fourth quarter 2020 tax provision was reduced by $250 thousand resulting from a customary adjustment to true-up the Company’s 2019 estimated tax provision to the filed 2019 tax return.

    Westamerica Bancorporation’s wholly owned subsidiary Westamerica Bank, operates commercial banking and trust offices throughout Northern and Central California.

    Westamerica Bancorporation Web Address: www.westamerica.com

    For additional information contact:
    Westamerica Bancorporation
    1108 Fifth Avenue, San Rafael, CA 94901
    Robert A. Thorson – SVP & Treasurer
    707-863-6840
    investments@westamerica.com

    FORWARD-LOOKING INFORMATION:

    The following appears in accordance with the Private Securities Litigation Reform Act of 1995:

    This press release may contain forward-looking statements about the Company, including descriptions of plans or objectives of its management for future operations, products or services, and forecasts of its revenues, earnings or other measures of economic performance. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may."

    Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors — many of which are beyond the Company's control — could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. The Company's most recent reports filed with the Securities and Exchange Commission, including the annual report for the year ended December 31, 2019 filed on Form 10-K and quarterly report for the quarter ended September 30, 2020 filed on Form 10-Q, describe some of these factors, including certain credit, interest rate, operational, liquidity and market risks associated with the Company's business and operations. Other factors described in these reports include changes in business and economic conditions, competition, fiscal and monetary policies, disintermediation, cyber security risks, legislation including the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2011, the Sarbanes-Oxley Act of 2002 and the Gramm-Leach-Bliley Act of 1999, and mergers and acquisitions.

    Forward-looking statements speak only as of the date they are made. The Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date forward looking statements are made.

      Public Information January 21, 2021 
    WESTAMERICA BANCORPORATION    
    FINANCIAL HIGHLIGHTS    
    December 31, 2020    
          
    1. Net Income Summary.    
      (in thousands except per-share amounts)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Net Interest and Fee Income (FTE)$43,292  $40,481  6.9%$41,780  
     Provision for Credit Losses                        -                           -  n/m                         -  
     Noninterest Income 13,959   11,732  19.0% 10,476  
     Noninterest Expense 24,545   24,209  1.4% 24,603  
     Income Before Taxes (FTE) 32,706   28,004  16.8% 27,653  
     Income Tax Provision (FTE) 8,868   7,276  21.9% 7,602  
     Net Income$23,838  $20,728  15.0%$20,051  
          
     Average Common Shares Outstanding 26,838   27,050  -0.8% 26,930  
     Diluted Average Common Shares 26,849   27,094  -0.9% 26,946  
          
     Operating Ratios:    
     Basic Earnings Per Common Share$0.89  $0.77  15.6%$0.74  
     Diluted Earnings Per Common Share 0.89   0.77  15.6% 0.74  
     Return On Assets (a) 1.44% 1.46%  1.24%
     Return On Common Equity (a) 13.2% 11.8%  11.2%
     Net Interest Margin (FTE) (a) 2.81% 3.08%  2.78%
     Efficiency Ratio (FTE) 42.9% 46.4%  47.1%
          
     Dividends Paid Per Common Share$0.41  $0.41  0.0%$0.41  
     Common Dividend Payout Ratio                            46% 54%  55%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Net Interest and Fee Income (FTE)$167,682  $161,406  3.9% 
     Provision for Credit Losses 4,300                           -  n/m  
     Noninterest Income 45,637   47,408  -3.7% 
     Noninterest Expense 98,566   98,986  -0.4% 
     Income Before Taxes (FTE) 110,453   109,828  0.6% 
     Income Tax Provision (FTE) 30,040   29,439  2.0% 
     Net Income$80,413  $80,389  0.0% 
          
     Average Common Shares Outstanding 26,942   26,956  0.0% 
     Diluted Average Common Shares 26,960   27,006  -0.2% 
          
     Operating Ratios:    
     Basic Earnings Per Common Share$2.98  $2.98  0.0% 
     Diluted Earnings Per Common Share 2.98   2.98  0.0% 
     Return On Assets 1.30% 1.44%  
     Return On Common Equity 11.3% 11.9%  
     Net Interest Margin (FTE) 2.91% 3.11%  
     Efficiency Ratio (FTE) 46.2% 47.4%  
          
     Dividends Paid Per Common Share$1.64  $1.63  0.6% 
     Common Dividend Payout Ratio                            55% 55%  
          
