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 F.N.B. Corporation Reports Significant Revenue Growth and Record 2015 Net Income
   Thursday, January 21, 2016 8:28:00 AM ET

F.N.B. Corporation (FNB ) today reported results for the fourth quarter and full year of 2015. Net income available to common shareholders for the fourth quarter of 2015 totaled $37.1 million or $0.21 per diluted common share. Comparatively, third quarter of 2015 net income totaled $38.0 million, or $0.22 per diluted common share, and fourth quarter of 2014 net income totaled $37.3 million or $0.21 per diluted common share. Net income available to common shareholders for the full year of 2015 totaled $151.6 million, or $0.86 per diluted common share, compared to net income of $135.7 million, or $0.80 per diluted common share in 2014. Operating results are presented in the tables below.

Vincent J. Delie, Jr., President and Chief Executive Officer, commented, "We are pleased with this quarter’s results and another tremendous year. We were able to achieve record operating net income of $154 million, full-year operating earnings per share growth of 9% and significant revenue growth of 8% with strong contributions from our fee-based businesses. Through excellent teamwork from our employees, we delivered outstanding performance in 2015, led by continued growth in loans and low-cost deposits, solid asset quality and further improvement in the efficiency ratio. As we enter 2016, we are well-positioned to realize the benefits of our added scale to continue generating positive operating leverage. I am confident in our team’s ability to execute our strategy and deliver long-term success for our employees, customers and shareholders."

Quarterly Results Summary                                             4Q15    3Q15    4Q14
Reported Results
Net income available to common shareholders ($ in millions)           $37.1   $38.0   $37.3
Net income per diluted common share                                   $0.21   $0.22   $0.21
Operating Results (Non-GAAP)
Operating net income available to common shareholders ($ in millions) $38.1   $38.9   $36.4
Operating net income per diluted common share                         $0.22   $0.22   $0.21
Average Diluted Shares Outstanding (in 000’s)                         176,907 176,513 175,630
Full Year Results Summary                                              2015    2014
Reported Results
Net income available to common shareholders ($ in millions)            $151.6  $135.7
Net income per diluted common share                                    $0.86   $0.80
Operating Results (Non-GAAP)
Operating net income available to common shareholders ($ in millions)  $153.7  $135.6
Operating net income per diluted common share                          $0.87   $0.80
Average Diluted Shares Outstanding (in 000’s)                          176,339 169,079

Fourth Quarter 2015 Highlights (All comparisons to the prior quarter, except as noted; Organic growth in loans and deposits refers to growth excluding the benefit of initial balances acquired via an acquisition.)

-- Organic growth in total average loans was $250 million, or 8.4% annualized, with average commercial loan growth of $174 million, or 10.5% annualized, and average consumer loan growth of $79 million, or 6.1% annualized.

-- On an organic basis, average total deposits and customer repurchase agreements grew $284 million, or 8.8% annualized. Average transaction deposits and customer repurchase agreements grew organically $360 million, or 14.0% annualized.

-- The net interest margin was stable at 3.38%, compared to 3.39% in the prior quarter.

-- The efficiency ratio was 56.3%, compared to 55.6% in the prior quarter and 56.1% in the year-ago quarter.

-- Credit quality results reflect consistent non-performing loan and delinquency levels. For the originated portfolio, non-performing loans and other real estate owned (OREO) to total loans and OREO was 0.99%, the same as the prior quarter, and total originated delinquency increased 4 basis points to 0.93% at December 31, 2015. Net originated charge-offs were 0.25% annualized of total average originated loans, compared to 0.22% annualized in third quarter of 2015 and 0.17% annualized in the year-ago quarter.

-- The tangible common equity to tangible assets ratio was 6.71% at December 31, 2015. The tangible book value per share increased $0.02 to $6.38 at December 31, 2015.

Fourth Quarter 2015 Results - Comparison to Prior Quarter (All comparisons refer to the third quarter of 2015, except as noted; Organic growth in loans and deposits refers to growth excluding the benefit of initial balances acquired via an acquisition.)

Results include the impact from the acquisition of five Bank of America branches (BofA) on September 18, 2015.

Net Interest Income/Loans/Deposits Net interest income on a fully taxable equivalent basis (FTE) totaled $129.4 million, increasing $2.3 million, or 1.8%, reflecting average earning asset growth of $296 million, or 7.9% annualized, and a higher benefit from accretable yield adjustments. The net interest margin was 3.38%, compared to 3.39% in the prior quarter. During the fourth quarter, the core net interest margin was reduced by 3 basis points from the issuance of $100 million in subordinated debt on October 2, 2015, which was issued for general corporate purposes and, among other reasons, to support growth of our principal subsidiary and its businesses. Excluding accretable yield adjustments and the impact of the subordinated debt issuance, the core net interest margin would have remained stable at 3.38%.

Average loans totaled $12.0 billion and increased $251 million, or 8.5% annualized. Organic growth in average commercial loans totaled $174 million, or 10.5% annualized, and growth in average consumer loans was $79 million or 6.1% annualized. Total commercial loan growth was led by strong production from the metropolitan markets of Pittsburgh, Cleveland and Baltimore and total consumer growth was led by nearly equal contributions from the residential, indirect and home equity-related loan portfolios.

Average deposits and customer repurchase agreements totaled $13.1 billion and increased $409 million, or 12.8% annualized, and included average organic growth of $284 million or 8.8% annualized. Consistent with prior quarters, growth in transaction deposits and customer repurchase agreements was partially offset by a decline in time deposits. On an organic basis, average total transaction deposits and customer repurchase agreements increased $360 million or 14.0% annualized. Organic growth in average non-interest bearing deposits was $104 million or 14.2% annualized, primarily reflecting growth in non-interest bearing business accounts and money market balances. Total loans as a percentage of deposits and customer repurchase agreements was 95% at December 31, 2015.

Non-Interest Income Non-interest income totaled $43.1 million, increasing $1.8 million or 4.3%. Non-interest income was a record high for the quarter, with continued positive results in service charges, wealth management, mortgage banking and capital markets. Non-interest income represented 25% of total revenue.

Non-Interest Expense Non-interest expense totaled $101.2 million, increasing $3.1 million, or 3.2%, and included $1.4 million of merger costs, compared to $1.3 million of merger costs in the third quarter. The increase in non-interest expense was primarily due to seasonally higher marketing expense and higher outside professional services. The efficiency ratio was 56.3%, compared to 55.6% in the third quarter of 2015.

Credit Quality Credit quality metrics were generally consistent and the ratio of non-performing loans and OREO to total loans and OREO increased slightly by 1 basis point to 0.91% at December 31, 2015, and was consistent with the third quarter at 0.99% for the originated portfolio. Delinquency, defined as total originated past due and non-accrual loans as a percentage of total originated loans, increased 4 basis points to 0.93% at December 31, 2015.

Net charge-offs for the fourth quarter totaled $6.8 million, or 0.23% annualized of total average loans, compared to $5.7 million, or 0.19% annualized, in the prior quarter. For the originated portfolio, net charge-offs as a percentage of average originated loans were 0.25% annualized, compared to 0.22% annualized in the prior quarter. For the originated portfolio, the allowance for loan losses to total originated loans was 1.23%, compared to 1.22% at September 30, 2015, with the slight increase directionally consistent with the quarter’s credit quality performance. The ratio of the allowance for loan losses to total loans increased slightly to 1.16%, compared to 1.15%. The provision for loan losses increased $1.9 million to $12.7 million, attributable to strong originated loan growth and slight credit migration during the quarter. The ratio of the originated allowance for loan losses to originated non-performing loans decreased to 190.6%, compared to 194.5% September 30, 2015.

Full Year 2015 Results - Comparison to Prior Year (All comparisons refer to full year 2014, except as noted; Organic growth in loans and deposits refers to growth excluding the benefit of initial balances acquired via acquisitions.)

Results include the impact from the acquisition of five Bank of America branches (BofA) on September 18, 2015, the OBA Financial Services, Inc. (OBAF) acquisition on September 19, 2014, and the BCSB Bancorp, Inc. (BCSB) acquisition on February 15, 2014.

