SECOND QUARTER HIGHLIGHTS
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Revenue of $319.5 million, up 3.0 percent from the second quarter of
2014
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Loan and lease originations of $3.9 billion, up 14.5 percent from the
second quarter of 2014
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Average deposits of $15.9 billion, up 7.3 percent from the second
quarter of 2014
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Non-accrual loans and leases of $205.7 million, down 21.0 percent from
the second quarter of 2014
-
Earnings per share of 29 cents, flat to the second quarter of 2014, up
38.1 percent from the first quarter of 2015
WAYZATA, Minn. -- (Business Wire)
TCF Financial Corporation (NYSE:TCB):
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Summary of Financial Results |
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| Table 1 |
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| Percent Change |
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(Dollars in thousands, except per-share data)
| | | 2Q | | | 1Q | | | 2Q | | | 2Q15 vs |
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| 2Q15 vs | | | YTD | | | YTD | | | Percent |
| | | 2015 |
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| 2015 |
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| 2014 |
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| 1Q15 |
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| 2Q14 |
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| 2015 |
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| 2014 |
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| Change |
Net income attributable to TCF
| | |
$
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52,255
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$
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39,801
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$
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53,125
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31.3
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%
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(1.6
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)%
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$
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92,056
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$
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97,882
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(6.0
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)%
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Net interest income
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206,029
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203,420
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206,101
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1.3
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—
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409,449
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407,375
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0.5
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Diluted earnings per common share
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0.29
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0.21
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0.29
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38.1
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—
| | | | |
0.50
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0.54
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(7.4
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Financial Ratios(1) | | | | | | | | | | | | | | | | | | | | | | | | |
Pre-tax pre-provision return on average assets(2) | | | |
1.94
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%
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1.58
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%
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2.05
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%
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1.76
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%
| | | |
1.96
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%
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Return on average assets
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1.10
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0.85
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1.17
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0.98
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1.09
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Return on average common equity
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9.93
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7.47
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10.99
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8.71
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10.18
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Return on average tangible common equity(3) | | | |
11.34
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8.58
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12.72
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9.98
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11.82
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Net interest margin
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4.44
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4.50
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4.65
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4.47
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4.66
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Net charge-offs as a percentage of average loans and leases
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0.41
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0.28
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0.45
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0.34
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0.44
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(1) Annualized.
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(2) Pre-tax pre-provision profit is calculated as total revenues
less non-interest expense.
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(3) See "Reconciliation of GAAP to Non-GAAP Financial Measures"
table.
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TCF Financial Corporation ("TCF" or the "Company") (NYSE: TCB) today
reported net income of $52.3 million for the second quarter of 2015,
compared with net income of $53.1 million for the second quarter of
2014, and net income of $39.8 million for the first quarter of 2015.
Diluted earnings per common share was 29 cents for the second quarter of
2015, compared with 29 cents for the second quarter of 2014, and
21 cents for the first quarter of 2015.
TCF reported net income of $92.1 million for the first six months of
2015, compared with net income of $97.9 million for the same period in
2014. Diluted earnings per common share was 50 cents for the first six
months of 2015, compared with 54 cents for the same period in 2014.
Chairman's Statement
"TCF's second quarter was highlighted by increased fee revenue, reduced
expenses and continued strong loan and lease originations,” said William
A. Cooper, chairman and chief executive officer. "Banking fees
experienced a seasonal rebound while our second auto loan securitization
helped gains on sales of loans return to a more normalized level.
Expenses declined from the prior quarter as we focus on improving
operating leverage moving forward.
"Meanwhile, our continued strong originations, along with loan sale and
securitization capabilities, are driving growth and diversification of
both the balance sheet and revenue base. With credit issues largely
behind us, an asset sensitive balance sheet and opportunities on the
horizon, there is much to look forward to at TCF."
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Revenue | | | | | | | | | | | | | | | | | | | | | | | | |
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Total Revenue |
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| Table 2 |
| | | | | | | | | | | | Percent Change | | | | | | | | | |
(Dollars in thousands)
| | | 2Q | | | 1Q | | | 2Q | | | 2Q15 vs | | | 2Q15 vs | | | YTD | | | YTD | | | Percent |
| | | 2015 |
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| 2015 |
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| 2014 |
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| 1Q15 |
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| 2Q14 |
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| 2015 |
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| 2014 |
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| Change |
Net interest income
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$
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206,029
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$
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203,420
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$
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206,101
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1.3
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%
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—
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%
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$
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409,449
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$
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407,375
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0.5
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%
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Fees and other revenue:
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Fees and service charges
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36,295
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33,972
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38,035
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6.8
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(4.6
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)
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70,267
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74,654
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(5.9
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Card revenue
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13,902
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12,901
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13,249
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7.8
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4.9
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26,803
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25,499
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5.1
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ATM revenue
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5,540
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5,122
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5,794
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8.2
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(4.4
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10,662
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11,113
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(4.1
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Total banking fees
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55,737
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51,995
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57,078
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7.2
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(2.3
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107,732
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111,266
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(3.2
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Gains on sales of auto loans, net
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10,756
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6,265
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7,270
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71.7
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48.0
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17,021
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15,740
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8.1
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Gains on sales of consumer real estate loans, net
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11,954
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8,763
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8,151
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36.4
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46.7
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20,717
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19,857
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4.3
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Servicing fee income
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7,216
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7,342
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4,892
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(1.7
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47.5
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14,558
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9,199
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58.3
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Subtotal
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29,926
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22,370
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20,313
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33.8
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47.3
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52,296
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44,796
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16.7
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Leasing and equipment finance
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26,385
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22,224
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23,069
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18.7
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14.4
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48,609
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45,049
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7.9
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Other
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1,460
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4,127
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2,789
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(64.6
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(47.7
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5,587
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5,171
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8.0
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Total fees and other revenue
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113,508
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100,716
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103,249
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12.7
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9.9
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214,224
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206,282
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3.9
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Gains (losses) on securities, net
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(59
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(78
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767
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24.4
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N.M.
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(137
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1,141
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N.M.
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Total non-interest income
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113,449
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100,638
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104,016
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12.7
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9.1
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214,087
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207,423
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3.2
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Total revenue
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$
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319,478
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$
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304,058
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$
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310,117
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5.1
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3.0
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$
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623,536
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$
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614,798
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1.4
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Net interest margin(1) | | | |
4.44
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%
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4.50
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%
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4.65
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%
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4.47
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%
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4.66
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%
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Total non-interest income as a percentage of total revenue
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35.5
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33.1
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33.5
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34.3
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33.7
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N.M. Not Meaningful.
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(1) Annualized.
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Net Interest Income
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Net interest income for the second quarter of 2015 remained consistent
compared with the second quarter of 2014 and increased $2.6 million,
or 1.3 percent, compared with the first quarter of 2015. The increase
from the first quarter of 2015 was primarily due to higher average
loan and lease balances in the auto finance and inventory finance
portfolios, partially offset by lower first mortgage consumer real
estate loan balances due to run-off.
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Net interest margin in the second quarter of 2015 was 4.44 percent,
compared with 4.65 percent in the second quarter of 2014 and 4.50
percent in the first quarter of 2015. The decreases from both periods
were primarily due to margin compression resulting from the
competitive low interest rate environment. The decrease from the
second quarter of 2014 was further driven by a higher total deposit
rate.
Non-interest Income
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Fees and service charges in the second quarter of 2015 were $36.3
million, down $1.7 million, or 4.6 percent, from the second quarter of
2014 and up $2.3 million, or 6.8 percent, from the first quarter of
2015. The decrease from the second quarter of 2014 was primarily due
to consumer behavior changes, as well as higher average checking
account balances per customer. The increase from the first quarter of
2015 was primarily due to seasonality resulting in an increase in
transaction activity and lower average checking account balances per
customer.
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TCF sold $436.4 million, $220.2 million and $203.5 million of auto
loans during the second quarters of 2015 and 2014, and the first
quarter of 2015, respectively, resulting in net gains in each
respective period. The auto loans sold for the second quarter of 2015
related to the execution of the Company's second auto loan
securitization.
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TCF sold $364.9 million, $224.2 million and $264.3 million of consumer
real estate loans during the second quarters of 2015 and 2014, and the
first quarter of 2015, respectively, resulting in net gains in each
respective period. The majority of the consumer real estate loans sold
are junior lien loans. Included in consumer real estate loans sold was
$74.5 million and $61.8 million of first mortgage loans related to the
correspondent lending program for the second quarter of 2015 and the
first quarter of 2015, respectively, resulting in net gains in each
respective period.
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Servicing fee income was $7.2 million on $3.7 billion of average loans
and leases serviced for others during the second quarter of 2015
compared with $4.9 million on $2.5 billion for the second quarter of
2014 and $7.3 million on $3.5 billion for the first quarter of 2015.
The increase from the second quarter of 2014 was primarily due to the
cumulative effect of an increase in the portfolio of auto and consumer
real estate loans sold with servicing retained by TCF.
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Loans and Leases |
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Period-End and Average Loans and Leases |
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| Table 3 |
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| Percent Change |
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(Dollars in thousands)
| | | 2Q | | | 1Q | | | 2Q | | | 2Q15 vs | |
| 2Q15 vs | | | YTD | | | YTD | | | Percent |
| | | 2015 |
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| 2015 |
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| 2014 |
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| 1Q15 |
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| 2Q14 |
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| 2015 |
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| 2014 |
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| Change |
Period-End: | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer real estate:
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First mortgage lien
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$
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2,865,911
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$
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3,011,166
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$
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3,542,324
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(4.8
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)%
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(19.1
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)%
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Junior lien
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2,678,118
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2,597,895
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2,480,763
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3.1
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8.0
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Total consumer real estate
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5,544,029
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5,609,061
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6,023,087
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(1.2
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)
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(8.0
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)
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Commercial
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3,112,344
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3,205,599
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3,093,161
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(2.9
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)
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0.6
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Leasing and equipment finance
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3,791,215
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3,729,386
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3,526,264
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1.7
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7.5
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Inventory finance
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2,106,087
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2,336,518
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1,880,667
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(9.9
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)
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12.0
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Auto finance
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2,301,714
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2,156,139
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1,502,860
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6.8
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53.2
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Other
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21,852
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20,448
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24,486
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6.9
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(10.8
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)
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Total
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$
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16,877,241
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$
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17,057,151
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|
$
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16,050,525
| | |
(1.1
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)
| | |
5.2
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Average: | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | | | | | | | | | |
First mortgage lien
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$
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2,936,793
| | |
$
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3,076,802
| | |
$
|
3,606,635
| | |
(4.6
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)%
| | |
(18.6
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)%
| | |
$
|
3,006,411
| | |
$
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3,662,985
| | |
(17.9
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)%
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Junior lien
| | |
|
2,650,894
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|
|
|
2,614,538
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|
|
|
2,498,151
| | |
1.4
| | | |
6.1
| | | |
|
2,632,816
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|
|
|
2,552,698
| | |
3.1
| |
Total consumer real estate
| | | |
5,587,687
| | | |
5,691,340
| | | |
6,104,786
| | |
(1.8
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)
| | |
(8.5
|
)
| | | |
5,639,227
| | | |
6,215,683
| | |
(9.3
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)
|
Commercial
| | | |
3,148,272
| | | |
3,154,008
| | | |
3,131,320
| | |
(0.2
|
)
| | |
0.5
| | | | |
3,151,124
| | | |
3,126,718
| | |
0.8
| |
Leasing and equipment finance
| | | |
3,751,776
| | | |
3,729,481
| | | |
3,500,647
| | |
0.6
| | | |
7.2
| | | | |
3,740,691
| | | |
3,467,851
| | |
7.9
| |
Inventory finance
| | | |
2,292,481
| | | |
2,108,871
| | | |
2,061,437
| | |
8.7
| | | |
11.2
| | | | |
2,201,183
| | | |
1,968,431
| | |
11.8
| |
Auto finance
| | | |
2,211,014
| | | |
2,021,144
| | | |
1,518,194
| | |
9.4
| | | |
45.6
| | | | |
2,116,604
| | | |
1,423,240
| | |
48.7
| |
Other
| | |
|
10,734
|
|
|
|
11,616
|
|
|
|
12,040
| | |
(7.6
|
)
| | |
(10.8
|
)
| | |
|
11,173
|
|
|
|
12,654
| | |
(11.7
|
)
|
Total
| | |
$
|
17,001,964
|
|
|
$
|
16,716,460
|
|
|
$
|
16,328,424
| | |
1.7
| | | |
4.1
| | | |
$
|
16,860,002
|
|
|
$
|
16,214,577
| | |
4.0
| |
|
|
|
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| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
-
Period-end loans and leases were $16.9 billion at June 30, 2015, an
increase of $0.8 billion, or 5.2 percent, compared with June 30, 2014
and a decrease of $0.2 billion, or 1.1 percent, compared with
March 31, 2015. Average loans and leases were $17.0 billion for the
second quarter of 2015, an increase of $0.7 billion, or 4.1 percent,
compared with the second quarter of 2014 and an increase of $0.3
billion, or 1.7 percent, compared with the first quarter of 2015.
The
increases from the second quarter of 2014 for period-end loans and
leases and average loans and leases were primarily due to the
continued growth of the auto finance portfolio as TCF expands the
number of active dealers in its network, as well as increases in the
leasing and equipment finance and inventory finance portfolios. These
increases were partially offset by a decrease in the consumer real
estate portfolio as a result of the troubled debt restructuring
("TDR") loan sale that occurred in the fourth quarter of 2014, run-off
in the first mortgage consumer real estate portfolio and increased
loan sales in the auto finance and consumer real estate portfolios.
