MILWAUKEE, April 29, 2011 /PRNewswire/ --
- Net loss of $142.0 million, or
$0.27 per share, for first quarter
2011.
- Continued stabilization in credit quality trends.
- Nonperforming loans decreased 19 percent from first quarter
2010 – down 35 percent from high in second quarter 2009.
- Early stage delinquencies fell 17 percent from same quarter
last year – down 70 percent since peak at March 31, 2009.
- Solid deposit trends.
- Transaction deposits increased $1.6
billion or 7 percent compared to first quarter 2010.
Marshall & Ilsley Corporation (NYSE: MI) (M&I) today
reported a 2011 first quarter net loss of $142.0 million, or $0.27 per share, as compared to a net loss of
$140.5 million, or $0.27 per share, in the first quarter of
2010.
"Our first quarter results reflect the continued
stabilization of M&I's credit profile," said Mark Furlong, president and CEO, Marshall &
Ilsley Corporation. "As we look to the future, we are excited about
the pending merger with BMO Financial Group. It will provide
additional resources to enhance our commitment to customers and
local communities. Over time, our customers can look forward to
increased convenience and expanded products and services. In
addition, as we approach the closing of our merger, I would like to
take this opportunity to thank our employees for their tireless
efforts over the years and particularly leading up to the merger
completion."
Net Interest Income
The Corporation's net interest income (FTE) was $352.1 million for the first quarter of 2011,
down $57.0 million or 14 percent
compared to the first quarter of 2010. However, the net interest
margin was 3.08 percent, down only 5 basis points from the same
quarter last year. The drop in net interest income (FTE) and the
net interest margin was caused by a contraction in earning assets,
higher cash balances, and a lower yielding investment securities
portfolio, partially offset by lower funding costs.
Asset Quality
M&I continued to proactively address credit quality in the
first quarter of 2011 by identifying and writing down troubled
assets, selling problem loans, reducing exposure to construction
and development loans, and maintaining loan loss reserves.
- Provision for loan and lease losses was $418.8 million in the first quarter of 2011, down
$39.3 million or 9 percent versus the
first quarter of 2010. Net charge-offs for the period were
$432.3 million, rising $8.9 million or 2 percent compared to the same
quarter last year. The reserve release was driven by the sale of a
specific small business portfolio which had reserves allocated
against it.
- Construction and development (C&D) exposure declined from
the fourth quarter of 2010 to 7.5 percent of total loans. Arizona
C&D exposure fell 81 percent since the fourth quarter of
2007.
- Allowance for loan and lease losses at quarter-end was
$1.4 billion, or 3.91 percent of
total loans and leases, an increase of 36 basis points from the
same quarter last year.
Asset quality trends demonstrated further stabilization through
lower early stage delinquencies and nonperforming loans.
- Early stage delinquencies fell 17 percent from the same quarter
last year.
- Nonperforming loans decreased $375.3
million, or 19 percent from the first quarter of 2010 – down
35 percent from the high point set in the second quarter of
2009.
- Nonperforming loans and leases were 4.49 percent (or 2.31
percent excluding nonperforming loans and leases less than ninety
days past due) of total loans and leases at March 31, 2011, compared to 4.58 percent at
March 31, 2010.
Non-Interest Income
The Corporation's non-interest income was $186.5 million for the first quarter of 2011
compared to $221.7 million for the
first quarter of 2010. Net investment securities gains, gain on
termination of debt, and sale of merchant processing portfolio were
$7.2 million for the current quarter
versus $58.7 million in the same
quarter last year. After adjusting for these items, M&I's
non-interest income increased $16.3
million or 10 percent versus the first quarter of 2010.
Wealth Management revenue was $74.3
million for the current quarter, exceeding the same quarter
last year by $6.2 million or 9
percent. Assets under management and assets under administration
were $34.1 billion and $136.2 billion, respectively, at March 31, 2011, compared to $32.7 billion and $124.6
billion, respectively, at March 31,
2010.