    2. Net Interest Income.    
      (dollars in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Interest and Fee Income (FTE)$43,773  $40,932  6.9%$42,246  
     Interest Expense 481   451  6.7% 466  
     Net Interest and Fee Income (FTE)$43,292  $40,481  6.9%$41,780  
          
     Average Earning Assets$6,156,749  $5,243,783  17.4%$6,001,287  
     Average Interest-    
        Bearing Liabilities 3,034,240   2,599,703  16.7% 2,931,717  
          
     Yield on Earning Assets (FTE) (a) 2.84% 3.11%  2.81%
     Cost of Funds (a) 0.03% 0.03%  0.03%
     Net Interest Margin (FTE) (a) 2.81% 3.08%  2.78%
     Interest Expense/    
        Interest-Bearing Liabilities (a) 0.06% 0.07%  0.06%
     Net Interest Spread (FTE) (a) 2.78% 3.04%  2.75%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Interest and Fee Income (FTE)$169,506  $163,294  3.8% 
     Interest Expense 1,824   1,888  -3.4% 
     Net Interest and Fee Income (FTE)$167,682  $161,406  3.9% 
          
     Average Earning Assets$5,760,548  $5,191,276  11.0% 
     Average Interest-    
        Bearing Liabilities 2,847,988   2,630,370  8.3% 
          
     Yield on Earning Assets (FTE) 2.94% 3.14%  
     Cost of Funds 0.03% 0.03%  
     Net Interest Margin (FTE) 2.91% 3.11%  
     Interest Expense/    
        Interest-Bearing Liabilities 0.06% 0.07%  
     Net Interest Spread (FTE) 2.88% 3.07%  
          
    3. Loans & Other Earning Assets.    
      (average volume, dollars in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Total Assets$6,562,753  $5,645,013  16.3%$6,414,399  
     Total Earning Assets 6,156,749   5,243,783  17.4% 6,001,287  
     Total Loans 1,286,480   1,116,446  15.2% 1,312,758  
       Total Commercial Loans 426,564   219,710  94.1% 444,091  
         Paycheck Protection Program (PPP) Loans           227,828                           -  n/m            243,104  
         Commercial Loans 198,736   219,710  -9.5% 200,987  
       Commercial RE Loans  561,394   568,892  -1.3% 566,626  
       Consumer Loans 298,522   327,844  -8.9% 302,041  
     Total Investment Securities 4,430,592   3,792,781  16.8% 4,360,119  
       Debt Securities Available For Sale 3,884,451   3,027,461  28.3% 3,750,737  
       Debt Securities Held To Maturity 546,141   765,320  -28.6% 609,382  
     Total Interest-Bearing Cash 439,677   334,556  31.4% 328,410  
          
     Loans/Deposits 22.7% 23.1%  23.7%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Total Assets$6,174,470  $5,597,109  10.3% 
     Total Earning Assets 5,760,548   5,191,276  11.0% 
     Total Loans 1,239,144   1,161,779  6.7% 
       Total Commercial Loans 359,937   248,586  44.8% 
         PPP Loans           151,320                           -  n/m  
         Commercial Loans 208,617   248,586  -16.1% 
       Commercial RE Loans  571,543   577,539  -1.0% 
       Consumer Loans 307,664   335,654  -8.3% 
     Total Investment Securities 4,149,960   3,704,764  12.0% 
       Equity Securities                        -   961  n/m 
       Debt Securities Available For Sale 3,517,633   2,844,542  23.7% 
       Debt Securities Held To Maturity 632,327   859,261  -26.4% 
     Total Interest-Bearing Cash 371,444   324,733  14.4% 
          
     Loans/Deposits 23.4% 24.2%  
          
    4. Deposits, Other Interest-Bearing Liabilities & Equity.  
      (average volume, dollars in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Total Deposits$5,655,768  $4,839,552  16.9%$5,533,144  
       Noninterest Demand  2,736,348   2,279,615  20.0% 2,695,458  
       Interest-Bearing Transaction 1,071,576   922,772  16.1% 1,039,833  
       Savings 1,688,031   1,464,206  15.3% 1,634,814  
       Time greater than $100K 71,306   75,314  -5.3% 72,045  
       Time less than $100K 88,507   97,645  -9.4% 90,994  
     Total Short-Term Borrowings 114,820   39,766  188.7% 94,031  
     Shareholders' Equity 720,473   694,709  3.7% 714,400  
          