The
decrease from the first quarter of 2015 for period-end loans and
leases was primarily due to seasonality in the inventory finance
portfolio and a decrease in the commercial portfolio, partially offset
by the growth in the auto finance portfolio. The increase from the
first quarter of 2015 for average loans and leases was due to the
growth in the auto finance portfolio and further driven by peak
seasonality balances in the inventory finance portfolio during the
first two months of the second quarter of 2015, partially offset by a
decrease in the first mortgage consumer real estate portfolio due to
run-off.
-
Loan and lease originations were $3.9 billion for the second quarter
of 2015, an increase of $0.5 billion, or 14.5 percent, compared with
the second quarter of 2014 and an increase of $0.4 billion, or 10.7
percent, compared with the first quarter of 2015. The increase in
originations from the second quarter of 2014 was primarily due to an
increase in consumer real estate junior lien originations and growth
in the lawn and garden segment of inventory finance. The increase from
the first quarter of 2015 was primarily due to an increase in consumer
real estate junior lien and leasing and equipment finance originations.
|
Credit Quality |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit Trends |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Table 4 |
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| Percent Change |
(Dollars in thousands)
| | | 2Q | | | 1Q | | | 4Q | | | 3Q | | | 2Q | | | 2Q15 vs |
|
| 2Q15 vs |
| | | 2015 |
|
| 2015 |
|
| 2014 |
|
| 2014 |
|
| 2014 |
|
| 1Q15 |
|
| 2Q14 |
Over 60-day delinquencies as a percentage of portfolio(1) | | | |
0.10
|
%
| | | |
0.14
|
%
| | | |
0.14
|
%
| | | |
0.17
|
%
| | | |
0.18
|
%
| | |
(4
|
) bps
| | |
(8
|
) bps
|
Net charge-offs as a percentage of portfolio(2) | | | |
0.41
| | | | |
0.28
| | | | |
0.40
| | | | |
0.66
| | | | |
0.45
| | | |
13
| | | |
(4
|
)
|
Non-accrual loans and leases and other real estate owned
| | |
$
|
263,717
| | | |
$
|
284,541
| | | |
$
|
282,384
| | | |
$
|
342,725
| | | |
$
|
325,374
| | | |
(7.3
|
)%
| | |
(18.9
|
)%
|
Provision for credit losses
| | | |
12,528
| | | | |
12,791
| | | | |
55,597
| | | | |
15,739
| | | | |
9,909
| | | |
(2.1
|
)
| | |
26.4
| |
|
(1) Excludes acquired portfolios and non-accrual loans and leases.
|
(2) Annualized.
|
|
-
The over 60-day delinquency rate, excluding acquired portfolios and
non-accrual loans and leases, was 0.10 percent at June 30, 2015, down
from 0.18 percent at June 30, 2014, and down from 0.14 percent at
March 31, 2015. The decreases from both periods were primarily a
result of the stabilization of the consumer real estate portfolio as
economic conditions improved in our markets.
-
The net charge-off rate was 0.41 percent for the second quarter of
2015, down from 0.45 percent for the second quarter of 2014, and up
from 0.28 percent for the first quarter of 2015. The decrease from the
second quarter of 2014 was primarily due to improved credit quality in
the commercial and consumer real estate portfolios. The increase from
the first quarter of 2015 was driven by increased charge-offs of loans
in the consumer real estate first mortgage lien portfolio and net
recoveries in the commercial portfolio during the first quarter of
2015.
-
Non-accrual loans and leases and other real estate owned totaled
$263.7 million at June 30, 2015, a decrease of $61.7 million, or 18.9
percent, from June 30, 2014, and a decrease of $20.8 million, or 7.3
percent, from March 31, 2015. The decrease from June 30, 2014 was
primarily due to the TDR loan sale that occurred in the fourth quarter
of 2014, which included $40.1 million of non-accrual loans, as well as
improving credit quality trends and continued efforts to actively work
out problem loans in the commercial portfolio. The decrease from
March 31, 2015 was driven by improved credit quality in the commercial
portfolio.
-
Provision for credit losses was $12.5 million for the second quarter
of 2015, an increase of $2.6 million, or 26.4 percent, from the second
quarter of 2014, and a decrease of $0.3 million, or 2.1 percent, from
the first quarter of 2015. The increase from the second quarter of
2014 was driven by growth in the auto finance and consumer real estate
junior lien portfolios.
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Table 5 |
|
|
| |
|
| |
|
| |
|
| Percent Change |
|
| |
|
| |
|
| |
(Dollars in thousands)
| | | 2Q | | | 1Q | | | 2Q | | | 2Q15 vs |
|
| 2Q15 vs | | | YTD | | | YTD | | | Percent |
| | | 2015 |
|
| 2015 |
|
| 2014 |
|
| 1Q15 |
|
| 2Q14 |
|
| 2015 |
|
| 2014 |
|
| Change |
| | | | | | | | | | | | | | | | | | | | | | | |
|
Checking
| | |
$
|
5,428,419
| | | |
$
|
5,300,699
| | | |
$
|
5,098,650
| | | |
2.4
|
%
| | |
6.5
|
%
| | |
$
|
5,364,911
| | | |
$
|
5,057,612
| | | |
6.1
|
%
|
Savings
| | | |
5,048,053
| | | | |
5,161,697
| | | | |
5,908,219
| | | |
(2.2
|
)
| | |
(14.6
|
)
| | | |
5,104,561
| | | | |
6,024,936
| | | |
(15.3
|
)
|
Money market
| | |
|
2,261,567
|
|
|
|
|
2,149,340
|
|
|
|
|
1,019,543
|
| | |
5.2
| | | |
121.8
| | | |
|
2,205,764
|
|
|
|
|
919,981
|
| | |
139.8
| |
Subtotal
| | | |
12,738,039
| | | | |
12,611,736
| | | | |
12,026,412
| | | |
1.0
| | | |
5.9
| | | | |
12,675,236
| | | | |
12,002,529
| | | |
5.6
| |
Certificates of deposit
| | |
|
3,116,718
|
|
|
|
|
3,041,790
|
|
|
|
|
2,742,832
|
| | |
2.5
| | | |
13.6
| | | |
|
3,079,461
|
|
|
|
|
2,643,639
|
| | |
16.5
| |
Total average deposits
| | |
$
|
15,854,757
|
|
|
|
$
|
15,653,526
|
|
|
|
$
|
14,769,244
|
| | |
1.3
| | | |
7.3
| | | |
$
|
15,754,697
|
|
|
|
$
|
14,646,168
|
| | |
7.6
| |
| | | | | | | | | | | | | | | | | | | | | | | |
|
Average interest rate on deposits(1) | | | |
0.28
|
%
| | | |
0.29
|
%
| | | |
0.24
|
%
| | | | | | | | | |
0.28
|
%
| | | |
0.23
|
%
| | | |
| | | | | | | | | | | | | | | | | | | | | | | |
|
(1) Annualized.
|
| | | | | | | | | | | | | | | | | | | | | | | |
|
-
Total average deposits for the second quarter of 2015 increased
$1.1 billion, or 7.3 percent, from the second quarter of 2014 and
increased $0.2 billion, or 1.3 percent, from the first quarter of
2015. The increases from both periods were primarily due to special
campaigns for money market accounts and certificates of deposit.
-
The average interest rate on deposits for the second quarter of 2015
was 0.28 percent, up 4 basis points from the second quarter of 2014
and down 1 basis point from the first quarter of 2015. The increase
from the second quarter of 2014 was primarily due to increased average
interest rates resulting from promotions for money market accounts and
certificates of deposit. The decrease from the first quarter of 2015
was primarily due to a reduction in average interest rates on various
money market, savings, and checking accounts, partially offset by
certificates of deposit promotions.
|
Non-interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Table 6 |
|
|
| |
|
| |
|
| |
|
| Percent Change |
|
| |
|
| |
|
| |
(Dollars in thousands)
| | | 2Q | | | 1Q | | | 2Q | | | 2Q15 vs |
|
| 2Q15 vs | | | YTD | | | YTD | | | Percent |
| | | 2015 |
|
| 2015 |
|
| 2014 |
|
| 1Q15 |
|
| 2Q14 |
|
| 2015 |
|
| 2014 |
|
| Change |
| | | | | | | | | | | | | | | | | | | | | | | |
|
Compensation and employee benefits
| | |
$
|
116,159
| | | |
$
|
115,815
| | |
$
|
109,664
| | |
0.3
|
%
| | |
5.9
|
%
| | |
$
|
231,974
| | |
$
|
224,753
| | |
3.2
|
%
|
Occupancy and equipment
| | | |
36,152
| | | | |
36,827
| | | |
34,316
| | |
(1.8
|
)
| | |
5.4
| | | | |
72,979
| | | |
69,155
| | |
5.5
| |
FDIC insurance
| | | |
4,864
| | | | |
5,393
| | | |
7,625
| | |
(9.8
|
)
| | |
(36.2
|
)
| | | |
10,257
| | | |
15,188
| | |
(32.5
|
)
|
Operating lease depreciation
| | | |
8,582
| | | | |
7,734
| | | |
6,613
| | |
11.0
| | | |
29.8
| | | | |
16,316
| | | |
12,840
| | |
27.1
| |
Advertising and marketing
| | | |
5,150
| | | | |
6,523
| | | |
6,245
| | |
(21.0
|
)
| | |
(17.5
|
)
| | | |
11,673
| | | |
12,141
| | |
(3.9
|
)
|
Other
| | |
|
45,887
|
|
|
|
|
48,133
|
|
|
|
42,618
| | |
(4.7
|
)
| | |
7.7
| | | |
|
94,020
|
|
|
|
83,953
| | |
12.0
| |
Subtotal
| | | |
216,794
| | | | |
220,425
| | | |
207,081
| | |
(1.6
|
)
| | |
4.7
| | | | |
437,219
| | | |
418,030
| | |
4.6
| |
Foreclosed real estate and repossessed assets, net
| | | |
6,377
| | | | |
6,196
| | | |
5,743
| | |
2.9
| | | |
11.0
| | | | |
12,573
| | | |
11,811
| | |
6.5
| |
Other credit costs, net
| | |
|
(62
|
)
|
|
|
|
146
|
|
|
|
371
| | |
N.M.
| | |
N.M.
| | |
|
84
|
|
|
|
490
| | |
(82.9
|
)
|
Total non-interest expense
| | |
$
|
223,109
|
|
|
|
$
|
226,767
|
|
|
$
|
213,195
| | |
(1.6
|
)
| | |
4.7
| | | |
$
|
449,876
|
|
|
$
|
430,331
| | |
4.5
| |
| | | | | | | | | | | | | | | | | | | | | | | |
|
N.M. Not Meaningful.
|
|
-
Compensation and employee benefits expense increased $6.5 million, or
5.9 percent, from the second quarter of 2014 and remained consistent
with the first quarter of 2015. The increase from the second quarter
of 2014 was primarily due to the increased staff levels to support the
growth of auto finance.
-
FDIC insurance expense decreased $2.8 million, or 36.2 percent, from
the second quarter of 2014 and decreased $0.5 million, or 9.8 percent
from the first quarter of 2015. The decrease from the second quarter
of 2014 was due to a lower assessment rate primarily as a result of
the TDR loan sale in the fourth quarter of 2014 and improved credit
metrics.
|
|
| |
|
| | |
Capital | | | | | | | |
|
|
|
|
|
|
|
|
Capital Information |
|
| Table 7 |
| | | | | | |
|
(Dollars in thousands, except per-share data)
| | | 2Q 2015 | | | 4Q 2014 |
|
Total equity
| | |
$
|
2,222,022
| | | |
$
|
2,135,364
| |
Book value per common share
| | | |
11.47
| | | | |
11.10
| |
Tangible book value per common share(1) | | | |
10.11
| | | | |
9.72
| |
Tangible common equity to tangible assets(1) | | | |
8.72
|
%
| | | |
8.50
|
%
|
Capital accumulation rate(2) | | | |
10.90
| | | | |
10.36
| |
| | | | | | |
|
| | | 2Q 2015(3) | | | 4Q 2014 |
|
Regulatory Capital: | | |
Under Basel III
| | |
Under Basel I
|
|
Common equity Tier 1 capital
| | |
$
|
1,732,437
| | | |
N.A.
| |
Tier 1 capital
| | | |
2,013,347
| | | |
$
|
1,919,887
| |
Total capital
| | | |
2,407,268
| | | | |
2,209,999
| |
| | | | | | |
|
Regulatory Capital Ratios: | | | | | | | |
Common equity Tier 1 capital ratio
| | | |
9.97
|
%
| | |
N.A.
| |
Tier 1 risk-based capital ratio
| | | |
11.59
| | | | |
11.76
|
%
|
Total risk-based capital ratio
| | | |
13.86
| | | | |
13.54
| |
Tier 1 leverage ratio
| | | |
10.22
| | | | |
10.07
| |
| | | | | | |
|
N.A. Not Applicable.
| | | | | | | |
(1) See "Reconciliation of GAAP to Non-GAAP Financial Measures"
table.
|
(2) Calculated as the change in annualized year-to-date common
equity Tier 1 capital as a percentage of prior year end common
equity Tier 1 capital.
|
(3) The regulatory capital ratios for 2Q 2015 are preliminary
pending completion and filing of the Company's regulatory reports.
|
|
|
-
Maintained strong capital ratios as the Company accumulates capital
through earnings. The decrease in the Tier 1 risk-based capital ratio
from the fourth quarter of 2014 was primarily the result of strong
asset growth.
-
On July 20, 2015, TCF's Board of Directors declared a regular
quarterly cash dividend of 5 cents per common share, payable on
September 1, 2015, to stockholders of record at the close of business
on August 14, 2015. TCF also declared dividends on the 7.50% Series A
and 6.45% Series B Non-Cumulative Perpetual Preferred Stock, both
payable on September 1, 2015, to stockholders of record at the close
of business on August 14, 2015.