Net Interest Income/Loans/Deposits Net interest income on a FTE basis totaled $505.9 million, increasing $32.7 million or 6.9%. The net interest margin was 3.42%, compared to 3.59%. Excluding accretable yield adjustments, the 2015 net interest margin would have been 3.39%, compared to 3.54%, reflecting the extended low interest rate and competitive environment. Average earning assets grew $1.6 billion, or 12.4%, through consistent organic loan growth and the benefit of a full year of BCSB and OBAF.

Average loans totaled $11.7 billion and increased $1.3 billion, or 12.4%, reflecting strong organic average loan growth of $1.0 billion, or 9.7%, and the benefit from a full year of the acquired balances. Growth in the commercial portfolio continued throughout 2015, with average balances growing organically $518 million or 8.6%. Average organic consumer loan growth was $517 million or 11.4%. Organic growth results reflect the benefit of the increased number of prospects from an expanded footprint.

Total average deposits and customer repurchase agreements totaled $12.7 billion and increased $805 million or 6.8%, including average organic growth of $477 million or 3.9%. Organic growth in low-cost transaction deposit accounts and customer repurchase agreements was $691 million, or 7.4%, and was largely driven by organic growth in average non-interest bearing deposits of $329 million or 13.2%.

Non-Interest Income Non-interest income totaled $162.4 million, increasing $4.1 million, or 2.6%, with 2014 including higher gains on the sale of securities of $10.9 million. Excluding securities gains and a non-recurring gain in 2014, total non-interest income would have increased $17.7 million, or 12.3%. Wealth management revenue (trust income and securities commissions) increased $3.8 million, or 12.2%, reflecting positive organic growth results and incremental lift from the Cleveland and Maryland markets. Mortgage banking revenues increased $4.9 million to $8.6 million, representing the benefits from investments made during 2014 to increase the scale of this line of business. Increased capital markets revenue reflect increased swap revenue driven by higher volumes and successful cross-selling efforts for syndications and international banking products and services. Total non-interest income was 24% of total revenue.

Non-Interest Expense Non-interest expense totaled $390.5 million, increasing $11.3 million, or 3.0%, and included merger and severance costs of $3.0 million, compared to $12.2 million in 2014. Absent these merger and severance costs, non-interest expense would have increased $20.4 million, or 5.6%, primarily attributable to the additional operating costs related to the expanded operations from BCSB, OBAF and the BofA branch acquisition. The efficiency ratio improved to 56.1% from 57.2%.

Credit Quality Credit quality results reflect improvement over the prior year. The ratio of non-performing loans and OREO to total loans and OREO improved 6 basis points to 0.91%, and for the originated portfolio, the ratio of non-performing loans and OREO to total loans and OREO improved 14 basis points to 0.99%. Total originated delinquency, defined as total past due and non-accrual originated loans as a percentage of total originated loans, improved 6 basis points to 0.93% at December 31, 2015.

Net charge-offs totaled $24.4 million, or 0.21% annualized of total average loans, compared to $23.5 million, or 0.23% annualized. For the originated portfolio, net charge-offs were $24.2 million, or 0.23% annualized of total average originated loans, compared to $21.0, million or 0.24% annualized. The ratio of the allowance for loan losses to total originated loans was 1.23% at December 31, 2015, compared to 1.22% at December 31, 2014. The provision for loan losses totaled $40.4 million, compared to $38.6 million in the prior-year period, and is attributable to strong organic loan growth and slight credit migration.

Capital Position The tangible common equity to tangible assets ratio (non-GAAP measure) was 6.71%, compared to 6.98% and 6.83% at September 30, 2015 and December 31, 2014, respectively. The tangible book value per common share (non-GAAP measure) increased to $6.38, from $6.36 and $5.99 at September 30, 2015 and December 31, 2014, respectively. The common dividend payout ratio for the full year of 2015 was 55.7%.

Conference Call F.N.B. Corporation will host a conference call to discuss financial results for the fourth quarter and full year of 2015 on Thursday, January 21, 2016, at 10:30 a.m. Eastern Time. Participating callers may access the call by dialing (866) 652-5200 or (412) 317-6060 for international callers. Participants should ask to be joined into the F.N.B. Corporation call. The Webcast and presentation materials may be accessed through the "About Us - Investor Relations & Shareholder Services" section of the Corporation’s Web site at www.fnbcorporation.com.

A replay of the call will be available shortly after the completion of the call until midnight ET on Thursday, January 28, 2016. The replay can be accessed by dialing (877) 344-7529 or (412) 317-0088 for international callers; the conference replay access code is 10077464. Following the call, a transcript and the related presentation materials will be posted to the "About Us - Investor Relations & Shareholder Services" section of F.N.B. Corporation’s web site at www.fnbcorporation.com.

About F.N.B. Corporation F.N.B. Corporation (FNB ), headquartered in Pittsburgh, Pennsylvania, is a diversified financial services company operating in six states, including three major metropolitan areas. It holds a top retail deposit market share in Pittsburgh, PA, Baltimore, MD, and Cleveland, OH. F.N.B. has total pro-forma assets (with the proposed merger of Metro Bancorp, Inc.) of $20.6 billion and more than 300 banking offices throughout Pennsylvania, Maryland, Ohio and West Virginia. F.N.B. provides a full range of commercial banking, consumer banking and wealth management solutions through its subsidiary network, which is led by its largest affiliate, First National Bank of Pennsylvania, founded in 1864. Commercial banking solutions include corporate banking, small business banking, investment real estate financing, international banking, business credit, capital markets and lease financing. The consumer banking segment provides a full line of consumer banking products and services including deposit products, mortgage lending, consumer lending and a complete suite of mobile and online banking services. F.N.B.’s wealth management services include asset management, private banking and insurance. F.N.B. also operates Regency Finance Company, which has more than 70 consumer finance offices in Pennsylvania, Ohio, Kentucky and Tennessee. The common stock of F.N.B. Corporation trades on the New York Stock Exchange under the symbol "FNB" and is included in Standard & Poor’s SmallCap 600 Index with the Global Industry Classification Standard (GICS) Regional Banks Sub-Industry Index. Customers, shareholders and investors can learn more about this regional financial institution by visiting the F.N.B. Corporation web site at www.fnbcorporation.com.

Non-GAAP Financial Measures F.N.B. Corporation uses certain non-GAAP financial measures, such as operating net income available to common shareholders, operating diluted earnings per common share, net interest income on a fully taxable equivalent basis (FTE), core net interest margin, tangible book value per common share and the ratio of tangible common equity to tangible assets, to provide information useful to investors in understanding F.N.B. Corporation’s operating performance and trends, and to facilitate comparisons with the performance of F.N.B. Corporation’s peers. The non-GAAP financial measures used by F.N.B. Corporation may differ from the non-GAAP financial measures other financial institutions use to measure their results of operations. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, F.N.B. Corporation’s reported results prepared in accordance with U.S. GAAP. Reconciliations of these non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures are included in the tables at the end of this release under the caption "Non-GAAP Financial Measures."

Cautionary Statement Regarding Forward-looking Information We make statements in this press release and the related conference call, and may from time to time make other statements, regarding our outlook for earnings, revenues, expenses, capital levels, liquidity levels, asset levels, asset quality and other matters regarding or affecting F.N.B. Corporation and its future business and operations that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements are typically identified by words such as "believe," "plan," "expect," "anticipate," "see," "look," "intend," "outlook," "project," "forecast," "estimate," "goal," "will," "should" and other similar words and expressions. Forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time.

Forward-looking statements speak only as of the date made. We do not assume any duty and do not undertake to update forward-looking statements. Actual results or future events could differ, possibly materially, from those anticipated in forward-looking statements, as well as from historical performance.

Our forward-looking statements are subject to the following principal risks and uncertainties:

-- Our businesses, financial results and balance sheet values are affected by business and economic conditions, including the following:

-- Changes in interest rates and valuations in debt, equity and other financial markets.

-- Disruptions in the liquidity and other functioning of U.S. and global financial markets.

