Market Newsdesk

April 22, 2021 4:34 pm

Crown Holdings, Inc. Declares Quarterly Dividend

PR Newswire

YARDLEY, Pa., April 22, 2021 /PRNewswire/ — Crown Holdings, Inc. (NYSE: CCK) announced today that its Board of Directors declared a cash dividend of 20 cents per share payable May 20, 2021 to shareholders of record as of May 6, 2021.

About Crown Holdings, Inc.

Crown Holdings, Inc., through its subsidiaries, is a leading global supplier of rigid packaging products to consumer marketing companies, as well as transit and protective packaging products, equipment and services to a broad range of end markets. World headquarters are located in Yardley, Pennsylvania. For more information, visit www.crowncork.com.

For more information, contact:
Thomas A. Kelly, Senior Vice President and Chief Financial Officer, (215) 698-5341, or
Thomas T. Fischer, Vice President, Investor Relations and Corporate Affairs, (215) 552-3720

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SOURCE Crown Holdings, Inc.

April 22, 2021 4:34 pm

People’s United Financial Declares Cash Dividend on Preferred Stock

PR Newswire

BRIDGEPORT, Conn., April 22, 2021 /PRNewswire/ — People’s United Financial, Inc. (NASDAQ: PBCT) today announced that its Board of Directors declared a quarterly cash dividend of $0.3515625 per share on the Company’s Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock. The dividend is payable on June 15, 2021 to shareholders of record at the close of business on June 1, 2021.

People’s United Financial, Inc., a diversified, community-focused financial services company with more than $64 billion in total assets, offers commercial and retail banking through a network of more than 400 retail locations in Connecticut, New York, Massachusetts, Vermont, New Hampshire and Maine, as well as wealth management solutions. The company also provides specialized commercial services to customers nationwide.

Access Information About People’s United Financial at www.peoples.com.

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SOURCE People’s United Financial, Inc.

April 22, 2021 4:34 pm

Quaker Houghton Announces First Quarter 2021 Earnings and Investor Call

PR Newswire

CONSHOHOCKEN, Pa., April 22, 2021 /PRNewswire/ — Quaker Houghton (NYSE: KWR) today announced the following schedule and contact information for its first quarter earnings release and investor call.

Earnings Release:	May 6, 2021 (after market close)
	Visit the investor relations portion of Quaker Houghton’s
	website at https://investors.quakerhoughton.com/

Teleconference:	May 7, 2021, 8:30 a.m. (ET)
	Participate live by phone or listen to live audio webcast through
	the investor relations portion of Quaker Houghton’s website at
	https://investors.quakerhoughton.com/

Dial-in Number:	+1-877-269-7756 (toll-free)
	+1-201-689-7817 (toll)
	Please call 5-10 minutes prior to the scheduled start of the call.
	No password required.

If unable to participate live, select from one of the following replay options:

Digital Replay:	Available through May 13, 2021
	Call +1-877-660-6853 (toll free) or +1-201-612-7415 (toll)
	Conference ID No. 13718733

Archived Webcast:	Visit the investor relations portion of Quaker Houghton’s website
	at https://investors.quakerhoughton.com/

About Quaker Houghton

Quaker Houghton (NYSE: KWR) is a global leader in industrial process fluids. With a presence around the world, including operations in over 25 countries, our customers include thousands of the world’s most advanced and specialized steel, aluminum, automotive, aerospace, offshore, can, mining, and metalworking companies. Our high-performing, innovative and sustainable solutions are backed by best-in-class technology, deep process knowledge and customized services. With 4,200 employees, including chemists, engineers and industry experts, we partner with our customers to improve their operations so they can run even more efficiently, even more effectively, whatever comes next. Quaker Houghton is headquartered in Conshohocken, Pennsylvania, located near Philadelphia in the United States. Visit quakerhoughton.com to learn more.