     Demand Deposits/    
        Total Deposits 48.4% 47.1%  48.7%
     Transaction & Savings     
        Deposits / Total Deposits 97.2% 96.4%  97.1%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Total Deposits$5,306,177  $4,801,804  10.5% 
       Noninterest Demand  2,538,819   2,222,876  14.2% 
       Interest-Bearing Transaction 1,008,758   932,524  8.2% 
       Savings 1,594,718   1,464,080  8.9% 
       Time greater than $100K 72,363   78,925  -8.3% 
       Time less than $100K 91,519   103,399  -11.5% 
     Total Short-Term Borrowings 80,456   51,442  56.4% 
     Other Borrowed Funds 174   -  n/m 
     Shareholders' Equity 711,554   675,512  5.3% 
          
     Demand Deposits/    
        Total Deposits 47.8% 46.3%  
     Transaction & Savings     
        Deposits / Total Deposits 96.9% 96.2%  
          
    5. Interest Yields Earned & Rates Paid.    
      (dollars in thousands) 
      Q4'2020 
      AverageIncome/Yield (a) / 
      VolumeExpenseRate (a) 
          
     Interest & Fee Income Earned    
       Total Earning Assets (FTE)$6,156,749  $43,773  2.84% 
       Total Loans (FTE)       1,286,480   15,103  4.67% 
         Total Commercial Loans (FTE) 426,564   4,459  4.16% 
           PPP Loans 227,828   2,342  4.08% 
           Commercial Loans (FTE) 198,736   2,117  4.24% 
         Commercial RE Loans  561,394   7,288  5.16% 
         Consumer Loans 298,522   3,356  4.47% 
       Total Investments (FTE) 4,430,592   28,558  2.58% 
       Total Interest-Bearing Cash 439,677   112  0.10% 
          
     Interest Expense Paid    
       Total Earning Assets  6,156,749   481  0.03% 
       Total Interest-Bearing Liabilities 3,034,240   481  0.06% 
       Total Interest-Bearing Deposits 2,919,420   462  0.06% 
         Interest-Bearing Transaction 1,071,576   90  0.03% 
         Savings 1,688,031   246  0.06% 
         Time less than $100K 88,507   45  0.20% 
         Time greater than $100K 71,306   81  0.45% 
       Total Short-Term Borrowings  114,820   19  0.07% 
          
     Net Interest Income and     
     Margin (FTE) $43,292  2.81% 
          
      Q4'2019 
      AverageIncome/Yield (a) / 
      VolumeExpenseRate (a) 
          
     Interest & Fee Income Earned    
       Total Earning Assets (FTE)$5,243,783  $40,932  3.11% 
       Total Loans (FTE) 1,116,446   14,206  5.05% 
         Commercial Loans (FTE) 219,710   2,821  5.09% 
         Commercial RE Loans  568,892   7,748  5.40% 
         Consumer Loans 327,844   3,637  4.41% 
       Total Investments (FTE) 3,792,781   25,330  2.67% 
       Total Interest-Bearing Cash 334,556   1,396  1.63% 
          
     Interest Expense Paid    
       Total Earning Assets  5,243,783   451  0.03% 
       Total Interest-Bearing Liabilities 2,599,703   451  0.07% 
       Total Interest-Bearing Deposits 2,559,937   444  0.07% 
         Interest-Bearing Transaction 922,772   89  0.04% 
         Savings 1,464,206   215  0.06% 
         Time less than $100K 97,645   60  0.24% 
         Time greater than $100K 75,314   80  0.42% 
       Total Short-Term Borrowings  39,766   7  0.08% 
          
     Net Interest Income and    
     Margin (FTE) $40,481  3.08% 
          
    6. Noninterest Income.    
      (dollars in thousands except per-share amounts)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Service Charges on Deposits$3,452  $4,374  -21.1%$3,298  
     Merchant Processing Services 2,713   2,424  11.9% 2,860  
     Debit Card Fees 1,643   1,568  4.8% 1,611  
     Trust Fees 765   764  0.1% 756  
     ATM Processing Fees 570   696  -18.1% 606  
     Other Service Fees 457   513  -10.9% 454  
     Financial Services Commissions 66   122  -45.9% 58  
     Gains on Sales of Real Property 3,536   -  n/m  -  
     Securities Gains -   167  n/m  -  
     Other Operating 757   1,104  -31.4% 833  
     Total Noninterest Income$13,959  $11,732  19.0%$10,476  
          
