Citizens Banking (NASDAQ:CBCF)
Historical Stock Chart
From Jun 2019 to Jun 2024
Consolidated Balance Sheets (Unaudited)
Citizens Banking Corporation and Subsidiaries
September 30, June 30, September 30,
(in thousands) 2006 2006 2005
--------------------------------------------------------------------------
Assets
Cash and due from banks $151,591 $205,117 $184,135
Interest-bearing deposits with banks 165 1,478 1,366
Investment Securities:
Available-for-sale (amortized
cost $1,381,225, $1,434,595 and
$1,662,299, respectively)
U.S. Treasury and federal
agency securities 1,002,893 1,043,773 1,283,574
State and municipal
securities 367,721 363,095 381,914
Other securities 8,626 1,747 537
Held-to-maturity:
State and municipal
securities (fair value of
$104,397, $94,559 and
$75,333, respectively) 102,667 96,789 74,943
FHLB and Federal Reserve stock 58,193 55,235 55,143
--------- --------- ---------
Total investment
securities 1,540,100 1,560,639 1,796,111
Mortgage loans held for sale 11,689 18,013 29,847
Portfolio loans:
Commercial 1,788,922 1,789,583 1,623,857
Commercial real estate 1,468,952 1,443,851 1,377,082
Residential mortgage loans 545,171 551,048 531,953
Direct consumer 1,090,757 1,099,146 1,171,388
Indirect consumer 859,573 844,411 864,994
--------- --------- ---------
Total portfolio loans 5,753,375 5,728,039 5,569,274
Less: Allowance for loan losses (113,076) (114,560) (118,626)
--------- --------- ---------
Net portfolio loans 5,640,299 5,613,479 5,450,648
Premises and equipment 117,821 120,154 120,755
Goodwill 54,527 54,527 54,527
Other intangible assets 8,959 9,684 11,858
Bank owned life insurance 86,580 85,921 83,773
Other assets 136,839 145,158 118,330
--------- --------- ---------
Total assets $7,748,570 $7,814,170 $7,851,350
========= ========= =========
Liabilities
Noninterest-bearing deposits $893,320 $954,907 $939,560
Interest-bearing demand deposits 739,895 744,744 962,893
Savings deposits 1,467,622 1,537,098 1,445,838
Time deposits 2,524,509 2,447,820 1,878,180
--------- --------- ---------
Total deposits 5,625,346 5,684,569 5,226,471
Federal funds purchased and
securities sold under agreements
to repurchase 342,736 443,651 916,816
Other short-term borrowings 13,298 24,073 11,825
Other liabilities 73,752 78,881 83,553
Long-term debt 1,019,131 933,124 957,836
--------- --------- ---------
Total liabilities 7,074,263 7,164,298 7,196,501
Shareholders' Equity
Preferred stock - no par value --- --- ---
Common stock - no par value 79,730 78,920 87,405
Retained earnings 596,040 587,494 563,597
Accumulated other comprehensive
income (1,463) (16,542) 3,847
--------- --------- ---------
Total shareholders' equity 674,307 649,872 654,849
--------- --------- ---------
Total liabilities and shareholders'
equity $7,748,570 $7,814,170 $7,851,350
========= ========= =========
Consolidated Statements of Income (Unaudited)
Citizens Banking Corporation and
Subsidiaries Three Months Ended Nine Months Ended
September 30, September 30,
(in thousands, except per share
amounts) 2006 2005 2006 2005
-------------------------------------------------------------------------
Interest Income
Interest and fees on loans $102,871 $88,536 $294,415 $251,283
Interest and dividends on
investment securities:
Taxable 12,574 14,845 39,248 44,512
Tax-exempt 5,278 5,109 15,854 15,453
Money market investments 21 16 34 43
------- ------- ------- -------
Total interest income 120,744 108,506 349,551 311,291
------- ------- ------- -------
Interest Expense
Deposits 40,004 21,859 106,301 59,052
Short-term borrowings 3,596 7,707 12,727 18,848
Long-term debt 11,499 9,298 31,413 26,737
------- ------- ------- -------
Total interest expense 55,099 38,864 150,441 104,637
------- ------- ------- -------
Net Interest Income 65,645 69,642 199,110 206,654
Provision for loan losses 1,190 4,000 5,329 8,396
------- ------- ------- -------
Net interest income after provision
for loan losses 64,455 65,642 193,781 198,258
------- ------- ------- -------
Noninterest Income
Service charges on deposit accounts 9,674 9,343 28,070 26,452
Trust fees 4,633 4,541 14,647 13,456
Mortgage and other loan income 2,267 2,450 6,383 6,884