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SOURCE Quaker Houghton

April 22, 2021 4:33 pm

Blue Water Acquisition Corp. Receives Expected Notice from Nasdaq Regarding Delayed Annual Report

New York, NY, April 22, 2021 (GLOBE NEWSWIRE) — Blue Water Acquisition Corp. (NASDAQ: BLUWU) (the “Company”) announced today that it received a notice (“Notice”) from the Listing Qualifications Department of The Nasdaq Stock Market (“Nasdaq”) stating that the Company is not in compliance with Nasdaq Listing Rule 5250(c)(1) (the “Rule”) because the Company failed to timely file its Annual Report on Form 10-K for the year ended December 31, 2020 (the “Form 10-K”) with the Securities and Exchange Commission (“SEC”). The Notice has no immediate effect on the listing or trading of the Company’s securities on the Nasdaq Capital Market.

As previously disclosed in the Current Report on Form 8-K filed on April 15, 2021 by the Company, on April 12, 2021, the staff (the “Staff”) of the Division of Corporation Finance of the SEC issued a statement entitled “Staff Statement on Accounting and Reporting Considerations for Warrants Issued by Special Purpose Acquisition Companies” (the “Staff Statement”). The Staff Statement, among other things, highlighted the potential accounting implications of certain terms that are common in warrants issued in connection with the initial public offerings of special purpose acquisition companies (“SPAC”) such as the Company. The Company is continuing to evaluate its financial statements for the year ended December 31, 2020 to be included in the Form 10-K to determine whether its public and private warrants may be required to be accounted for as liabilities, rather than equity, in the Form 10-K. The Company is working diligently to finalize the financial statements and to file the Form 10-K as soon as practicable.

Under Nasdaq rules, the Company has 60 calendar days from the date of the Notice, or until June 15, 2021, to submit a plan to regain compliance with the Rule. If Nasdaq accepts the Company’s plan, then Nasdaq may grant an exception of up to 180 calendar days from the due date of the Form 10-K, or until October 12, 2021, to regain compliance.

About Blue Water Acquisition Corp.

Blue Water Acquisition Corp. is a blank check company formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. While the Company may pursue targets in any industry, it intends to focus its search in the healthcare industry.

Forward-Looking Statements

This press release may include, and oral statements made from time to time by representatives of the Company may include, “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements regarding possible business combinations and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this press release are forward-looking statements. When used in this press release, words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions, as they relate to us or our management team, identify forward-looking statements. Such forward-looking statements are based on the beliefs of management, as well as assumptions made by, and information currently available to, the Company’s management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors detailed in the Company’s filings with the Securities and Exchange Commission (“SEC”). All subsequent written or oral forward-looking statements attributable to us or persons acting on our behalf are qualified in their entirety by this paragraph. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company’s registration statement and prospectus for the Company’s initial public offering filed with the SEC. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

Contact:

Russo Partners

David Schull
(858) 717-2310
[email protected]

Ignacio Guerrero-Ros, Ph.D.
(646) 942-5604
[email protected]

April 22, 2021 4:33 pm

Parker Elects William F. Lacey to its Board of Directors

CLEVELAND, April 22, 2021 (GLOBE NEWSWIRE) — Parker Hannifin Corporation (NYSE: PH), the global leader in motion and control technologies, today announced the election of William F. Lacey to its Board of Directors, effective April 22, 2021.

Mr. Lacey is currently President and Chief Executive Officer of GE Lighting, a Savant company, a position he has held since 2015. He has more than 20 years of financial and operational leadership experience with General Electric. GE Lighting was acquired by Savant Systems, Inc., a leader in home control and automation, in 2020.

“Bill is a seasoned leader whose operational proficiency, financial expertise and unique perspective make him a welcome addition to Parker’s Board of Directors,” said Tom Williams, Chairman and Chief Executive Officer. “Having spent nearly three decades with a premier global industrial company, Bill brings an impressive depth of knowledge to our Board and will play an important role in guiding Parker’s continued growth and strong financial performance.”