       Total Revenue (FTE)$57,251  $52,213  9.6%$52,256  
       Noninterest Income/Revenue (FTE) 24.4% 22.5%  20.0%
       Service Charges/Avg. Deposits (a) 0.24% 0.36%  0.24%
       Total Revenues (FTE) Per Avg.     
     Common Share (a)$8.49  $7.66  10.9%$7.72  
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Service Charges on Deposits$14,149  $17,882  -20.9% 
     Merchant Processing Services 10,208   10,132  0.8% 
     Debit Card Fees 6,181   6,357  -2.8% 
     Trust Fees 3,012   2,963  1.6% 
     ATM Processing Fees 2,273   2,776  -18.1% 
     Other Service Fees 1,837   2,255  -18.5% 
     Financial Services Commissions 372   392  -5.1% 
     Gains on Sales of Real Property 3,536   -  n/m  
     Life Insurance Gains -   433  n/m  
     Securities Gains 71   217  n/m  
     Other Operating (6) 3,998   4,001  -0.1% 
     Total Noninterest Income$45,637  $47,408  -3.7% 
          
       Total Revenue (FTE)$213,319  $208,814  2.2% 
       Noninterest Income/Revenue (FTE) 21.4% 22.7%  
       Service Charges/Avg. Deposits 0.27% 0.37%  
       Total Revenues (FTE) Per Avg./    
     Common Share$7.92  $7.75  2.2% 
          
    7. Noninterest Expense.    
      (dollars in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Salaries & Benefits$12,291  $12,297  0.0%$12,540  
     Occupancy and Equipment 4,900   5,077  -3.5% 5,014  
     Outsourced Data Processing 2,359   2,361  -0.1% 2,338  
     Professional Fees 722   674  7.1% 669  
     Courier Service 502   529  -5.1% 500  
     Amortization of     
       Identifiable Intangibles 69   73  -5.5% 72  
     Other Operating 3,702   3,198  15.8% 3,470  
     Total Noninterest Expense$24,545  $24,209  1.4%$24,603  
          
     Noninterest Expense/    
        Avg. Earning Assets (a) 1.59% 1.83%  1.63%
     Noninterest Expense/Revenues (FTE) 42.9% 46.4%  47.1%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Salaries & Benefits$50,749  $51,054  -0.6% 
     Occupancy and Equipment 19,637   20,240  -3.0% 
     Outsourced Data Processing 9,426   9,471  -0.5% 
     Professional Fees 2,423   2,465  -1.7% 
     Courier Service 2,001   1,878  6.5% 
     Amortization of     
       Identifiable Intangibles 287   538  -46.7% 
     Loss Contingency (1) -   553  n/m  
     Other Operating 14,043   12,787  9.8% 
     Total Noninterest Expense$98,566  $98,986  -0.4% 
          
     Noninterest Expense/    
        Avg. Earning Assets 1.71% 1.91%  
     Noninterest Expense/Revenues (FTE) 46.2% 47.4%  
          
    8. Allowance for Credit Losses.    
      (dollars in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Average Total Loans$1,286,480  $1,116,446  15.2%$1,312,758  
          
     Beginning of Period Allowance for    
     Credit Losses on Loans (ACLL)$24,142  $19,828  21.8%$24,529  
     Provision for Credit Losses                                 7   -  n/m  -  
     Net ACLL Losses (295) (344)-14.2% (387)
     End of Period ACLL$23,854  $19,484  22.4%$24,142  
     Gross ACLL Recoveries /    
     Gross ACLL Losses     69% 71%  56%
     Net ACLL Losses /     
     Avg. Total Loans (a)                           0.09% 0.12%  0.12%
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Average Total Loans$1,239,144  $1,161,779  6.7% 
          
     Prior Period Allowance for    
     Credit Losses on Loans (ACLL)$19,484  $21,351  -8.7% 
     Adoption of ASU 2016-13(2) 2,017   -  n/m  
     Beginning of Period ACLL                             21,501   21,351  0.7% 
     Provision for Credit Losses                                               4,307                           -  n/m  
     Net ACLL Losses (1,954) (1,867)4.7% 
     End of Period ACLL$23,854  $19,484  22.4% 
     Gross ACLL Recoveries /    
     Gross ACLL Losses     53% 59%  
     Net ACLL Losses /     
     Avg. Total Loans 0.16% 0.16%  
          
