LAFAYETTE, La., Oct. 22, 2014 /PRNewswire/ -- IBERIABANK Corporation (NASDAQ: IBKC), holding company of the 127-year-old IBERIABANK (www.iberiabank.com), reported operating results for the third quarter ended September 30, 2014.  For the quarter, the Company reported income available to common shareholders of $29.7 million, or $0.89 per fully diluted earnings per share.  In the third quarter of 2014, the Company incurred non-operating income and costs equal to $5.8 million on a pre-tax basis, or $0.11 per share on an after-tax basis.  Excluding non-operating items, EPS in the third quarter of 2014 was $1.00 per share on a non-GAAP operating basis, compared to $0.96 per share in the second quarter of 2014 (refer to press release supplemental table.)  

The Company completed the acquisitions of Teche Holding Company ("Teche") on May 31, 2014, and First Private Holdings, Inc. ("First Private") on June 30, 2014. Financial statements reflect the impact of the acquisitions beginning on their respective acquisition dates and are subject to future refinements to purchase accounting adjustments.  The conversions of branch and operating systems for Teche were successfully completed over the weekend of June 28-29, 2014, and for First Private over the weekend of September 6-7, 2014. The Company incurred approximately $3.0 million in pre-tax conversion-related and severance costs during the third quarter of 2014.

Daryl G. Byrd, President and Chief Executive Officer, commented, "We are proud of the healthy improvement in our operating performance in the third quarter.  We experienced strong annualized organic loan and deposit growth equal to 16% and 13%, respectively.  Our operating leverage continued to improve as tax-equivalent operating revenues climbed $9 million, or 6%, while operating expenses increased $3 million, or 3%. Based on the assumptions in our current forecasts and our third quarter results, we expect our operating EPS for the full-year 2014 will be on the upper-end of our previously provided EPS guidance range of $3.65 to $3.70 per share.  We remain focused on enhancing long-term shareholder value through improved operating leverage and profitability and we are progressing well on our strategic financial targets."

Byrd continued, "We are also particularly pleased with our continuous focus on franchise development.  Our team has demonstrated an ability to expand our client base through various credit and interest rate cycles over the last 15 years and we have done so in an extraordinarily high-quality manner.  Our growth has been achieved through both organic and acquisition means.  We are delighted to find strategic partners who share our vision of exceptional client service, franchise strength, and opportunity."

Highlights for the third quarter of 2014 and September 30, 2014:

• On October 3, 2014, the Company announced the signing of a definitive agreement to acquire by merger Florida Bank Group, Inc. ("Florida Bank Group") based in Tampa, Florida.  At September 30, 2014, Florida Bank Group had total assets of $518 million, gross loans of $324 million, and total deposits of $393 million.  The Company anticipates closing the transaction in the first quarter of 2015, subject to customary closing conditions, including the receipt of regulatory approvals and the approval of Florida Bank Group's shareholders.
• The Company's tangible operating efficiency ratio improved from 68.3% in the second quarter of 2014 to 66.4% in the third quarter of 2014.  Based on current estimates, the Company forecasts a tangible efficiency ratio of approximately 67% in the fourth quarter of 2014.
• On a linked quarter basis, operating non-interest income decreased $2.9 million, or 6%, in the third quarter of 2014. Mortgage income decreased $5.1 million, or 29%, title revenue increased $0.3 million, or 6%, service charge income increased $2.0 million, or 24%, and capital markets income decreased $0.3 million, or 9%, on a linked quarter basis. 
• Total loan growth was $181 million, or 2%, between quarter-ends, while legacy loan growth, which excludes all assets covered under FDIC loss share agreements and other non-covered acquired assets (collectively, "Acquired Assets"), increased $348 million, or 4%, between quarter-ends (16% annualized rate). The loan growth was well balanced between small business (25%), consumer (33%), and commercial (42%).
• Total deposits increased $397 million, or 3%, between quarter-ends.  Core deposits, which excludes time deposits, increased $307 million, or 3% (12% annualized rate).  Non-interest-bearing deposits increased $110 million, or 4%, between quarter-ends (14% on an annualized basis).
• The Company's legacy asset quality remained strong in the third quarter of 2014.  At September 30, 2014, and excluding Acquired Assets, nonperforming assets ("NPAs") equated to 0.46% of total assets, loans past due 30 days or more equated to 0.55% of total loans, and classified assets equated to 0.50% of total assets.
• Net charge-offs totaled $2.2 million in the third quarter of 2014, or an annualized 0.08% of average loans.  Over the past 11 quarters, net charge-offs averaged 0.05% of average loans.  The Company recorded a $5.7 million loan loss provision, compared to $4.7 million in the second quarter of 2014.  
• The net interest margin decreased one basis point on a linked quarter basis to 3.47%, which was within the previously disclosed guidance range of 3.45% to 3.50%. The Company's growth in excess liquidity during the third quarter accounted for a one basis point decline in the net interest margin on a linked quarter basis. Based on interest rate risk modeling and other factors, management stated its expectation of the net interest margin in the fourth quarter of 2014 to be in the range of 3.40% to 3.45%.