Brokerage and investment fees 1,885 1,974 5,103 5,857
ATM network user fees 988 1,194 2,993 3,291
Bankcard fees 1,213 976 3,399 2,777
Fair value change in CD swap
derivatives --- --- (207) ---
Other 2,884 3,463 12,410 10,788
------- ------- ------- -------
Total fees and other income 23,544 23,941 72,798 69,505
Investment securities gains
(losses) --- --- 61 43
------- ------- ------- -------
Total noninterest income 23,544 23,941 72,859 69,548
Noninterest Expense
Salaries and employee benefits 32,569 34,060 97,515 99,762
Occupancy 5,604 5,255 16,837 16,500
Professional services 3,486 4,517 11,267 12,442
Equipment 3,191 3,133 9,658 11,371
Data processing services 3,779 3,188 11,232 10,056
Advertising and public relations 1,211 1,717 4,179 5,283
Postage and delivery 1,559 1,512 4,650 4,622
Telephone 1,394 1,242 4,250 4,148
Other loan expenses 1,407 720 3,040 1,969
Stationery and supplies 653 726 2,011 2,247
Intangible asset amortization 725 725 2,174 2,174
Other 3,824 3,755 14,226 11,567
------- ------- ------- -------
Total noninterest expense 59,402 60,550 181,039 182,141
------- ------- ------- -------
Income Before Income Taxes 28,597 29,033 85,601 85,665
Income tax provision 7,616 8,041 22,957 24,028
------- ------- ------- -------
Net Income $20,981 $20,992 $62,644 $61,637
------- ------- ------- -------
Net Income Per Common Share:
Basic $0.49 $0.49 $1.47 $1.43
Diluted 0.49 0.48 1.46 1.41
Cash Dividends Declared Per Common
Share 0.290 0.285 0.865 0.855
Average Common Shares Outstanding:
Basic 42,587 43,099 42,658 43,161
Diluted 42,709 43,453 42,795 43,507
Selected Quarterly Information
Citizens Banking Corporation and Subsidiaries
3rd Qtr 2nd Qtr 1st Qtr 4th Qtr 3rd Qtr
2006 2006 2006 2005 2005
--------------------------------------------------------------------------
Summary of Operations
(thousands)
Interest income $120,744 $116,416 $112,391 $111,958 $108,506
Interest expense 55,099 50,426 44,916 42,863 38,864
Net interest income 65,645 65,990 67,475 69,095 69,642
Provision for loan
losses (1) 1,190 1,139 3,000 (7,287) 4,000
Net interest income after
provision for loan losses 64,455 64,851 64,475 76,382 65,642
Total fees and other
income (2) 23,544 23,691 25,563 19,930 23,941
Investment securities
gains (losses) (3) --- 54 7 (8,970) ---
Noninterest expense 59,402 60,065 61,572 60,901 60,550
Income tax provision 7,616 7,624 7,717 7,553 8,041
Net income 20,981 20,907 20,756 18,888 20,992
Taxable equivalent
adjustment 3,413 3,383 3,416 3,432 3,284
--------------------------------------------------------------------------
At Period End (millions)
Assets $7,749 $7,814 $7,663 $7,752 $7,851
Portfolio loans 5,753 5,728 5,592 5,616 5,569
Deposits 5,625 5,685 5,524 5,474 5,226
Shareholders' equity 674 650 652 656 655
--------------------------------------------------------------------------
Average Balances
(millions)
Assets $7,724 $7,671 $7,654 $7,754 $7,821
Portfolio loans 5,694 5,610 5,561 5,575 5,531
Deposits 5,680 5,560 5,513 5,305 5,239
Shareholders' equity 659 647 655 654 655
Shareholders' equity/
assets 8.53% 8.44% 8.55% 8.43% 8.38%
--------------------------------------------------------------------------
Credit Quality Statistics
(thousands)
Nonaccrual loans $31,564 $26,001 $27,689 $32,140 $35,527
Loans 90 or more days
past due and still
accruing 303 887 547 238 92
Restructured loans 391 406 1,844 --- 13
-------- -------- -------- -------- --------
Total nonperforming
loans 32,258 27,294 30,080 32,378 35,632
Other repossessed assets
acquired (ORAA) 7,767 7,472 6,397 7,351 6,984
-------- -------- -------- -------- --------
Total nonperforming
assets $40,025 $34,766 $36,477 $39,729 $42,616
-------- -------- -------- -------- --------
Allowance for loan
losses $113,076 $114,560 $115,423 $116,400 $118,626
Allowance for loan
losses as a percent
of portfolio loans 1.97% 2.00% 2.06% 2.07% 2.13%
Allowance for loan
losses as a percent
of nonperforming assets 282.51 329.52 316.43 292.98 278.36
Allowance for loan
losses as a percent
of nonperforming loans 350.54 419.73 383.72 359.50 332.92
Nonperforming assets as
a percent of portfolio
loans plus ORAA 0.69 0.61 0.65 0.71 0.76
Nonperforming assets as a
