Landlords increasing rents to pay for extra regulatory costs

first_imgHome » News » Associations & Bodies » Landlords increasing rents to pay for extra regulatory costs previous nextHousing MarketLandlords increasing rents to pay for extra regulatory costsARLA’s David Cox says number of tenants facing rent rises is beginning to increase once more as landlords seek to offset extra costs.Nigel Lewis26th April 20180768 Views The Association of Residential Letting Agents (ARLA) says the private rental market is ‘holding steady’ but warns there is trouble ahead for tenants as landlords increase their rents to pay for the increased costs created by the recent extra legislative changes.This includes the recent increases in tax relief, the new minimum energy efficiency standards that kicked in on April 1st and also the looming tenant fees ban.The proportion of rental properties managed by agents which saw their rents rise increased to 23% during March, the highest since September 2017 but still lower year-on-year when compared to the past three years.Both the number of rental homes managed by agents, and the number of tenants applying to rent properties increased per branch during March, by 2.5% and 8% respectively.This is continuing to push up rents, which HomeLet says increased by 0.9% on average across the UK, and 1.5% in London, and rose in ten out of the UK’s 12 regions.“For the last two decades, successive Governments have passed significant amounts of complex legislation for landlords, none of which have been properly policed or adequately enforced – but most of which cost decent landlords a lot of money,” says ARLA Propertymark Chief Executive David Cox (pictured, above).“This is why we’re so supportive of the Government’s proposals to crack down on rogue agents, and more recently, plans to confiscate properties from criminal landlords.“The announcements mark a sensible shift towards focusing on the root cause of the issues affecting the sector, rather than trying to find solutions to individual problems.“This, coupled with greater rental stock is the key to fixing Britain’s broken rental sector.”HomeLet lettings renting PRS private rental sector ARLA Association of Residential Letting Agents David Cox April 26, 2018Nigel LewisWhat’s your opinion? Cancel replyYou must be logged in to post a comment.Please note: This is a site for professional discussion. Comments will carry your full name and company.This site uses Akismet to reduce spam. Learn how your comment data is processed.Related articles Letting agent fined £11,500 over unlicenced rent-to-rent HMO3rd May 2021 BREAKING: Evictions paperwork must now include ‘breathing space’ scheme details30th April 2021 City dwellers most satisfied with where they live30th April 2021last_img read more

Chittenden Bank parent company reports flat earnings

first_imgPeople’s United Bank,People’s United Financial, Inc. (Nasdaq: PBCT) announced July 16, 2009, net income of $27.4 million, or $0.08 per share, for the second quarter of 2009, compared to $26.7 million, or $0.08 per share, for the first quarter of 2009, and $43.0 million, or $0.13 per share, for the second quarter of 2008. Second quarter 2009 earnings reflect continued margin pressure associated with the historically low interest rate environment and the company’s asset sensitive balance sheet, and security gains that served to offset an FDIC special assessment charge.For the second quarter of 2009, return on average tangible assets was 0.57 percent and return on average tangible stockholders’ equity was 3.0 percent, compared to 0.57 percent and 2.9 percent, respectively, for the first quarter of 2009. At June 30, 2009, People’s United Financial’s tangible equity ratio stood at 18.7 percent.The Board of Directors of People’s United Financial declared a $0.1525 per share quarterly dividend, payable August 15, 2009 to shareholders of record on August 1, 2009. Based on the closing stock price on July 15, 2009, the dividend yield on People’s United Financial common stock is 3.9 percent.”Our second quarter performance reflects continued growth in our core commercial and home equity loan portfolios and deposits during a difficult economic environment, specifically as it relates to the current level of interest rates and our asset-sensitive balance sheet,” stated Philip R. Sherringham, President and Chief Executive Officer. “However, the pillars of our financial position – strong asset quality and prudent management of our excess capital – have served us well in these challenging times. Modest levels of net loan charge-offs and nine percent year-over-year growth in our core lending portfolios continue to differentiate us from most in the banking sector. Despite an increase in non-performing assets during the quarter as the economy continued to show signs of weakness, we still believe that any potential losses attributable to those assets will be limited.”Sherringham added, “While we are well-positioned to benefit from future increases in interest rates given our asset-sensitivity, the current rate environment continues to pressure our net interest margin. Our strategic focus remains on expansion through opportunistic acquisitions even as we continue to pursue organic growth throughout our franchise. The strength of our capital and liquidity, asset quality and earnings, as well as the fact that our balance sheet continues to be funded almost entirely by deposits and stockholders’ equity, are features that set us apart from most in the industry.”Sherringham continued, “We believe one important catalyst for growth is our ability to enhance the customer experience. With this in mind, we were very pleased to announce in May that J.D. Power and Associates ranked People’s United Bank ‘Highest Customer Satisfaction with Retail Banking in the New England Region.’ This recognition underscores our long-term commitment to our customers. Our continued core business growth in these challenging times is, of course, the most tangible indication of our customers’ satisfaction.””Significant drivers of the company’s performance this quarter were loan growth across our strategic lending businesses, continued low levels of net loan charge-offs, improved fee income, and expense control, partially offset by continued margin pressure and our decision to increase the allowance for loan losses,” said Paul D. Burner, Senior Executive Vice President and Chief Financial Officer. “Compared to the first quarter of 2009, average commercial banking loans, excluding shared national credits, increased $125 million, or 6 percent annualized, while our home equity loan portfolio increased $20 million, or 4 percent annualized.”Burner continued, “In addition, during the second quarter, mortgage-backed securities with a book value of $723 million were sold, with a portion of the proceeds reinvested in mortgage-backed securities with longer maturities and substantially-equivalent yields. This investment portfolio repositioning, which was undertaken to mitigate prepayment risk, generated security gains totaling $12.0 million. Total non-interest expense, adjusted for the FDIC special assessment charge in the second quarter and one-time charges in the first quarter, increased a modest $1.5 million during the period. The 13 basis point decline in the net interest margin was primarily attributable to an increase of $540 million, or 15 percent annualized, in average deposits during the second quarter that were invested in federal funds at 25 basis points.”Commenting on asset quality, Burner stated, “As previously disclosed, a single shared national credit accounted for $17 million, or 40 percent, of the increase in non-performing loans this quarter. Another $9.1 million, or 22 percent, of the increase was attributable to the residential mortgage portfolio, which is a reflection of higher levels of unemployment across our franchise, while $7.5 million, or 18 percent, of the increase was noted within the equipment financing portfolio, reflecting broader economic weakness. Notwithstanding the increase in non-performing assets, our continued low level of net loan charge-offs in this current economic environment is a testament to our disciplined underwriting standards.”Second quarter net loan charge-offs totaled $6.0 million compared to $6.4 million in the first quarter of 2009. Net loan charge-offs as a percent of average loans on an annualized basis were 0.16 percent in the second quarter of 2009 compared to 0.18 percent in this year’s first quarter. The provision for loan losses in the second quarter of 2009 reflects an $8.0 million increase in the allowance for loan losses to $167.0 million at June 30, 2009.At June 30, 2009, non-performing loans totaled $168.0 million and the ratio of non-performing loans to total loans was 1.15 percent, compared to $126.1 million and 0.86 percent, respectively, at March 31, 2009. Non-performing assets totaled $182.0 million at June 30, 2009, a $40.0 million increase from March 31, 2009. Non-performing assets equaled 1.25 percent of total loans, REO and repossessed assets at June 30, 2009 compared to 0.97 percent at March 31, 2009. At June 30, 2009, the allowance for loan losses as a percentage of total loans was 1.15 percent and as a percentage of non-performing loans was 99 percent, compared to 1.09 percent and 126 percent, respectively, at March 31, 2009.Conference CallOn July 17, 2009, at 11 a.m., Eastern Time, People’s United Financial will host a conference call to discuss this earnings announcement. The call may be heard through www.peoples.com(link is external) by selecting “Investor Relations” in the “About People’s” section on the home page, and then selecting “Conference Calls” in the “News and Events” section. Additional materials relating to the call may also be accessed at People’s United Bank’s web site. The call will be archived on the web site and available for approximately 90 days.Selected Financial TermsIn addition to evaluating People’s United Financial’s results of operations in accordance with generally accepted accounting principles (“GAAP”), management routinely supplements this evaluation with an analysis of certain non-GAAP financial measures, such as the efficiency ratio. Management believes this non-GAAP financial measure provides information useful to investors in understanding People’s United Financial’s underlying operating performance and trends, and facilitates comparisons with the performance of other banks and thrifts. Further, the efficiency ratio is used by management in its assessment of financial performance specifically as it relates to non-interest expense control.The efficiency ratio, which represents an approximate measure of the cost required by People’s United Financial to generate a dollar of revenue, is the ratio of total non-interest expense (excluding goodwill impairment charges, amortization of acquisition-related intangibles and fair value adjustments, losses on real estate assets and nonrecurring expenses) to net interest income on a fully taxable equivalent basis (excluding fair value adjustments) plus total non-interest income (including the fully taxable equivalent adjustment on bank-owned life insurance income, and excluding gains and losses on sales of assets, other than residential mortgage loans, and nonrecurring income). People’s United