-- The impact of federal regulatory agencies that have oversight or review of F.N.B. Corporation’s business and securities activities, including the bank regulatory examination and supervisory process.

-- Actions by the Federal Reserve, U.S. Treasury and other government agencies, including those that impact money supply and market interest rates.

-- Slowing or reversal of the rate of growth in the economy and employment levels and other economic factors that affect our liquidity and the performance of our loan portfolio, particularly in the markets in which we operate.

-- Changes in customer preferences and behavior, whether due to changing business and economic conditions, legislative and regulatory initiatives, or other factors.

-- Legal and regulatory developments could affect our ability to operate our businesses, financial condition, results of operations, competitive position, reputation, or pursuit of attractive acquisition opportunities. Reputational impacts could affect matters such as business generation and retention, liquidity, funding, and ability to attract and retain management. These developments could include:

-- Changes resulting from legislative and regulatory reforms, including broad-based restructuring of financial industry regulation; changes to laws and regulations involving tax, pension, bankruptcy, consumer protection, and other industry aspects; and changes in accounting policies and principles. We will continue to be impacted by extensive reforms provided for in the Dodd-Frank Wall Street Reform and Consumer Protection Act and otherwise growing out of the recent financial crisis, the precise nature, extent and timing of which, and their impact on us, remains uncertain.

-- Results of the regulatory examination and supervisory process.

-- Changes to regulations governing bank capital and liquidity standards, including the Dodd-Frank Act, Volcker rule, Dodd-Frank stress testing rules (DFAST) and Basel III initiatives.

-- Impact on business and operating results of any costs associated with obtaining rights in intellectual property, the adequacy of our intellectual property protection in general and our operational or security systems or infrastructure, or those of third-party vendors or other service providers, and rapid technological developments and changes.

-- Business and operating results are affected by judgments and assumptions in our analytical and forecasting models, our reliance on the advice of experienced outside advisors and our ability to identify and effectively manage risks inherent in our businesses, including, where appropriate, through effective use of third-party insurance, derivatives, swaps, and capital management techniques, and to meet evolving regulatory capital standards.

-- As demonstrated by our acquisitions, we grow our business in part by acquiring, from time to time, other financial services companies, financial services assets and related deposits. These acquisitions often present risks and uncertainties, including, the possibility that the transaction cannot be consummated; regulatory issues; cost or difficulties involved in integration and conversion of the acquired businesses after closing; inability to realize expected cost savings, efficiencies and strategic advantages; the extent of credit losses in acquired loan portfolios; the extent of deposit attrition; and the potential dilutive effect to our current shareholders.

-- Competition can have an impact on customer acquisition, growth and retention and on credit spreads and product pricing, which can affect market share, deposits and revenues. Industry restructuring in the current environment could also impact our business and financial performance through changes in counterparty creditworthiness and performance, and the competitive and regulatory landscape. Our ability to anticipate and respond to technological changes can also impact our ability to respond to customer needs and meet competitive demands.

-- Business and operating results can also be affected by widespread disasters, dislocations, terrorist activities, cyber-attacks or international hostilities through their impacts on the economy and financial markets.

We provide greater detail regarding these and other factors in our 2014 Form 10-K, including the Risk Factors section of that report, and our subsequent SEC filings. Our forward-looking statements may also be subject to other risks and uncertainties, including those we may discuss elsewhere in this news release or in SEC filings, accessible on the SEC’s website at www.sec.gov and on our corporate website at www.fnbcorporation.com. We have included these web addresses as inactive textual references only. Information on these websites is not part of this document.