Operating Results

On a linked quarter basis, average earning assets increased $1.3 billion, or 10%, as average loans increased $1.0 billion, or 10%, average indemnification asset ("IA") declined $20 million, or 15%, average investment securities increased $28 million, or 1%, and other earning assets increased $259 million, or 84%. Also on a linked quarter basis, the average earning asset yield increased one basis point, and the cost of interest-bearing liabilities increased three basis points.  As a result, the net interest spread decreased two basis points, and the net interest margin decreased one basis point.  Tax-equivalent net interest income increased $12 million, or 11%, as average earning assets increased significantly while the net interest margin declined slightly.

During the third quarter, the non-covered loan yield increased seven basis points, while the net covered loan yield (net of IA amortization) decreased nine basis points.  The average covered loan volume declined $66 million, or 11%.  As a result of the reduction in yield and volume, the associated net covered income declined $0.8 million on a linked quarter basis, which was slightly better than management's expectations. 

For the fourth quarter of 2014, the Company projects the prospective yield on the covered loan portfolio net of the IA amortization to approximate 3.68%, compared to 3.07% in the third quarter.  The average balance of the net covered loan portfolio is projected to decline approximately $62 million, based on current cash flow assumptions and estimates.  Net income on the covered loan portfolio is projected to increase approximately $0.2 million between the third and fourth quarters of 2014. In the third quarter of 2014, the net covered income equated to less than 4% of total net income, compared to 11% in the full year of 2013.

On a period-end basis, the IA declined $26 million, or 21%, from $121 million at June 30, 2014, to $95 million at September 30, 2014.  During the third quarter of 2014, the Company included an impairment charge on its IA of $4.8 million, which is included in non-operating expenses in Table 11. The impairment charge was a result of a change in the timing of covered OREO sales that were deferred to early 2015.  The portion of the IA collectible from the FDIC increased $6 million, or 27%.  Approximately $5 million of the $6 million increase in FDIC-related IA is considered temporary and will likely reverse in the fourth quarter of 2014 due to the anticipated collection of certificate proceeds.  The portion of the IA collectible from other real estate owned ("OREO") and customers declined $32 million, or 32%.

Aggregate non-interest income decreased $2.3 million, or 5%, on a linked quarter basis.  Excluding non-operating items, operating non-interest income decreased $2.9 million, or 6%.  The primary changes in operating non-interest income on a linked quarter basis were:

• Decreased mortgage income of $5.1 million, or 29%;
• Decreased fees on client derivative income of $0.6 million, or 60%; and
• Decreased capital markets revenue of $0.3 million, or 9%; partially offset by
• Increased service charge income of $2.0 million, or 24%;
• Increased ATM/debit card fee income of $0.4 million, or 12%; and
• Increased title revenue of $0.3 million, or 6%.

The $5.1 million decrease in mortgage income was primarily the result of $7 million lower market value adjustments (a negative $4.5 million adjustment in the third quarter of 2014 compared to a $2.5 million positive adjustment in the second quarter of 2014.)  The Company experienced higher production and sales volumes, and favorable pricing dynamics.  Mortgage commission and production incentives expense (which is included in non-interest expense) increased $0.4 million, or 12%, on a linked quarter basis.