percent of total assets 0.52 0.44 0.48 0.51 0.54
Net loans charged off as a
percent of average portfolio
loans (annualized) 0.19 0.14 0.29 (0.36) 0.38
Net loans charged off
(000) $2,674 $2,002 $3,977 $(5,061) $5,341
--------------------------------------------------------------------------
Per Common Share Data
Net Income:
Basic $0.49 $0.49 $0.49 $0.44 $0.49
Diluted 0.49 0.49 0.48 0.44 0.48
Dividends 0.290 0.290 0.285 0.285 0.285
Market Value:
High $27.04 $27.60 $28.66 $30.22 $32.15
Low 23.25 23.71 25.62 26.67 28.20
Close 26.26 24.41 26.85 27.75 28.40
Book value 15.72 15.15 15.23 15.28 15.21
Shares outstanding,
end of period (000) 42,904 42,887 42,770 42,968 43,044
--------------------------------------------------------------------------
Performance Ratios
(annualized)
Net interest margin
(FTE) (4) 3.78% 3.84% 3.97% 3.95% 3.93%
Return on average assets 1.08 1.09 1.10 0.97 1.06
Return on average
shareholders' equity 12.63 12.96 12.86 11.46 12.71
Efficiency ratio (5) 64.15 64.54 63.84 65.87 62.51
--------------------------------------------------------------------------
(1) The provision for loan losses and note loans charged off during the fourth quarter of 2005 reflect an insurance settlement of $9.1 million accounted for as a loan loss recovery.
(2) Total fees and other income includes a cumulative charge of $3.6 million on swaps related to brokered certificates during the fourth quarter of 2005.
(3) Investment securities gains (losses) includes a net loss of $9.0 million on the sale of securities as a result of restructuring the investment portfolio during the fourth quarter of 2005.
(4) Net interest margin is presented on an annual basis, includes taxable equivalent adjustments to interest income and is based on a tax rate of 35%.
(5) The Efficiency Ratio measures how efficiently a bank spends its revenues. The formula is: Noninterest expense/(Net interest income + Taxable equivalent adjustment + Total fees and other income).
Financial Summary and Comparison
Citizens Banking Corporation and Subsidiaries
Nine months ended
September 30,
2006 2005 % Change
--------------------------------------------------------------------------
Summary of Operations (thousands)
Interest income $349,551 $311,291 12.3 %
Interest expense 150,441 104,637 43.8
Net interest income 199,110 206,654 (3.7)
Provision for loan losses 5,329 8,396 (36.5)
Net interest income after provision
for loan losses 193,781 198,258 (2.3)
Total fees and other income 72,798 69,505 4.7
Investment securities gains (losses) 61 43 42.8
Noninterest expense 181,039 182,141 (0.6)
Income tax provision 22,957 24,028 (4.5)
Net income 62,644 61,637 1.6
--------------------------------------------------------------------------
At Period End (millions)
Assets $7,749 $7,851 (1.3)%
Portfolio loans 5,753 5,569 3.3
Deposits 5,625 5,226 7.6
Shareholders' equity 674 655 3.0
--------------------------------------------------------------------------
Average Balances (millions)
Assets $7,683 $7,786 (1.3)%
Portfolio loans 5,622 5,466 2.9
Deposits 5,585 5,280 5.8
Shareholders' equity 654 653 0.1
Shareholders' equity / assets 8.51% 8.38% 1.6
--------------------------------------------------------------------------
Per Common Share Data
Net Income:
Basic $1.47 $1.43 2.8%
Diluted 1.46 1.41 3.5
Dividends 0.865 0.855 1.2
Market Value:
High $28.66 $34.81 (17.7)
Low 23.25 26.35 (11.8)
Close 26.26 28.40 (7.5)
Book value 15.72 15.21 3.4
Tangible book value 14.24 13.67 4.2
Shares outstanding, end of
period (000) 42,904 43,044 (0.3)
--------------------------------------------------------------------------
Performance Ratios (annualized)
Net interest margin (FTE) (1) 3.86% 3.94% (2.0)%
Return on average assets 1.09 1.06 2.8
Return on average shareholders' equity 12.82 12.62 1.6
Net loans charged off as a percent
of average portfolio loans 0.21 0.29 (27.6)
-------------------------------------------------------------------------
(1) Net interest margin is presented on an annual basis and includes taxable equivalent adjustments to interest income of $10.2 million and $10.0 million for the nine months ended September 30, 2006 and 2005, respectively, based on a tax rate of 35%.