Webcast Information
A live webcast of TCF's conference call to discuss the second quarter
earnings will be hosted at TCF's website, http://ir.tcfbank.com,
on July 23, 2015 at 9:00 a.m. CDT. A slide presentation for the call
will be available on the website prior to the call. Additionally, the
webcast will be available for replay on TCF's website after the
conference call. The website also includes free access to company news
releases, TCF's annual report, investor presentations and SEC filings.
|
TCF is a Wayzata, Minnesota-based national bank holding
company. As of June 30, 2015, TCF had $19.8 billion in total
assets and 376 branches in Illinois, Minnesota, Michigan,
Colorado, Wisconsin, Arizona, South Dakota and Indiana, providing
retail and commercial banking services. TCF, through its
subsidiaries, also conducts commercial leasing, equipment finance,
and auto finance business in all 50 states and commercial
inventory finance business in all 50 states and Canada. For more
information about TCF, please visit http://ir.tcfbank.com.
|
|
Cautionary Statements for Purposes of the Safe Harbor Provisions
of the Securities Litigation Reform Act
Any statements contained in this earnings release regarding the
outlook for the Company's businesses and their respective markets, such
as projections of future performance, guidance, statements of the
Company's plans and objectives, forecasts of market trends and other
matters, are forward-looking statements based on the Company's
assumptions and beliefs. Such statements may be identified by such words
or phrases as "will likely result," "are expected to," "will continue,"
"outlook," "will benefit," "is anticipated," "estimate," "project,"
"management believes" or similar expressions. These forward-looking
statements are subject to certain risks and uncertainties that could
cause actual results to differ materially from those discussed in such
statements and no assurance can be given that the results in any
forward-looking statement will be achieved. For these statements, TCF
claims the protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995. Any
forward-looking statement speaks only as of the date on which it is
made, and we disclaim any obligation to subsequently revise any
forward-looking statement to reflect events or circumstances after such
date or to reflect the occurrence of anticipated or unanticipated events.
Certain factors could cause the Company's future results to differ
materially from those expressed or implied in any forward-looking
statements contained herein. These factors include the factors discussed
in Part I, Item 1A of the Company's Annual Report on Form 10-K for the
year ended December 31, 2014, the factors discussed below and any other
cautionary statements, written or oral, which may be made or referred to
in connection with any such forward-looking statements. Since it is not
possible to foresee all such factors, these factors should not be
considered as complete or exhaustive.
Adverse Economic or Business Conditions;
Competitive Conditions; Credit and Other Risks.Deterioration
in general economic and banking industry conditions, including those
arising from government shutdowns, defaults, anticipated defaults or
rating agency downgrades of sovereign debt (including debt of the U.S.),
or increases in unemployment; adverse economic, business and competitive
developments such as shrinking interest margins, reduced demand for
financial services and loan and lease products, deposit outflows,
increased deposit costs due to competition for deposit growth and
evolving payment system developments, deposit account attrition or an
inability to increase the number of deposit accounts; customers
completing financial transactions without using a bank; adverse changes
in credit quality and other risks posed by TCF's loan, lease,
investment, securities held to maturity and securities available for
sale portfolios, including declines in commercial or residential real
estate values, changes in the allowance for loan and lease losses
dictated by new market conditions or regulatory requirements, or the
inability of home equity line borrowers to make increased payments
caused by increased interest rates or amortization of principal;
deviations from estimates of prepayment rates and fluctuations in
interest rates that result in decreases in the value of assets such as
interest-only strips that arise in connection with TCF's loan sales
activity; interest rate risks resulting from fluctuations in prevailing
interest rates or other factors that result in a mismatch between yields
earned on TCF's interest-earning assets and the rates paid on its
deposits and borrowings; foreign currency exchange risks; counterparty
risk, including the risk of defaults by our counterparties or diminished
availability of counterparties who satisfy our credit quality
requirements; decreases in demand for the types of equipment that TCF
leases or finances; the effect of any negative publicity.
Legislative and Regulatory Requirements.New consumer protection and supervisory requirements and regulations,
including those resulting from action by the Consumer Financial
Protection Bureau and changes in the scope of Federal preemption of
state laws that could be applied to national banks and their
subsidiaries; the imposition of requirements that adversely impact TCF's
deposit, lending, loan collection and other business activities such as
mortgage foreclosure moratorium laws, further regulation of financial
institution campus banking programs, use by municipalities of eminent
domain on property securing troubled residential mortgage loans, or
imposition of underwriting or other limitations that impact the ability
to offer certain variable-rate products; changes affecting customer
account charges and fee income, including changes to interchange rates;
regulatory actions or changes in customer opt-in preferences with
respect to overdrafts, which may have an adverse impact on TCF's fee
revenue; changes to bankruptcy laws which would result in the loss of
all or part of TCF's security interest due to collateral value declines;
deficiencies in TCF's compliance under the Bank Secrecy Act in past or
future periods, which may result in regulatory enforcement action
including monetary penalties; increased health care costs resulting from
Federal health care reform; regulatory criticism and resulting
enforcement actions or other adverse consequences such as increased
capital requirements, higher deposit insurance assessments or monetary
damages or penalties; heightened regulatory practices, requirements or
expectations, including, but not limited to, requirements related to
enterprise risk management, the Bank Secrecy Act and anti-money
laundering compliance activity.
Earnings/Capital Risks and Constraints,
Liquidity Risks.Limitations on TCF's ability to pay
dividends or to increase dividends because of financial performance
deterioration, regulatory restrictions or limitations; increased deposit
insurance premiums, special assessments or other costs related to
adverse conditions in the banking industry; the impact on banks of
regulatory reform, including additional capital, leverage, liquidity and
risk management requirements or changes in the composition of qualifying
regulatory capital; adverse changes in securities markets directly or
indirectly affecting TCF's ability to sell assets or to fund its
operations; diminished unsecured borrowing capacity resulting from TCF
credit rating downgrades or unfavorable conditions in the credit markets
that restrict or limit various funding sources; costs associated with
new regulatory requirements or interpretive guidance relating to
liquidity; uncertainties relating to future retail deposit account
changes, including limitations on TCF's ability to predict customer
behavior and the impact on TCF's fee revenues.
Branching Risk; Growth Risks.Adverse
developments affecting TCF's supermarket banking relationships or any of
the supermarket chains in which TCF maintains supermarket branches;
costs related to closing underperforming branches; slower than
anticipated growth in existing or acquired businesses; inability to
successfully execute on TCF's growth strategy through acquisitions or
cross-selling opportunities; failure to expand or diversify TCF's
balance sheet through new or expanded programs or opportunities; failure
to successfully attract and retain new customers, including the failure
to attract and retain manufacturers and dealers to expand the inventory
finance business; failure to effectuate, and risks of claims related to,
sales and securitizations of loans; risks related to new product
additions and addition of distribution channels (or entry into new
markets) for existing products.
Technological and Operational Matters.Technological or operational difficulties, loss or theft of
information, cyber-attacks and other security breaches, counterparty
failures and the possibility that deposit account losses (fraudulent
checks, etc.) may increase; failure to keep pace with technological
change, including the failure to develop and maintain technology
necessary to satisfy customer demands. Ability to attract and retain
employees given competitive conditions and the impact of consolidating
facilities.
Litigation Risks.Results of
litigation or government enforcement actions, including class action
litigation or enforcement actions concerning TCF's lending or deposit
activities, including account servicing processes or fees or charges, or
employment practices; and possible increases in indemnification
obligations for certain litigation against Visa U.S.A. and potential
reductions in card revenues resulting from such litigation or other
litigation against Visa.
Accounting, Audit, Tax and Insurance Matters.Changes in accounting standards or interpretations of existing
standards; federal or state monetary, fiscal or tax policies, including
adoption of state legislation that would increase state taxes;
ineffective internal controls; adverse federal, state or foreign tax
assessments or findings in tax audits; lack of or inadequate insurance
coverage for claims against TCF; potential for claims and legal action
related to TCF's fiduciary responsibilities.
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF INCOME |
(Dollars in thousands, except per-share data)
|
(Unaudited)
|
|
|
| |
|
| |
|
| |
|
| |
| | | Three Months Ended June 30, | | | Change |
| | | 2015 | | | 2014 | | | $ | | | % |
Interest income: | | | | | | | | | | | | |
Loans and leases
| | |
$
|
207,164
| | | |
$
|
206,788
| | |
$
|
376
| | | |
0.2
|
%
|
Securities available for sale
| | | |
3,543
| | | | |
2,805
| | | |
738
| | | |
26.3
| |
Securities held to maturity
| | | |
1,384
| | | | |
1,443
| | | |
(59
|
)
| | |
(4.1
|
)
|
Investments and other
| | |
|
10,990
|
| | |
|
9,055
| | |
|
1,935
|
| | |
21.4
| |
Total interest income
| | |
|
223,081
|
| | |
|
220,091
| | |
|
2,990
|
| | |
1.4
| |
Interest expense: | | | | | | | | | | | | |
Deposits
| | | |
11,080
| | | | |
8,877
| | | |
2,203
| | | |
24.8
| |
Borrowings
| | |
|
5,972
|
| | |
|
5,113
| | |
|
859
|
| | |
16.8
| |
Total interest expense
| | |
|
17,052
|
| | |
|
13,990
| | |
|
3,062
|
| | |
21.9
| |
Net interest income
| | | |
206,029
| | | | |
206,101
| | | |
(72
|
)
| | |
—
| |
Provision for credit losses
| | |
|
12,528
|
| | |
|
9,909
| | |
|
2,619
|
| | |
26.4
| |
Net interest income after provision for credit losses
| | |
|
193,501
|
| | |
|
196,192
| | |
|
(2,691
|
)
| | |
(1.4
|
)
|
Non-interest income: | | | | | | | | | | | | |
Fees and service charges
| | | |
36,295
| | | | |
38,035
| | | |
(1,740
|
)
| | |
(4.6
|
)
|
Card revenue
| | | |
13,902
| | | | |
13,249
| | | |
653
| | | |
4.9
| |
ATM revenue
| | |
|
5,540
|
| | |
|
5,794
| | |
|
(254
|
)
| | |
(4.4
|
)
|
Subtotal
| | | |
55,737
| | | | |
57,078
| | | |
(1,341
|
)
| | |
(2.3
|
)
|
Gains on sales of auto loans, net
| | | |
10,756
| | | | |
7,270
| | | |
3,486
| | | |
48.0
| |
Gains on sales of consumer real estate loans, net
| | | |
11,954
| | | | |
8,151
| | | |
3,803
| | | |
46.7
| |
Servicing fee income
| | |
|
7,216
|
| | |
|
4,892
| | |
|
2,324
|
| | |
47.5
| |
Subtotal
| | | |
29,926
| | | | |
20,313
| | | |
9,613
| | | |
47.3
| |
Leasing and equipment finance
| | | |
26,385
| | | | |
23,069
| | | |
3,316
| | | |
14.4
| |
Other
| | |
|
1,460
|
| | |
|
2,789
| | |
|
(1,329
|
)
| | |
(47.7
|
)
|
Fees and other revenue
| | | |
113,508
| | | | |
103,249
| | | |
10,259
| | | |
9.9
| |
Gains (losses) on securities, net
| | |
|
(59
|
)
| | |
|
767
| | |
|
(826
|
)
| | |
N.M.
|
Total non-interest income
| | |
|
113,449
|
| | |
|
104,016
| | |
|
9,433
|
| | |
9.1
| |
Non-interest expense: | | | | | | | | | | | | |
Compensation and employee benefits
| | | |
116,159
| | | | |
109,664
| | | |
6,495
| | | |
5.9
| |
Occupancy and equipment
| | | |
36,152
| | | | |
34,316
| | | |
1,836
| | | |
5.4
| |
FDIC insurance
| | | |
4,864
| | | | |
7,625
| | | |
(2,761
|
)
| | |
(36.2
|
)
|
Operating lease depreciation
| | | |
8,582
| | | | |
6,613
| | | |
1,969
| | | |
29.8
| |
Advertising and marketing
| | | |
5,150
| | | | |
6,245
| | | |
(1,095
|
)
| | |
(17.5
|
)
|
Other
| | |
|
45,887
|
| | |
|
42,618
| | |
|
3,269
|
| | |
7.7
| |
Subtotal
| | | |
216,794
| | | | |
207,081
| | | |
9,713
| | | |
4.7
| |
Foreclosed real estate and repossessed assets, net
| | | |
6,377
| | | | |
5,743
| | | |
634
| | | |
11.0
| |
Other credit costs, net
| | |
|
(62
|
)
| | |
|
371
| | |
|
(433
|
)
| | |
N.M.