Non-Interest Expense
M&I's non-interest expense was $326.0
million for the first quarter of 2011 compared to
$366.0 million for the first quarter
of 2010. Net credit-related expenses (costs associated with
collection efforts and carrying nonperforming assets) were
$27.4 million for the current quarter
versus $40.6 million in the same
quarter last year. After adjusting for net credit-related expenses,
M&I's non-interest expense was $298.6
million in the first quarter of 2011 compared to
$325.4 million in the first quarter
of 2010, down $26.8 million or 8
percent. The Corporation's adjusted efficiency ratio was 56.0
percent in the current quarter after adjusting for net
credit-related expenses and other one-time items.
Loan and Deposit Growth
M&I's average loans and leases totaled $36.4 billion for the first quarter of 2011,
decreasing $7.1 billion or 16 percent
compared to the first quarter of 2010. When adjusted for the
targeted reduction in the Corporation's construction and
development portfolio, loans fell $4.7
billion or 12 percent versus the same quarter last year.
Loan balances continued to be negatively impacted by lower
utilization rates on commercial lines of credit and the real estate
markets.
The Corporation's average deposits totaled $37.9 billion for the first quarter of 2011,
falling $4.0 billion or 10 percent
versus the first quarter of 2010 due to the decline in wholesale
deposits. M&I's bank-issued deposits were largely unchanged
over the past year. The Corporation's transaction deposits totaled
$24.6 billion for the first quarter
of 2011, increasing $1.6 billion or 7
percent compared to the first quarter of 2010. M&I's wholesale
deposits totaled $6.7 billion for the
first quarter of 2011, down $4.4
billion or 40 percent compared to the same quarter last
year.
Balance Sheet and Capital Management
The Corporation's consolidated assets and total equity were
$49.6 billion and $6.2 billion, respectively, at March 31, 2011, compared to $56.6 billion and $6.9
billion, respectively, at March 31,
2010. There were 530.5 million common shares outstanding at
March 31, 2011, versus 527.1 million
outstanding at March 31, 2010. For
the three months ended March 31,
2011, M&I's net loss included $25.4 million, or $0.05 per share, for dividends on the
Corporation's Senior Preferred Stock, Series B, owned by the U.S.
Treasury under the Capital Purchase Program. For the three months
ended March 31, 2010, M&I's net
loss included $25.1 million, or
$0.05 per share, for dividends on the
Series B preferred stock.
M&I's tangible common equity ratio was 7.9 percent at
March 31, 2011, compared to 8.1
percent at March 31, 2010. The
Corporation's tier one risk-based capital ratio was estimated to be
10.97 percent at March 31, 2011,
versus 11.09 percent at March 31,
2010. M&I's total risk-based capital ratio was projected
to be 14.15 percent at March 31,
2011, compared to 14.47 percent at March 31, 2010.
About Marshall & Ilsley Corporation
Marshall & Ilsley Corporation (NYSE: MI) is a diversified
financial services corporation headquartered in Milwaukee, Wis., with $49.6 billion in assets. Founded in 1847, M&I
Marshall & Ilsley Bank is the largest Wisconsin-based bank, with 188 offices
throughout the state. In addition, M&I has 53 locations
throughout Arizona; 36 offices
along Florida's west coast and in
central Florida; 33 offices in
Indianapolis and nearby
communities; 26 offices in metropolitan Minneapolis/St. Paul, and one in Duluth, Minn.; 17 offices in the greater
St. Louis area; 15 offices in
Kansas City and nearby
communities; and one office in Las Vegas,
Nev. M&I also provides trust and investment management,
equipment leasing, mortgage banking, asset-based lending, financial
planning, investments, and insurance services from offices
throughout the country and on the Internet (www.mibank.com or
www.micorp.com).
