2019 SECOND QUARTER REPORT...Central Bank & Trust Co. Central Insurance Services Central Investment...
Transcript of 2019 SECOND QUARTER REPORT...Central Bank & Trust Co. Central Insurance Services Central Investment...
Central Bank & Trust Co.
Central Insurance Services
Central Investment Center, Inc.
2019
SECOND QUARTER
REPORT
CONNECTING WITH
OUR
COMMUNITIES.
MISSION STATEMENTThe mission of Central Bancshares is to become
Kentucky’s leading, high-performing, community
banking company by empowering our staff to deliver
consistently superior service and value to our customers,
shareholders and communities. We will be successful because
Central Bankers are our greatest resource and our most
sustainable advantage.
The Lexington Public Library serves a merged city-county jurisdiction of 300,000+ people
through a central library, five neighborhood branches, an active Outreach department, and
rapidly expanding virtual services. Central Bank is proud to support their vision of a community
engaged in a lifetime of discovery, as they work to expand their services in all locations.
For additional copies or
INFORMATIONMARKETINGCENTRAL BANK300 West Vine StreetLexington, KY 40507
HELPING TO KEEP OUR COMMUNITIES STRONG.
LEXINGTON
PUBLIC LIBRARY
CONTENTS Financial Highlights 1
Consolidated Balance Sheets 2
Consolidated Statements of Income 3
Boards of Directors 4
Officers 6
CONTENTS Financial Highlights 1
Consolidated Balance Sheets 2
Consolidated Statements of Income 3
Boards of Directors 4
Officers 6
FINANCIAL HIGHLIGHTS
For six months ended June 30(dollars in thousands, except share data)
RESULTS OF OPERATIONS: Net income Net income per share Cash dividends per share Book value per share at quarter end
AT JUNE 30: Assets Earning assets Net loans Deposits Shareholders’ equity
PERFORMANCE RATIOS: Return on average assets Return on average shareholders’ equity Average tangible equity to average tangible assets Net charge-offs to average loans Allowance for loan losses as a percentage of quarter end loans Net interest margin (tax equivalent)
2019
$ 16,5160.470.008.55
$ 2,675,4932,575,6992,112,7642,141,569
297,325
1.29%11.58%
10.71%0.05%
1.00%4.10%
2016
$ 9,1590.260.006.64
$ 2,254,4742,140,7871,685,7331,880,799
230,888
0.84%8.13%
9.71%0.05%
1.26%3.75%
2015
$ 8,9680.260.006.17
$ 2,130,9312,017,0301,595,5851,798,881
214,564
0.85%8.62%
9.25%0.02%
1.40%3.70%
2017
$ 9,1150.260.007.10
$ 2,315,6082,207,0831,851,9951,939,642
247,045
0.80%7.58%
10.02%0.04%
1.16%3.94%
2018
$ 13,6390.390.007.72
$ 2,510,9262,417,8232,018,0272,052,387
268,444
1.12%10.50%
10.12%0.02%
1.04%4.02%
2019 SECOND QUARTER REPORT 1
$ 50,761 175,400 226,161
259,537 2,134,011
(21,247 2,112,764
29,639 6,751
14,313 26,328
$ 2,675,493
$ 699,752 1,441,817 2,141,569
145,144 500
50,412 15,000 25,543
2,378,168
3,479
- 6,890
293,490 (6,534
297,325 $ 2,675,493 2
CONSOLIDATED BALANCE SHEETS
ASSETS Cash and due from financial institutionsInterest bearing deposits with other financial institutions Total cash and cash equivalentsDebt securities Loans, net of unearned incomeAllowance for loan losses Loans, netPremises and equipment, netFederal Home Loan Bank stockIntangible assetsPrepaid expenses and other assets Total assets
LIABILITIES AND SHAREHOLDERS’ EQUITYDeposits: Non-interest bearing Interest bearing Total deposits Repurchase agreementsFederal funds purchasedFederal Home Loan Bank advancesSubordinated debenturesOther liabilities Total liabilities