Financial generally considers an item of income or expense to be nonrecurring if it is not similar to an item of income or expense of a type incurred within the last two years and is not similar to an item of income or expense of a type reasonably expected to be incurred within the following two years.2Q 2009 Financial HighlightsSummaryNet income totaled $27.4 million, or $0.08 per share.Net interest income on a fully taxable equivalent basis totaled $142.1 million.Net interest margin decreased 13 basis points from 1Q09 to 3.12%.Average investments, excluding mortgage-backed securities, totaled $2.9 billion, or 16% of average earning assets, and yielded 0.27% in 2Q09.Average deposits increased $540 million, or 15% annualized, from 1Q09.Provision for loan losses totaled $14.0 million.Net loan charge-offs totaled $6.0 million in 2Q09 compared to $6.4 million in 1Q09.The allowance for loan losses was increased by $8.0 million in 2Q09 from 1Q09 levels.Non-interest income, excluding net security gains, totaled $73.0 million in 2Q09 compared to $66.8 million in 1Q09.Bank service charges increased $2.5 million from 1Q09.Gains on sales of residential mortgage loans increased $1.9 million from 1Q09.Net security gains totaled $12.0 million in 2Q09 and $5.4 million in 1Q09.Non-interest expense, excluding an FDIC special assessment charge and one-time charges, totaled $164.7 million in 2Q09 compared to $163.2 million in 1Q09.FDIC special assessment charge in 2Q09 totaled $8.4 million.One-time charges in 1Q09 totaled $4.4 million.Effective income tax rate was 30.0% in 2Q09 and 31.2% in the first six months of 2009.Commercial BankingAverage commercial banking loans, excluding shared national credits, increased $125 million, or 6% annualized, from 1Q09 to $8.7 billion.Shared national credits totaled $617.3 million at June 30, 2009, a $55.0 million decrease from March 31, 2009.Non-performing commercial banking assets totaled $122.5 million at June 30, 2009, a $32.6 million increase from March 31, 2009.The ratio of non-performing commercial banking loans to total commercial banking loans was 1.21% at June 30, 2009 compared to 0.85% at March 31, 2009.Net loan charge-offs totaled $3.3 million, or 0.15% annualized, of average commercial banking loans in 2Q09, compared to $3.7 million, or 0.16% annualized, in 1Q09.Retail & Small Business BankingAverage residential mortgage loans totaled $3.0 billion, a $157 million decrease (excluding loans held for sale) from 1Q09, reflecting People’s United Financial’s strategy to sell essentially all newly-originated loans.Average home equity loans increased $20 million, or 4% annualized, from 1Q09 to $2.0 billion.Average indirect auto loans totaled $0.2 billion, unchanged from 1Q09.Home equity net loan charge-offs totaled $0.6 million, or 0.13% annualized, of average home equity loans.Indirect auto net loan charge-offs totaled $0.7 million, or 1.14% annualized, of average indirect auto loans.Wealth ManagementInvestment management fees increased $1.1 million from 1Q09, primarily reflecting the increase in assets under custody and management resulting from the improvement in the equity markets.Insurance revenue declined $1.5 million from 1Q09, reflecting the combination of the seasonal nature of insurance renewals and a continued soft insurance market resulting from the contracting economy.Assets under custody and management, which are not reported as assets of People’s United Financial, totaled $9.4 billion at June 30, 2009 compared to $9.2 billion at March 31, 2009.People’s United Financial, a diversified financial services company with $21 billion in assets, provides commercial banking, retail and small business banking, and wealth management services through a network of nearly 300 branches in Connecticut, Vermont, New Hampshire, Maine, Massachusetts and New York. Through its subsidiaries, People’s United Financial provides equipment financing, asset management, brokerage and financial advisory services, and insurance services.Certain statements contained in this release are forward-looking in nature. These include all statements about People’s United Financial’s plans, objectives, expectations and other statements that are not historical facts, and usually use words such as “expect,” “anticipate,” “believe” and similar expressions. Such statements represent management’s current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause People’s United Financial’s actual results or financial condition to differ materially from those expressed in or implied by such statements. Factors of particular importance to People’s United Financial include, but are not limited to: (1) changes in general, national or regional economic conditions; (2) changes in interest rates; (3) changes in loan default and charge-off rates; (4) changes in deposit levels; (5) changes in levels of income and expense in non-interest income and expense related activities; (6) residential mortgage and secondary market activity; (7) changes in accounting and regulatory guidance applicable to banks; (8) price levels and conditions in the public securities markets generally; (9) competition and its effect on pricing, spending, third-party relationships and revenues; and (10) the successful completion of the integration of Chittenden Corporation. People’s United Financial does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.Access Information About People’s United Financial on the World Wide Web at www.peoples.com(link is external). People’s United Financial, Inc. FINANCIAL HIGHLIGHTS Three Months Ended June March Dec. Sept. June (dollars in millions, 30, 31, 31, 30, 30, except per share data) 2009 2009 2008 