Mr. Lacey joined General Electric in 1992 and served in various finance and global process improvement roles of increasing responsibility through the Finance Management Program. He joined the GE Corporate Audit team as an Associate in 1995 and progressed to Executive Audit Manager by 2000, when he transitioned to GE Lighting as Manager of Financial Planning and Analysis. He was named Chief Financial Officer of GE Wind Energy in 2002, and later served as Manager of Global Commercial Finance for GE Energy. In 2007, he was appointed Chief Financial Officer of GE Healthcare’s Medical Diagnostics business. Mr. Lacey rejoined GE Lighting in 2011 as Chief Financial Officer of GE Home and Business Solutions Lighting and in 2014 was appointed as a GE Company Officer. In 2015 he was appointed President and Chief Executive Officer of GE Lighting.

Mr. Lacey also currently serves on multiple boards of directors for nonprofit organizations, trade associations and educational institutions.

About Parker Hannifin

Parker Hannifin is a Fortune 250 global leader in motion and control technologies. For more than a century the company has been enabling engineering breakthroughs that lead to a better tomorrow. Parker has increased its annual dividend per share paid to shareholders for 64 consecutive fiscal years, among the top five longest-running dividend-increase records in the S&P 500 index. Learn more at www.parker.com or @parkerhannifin.

Forward-Looking Statements

Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. These statements may be identified from the use of forward-looking terminology such as “anticipates,” “believes,” “may,” “should,” “could,” “potential,” “continues,” “plans,” “forecasts,” “estimates,” “projects,” “predicts,” “would,” “intends,” “expects,” “targets,” “is likely,” “will,” or the negative of these terms and similar expressions, and include all statements regarding future performance, earnings projections, events or developments. Parker cautions readers not to place undue reliance on these statements. It is possible that the future performance and earnings projections of the company, including its individual segments, may differ materially from current expectations, depending on economic conditions within its mobile, industrial and aerospace markets, and the company’s ability to maintain and achieve anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins, actions taken to combat the effects of the current economic environment, and growth, innovation and global diversification initiatives. Additionally, the actual impact of changes in tax laws in the United States and foreign jurisdictions and any judicial or regulatory interpretation thereof on future performance and earnings projections may impact the company’s tax calculations. A change in the economic conditions in individual markets may have a particularly volatile effect on segment performance.

###

Contact:
Media –
Aidan Gormley, Director, Global Communications and Branding
216/896-3258
[email protected]

Financial Analysts –
Robin J. Davenport, Vice President, Corporate Finance
216/896-2265
[email protected]

April 22, 2021 4:33 pm

Phibro Animal Health Corporation Announces $550 million Debt Refinancing

Phibro Animal Health Corporation Announces $550 million Debt Refinancing

TEANECK, N.J.–(BUSINESS WIRE)–
Phibro Animal Health Corporation (NASDAQ:PAHC) announced today that on April 22, 2021, the Company entered into an amended and restated credit agreement. Under the amended and restated credit agreement, the lenders agreed to extend credit to the Company in the form of Term A loans in an aggregate principal amount of $300 million (“Term A Loans”) and a revolving credit facility in an aggregate principal amount of $250 million (“Revolver”).

The amended and restated credit agreement:

has an aggregate principal amount of $550 million,
was used to refinance the Company’s June 29, 2017 Credit Agreement (“2017 Credit Agreement”), which consisted of an aggregate principal amount of $250 million Term A loans and a $250 million revolving credit facility,
carries substantially the same terms and conditions as the 2017 Credit Agreement,
includes a $300 million Term A Loan, which replaces the Company’s existing $250 million Term A loan, reflecting a $50 million upsizing of the previous Term A loan facility,
includes a $250 million Revolver, which replaces the Company’s existing $250 million revolving credit facility,
extends the maturity of the Company’s credit facilities from June 2022 to April 2026,
carries an interest rate that is consistent with the Company’s current credit facilities,
is representative of a widely syndicated group of lenders primarily consisting of the Company’s existing lenders, providing the Company with increased operational flexibility, and
was jointly arranged by BofA Securities, Inc. and Coöperatieve Rabobank U.A., with Bank of America, N.A. acting as Administrative Agent.