On December 17, 2010, M&I
entered into a definitive agreement under which BMO
Financial Group will acquire all outstanding shares of
common stock of M&I in a stock-for-stock transaction. Under the
terms of the agreement, each outstanding share of M&I will be
exchanged for 0.1257 shares of Bank of Montreal upon closing. The transaction is
expected to close prior to July 31,
2011. The transaction is subject to customary closing
conditions, including regulatory approvals and approval from
shareholders of M&I.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements
include, without limitation, statements regarding expected
financial and operating activities and results that are preceded
by, followed by, or that include words such as "may," "expects,"
"anticipates," "estimates" or "believes." Such statements are
subject to important factors that could cause M&I's actual
results to differ materially from those anticipated by the
forward-looking statements. These factors include (i) risks
associated with M&I's pending merger with BMO Financial Group,
including, without limitation, failure to receive regulatory or
shareholder approval of the merger or to complete the merger in a
timely manner or at all, deposit or customer attrition, disruption
of M&I's business, and unanticipated costs relating to the
merger, (ii) federal and state agency regulation and enforcement
actions, which could limit M&I's activities, increase its cost
structures or have other negative effects on M&I, (iii) general
business and economic conditions, including credit risk and
interest rate risk, (iv) M&I's exposure to increased credit
risks associated with its real estate loans, (v) various factors,
including changes in economic conditions affecting borrowers, new
information regarding existing loans and identification of
additional problem loans, which could require an increase in
M&I's allowance for loan and lease losses, (vi) M&I's
ability to maintain required levels of capital, (vii) the impact of
recent and future legislative initiatives on the financial markets
or on M&I, (viii) M&I's exposure to the actions and
potential failure of other financial institutions, (ix) volatility
in M&I's stock price and in the capital and credit markets in
general, and (x) those factors referenced in Item 1A. Risk Factors
in M&I's Annual Report on Form 10-K for the year ended
December 31, 2009 and as may be
described from time to time in M&I's subsequent SEC filings,
which factors are incorporated herein by reference. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which reflect only M&I's belief as of the date of
this press release. Except as required by federal securities
law, M&I undertakes no obligation to update these
forward-looking statements or reflect events or circumstances after
the date of this press release.
Additional Information for Shareholders
In connection with M&I's pending merger with Bank of
Montreal (BMO), BMO has filed with
the SEC a Registration Statement on Form F-4, which includes a
Proxy Statement of M&I and a Prospectus of BMO, as well as
other relevant documents concerning the proposed transaction.
M&I has filed with the SEC and has furnished to its
shareholders the definitive Proxy Statement/Prospectus, commencing
on or about April 14, 2011.
Shareholders are urged to read the Registration Statement and
the Proxy Statement/Prospectus regarding the merger and any other
relevant documents filed with the SEC, as well as any amendments or
supplements to those documents as they become available, because
they will contain important information.
A free copy of the Proxy Statement/Prospectus, as well as other
filings containing information about BMO and M&I, may be
obtained at the SEC's Internet site (http://www.sec.gov). You
may also obtain these documents, free of charge, from BMO at
www.BMO.com under the tab "About BMO - Investor Relations," from
M&I by accessing M&I's website at www.MICorp.com under the
tab "Investor Relations" and then under the heading "SEC Filings",
or from M&I at (414) 765-7814.
BMO and M&I and certain of their directors and executive
officers may be deemed to be participants in the solicitation of
proxies from the shareholders of M&I in connection with the
merger. Information about the directors and executive
officers of BMO is set forth in the proxy statement for BMO's 2011
annual meeting of shareholders, as filed with the SEC on Form 6-K
on February 25, 2011.
Information about the directors and executive officers of
M&I is set forth in the proxy statement for M&I's 2010
annual meeting of shareholders, as filed with the SEC on a Schedule
14A on March 12, 2010.
Additional information regarding the interests of those
participants and other persons who may be deemed participants in
the transaction may be obtained by reading the Proxy
Statement/Prospectus regarding the merger. Free copies of
this document may be obtained as described in the preceding
paragraph.