|
Total non-interest expense
| | |
|
223,109
|
| | |
|
213,195
| | |
|
9,914
|
| | |
4.7
| |
Income before income tax expense
| | | |
83,841
| | | | |
87,013
| | | |
(3,172
|
)
| | |
(3.6
|
)
|
Income tax expense
| | |
|
28,902
|
| | |
|
31,385
| | |
|
(2,483
|
)
| | |
(7.9
|
)
|
Income after income tax expense
| | | |
54,939
| | | | |
55,628
| | | |
(689
|
)
| | |
(1.2
|
)
|
Income attributable to non-controlling interest
| | |
|
2,684
|
| | |
|
2,503
| | |
|
181
|
| | |
7.2
| |
Net income attributable to TCF Financial Corporation | | |
|
52,255
|
| | |
|
53,125
| | |
|
(870
|
)
| | |
(1.6
|
)
|
Preferred stock dividends
| | |
|
4,847
|
| | |
|
4,847
| | |
|
—
|
| | |
—
| |
Net income available to common stockholders | | |
$
|
47,408
|
| | |
$
|
48,278
| | |
$
|
(870
|
)
| | |
(1.8
|
)
|
| | | | | | | | | | | |
|
Net income per common share: | | | | | | | | | | | | |
Basic
| | |
$
|
0.29
| | | |
$
|
0.30
| | |
$
|
(0.01
|
)
| | |
(3.3
|
)%
|
Diluted
| | | |
0.29
| | | | |
0.29
| | | |
—
| | | |
—
| |
| | | | | | | | | | | |
|
Dividends declared per common share | | |
$
|
0.05
| | | |
$
|
0.05
| | |
$
|
—
| | | |
—
|
%
|
| | | | | | | | | | | |
|
Average common and common equivalent shares outstanding (in
thousands): | | | | | | | | | | | | |
Basic
| | | |
165,589
| | | | |
163,253
| | | |
2,336
| | | |
1.4
|
%
|
Diluted
| | | |
166,118
| | | | |
163,714
| | | |
2,404
| | | |
1.5
| |
| | | | | | | | | | | |
|
N.M. Not Meaningful.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF INCOME |
(Dollars in thousands, except per-share data)
|
(Unaudited)
|
|
|
| |
|
| |
|
| |
|
| |
| | | Six Months Ended June 30, | | | Change |
| | | 2015 | | | 2014 | | | $ | | | % |
Interest income: | | | | | | | | | | | | |
Loans and leases
| | |
$
|
413,140
| | | |
$
|
409,325
| | |
$
|
3,815
| | | |
0.9
|
%
|
Securities available for sale
| | | |
6,623
| | | | |
5,968
| | | |
655
| | | |
11.0
| |
Securities held to maturity
| | | |
2,789
| | | | |
2,407
| | | |
382
| | | |
15.9
| |
Investments and other
| | |
|
20,323
|
| | |
|
17,018
| | |
|
3,305
|
| | |
19.4
| |
Total interest income
| | |
|
442,875
|
| | |
|
434,718
| | |
|
8,157
|
| | |
1.9
| |
Interest expense: | | | | | | | | | | | | |
Deposits
| | | |
22,152
| | | | |
16,914
| | | |
5,238
| | | |
31.0
| |
Borrowings
| | |
|
11,274
|
| | |
|
10,429
| | |
|
845
|
| | |
8.1
| |
Total interest expense
| | |
|
33,426
|
| | |
|
27,343
| | |
|
6,083
|
| | |
22.2
| |
Net interest income
| | | |
409,449
| | | | |
407,375
| | | |
2,074
| | | |
0.5
| |
Provision for credit losses
| | |
|
25,319
|
| | |
|
24,401
| | |
|
918
|
| | |
3.8
| |
Net interest income after provision for credit losses
| | |
|
384,130
|
| | |
|
382,974
| | |
|
1,156
|
| | |
0.3
| |
Non-interest income: | | | | | | | | | | | | |
Fees and service charges
| | | |
70,267
| | | | |
74,654
| | | |
(4,387
|
)
| | |
(5.9
|
)
|
Card revenue
| | | |
26,803
| | | | |
25,499
| | | |
1,304
| | | |
5.1
| |
ATM revenue
| | |
|
10,662
|
| | |
|
11,113
| | |
|
(451
|
)
| | |
(4.1
|
)
|
Subtotal
| | | |
107,732
| | | | |
111,266
| | | |
(3,534
|
)
| | |
(3.2
|
)
|
Gains on sales of auto loans, net
| | | |
17,021
| | | | |
15,740
| | | |
1,281
| | | |
8.1
| |
Gains on sales of consumer real estate loans, net
| | | |
20,717
| | | | |
19,857
| | | |
860
| | | |
4.3
| |
Servicing fee income
| | |
|
14,558
|
| | |
|
9,199
| | |
|
5,359
|
| | |
58.3
| |
Subtotal
| | | |
52,296
| | | | |
44,796
| | | |
7,500
| | | |
16.7
| |
Leasing and equipment finance
| | | |
48,609
| | | | |
45,049
| | | |
3,560
| | | |
7.9
| |
Other
| | |
|
5,587
|
| | |
|
5,171
| | |
|
416
|
| | |
8.0
| |
Fees and other revenue
| | | |
214,224
| | | | |
206,282
| | | |
7,942
| | | |
3.9
| |
Gains (losses) on securities, net
| | |
|
(137
|
)
| | |
|
1,141
| | |
|
(1,278
|
)
| | |
N.M.
|
Total non-interest income
| | |
|
214,087
|
| | |
|
207,423
| | |
|
6,664
|
| | |
3.2
| |
Non-interest expense: | | | | | | | | | | | | |
Compensation and employee benefits
| | | |
231,974
| | | | |
224,753
| | | |
7,221
| | | |
3.2
| |
Occupancy and equipment
| | | |
72,979
| | | | |
69,155
| | | |
3,824
| | | |
5.5
| |
FDIC insurance
| | | |
10,257
| | | | |
15,188
| | | |
(4,931
|
)
| | |
(32.5
|
)
|
Operating lease depreciation
| | | |
16,316
| | | | |
12,840
| | | |
3,476
| | | |
27.1
| |
Advertising and marketing
| | | |
11,673
| | | | |
12,141
| | | |
(468
|
)
| | |
(3.9
|
)
|
Other
| | |
|
94,020
|
| | |
|
83,953
| | |
|
10,067
|
| | |
12.0
| |
Subtotal
| | | |
437,219
| | | | |
418,030
| | | |
19,189
| | | |
4.6
| |
Foreclosed real estate and repossessed assets, net
| | | |
12,573
| | | | |
11,811
| | | |
762
| | | |
6.5
| |
Other credit costs, net
| | |
|
84
|
| | |
|
490
| | |
|
(406
|
)
| | |
(82.9
|
)
|
Total non-interest expense
| | |
|
449,876
|
| | |
|
430,331
| | |
|
19,545
|
| | |
4.5
| |
Income before income tax expense
| | | |
148,341
| | | | |
160,066
| | | |
(11,725
|
)
| | |
(7.3
|
)
|
Income tax expense
| | |
|
51,730
|
| | |
|
57,964
| | |
|
(6,234
|
)
| | |
(10.8
|
)
|
Income after income tax expense
| | | |
96,611
| | | | |
102,102
| | | |
(5,491
|
)
| | |
(5.4
|
)
|
Income attributable to non-controlling interest
| | |
|
4,555
|
| | |
|
4,220
| | |
|
335
|
| | |
7.9
| |
Net income attributable to TCF Financial Corporation | | |
|
92,056
|
| | |
|
97,882
| | |
|
(5,826
|
)
| | |
(6.0
|
)
|
Preferred stock dividends
| | |
|
9,694
|
| | |
|
9,694
| | |
|
—
|
| | |
—
| |
Net income available to common stockholders | | |
$
|
82,362
|
| | |
$
|
88,188
| | |
$
|
(5,826
|
)
| | |
(6.6
|
)
|
| | | | | | | | | | | |
|
Net income per common share: | | | | | | | | | | | | |
Basic
| | |
$
|
0.50
| | | |
$
|
0.54
| | |
$
|
(0.04
|
)
| | |
(7.4
|
)%
|
Diluted
| | | |
0.50
| | | | |
0.54
| | | |
(0.04
|
)
| | |
(7.4
|
)
|
| | | | | | | | | | | |
|
Dividends declared per common share | | |
$
|
0.10
| | | |
$
|
0.10
| | |
$
|
—
| | | |
—
|
%
|
| | | | | | | | | | | |
|
Average common and common equivalent shares outstanding (in
thousands): | | | | | | | | | | | | |
Basic
| | | |
165,219
| | | | |
163,011
| | | |
2,208
| | | |
1.4
|
%
|
Diluted
| | | |
165,744
| | | | |
163,491
| | | |
2,253
| | | |
1.4
| |
| | | | | | | | | | | |
|
N.M. Not Meaningful.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME |
(Dollars in thousands)
|
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
| | | | Three Months Ended June 30, | | | Change |
| | | | 2015 | | | 2014 | | | $ | | | % |
Net income attributable to TCF Financial Corporation | | | |
$
|
52,255
|
| | |
$
|
53,125
|
| | |
$
|
(870
|
)
| | |
(1.6
|
)%
|
Other comprehensive income (loss): | | | | | | | | | | | | | |
Securities available for sale:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
(11,140
|
)
| | |
8,648
| | | |
(19,788
|
)
| | |
N.M.
|
Reclassification of net (gains) losses to net income
| | | |
286
| | | |
(452
|
)
| | |
738
| | | |
N.M.
|
Net investment hedges:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
(674
|
)
| | |
(1,382
|
)
| | |
708
| | | |
51.2
| |
Foreign currency translation adjustment:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
617
| | | |
1,399
| | | |
(782
|
)
| | |
(55.9
|
)
|
Recognized postretirement prior service cost:
| | | | | | | | | | | | | |
Reclassification of net (gains) losses to net income
| | | |
(11
|
)
| | |
(11
|
)
| | |
—
| | | |
—
| |
Income tax (expense) benefit
| | | |
4,358
|
| | |
(2,561
|
)
| | |
6,919
|
| | |
N.M.
|
Total other comprehensive income (loss)
| | | |
(6,564
|
)
| | |
5,641
|
| | |
(12,205
|
)
| | |
N.M.
|
Comprehensive income | | | |
$
|
45,691
|
| | |
$
|
58,766
|
| | |
$
|
(13,075
|
)
| | |
(22.2
|
)
|
| | | | | | | | | | | | |
|
| | | | | | | | | | | | |
|
| | | | Six Months Ended June 30, | | | Change |
| | | | 2015 | | | 2014 | | | $ | | | % |
Net income attributable to TCF Financial Corporation | | | |
$
|
92,056
|
| | |
$
|
97,882
|
| | |
$
|
(5,826
|
)
| | |
(6.0
|
)%
|
Other comprehensive income (loss): | | | | | | | | | | | | | |
Securities available for sale:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
(7,001
|
)
| | |
20,514
| | | |
(27,515
|
)
| | |
N.M.
|
Reclassification of net (gains) losses to net income
| | | |
590
| | | |
(629
|
)
| | |
1,219
| | | |
N.M.
|
Net investment hedges:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
2,914
| | | |
(172
|
)
| | |
3,086
| | | |
N.M.
|
Foreign currency translation adjustment:
| | | | | | | | | | | | | |
Unrealized gains (losses) arising during the period
| | | |
(3,269
|
)
| | |
23
| | | |
(3,292
|
)
| | |
N.M.
|
Recognized postretirement prior service cost:
| | | | | | | | | | | | | |
Reclassification of net (gains) losses to net income
| | | |
(23
|
)
| | |
(23
|
)
| | |
—
| | | |
—
| |
Income tax (expense) benefit
| | | |
1,329
|
| | |
(7,415
|
)
| | |
8,744
|
| | |
N.M.
|
Total other comprehensive income (loss)
| | | |
(5,460
|
)
| | |
12,298
|
| | |
(17,758
|
)
| | |
N.M.
|
Comprehensive income | | | |
$
|
86,596
|
| | |
$
|
110,180
|
| | |
$
|
(23,584
|
)
| | |
(21.4
|
)
|
| | | | | | | | | | | | |
|
N.M. Not Meaningful.