2008 2008 Operating Data: Net interest income $141.2 $142.8 $153.3 $159.8 $157.0 Provision for loan losses 14.0 7.9 8.7 6.8 2.4 Non-interest income (1) 85.0 72.2 73.7 74.2 73.4 Non-interest expense (2) 173.1 167.6 165.5 158.7 162.9 Income before income tax expense 39.1 39.5 52.8 68.5 65.1 Net income 27.4 26.7 35.4 46.0 43.0 Selected Statistical Data: Net interest margin (3) 3.12% 3.25% 3.55% 3.71% 3.56% Return on average assets (3) 0.53 0.53 0.71 0.92 0.84 Return on average tangible assets (3) 0.57 0.57 0.76 0.99 0.91 Return on average stockholders’ equity (3) 2.1 2.1 2.7 3.5 3.3 Return on average tangible stockholders’ equity (3) 3.0 2.9 3.8 5.0 4.7 Efficiency ratio 72.3 73.4 69.0 64.9 66.3 Per Common Share Data: Diluted earnings per share $0.08 $0.08 $0.11 $0.14 $0.13 Dividends paid per share 0.15 0.15 0.15 0.15 0.15 Dividend payout ratio 186.2% 188.4% 141.8% 108.7% 116.1% Book value (end of period) $15.31 $15.39 $15.45 $15.65 $15.63 Tangible book value (end of period) 10.77 10.83 10.87 11.06 11.00 Stock price: High 18.54 18.18 20.15 21.76 18.52 Low 14.72 15.61 14.75 13.92 15.52 Close (end of period) 15.07 17.97 17.83 19.25 15.60 Average diluted common shares outstanding (in millions) 332.97 332.78 332.33 331.32 330.19 (1) Includes net security gains of $12.0 million and $5.4 million for the three months ended June 30, 2009 and March 31, 2009, respectively. (2) Includes an FDIC special assessment charge of $8.4 million for the three months ended June 30, 2009. (3) Annualized. People’s United Financial, Inc. FINANCIAL HIGHLIGHTS – Continued Six Months Ended June 30, June 30, (dollars in millions, except per share data) 2009 2008 Operating Data: Net interest income $284.0 $323.3 Provision for loan losses (1) 21.9 10.7 Non-interest income (2) 157.2 155.7 Non-interest expense (3) 340.7 382.1 Income before income tax expense 78.6 86.2 Net income 54.1 58.1 Selected Statistical Data: Net interest margin (4) 3.18% 3.61% Return on average assets (4) 0.53 0.56 Return on average tangible assets (4) 0.57 0.61 Return on average stockholders’ equity (4) 2.1 2.2 Return on average tangible stockholders’ equity (4) 3.0 3.1 Efficiency ratio 72.9 65.6 Per Common Share Data: Diluted earnings per share $0.16 $0.18 Dividends paid per share 0.30 0.28 Dividend payout ratio 187.3% 162.2% Book value (end of period) $15.31 $15.63 Tangible book value (end of period) 10.77 11.00 Stock price: High 18.54 18.52 Low 14.72 14.29 Close (end of period) 15.07 15.60 Average diluted common shares outstanding (in millions) 332.87 329.67 (1) Includes a $4.5 million provision for the six months ended June 30, 2008 to align allowance for loan losses methodologies across the combined organization following the acquisition of Chittenden Corporation. (2) Includes net security gains of $17.4 million and $8.3 million for the six months ended June 30, 2009 and 2008, respectively. (3) Includes an FDIC special assessment charge of $8.4 million for the six months ended June 30, 2009, and merger-related expenses of $36.5 million and other one-time charges of $14.8 million for the six months ended June 30, 2008. (4) Annualized. People’s United Financial, Inc. FINANCIAL HIGHLIGHTS – Continued As of and for the Three Months Ended June March Dec. Sept. June 30, 31, 31, 30, 30, (dollars in millions) 2009 2009 2008 2008 2008 Financial Condition Data: General: Total assets $20,805 $20,681 $20,168 $20,042 $20,392 Loans 14,553 14,648 14,566 14,331 14,366 Short-term investments (1) 3,073 2,756 1,139 2,534 2,265 Securities 491 806 1,902 428 866 Allowance for loan losses 167 159 158 155 152 Goodwill and other acquisition-related intangibles 1,525 1,531 1,536 1,537 1,541 Deposits 15,023 14,846 14,269 14,152 14,532 Borrowings 160 185 188 152 144 Subordinated notes 181 181 181 180 180 Stockholders’ equity 5,137 5,160 5,176 5,239 5,211 Non-performing assets 182 142 94 91 86 Net loan charge-offs 6.0 6.4 5.7 4.0 2.4 Average Balances: Loans $14,595 $14,603 $14,371 $14,310 $14,425 Short-term investments (1) 2,816 1,824 1,610 2,325 2,433 Securities 799 1,275 1,393 715 907 Total earning assets 18,210 17,702 17,374 17,350 17,765 Total assets 20,759 20,258 20,057 20,057 20,492 Deposits 14,886 14,346 14,117 14,193 14,613 Total funding liabilities 15,237 14,721 14,479 14,520 14,939 Stockholders’ equity 5,162 5,164 5,230 5,204 5,202 Ratios: Net loan charge-offs to average loans (annualized) 0.16% 0.18% 0.16% 0.11% 0.07% Non-performing assets to total loans, REO and repossessed assets 1.25 0.97 0.64 0.64 0.60 Allowance for loan losses to non- performing loans 99.4 126.1 186.8 181.6 182.6 Allowance for loan losses to total loans 1.15 1.09 1.08 1.08 1.06 Average stockholders’ equity to average total assets 24.9 25.5 26.1 25.9 25.4 Stockholders’ equity to total assets 24.7 25.0 25.7 26.1 25.6 Tangible stockholders’ equity to tangible assets 18.7 19.0 19.5 20.0 19.5 Total risk-based capital (2) 13.8 13.5 13.4 16.2 17.8 (1) Includes securities purchased under agreements to resell. (2) Total risk-based capital ratios are for People’s United Bank and, as such, do not reflect the additional capital residing at People’s United Financial, Inc. People’s United Bank’s June 30, 2009 total risk-based capital ratio is preliminary. People’s United Financial, Inc. CONSOLIDATED STATEMENTS OF CONDITION June 30, March 31, June 30, (in millions) 2009 2009 2008 Assets Cash and due from banks $343.0 $311.2 $585.7 Short-term investments 2,672.8 2,755.7 1,865.1 Total cash and cash equivalents 3,015.8 3,066.9 2,450.8 Securities: Trading account securities, at fair value 12.2 16.3 29.5 Securities available for sale, at fair value 446.8 757.5 804.2 Securities held to maturity, at amortized cost 0.8 