Marshall & Ilsley
Corporation
|
|
Financial Information
|
|
(unaudited)
|
|
|
|
|
Three Months
Ended March 31,
|
|
Percent
|
|
|
|
|
|
2011
|
|
2010
|
|
Change
|
|
|
|
PER COMMON
SHARE DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted:
|
|
|
|
|
|
|
|
|
|
Net Loss
|
|
($0.27)
|
|
($0.27)
|
|
n.m.
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
|
Net Loss
|
|
(0.27)
|
|
(0.27)
|
|
n.m.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividend Declared per Common
Share
|
|
0.01
|
|
0.01
|
|
0.0
|
|
|
|
Book Value per Common
Share
|
|
8.65
|
|
9.95
|
|
-13.1
|
|
|
|
Common Shares Outstanding
(millions):
|
|
|
|
|
|
|
|
|
|
Average - Diluted
|
|
526.0
|
|
524.1
|
|
0.4
|
|
|
|
End of
Period
|
|
530.5
|
|
527.1
|
|
0.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME
STATEMENT ($millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Income (FTE)
|
|
$352.1
|
|
$409.1
|
|
-13.9
|
%
|
|
|
Provision for Loan and Lease
Losses
|
|
418.8
|
|
458.1
|
|
-8.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Wealth
Management
|
|
74.3
|
|
68.1
|
|
9.1
|
|
|
|
Service Charges on
Deposits
|
|
32.9
|
|
32.1
|
|
2.6
|
|
|
|
Mortgage Banking
|
|
7.6
|
|
6.4
|
|
20.1
|
|
|
|
Net Investment
Securities Gains
|
|
7.2
|
|
0.1
|
|
n.m.
|
|
|
|
Other
|
|
64.5
|
|
115.0
|
|
-44.0
|
|
|
|
Total Non-Interest
Revenues
|
|
186.5
|
|
221.7
|
|
-15.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and
Employee Benefits
|
|
155.5
|
|
161.6
|
|
-3.8
|
|
|
|
Net Occupancy and
Equipment
|
|
34.1
|
|
34.1
|
|
0.0
|
|
|
|
FDIC
Insurance
|
|
22.5
|
|
27.3
|
|
-17.4
|
|
|
|
Intangible
Amortization
|
|
4.4
|
|
5.1
|
|
-14.6
|
|
|
|
Other
|
|
109.5
|
|
137.9
|
|
-20.6
|
|
|
|
Total Non-Interest
Expenses
|
|
326.0
|
|
366.0
|
|
-10.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax Equivalent Adjustment
|
|
5.4
|
|
5.7
|
|
-4.8
|
|
|
|
Pre-Tax Loss
|
|
(211.6)
|
|
(199.0)
|
|
n.m.
|
|
|
|
Benefit for Income
Taxes
|
|
(95.0)
|
|
(83.6)
|
|
n.m.
|
|
|
|
Net Loss Attributable to
M&I
|
|
($116.6)
|
|
($115.4)
|
|
n.m.
|
|
|
|
Preferred Dividends
|
|
(25.4)
|
|
(25.1)
|
|
|
|
|
|
Net Loss Attributable to M&I
Common Shareholders
|
|
($142.0)
|
|
($140.5)
|
|
n.m.
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
KEY
RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Margin (FTE) / Avg.