Noninterest Income and Noninterest Expense (Unaudited)
Citizens Banking Corporation and Subsidiaries
Three Months Ended
--------------------------------------------
Sep 30 Jun 30 Mar 31 Dec 31 Sep 30
(in thousands) 2006 2006 2006 2005 2005
-------------------------------------------------------------------------
NONINTEREST INCOME:
Service charges on deposit
accounts $9,674 $9,521 $8,875 $8,957 $9,343
Trust fees 4,633 4,972 5,042 4,989 4,541
Mortgage and other loan
income 2,267 2,106 2,010 2,099 2,450
Brokerage and investment fees 1,885 1,703 1,515 1,946 1,974
ATM network user fees 988 1,018 987 1,065 1,194
Bankcard fees 1,213 1,129 1,057 1,027 976
Fair value change in CD swap
derivatives --- --- (207) (3,604) ---
Other income 2,884 3,242 6,284 3,451 3,463
------ ------ ------ ------ ------
Total fees and other income 23,544 23,691 25,563 19,930 23,941
Investment securities gains
(losses) --- 54 7 (8,970) ---
------ ------ ------ ------ ------
TOTAL NONINTEREST INCOME $23,544 $23,745 $25,570 $10,960 $23,941
======= ======= ======= ======= =======
NONINTEREST EXPENSE:
Salaries and employee
benefits $32,569 $32,690 $32,256 $32,391 $34,060
Occupancy 5,604 5,291 5,942 5,631 5,255
Professional services 3,486 3,703 4,078 4,837 4,517
Equipment 3,191 3,301 3,166 3,263 3,133
Data processing services 3,779 3,714 3,739 3,744 3,188
Advertising and public
relations 1,211 934 2,034 2,570 1,717
Postage and delivery 1,559 1,629 1,462 1,591 1,512
Telephone 1,394 1,392 1,464 1,333 1,242
Other loan expenses 1,407 1,217 416 686 720
Stationery and supplies 653 631 727 844 726
Intangible asset amortization 725 724 725 725 725
Other expense (1) 3,824 4,839 5,563 3,286 3,755
------ ------ ------ ------ ------
TOTAL NONINTEREST EXPENSE $59,402 $60,065 $61,572 $60,901 $60,550
======= ======= ======= ======= =======
--------------------------------------------------------------------------
(1) The quarter ended March 31, 2006 includes the $1.5 million contribution to Citizens charitable foundation.