| | | | | | | | | | | | | |
| | | | | | | | | | | | |
|
| | | |
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION |
(Dollars in thousands, except per-share data)
|
(Unaudited)
|
|
|
|
| | |
|
| | |
|
| | |
|
| | |
| | | | At Jun. 30, | | | At Dec. 31, | | | Change |
| | | | 2015 | | | 2014 | | | $ | | | % |
ASSETS: | | | | | | | | | | | | | | | | | |
Cash and due from banks
| | | |
$
|
912,461
| | | |
$
|
1,115,250
| | | |
$
|
(202,789
|
)
| | |
(18.2
|
)%
|
Investments
| | | |
78,518
| | | |
85,492
| | | |
(6,974
|
)
| | |
(8.2
|
)
|
Securities held to maturity
| | | |
208,911
| | | |
214,454
| | | |
(5,543
|
)
| | |
(2.6
|
)
|
Securities available for sale
| | | |
629,848
| | | |
463,294
| | | |
166,554
| | | |
35.9
| |
Loans and leases held for sale
| | | |
200,034
| | | |
132,266
| | | |
67,768
| | | |
51.2
| |
Loans and leases:
| | | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | | |
First mortgage lien
| | | |
2,865,911
| | | |
3,139,152
| | | |
(273,241
|
)
| | |
(8.7
|
)
|
Junior lien
| | | |
2,678,118
|
| | |
2,543,212
|
| | |
134,906
|
| | |
5.3
| |
Total consumer real estate
| | | |
5,544,029
| | | |
5,682,364
| | | |
(138,335
|
)
| | |
(2.4
|
)
|
Commercial
| | | |
3,112,344
| | | |
3,157,665
| | | |
(45,321
|
)
| | |
(1.4
|
)
|
Leasing and equipment finance
| | | |
3,791,215
| | | |
3,745,322
| | | |
45,893
| | | |
1.2
| |
Inventory finance
| | | |
2,106,087
| | | |
1,877,090
| | | |
228,997
| | | |
12.2
| |
Auto finance
| | | |
2,301,714
| | | |
1,915,061
| | | |
386,653
| | | |
20.2
| |
Other
| | | |
21,852
|
| | |
24,144
|
| | |
(2,292
|
)
| | |
(9.5
|
)
|
Total loans and leases
| | | |
16,877,241
| | | |
16,401,646
| | | |
475,595
| | | |
2.9
| |
Allowance for loan and lease losses
| | | |
(156,115
|
)
| | |
(164,169
|
)
| | |
8,054
|
| | |
4.9
| |
Net loans and leases
| | | |
16,721,126
| | | |
16,237,477
| | | |
483,649
| | | |
3.0
| |
Premises and equipment, net
| | | |
435,600
| | | |
436,361
| | | |
(761
|
)
| | |
(0.2
|
)
|
Goodwill
| | | |
225,640
| | | |
225,640
| | | |
—
| | | |
—
| |
Other assets
| | | |
414,212
|
| | |
484,377
|
| | |
(70,165
|
)
| | |
(14.5
|
)
|
Total assets
| | | |
$
|
19,826,350
|
| | |
$
|
19,394,611
|
| | |
$
|
431,739
|
| | |
2.2
| |
| | | | | | | | | | | | | | | | |
|
LIABILITIES AND EQUITY: | | | | | | | | | | | | | | | | | |
Deposits:
| | | | | | | | | | | | | | | | | |
Checking
| | | |
$
|
5,375,818
| | | |
$
|
5,195,243
| | | |
$
|
180,575
| | | |
3.5
| |
Savings
| | | |
4,968,398
| | | |
5,212,320
| | | |
(243,922
|
)
| | |
(4.7
|
)
|
Money market
| | | |
2,286,773
|
| | |
1,993,130
|
| | |
293,643
|
| | |
14.7
| |
Subtotal
| | | |
12,630,989
| | | |
12,400,693
| | | |
230,296
| | | |
1.9
| |
Certificates of deposit
| | | |
3,196,230
|
| | |
3,049,189
|
| | |
147,041
|
| | |
4.8
| |
Total deposits
| | | |
15,827,219
|
| | |
15,449,882
|
| | |
377,337
|
| | |
2.4
| |
Short-term borrowings
| | | |
7,305
| | | |
4,425
| | | |
2,880
| | | |
65.1
| |
Long-term borrowings
| | | |
1,210,736
|
| | |
1,232,065
|
| | |
(21,329
|
)
| | |
(1.7
|
)
|
Total borrowings
| | | |
1,218,041
| | | |
1,236,490
| | | |
(18,449
|
)
| | |
(1.5
|
)
|
Accrued expenses and other liabilities
| | | |
559,068
|
| | |
572,875
|
| | |
(13,807
|
)
| | |
(2.4
|
)
|
Total liabilities
| | | |
17,604,328
|
| | |
17,259,247
|
| | |
345,081
|
| | |
2.0
| |
Equity:
| | | | | | | | | | | | | | | | | |
Preferred stock, par value $0.01 per share, 30,000,000 shares
authorized; 4,006,900 issued
| | | |
263,240
| | | |
263,240
| | | |
—
| | | |
—
| |
Common stock, par value $0.01 per share, 280,000,000 shares
authorized; 169,144,261 and 167,503,568 shares issued, respectively
| | | |
1,691
| | | |
1,675
| | | |
16
| | | |
1.0
| |
Additional paid-in capital
| | | |
838,755
| | | |
817,130
| | | |
21,625
| | | |
2.6
| |
Retained earnings, subject to certain restrictions
| | | |
1,165,753
| | | |
1,099,914
| | | |
65,839
| | | |
6.0
| |
Accumulated other comprehensive income (loss)
| | | |
(16,370
|
)
| | |
(10,910
|
)
| | |
(5,460
|
)
| | |
(50.0
|
)
|
Treasury stock at cost, 42,566 shares, and other
| | | |
(50,558
|
)
| | |
(49,400
|
)
| | |
(1,158
|
)
| | |
(2.3
|
)
|
Total TCF Financial Corporation stockholders' equity
| | | |
2,202,511
| | | |
2,121,649
| | | |
80,862
| | | |
3.8
| |
Non-controlling interest in subsidiaries
| | | |
19,511
|
| | |
13,715
|
| | |
5,796
|
| | |
42.3
| |
Total equity
| | | |
2,222,022
|
| | |
2,135,364
|
| | |
86,658
|
| | |
4.1
| |
Total liabilities and equity
| | | |
$
|
19,826,350
|
| | |
$
|
19,394,611
|
| | |
$
|
431,739
|
| | |
2.2
| |
| | | | | | | | | | | | | | | | | | | |
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
SUMMARY OF CREDIT QUALITY DATA |
(Dollars in thousands)
|
(Unaudited)
|
|
Over 60-Day Delinquencies as a Percentage
of Portfolio(1) |
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
| |
|
| |
| |
| | | | At | | | At | | | At | | | At | | | At | | | Change from | | |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, | | | Mar. 31, | | | | | Jun. 30, | | |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 | | | 2015 | | | | | 2014 | | |
Consumer real estate:
| | | | | | | | | | | | | | | | | | | | | | | | | | |
First mortgage lien
| | | |
0.38
|
%
| | |
0.53
|
%
| | |
0.49
|
%
| | |
0.45
|
%
| | |
0.61
|
%
| | |
(15
|
)
|
bps
| | |
(23
|
)
|
bps
|
Junior lien
| | | |
0.08
| | | |
0.11
| | | |
0.08
| | | |
0.10
| | | |
0.10
| | | |
(3
|
)
| | | | |
(2
|
)
| | |
Total consumer real estate
| | | |
0.22
| | | |
0.32
| | | |
0.30
| | | |
0.30
| | | |
0.40
| | | |
(10
|
)
| | | | |
(18
|
)
| | |
Commercial
| | | |
—
| | | |
—
| | | |
—
| | | |
0.13
| | | |
—
| | | |
—
| | | | | |
—
| | | |
Leasing and equipment finance
| | | |
0.06
| | | |
0.09
| | | |
0.07
| | | |
0.06
| | | |
0.08
| | | |
(3
|
)
| | | | |
(2
|
)
| | |
Inventory finance
| | | |
—
| | | |
—
| | | |
—
| | | |
0.01
| | | |
0.01
| | | |
—
| | | | | |
(1
|
)
| |
|
Auto finance
| | | |
0.11
| | | |
0.16
| | | |
0.22
| | | |
0.21
| | | |
0.14
| | | |
(5
|
)
| | | | |
(3
|
)
| | |
Other
| | | |
0.11
| | | |
0.02
| | | |
—
| | | |
0.02
| | | |
0.01
| | | |
9
| | | | | |
10
| | | |
Subtotal
| | | |
0.10
| | | |
0.14
| | | |
0.14
| | | |
0.17
| | | |
0.18
| | | |
(4
|
)
| | | | |
(8
|
)
| | |
Acquired portfolios
| | | |
0.28
| | | |
0.21
| | | |
0.03
| | | |
2.27
| | | |
2.26
| | | |
7
| | | | | |
(198
|
)
| | |
Total delinquencies
| | | |
0.10
| | | |
0.14
| | | |
0.14
| | | |
0.17
| | | |
0.18
| | | |
(4
|
)
| | | | |
(8
|
)
| | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
|
(1) Excludes non-accrual loans and leases.
| | | | | | | | | | | | | | | | | | | | | | | | | | |
Net Charge-Offs as a Percentage of
Average Loans and Leases |
|
|
|
| | | | | | |
|
| | | | |
| | | | Quarter Ended(1) | | | Change from | |
| | | | Jun. 30, |
|
| Mar. 31, |
|
| Dec. 31, |
|
| Sep. 30, |
|
| Jun. 30, | | | Mar. 31, | |
| Jun. 30, | |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 | | | 2015 | | | 2014 | |
Consumer real estate:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
First mortgage lien
| | | |
0.79
|
%
| | |
0.62
|
%
| | |
0.80
|
%
| | |
2.10
|
%
| | |
0.79
|
%
| | |
17
| |
bps
| |
—
| |
bps
|
Junior lien
| | | |
0.59
| | | |
0.38
| | | |
0.46
| | | |
0.59
| | | |
0.69
| | | |
21
| | | |
(10
|
)
| |
Total consumer real estate
| | | |
0.69
| | | |
0.51
| | | |
0.66
| | | |
1.45
| | | |
0.75
| | | |
18
| | | |
(6
|
)
| |
Commercial
| | | |
0.21
| | | |
(0.07
|
)
| | |
0.12
| | | |
(0.02
|
)
| | |
0.44
| | | |
28
| | | |
(23
|
)
| |
Leasing and equipment finance
| | | |
0.16
| | | |
0.10
| | | |
0.08
| | | |
0.13
| | | |
0.11
| | | |
6
| | | |
5
| | |
Inventory finance
| | | |
0.11
| | | |
0.08
| | | |
0.12
| | | |
0.06
| | | |
0.02
| | | |
3
| | | |
9
| | |
Auto finance
| | | |
0.66
| | | |
0.66
| | | |
0.83
| | | |
0.61
| | | |
0.48
| | | |
—
| | | |
18
| | |
Other
| | | |
N.M.
| | | |
N.M.
| | | |
N.M.
| | | |
N.M.
| | | |
N.M.
| | | |
N.M.
| | | |
N.M.
| | |
Total
| | | |
0.41
| | | |
0.28
| | | |
0.40
| | | |
0.66
| | | |
0.45
| | | |
13
| | | |
(4
|
)
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
N.M. Not Meaningful.
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(1) Annualized.
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Non-Accrual Loans and Leases Rollforward |
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Quarter Ended | | | Change from |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, | | | Mar. 31, | | | Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 | | | 2015 | | | 2014 |
Balance, beginning of period
| | | |
$
|
222,143
| | | |
$
|
216,734
| | | |
$
|
275,111
| | | |
$
|
260,294
| | | |
$
|
266,679
| | | |
$
|
5,409
| | | |
$
|
(44,536
|
)
|
Additions
| | | |
40,846
| | | |
51,647
| | | |
44,626
| | | |
83,597
| | | |
61,242
| | | |
(10,801
|
)
| | |
(20,396
|
)
|
Charge-offs
| | | |
(14,050
|
)
| | |
(8,921
|
)
| | |
(14,456
|
)
| | |
(24,430
|
)
| | |
(15,135
|
)
| | |
(5,129
|
)
| | |
1,085
| |
Transfers to other assets
| | | |
(17,738
|
)
| | |
(16,781
|
)
| | |
(18,471
|
)
| | |
(17,404
|
)
| | |
(17,994
|
)
| | |
(957
|
)
| | |
256
| |
Return to accrual status
| | | |
(10,298
|
)
| | |
(7,668
|
)
| | |
(8,280
|
)
| | |
(12,966
|
)
| | |
(18,224
|
)
| | |
(2,630
|
)
| | |
7,926
| |
Payments received
| | | |
(15,543
|
)
| | |
(10,974
|
)
| | |
(21,859
|
)
| | |
(13,459
|
)
| | |
(14,910
|
)
| | |
(4,569
|
)
| | |
(633
|
)
|
Sales
| | | |
(353
|
)
| | |
(2,250
|
)
| | |
(40,354
|
)
| | |
—
| | | |
(1,900
|
)
| | |
1,897
| | | |
1,547
| |
Other, net
| | | |
703
|
| | |
356
|
| | |
417
|
| | |
(521
|
)
| | |
536
|
| | |
347
|
| | |
167
|
|
Balance, end of period
| | | |
$
|
205,710
|
| | |
$
|
222,143
|
| | |
$
|
216,734
|
| | |
$
|
275,111
|
| | |
$
|
260,294
|
| | |
$
|
(16,433
|
)
| | |
$
|
(54,584
|
)
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
SUMMARY OF CREDIT QUALITY DATA, CONTINUED |
(Dollars in thousands)
|
(Unaudited)
|
|
Other Real Estate Owned Rollforward |
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Quarter Ended | | | Change from |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, | | | Mar. 31, | | | Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 | | | 2015 | | | 2014 |
Balance, beginning of period
| | | |
$
|
62,398
| | | |
$
|
65,650
| | | |
$
|
67,614
| | | |
$
|
65,080
| | | |
$
|
63,448
| | | |
$
|
(3,252
|
)
| | |
$
|
(1,050
|
)
|
Transferred in
| | | |
15,359
| | | |
15,513
| | | |
18,220
| | | |
14,854
| | | |
15,751
| | | |
(154
|
)
| | |
(392
|
)
|
Sales
| | | |
(17,164
|
)
| | |
(15,399
|
)
| | |
(13,766
|
)
| | |
(11,943
|
)
| | |
(15,998
|
)
| | |
(1,765
|
)
| | |
(1,166
|
)
|
Writedowns
| | | |
(4,003
|
)
| | |
(3,424
|
)
| | |
(5,753
|
)
| | |
(2,750
|
)
| | |
(2,782
|
)
| | |
(579
|
)
| | |
(1,221
|
)
|
Other, net
| | | |
1,417
|
| | |
58
|
| | |
(665
|
)
| | |
2,373
|
| | |
4,661
|
| | |
1,359
|
| | |
(3,244
|
)
|
Balance, end of period
| | | |
$
|
58,007
|
| | |
$
|
62,398
|
| | |
$
|
65,650
|
| | |
$
|
67,614
|
| | |
$
|
65,080
|
| | |
$
|
(4,391
|
)
| | |
$
|
(7,073
|
)
|
Allowance for Loan and Lease Losses |
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
|
| | |
| | |
| | | | At June 30, | | | At March 31, | | | At June 30, | | | | |
| | | | 2015 | | | 2015 | | | 2014 | | | Change from | |
| | | | | | | % of | | | | | | % of | | | | | | % of | | | Mar. 31, | | | Jun. 30, | |
| | | | Balance | | | Portfolio | | | Balance | | | Portfolio | | | Balance | | | Portfolio | | | 2015 | | | 2014 | |
Consumer real estate
| | | |
$
|
74,687
| | | |
1.35
|
%
| | |
$
|
80,292
| | | |
1.43
|
%
| | |
$
|
161,349
| | | |
2.68
|
%
| | |
(8
|
)
|
bps
| |
(133
|
)
|
bps
|
Commercial
| | | |
30,205
| | | |
0.97
| | | |
32,121
| | | |
1.00