0.8 1.4 Federal Home Loan Bank stock, at cost 31.1 31.1 31.1 Total securities 490.9 805.7 866.2 Securities purchased under agreements to resell 400.0 – 400.0 Loans: Commercial real estate 5,234.2 5,086.7 4,859.7 Commercial 4,094.6 4,239.2 3,987.3 Residential mortgage 2,950.1 3,060.9 3,491.6 Consumer 2,273.7 2,261.0 2,027.6 Total loans 14,552.6 14,647.8 14,366.2 Less allowance for loan losses (167.0) (159.0) (151.7) Total loans, net 14,385.6 14,488.8 14,214.5 Goodwill and other acquisition- related intangibles 1,525.3 1,530.6 1,541.3 Premises and equipment 258.2 260.4 267.2 Bank-owned life insurance 233.0 230.3 225.0 Other assets 496.5 298.4 427.4 Total assets $20,805.3 $20,681.1 $20,392.4 Liabilities Deposits: Non-interest-bearing $3,310.4 $3,238.0 $3,340.3 Savings, interest-bearing checking and money market 6,609.7 6,553.0 6,161.2 Time 5,102.9 5,054.7 5,030.0 Total deposits 15,023.0 14,845.7 14,531.5 Borrowings: Repurchase agreements 145.5 170.5 109.7 Federal Home Loan Bank advances 14.6 14.8 15.4 Other – – 18.7 Total borrowings 160.1 185.3 143.8 Subordinated notes 181.2 180.8 179.8 Other liabilities 304.4 308.9 326.2 Total liabilities 15,668.7 15,520.7 15,181.3 Stockholders’ Equity Common stock ($0.01 par value; 1.95 billion shares authorized; 348.3 million shares, 348.3 million shares and 346.7 million shares issued) 3.5 3.5 3.5 Additional paid-in capital 4,500.6 4,493.9 4,449.7 Retained earnings 974.7 998.8 1,041.8 Treasury stock, at cost (3.3 million shares, 3.3 million shares and 3.3 million shares) (60.1) (60.5) (60.6) Accumulated other comprehensive loss (83.3) (74.7) (17.3) Unallocated common stock of Employee Stock Ownership Plan (198.8) (200.6) (206.0) Total stockholders’ equity 5,136.6 5,160.4 5,211.1 Total liabilities and stockholders’ equity $20,805.3 $20,681.1 $20,392.4 People’s United Financial, Inc. CONSOLIDATED STATEMENTS OF INCOME Three Months Ended June March Dec. Sept. June 30, 31, 31, 30, 30, (in millions, except per share data) 2009 2009 2008 2008 2008 Interest and dividend income: Commercial real estate $70.8 $69.0 $73.9 $75.4 $74.7 Commercial 50.6 50.6 54.9 56.6 56.9 Residential mortgage 37.8 40.7 43.2 45.4 48.4 Consumer 24.0 23.9 25.8 27.2 26.8 Total interest on loans 183.2 184.2 197.8 204.6 206.8 Securities 7.2 9.3 8.5 4.8 7.4 Short-term investments 1.6 1.7 6.1 12.5 9.4 Securities purchased under agreements to resell 0.2 – – 0.5 3.9 Total interest and dividend income 192.2 195.2 212.4 222.4 227.5 Interest expense: Deposits 46.8 48.2 54.6 58.0 65.8 Borrowings 0.4 0.4 0.7 0.8 0.9 Subordinated notes 3.8 3.8 3.8 3.8 3.8 Total interest expense 51.0 52.4 59.1 62.6 70.5 Net interest income 141.2 142.8 153.3 159.8 157.0 Provision for loan losses 14.0 7.9 8.7 6.8 2.4 Net interest income after provision for loan losses 127.2 134.9 144.6 153.0 154.6 Non-interest income: Investment management fees 8.6 7.5 9.6 8.9 9.5 Insurance revenue 6.8 8.3 7.3 8.8 8.1 Brokerage commissions 3.2 3.3 3.2 4.1 4.2 Total wealth management income 18.6 19.1 20.1 21.8 21.8 Bank service charges 32.9 30.4 31.5 33.1 32.4 Merchant services income 6.1 5.8 6.6 7.5 7.1 Bank-owned life insurance 2.7 1.6 1.5 2.1 1.7 Net security gains (losses) 12.0 5.4 0.2 (0.2) (0.2) Net gains on sales of residential mortgage loans 3.8 1.9 0.8 1.5 2.2 Other non-interest income 8.9 8.0 13.0 8.4 8.4 Total non-interest income 85.0 72.2 73.7 74.2 73.4 Non-interest expense: Compensation and benefits 86.6 88.7 83.2 85.6 86.7 Occupancy and equipment 26.3 28.0 26.5 26.1 26.1 Professional and outside service fees 11.7 10.7 12.8 11.9 11.8 Regulatory assessment expense 11.0 1.6 1.4 1.5 1.2 Amortization of other acquisition-related intangibles 5.3 5.2 5.5 5.3 5.3 Merchant services expense 5.2 4.9 5.6 6.8 5.9 Other non-interest expense 27.0 28.5 30.5 21.5 25.9 Total non-interest expense 173.1 167.6 165.5 158.7 162.9 Income before income tax expense 39.1 39.5 52.8 68.5 65.1 Income tax expense 11.7 12.8 17.4 22.5 22.1 Net income $27.4 $26.7 $35.4 $46.0 $43.0 Diluted earnings per common share $0.08 $0.08 $0.11 $0.14 $0.13 People’s United Financial, Inc. CONSOLIDATED STATEMENTS OF INCOME Six Months Ended June 30, June 30, (in millions, except per share data) 2009 2008 Interest and dividend income: Commercial real estate $139.8 $152.9 Commercial 101.2 117.5 Residential mortgage 78.5 101.3 Consumer 47.9 57.9 Total interest on loans 367.4 429.6 Securities 16.5 17.5 Short-term investments 3.3 28.3 Securities purchased under agreements to resell 0.2 7.0 Total interest and dividend income 387.4 482.4 Interest expense: Deposits 95.0 149.5 Borrowings 0.8 2.0 Subordinated notes 7.6 7.6 Total interest expense 103.4 159.1 Net interest income 284.0 323.3 Provision for loan losses 21.9 10.7 Net interest income after provision for loan losses 262.1 312.6 Non-interest income: Investment management fees 16.1 18.3 Insurance revenue 15.1 17.2 Brokerage commissions 6.5 8.7 Total wealth management 37.7 44.2 Bank service charges 63.3 63.1 Merchant services income 11.9 13.5 Bank-owned life insurance 4.3 4.7 Net security gains 17.4 8.3 Net gains on sales of residential mortgage loans 5.7 4.2 Other non-interest income 16.9 17.7 Total non-interest income 157.2 155.7 Non-interest expense: Compensation and benefits 175.3 175.8 Occupancy and equipment 54.3 57.7 Professional and outside service fees 22.4 23.3 Regulatory assessment expense 12.6 2.4 Amortization of other acquisition-related intangibles 10.5 10.5 Merchant services expense 10.1 11.5 Merger-related expenses – 36.5 Other non-interest expense 55.5 64.4 Total non-interest expense 340.7 382.1 Income before income tax expense 78.6 86.2 Income tax expense 24.5 28.1 Net income 54.1 58.1 Diluted earnings per common