DATA SHEETS FOLLOW

F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                                                        4Q15 -    4Q15 -
                                                                          2015                2014      3Q15      4Q14
                                                                          Fourth    Third     Fourth    Percent   Percent
Statement of earnings                                                     Quarter   Quarter   Quarter   Variance  Variance
Interest income                                                           $140,781  $137,197  $135,097  2.6       4.2
Interest expense                                                          13,448    11,996    11,436    12.1      17.6
Net interest income                                                       127,333   125,201   123,661   1.7       3.0
Taxable equivalent adjustment                                             2,097     1,950     1,696     7.5       23.7
Net interest income (FTE) (1)                                             129,430   127,151   125,357   1.8       3.2
Provision for credit losses                                               12,664    10,777    10,040    17.5      26.1
Net interest income after provision (FTE)                                 116,766   116,374   115,317   0.3       1.3
Service charges                                                           18,739    18,628    17,815    0.6       5.2
Trust income                                                              5,131     5,210     4,871     -1.5      5.3
Insurance commissions and fees                                            3,919     4,423     3,953     -11.4     -0.8
Securities commissions and fees                                           3,684     3,304     2,928     11.5      25.8
Mortgage banking operations                                               1,880     2,424     1,485     -22.5     26.6
Net securities gains                                                      503       314       302       n/m       n/m
Other                                                                     9,261     7,056     8,108     31.3      14.2
Total non-interest income                                                 43,117    41,359    39,462    4.3       9.3
Salaries and employee benefits                                            50,509    51,759    48,008    -2.4      5.2
Occupancy and equipment                                                   16,551    16,194    15,541    2.2       6.5
FDIC insurance                                                            3,258     3,158     3,659     3.2       -11.0
Amortization of intangibles                                               2,157     2,034     2,518     6.0       -14.4
Other real estate owned                                                   849       1,299     1,884     -34.6     -54.9
Merger, acquisition and severance-related                                 1,350     1,312     1,557     n/m       n/m
Other                                                                     26,572    22,393    23,489    18.7      13.1
Total non-interest expense                                                101,246   98,149    96,656    3.2       4.7
Income before income taxes                                                58,637    59,584    58,123    -1.6      0.9
Taxable equivalent adjustment                                             2,097     1,950     1,696     7.5       23.7
Income taxes                                                              17,418    17,581    17,123    -0.9      1.7
Net income                                                                39,122    40,053    39,304    -2.3      -0.5
Preferred stock dividends                                                 2,011     2,010     2,010
Net income available to common stockholders                               $37,111   $38,043   $37,294   -2.4      -0.5
Earnings per common share:
Basic                                                                     $0.21     $0.22     $0.21     -4.5      0.0
Diluted                                                                   $0.21     $0.22     $0.21     -4.5      0.0
Non-GAAP Operating Results:
Operating net income available to common stockholders:
Net income available to common stockholders                               $37,111   $38,043   $37,294
Net gain on sale of pooled TPS and other securities, net of tax           0         0         0
Merger, acquisition and severance costs, net of tax                       991       853       1,012
Other net non-recurring items                                             0         0         (1,889)
Operating net income available to common stockholders                     $38,102   $38,896   $36,417   -2.0      4.6
Operating diluted earnings per common share:
Diluted earnings per common share                                         $0.21     $0.22     $0.21
Effect of net gain on sale of pooled TPS and other securities, net of tax 0.00      0.00      0.00
Effect of merger, acquisition and severance costs, net of tax             0.01      0.00      0.01
Effect of other net non-recurring items                                   0.00      0.00      (0.01)
Operating diluted earnings per common share                               $0.22     $0.22     $0.21     0.0       4.8
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                          For the Year
                                                                          Ended December 31,  Percent
Statement of earnings                                                     2015      2014      Variance
Interest income                                                           $546,795  $508,983  7.4
Interest expense                                                          48,573    42,686    13.8
Net interest income                                                       498,222   466,297   6.8
Taxable equivalent adjustment                                             7,635     6,898     10.7
Net interest income (FTE) (1)                                             505,857   473,195   6.9
Provision for credit losses                                               40,441    38,648    4.6
Net interest income after provision (FTE)                                 465,416   434,547   7.1
Service charges                                                           70,698    68,267    3.6
Trust income                                                              20,934    19,365    8.1
Insurance commissions and fees                                            16,270    16,758    -2.9
Securities commissions and fees                                           13,642    11,453    19.1
Mortgage banking operations                                               8,619     3,705     132.6
Net securities gains                                                      822       11,717    n/m
Other                                                                     31,425    27,009    16.4
Total non-interest income                                                 162,410   158,274   2.6
Salaries and employee benefits                                            201,968   192,477   4.9
Occupancy and equipment                                                   65,539    61,526    6.5
FDIC insurance                                                            12,888    13,258    -2.8
Amortization of intangibles                                               8,305     9,717     -14.5
Other real estate owned                                                   4,637     4,401     5.4
Merger, acquisition and severance-related                                 3,033     12,150    n/m
Other                                                                     94,179    85,724    9.9
Total non-interest expense                                                390,549   379,253   3.0
Income before income taxes                                                237,277   213,568   11.1
Taxable equivalent adjustment                                             7,635     6,898     10.7
Income taxes                                                              69,993    62,620    11.8
Net income                                                                159,649   144,050   10.8
Preferred stock dividends                                                 8,041     8,352
Net income available to common stockholders                               $151,608  $135,698  11.7
Earnings per common share:
Basic                                                                     $0.87     $0.81     7.4
Diluted                                                                   $0.86     $0.80     7.5
Non-GAAP Operating Results:
Operating net income available to common stockholders:
Net income available to common stockholders                               $151,608  $135,698
Net gain on sale of pooled TPS and other securities, net of tax           0         (6,150)
Merger, acquisition and severance costs, net of tax                       2,084     7,897
Other net non-recurring items                                             0         (1,889)
Operating net income available to common stockholders                     $153,692  $135,557  13.4
Operating diluted earnings per common share:
Diluted earnings per common share                                         $0.86     $0.80
Effect of net gain on sale of pooled TPS and other securities, net of tax 0.00      (0.04)
Effect of merger, acquisition and severance costs, net of tax             0.01      0.05
Effect of other net non-recurring items                                   0.00      (0.01)
Operating diluted earnings per common share                               $0.87     $0.80     8.7
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                                                                    4Q15 -    4Q15 -
                                                                             2015                      2014         3Q15      4Q14
                                                                             Fourth       Third        Fourth       Percent   Percent
Balance Sheet (at period end)                                                Quarter      Quarter      Quarter      Variance  Variance
Assets
Cash and due from banks                                                      $207,399     $208,560     $196,240     -0.6      5.7
Interest bearing deposits with banks                                         281,720      50,206       91,153       461.1     209.1
Cash and cash equivalents                                                    489,119      258,766      287,393      89.0      70.2
Securities available for sale                                                1,630,567    1,578,526    1,534,065    3.3       6.3
Securities held to maturity                                                  1,637,061    1,526,290    1,453,355    7.3       12.6
Residential mortgage loans held for sale                                     4,781        3,575        6,180        33.7      -22.6
Loans and leases, net of unearned income                                     12,190,440   11,873,645   11,247,038   2.7       8.4
Allowance for credit losses                                                  (142,012)    (136,183)    (125,926)    4.3       12.8
Net loans and leases                                                         12,048,428   11,737,462   11,121,112   2.6       8.3
Premises and equipment, net                                                  159,080      161,689      168,756      -1.6      -5.7
Goodwill                                                                     833,086      834,141      832,213      -0.1      0.1
Core deposit and other intangible assets, net                                45,644       46,417       47,504       -1.7      -3.9
Bank owned life insurance                                                    308,192      306,061      301,771      0.7       2.1
Other assets                                                                 401,704      383,146      374,741      4.8       7.2
Total Assets                                                                 $17,557,662  $16,836,073  $16,127,090  4.3       8.9
Liabilities
Deposits:
Non-interest bearing demand                                                  $3,059,949   $2,911,435   $2,647,623   5.1       15.6
Interest bearing demand                                                      5,311,589    5,558,322    4,547,628    -4.4      16.8
Savings                                                                      1,786,459    1,736,350    1,575,922    2.9       13.4
Certificates and other time deposits                                         2,465,466    2,553,629    2,611,035    -3.5      -5.6
Total Deposits                                                               12,623,463   12,759,736   11,382,208   -1.1      10.9
Short-term borrowings                                                        2,048,896    1,287,302    2,041,658    59.2      0.4
Long-term borrowings                                                         641,480      542,653      541,443      18.2      18.5
Other liabilities                                                            147,641      151,633      140,325      -2.6      5.2