“We are pleased to announce the refinancing of our existing credit agreement. Upsizing our existing credit facilities with primarily our existing syndicate group of lenders, on substantially the same terms, conditions and pricing as our 2017 Credit Agreement, reflects both the Company’s and lenders’ confidence in Phibro. We remain committed to continued debt and leverage reduction.” said Jack Bendheim, Chairman, President and Chief Executive Officer of Phibro.

About Phibro Animal Health Corporation

Phibro Animal Health Corporation is a diversified global developer, manufacturer and supplier of a broad range of animal health and mineral nutrition products for livestock, helping veterinarians and farmers produce healthy, affordable food while using fewer natural resources. For further information, please visit www.pahc.com.

Our filings with the Securities and Exchange Commission are available online at www.sec.gov, www.pahc.com or on request from the company.

Forward-Looking Statements: This communication contains forward-looking statements that are subject to risks and uncertainties, including with respect to future debt and leverage levels. All statements other than statements of historical or current fact included in this report are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “aim,” “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “outlook,” “potential,” “project,” “projection,” “plan,” “intend,” “seek,” “may,” “could,” “would,” “will,” “should,” “can,” “can have,” “likely,” the negatives thereof and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. These statements are not guarantees of future performance or actions. If one or more of these risks or uncertainties materialize, or if management’s underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. Forward-looking statements speak only as of the date on which they are made. Phibro expressly disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. A further list and description of risks, uncertainties and other matters can be found in our Quarterly Report on Form 10-Q and Annual Report on Form 10-K, including in the sections thereof captioned “Forward-Looking Statements” and “Risk Factors.” These filings and subsequent filings are available online at www.sec.gov, www.pahc.com, or on request from Phibro.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210422006092/en/

Damian Finio

Phibro Animal Health Corporation

Chief Financial Officer

+1-201-329-7300

[email protected]

KEYWORDS: New Jersey United States North America

INDUSTRY KEYWORDS: Health Veterinary Other Health

MEDIA:

Logo

April 22, 2021 4:33 pm

PCB Bancorp Reports Earnings of $8.6 million for Q1 2021 and Declares $0.10 Quarterly Cash Dividend

PCB Bancorp Reports Earnings of $8.6 million for Q1 2021 and Declares $0.10 Quarterly Cash Dividend

LOS ANGELES–(BUSINESS WIRE)–
PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of Pacific City Bank (the “Bank”), today reported net income of $8.6 million, or $0.55 per diluted common share for the first quarter of 2021, compared with $5.8 million, or $0.38 per diluted common share, for the previous quarter and $3.6 million, or $0.23 per diluted common share, for the year-ago quarter.

Q1 2021 Highlights

Net income totaled $8.6 million or $0.55 per diluted common share;
- The Company recorded a provision (reversal) for loan losses of $(1.1) million for the current quarter compared with $2.1 million for the previous quarter and $2.9 million for the year-ago quarter.
- Allowance for loan losses to total loans held-for-investment ratio was 1.51% at March 31, 2021 compared with 1.67% at December 31, 2020 and 1.15% at March 31, 2020. Excluding U.S. Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) loans, allowance for loan losses to total loans held-for-investment ratio was 1.74% and 1.83% at March 31, 2021 and December 31, 2020, respectively.
- Net interest margin was 3.70% for the first quarter of 2021 compared with 3.64% for the previous quarter and 3.85% for the year-ago quarter.
Total assets were $2.05 billion at March 31, 2021, an increase of $127.8 million, or 6.6%, from $1.92 billion at December 31, 2020 and an increase of $250.7 million, or 13.9%, from $1.80 billion at March 31, 2020;
Loans held-for-investment, net of deferred costs (fees), were $1.69 billion at March 31, 2021, an increase of $102.3 million, or 6.5%, from $1.58 billion at December 31, 2020 and an increase of $234.9 million, or 16.2%, from $1.45 billion at March 31, 2020;
- SBA PPP loans totaled $218.7 million and $135.7 million at March 31, 2021 and December 31, 2020, respectively. During the current quarter, the Company funded $104.3 million of SBA PPP loans.
- Loans under modified terms related to COVID-19 totaled $19.8 million and $36.1 million at March 31, 2021 and December 31, 2020, respectively.
Total deposits were $1.75 billion at March 31, 2021, an increase of $158.9 million from $1.59 billion at December 31, 2020 and an increase of $276.3 million, or 18.7%, from $1.48 billion at March 31, 2020;
Announced a repurchase program on April 8, 2021 for the repurchase up to 5% of outstanding common stock, which represented 775,000 shares, through September 7, 2021; and
Declared a cash dividend of $0.10 per share on April 22, 2021. This represents the 25th consecutive quarterly dividend paid by PCB Bancorp.