Average Balances, Yields and Rates
Three Months Ended
September 30, 2006 June 30, 2006
Average Average Average Average
(dollars in thousands) Balance Rate (1) Balance Rate (1)
--------------------------------------------------------------------------
Earning Assets
Money market investments $2,048 4.08 1,373 0.45
Investment securities (3):
Taxable 1,115,959 4.51 1,158,939 4.51
Tax-exempt 449,364 7.23 447,476 7.23
Mortgage loans held for sale 16,743 6.04 21,356 5.62
Portfolio loans (4):
Commercial 1,740,592 7.54 1,704,447 7.26
Commercial real estate 1,458,104 7.26 1,426,911 7.13
Residential mortgage loans 545,907 5.75 544,850 5.75
Direct consumer 1,093,724 7.69 1,103,024 7.49
Indirect consumer 855,229 6.66 831,012 6.61
--------- ---------
Total portfolio loans 5,693,556 7.20 5,610,244 7.03
--------- ---------
Total earning assets 7,277,670 6.78 7,239,388 6.63
Nonearning Assets
Cash and due from banks 165,403 157,670
Bank premises and equipment 119,246 120,650
Investment security fair
value adjustment (12,203) (18,523)
Other nonearning assets 288,493 287,048
Allowance for loan losses (114,302) (115,274)
--------- ---------
Total assets $7,724,307 $7,670,959
========= =========
Interest-Bearing Liabilities
Deposits:
Interest-bearing demand $753,412 0.64 $789,168 0.65
Savings deposits 1,511,956 2.81 1,471,803 2.58
Time deposits 2,489,653 4.47 2,386,346 4.13
Short-term borrowings 321,140 4.44 487,549 4.44
Long-term debt 980,584 4.66 895,056 4.36
--------- ---------
Total interest-bearing
liabilities 6,056,745 3.61 6,029,922 3.35
Noninterest-Bearing Liabilities
and Shareholders' Equity
Noninterest-bearing demand 925,004 913,181
Other liabilities 83,749 80,727
Shareholders' equity 658,809 647,129
--------- ---------
Total liabilities and
shareholders' equity $7,724,307 $7,670,959
========= =========
Interest Spread 3.17% 3.28%
Contribution of noninterest
bearing sources of funds 0.61 0.56
Net Interest Income as a
Percent of Earning Assets 3.78% 3.84%
--------------------------------------------------------------------------
(1) Average rates are presented on an annual basis and include taxable equivalent adjustments to interest income.
(2) Certain amounts have been reclassified to conform with current year presentation.
(3) For presentation in this table, average balances and the corresponding average rates for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts.
(4) Nonaccrual loans are included in average balances.
Average Balances, Yields and Rates
Three Months Ended
September 30, 2005
Average Average
(dollars in thousands) Balance (2) Rate (1)(2)
-------------------------------------------------------------------------
Earning Assets
Money market investments 2,691 2.30
Investment securities (3):
Taxable 1,381,469 4.30
Tax-exempt 428,534 7.34
Mortgage loans held for sale 40,836 5.18
Portfolio loans (4):
Commercial 1,622,724 6.36
Commercial real estate 1,352,733 6.43
Residential mortgage loans 520,861 5.54
Direct consumer 1,178,476 6.46
Indirect consumer 856,207 6.58
---------
Total portfolio loans 5,531,001 6.36
---------
Total earning assets 7,384,531 6.02
Nonearning Assets
Cash and due from banks 158,631
Bank premises and equipment 121,142
Investment security fair value adjustment 8,321
Other nonearning assets 267,861
Allowance for loan losses (119,695)
---------
Total assets $7,820,791
=========
Interest-Bearing Liabilities
Deposits:
Interest-bearing demand $1,016,366 0.67
Savings deposits 1,471,878 1.55
Time deposits 1,810,928 3.16
Short-term borrowings 900,520 3.40
Long-term debt 942,624 3.92
---------
Total interest-bearing liabilities 6,142,316 2.51
Noninterest-Bearing Liabilities
and Shareholders' Equity
Noninterest-bearing demand 939,668
Other liabilities 83,671
Shareholders' equity 655,136
Total liabilities and shareholders'
equity $7,820,791
=========
Interest Spread 3.51%
Contribution of noninterest bearing
sources of funds 0.42
Net Interest Income as a Percent of
Earning Assets 3.93%
--------------------------------------------------------------------------
(1) Average rates are presented on an annual basis and include taxable equivalent adjustments to interest income.
(2) Certain amounts have been reclassified to conform with current year presentation.
(3) For presentation in this table, average balances and the corresponding average rates for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts.
(4) Nonaccrual loans are included in average balances.