share $0.16 $0.18 People’s United Financial, Inc. AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS (1) Three months ended June 30, 2009 March 31, 2009 (dollars in Average Yield/ Average Yield/ millions) Balance Interest Rate Balance Interest Rate Assets: Short-term investments $2,543.9 $1.6 0.26% $1,824.3 $1.7 0.37% Securities purchased under agreements to resell 272.5 0.2 0.23 – – – Securities (2) 798.6 7.2 3.60 1,274.7 9.3 2.94 Loans: Commercial real estate 5,154.4 70.8 5.49 5,020.5 69.0 5.50 Commercial 4,175.7 51.5 4.94 4,210.3 51.5 4.89 Residential mortgage 2,988.8 37.8 5.05 3,119.4 40.7 5.22 Consumer 2,275.9 24.0 4.22 2,252.7 23.9 4.24 Total loans 14,594.8 184.1 5.04 14,602.9 185.1 5.07 Total earning assets 18,209.8 $193.1 4.24% 17,701.9 $196.1 4.43% Other assets 2,549.5 2,555.6 Total assets $20,759.3 $20,257.5 Liabilities and stockholders’ equity: Deposits: Non-interest- bearing $3,192.0 $- -% $3,106.1 $- -% Savings, interest- bearing checking and money market 6,600.5 12.1 0.74 6,288.2 12.6 0.80 Time 5,093.5 34.7 2.72 4,951.6 35.6 2.88 Total deposits 14,886.0 46.8 1.26 14,345.9 48.2 1.34 Borrowings: Repurchase agreements 155.8 0.2 0.43 171.1 0.2 0.46 Federal Home Loan Bank advances 14.6 0.2 5.30 14.9 0.2 5.26 Other – – – 8.7 – 1.94 Total borrowings 170.4 0.4 0.84 194.7 0.4 0.89 Subordinated notes 181.0 3.8 8.36 180.7 3.8 8.37 Total funding liabilities 15,237.4 $51.0 1.34% 14,721.3 $52.4 1.42% Other liabilities 359.8 372.6 Total liabilities 15,597.2 15,093.9 Stockholders’ equity 5,162.1 5,163.6 Total liabilities and stockholders’ equity $20,759.3 $20,257.5 Net interest income/ spread (3) $142.1 2.90% $143.7 3.01% Net interest margin 3.12% 3.25% (1) Average yields earned and rates paid are annualized. (2) Average balances and yields for securities available for sale are based on amortized cost. (3) The FTE adjustment was $0.9 million for the three months ended June 30, 2009, March 31, 2009 and June 30, 2008. People’s United Financial, Inc. AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS (1) June 30, 2008 Three months ended Average Yield/ (dollars in millions) Balance Interest Rate Assets: Short-term investments $1,663.1 $9.4 2.25% Securities purchased under agreements to resell 769.7 3.9 2.05 Securities (2) 907.3 7.4 3.25 Loans: Commercial real estate 4,798.5 74.7 6.22 Commercial 4,000.5 57.8 5.78 Residential mortgage 3,629.3 48.4 5.34 Consumer 1,997.0 26.8 5.37 Total loans 14,425.3 207.7 5.76 Total earning assets 17,765.4 $228.4 5.14% Other assets 2,726.8 Total assets $20,492.2 Liabilities and stockholders’ equity: Deposits: Non-interest-bearing $3,172.4 $- -% Savings, interest-bearing checking and money market 6,219.5 19.0 1.22 Time 5,220.6 46.8 3.59 Total deposits 14,612.5 65.8 1.80 Borrowings: Repurchase agreements 110.9 0.5 1.71 Federal Home Loan Bank advances 16.0 0.2 5.22 Other 19.5 0.2 3.93 Total borrowings 146.4 0.9 2.39 Subordinated notes 179.6 3.8 8.42 Total funding liabilities 14,938.5 $70.5 1.89% Other liabilities 351.9 Total liabilities 15,290.4 Stockholders’ equity 5,201.8 Total liabilities and stockholders’ equity $20,492.2 Net interest income/spread (3) $157.9 3.25% Net interest margin 3.56% (1) Average yields earned and rates paid are annualized. (2) Average balances and yields for securities available for sale are based on amortized cost. (3) The FTE adjustment was $0.9 million for the three months ended June 30, 2009, March 31, 2009 and June 30, 2008. People’s United Financial, Inc. AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS (1) Six months ended June 30, 2009 June 30, 2008 (dollars in Average Yield/ Average Yield/ millions) Balance Interest Rate Balance Interest Rate Assets: Short-term investments $2,186.1 $3.3 0.30% $1,971.1 $28.3 2.86% Securities purchased under agreements to resell 137.0 0.2 0.23 578.6 7.0 2.45 Securities (2) 1,035.3 16.5 3.20 963.6 17.5 3.63 Loans: Commercial real estate 5,087.8 139.8 5.50 4,773.9 152.9 6.40 Commercial 4,192.9 103.0 4.91 3,951.0 119.4 6.05 Residential mortgage 3,053.8 78.5 5.14 3,767.3 101.3 5.38 Consumer 2,264.4 47.9 4.23 1,988.8 57.9 5.82 Total loans 14,598.9 369.2 5.06 14,481.0 431.5 5.96 Total earning assets 17,957.3 $389.2 4.33% 17,994.3 $484.3 5.38% Other assets 2,552.5 2,698.4 Total assets $20,509.8 $20,692.7 Liabilities and stockholders’ equity: Deposits: Non-interest- bearing $3,149.3 $- -% $3,159.2 $- -% Savings, interest- bearing checking and money market 6,445.2 24.7 0.77 6,251.2 43.7 1.40 Time 5,022.9 70.3 2.80 5,371.9 105.8 3.94 Total deposits 14,617.4 95.0 1.30 14,782.3 149.5 2.02 Borrowings: Repurchase agreements 163.4 0.4 0.44 113.6 1.3 2.17 Federal Home Loan Bank advances 14.8 0.4 5.28 17.2 0.4 5.02 Other 4.3 – 1.95 21.4 0.3 2.70 Total borrowings 182.5 0.8 0.87 152.2 2.0 2.57 Subordinated notes 180.8 7.6 8.37 182.7 7.6 8.28 Total funding liabilities 14,980.7 $103.4 1.38% 15,117.2 $159.1 2.10% Other liabilities 366.2 367.4 Total liabilities 15,346.9 15,484.6 Stockholders’ equity 5,162.9 5,208.1 Total liabilities and stockholders’ equity $20,509.8 $20,692.7 Net interest income/spread (3) $285.8 2.95% $325.2 3.28% Net interest margin 3.18% 3.61% (1) Average yields earned and rates paid are annualized. (2) Average balances and yields for securities available for sale are based on amortized cost. (3) The FTE adjustment was $1.8 million and $1.9 million for the six months ended June 30, 2009 and 2008, respectively. People’s United Financial, Inc. NON-PERFORMING ASSETS June March Dec. Sept. June 30, 31, 31, 30, 30, (dollars in millions) 2009 2009 2008 2008 2008 Non-accrual loans: Commercial real estate $75.0 $53.8 $29.8 $29.9 $31.9 Residential mortgage 51.4 42.3 24.2 21.1 18.3 Commercial 21.3 