SHAREHOLDERS’ EQUITYCommon stock (voting), $10 par value; 350,000 shares authorized; 347,922 shares issued and outstandingCommon stock (non-voting), no par value; 34,650,000 shares authorized; 34,444,278 and zero shares issued and outstanding at June 30, 2019 and 2018, respectivelyAdditional paid-in capitalRetained earningsAccumulated other comprehensive income (loss) Total shareholders’ equity Total liabilities and shareholders’ equity
June 302019
June 302018
$ 43,943 151,000 194,943 220,861
2,039,211 (21,184
2,018,027 31,549
6,751 14,313
24,482 $ 2,510,926
$ 685,772 1,366,615 2,052,387
127,444 500
25,431 15,000 21,720
2,242,482
3,479
- 6,890
264,224 (6,149
268,444 $ 2,510,926
) )
)
(in thousands, except share data)
)
32019 SECOND QUARTER REPORT
For six months ended
CONSOLIDATED STATEMENTS OF INCOME
INTEREST INCOME Interest and fees on loans Interest on debt securities Interest on deposits with other financial institutions
INTEREST EXPENSE Interest on deposits Interest on borrowed funds
Net interest incomeProvision for loan lossesNet interest income after provision for loan losses
OTHER INCOME Service charges on deposit accounts Service charges on loans Wealth management income Other income
OTHER EXPENSES Salaries Benefits Occupancy Other non-interest expenses
Income before provision for income taxesProvision for income taxesNet income
Basic earnings per share
June 302019
June 302018
$ 53,216 3,437 1,683
58,336
7,115 1,134
8,249
50,087 2,061
48,026
3,551 4,816 7,367 3,746
19,480
20,404 5,515 9,785
14,279 49,983
17,523 1,007
$ 16,516
$ 0.47
$ 47,331 2,484 1,104
50,919
3,982 752
4,734
46,185 1,047
45,138
3,589 4,999 7,395 2,532
18,515
19,937 4,791 9,359
13,704 47,791
15,862 2,223
$ 13,639
$ 0.39
(in thousands, except share data)
BOARDS OF DIRECTORS
Central Bancshares, Inc. and Central Bank & Trust Co. Board of Directors
Luther Deaton, Jr. Chairman, President & CEO, Central Bancshares, Inc. and Central Bank & Trust Co.
Joan D. Kincaid Vice Chairman of the Board, Central Bancshares, Inc. and Central Bank & Trust Co.
Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants
Wayne M. MartinVP of Development,Retail Division,Booth Energy
Nick Nicholson Retired, Keeneland Association, Inc.
G. Michael RitchieExecutive Vice President, Quantum Spatial, Inc.
Paul E. Sullivan Partner, Frost Brown Todd, LLC
Advisory Boards of Directors
Central Bank, GeorgetownAdvisory Board of Directors
Dallas BlankenshipRetired Superintendent,Scott County Board of Education
Mason “Butch” GlassCommunity Volunteer
William C. HaughCEO, Georgetown Community Hospital
George H. LusbyRetired Scott County Judge Executive
Kimberly E. MarshallMarket President
Randy MasonOwner-Operator, McDonald’s
W. Thomas PratherChairman, Central Bank, Georgetown &Mayor of Georgetown
Central Bank, LexingtonAdvisory Board of Directors
Dennis AndersonPresident, Anderson Communities
John AtchisonCo-owner, Atchison Heller Construction
Rick AvareMAP Entities
Ray BallOwner, Ball Homes
Anthany BeattyU.K. Campus Services & Public Safety
Jed BullardOwner, E.D. Bullard Company
Lucas CampbellGorman Company
Kevin DoyleCFO, Congleton Hacker Company
William Farish, Jr.President, Lane’s End Farm
Crinda FranckePresident, ExecuTrain of Kentucky
Linda GriffinPresident, High Bridge Spring Water
Joseph L. GrossmanPresident & CEO,Appalachian Regional Healthcare, Inc.
Pat HaydenRetired, Rector Hayden Real Estate
John Irvin, Jr.Attorney, Kinkead & Stilz, PLLC
Judge Mary NobleRetired Judge, Kentucky Supreme Court
Bruce PierattOwner, Pieratt’s
Bill QuiggPresident, Richmond Baking Company
Ed QuinnPresident & CEO, R.J. Corman Railroad Company
Dr. Marcus RandallPresident, Kentucky Medical Services Foundation
Nick RowePresident, Kentucky American Water Co.