Average Balances, Yields and Rates
Nine Months Ended September 30,
2006 2005
Average Average Average Average
(dollars in thousands) Balance Rate(1) Balance(2) Rate(1)(2)
--------------------------------------------------------------------------
Earning Assets
Money market investments 1,703 2.69 2,570 2.22
Investment securities (3):
Taxable 1,151,859 4.54 1,417,647 4.19
Tax-exempt 447,842 7.26 423,564 7.48
Mortgage loans held for
sale 18,191 5.75 36,920 5.41
Portfolio loans (4):
Commercial 1,697,656 7.28 1,626,133 5.96
Commercial real estate 1,433,563 7.09 1,321,703 6.27
Residential mortgage
loans 544,065 5.72 506,154 5.55
Direct consumer 1,106,930 7.47 1,176,047 6.22
Indirect consumer 839,972 6.62 835,741 6.59
--------- ---------
Total portfolio loans 5,622,186 7.02 5,465,778 6.15
--------- ---------
Total earning assets 7,241,781 6.64 7,346,479 5.84
Nonearning Assets
Cash and due from banks 162,992 156,556
Bank premises and equipment 120,407 121,303
Investment security fair
value adjustment (11,377) 14,168
Other nonearning assets 284,734 267,881
Allowance for loan losses (115,235) (120,502)
--------- ---------
Total assets $7,683,302 $7,785,885
========= =========
Interest-Bearing Liabilities
Deposits:
Interest-bearing demand $799,570 0.64 $1,079,770 0.68
Savings deposits 1,477,773 2.55 1,536,209 1.36
Time deposits 2,386,736 4.16 1,739,284 2.91
Short-term borrowings 399,412 4.26 836,980 3.01
Long-term debt 960,107 4.37 932,035 3.83
--------- ---------
Total interest-bearing
liabilities 6,023,598 3.34 6,124,278 2.28
Noninterest-Bearing Liabilities
and Shareholders' Equity
Noninterest-bearing demand 920,992 924,737
Other liabilities 85,182 84,084
Shareholders' equity 653,530 652,786
--------- ---------
Total liabilities and
shareholders' equity $7,683,302 $7,785,885
========= =========
Interest Spread 3.30% 3.56%
Contribution of noninterest
bearing sources of funds 0.56 0.38
Net Interest Income as a
Percent of Earning Assets 3.86% 3.94%
--------------------------------------------------------------------------
(1) Average rates are presented on an annual basis and include taxable equivalent adjustments to interest income.
(2) Certain amounts have been reclassified to conform with current year presentation.
(3) For presentation in this table, average balances and the corresponding average rates for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts.
(4) Nonaccrual loans are included in average balances.
Nonperforming Assets
Citizens Banking Corporation and Subsidiaries
Three Months Ended
-------------------------------------------
Sep 30 Jun 30 Mar 31 Dec 31 Sep 30
(in thousands) 2006 2006 2006 2005 2005
-------------------------------------------------------------------------
Commercial(1)
Commercial $8,440 $8,795 $10,594 $11,880 $14,457
Commercial real estate 7,835 4,956 5,219 5,068 5,720
------- ------- ------- ------- -------
Total commercial 16,275 13,751 15,813 16,948 20,177
Consumer:
Direct 3,972 3,167 3,911 4,326 4,459
Indirect 781 904 569 2,454 962
Residential mortgage 10,536 8,179 7,396 8,412 9,929
Loans 90 days or more
past due and still accruing 303 887 547 238 92
Restructured loans 391 406 1,844 --- 13
------- ------- ------- ------- -------
Total Nonperforming Loans 32,258 27,294 30,080 32,378 35,632
Other Repossessed Assets
Acquired 7,767 7,472 6,397 7,351 6,984
------- ------- ------- ------- -------
Total Nonperforming
Assets $40,025 $34,766 $36,477 $39,729 $42,616
======= ======= ======= ======= =======
-------------------------------------------------------------------------
(1) Changes in commercial nonperforming loans (including restructured
loans) for the quarter (in millions):
Inflows $7.5 $10.4 $9.8 $10.6 $9.9
Outflows (5.0) (13.9) (9.1) (13.8) (17.3)
------- ------- ------- ------- -------
Net change $2.5 $(3.5) $0.7 $(3.2) $(7.4)
======= ======= ======= ======= =======
-------------------------------------------------------------------------
Summary of Loan Loss Experience
Citizens Banking Corporation and Subsidiaries
Three Months Ended
-------------------------------------------
Sep 30 Jun 30 Mar 31 Dec 31 Sep 30
(in thousands) 2006 2006 2006 2005 2005
-------------------------------------------------------------------------