Total Liabilities                                                            15,461,480   14,741,324   14,105,634   4.9       9.6
Stockholders’ Equity
Preferred Stock                                                              106,882      106,882      106,882      0.0       0.0
Common stock                                                                 1,766        1,766        1,754        0.0       0.7
Additional paid-in capital                                                   1,808,210    1,805,926    1,798,984    0.1       0.5
Retained earnings                                                            243,217      227,287      176,120      7.0       38.1
Accumulated other comprehensive loss                                         (51,133)     (34,397)     (46,003)     48.7      11.2
Treasury stock                                                               (12,760)     (12,715)     (16,281)     0.3       -21.6
Total Stockholders’ Equity                                                   2,096,182    2,094,749    2,021,456    0.1       3.7
Total Liabilities and Stockholders’ Equity                                   $17,557,662  $16,836,073  $16,127,090  4.3       8.9
Selected average balances
Total assets                                                                 $17,076,285  $16,732,310  $15,906,850  2.1       7.4
Earning assets                                                               15,232,868   14,936,867   14,088,224   2.0       8.1
Interest bearing deposits with banks                                         53,777       75,208       57,976       -28.5     -7.2
Securities                                                                   3,155,624    3,088,987    2,935,551    2.2       7.5
Residential mortgage loans held for sale                                     9,182        8,967        4,811        2.4       90.9
Loans and leases, net of unearned income                                     12,014,285   11,763,705   11,089,886   2.1       8.3
Allowance for credit losses                                                  139,571      134,206      124,300      4.0       12.3
Goodwill and intangibles                                                     879,039      876,513      880,984      0.3       -0.2
Deposits and customer repurchase agreements (6)                              13,066,736   12,658,134   12,392,431   3.2       5.4
Short-term borrowings                                                        1,102,887    1,309,639    795,857      -15.8     38.6
Long-term borrowings                                                         640,573      542,720      541,564      18.0      18.3
Total stockholders’ equity                                                   2,099,591    2,082,043    2,021,493    0.8       3.9
Preferred stockholders’ equity                                               106,882      106,882      106,882      0.0       0.0
Common stock data
Average diluted shares outstanding                                           176,906,938  176,512,832  175,629,620  0.2       0.7
Period end shares outstanding                                                175,441,670  175,363,439  173,992,258  0.0       0.8
Book value per common share                                                  $11.34       $11.34       $11.00       0.0       3.0
Tangible book value per common share (4)                                     $6.38        $6.36        $5.99        0.4       6.6
Dividend payout ratio (common)                                               57.08%       55.67%       56.27%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                             For the Year
                                                                             Ended December 31,        Percent
Balance Sheet (at period end)                                                2015         2014         Variance
Assets
Cash and due from banks                                                      $207,399     $196,240     5.7
Interest bearing deposits with banks                                         281,720      91,153       209.1
Cash and cash equivalents                                                    489,119      287,393      70.2
Securities available for sale                                                1,630,567    1,534,065    6.3
Securities held to maturity                                                  1,637,061    1,453,355    12.6
Residential mortgage loans held for sale                                     4,781        6,180        -22.6
Loans and leases, net of unearned income                                     12,190,440   11,247,038   8.4
Allowance for credit losses                                                  (142,012)    (125,926)    12.8
Net loans and leases                                                         12,048,428   11,121,111   8.3
Premises and equipment, net                                                  159,080      168,756      -5.7
Goodwill                                                                     833,086      832,213      0.1
Core deposit and other intangible assets, net                                45,644       47,504       -3.9
Bank owned life insurance                                                    308,192      301,771      2.1
Other assets                                                                 401,704      374,741      7.2
Total Assets                                                                 $17,557,662  $16,127,089  8.9
Liabilities
Deposits:
Non-interest bearing demand                                                  $3,059,949   $2,647,623   15.6
Interest bearing demand                                                      5,311,589    4,547,628    16.8
Savings                                                                      1,786,459    1,575,922    13.4
Certificates and other time deposits                                         2,465,466    2,611,035    -5.6
Total Deposits                                                               12,623,463   11,382,207   10.9
Short-term borrowings                                                        2,048,896    2,041,658    0.4
Long-term borrowings                                                         641,480      541,443      18.5
Other liabilities                                                            147,641      140,325      5.2
Total Liabilities                                                            15,461,480   14,105,633   9.6
Stockholders’ Equity
Preferred Stock                                                              106,882      106,882      0.0
Common stock                                                                 1,766        1,754        0.7
Additional paid-in capital                                                   1,808,210    1,798,984    0.5
Retained earnings                                                            243,217      176,120      38.1
Accumulated other comprehensive loss                                         (51,133)     (46,003)     11.2
Treasury stock                                                               (12,760)     (16,281)     -21.6
Total Stockholders’ Equity                                                   2,096,182    2,021,456    3.7
Total Liabilities and Stockholders’ Equity                                   $17,557,662  $16,127,088  8.9
Selected average balances
Total assets                                                                 $16,606,147  $14,962,140  11.0
Earning assets                                                               14,797,502   13,165,555   12.4
Interest bearing deposits with banks                                         70,116       51,070       37.3
Securities                                                                   3,068,871    2,746,354    11.7
Residential mortgage loans held for sale                                     7,773        3,932        97.7
Loans and leases, net of unearned income                                     11,650,742   10,364,199   12.4
Allowance for credit losses                                                  133,508      117,027      14.1
Goodwill and intangibles                                                     876,773      857,018      2.3
Deposits and customer repurchase agreements (6)                              12,668,716   11,863,816   6.8
Short-term borrowings                                                        1,149,035    616,717      86.3
Long-term borrowings                                                         566,914      411,433      37.8
Total stockholders’ equity                                                   2,072,170    1,920,440    7.9
Preferred stockholders’ equity                                               106,882      106,882      0.0
Common stock data
Average diluted shares outstanding                                           176,338,953  169,078,845  4.3
Period end shares outstanding                                                175,441,670  173,992,258  0.8
Book value per common share                                                  $11.34       $11.00       3.0
Tangible book value per common share (4)                                     $6.38        $5.99        6.6
Dividend payout ratio (common)                                               55.74%       59.85%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands)
                                                                                                   4Q15 -    4Q15 -
                                                            2015                      2014         3Q15      4Q14
                                                            Fourth       Third        Fourth       Percent   Percent
                                                            Quarter      Quarter      Quarter      Variance  Variance
Performance ratios
Return on average equity                                    7.39%        7.63%        7.71%
Return on average tangible equity (2) (4)                   13.08%       13.53%       14.16%
Return on average tangible common equity (2) (4)            13.62%       14.12%       14.85%
Return on average assets                                    0.91%        0.95%        0.98%
Return on average tangible assets (3) (4)                   0.99%        1.03%        1.08%
Net interest margin (FTE) (1)                               3.38%        3.39%        3.54%
Yield on earning assets (FTE) (1)                           3.73%        3.70%        3.86%
Cost of interest-bearing liabilities                        0.45%        0.41%        0.41%
Cost of funds                                               0.36%        0.33%        0.33%
Efficiency ratio (FTE) (1) (5)                              56.32%       55.59%       56.05%
Effective tax rate                                          30.81%       30.50%       30.34%
Capital ratios
Equity / assets (period end)                                11.94%       12.44%       12.53%
Leverage ratio                                              8.14%        8.20%        8.43%
Tangible equity / tangible assets (period end) (4)          7.35%        7.65%        7.53%
Tangible common equity / tangible assets (period end) (4)   6.71%        6.98%        6.83%
Balances at period end
Loans and Leases:
Commercial real estate                                      $4,109,056   $3,949,246   $3,815,708   4.0       7.7
Commercial and industrial                                   2,601,722    2,491,355    2,318,015    4.4       12.2
Commercial leases                                           204,553      199,130      177,824      2.7       15.0
Commercial loans and leases                                 6,915,331    6,639,731    6,311,547    4.2       9.6
Direct installment                                          1,706,636    1,692,638    1,644,621    0.8       3.8
Residential mortgages                                       1,395,971    1,386,386    1,263,053    0.7       10.5
Indirect installment                                        996,729      974,028      875,551      2.3       13.8
Consumer LOC                                                1,137,255    1,127,002    1,110,976    0.9       2.4
Other                                                       38,518       53,860       41,290       -28.5     -6.7
Total loans and leases                                      $12,190,440  $11,873,645  $11,247,038  2.7       8.4
Deposits:
Non-interest bearing deposits                               $3,059,949   $2,911,435   $2,647,623   5.1       15.6
Interest bearing demand                                     5,311,589    5,558,322    4,547,628    -4.4      16.8
Savings                                                     1,786,459    1,736,350    1,575,922    2.9       13.4
Certificates of deposit and other time deposits             2,465,466    2,553,629    2,611,035    -3.5      -5.6
Total deposits                                              12,623,463   12,759,736   11,382,208   -1.1      10.9
Customer repurchase agreements (6)                          266,732      256,320      882,696      4.1       -69.8
Total deposits and customer repurchase agreements (6)       $12,890,195  $13,016,056  $12,264,904  -1.0      5.1
Average balances
Loans and Leases:
Commercial real estate                                      $4,007,628   $3,910,226   $3,779,619   2.5       6.0