16.3 21.1 23.9 23.4 PCLC 16.5 9.0 5.8 6.9 6.4 Consumer 3.8 4.6 3.3 3.2 3.1 Indirect auto – 0.1 0.1 0.1 – Total non-accrual loans (1) 168.0 126.1 84.3 85.1 83.1 Real estate owned (“REO”) and repossessed assets, net 14.0 15.9 9.4 6.3 3.3 Total non-performing assets $182.0 $142.0 $93.7 $91.4 $86.4 Non-performing loans as a percentage of total loans 1.15% 0.86% 0.58% 0.59% 0.58% Non-performing assets as a percentage of: Total loans, REO and repossessed assets 1.25 0.97 0.64 0.64 0.60 Tangible stockholders’ equity and allowance for loan losses 4.82 3.75 2.47 2.37 2.26 (1) Reported net of government guarantees totaling $7.1 million at June 30, 2009, $7.2 million at March 31, 2009, $6.5 million at December 31, 2008, $6.4 million at September 30, 2008 and $6.6 million at June 30, 2008. PROVISION AND ALLOWANCE FOR LOAN LOSSES Three Months Ended June March Dec. Sept. June 30, 31, 31, 30, 30, (dollars in millions) 2009 2009 2008 2008 2008 Balance at beginning of period $159.0 $157.5 $154.5 $151.7 $151.7 Charge-offs (6.9) (6.9) (6.9) (5.0) (3.6) Recoveries 0.9 0.5 1.2 1.0 1.2 Net loan charge-offs (6.0) (6.4) (5.7) (4.0) (2.4) Provision for loan losses 14.0 7.9 8.7 6.8 2.4 Balance at end of period $167.0 $159.0 $157.5 $154.5 $151.7 Allowance for loan losses as a percentage of: Total loans 1.15% 1.09% 1.08% 1.08% 1.06% Non-performing loans 99.4 126.1 186.8 181.6 182.6 NET LOAN CHARGE-OFFS Three Months Ended June March Dec. Sept. June 30, 31, 31, 30, 30, (dollars in millions) 2009 2009 2008 2008 2008 PCLC $1.8 $0.8 $0.5 $0.2 $0.1 Consumer 1.2 1.2 0.9 0.6 0.7 Commercial 1.1 1.9 1.2 1.1 0.8 Residential mortgage 0.8 0.5 0.8 0.1 – Indirect auto 0.7 1.0 0.8 0.8 0.3 Commercial real estate 0.4 1.0 1.5 1.2 0.5 Total $6.0 $6.4 $5.7 $4.0 $2.4 Net loan charge-offs to average loans (annualized) 0.16% 0.18% 0.16% 0.11% 0.07% SOURCE: People’s United Financial, Inc. BRIDGEPORT,Conn., July 16 /PRNewswire-FirstCall/ —last_img read more

Japanese firms win contract for $2 billion, 1,250MW LNG-fired power plant in Myanmar

first_imgJapanese firms win contract for $2 billion, 1,250MW LNG-fired power plant in Myanmar FacebookTwitterLinkedInEmailPrint分享Nikkei Asian Review:Trading houses Marubeni, Sumitomo Corp. and Mitsui & Co. will build a liquefied natural gas-fired power plant in Myanmar, one of the biggest investments by Japanese companies in the Southeast Asian country, people familiar with the matter say.The three companies estimate total investment in the project at $1.5 billion to $2 billion. The plant is expected to start operating by 2025 with a capacity equal to about 20% of Myanmar’s existing power plants.Demand for LNG power is expected to grow in Southeast Asia as a low-emission alternative to cheap coal. Marubeni, Sumitomo, and Mitsui expect the project in Myanmar to help them expand their power businesses in the region.In Myanmar, electricity demand has been growing at a rate of 10% to 20% a year with industrialization and the electrification of farming villages. Frequent power outages have posed an obstacle to the country’s goal of attracting foreign investment in manufacturing.The plant will be built in a suburb of Yangon, Myanmar’s commercial capital and most populous city. The three companies will operate it through a joint venture they will establish with Eden Group, a local conglomerate whose businesses include real estate and agriculture.The plant will have a generating capacity of 1,250 megawatts — about as much as one nuclear reactor. Myanmar’s existing power generation capacity is about 6,000 megawatts, according to the country’s Ministry of Electricity and Energy.[Yuichi Nitta and Yusuke Tanaka]More: Japan Marubeni wins deal for $2bn Myanmar LNG power plantlast_img read more

Defense Leaders Gather To Address Regional Threats At CANSEC

first_imgBy Dialogo November 21, 2019 Defense leaders from 14 Caribbean countries along with their counterparts from Canada, France, the Netherlands, and the United Kingdom attended the Caribbean Nations Security Conference (CANSEC), at U.S. Southern Command (SOUTHCOM), November 14-15, 2019, in Miami.SOUTHCOM sponsors the annual regional security conference to promote dialogue among defense and security leaders, so they can work jointly to defeat transnational threats, be better prepared to respond to crises, and support disaster relief operations.The topics discussed at the conference included humanitarian assistance, disaster relief operations, regional security objectives, and the annual multinational security exercise Tradewinds.“One of the themes was how do we work together as partners and how do we utilize and work effectively with the regional security organizations like Caribbean Disaster Emergency Management Agency,” said U.S. Navy Admiral Craig S. Faller, SOUTHCOM commander, to reporters. “We think it’s important to tell a story about the important work that we’re doing collectively, together, to enhance the security of this neighborhood, because we are all neighbors and friends,” he added.At the forefront of security threats to the region are transnational criminal organizations and illicit trafficking. Although these organizations are well-funded, progress has been made in deterring their networks thanks to regional cooperation and working with Joint Interagency Task Force South (JIATF South) in Key West, Florida.