| | | |
31,361
| | | |
1.01
| | | |
(3
|
)
| | |
(4
|
)
| |
Leasing and equipment finance
| | | |
17,669
| | | |
0.47
| | | |
17,921
| | | |
0.48
| | | |
19,184
| | | |
0.54
| | | |
(1
|
)
| | |
(7
|
)
| |
Inventory finance
| | | |
10,879
| | | |
0.52
| | | |
12,409
| | | |
0.53
| | | |
9,539
| | | |
0.51
| | | |
(1
|
)
| | |
1
| | |
Auto finance
| | | |
22,061
| | | |
0.96
| | | |
20,426
| | | |
0.95
| | | |
13,865
| | | |
0.92
| | | |
1
| | | |
4
| | |
Other
| | | |
614
|
| | |
2.81
| | | |
630
|
| | |
3.08
| | | |
783
|
| | |
3.20
| | | |
(27
|
)
| | |
(39
|
)
| |
Total
| | | |
$
|
156,115
|
| | |
0.93
| | | |
$
|
163,799
|
| | |
0.96
| | | |
$
|
236,081
|
| | |
1.47
| | | |
(3
|
)
| | |
(54
|
)
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED AVERAGE BALANCE SHEETS, YIELDS AND RATES |
(Dollars in thousands)
|
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Three Months Ended June 30, |
| | | | 2015 | | | 2014 |
| | | | Average | | | | | | Yields and | | | Average | | | | | | Yields and |
| | | | Balance | | | Interest(1) | | | Rates(1)(2) | | | Balance | | | Interest(1) | | | Rates(1)(2) |
ASSETS: | | | | | | | | | | | | | | | | | | | |
Investments and other
| | | |
$
|
551,630
| | | |
$
|
3,216
| | | |
2.34
|
%
| | |
$
|
623,721
| | | |
$
|
4,054
| | | |
2.61
|
%
|
Securities held to maturity
| | | |
209,834
| | | |
1,384
| | | |
2.64
| | | |
217,477
| | | |
1,443
| | | |
2.65
| |
Securities available for sale(3) | | | |
573,919
| | | |
3,566
| | | |
2.49
| | | |
408,075
| | | |
2,805
| | | |
2.75
| |
Loans and leases held for sale
| | | |
340,912
| | | |
7,774
| | | |
9.15
| | | |
240,304
| | | |
5,001
| | | |
8.35
| |
Loans and leases:
| | | | | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
2,776,177
| | | |
39,696
| | | |
5.73
| | | |
3,393,788
| | | |
48,372
| | | |
5.72
| |
Variable-rate
| | | |
2,811,510
|
| | |
35,973
|
| | |
5.13
| | | |
2,710,998
|
| | |
34,757
|
| | |
5.14
| |
Total consumer real estate
| | | |
5,587,687
| | | |
75,669
| | | |
5.43
| | | |
6,104,786
| | | |
83,129
| | | |
5.46
| |
Commercial:
| | | | | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
1,193,011
| | | |
14,954
| | | |
5.03
| | | |
1,515,353
| | | |
19,503
| | | |
5.16
| |
Variable- and adjustable-rate
| | | |
1,955,261
|
| | |
18,765
|
| | |
3.85
| | | |
1,615,967
|
| | |
16,151
|
| | |
4.01
| |
Total commercial
| | | |
3,148,272
| | | |
33,719
| | | |
4.30
| | | |
3,131,320
| | | |
35,654
| | | |
4.57
| |
Leasing and equipment finance
| | | |
3,751,776
| | | |
43,738
| | | |
4.66
| | | |
3,500,647
| | | |
41,276
| | | |
4.72
| |
Inventory finance
| | | |
2,292,481
| | | |
32,064
| | | |
5.61
| | | |
2,061,437
| | | |
30,482
| | | |
5.93
| |
Auto finance
| | | |
2,211,014
| | | |
22,633
| | | |
4.11
| | | |
1,518,194
| | | |
16,770
| | | |
4.43
| |
Other
| | | |
10,734
|
| | |
185
|
| | |
6.92
| | | |
12,040
|
| | |
230
|
| | |
7.63
| |
Total loans and leases(4) | | | |
17,001,964
|
| | |
208,008
|
| | |
4.90
| | | |
16,328,424
|
| | |
207,541
|
| | |
5.10
| |
Total interest-earning assets
| | | |
18,678,259
| | | |
223,948
| | | |
4.81
| | | |
17,818,001
| | | |
220,844
| | | |
4.97
| |
Other assets(5) | | | |
1,211,774
|
| | | | | | | | |
1,123,148
|
| | | | | | |
Total assets
| | | |
$
|
19,890,033
|
| | | | | | | | |
$
|
18,941,149
|
| | | | | | |
LIABILITIES AND EQUITY: | | | | | | | | | | | | | | | | | | | |
Non-interest bearing deposits:
| | | | | | | | | | | | | | | | | | | |
Retail
| | | |
$
|
1,699,668
| | | | | | | | | |
$
|
1,579,528
| | | | | | | |
Small business
| | | |
822,683
| | | | | | | | | |
788,540
| | | | | | | |
Commercial and custodial
| | | |
497,883
|
| | | | | | | | |
388,562
|
| | | | | | |
Total non-interest bearing deposits
| | | |
3,020,234
| | | | | | | | | |
2,756,630
| | | | | | | |
Interest-bearing deposits:
| | | | | | | | | | | | | | | | | | | |
Checking
| | | |
2,422,909
| | | |
137
| | | |
0.02
| | | |
2,363,106
| | | |
261
| | | |
0.04
| |
Savings
| | | |
5,033,329
| | | |
800
| | | |
0.06
| | | |
5,887,133
| | | |
2,406
| | | |
0.16
| |
Money market
| | | |
2,261,567
|
| | |
3,450
|
| | |
0.61
| | | |
1,019,543
|
| | |
1,098
|
| | |
0.43
| |
Subtotal
| | | |
9,717,805
| | | |
4,387
| | | |
0.18
| | | |
9,269,782
| | | |
3,765
| | | |
0.16
| |
Certificates of deposit
| | | |
3,116,718
|
| | |
6,693
|
| | |
0.86
| | | |
2,742,832
|
| | |
5,112
|
| | |
0.75
| |
Total interest-bearing deposits
| | | |
12,834,523
|
| | |
11,080
|
| | |
0.35
| | | |
12,012,614
|
| | |
8,877
|
| | |
0.30
| |
Total deposits
| | | |
15,854,757
|
| | |
11,080
|
| | |
0.28
| | | |
14,769,244
|
| | |
8,877
|
| | |
0.24
| |
Borrowings:
| | | | | | | | | | | | | | | | | | | |
Short-term borrowings
| | | |
8,246
| | | |
12
| | | |
0.63
| | | |
220,042
| | | |
145
| | | |
0.26
| |
Long-term borrowings
| | | |
1,236,465
|
| | |
5,960
|
| | |
1.93
| | | |
1,368,480
|
| | |
4,968
|
| | |
1.45
| |
Total borrowings
| | | |
1,244,711
|
| | |
5,972
|
| | |
1.92
| | | |
1,588,522
|
| | |
5,113
|
| | |
1.29
| |
Total interest-bearing liabilities
| | | |
14,079,234
|
| | |
17,052
|
| | |
0.49
| | | |
13,601,136
|
| | |
13,990
|
| | |
0.41
| |
Total deposits and borrowings
| | | |
17,099,468
| | | |
17,052
| | | |
0.40
| | | |
16,357,766
| | | |
13,990
| | | |
0.34
| |
Other liabilities
| | | |
594,352
|
| | | | | | | | |
541,458
|
| | | | | | |
Total liabilities
| | | |
17,693,820
|
| | | | | | | | |
16,899,224
|
| | | | | | |
Total TCF Financial Corp. stockholders' equity
| | | |
2,173,699
| | | | | | | | | |
2,020,815
| | | | | | | |
Non-controlling interest in subsidiaries
| | | |
22,514
|
| | | | | | | | |
21,110
|
| | | | | | |
Total equity
| | | |
2,196,213
|
| | | | | | | | |
2,041,925
|
| | | | | | |
Total liabilities and equity
| | | |
$
|
19,890,033
|
| | | | | | | | |
$
|
18,941,149
|
| | | | | | |
Net interest income and margin | | | | | | |
$
|
206,896
|
| | |
4.44
| | | | | | |
$
|
206,854
|
| | |
4.65
| |
| | | | | | | | | | | | | | | | | | |
|
(1) Interest and yields are presented on a fully tax-equivalent
basis.
|
(2) Annualized.
|
(3) Average balances and yields of securities available for sale are
based upon historical amortized cost and exclude equity securities.
|
(4) Average balances of loans and leases include non-accrual loans
and leases and are presented net of unearned income.
|
(5) Includes operating leases.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED AVERAGE BALANCE SHEETS, YIELDS AND RATES |
(Dollars in thousands)
|
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Six Months Ended June 30, |
| | | | 2015 | | | 2014 |
| | | | Average | | | | | | Yields and | | | Average | | | | | | Yields and |
| | | | Balance | | | Interest(1) | | | Rates(1)(2) | | | Balance | | | Interest(1) | | | Rates(1)(2) |
ASSETS: | | | | | | | | | | | | | | | | | | | |
Investments and other
| | | |
$
|
608,303
| | | |
$
|
6,713
| | | |
2.22
|
%
| | |
$
|
622,277
| | | |
$
|
8,039
| | | |
2.60
|
%
|
Securities held to maturity
| | | |
210,735
| | | |
2,789
| | | |
2.65
| | | |
179,509
| | | |
2,407
| | | |
2.68
| |
Securities available for sale(3) | | | |
524,582
| | | |
6,646
| | | |
2.53
| | | |
437,786
| | | |
5,968
| | | |
2.73
| |
Loans and leases held for sale
| | | |
308,709
| | | |
13,610
| | | |
8.89
| | | |
218,210
| | | |
8,979
| | | |
8.30
| |
Loans and leases:
| | | | | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
2,843,979
| | | |
83,056
| | | |
5.89
| | | |
3,446,020
| | | |
96,904
| | | |
5.67
| |
Variable-rate
| | | |
2,795,248
|
| | |
71,189
|
| | |
5.14
| | | |
2,769,663
|
| | |
70,573
|
| | |
5.14
| |
Total consumer real estate
| | | |
5,639,227
| | | |
154,245
| | | |
5.51
| | | |
6,215,683
| | | |
167,477
| | | |
5.43
| |
Commercial:
| | | | | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
1,233,186
| | | |
30,684
| | | |
5.02
| | | |
1,537,549
| | | |
38,999
| | | |
5.11
| |
Variable- and adjustable-rate
| | | |
1,917,938
|
| | |
37,014
|
| | |
3.89
| | | |
1,589,169
|
| | |
32,329
|
| | |
4.10
| |
Total commercial
| | | |
3,151,124
| | | |
67,698
| | | |
4.33
| | | |
3,126,718
| | | |
71,328
| | | |
4.60
| |
Leasing and equipment finance
| | | |
3,740,691
| | | |
87,223
| | | |
4.66
| | | |
3,467,851
| | | |
82,055
| | | |
4.73
| |
Inventory finance
| | | |
2,201,183
| | | |
61,756
| | | |
5.66
| | | |
1,968,431
| | | |
57,951
| | | |
5.94
| |
Auto finance
| | | |
2,116,604
| | | |
43,484
| | | |
4.14
| | | |
1,423,240
| | | |
31,557
| | | |
4.47
| |
Other
| | | |
11,173
|
| | |
398
|
| | |
7.19
| | | |
12,654
|
| | |
472
|
| | |
7.52
| |
Total loans and leases(4) | | | |
16,860,002
|
| | |
414,804
|
| | |
4.95
| | | |
16,214,577
|
| | |
410,840
|
| | |
5.10
| |
Total interest-earning assets
| | | |
18,512,331
| | | |
444,562
| | | |
4.83
| | | |
17,672,359
| | | |
436,233
| | | |
4.97
| |
Other assets(5) | | | |
1,223,486
|
| | | | | | | | |
1,109,685
|
| | | | | | |
Total assets
| | | |
$
|
19,735,817
|
| | | | | | | | |
$
|
18,782,044
|
| | | | | | |
LIABILITIES AND EQUITY: | | | | | | | | | | | | | | | | | | | |
Non-interest bearing deposits:
| | | | | | | | | | | | | | | | | | | |
Retail
| | | |
$
|
1,673,364
| | | | | | | | | |
$
|
1,558,414
| | | | | | | |
Small business
| | | |
813,554
| | | | | | | | | |
780,229
| | | | | | | |
Commercial and custodial
| | | |
493,590
|
| | | | | | | | |
387,749
|
| | | | | | |
Total non-interest bearing deposits
| | | |
2,980,508
| | | | | | | | | |
2,726,392
| | | | | | | |
Interest-bearing deposits:
| | | | | | | | | | | | | | | | | | | |
Checking
| | | |
2,400,957
| | | |
288
| | | |
0.02
| | | |
2,353,156
| | | |
522
| | | |
0.04
| |
Savings
| | | |
5,088,007
| | | |
1,901
| | | |
0.08
| | | |
6,003,000
| | | |
4,935
| | | |
0.17
| |
Money market
| | | |
2,205,764
|
| | |
7,017
|
| | |
0.64
| | | |
919,981
|
| | |
1,673
|
| | |
0.37
| |
Subtotal
| | | |
9,694,728
| | | |
9,206
| | | |
0.19
| | | |
9,276,137
| | | |
7,130
| | | |
0.15
| |
Certificates of deposit
| | | |
3,079,461
|
| | |
12,946
|
| | |
0.85
| | | |
2,643,639
|
| | |
9,784
|
| | |
0.75
| |
Total interest-bearing deposits
| | | |
12,774,189
|
| | |
22,152
|
| | |
0.35
| | | |
11,919,776
|
| | |
16,914
|
| | |
0.29
| |
Total deposits
| | | |
15,754,697
|
| | |
22,152
|
| | |
0.28
| | | |
14,646,168
|
| | |
16,914
|
| | |
0.23
| |
Borrowings:
| | | | | | | | | | | | | | | | | | | |
Short-term borrowings
| | | |
8,124
| | | |
30
| | | |
0.75
| | | |
159,401
| | | |
225
| | | |
0.28
| |
Long-term borrowings
| | | |
1,207,872
|
| | |
11,244
|
| | |
1.87
| | | |
1,430,941
|
| | |
10,204
|
| | |
1.43
| |
Total borrowings
| | | |
1,215,996
|
| | |
11,274
|
| | |
1.86
| | | |
1,590,342
|
| | |
10,429
|
| | |
1.31
| |
Total interest-bearing liabilities
| | | |
13,990,185
|
| | |
33,426
|
| | |
0.48
| | | |
13,510,118
|
| | |
27,343
|
| | |
0.41
| |
Total deposits and borrowings
| | | |
16,970,693
| | | |
33,426
| | | |
0.40
| | | |
16,236,510
| | | |
27,343
| | | |
0.34
| |
Other liabilities
| | | |
591,463
|
| | | | | | | | |
531,806
|
| | | | | | |
Total liabilities
| | | |
17,562,156
|
| | | | | | | | |
16,768,316
|
| | | | | | |
Total TCF Financial Corp. stockholders' equity
| | | |
2,153,851
| | | | | | | | | |
1,995,373
| | | | | | | |
Non-controlling interest in subsidiaries
| | | |
19,810
|
| | | | | | | | |
18,355
|
| | | | | | |
Total equity
| | | |
2,173,661
|
| | | | | | | | |
2,013,728
|
| | | | | | |
Total liabilities and equity
| | | |
$
|
19,735,817
|
| | | | | | | | |
$
|
18,782,044
|
| | | | | | |
Net interest income and margin | | | | | | |
$
|
411,136
|
| | |
4.47
| | | | | | |
$
|
408,890
|
| | |
4.66
| |
| | | | | | | | | | | | | | | | | | |
|
(1) Interest and yields are presented on a fully tax-equivalent
basis.