Commercial and industrial                                   2,546,539    2,472,612    2,282,810    3.0       11.6
Commercial leases                                           201,201      197,907      174,379      1.7       15.4
Commercial loans and leases                                 6,755,368    6,580,745    6,236,808    2.7       8.3
Direct installment                                          1,702,617    1,687,477    1,614,300    0.9       5.5
Residential mortgages                                       1,393,416    1,365,253    1,242,479    2.1       12.1
Indirect installment                                        983,028      959,954      846,708      2.4       16.1
Consumer LOC                                                1,134,005    1,121,294    1,100,432    1.1       3.1
Other                                                       45,851       48,982       49,159       -6.4      -6.7
Total loans and leases                                      $12,014,285  $11,763,705  $11,089,886  2.1       8.3
Deposits:
Non-interest bearing deposits                               $3,025,773   $2,886,933   $2,666,600   4.8       13.5
Interest bearing demand                                     5,486,974    5,238,598    4,602,828    4.7       19.2
Savings                                                     1,764,600    1,730,818    1,577,553    2.0       11.9
Certificates of deposit and other time deposits             2,510,203    2,565,215    2,640,227    -2.1      -4.9
Total deposits                                              12,787,550   12,421,564   11,487,208   2.9       11.3
Customer repurchase agreements (6)                          279,186      236,570      905,223      18.0      -69.2
Total deposits and customer repurchase agreements (6)       $13,066,736  $12,658,134  $12,392,431  3.2       5.4
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands)
                                                            For the Year
                                                            Ended December 31,        Percent
                                                            2015         2014         Variance
Performance ratios
Return on average equity                                    7.70%        7.50%
Return on average tangible equity (2) (4)                   13.72%       14.05%
Return on average tangible common equity (2) (4)            14.33%       14.74%
Return on average assets                                    0.96%        0.96%
Return on average tangible assets (3) (4)                   1.05%        1.07%
Net interest margin (FTE) (1)                               3.42%        3.59%
Yield on earning assets (FTE) (1)                           3.75%        3.92%
Cost of interest-bearing liabilities                        0.42%        0.41%
Cost of funds                                               0.34%        0.33%
Efficiency ratio (FTE) (1) (5)                              56.12%       57.21%
Effective tax rate                                          30.48%       30.30%
Capital ratios
Equity / assets (period end)                                11.94%       12.53%
Leverage ratio                                              8.14%        8.43%
Tangible equity / tangible assets (period end) (4)          7.35%        7.53%
Tangible common equity / tangible assets (period end) (4)   6.71%        6.83%
Balances at period end
Loans and Leases:
Commercial real estate                                      $4,109,056   $3,815,708   7.7
Commercial and industrial                                   2,601,722    2,318,015    12.2
Commercial leases                                           204,553      177,824      15.0
Commercial loans and leases                                 6,915,331    6,311,547    9.6
Direct installment                                          1,706,636    1,644,621    3.8
Residential mortgages                                       1,395,971    1,263,053    10.5
Indirect installment                                        996,729      875,551      13.8
Consumer LOC                                                1,137,255    1,110,976    2.4
Other                                                       38,518       41,290       -6.7
Total loans and leases                                      $12,190,440  $11,247,038  8.4
Deposits:
Non-interest bearing deposits                               $3,059,949   $2,647,623   15.6
Interest bearing demand                                     5,311,589    4,547,628    16.8
Savings                                                     1,786,459    1,575,922    13.4
Certificates of deposit and other time deposits             2,465,466    2,611,035    -5.6
Total deposits                                              12,623,463   11,382,207   10.9
Customer repurchase agreements (6)                          266,732      882,696      -69.8
Total deposits and customer repurchase agreements (6)       $12,890,195  $12,264,903  5.1
Average balances
Loans and Leases:
Commercial real estate                                      $3,888,261   $3,566,094   9.0
Commercial and industrial                                   2,452,538    2,103,211    16.6
Commercial leases                                           191,070      166,877      14.5
Commercial loans and leases                                 6,531,869    5,836,182    11.9
Direct installment                                          1,675,856    1,528,863    9.6
Residential mortgages                                       1,336,212    1,161,737    15.0
Indirect installment                                        940,834      745,440      26.2
Consumer LOC                                                1,119,719    1,041,704    7.5
Other                                                       46,252       50,274       -8.0
Total loans and leases                                      $11,650,742  $10,364,199  12.4
Deposits:
Non-interest bearing deposits                               $2,832,982   $2,448,546   15.7
Interest bearing demand                                     5,040,102    4,352,050    15.8
Savings                                                     1,714,587    1,556,041    10.2
Certificates of deposit and other time deposits             2,565,937    2,681,054    -4.3
Total deposits                                              12,153,608   11,037,690   10.1
Customer repurchase agreements (6)                          515,108      826,125      -37.6
Total deposits and customer repurchase agreements (6)       $12,668,716  $11,863,816  6.8
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands)
                                                                                                 4Q15 -    4Q15 -
                                                                   2015                2014      3Q15      4Q14
                                                                   Fourth    Third     Fourth    Percent   Percent
Asset Quality Data                                                 Quarter   Quarter   Quarter   Variance  Variance
Non-Performing Assets
Non-performing loans (7)
Non-accrual loans                                                  $49,897   $47,298   $45,113   5.5       10.6
Restructured loans                                                 22,028    21,221    23,439    3.8       -6.0
Non-performing loans                                               71,925    68,519    68,552    5.0       4.9
Other real estate owned (8)                                        38,918    38,931    41,466    0.0       -6.1
Total non-performing assets                                        $110,843  $107,450  $110,018  3.2       0.8
Non-performing loans / total loans and leases                      0.59%     0.58%     0.61%
Non-performing loans / total originated loans and
and leases (9)                                                     0.64%     0.63%     0.71%
Non-performing loans + OREO / total loans and
leases + OREO                                                      0.91%     0.90%     0.97%
Non-performing loans + OREO / total originated
loans and leases + OREO (9)                                        0.99%     0.99%     1.13%
Non-performing assets / total assets                               0.63%     0.64%     0.68%
Allowance Rollforward
Allowance for credit losses (originated portfolio) (9)
Balance at beginning of period                                     $129,619  $124,196  $114,569  4.4       13.1
Provision for credit losses                                        12,387    11,287    7,478     9.7       65.6
Net loan charge-offs                                               (6,722)   (5,864)   (4,095)   14.6      64.2
Allowance for credit losses (originated portfolio) (9)             135,284   129,619   117,952   4.4       14.7
Allowance for credit losses (acquired portfolio) (10)
Balance at beginning of period                                     6,564     6,945     6,032
Provision for credit losses                                        278       (510)     2,562
Net loan charge-offs                                               (114)     129       (620)
Allowance for credit losses (acquired portfolio) (10)              6,728     6,564     7,974     2.5       -15.6
Total allowance for credit losses                                  $142,012  $136,183  $125,926  4.3       12.8
Allowance for credit losses / total loans and leases               1.16%     1.15%     1.12%
Allowance for credit losses (originated loans and leases) /
total originated loans and leases (9)                              1.23%     1.22%     1.22%
Allowance for credit losses (originated loans and leases) /
total non-performing loans (7)                                     190.64%   194.46%   172.06%
Net loan charge-offs (annualized) / total average loans
and leases                                                         0.23%     0.19%     0.17%
Net loan charge-offs on originated loans and leases
(annualized) / total average originated loans and
leases (9)                                                         0.25%     0.22%     0.17%
Delinquency - Originated Portfolio (9)
Loans 30-89 days past due                                          $46,683   $43,330   $41,275   7.7       13.1
Loans 90+ days past due                                            6,864     6,000     9,248     14.4      -25.8
Non-accrual loans                                                  48,934    45,436    45,113    7.7       8.5
Total past due and non-accrual loans                               $102,481  $94,766   $95,636   8.1       7.2
Total past due and non-accrual loans / total originated loans      0.93%     0.89%     0.99%
Memo item:
Delinquency - Acquired Portfolio (10) (11)
Loans 30-89 days past due                                          $15,034   $21,604   $24,678   -30.4     -39.1
Loans 90+ days past due                                            29,878    28,551    38,024    4.6       -21.4
Non-accrual loans                                                  963       1,862     0         n/m       n/m
Total past due and non-accrual loans                               $45,875   $52,017   $62,702   -11.8     -26.8
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands)
                                                                   For the Year
                                                                   Ended December 31,  Percent
Asset Quality Data                                                 2015      2014      Variance
Non-Performing Assets
Non-performing loans (7)
Non-accrual loans                                                  $49,897   $45,113   10.6
Restructured loans                                                 22,028    23,439    -6.0
Non-performing loans                                               71,925    68,552    4.9
Other real estate owned (8)                                        38,918    41,466    -6.1
Non-performing loans and OREO                                      110,843   110,018   0.8
Non-performing investments                                         0         0         n/m
Total non-performing assets                                        $110,843  $110,018  0.8
Non-performing loans / total loans and leases                      0.59%     0.61%
Non-performing loans / total originated loans and
and leases (9)                                                     0.64%     0.71%
Non-performing loans + OREO / total loans and
leases + OREO                                                      0.91%     0.97%
Non-performing loans + OREO / total originated
loans and leases + OREO (9)                                        0.99%     1.13%
Non-performing assets / total assets                               0.63%     0.68%
Allowance Rollforward
Allowance for credit losses (originated portfolio) (9)
Balance at beginning of period                                     $117,952  $104,884  12.5
Provision for credit losses                                        41,484    34,094    21.7
Net loan charge-offs                                               (24,152)  (21,026)  14.9
Allowance for credit losses (originated portfolio) (9)             135,284   117,952   14.7
Allowance for credit losses (acquired portfolio) (10)
Balance at beginning of period                                     7,974     5,900