Adolph Rupp IIIRupp & Associates, Inc.
Kenny SchompPresident & Owner, Lexington Truck Sales, Inc.
Nick StrongPresident, Old Colony Insurance
Bill Thomason President, Keeneland Association
Lawrence WeathersChief of Police, Lexington
Central Bank, LouisvilleAdvisory Board of Directors
Jonathan S. BlueChairman, Blue Equity, LLC
Ronald L. CarmicleOwner, PLC Management
Marcia CassadyDirector, Capital Link Consultants
Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants
William P. MaloneRetired, Deming, Malone, Livesay & Ostroff
William E. Summers IVRetired, Deputy Mayor, Louisville Metro Government
Jude ThompsonCEO, Delta Dental
Mark Wheeler Market President
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Chairman, President & CEO
Luther Deaton, Jr.
Central Bank, Madison County Advisory Board of Directors
Dianna Ackerman Broker/Owner, ERA Professional Hometown Services
Frankie C. Blevins, Jr.Attorney, Blevins Law, LLC
Robert R. BlytheMayor of RichmondPastor, First Baptist Church
James R. CarrBuilder and Developer
Shannon Combs Partner, Combs, Parsons and Collins Funeral Home
Jeff FultzMarket President
Greg GerardPresident, Baptist Health Richmond
James Ernest HillardOwner, Middletown Industrial
Mike Rice Owner, Cars of Kentucky, Inc.
Rita H. SmartOwner, The Bennett House
Central Bank, NicholasvilleAdvisory Board of Directors
Joan D. KincaidVice Chairman of the Board, Central Bancshares, Inc. and Central Bank & Trust Co.
Sandra J. AdamsOwner, Zaxby’s
Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants
Ben A. RainwaterTutt Construction
Paul E. Sullivan Partner, Frost Brown Todd, LLC
Benjamin G. TaylorTaylor Made Farm & Sales Agency, Inc.
Alan S. VanArsdallMarket President
Central Bank, Northern Kentucky Advisory Board of Directors Mark AyerManaging MemberReading Investments, LLC
Adam BortzCEO, Towne Properties
Tonya Burns-GerakosTonya Burns Law
Chris CarleSenior Vice President & COO, St. Elizabeth Healthcare, Florence
Wayne CarlislePresident & CEOCarlisle Enterprises
David HeidrichCEO, Zalla Companies
Thomas J. MunninghoffPresident, Munninghoff, Lange & Co.
Greg SchrandPresident, GSE, Inc.
Gregory ShumateMember, Frost Brown Todd, LLC
James UebelMarket President
Paul VerstPresident & CEO, Verst Group Logistics, Inc., and Zenith Logistics
John YeagerOwner, Ashley Development
Central Bank, WinchesterAdvisory Board of Directors
Gerald F. (Kelly) Healy IIIDirector of Operations McDonald’s
Glenn LeveridgeMarket President
Rex McCrary, D.M.D.Dentist
Jeff MonohanPresident The Allen Company
Ralph J. PalmerPresident, Palmer Engineering Co.
Patricia M. SmithPresident, MD Consulting, Inc.
Robert Strode Retired
Mary Jane WarnerManager of Power Delivery, East Kentucky Power Cooperative, Inc.
52019 SECOND QUARTER REPORT
BOARDS OF DIRECTORS
OFFICERS
Central Bancshares, Inc.