Allowance for loan losses
- beginning of period $114,560 $115,423 $116,400 $118,626 $119,967
Provision for loan losses 1,190 1,139 3,000 (7,287) 4,000
Charge-offs:
Commercial 597 854 921 2,068 1,912
Commercial real estate 585 606 616 912 1,965
------- ------- ------- ------- -------
Total commercial 1,182 1,460 1,537 2,980 3,877
Residential mortgage 252 305 198 519 182
Direct consumer 983 1,216 1,669 1,382 1,257
Indirect consumer 1,840 1,575 2,829 3,075 2,640
------- ------- ------- ------- -------
Total charge-offs 4,257 4,556 6,233 7,956 7,956
------- ------- ------- ------- -------
Recoveries:
Commercial 543 1,001 1,175 11,914 1,334
Commercial real estate 50 485 79 28 232
------- ------- ------- ------- -------
Total commercial 593 1,486 1,254 11,942 1,566
Residential mortgage 22 48 55 37 32
Direct consumer 485 332 285 329 370
Indirect consumer 483 688 662 709 647
------- ------- ------- ------- -------
Total recoveries 1,583 2,554 2,256 13,017 2,615
------- ------- ------- ------- -------
Net charge-offs 2,674 2,002 3,977 (5,061) 5,341
------- ------- ------- ------- -------
Allowance for loan losses
- end of period $113,076 $114,560 $115,423 $116,400 $118,626
------- ------- ------- ------- -------
Reserve for loan commitments
- end of period $2,976 $2,937 $2,684 $3,023 $3,023
------- ------- ------- ------- -------
-------------------------------------------------------------------------
--------------------------------------------------------------------------
Three Months Ended September 30, 2006
-------------------------------------------------
Commercial Residential
(in thousands) Commercial real estate mortgage
-------------------------------------------------
Charge-offs:
Michigan $521 $418 $252
Wisconsin 68 167 ---
Iowa 8 --- ---
----------- ----------- -----------
Total charge-offs 597 585 252
----------- ----------- -----------
Recoveries:
Michigan 407 50 22
Wisconsin 132 --- ---
Iowa 4 --- ---
----------- ----------- -----------
Total recoveries 543 50 22
----------- ----------- -----------
Net charge-offs $54 $535 $230
=========== =========== ===========
-------------------------------------------------
Direct Indirect
(in thousands) consumer consumer Total
-------------------------------------------------
Charge-offs:
Michigan $850 $1,840 $3,881
Wisconsin 92 --- 327
Iowa 41 --- 49
----------- ----------- -----------
Total charge-offs 983 1,840 4,257
----------- ----------- -----------
Recoveries:
Michigan 415 483 1,377
Wisconsin 59 --- 191
Iowa 11 --- 15
----------- ----------- -----------
Total recoveries 485 483 1,583
----------- ----------- -----------
Net charge-offs $498 $1,357 $2,674
=========== =========== ===========
--------------------------------------------------------------------------
Nine Months Ended September 30, 2006
-------------------------------------------------
Commercial Residential
(in thousands) Commercial real estate mortgage
-------------------------------------------------
Charge-offs:
Michigan $1,786 $1,294 $656
Wisconsin 578 513 98
Iowa 8 --- 1
----------- ----------- -----------
Total charge-offs 2,372 1,807 755
----------- ----------- -----------
Recoveries:
Michigan 1,368 470 113
Wisconsin 1,340 135 8
Iowa 11 9 4
----------- ----------- -----------
Total recoveries 2,719 614 125
----------- ----------- -----------
Net charge-offs $(347) $1,193 $630
=========== =========== ===========
-------------------------------------------------
Direct Indirect
(in thousands) consumer consumer Total
-------------------------------------------------
Charge-offs:
Michigan $3,178 $6,244 $13,158
Wisconsin 587 --- 1,776
Iowa 103 --- 112
----------- ----------- -----------
Total charge-offs 3,868 6,244 15,046
----------- ----------- -----------
Recoveries:
Michigan 883 1,833 4,667
Wisconsin 191 --- 1,674
Iowa 28 --- 52
----------- ----------- -----------
Total recoveries 1,102 1,833 6,393
----------- ----------- -----------
Net charge-offs $2,766 $4,411 $8,653
=========== =========== ===========
Visit our website at http://www.citizensonline.com/
(Logo: http://www.newscom.com/cgi-bin/prnh/20050421/DETH014LOGO )
DATASOURCE: Citizens Banking Corporation
Web site: http://www.citizensonline.com/