Provision for credit losses                                        (1,042)   4,554
Net loan charge-offs                                               (204)     (2,480)
Allowance for credit losses (acquired portfolio) (10)              6,728     7,974     -15.6
Total allowance for credit losses                                  $142,012  $125,926  12.8
Allowance for credit losses / total loans and leases               1.16%     1.12%
Allowance for credit losses (originated loans and leases) /
total originated loans and leases (9)                              1.23%     1.22%
Allowance for credit losses (originated loans and leases) /
total non-performing loans (7)                                     190.64%   172.06%
Net loan charge-offs (annualized) / total average loans
and leases                                                         0.21%     0.23%
Net loan charge-offs on originated loans and leases
(annualized) / total average originated loans and
leases (9)                                                         0.23%     0.24%
Delinquency - Originated Portfolio (9)
Loans 30-89 days past due                                          $46,683   $41,275   13.1
Loans 90+ days past due                                            6,864     9,248     -25.8
Non-accrual loans                                                  48,934    45,113    8.5
Total past due and non-accrual loans                               $102,481  $95,636   7.2
Total past due and non-accrual loans / total originated loans      0.93%     0.99%
Memo item:
Delinquency - Acquired Portfolio (10) (11)
Loans 30-89 days past due                                          $15,034   $24,678   -39.1
Loans 90+ days past due                                            29,878    38,024    -21.4
Non-accrual loans                                                  963       0         n/m
Total past due and non-accrual loans                               $45,875   $62,702   -26.8
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                                 2015
                                                                                 Fourth Quarter                  Third Quarter
                                                                                              Interest  Average               Interest  Average
                                                                                 Average      Earned    Yield    Average      Earned    Yield
                                                                                 Outstanding  or Paid   or Rate  Outstanding  or Paid   or Rate
Assets
Interest bearing deposits with banks                                             $53,777      $27       0.20%    $75,208      $30       0.16%
Taxable investment securities  (12)                                              2,916,736    14,891    2.04%    2,870,378    14,577    2.03%
Non-taxable investment securities  (13)                                          238,888      2,830     4.74%    218,609      2,624     4.80%
Residential mortgage loans held for sale                                         9,182        125       5.47%    8,967        74        3.30%
Loans and leases  (13) (14)                                                      12,014,285   125,005   4.14%    11,763,705   121,842   4.11%
Total Interest Earning Assets  (13)                                              15,232,868   142,878   3.73%    14,936,867   139,147   3.70%
Cash and due from banks                                                          239,159                         199,115
Allowance for loan losses                                                        (139,571)                       (134,206)
Premises and equipment                                                           161,338                         162,103
Other assets                                                                     1,582,491                       1,568,431
Total Assets                                                                     $17,076,285                     $16,732,310
Liabilities
Deposits:
Interest-bearing demand                                                          $5,486,974   2,480     0.18%    $5,238,598   2,241     0.17%
Savings                                                                          1,764,600    224       0.05%    1,730,818    198       0.05%
Certificates and other time                                                      2,510,203    5,470     0.86%    2,565,215    5,509     0.85%
Customer repurchase agreements                                                   279,186      133       0.19%    236,570      113       0.19%
Other short-term borrowings                                                      1,102,887    1,593     0.57%    1,309,639    1,673     0.50%
Long-term borrowings                                                             640,573      3,548     2.20%    542,720      2,262     1.65%
Total Interest Bearing Liabilities  (13)                                         11,784,423   13,448    0.45%    11,623,560   11,996    0.41%
Non-interest bearing demand deposits                                             3,025,773                       2,886,933
Other liabilities                                                                166,498                         139,774
Total Liabilities                                                                14,976,694                      14,650,267
Stockholders’ equity                                                             2,099,591                       2,082,043
Total Liabilities and Stockholders’ Equity                                       $17,076,285                     $16,732,310
Net Interest Earning Assets                                                      $3,448,445                      $3,313,307
Net Interest Income (FTE)                                                                     129,430                         127,151
Tax Equivalent Adjustment                                                                     (2,097)                         (1,950)
Net Interest Income                                                                           $127,333                        $125,201
Net Interest Spread                                                                                     3.28%                           3.30%
Net Interest Margin  (13)                                                                               3.38%                           3.39%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                                 2014
                                                                                 Fourth Quarter
                                                                                              Interest  Average
                                                                                 Average      Earned    Yield
                                                                                 Outstanding  or Paid   or Rate
Assets
Interest bearing deposits with banks                                             $57,976      $24       0.17%
Taxable investment securities  (12)                                              2,773,556    14,320    2.07%
Non-taxable investment securities  (13)                                          161,994      2,077     5.13%
Residential mortgage loans held for sale                                         4,811        68        5.62%
Loans and leases  (13) (14)                                                      11,089,886   120,304   4.31%
Total Interest Earning Assets  (13)                                              14,088,223   136,793   3.86%
Cash and due from banks                                                          206,190
Allowance for loan losses                                                        (124,300)
Premises and equipment                                                           168,317
Other assets                                                                     1,568,419
Total Assets                                                                     $15,906,849
Liabilities
Deposits:
Interest-bearing demand                                                          $4,602,827   1,881     0.16%
Savings                                                                          1,577,553    171       0.04%
Certificates and other time                                                      2,640,227    5,484     0.82%
Customer repurchase agreements                                                   905,222      501       0.22%
Other short-term borrowings                                                      795,858      1,126     0.56%
Long-term borrowings                                                             541,563      2,273     1.67%
Total Interest Bearing Liabilities  (13)                                         11,063,250   11,436    0.41%
Non-interest bearing demand deposits                                             2,666,600
Other liabilities                                                                1,555,505
Total Liabilities                                                                15,285,355
Stockholders’ equity                                                             2,021,493
Total Liabilities and Stockholders’ Equity                                       $17,306,848
Net Interest Earning Assets                                                      $3,024,973
Net Interest Income (FTE)                                                                     125,357
Tax Equivalent Adjustment                                                                     (1,696)
Net Interest Income                                                                           $123,661
Net Interest Spread                                                                                     3.45%
Net Interest Margin  (13)                                                                               3.54%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                                For the Year Ended December 31,
                                                                                2015                            2014
                                                                                             Interest  Average               Interest  Average
                                                                                Average      Earned    Yield    Average      Earned    Yield
                                                                                Outstanding  or Paid   or Rate  Outstanding  or Paid   or Rate
Assets
Interest bearing deposits with banks                                            $70,116      $117      0.17%    $51,070      $94       0.18%
Taxable investment securities  (12)                                             2,864,795    58,148    2.03%    2,590,746    54,060    2.09%
Non-taxable investment securities  (13)                                         204,076      9,853     4.83%    155,608      8,148     5.24%
Residential mortgage loans held for sale                                        7,773        382       4.91%    3,932        355       9.02%
Loans and leases (13) (14)                                                      11,650,742   485,930   4.17%    10,364,199   453,225   4.37%
Total Interest Earning Assets  (13)                                             14,797,502   554,430   3.75%    13,165,555   515,882   3.92%
Cash and due from banks                                                         206,566                         197,210
Allowance for loan losses                                                       (133,508)                       (117,027)
Premises and equipment                                                          165,253                         163,986
Other assets                                                                    1,570,334                       1,552,416
Total Assets                                                                    $16,606,147                     $14,962,140
Liabilities
Deposits:
Interest-bearing demand                                                         $5,040,102   8,562     0.17%    $4,352,050   6,812     0.16%
Savings                                                                         1,714,587    787       0.05%    1,556,040    698       0.04%
Certificates and other time                                                     2,565,937    21,858    0.85%    2,681,055    22,093    0.82%
Customer repurchase agreements                                                  515,108      1,094     0.21%    826,125      1,816     0.22%
Other short-term borrowings                                                     1,149,035    5,981     0.52%    616,717      3,822     0.62%
Long-term borrowings                                                            566,914      10,291    1.82%    411,433      7,445     1.81%
Total Interest Bearing Liabilities  (13)                                        11,551,683   48,573    0.42%    10,443,420   42,686    0.41%
Non-interest bearing demand deposits                                            2,832,982                       2,448,546
Other liabilities                                                               149,312                         149,734