In the third quarter of 2014, the Company originated $456 million in residential mortgage loans, up $20 million, or 5%, on a linked quarter basis.  Client loan refinancing opportunities accounted for approximately 25% of mortgage loan applications in the third quarter of 2014, compared to 13% in the second quarter of 2014.  The Company sold $488 million in mortgage loans during the third quarter of 2014, up $93 million, or 24%, on a linked quarter basis.  The mortgage origination locked pipeline and loans held for sale decreased $40 million, or 11% between June 30, 2014, and September 30, 2014.  At October 10, 2014, the locked pipeline was $194 million, up $15 million, or 8% compared to September 30, 2014.  The mortgage loan origination business primarily focuses on retail mortgage loans originated by the Company.

Service charge income increased $2.0 million, or 24%, on a linked quarter basis.  This revenue increase was significantly influenced by the Teche and First Private acquisitions and seasonality differences between the quarters.

Assets under management at IBERIA Wealth Advisors ("IWA") were $1.2 billion at September 30, 2014. Due to seasonal influences and other factors, revenues for IWA decreased 4% on a linked quarter basis, and were down 3% compared to the third quarter of 2013.  IBERIA Financial Services revenues increased 4% on a linked quarter basis, and were up 12% compared to the third quarter of 2013.  IBERIA Capital Partners experienced a $0.3 million, or 9% decline in revenues on a linked quarter basis, due to lower investment banking income as a result of negative market conditions, partially offset by improved trading and research income.

Non-interest expense decreased $7.3 million, or 6%, on a linked quarter basis, while operating expense increased $3.4 million, or 3%.  The third quarter of 2014 included the operating expenses of Teche and First Private for a full three-month period, whereas the second quarter of 2014 included only one month of Teche's operating expenses.  The differential in operating expenses due to the timing of the consummation of the acquisitions was approximately $1.7 million.  Operating expense changes included the following on a linked-quarter basis:

• Increased provision for unfunded commitments (included in credit/loan related expense) of $1.1 million;
• Increased hospitalization expense of $1.0 million, or 26%;
• Increased occupancy and equipment expense of $0.7 million, or 5%; and
• Increased mortgage commissions of $0.4 million, or 12%; partially offset by
• Decreased other salary and benefit expenses of $1.0 million, or 2%.

Through the third quarter of 2014, the Company achieved approximately 85% of the targeted run-rate expense savings of $10.7 million. The Company continues to review its operating metrics for future opportunities to improve revenues and reduce expenses, and remains comfortable with the targeted run-rate savings during 2014.

Loans

Total loans increased $181 million, or 2%, between June 30, 2014, and September 30, 2014.  The loan portfolio covered under FDIC loss share protection at September 30, 2014, decreased $61 million, or 10%, compared to June 30, 2014.  Excluding covered and Acquired Assets, total loans increased $348 million, or 4% (16% annualized rate), during the third quarter. Legacy commercial loans increased $234 million, or 4% (which included $87 million in business banking loan growth, up 12%, or 48% annualized rate), legacy consumer loans increased $74 million, or 4%, and legacy mortgage loans increased $39 million, or 9%, during the quarter.  Loan origination and renewal growth during the third quarter of 2014 were strongest in the Houston, Acadiana, New Orleans, Dallas, and Naples markets.  Funded loan origination and renewal mix in the third quarter of 2014 was 44% fixed rate and 56% floating rate, and total loans outstanding (excluding nonaccruals) were 49% fixed and 51% floating.  Loans and commitments originated and/or renewed during the third quarter of 2014 totaled $1.2 billion (up 26% on a linked quarter basis).  Energy-related loans outstanding totaled $840 million at September 30, 2014, up $21 million, or 3%, compared to June 30, 2014, and equated to approximately 8% of total loans. The Company had no student loans outstanding at September 30, 2014.