Earning Assets
|
|
3.08
|
%
|
3.13
|
%
|
|
|
|
|
Interest Spread (FTE)
|
|
2.72
|
|
2.78
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency Ratio
|
|
61.4
|
%
|
58.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity / Assets (End of Period)
|
|
12.56
|
%
|
12.15
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Marshall & Ilsley
Corporation
|
|
Financial Information
|
|
(unaudited)
|
|
|
|
|
As of March
31,
|
|
Percent
|
|
|
|
|
|
2011
|
|
2010
|
|
Change
|
|
|
|
ASSETS
($millions)
|
|
|
|
|
|
|
|
|
|
Cash & Due From Banks
|
|
$518
|
|
$589
|
|
-12.0
|
%
|
|
|
Trading Assets
|
|
223
|
|
255
|
|
-12.4
|
|
|
|
Short - Term
Investments
|
|
3,330
|
|
2,021
|
|
64.7
|
|
|
|
Investment Securities
|
|
6,721
|
|
7,625
|
|
-11.8
|
|
|
|
Loans and Leases:
|
|
|
|
|
|
|
|
|
|
Commercial Loans
& Leases
|
|
11,284
|
|
12,315
|
|
-8.4
|
|
|
|
Commercial Real
Estate
|
|
11,933
|
|
13,532
|
|
-11.8
|
|
|
|
Residential Real
Estate
|
|
4,035
|
|
4,824
|
|
-16.4
|
|
|
|
Construction and
Development
|
|
2,639
|
|
5,106
|
|
-48.3
|
|
|
|
Home Equity Loans
& Lines
|
|
4,051
|
|
4,590
|
|
-11.7
|
|
|
|
Personal Loans and
Leases
|
|
1,238
|
|
2,282
|
|
-45.8
|
|
|
|
Total Loans and Leases
|
|
35,180
|
|
42,649
|
|
-17.5
|
|
|
|
Reserve for Loan & Lease
Losses
|
|
(1,374)
|
|
(1,515)
|
|
-9.3
|
|
|
|
Premises and Equipment, net
|
|
520
|
|
558
|
|
-6.8
|
|
|
|
Goodwill and Other Intangibles
|
|
720
|
|
739
|
|
-2.5
|
|
|
|
Other Assets
|
|
3,803
|
|
3,648
|
|
4.2
|
|
|
|
Total Assets
|
|
$49,641
|
|
$56,569
|
|
-12.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
& EQUITY ($millions)
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
Noninterest
Bearing
|
|
$8,306
|
|
$7,788
|
|
6.7
|
%
|
|
|
Interest
Bearing:
|
|
|
|
|
|
|
|
|
|
Savings and
NOW
|
|
3,777
|
|
7,373
|
|
-48.8
|
|
|
|
Money
Market
|
|
16,234
|
|
12,758
|
|
27.2
|
|
|
|
Time
|
|
8,945
|
|
13,830
|
|
-35.3
|
|
|
|
Foreign
|
|
142
|
|
233
|
|
-39.2
|
|
|
|
Total Interest
Bearing
|
|
29,098
|
|
34,194
|
|
-14.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Deposits
|
|
37,404
|
|
41,982
|
|
-10.9
|
|
|
|
Short - Term Borrowings
|
|
200
|
|
894
|
|
-77.7
|
|
|
|
Long - Term Borrowings
|
|
4,967
|
|
5,865
|
|
-15.3
|
|
|
|
Other Liabilities
|
|
836
|
|
958
|
|
-12.6
|
|
|
|
Total Liabilities
|
|
43,407
|
|
49,699
|
|
-12.7
|
|
|
|
Equity:
|
|
|
|
|
|
|
|
|
|
Marshall &
Ilsley Corporation Shareholders' Equity
|
|
6,223
|
|
6,859
|
|
-9.3
|
|
|
|
Noncontrolling
Interest in Subsidiaries
|
|
11
|
|
11
|
|
-2.2
|
|
|
|
Total Equity
|
|
6,234
|
|
6,870
|
|
-9.3
|
|
|
|
Total Liabilities & Equity
|
|
$49,641
|
|
$56,569
|
|
-12.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended March 31,
|
|
Percent
|
|
|
|
|
|
2011
|
|
2010
|
|
Change
|
|
|
|
AVERAGE
ASSETS ($millions)
|
|
|
|
|
|
|
|
|
|
Cash & Due From Banks
|
|