|
(2) Annualized.
|
(3) Average balances and yields of securities available for sale are
based upon historical amortized cost and exclude equity securities.
|
(4) Average balances of loans and leases include non-accrual loans
and leases and are presented net of unearned income.
|
(5) Includes operating leases.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF INCOME AND FINANCIAL HIGHLIGHTS |
(Dollars in thousands, except per-share data)
|
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Three Months Ended |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 |
Interest income: | | | | | | | | | | | | | | | | |
Loans and leases
| | | |
$
|
207,164
| | | |
$
|
205,976
| | | |
$
|
205,507
| | | |
$
|
205,604
| | | |
$
|
206,788
| |
Securities available for sale
| | | |
3,543
| | | |
3,080
| | | |
3,053
| | | |
2,973
| | | |
2,805
| |
Securities held to maturity
| | | |
1,384
| | | |
1,405
| | | |
1,429
| | | |
1,445
| | | |
1,443
| |
Investments and other
| | | |
10,990
|
| | |
9,333
|
| | |
9,819
|
| | |
9,681
|
| | |
9,055
|
|
Total interest income
| | | |
223,081
|
| | |
219,794
|
| | |
219,808
|
| | |
219,703
|
| | |
220,091
|
|
Interest expense: | | | | | | | | | | | | | | | | |
Deposits
| | | |
11,080
| | | |
11,072
| | | |
10,760
| | | |
10,711
| | | |
8,877
| |
Borrowings
| | | |
5,972
|
| | |
5,302
|
| | |
4,974
|
| | |
4,812
|
| | |
5,113
|
|
Total interest expense
| | | |
17,052
|
| | |
16,374
|
| | |
15,734
|
| | |
15,523
|
| | |
13,990
|
|
Net interest income
| | | |
206,029
| | | |
203,420
| | | |
204,074
| | | |
204,180
| | | |
206,101
| |
Provision for credit losses
| | | |
12,528
|
| | |
12,791
|
| | |
55,597
|
| | |
15,739
|
| | |
9,909
|
|
Net interest income after provision for credit losses
| | | |
193,501
|
| | |
190,629
|
| | |
148,477
|
| | |
188,441
|
| | |
196,192
|
|
Non-interest income: | | | | | | | | | | | | | | | | |
Fees and service charges
| | | |
36,295
| | | |
33,972
| | | |
39,477
| | | |
40,255
| | | |
38,035
| |
Card revenue
| | | |
13,902
| | | |
12,901
| | | |
12,830
| | | |
12,994
| | | |
13,249
| |
ATM revenue
| | | |
5,540
|
| | |
5,122
|
| | |
5,249
|
| | |
5,863
|
| | |
5,794
|
|
Subtotal
| | | |
55,737
| | | |
51,995
| | | |
57,556
| | | |
59,112
| | | |
57,078
| |
Gains on sales of auto loans, net
| | | |
10,756
| | | |
6,265
| | | |
12,962
| | | |
14,863
| | | |
7,270
| |
Gains on sales of consumer real estate loans, net
| | | |
11,954
| | | |
8,763
| | | |
6,175
| | | |
8,762
| | | |
8,151
| |
Servicing fee income
| | | |
7,216
|
|
| |
7,342
|
|
| |
6,365
|
|
| |
5,880
|
|
| |
4,892
|
|
Subtotal
| | | |
29,926
| | | |
22,370
| | | |
25,502
| | | |
29,505
| | | |
20,313
| |
Leasing and equipment finance
| | | |
26,385
| | | |
22,224
| | | |
24,367
| | | |
24,383
| | | |
23,069
| |
Other
| | | |
1,460
|
| | |
4,127
|
| | |
2,363
|
| | |
3,170
|
| | |
2,789
|
|
Fees and other revenue
| | | |
113,508
| | | |
100,716
| | | |
109,788
| | | |
116,170
| | | |
103,249
| |
Gains (losses) on securities, net
| | | |
(59
|
)
| | |
(78
|
)
| | |
(20
|
)
| | |
(94
|
)
| | |
767
|
|
Total non-interest income
| | | |
113,449
|
| | |
100,638
|
| | |
109,768
|
| | |
116,076
|
| | |
104,016
|
|
Non-interest expense: | | | | | | | | | | | | | | | | |
Compensation and employee benefits
| | | |
116,159
| | | |
115,815
| | | |
115,796
| | | |
112,393
| | | |
109,664
| |
Occupancy and equipment
| | | |
36,152
| | | |
36,827
| | | |
35,747
| | | |
34,121
| | | |
34,316
| |
FDIC insurance
| | | |
4,864
| | | |
5,393
| | | |
2,643
| | | |
7,292
| | | |
7,625
| |
Operating lease depreciation
| | | |
8,582
| | | |
7,734
| | | |
6,878
| | | |
7,434
| | | |
6,613
| |
Advertising and marketing
| | | |
5,150
| | | |
6,523
| | | |
5,146
| | | |
5,656
| | | |
6,245
| |
Other
| | | |
45,887
|
| | |
48,133
|
| | |
48,063
|
| | |
47,888
|
| | |
42,618
|
|
Subtotal
| | | |
216,794
| | | |
220,425
| | | |
214,273
| | | |
214,784
| | | |
207,081
| |
Foreclosed real estate and repossessed assets, net
| | | |
6,377
| | | |
6,196
| | | |
7,441
| | | |
5,315
| | | |
5,743
| |
Other credit costs, net
| | | |
(62
|
)
| | |
146
|
| | |
44
|
| | |
(411
|
)
| | |
371
|
|
Total non-interest expense
| | | |
223,109
|
| | |
226,767
|
| | |
221,758
|
| | |
219,688
|
| | |
213,195
|
|
Income before income tax expense
| | | |
83,841
| | | |
64,500
| | | |
36,487
| | | |
84,829
| | | |
87,013
| |
Income tax expense
| | | |
28,902
|
| | |
22,828
|
| | |
11,011
|
| | |
30,791
|
| | |
31,385
|
|
Income after income tax expense
| | | |
54,939
| | | |
41,672
| | | |
25,476
| | | |
54,038
| | | |
55,628
| |
Income attributable to non-controlling interest
| | | |
2,684
|
| | |
1,871
|
| | |
1,488
|
| | |
1,721
|
| | |
2,503
|
|
Net income attributable to TCF Financial Corporation | | | |
52,255
|
| | |
39,801
|
| | |
23,988
|
| | |
52,317
|
| | |
53,125
|
|
Preferred stock dividends
| | | |
4,847
|
| | |
4,847
|
| | |
4,847
|
| | |
4,847
|
| | |
4,847
|
|
Net income available to common stockholders | | | |
$
|
47,408
|
| | |
$
|
34,954
|
| | |
$
|
19,141
|
| | |
$
|
47,470
|
| | |
$
|
48,278
|
|
| | | | | | | | | | | | | | | |
|
Net income per common share: | | | | | | | | | | | | | | | | |
Basic
| | | |
$
|
0.29
| | | |
$
|
0.21
| | | |
$
|
0.12
| | | |
$
|
0.29
| | | |
$
|
0.30
| |
Diluted
| | | |
0.29
| | | |
0.21
| | | |
0.12
| | | |
0.29
| | | |
0.29
| |
| | | | | | | | | | | | | | | |
|
Dividends declared per common share | | | |
$
|
0.05
| | | |
$
|
0.05
| | | |
$
|
0.05
| | | |
$
|
0.05
| | | |
$
|
0.05
| |
| | | | | | | | | | | | | | | |
|
Financial highlights: | | | | | | | | | | | | | | | | |
Pre-tax pre-provision profit(1) | | | |
$
|
96,369
| | | |
$
|
77,291
| | | |
$
|
92,084
| | | |
$
|
100,568
| | | |
$
|
96,922
| |
Return on average assets(2) | | | |
1.10
|
%
| | |
0.85
|
%
| | |
0.53
|
%
| | |
1.15
|
%
| | |
1.17
|
%
|
Return on average common equity(2) | | | |
9.93
| | | |
7.47
| | | |
4.15
| | | |
10.50
| | | |
10.99
| |
Net interest margin(2) | | | |
4.44
| | | |
4.50
| | | |
4.49
| | | |
4.60
| | | |
4.65
| |
| | | | | | | | | | | | | | | |
|
(1) Pre-tax pre-provision profit is calculated as total revenues
less non-interest expense.
|
(2) Annualized.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED QUARTERLY AVERAGE BALANCE SHEETS |
(In thousands)
|
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 |
ASSETS: | | | | | | | | | | | | | | | | |
Investments and other
| | | |
$
|
551,630
| | | |
$
|
665,606
| | | |
$
|
611,286
| | | |
$
|
493,309
| | | |
$
|
623,721
|
Securities held to maturity
| | | |
209,834
| | | |
211,646
| | | |
215,039
| | | |
217,114
| | | |
217,477
|
Securities available for sale(1) | | | |
573,919
| | | |
474,697
| | | |
465,676
| | | |
446,514
| | | |
408,075
|
Loans and leases held for sale
| | | |
340,912
| | | |
276,149
| | | |
297,474
| | | |
301,512
| | | |
240,304
|
Loans and leases:
| | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
2,776,177
| | | |
2,912,535
| | | |
3,257,428
| | | |
3,292,031
| | | |
3,393,788
|
Variable-rate
| | | |
2,811,510
|
| | |
2,778,805
|
| | |
2,801,728
|
| | |
2,813,848
|
| | |
2,710,998
|
Total consumer real estate
| | | |
5,587,687
| | | |
5,691,340
| | | |
6,059,156
| | | |
6,105,879
| | | |
6,104,786
|
Commercial:
| | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
1,193,011
| | | |
1,273,806
| | | |
1,362,306
| | | |
1,443,130
| | | |
1,515,353
|
Variable- and adjustable-rate
| | | |
1,955,261
|
| | |
1,880,202
|
| | |
1,781,308
|
| | |
1,701,005
|
| | |
1,615,967
|
Total commercial
| | | |
3,148,272
| | | |
3,154,008
| | | |
3,143,614
| | | |
3,144,135
| | | |
3,131,320
|
Leasing and equipment finance
| | | |
3,751,776
| | | |
3,729,481
| | | |
3,611,557
| | | |
3,575,698
| | | |
3,500,647
|
Inventory finance
| | | |
2,292,481
| | | |
2,108,871
| | | |
1,891,504
| | | |
1,806,271
| | | |
2,061,437
|
Auto finance
| | | |
2,211,014
| | | |
2,021,144
| | | |
1,817,024
| | | |
1,603,392
| | | |
1,518,194
|
Other
| | | |
10,734
|
| | |
11,616
|
| | |
11,396
|
| | |
11,599
|
| | |
12,040
|
Total loans and leases(2) | | | |
17,001,964
|
| | |
16,716,460
|
| | |
16,534,251
|
| | |
16,246,974
|
| | |
16,328,424
|
Total interest-earning assets
| | | |
18,678,259
| | | |
18,344,558
| | | |
18,123,726
| | | |
17,705,423
| | | |
17,818,001
|
Other assets(3) | | | |
1,211,774
|
| | |
1,235,328
|
| | |
1,132,112
|
| | |
1,148,033
|
| | |
1,123,148
|
Total assets
| | | |
$
|
19,890,033
|
| | |
$
|
19,579,886
|
| | |
$
|
19,255,838
|
| | |
$
|
18,853,456
|
| | |
$
|
18,941,149
|
| | | | | | | | | | | | | | | |
|
LIABILITIES AND EQUITY: | | | | | | | | | | | | | | | | |
Non-interest-bearing deposits:
| | | | | | | | | | | | | | | | |
Retail
| | | |
$
|
1,699,668
| | | |
$
|
1,646,769
| | | |
$
|
1,528,579
| | | |
$
|
1,540,794
| | | |
$
|
1,579,528
|
Small business
| | | |
822,683
| | | |
804,323
| | | |
842,004
| | | |
823,273
| | | |
788,540
|
Commercial and custodial
| | | |
497,883
|
| | |
489,248
|
| | |
455,086
|
| | |
424,134
|
| | |
388,562
|
Total non-interest bearing deposits
| | | |
3,020,234
| | | |
2,940,340
| | | |
2,825,669
| | | |
2,788,201
| | | |
2,756,630
|
Interest-bearing deposits:
| | | | | | | | | | | | | | | | |
Checking
| | | |
2,422,909
| | | |
2,378,761
| | | |
2,301,035
| | | |
2,307,066
| | | |
2,363,106
|
Savings
| | | |
5,033,329
| | | |
5,143,295
| | | |
5,272,196
| | | |
5,506,895
| | | |
5,887,133
|
Money market
| | | |
2,261,567
|
| | |
2,149,340
|
| | |
1,869,350
|
| | |
1,527,820
|
| | |
1,019,543
|
Subtotal
| | | |
9,717,805
| | | |
9,671,396
| | | |
9,442,581
| | | |
9,341,781
| | | |
9,269,782
|
Certificates of deposit
| | | |
3,116,718
|
| | |
3,041,790
|
| | |
3,041,722
|
| | |
3,028,259
|
| | |
2,742,832
|
Total interest-bearing deposits
| | | |
12,834,523
|
| | |
12,713,186
|
| | |
12,484,303
|
| | |
12,370,040
|
| | |
12,012,614
|
Total deposits
| | | |
15,854,757
|
| | |
15,653,526
|
| | |
15,309,972
|
| | |
15,158,241
|
| | |
14,769,244
|
Borrowings:
| | | | | | | | | | | | | | | | |
Short-term borrowings
| | | |
8,246
| | | |
7,999
| | | |
9,383
| | | |
9,523
| | | |
220,042
|
Long-term borrowings
| | | |
1,236,465
|
| | |
1,178,962
|
| | |
1,326,591
|
| | |
1,060,135
|
| | |
1,368,480
|
Total borrowings
| | | |
1,244,711
|
| | |
1,186,961
|
| | |
1,335,974
|
| | |
1,069,658
|
| | |
1,588,522
|
Total interest-bearing liabilities
| | | |
14,079,234
|
| | |
13,900,147
|
| | |
13,820,277
|
| | |
13,439,698
|
| | |
13,601,136
|
Total deposits and borrowings
| | | |
17,099,468
| | | |
16,840,487
| | | |
16,645,946
| | | |
16,227,899
| | | |
16,357,766
|
Other liabilities
| | | |
594,352
|
| | |
588,541
|
| | |
485,655
|
| | |
537,864
|
| | |
541,458
|
Total liabilities
| | | |
17,693,820
|
| | |
17,429,028
|
| | |
17,131,601
|
| | |
16,765,763
|
| | |
16,899,224
|
Total TCF Financial Corporation stockholders' equity
| | | |
2,173,699
| | | |
2,133,781
| | | |
2,109,402
| | | |
2,071,140
| | | |
2,020,815
|
Non-controlling interest in subsidiaries
| | | |
22,514
|
| | |
17,077
|
| | |
14,835
|
| | |
16,553
|
| | |
21,110
|
Total equity
| | | |
2,196,213
|
| | |
2,150,858
|
| | |
2,124,237
|
| | |
2,087,693
|
| | |
2,041,925
|
Total liabilities and equity
| | | |
$
|
19,890,033
|
| | |
$
|
19,579,886
|
| | |
$
|
19,255,838
|
| | |
$
|
18,853,456
|
| | |
$
|
18,941,149
|
| | | | | | | | | | | | | | | |
|
(1) Average balances of securities available for sale are based upon
historical amortized cost and exclude equity securities.