“Since this year [2019], we have had over $4 billion of cocaine, in terms of street value, that we have seized, and just under $1 billion in marijuana. So it has been a very successful year for us working with JIATF South,” said Lieutenant General John Meade, Jamaican Chief of Defense.Buildings are reduced to rubble after Hurricane Dorian slammed into the Bahamas. Responding to humanitarian assistance and disaster relief was on the agenda for defense leaders at the Caribbean Nations Security Conference (CANSEC). (Photo: U.S. Coast Guard Petty Officer Second Class Adam Stanton)Venezuela as a narco-stateDefense leaders recognized that narcotraffickers have taken advantage of the   breakdown in security and civil society perpetuated by the corruption of the regime in Venezuela.“Maduro’s regime has facilitated narcotrafficking,” Adm. Faller said. “There’s over a 50 percent increase of narcotrafficking in and through Venezuela, and Maduro and his cronies are lining their pockets, in cahoots with the illicit narcotrafficking.”Crisis responseProviding humanitarian assistance and disaster relief was also on the agenda as defense and security leaders discussed their roles in response to crises in the region, as was the case during Hurricane Dorian, which devastated the Bahamas in early 2019.“We are seeing more severe weather systems coming through the region,” said Barbados Defence Force Captain Errington Shurland, executive director of the Regional Security System (RSS). “It is anticipated that the systems will be more severe, more frequent, and I think that a tabletop exercise, if done on an annual basis, would allow us to better improve our response,” he added.The road aheadIn the face of all these threats, regional leaders recognized the importance of like-minded democracies and nations working together in support of mutual goals and shared interests.“I was pleased that we achieved the goals of the conference to really strengthen friendships, commitments, and looking at ways to have a more secure, peaceful, and prosperous hemisphere,” concluded Adm. Faller.last_img read more

Cuomo’s Office Denies Using Private Email Accounts. But it Does.

first_imgIn a previously unreported response to a public records request, the office of Gov. Andrew Cuomo claims staff do not use private email accounts for official business. Yet as we’ve reported, aides to the governor have done just that.The Cuomo administration’s assertion came after the New York Times requested emails related to official business from the personal email accounts of several top Cuomo aides.In its response this past March, Cuomo’s office issued a blanket denial: Staffers “do not use their personal email accounts for government business.”We obtained the Times‘ request, and the response of the governor’s office, through our own public records request.Using personal email accounts can help officials hide communications that are supposed to be available to the public. It also violates New York state’s technology policy unless it is explicitly authorized.As we detailed in May, I was the recipient of an email regarding state business from the personal account of Cuomo aide Howard Glaser. Several people who communicate with the governor’s office on media or policy matters told me at the time they, too, had gotten emails from personal accounts of Cuomo aides. Others told me the same thing after the publication of our story. None wanted to be named.A spokesman for the governor’s office declined to comment on the administration’s insistence that staffers don’t use personal emails to conduct public business 2013 or on the evidence to the contrary.The Times was seeking emails from personal accounts of Cuomo aides including Glaser and secretary to the governor Larry Schwartz.Underscoring the Cuomo camp’s penchant for secrecy, another aide reportedly encouraged other government officials to use personal email accounts for politically sensitive communications.That episode, reported by the Albany Times Union, came last week after revelations of Cuomo aides meddling with the Moreland Commission’s investigation of public corruption.According to the Times Union, longtime Cuomo aide Joseph Percoco recruited members of the commission to issue statements saying they had been independent of the governor’s office. Percoco reportedly encouraged some of those he contacted “to communicate with him through private email messages rather than through their government email accounts.”Spokesmen for the governor’s office and Cuomo’s campaign committee declined to comment on the Times Union’s story.If you have gotten emails from the private account of an official in the governor’s office or other state or city agencies, email me at [email protected] Sign up for our COVID-19 newsletter to stay up-to-date on the latest coronavirus news throughout New York last_img read more

Premier League: Brighton and Hove Albion have already surpassed expectations, says striker Glenn Murray

first_imgBrighton and Hove Albion have already collected more points in their Premier League campaign than many expected and the players are learning more about what it takes to compete in the top flight every week, striker Glenn Murray has said.While many expected Brighton to be stuck in the relegation battle, the club’s 1-0 win over Swansea City on Saturday marked their fourth league win of the season and saw them climb to eighth place.”We have done very well. We have got more points than we probably thought we would have,” Murray told the Argus newspaper. “We have done it all while learning a lot about the league.”A lot of the squad are new to the Premier League and it is a slightly different way of football compared to the Championship.”It’s a whole different ball game. It’s about, more than anything, keeping the back door shut and hoping we can pick points up like we did here … week in and week out we are picking points up and there is a good feeling about the place.”Brighton next host 14th-placed Stoke City on November 20.last_img read more