$563
|
|
$687
|
|
-18.0
|
%
|
|
|
Trading Assets
|
|
242
|
|
253
|
|
-4.5
|
|
|
|
Short - Term Investments
|
|
2,805
|
|
1,721
|
|
63.0
|
|
|
|
Investment Securities
|
|
6,796
|
|
7,454
|
|
-8.8
|
|
|
|
Loans and Leases:
|
|
|
|
|
|
|
|
|
|
Commercial Loans
and Leases
|
|
11,583
|
|
12,687
|
|
-8.7
|
|
|
|
Commercial Real
Estate
|
|
12,330
|
|
13,587
|
|
-9.3
|
|
|
|
Residential Real
Estate
|
|
4,192
|
|
4,868
|
|
-13.9
|
|
|
|
Construction and
Development
|
|
2,970
|
|
5,429
|
|
-45.3
|
|
|
|
Home Equity Loans
and Lines
|
|
4,129
|
|
4,645
|
|
-11.1
|
|
|
|
Personal Loans and
Leases
|
|
1,206
|
|
2,318
|
|
-48.0
|
|
|
|
Total Loans and Leases
|
|
36,410
|
|
43,534
|
|
-16.4
|
|
|
|
Reserve for Loan & Lease
Losses
|
|
(1,390)
|
|
(1,535)
|
|
-9.5
|
|
|
|
Premises and Equipment, net
|
|
525
|
|
563
|
|
-6.7
|
|
|
|
Goodwill and Other Intangibles
|
|
722
|
|
741
|
|
-2.6
|
|
|
|
Other Assets
|
|
3,834
|
|
3,676
|
|
4.2
|
|
|
|
Total Assets
|
|
$50,507
|
|
$57,094
|
|
-11.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo:
|
|
|
|
|
|
|
|
|
|
Average Earning Assets
|
|
$46,253
|
|
$52,962
|
|
|
|
|
|
Average Earning Assets Excluding
Investment Securities
|
|
|
|
|
|
|
|
|
|
Unrealized Gains/Losses
|
|
$46,347
|
|
$52,957
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AVG
LIABILITIES & EQUITY ($millions)
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
Noninterest
Bearing
|
|
$8,255
|
|
$7,819
|
|
5.6
|
%
|
|
|
Interest
Bearing:
|
|
|
|
|
|
|
|
|
|
Savings and
NOW
|
|
4,106
|
|
7,227
|
|
-43.2
|
|
|
|
Money
Market
|
|
16,269
|
|
11,936
|
|
36.3
|
|
|
|
Time
|
|
9,083
|
|
14,680
|
|
-38.1
|
|
|
|
Foreign
|
|
154
|
|
248
|
|
-37.9
|
|
|
|
Total Interest
Bearing
|
|
29,612
|
|
34,091
|
|
-13.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Deposits
|
|
37,867
|
|
41,910
|
|
-9.6
|
|
|
|
Short - Term Borrowings
|
|
275
|
|
1,015
|
|
-72.8
|
|
|
|
Long - Term Borrowings
|
|
5,014
|
|
6,232
|
|
-19.5
|
|
|
|
Other Liabilities
|
|
966
|
|
928
|
|
4.2
|
|
|
|
Total Liabilities
|
|
44,122
|
|
50,085
|
|
-11.9
|
|
|
|
Equity:
|
|
|
|
|
|
|
|
|
|
Marshall &
Ilsley Corporation Shareholders' Equity
|
|
6,374
|
|
6,998
|
|
-8.9
|
|
|
|
Noncontrolling
Interest in Subsidiaries
|
|
11
|
|
11
|
|
-2.0
|
|
|
|
Total Equity
|
|
6,385
|
|
7,009
|
|
-8.9
|
|
|
|
Total Liabilities
& Equity
|
|
$50,507
|
|
$57,094
|
|
-11.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo:
|
|
|
|
|
|
|
|
|
|
Average Interest Bearing
Liabilities
|
|
$34,901
|
|
$41,338
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marshall & Ilsley
Corporation
|
|
Financial Information
|
|
(unaudited)
|
|
|
|
|
Three Months
Ended March 31,
|
|
Percent
|
|
|
|
|
|
2011
|
|
2010
|
|
Change
|
|
|
|
CREDIT
QUALITY (a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Charge-Offs ($millions)
|
|
$432.3
|
|
$423.4
|