Deposits

Total deposits increased $397 million, or 3%, from June 30, 2014 to September 30, 2014.  Non-interest-bearing deposits increased $110 million, or 4%, and equated to 26% of total deposits at September 30, 2014.  NOW accounts decreased $39 million, or 2%, while money market and savings account volume increased $237 million, or 5%, between June 30, 2014 and September 30, 2014.  Time deposits increased $89 million, or 4% between quarter-ends.  Period-end deposit growth during the third quarter of 2014 was strongest in the Houston, New Orleans, Little Rock, Dallas, and Birmingham markets.

On an average balance and linked quarter basis, non-interest-bearing deposits increased $309 million, or 11%, and interest-bearing deposits increased $842 million, or 10%.  The rate on average interest-bearing deposits in the third quarter of 2014 was 0.40%, an increase of five basis points on a linked quarter basis. 

Other Assets And Funding

Excess liquidity averaged $489 million in the third quarter of 2014, up $252 million, or 106%, on a linked quarter basis.  The investment portfolio increased $47 million, or 2%, to $2.2 billion on average in the third quarter of 2014.  On a period-end basis, the investment portfolio equated to $2.2 billion, or 14% of total assets at September 30, 2014, unchanged compared to June 30, 2014.  The investment portfolio had an effective duration of 3.2 years at September 30, 2014, a slight decrease compared to June 30, 2014.  The investment portfolio had a $0.6 million unrealized gain at September 30, 2014.  The average yield on investment securities decreased four basis points on a linked quarter basis to 2.20% in the third quarter of 2014.  The Company holds in its investment portfolio primarily government agency securities.  Municipal securities comprised only 7% of total investments at September 30, 2014.  The Company holds for investment no sovereign debt, corporate debt or equity securities, trust preferred securities, or derivative exposure to foreign counterparties.

On a linked quarter basis, average short-term debt increased $12 million, or 1%, and the cost of short-term debt increased one basis point.  Average long-term debt increased $54 million, or 18%, and the cost of debt decreased 59 basis points to 2.75%.  The cost of average interest-bearing liabilities was 0.46% in the third quarter of 2014, an increase of three basis points on a linked quarter basis.

Asset Quality

Legacy assets consist of assets originated by the company and not acquired. To provide additional consistency and transparency for financial reporting of Acquired Assets, the Company divides Acquired Assets into these distinct categories:

1. Acquired Assets that are scheduled to lose FDIC loss share coverage on October 1, 2014;
2. Acquired Assets that are scheduled to lose FDIC loss share coverage over the next 12 months;
3. Acquired Assets that will continue to be covered under FDIC loss share coverage beyond the next 12 months;
4. Acquired Assets not covered under FDIC loss share agreements using SOP accounting treatment (in accordance with ASC Topic 310-30); and
5. Acquired Assets not covered under FDIC loss share agreements not using SOP accounting treatment.

Between June 30, 2014 and September 30, 2014, legacy NPAs decreased $7 million, or 11%, due to $6 million in former bank branches and related land that were sold out of OREO during the third quarter of 2014.  At September 30, 2014, those bank-related properties in OREO totaled $13 million, or 21% of total NPAs.  Legacy NPAs equated to 0.46% of total assets at September 30, 2014, and 0.37% of total assets excluding bank-related properties.  Loans past due 30 days or more (including non-accruing loans) increased $2 million, or 5%, and represented 0.55% of total loans at September 30, 2014, unchanged compared to June 30, 2014. 

Table F provides a breakdown of Acquired Assets under the other five categories pertaining to Acquired Assets and the asset quality performance measures associated with Acquired Assets in each category. 

Capital Position

The Company maintains favorable capital strength.  At September 30, 2014, the Company reported a tangible common equity ratio of 8.47%, up one basis point compared to June 30, 2014.  At September 30, 2014, the Company's preliminary Tier 1 leverage ratio was 9.22%, down 81 basis points compared to June 30, 2014 (the decline in the Tier 1 leverage capital ratio was due to the manner in which the leverage ratio is calculated using capital in the numerator at period-end and average total assets in the denominator.) The Company's preliminary total risk-based capital ratio at September 30, 2014, was 12.42%, down one basis point compared to June 30, 2014. 