Total Liabilities                                                               14,533,977                      13,041,700
Stockholders’ equity                                                            2,072,170                       1,920,440
Total Liabilities and Stockholders’ Equity                                      $16,606,147                     $14,962,140
Net Interest Earning Assets                                                     $3,245,819                      $2,722,135
Net Interest Income (FTE)                                                                    505,857                         473,196
Tax Equivalent Adjustment                                                                    (7,635)                         (3,899)
Net Interest Income                                                                          $498,222                        $469,297
Net Interest Spread                                                                                    3.33%                           3.51%
Net Interest Margin  (13)                                                                              3.42%                           3.59%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
NON-GAAP FINANCIAL MEASURES
We believe the following non-GAAP financial measures used by F.N.B. Corporation provide information useful to investors in understanding F.N.B. Corporation’s operating performance and trends, and facilitate comparisons with the performance of F.N.B. Corporation’s peers.  The non-GAAP financial measures used by F.N.B. Corporation may differ from the non-GAAP financial measures other financial institutions use to measure their results of operations.  Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, F.N.B. Corporation’s reported results prepared in accordance with U.S. GAAP.  The following tables summarize the non-GAAP financial measures included in this press release and derived from amounts reported in F.N.B. Corporation’s financial statements.
                                                                  2015                      2014
                                                                  Fourth       Third        Fourth
                                                                  Quarter      Quarter      Quarter
Return on average tangible equity (2):
Net income (annualized)                                           $155,211     $158,907     $155,933
Amortization of intangibles, net of tax (annualized)              5,562        5,246        6,495
                                                                  160,773      164,153      162,428
Average total shareholders’ equity                                2,099,591    2,082,043    2,021,493
Less:  Average intangibles                                        (870,842)    (869,110)    (874,159)
                                                                  1,228,749    1,212,933    1,147,334
Return on average tangible equity (2)                             13.08%       13.53%       14.16%
Return on average tangible common equity (2):
Net income available to common stockholders (annualized)          $147,235     $150,932     $147,961
Amortization of intangibles, net of tax (annualized)              5,562        5,246        6,495
                                                                  152,797      156,178      154,456
Average total stockholders’ equity                                2,099,591    2,082,043    2,021,493
Less:  Average preferred stockholders’ equity                     (106,882)    (106,882)    (106,882)
Less:  Average intangibles                                        (870,842)    (869,110)    (874,159)
                                                                  1,121,867    1,106,051    1,040,452
Return on average tangible common equity (2)                      13.62%       14.12%       14.85%
Return on average tangible assets (3):
Net income (annualized)                                           $155,211     $158,907     $155,933
Amortization of intangibles, net of tax (annualized)              5,562        5,246        6,495
                                                                  160,773      164,153      162,428
Average total assets                                              17,076,285   16,732,310   15,906,850
Less:  Average intangibles                                        (870,842)    (869,110)    (874,159)
                                                                  16,205,443   15,863,200   15,032,691
Return on average tangible assets (3)                             0.99%        1.03%        1.08%
Tangible book value per share:
Total shareholders’ equity                                        $2,096,182   $2,094,749   $2,021,456
Less:  preferred shareholders’ equity                             (106,882)    (106,882)    (106,882)
Less:  intangibles                                                (869,809)    (873,102)    (872,859)
                                                                  1,119,491    1,114,765    1,041,715
Ending shares outstanding                                         175,441,670  175,363,439  173,992,258
Tangible book value per share                                     $6.38        $6.36        $5.99
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
                                                                         For the Year
                                                                         Ended December 31,
                                                                         2015        2014
Return on average tangible equity (2):
Net income (annualized)                                                  $159,649    $144,050
Amortization of intangibles, net of tax (annualized)                     5,398       6,316
                                                                         165,047     150,366
Average total shareholders’ equity                                       2,072,170   1,920,440
Less:  Average intangibles                                               (869,347)   (849,934)
                                                                         1,202,823   1,070,506
Return on average tangible equity (2)                                    13.72%      14.05%
Return on average tangible common equity (2):
Net income available to common stockholders (annualized)                 $151,608    $135,698
Amortization of intangibles, net of tax (annualized)                     5,398       6,316
                                                                         157,006     142,014
Average total stockholders’ equity                                       2,072,170   1,920,440
Less:  Average preferred stockholders’ equity                            (106,882)   (106,882)
Less:  Average intangibles                                               (869,347)   (849,934)
                                                                         1,095,941   963,624
Return on average tangible common equity (2)                             14.33%      14.74%
Return on average tangible assets (3):
Net income (annualized)                                                  $159,649    $144,050
Amortization of intangibles, net of tax (annualized)                     5,398       6,316
                                                                         165,047     150,366
Average total assets                                                     16,606,147  14,962,140
Less:  Average intangibles                                               (869,347)   (849,934)
                                                                         15,736,800  14,112,206
Return on average tangible assets (3)                                    1.05%       1.07%
F.N.B. CORPORATION
(Unaudited)
(Dollars in thousands)
                                                                       2015                    2014
                                                                       Fourth      Third       Fourth
                                                                       Quarter     Quarter     Quarter
Tangible equity / tangible assets (period end):
Total shareholders’ equity                                             $2,096,182  $2,094,749  $2,021,456
Less:  intangibles                                                     (869,809)   (873,102)   (872,859)
                                                                       1,226,373   1,221,647   1,148,597
Total assets                                                           17,557,662  16,836,073  16,127,090
Less:  intangibles                                                     (869,809)   (873,102)   (872,859)
                                                                       16,687,853  15,962,971  15,254,231
Tangible equity / tangible assets (period end)                         7.35%       7.65%       7.53%
Tangible common equity / tangible assets (period end):
Total stockholders’ equity                                             $2,096,182  $2,094,749  $2,021,456
Less:  preferred stockholders’ equity                                  (106,882)   (106,882)   (106,882)
Less:  intangibles                                                     (869,809)   (873,102)   (872,859)
                                                                       1,119,491   1,114,765   1,041,715
Total assets                                                           17,557,662  16,836,073  16,127,090
Less:  intangibles                                                     (869,809)   (873,102)   (872,859)
                                                                       16,687,853  15,962,971  15,254,231
Tangible equity / tangible assets (period end)                         6.71%       6.98%       6.83%
(1)  Net interest income is also presented on a fully taxable equivalent (FTE) basis, as the Corporation believes this non-GAAP measure is the preferred industry measurement for this item.
(2)  Return on average tangible equity is calculated by dividing net income excluding amortization of intangibles by average equity less average intangibles. Return on average tangible common equity is calculated by dividing net income available to common shareholders excluding amortization of intangibles by average
     common equity less average intangibles.
(3)  Return on average tangible assets is calculated by dividing net income excluding amortization of intangibles by average assets less average intangibles.
(4)  See non-GAAP financial measures for additional information relating to the calculation of this item.
(5)  The efficiency ratio is calculated by dividing non-interest expense less amortization of intangibles, other real estate owned expense and merger, acquisition and severance costs by the sum of net interest income on a fully taxable equivalent basis plus non-interest income less securities gains.
(6)  Customer repos are included in short-term borrowings on the balance sheet.
(7)  Does not include loans acquired at fair value ("acquired portfolio").
(8)  Includes all other real estate owned, including those balances acquired through business combinations that have been in acquired loans prior to foreclosure.
(9)  "Originated Portfolio" or "Originated Loans and Leases" equals loans and leases not included by definition in the Acquired Portfolio.
(10) "Acquired Portfolio" or "Acquired Loans" equals loans acquired at fair value, accounted for in accordance with ASC 805 which was effective January 1, 2009.
     The risk of credit loss on these loans has been considered by virtue of the Corporation’s estimate of acquisition-date fair value and these loans are considered accruing as the Corporation primarily recognizes interest income through accretion of the difference between the carrying value of these loans and their
     expected cash flows.  Because acquired loans are initially recorded at an amount estimated to be collectible, losses on such loans, when incurred, are first applied against the non-accretable difference established in purchase accounting and then to any allowance for loan losses recognized subsequent to acquisition.
(11) Represents contractual balances.
(12) The average balances and yields earned on taxable investment securities are based on historical cost.
(13) The interest income amounts are reflected on a FTE basis, which adjusts for the tax benefit of income on certain tax-exempt loans and investments using the federal statutory tax rate of 35% for each period presented.  The yields on earning assets and the net interest margin are presented on an FTE and annualized basis.  The rates paid on interest-bearing liabilities are also presented on an annualized basis.
(14) Average balances for loans include non-accrual loans.  Loans and leases consist of average total loans and leases less average unearned income.  The amount of loan fees included in interest income is immaterial.

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/fnb-corporation-reports-significant-revenue-growth-and-record-2015-net-income-300207537.html

SOURCE F.N.B. Corporation

http://rt.prnewswire.com/rt.gif?NewsItemId=NE03180&Transmission_Id=201601210828PR_NEWS_USPR_____NE03180&DateId=20160121



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