|
(2) Average balances of loans and leases include non-accrual loans
and leases and are presented net of unearned income.
|
(3) Includes operating leases.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
CONSOLIDATED QUARTERLY YIELDS AND RATES(1)(2) |
(Unaudited)
|
|
|
|
| |
|
| |
|
| |
|
| |
|
| |
| | | | Jun. 30, | | | Mar. 31, | | | Dec. 31, | | | Sep. 30, | | | Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2014 | | | 2014 |
ASSETS: | | | | | | | | | | | | | | | |
Investments and other
| | | |
2.34
|
%
| | |
2.13
|
%
| | |
2.31
|
%
| | |
3.06
|
%
| | |
2.61
|
%
|
Securities held to maturity
| | | |
2.64
| | | |
2.66
| | | |
2.66
| | | |
2.66
| | | |
2.65
| |
Securities available for sale(3) | | | |
2.49
| | | |
2.60
| | | |
2.62
| | | |
2.66
| | | |
2.75
| |
Loans and leases held for sale
| | | |
9.15
| | | |
8.57
| | | |
8.36
| | | |
7.74
| | | |
8.35
| |
Loans and leases:
| | | | | | | | | | | | | | | | |
Consumer real estate:
| | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
5.73
| | | |
6.03
| | | |
5.71
| | | |
5.69
| | | |
5.72
| |
Variable-rate
| | | |
5.13
| | | |
5.14
| | | |
5.14
| | | |
5.15
| | | |
5.14
| |
Total consumer real estate
| | | |
5.43
| | | |
5.60
| | | |
5.45
| | | |
5.44
| | | |
5.46
| |
Commercial:
| | | | | | | | | | | | | | | | |
Fixed-rate
| | | |
5.03
| | | |
5.01
| | | |
4.92
| | | |
4.91
| | | |
5.16
| |
Variable- and adjustable-rate
| | | |
3.85
| | | |
3.94
| | | |
3.86
| | | |
3.92
| | | |
4.01
| |
Total commercial
| | | |
4.30
| | | |
4.37
| | | |
4.32
| | | |
4.37
| | | |
4.57
| |
Leasing and equipment finance
| | | |
4.66
| | | |
4.66
| | | |
4.74
| | | |
4.71
| | | |
4.72
| |
Inventory finance
| | | |
5.61
| | | |
5.71
| | | |
5.56
| | | |
6.18
| | | |
5.93
| |
Auto finance
| | | |
4.11
| | | |
4.18
| | | |
4.24
| | | |
4.36
| | | |
4.43
| |
Other
| | | |
6.92
| | | |
7.44
| | | |
7.93
| | | |
7.90
| | | |
7.63
| |
Total loans and leases
| | | |
4.90
| | | |
5.00
| | | |
4.96
| | | |
5.05
| | | |
5.10
| |
| | | | | | | | | | | | | | | |
|
Total interest-earning assets
| | | |
4.81
| | | |
4.86
| | | |
4.84
| | | |
4.95
| | | |
4.97
| |
| | | | | | | | | | | | | | | |
|
LIABILITIES: | | | | | | | | | | | | | | | | |
Interest-bearing deposits:
| | | | | | | | | | | | | | | | |
Checking
| | | |
0.02
| | | |
0.03
| | | |
0.03
| | | |
0.04
| | | |
0.04
| |
Savings
| | | |
0.06
| | | |
0.09
| | | |
0.10
| | | |
0.15
| | | |
0.16
| |
Money market
| | | |
0.61
| | | |
0.67
| | | |
0.65
| | | |
0.59
| | | |
0.43
| |
Subtotal
| | | |
0.18
| | | |
0.20
| | | |
0.19
| | | |
0.20
| | | |
0.16
| |
Certificates of deposit
| | | |
0.86
| | | |
0.83
| | | |
0.81
| | | |
0.80
| | | |
0.75
| |
Total interest-bearing deposits
| | | |
0.35
| | | |
0.35
| | | |
0.34
| | | |
0.34
| | | |
0.30
| |
Total deposits
| | | |
0.28
| | | |
0.29
| | | |
0.28
| | | |
0.28
| | | |
0.24
| |
Borrowings:
| | | | | | | | | | | | | | | | |
Short-term borrowings
| | | |
0.63
| | | |
0.89
| | | |
0.56
| | | |
0.95
| | | |
0.26
| |
Long-term borrowings
| | | |
1.93
| | | |
1.80
| | | |
1.49
| | | |
1.80
| | | |
1.45
| |
Total borrowings
| | | |
1.92
| | | |
1.79
| | | |
1.49
| | | |
1.80
| | | |
1.29
| |
| | | | | | | | | | | | | | | |
|
Total interest-bearing liabilities
| | | |
0.49
| | | |
0.48
| | | |
0.45
| | | |
0.46
| | | |
0.41
| |
| | | | | | | | | | | | | | | |
|
Net interest margin | | | |
4.44
| | | |
4.50
| | | |
4.49
| | | |
4.60
| | | |
4.65
| |
| | | | | | | | | | | | | | | |
|
(1) Annualized.
|
(2) Yields are presented on a fully tax-equivalent basis.
|
(3) Average yields of securities available for sale are based upon
historical amortized cost and exclude equity securities.
|
|
|
TCF FINANCIAL CORPORATION AND SUBSIDIARIES |
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES(1) |
(Dollars in thousands)
|
(Unaudited)
|
|
|
|
| |
|
| |
| | | | At Jun. 30, | | | At Dec. 31, |
| | | | 2015 | | | 2014 |
Computation of tangible common equity to
tangible assets: | | | | | | | |
Total equity
| | | |
$
|
2,222,022
| | | |
$
|
2,135,364
| |
Less: Non-controlling interest in subsidiaries
| | | |
19,511
|
| | |
13,715
|
|
Total TCF Financial Corporation stockholders' equity
| | | |
2,202,511
| | | |
2,121,649
| |
Less:
| | | | | | | |
Preferred stock
| | | |
263,240
| | | |
263,240
| |
Goodwill
| | | |
225,640
| | | |
225,640
| |
Other intangibles
| | | |
3,909
|
| | |
4,641
|
|
Tangible common equity
| | | |
$
|
1,709,722
|
| | |
$
|
1,628,128
|
|
| | | | | | |
|
Total assets
| | | |
$
|
19,826,350
| | | |
$
|
19,394,611
| |
Less:
| | | | | | | |
Goodwill
| | | |
225,640
| | | |
225,640
| |
Other intangibles
| | | |
3,909
|
| | |
4,641
|
|
Tangible assets
| | | |
$
|
19,596,801
|
| | |
$
|
19,164,330
|
|
| | | | | | |
|
Tangible common equity to tangible assets
| | | |
8.72
|
%
| | |
8.50
|
%
|
| | | | | | |
|
| | | | At Jun. 30, | | | At Dec. 31, |
| | | | 2015 | | | 2014 |
Computation of tangible book value per
common share: | | | | | | | |
Tangible common equity
| | | |
$
|
1,709,722
| | | |
$
|
1,628,128
| |
Common stock shares outstanding
| | | |
169,101,695
| | | |
167,461,002
| |
| | | | | | |
|
Tangible book value per common share
| | | |
$
|
10.11
| | | |
$
|
9.72
| |
|
|
|
| Three Months Ended |
|
| Six Months Ended |
| | | | Jun. 30, |
|
| Mar. 31, |
|
| Jun. 30, | | | Jun. 30, |
|
| Jun. 30, |
| | | | 2015 | | | 2015 | | | 2014 | | | 2015 | | | 2014 |
Computation of return on average tangible
common equity: | | | | | | | | | | | | | | | | |
Net income available to common stockholders
| | | |
$
|
47,408
| | | |
$
|
34,954
| | | |
$
|
48,278
| | | |
$
|
82,362
| | | |
$
|
88,188
| |
Other intangibles amortization, net of tax
| | | |
246
|
| | |
245
|
| | |
264
|
| | |
491
|
| | |
529
|
|
Adjusted net income available to common stockholders
| | | |
$
|
47,654
|
| | |
$
|
35,199
|
| | |
$
|
48,542
|
| | |
$
|
82,853
|
| | |
$
|
88,717
|
|
| | | | | | | | | | | | | | | |
|
Average balances:
| | | | | | | | | | | | | | | | |
Total equity
| | | |
$
|
2,196,213
| | | |
$
|
2,150,858
| | | |
$
|
2,041,925
| | | |
$
|
2,173,661
| | | |
$
|
2,013,728
| |
Less: Non-controlling interest in subsidiaries
| | | |
22,514
|
| | |
17,077
|
| | |
21,110
|
| | |
19,810
|
| | |
18,355
|
|
Total TCF Financial Corporation stockholders' equity
| | | |
2,173,699
| | | |
2,133,781
| | | |
2,020,815
| | | |
2,153,851
| | | |
1,995,373
| |
Less:
| | | | | | | | | | | | | | | | |
Preferred stock
| | | |
263,240
| | | |
263,240
| | | |
263,240
| | | |
263,240
| | | |
263,240
| |
Goodwill
| | | |
225,640
| | | |
225,640
| | | |
225,640
| | | |
225,640
| | | |
225,640
| |
Other intangibles
| | | |
4,110
|
| | |
4,474
|
| | |
5,711
|
| | |
4,291
|
| | |
5,921
|
|
Average tangible common equity
| | | |
$
|
1,680,709
|
| | |
$
|
1,640,427
|
| | |
$
|
1,526,224
|
| | |
$
|
1,660,680
|
| | |
$
|
1,500,572
|
|
| | | | | | | | | | | | | | | |
|
Annualized return on average tangible common equity
| | | |
11.34
|
%
| | |
8.58
|
%
| | |
12.72
|
%
| | |
9.98
|
%
| | |
11.82
|
%
|
(1)
|
|
When evaluating capital adequacy and utilization, management
considers financial measures such as tangible common equity to
tangible assets, tangible book value per common share and return on
average tangible common equity. These measures are non-GAAP
financial measures and are viewed by management as useful indicators
of capital levels available to withstand unexpected market or
economic conditions and also provide investors, regulators and other
users with information to be viewed in relation to other banking
institutions.
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20150723005654/en/
Contacts:
TCF Financial Corporation
Media:
Mark Goldman,
952-475-7050
news@tcfbank.com
or
Investors:
Jason
Korstange, 952-745-2755
investor@tcfbank.com
Source: TCF Financial Corporation
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