Commencing in 2015, the Company will experience a 50% phase-out of Tier 1 capital treatment for its trust preferred securities with no commensurate change in total regulatory capital.  In addition, by year-end 2014, the Company will experience the expiration of FDIC loss share protection on non-single family loans associated with three FDIC-assisted transactions.  The expiration of FDIC loss share coverage on those assets will result in increased risk weighting associated with those assets. The influence of the phase-out of Tier 1 treatment on trust preferred securities and the scheduled expiration of certain FDIC loss share coverage is estimated to reduce the Company's Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk based capital ratio by approximately 36, 59, and 17 basis points, respectively, beginning in 2015.

On October 26, 2011, the Company announced a share repurchase program totaling 900,000 shares of common stock. No shares were repurchased under this program during the third quarter of 2014.  A total of 46,692 shares remain under the currently authorized share repurchase program.

At September 30, 2014, book value per share was $54.35, up $0.49 per share compared to June 30, 2014. Tangible book value per share was $37.91, up $0.50 per share compared to June 30, 2014.  Based on the closing stock price of the Company's common stock of $63.59 per share on October 22, 2014, this price equated to 1.17 times September 30, 2014 book value and 1.68 times September 30, 2014 tangible book value per share.

On September 16, 2014, the Company declared a quarterly cash dividend of $0.34 per share. This dividend level equated to an annualized dividend rate of $1.36 per share and an indicated dividend yield of 2.14%.

IBERIABANK Corporation

The Company is a financial holding company with 278 combined offices, including 186 bank branch offices and three loan production offices in Louisiana, Arkansas, Tennessee, Alabama, Texas, and Florida, 22 title insurance offices in Arkansas and Louisiana, and mortgage representatives in 58 locations in 10 states.  The Company has eight locations with representatives of IBERIA Wealth Advisors in four states, and one IBERIA Capital Partners, L.L.C. office in New Orleans.

The Company's common stock trades on the NASDAQ Global Select Market under the symbol "IBKC."  The Company's market capitalization was approximately $2.1 billion, based on the NASDAQ Global Select Market closing stock price on October 22, 2014.

The following 11 investment firms currently provide equity research coverage on the Company:

• Bank of America Merrill Lynch
• FIG Partners, LLC
• Jefferies & Co., Inc.
• Keefe, Bruyette & Woods, Inc.
• Raymond James & Associates, Inc.
• Robert W. Baird & Company
• Sandler O'Neill + Partners, L.P.
• Stephens, Inc.
• Sterne, Agee & Leach
• SunTrust Robinson-Humphrey
• Wunderlich Securities

Conference Call

In association with this earnings release, the Company will host a live conference call to discuss the financial results for the quarter just completed. The telephone conference call will be held on Thursday, October 23, 2014, beginning at 8:30 a.m. Central Time by dialing 1-800-230-1096. The confirmation code for the call is 338575.  A replay of the call will be available until midnight Central Time on October 30, 2014 by dialing 1-800-475-6701. The confirmation code for the replay is 338575.  The Company has prepared a PowerPoint presentation that supplements information contained in this press release.  The PowerPoint presentation may be accessed on the Company's web site, www.iberiabank.com, under "Investor Relations" and then "Presentations."

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with GAAP. The Company's management uses these non-GAAP financial measures in their analysis of the Company's performance. These measures typically adjust GAAP performance measures to exclude the effects of the amortization of intangibles and include the tax benefit associated with revenue items that are tax-exempt, as well as adjust income available to common shareholders for certain significant activities or transactions that in management's opinion can distort period-to-period comparisons of the Company's performance. Since the presentation of these GAAP performance measures and their impact differ between companies, management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.  Reconciliations of GAAP to non-GAAP disclosures are included as tables at the end of this release.  Refer to press release supplemental table for this reconciliation.

Assumptions Regarding Projected Earnings in Future Periods

The Company's net interest margin and operating EPS guidance for full year 2014 were based on the following significant assumptions:

• Recent forward interest rate curve projections;
• No significant change in credit quality;
• No significant changes to the preliminary purchase accounting marks assumed on the Company's most recently completed acquisitions;
• No significant cash flow or credit quality changes on Acquired Assets;
• Achieving the $10.7 million in recently disclosed earnings enhancement initiatives; and
• Mortgage and title insurance projections continue to reflect the current environment and expectations.