      (dollars in thousands)
        % 
      12/31/2012/31/19Change9/30/20
     Allowance for Credit Losses on Loans$23,854  $19,484  22.4%$24,142  
     Allowance for Credit Losses on    
     HTM Securities (3) 9   -  n/m  16  
     Total Allowance for Credit Losses$23,863  $19,484  22.5%$24,158  
          
     Allowance for Unfunded    
     Credit Commitments 101   2,160  -95.3% 53  
          
    9. Credit Quality.    
      (dollars in thousands)
        % 
      12/31/2012/31/19Change9/30/20
          
     Nonperforming Loans:    
        Nonperforming Nonaccrual$526  $659  -20.2%$409  
        Performing Nonaccrual 3,803   3,781  0.6% 3,971  
     Total Nonaccrual Loans 4,329   4,440  -2.5% 4,380  
     90+ Days Past Due Accruing Loans 450   440  2.3% 360  
     Total 4,779   4,880  -2.1% 4,740  
     Repossessed Loan Collateral  -   43  -100.0% 43  
      Total Nonperforming Assets$4,779  $4,923  -2.9%$4,783  
          
     Total Loans Outstanding $1,256,243  $1,126,664  11.5%$1,310,009  
          
     Total Assets $6,747,931  $5,619,555  20.1%$6,563,215  
          
     Loans:    
     Allowance for Credit Losses on Loans$23,854  $19,484  22.4%$24,142  
     Allowance for Credit Losses on Loans /    
     Loans 1.90% 1.73%  1.84%
     Nonperforming Loans/Total Loans 0.38% 0.43%  0.36%
          
    10. Capital.    
      (in thousands, except per-share amounts)
        % 
      12/31/2012/31/19Change9/30/20
          
     Shareholders' Equity$844,809  $731,417  15.5%$825,576  
     Total Assets 6,747,931   5,619,555  20.1% 6,563,215  
     Shareholders' Equity/    
        Total Assets 12.52% 13.02%  12.58%
     Shareholders' Equity/    
        Total Loans 67.25% 64.92%  63.02%
     Tangible Common Equity Ratio 10.90% 11.07%  10.91%
     Common Shares Outstanding 26,807   27,062  -0.9% 26,898  
     Common Equity Per Share$31.51  $27.03  16.6%$30.69  
     Market Value Per Common Share 55.29   67.77  -18.4% 54.35  
          
     Share Repurchase Programs    
      (shares in thousands)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
          
     Total Shares Repurchased                     91                           -  n/m                      35  
       Average Repurchase Price$ 52.22   $-  n/m $52.42  
     Net Shares Repurchased (Issued)                     91   (48)n/m  35  
          
        % 
      12/31'20YTD12/31'19YTDChange 
          
     Total Shares Repurchased                  319                          8  n/m  
       Average Repurchase Price$51.63  $61.98  n/m  
     Net Shares Repurchased ( Issued) 255   (332)n/m  
          
    11. Period-End Balance Sheets.    
      (unaudited, dollars in thousands)
        % 
      12/31/2012/31/19Change9/30/20
     Assets:    
       Cash and Due from Banks$621,275  $373,421  66.4%$398,964  
          
       Investment Securities:    
          Debt Securities Available For Sale 4,063,185   3,078,846  32.0% 3,983,994  
          Debt Securities Held To Maturity (4) 515,589   738,072  -30.1% 577,795  
          
       Loans 1,256,243   1,126,664  11.5% 1,310,009  
       Allowance For Credit Losses on Loans (23,854) (19,484)22.4% (24,142)
       Total Loans, net 1,232,389   1,107,180  11.3% 1,285,867  
          
       Other Real Estate Owned                        -   43  -100.0% 43  
       Premises and Equipment, net 32,813   34,597  -5.2% 33,437  
       Identifiable Intangibles, net 1,104   1,391  -20.6% 1,173  
       Goodwill  121,673   121,673  0.0% 121,673  
       Other Assets 159,903   164,332  -2.7% 160,269  
          
     Total Assets$6,747,931  $5,619,555  20.1%$6,563,215  
          
     Liabilities and Shareholders' Equity:    
       Deposits:    
         Noninterest-Bearing$2,725,177  $2,240,112  21.7%$2,684,028  
         Interest-Bearing Transaction 1,102,601   931,888  18.3% 1,040,712  
         Savings 1,703,812   1,471,284  15.8% 1,653,000  
         Time 156,389   169,337  -7.6% 161,450  
       Total Deposits 5,687,979   4,812,621  18.2% 5,539,190  
          