Luther Deaton, Jr. Chairman, President & CEO
Joan D. Kincaid Vice Chairman
Susan L. Simmons Vice President
Ranee LelandVice President &Corporate Secretary
Edward BarnesTreasurer
Central Bank, Lexington
ADMINISTRATION
Luther Deaton, Jr. Chairman, President & CEO
Ranee LelandVice President &Corporate Secretary
Auditing
Craig L. Daniels, CPA Executive Vice President
Lisa S. Grant, CRCMSenior Vice President & Compliance Officer
Donna J. Craven, CRCMVice President
Danny C. NolandVice President
John T. Miner, Jr.Auditing Officer
COMMERCIAL BANKING
Paul R. Thornsberry Executive Vice President
Commercial Lending
David RossSenior Vice President
Mark R. Fox Vice President
Stephen J. MalloryVice President
Jeff MurphyVice President
Shane AndersonAssistant Vice President
Commercial Real Estate Lending
Megan BarlowVice President
Susan A. DeanVice President
Paul B. DrakeVice President
Gary LoucksVice President
Jordan OwensVice President
Consumer Lending
D. Keith PrestonVice President
Jerry F. Smalley Vice President
Central Bank Mortgage
Catherine HimesSenior Vice President
Susan BradleyVice President
Tom BreathittVice President
Brad FieldsVice President
Rebecca HaddixVice President
Lorraine KinleyVice President
Brian W. West Vice President
Vina RisnerAssistant Vice President
Lisa Hart Secondary Mortgage Underwriter Officer
Bradley SutherlandMortgage Lending Officer
Corporate Services
Karen Rowland, CTPSenior Vice President
Joan Patterson, CTPVice President
Lisa K. Vickers Vice President
Chris CampbellAssistant Vice President
Allison CarterAssistant Vice President
Ashley N. RodgersCash Management Officer
Credit Analysis
Jason A. SmithSenior Vice President
Special Assets Ellen Sharp Senior Vice President
Steve HallVice President
Julie SzymanskiVice President
Becky MullinsSpecial Assets Officer
Loan Review
Marie A. YoungVice President
LeeAnn LayneVice President
Leigh M. CarrAssistant Vice President
Small Business
Richard D. Hartley Vice President
Terri A. SteinVice President
HUMAN RESOURCES
Susan Simmons Executive Vice President
Amy ManningSenior Vice President
Shelia Plymale Senior Vice President
June CarpenterAssistant Vice President
TECHNOLOGY SERVICES
Julie Bondra Executive Vice President
Anna ClaytonSenior Vice President
Kevin J. LippertSenior Vice President
David HakeVice President
E. Sean ProfittVice President
Kyle HamiltonTechnology Officer
RETAIL BANKING
Gregory M. Shewmaker Executive Vice President
Michael GartnerSenior Vice President
Matthew S. RatliffVice President
Chris McGaugheyCRA Community Development Officer
Banking Centers
Lana AlexanderAssistant Vice President
Gina EnsmingerAssistant Vice President
Angela M. FrieszAssistant Vice President
Barbara JohnsonAssistant Vice President
Karen Lackey Assistant Vice President
Shawn McWilliamsAssistant Vice President
Philip RochesterAssistant Vice President
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Alexandra T. WolfAssistant Vice President
Sharon BradleyRetail Banking Officer
Sheila CarmackRetail Banking Officer
Rachel JonesRetail Banking Officer
Laura M. OwensRetail Banking Officer
Client Services
Cathy K. Combs Senior Vice President
Diane Gentry Client Services Officer
FINANCIAL PLANNING Edward BarnesExecutive Vice President & Chief Financial Officer
Mark. A. Hampton, CPASenior Vice President
Lisa A. WilliamsonAssistant Vice President
Mark KendallFinancial Planning Officer
ENTERPRISE RISKMANAGEMENT
C. Gregory StacyExecutive Vice President
Beth Lakes RobinsonVice President
Funds Management
James R. NallAssistant Vice President
Michael DanhauerFunds Management Officer
MARKETING Stephen C. Kelly Executive Vice President
Lesley K. CatronAssistant Vice President
Correspondent Banking
Doug Flynn Correspondent Banking Officer
OPERATIONS AND SUPPORT
Operations
Laura Schweitzer Executive Vice President
Karen G. Crawley Senior Vice President
Robin Michul Senior Vice President
Harvey SwordVice President
Internet Banking
Brenda P. Oaks Assistant Vice President
Card Services
Beverly Smalley Assistant Vice President
Loan Processing
Donna M. TurnerVice President
Loan Services
Timothy R. AustinVice President
Shawn PresnellVice President
Deposit Services
Lisa DurhamVice President
Bruce McHoneDeposit Services Officer
Bank Security
Shane EnsmingerVice President & Director of Security Angela D. CampbellAssistant Vice President
Alan StewartSecurity Officer
WEALTH MANAGEMENT
Trust
Barry HickeyExecutive Vice President
Business Development
Charles N. Rush, Jr.Vice President
Employee Benefits Vicky L. Foster Vice President
Sheila C. Parks Vice President
Operations
Gayle DockeryAssistant Vice President
Leigh Ann YoungAssistant Vice President
Personal Trust Kathryn Wilson GibsonSenior Vice President
Elizabeth JohnsVice President
Matthew Frank, CFP®
Assistant Vice President
Anna HovekampAssistant Vice President
Lauren LovelyTrust Officer
Investment Management
Timothy D. FyffeSenior Vice President
Thomas CorrVice President
R. Scott KingVice President
Chris TaylorTrust Officer
Private Banking
Gregory M. ShewmakerExecutive Vice President
Rita L. BuggVice President
Leslie FanninVice President
Alicia JordanVice President
Mark RuddellVice President
Christopher ThomasonVice President
Central Insurance Services
Ross BarnettePresident
Tom FrancisVice President
Rob WesselVice President
Justin WhippleVice President
Steven P. WrightVice President
Don YadenVice President
Chris HarrisonAssistant Vice President
Andrew AlexanderCommercial Insurance Officer
Joanna Gwinn-EstillInsurance Officer
Central Investment Center, Inc.