“We are pleased to announce a record quarter driven by strong core income, positive credit trends and an improving economic outlook that resulted in a release of loan loss reserves,” said Henry Kim, President and Chief Executive Officer. “Our allowance to loan losses remain robust at 1.74% excluding SBA PPP loans and we continue to successfully reduce our cost of deposits resulting an expansion of net interest margin to 3.70% compared with 3.64% in the fourth quarter of 2020. This solid performance is the result of our dedicated team of people who reached out to the customers at the height of the pandemic to genuinely serve and to find solutions to their unprecedented situations.”

“Our 2021 first quarter results reflect our sound underwriting and our focus on relationship banking. We are well prepared to expand on this successful momentum as the economy continues to reopen and look forward to the remainder of this year.”

Financial Highlights (Unaudited)

($ in thousands, except per share data)	ThreeMonthsEnded
($ in thousands, except per share data)	3/31/2021				12/31/2020			% Change			3/31/2020			% Change
Net income	$	8,560			$	5,787		47.9		%	$	3,572		139.6		%
Diluted earnings per common share	$	0.55			$	0.38		44.7		%	$	0.23		139.1		%

Net interest income	$	17,819			$	17,407		2.4		%	$	16,566		7.6		%
Provision (reversal) for loan losses	(1,147		)		2,142			(153.5	)	%	2,896			(139.6	)	%
Noninterest income	2,857				4,524			(36.8	)	%	2,026			41.0		%
Noninterest expense	9,669				11,550			(16.3	)	%	10,567			(8.5	)	%

Return on average assets ⁽¹⁾	1.75			%	1.19		%				0.81		%
Return on average shareholders’ equity ^{(1), (2)}	14.66			%	9.92		%				6.35		%
Net interest margin ⁽¹⁾	3.70			%	3.64		%				3.85		%
Efficiency ratio ⁽³⁾	46.76			%	52.67		%				56.84		%

($ in thousands, except per share data)	3/31/2021			12/31/2020			% Change		3/31/2020			% Change
Total assets	$	2,050,672		$	1,922,853		6.6	%	$	1,799,937		13.9	%
Net loans held-for-investment	1,660,402			1,557,068			6.6	%	1,434,364			15.8	%
Total deposits	1,753,771			1,594,851			10.0	%	1,477,442			18.7	%
Book value per common share ^{(2), (4)}	$	15.53		$	15.19		2.2	%	$	14.58		6.5	%
Tier 1 leverage ratio (consolidated)	12.03		%	11.94		%			12.57		%
Total shareholders’ equity to total assets ⁽²⁾	11.72		%	12.16		%			12.45		%

(1)		Ratios are presented on an annualized basis.
(2)		The Company did not have any intangible equity components for the presented periods.
(3)		The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.
(4)		The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares.

COVID-19 Pandemic

The ongoing COVID-19 pandemic, and governmental and societal responses thereto, have had a severe impact on recent global economic and market conditions, including significant disruption of, and volatility in, financial markets; global supply chain disruptions; and the institution of social distancing and shelter-in-place requirements that have resulted in temporary closures of many businesses, lost revenues, and increased unemployment throughout the U.S., but also specifically in California, where most of the Company’s operations and a large majority of its customers are located.