       Short-Term Borrowed Funds 102,545   30,928  231.6% 107,973  
       Other Liabilities 112,598   44,589  152.5% 90,476  
     Total Liabilities 5,903,122   4,888,138  20.8% 5,737,639  
          
     Shareholders' Equity:    
       Common Equity:    
         Paid-In Capital 466,041   466,231  0.0% 467,236  
         Accumulated Other    
           Comprehensive Income 114,412   26,051  n/m  103,623  
         Retained Earnings 264,356   239,135  10.5% 254,717  
     Total Shareholders' Equity 844,809   731,417  15.5% 825,576  
          
     Total Liabilities and     
        Shareholders' Equity$6,747,931  $5,619,555  20.1%$6,563,215  
          
    12. Income Statements.    
      (unaudited, in thousands except per-share amounts)
        % 
      Q4'2020Q4'2019ChangeQ3'2020
     Interest & Fee Income:    
       Loans$14,999  $14,103  6.4%$15,291  
       Investment Securities:    
         Equity Securities 110   103  6.9% 103  
         Debt Securities Available For Sale (5) 24,947   20,067  24.3% 22,652  
         Debt Securities Held To Maturity 2,793   4,209  -33.6% 3,235  
       Interest-Bearing Cash 112   1,396  -92.0% 84  
     Total Interest & Fee Income 42,961   39,878  7.7% 41,365  
          
     Interest Expense:    
       Transaction Deposits 90   89  1.3% 85  
       Savings Deposits 246   215  14.5% 238  
       Time Deposits 126   140  -10.1% 127  
       Short-Term Borrowed Funds 19   7  170.9% 16  
     Total Interest Expense 481   451  6.7% 466  
          
     Net Interest Income 42,480   39,427  7.7% 40,899  
          
     Provision for Credit Losses                        -                           -  n/m                         -  
          
     Noninterest Income:    
       Service Charges  3,452   4,374  -21.1% 3,298  
       Merchant Processing Services 2,713   2,424  11.9% 2,860  
       Debit Card Fees 1,643   1,568  4.7% 1,611  
       Trust Fees 765   764  0.0% 756  
       ATM Processing Fees 570   696  -18.1% 606  
       Other Service Fees 457   513  -10.9% 454  
       Financial Services Commissions 66   122  -45.9% 58  
       Gains on Sales of Real Property 3,536   -  n/m  -  
       Securities Gains -   167  n/m  -  
       Other Operating 757   1,104  -31.4% 833  
     Total Noninterest Income 13,959   11,732  19.0% 10,476  
          
     Noninterest Expense:    
       Salaries and  Benefits 12,291   12,297  0.0% 12,540  
       Occupancy and Equipment 4,900   5,077  -3.5% 5,014  
       Outsourced Data Processing 2,359   2,361  -0.1% 2,338  
       Professional Fees 722   674  7.1% 669  
       Courier Service 502   529  -5.1% 500  
       Amortization of Identifiable Intangibles 69   73  -5.5% 72  
       Other Operating 3,702   3,198  15.8% 3,470  
     Total Noninterest Expense 24,545   24,209  1.4% 24,603  
          
     Income Before Income Taxes 31,894   26,950  18.3% 26,772  
     Income Tax Provision 8,056   6,222  29.5% 6,721  
     Net Income$23,838  $20,728  15.0%$20,051  
          
     Average Common Shares Outstanding 26,838   27,050  -0.8% 26,930  
     Diluted Common Shares Outstanding 26,849   27,094  -0.9% 26,946  
          
     Per Common Share Data:    
       Basic Earnings$0.89  $0.77  15.6%$0.74  
       Diluted Earnings 0.89   0.77  15.6% 0.74  
       Dividends Paid 0.41   0.41  0.0% 0.41  
          
        % 
      12/31'20YTD12/31'19YTDChange 
     Interest & Fee Income:    
       Loans$59,377  $58,153  2.1% 
       Investment Securities:    
         Equity Securities 419   392  6.9% 
         Debt Securities Available For Sale (5) 91,343   74,147  23.2% 
         Debt Securities Held To Maturity 13,552   18,997  -28.7% 
       Interest-Bearing Cash 1,165   6,993  -83.3% 
     Total Interest & Fee Income 165,856   158,682  4.5% 
          