Caution About Forward-Looking Statements

This release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995.  In general, forward-looking statements usually use words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan," "estimate," "predict," "continue" and "potential" or the negative of these terms or other comparable terminology, including statements related to the expected timing of the closing of the proposed merger, the expected returns and other benefits of the proposed merger to shareholders, expected improvement in operating efficiency resulting from the proposed merger, estimated expense reductions resulting from the transaction and the timing of achievement of such reductions, the impact on and timing of the recovery of the impact on tangible book value, and the effect of the merger on IBKC's capital ratios.  Forward-looking statements represent management's beliefs, based upon information available at the time the statements are made, with regard to the matters addressed; they are not guarantees of future performance.  Forward-looking statements are subject to numerous assumptions, risks and uncertainties that change over time and could cause actual results or financial condition to differ materially from those expressed in or implied by such statements, and there can be no assurances that: the proposed merger will close when expected, the expected returns and other benefits of the proposed merger to shareholders will be achieved, the expected operating efficiencies will result, estimated expense reductions resulting from the transaction will occur as and when expected, the impact on tangible book value will be recovered or as expected or that the effect on IBKC's capital ratios will be as expected.  Factors that could cause or contribute to such differences include, but are not limited to, the possibility that expected benefits may not materialize in the time frames expected or at all, or may be more costly to achieve; that the merger transaction may not be timely completed, if at all; that prior to completion of the merger transaction or thereafter, the parties' respective businesses may not perform as expected due to transaction-related uncertainties or other factors; that the parties are unable to implement successful integration strategies; that the required regulatory, shareholder, or other closing conditions are not satisfied in a timely manner, or at all; reputational risks and the reaction of the parties' customers to the merger transaction; diversion of management time to merger-related issues; and other factors and risk influences contained in the cautionary language included under the headings "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" in IBKC's Form 10-K for the fiscal year ended December 31, 2013, and Form 10-Qs for the quarters ended March 31, 2014, June 30, 2014, and other documents subsequently filed by IBKC with the SEC.  Consequently, no forward-looking statement can be guaranteed. Neither IBKC nor Florida Bank Group undertakes any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. For any forward-looking statements made in this press release or any related documents, IBKC and Florida Bank Group claim protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

This communication is being made in respect of the proposed merger transaction involving IBKC and Florida Bank Group. This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the proposed merger, IBKC will file with the SEC a registration statement on Form S-4 that will include a proxy statement/prospectus for the shareholders of Florida Bank Group. IBKC also plans to file other documents with the SEC regarding the proposed merger transaction with Florida Bank Group.  Florida Bank Group will mail the final proxy statement/prospectus to its shareholders. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS ARE URGED TO READ THE PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. The proxy statement/prospectus, as well as other filings containing information about IBKC and Florida Bank Group, will be available without charge, at the SEC's Internet site (http://www.sec.gov). Copies of the proxy statement/prospectus and the filings with the SEC that will be incorporated by reference in the proxy statement/prospectus can also be obtained, when available, without charge, from  IBKC's website (http://www.iberiabank.com), under the heading "Investor Information" and on Florida Bank Group's website, at (www.flbank.com).

IBKC and Florida Bank Group, and certain of their respective directors, executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies from the shareholders of Florida Bank Group in respect of the proposed merger transaction. Information regarding the directors and executive officers of IBKC is set forth in the definitive proxy statement for IBKC's 2014 annual meeting of shareholders, as filed with the SEC on April 7, 2014, and in Forms 3, 4 and 5 filed with the SEC by its officers and directors.  Information regarding the directors and executive officers of Florida Bank Group who may be deemed participants in the solicitation of the shareholders of Florida Bank Group in connection with the proposed transaction will be included in the proxy statement/prospectus for Florida Bank Group's special meeting of shareholders, which will be filed by IBKC with the SEC.  Additional information regarding the interests of such participants will be included in the proxy statement/prospectus and other relevant documents regarding the proposed merger transaction filed with the SEC when they become available.