|
2.1
|
%
|
|
|
Net Charge-Offs / Average
Loans and Leases
|
|
4.82
|
%
|
3.94
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan and Lease Loss Reserve
($millions)
|
|
$1,374.1
|
|
$1,515.2
|
|
-9.3
|
%
|
|
|
Loan and Lease Loss
Reserve / Period-End Loans and Leases
|
|
3.91
|
%
|
3.55
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming Loans & Leases
($millions)
|
|
$1,578.5
|
|
$1,953.8
|
|
-19.2
|
%
|
|
|
Nonperforming Loans &
Leases / Period-End Loans and Leases
|
|
4.49
|
%
|
4.58
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan and Lease Loss Reserve /
Nonperforming Loans and Leases*
|
|
93
|
%
|
80
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming Assets (NPA)
($millions)
|
|
$1,919.4
|
|
$2,408.1
|
|
-20.3
|
%
|
|
|
NPA / Period-End Loans
& Leases and Other Real Estate Owned
|
|
5.40
|
%
|
5.59
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing Renegotiated
($millions)
|
|
$514.9
|
|
$731.8
|
|
-29.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans past due 90 days or more
($millions)
|
|
$6.5
|
|
$9.3
|
|
-29.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
*
|
Excludes nonperforming loans
held for sale.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MARGIN
ANALYSIS (b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and Leases:
|
|
|
|
|
|
|
|
|
|
Commercial Loans
and Leases
|
|
4.58
|
%
|
4.53
|
%
|
|
|
|
|
Commercial Real
Estate
|
|
4.83
|
|
5.02
|
|
|
|
|
|
Residential Real
Estate
|
|
4.83
|
|
5.15
|
|
|
|
|
|
Construction and
Development
|
|
4.13
|
|
3.74
|
|
|
|
|
|
Home Equity Loans
and Lines
|
|
4.95
|
|
4.98
|
|
|
|
|
|
Personal Loans and
Leases
|
|
5.67
|
|
5.50
|
|
|
|
|
|
Total Loans and Leases
|
|
4.73
|
|
4.75
|
|
|
|
|
|
Investment Securities
|
|
2.87
|
|
3.47
|
|
|
|
|
|
Short - Term Investments
|
|
0.25
|
|
0.26
|
|
|
|
|
|
Interest Income (FTE) / Avg.
Interest Earning Assets
|
|
4.16
|
%
|
4.41
|
%
|
|
|
|
|
Interest Bearing Deposits:
|
|
|
|
|
|
|
|
|
|
Savings and
NOW
|
|
0.14
|
%
|
0.47
|
%
|
|
|
|
|
Money
Market
|
|
0.57
|
|
0.80
|
|
|
|
|
|
Time
|
|
2.32
|
|
2.22
|
|
|
|
|
|
Foreign
|
|
0.51
|
|
0.41
|
|
|
|
|
|
Total Interest Bearing Deposits
|
|
1.05
|
|
1.34
|
|
|
|
|
|
Short - Term Borrowings
|
|
0.21
|
|
0.27
|
|
|
|
|
|
Long - Term Borrowings
|
|
3.78
|
|
3.44
|
|
|
|
|
|
Interest Expense / Avg. Interest
Bearing Liabilities
|
|
1.44
|
%
|
1.63
|
%
|
|
|
|
|
Net Interest Margin (FTE) / Avg.
Earning Assets
|
|
3.08
|
%
|
3.13
|
%
|
|
|
|
|
Interest Spread (FTE)
|
|
2.72
|
%
|
2.78
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
|
|
(a) Nonperforming assets
are comprised of nonaccrual loans & leases and other real
estate owned.
|
|
|
(b) Based on average
balances excluding fair value adjustments for available for sale
securities.
|
|
|
|
|
|
|
|
|
|
|
SOURCE Marshall & Ilsley Corporation