Jeff GinnanExecutive Vice President & Senior Financial Advisor
Jeff Fields, CRPS®
Vice President & Financial Advisor
Tony BrownFinancial Advisor
Deborah FisherFinancial Advisor
Thomas E. Roberts, CFP®
Financial Advisor
John SaunierFinancial Advisor
72019 SECOND QUARTER REPORT
OFFICERS
Jennifer WilsonFinancial Advisor
Central Bank, Georgetown
Kimberly E. MarshallMarket President
Jennifer J. RobertsVice President
Patricia Voigt Vice President
Jennifer PhillipsAssistant Vice President
Mortgage Lending Ashley WeirVice President
Central Bank,Louisville
Mark WheelerMarket President
Amy SullivanSenior Vice President & Senior Market Lender
John Hubbuch, Jr.Vice President
Joan StraferVice President
Mortgage Lending
Jeanie GammonVice President
Bridgette WingateMortgage Lending Officer
Retail Banking
Edman CundiffVice President
Elaine FawbushAssistant Vice President
Lisa K. KellyAssistant Vice President
Private Banking
Robert SliderSenior Vice President
Mary LittrellVice President
Jim MorrisVice President
M. Trish OsbornVice President
Wealth Management
Bill KaiserVice President
Ballard “Cash” CassadyPersonal Trust Officer
Central Bank, Madison County
Jeff FultzMarket President
Cameron AbneySenior Vice President &Senior Market Lender
Ken RileyVice President
Mortgage Lending Donna HaneyVice President
Central Bank, Nicholasville
Alan S. VanArsdallMarket President
Cathy LoweVice President
Jill SloneAssistant Vice President
Kathy MooreRetail Banking Officer
Brandy OsborneCommercial Lending Officer
Adam RodgersCommercial Lending Officer
Mortgage Lending
Monna Treadway Vice President
Central Bank, Northern Kentucky
James UebelMarket President
Brett BlackwellSenior Vice President &Senior Market Lender
Donald BenzingerSenior Vice President
Matthew E. EilersVice President
Karen J. HomanVice President
Amy RobertsVice President
JB SchmidtCommercial Lending Officer
Mortgage Lending
Dennis BarnesVice President
Dottie DawsonMortgage Lending Officer
Retail Banking
Steven GillespieVice President
Mark MintonVice President
Diana WebsterVice President
Private Banking
John FinleySenior Vice President
Karen HartigVice President
Larry LuebbersVice President
Wealth Management
Jeff AugsbackTrust Officer
Central Bank, Winchester
Glenn LeveridgeMarket President
Tim M. DuncanSenior Vice President
Tammy M. CarrollVice President
Lisa T. EarlywineVice President
Erica ParksAssistant Vice President
Deborah R. BanksRetail Banking Officer
Crystal HuntRetail Banking Officer
Mortgage Lending
Lee ColemanVice President
Paula BeebeMortgage Lending Officer
OFFICERS
8
92019 SECOND QUARTER REPORT
NOTES
Central Bank & Trust Co. is a wholly owned subsidiary of Central Bancshares, Inc.
centralbank.com(859) 253-6222
(800) 637-6884
Member FDIC