     Interest Expense:    
       Transaction Deposits 333   422  -21.1% 
       Savings Deposits 925   852  8.5% 
       Time Deposits 512   580  -11.8% 
       Short-Term Borrowed Funds 53   34  55.9% 
       Other Borrowed Funds 1   -  n/m  
     Total Interest Expense 1,824   1,888  -3.4% 
          
     Net Interest Income 164,032   156,794  4.6% 
          
     Provision for Credit Losses               4,300                           -  n/m  
          
     Noninterest Income:    
       Service Charges  14,149   17,882  -20.9% 
       Merchant Processing Services 10,208   10,132  0.8% 
       Debit Card Fees 6,181   6,357  -2.8% 
       Trust Fees 3,012   2,963  1.6% 
       ATM Processing Fees 2,273   2,776  -18.1% 
       Other Service Fees 1,837   2,255  -18.5% 
       Financial Services Commissions 372   392  -5.1% 
       Gains on Sales of Real Property 3,536   -  n/m  
       Life Insurance Gains -   433  n/m  
       Securities Gains 71   217  n/m  
       Other Operating (6) 3,998   4,001  -0.1% 
     Total Noninterest Income 45,637   47,408  -3.7% 
          
     Noninterest Expense:    
       Salaries and  Benefits 50,749   51,054  -0.6% 
       Occupancy and Equipment 19,637   20,240  -3.0% 
       Outsourced Data Processing 9,426   9,471  -0.5% 
       Professional Fees 2,423   2,465  -1.7% 
       Courier Service 2,001   1,878  6.5% 
       Amortization of Identifiable Intangibles 287   538  -46.7% 
       Loss Contingency (1) -   553  n/m  
       Other Operating 14,043   12,787  9.8% 
     Total Noninterest Expense 98,566   98,986  -0.4% 
          
     Income Before Income Taxes 106,803   105,216  1.5% 
     Income Tax Provision 26,390   24,827  6.3% 
     Net Income$80,413  $80,389  0.0% 
          
     Average Common Shares Outstanding 26,942   26,956  0.0% 
     Diluted Common Shares Outstanding 26,960   27,006  -0.2% 
          
     Per Common Share Data:    
     Basic Earnings$2.98  $2.98  0.0% 
     Diluted Earnings 2.98   2.98  0.0% 
     Dividends Paid 1.64   1.63  0.6% 
          
     Footnotes and Abbreviations:    
          
     (1) In 2019, the Company recorded a $301 thousand increase in estimated customer refunds of revenue recognized prior to 2018 and a $252 thousand loss settlement to dismiss a lawsuit.
          
     (2) Effective January 1, 2020, the Company adopted Accounting Standards Update (ASU) 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments ("CECL"), resulting in a period opening adjustment to the allowance for credit losses for loans and held-to-maturity debt securities, other liabilities, deferred tax assets, and shareholders' equity.  
          
     (3) In the fourth quarter 2020, the Company recorded a $7 thousand reversal of provision for credit losses on Debt Securities Held To Maturity and the balance of the allowance for credit losses on Debt Securities Held To Maturity was reduced from $16 thousand at September 30, 2020 to $9 thousand at December 31, 2020.
          
     (4) The Company adopted ASU 2016-13, effective January 1, 2020.  Debt Securities Held To Maturity of $515,589 thousand at December 31, 2020 and $577,795 thousand at September 30, 2020 are net of related reserve for expected credit losses of $9 thousand and $16 thousand, respectively.
          
     (5) Interest income on Debt Securities Available For Sale included make-whole interest income on called corporate bonds of $1.9 million in the fourth quarter 2020.
          
     (6) The Company received $603 thousand in excess of amounts charged-off in prior periods on a purchased loan during the first quarter 2020, representing the recovery of a purchased loan credit-risk discount.  
          
     (FTE) Fully Taxable Equivalent. The Company presents its net interest margin and net interest income on a FTE basis using the current statutory federal tax rate.  Management believes the FTE basis is valuable to the reader because the Company’s loan and investment securities portfolios contain a relatively large portion of municipal loans and securities that are federally tax exempt.  The Company’s tax exempt loans and securities composition may not be similar to that of other banks, therefore in order to reflect the impact of the federally tax exempt loans and securities on the net interest margin and net interest income for comparability with other banks, the Company presents its net interest margin and net interest income on a FTE basis.
          
     (a) Annualized    
          
     Certain amounts in prior periods have been reclassified to conform to the current presentation. 

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