Since the beginning of the crisis, the Company has taken a number of steps to protect the safety of its employees and to support its customers. The Company has enabled its staff to work remotely and established safety measures within its bank premises and branches for both employees and customers.

In order to support its customers, the Company has been in close contact with its customers, assessing the level of impact on their businesses, and putting a process in place to evaluate each client’s specific situation and provide relief programs where appropriate. SBA PPP loans totaled $218.7 million (2,249 loans) and loans under modified terms related to the COVID-19 pandemic totaled $19.8 million (18 loan customers) as of March 31, 2021. The Company had received SBA PPP forgiveness of $23.7 million for 440 SBA PPP loans as of March 31, 2021. On January 13, 2021, SBA began accepting applications for second draw PPP loans and the Company had funded $104.3 million (1,072 loans) as of March 31, 2021. The Company is accepting applications and will continue to receive applications as long as funding remains available.

In addition, the Company has been monitoring its liquidity and capital closely. As of March 31, 2021, the Company maintained $211.8 million, or 10.3% of total assets, of cash and cash equivalents and $540.1 million, or 26.3% of total assets, of available borrowing capacity. All regulatory capital ratios were also well above the regulatory well capitalized requirements as of March 31, 2021.

At this time, the Company cannot estimate the long term impact of the COVID-19 pandemic, but these conditions impacted and are expected to impact its business, results of operations, and financial condition negatively.

Result of Operations (Unaudited)

Net Interest Income and Net Interest Margin

The following table presents the components of net interest income for the periods indicated:

	ThreeMonthsEnded
($ in thousands)	3/31/2021			12/31/2020			% Change			3/31/2020			% Change
Interest income/expense on
Loans	$	18,744		$	18,929		(1.0	)	%	$	20,406		(8.1	)	%
Investment securities	360			429			(16.1	)	%	644			(44.1	)	%
Other interest-earning assets	154			150			2.7		%	610			(74.8	)	%
Total interest-earning assets	19,258			19,508			(1.3	)	%	21,660			(11.1	)	%
Interest-bearing deposits	1,311			1,958			(33.0	)	%	4,992			(73.7	)	%
Borrowings	128			143			(10.5	)	%	102			25.5		%
Total interest-bearing liabilities	1,439			2,101			(31.5	)	%	5,094			(71.8	)	%
Net interest income	$	17,819		$	17,407		2.4		%	$	16,566		7.6		%
Average balance of
Loans	$	1,641,634		$	1,592,705		3.1		%	$	1,454,727		12.8		%
Investment securities	123,851			123,785			0.1		%	118,502			4.5		%
Other interest-earning assets	189,153			187,592			0.8		%	158,793			19.1		%
Total interest-earning assets	$	1,954,638		$	1,904,082		2.7		%	$	1,732,022		12.9		%
Interest-bearing deposits	$	1,053,845		$	1,050,369		0.3		%	$	1,129,699		(6.7	)	%
Borrowings	75,556			91,467			(17.4	)	%	25,117			200.8		%
Total interest-bearing liabilities	$	1,129,401		$	1,141,836		(1.1	)	%	$	1,154,816		(2.2	)	%
Total funding ⁽¹⁾	$	1,736,477		$	1,691,758		2.6		%	$	1,524,334		13.9		%
Annualized average yield/cost of
Loans	4.63		%	4.73		%				5.64		%
Investment securities	1.18		%	1.38		%				2.19		%
Other interest-earning assets	0.33		%	0.32		%				1.55		%
Total interest-earning assets	4.00		%	4.08		%				5.03		%
Interest-bearing deposits	0.50		%	0.74		%				1.78		%
Borrowings	0.69		%	0.62		%				1.63		%
Total interest-bearing liabilities	0.52		%	0.73		%				1.77		%
Net interest margin	3.70		%	3.64		%				3.85		%
Cost of total funding ⁽¹⁾	0.34		%	0.49		%				1.34		%
Supplementary information
Net accretion of discount on loans	$	745		$	991		(24.8	)	%	$	858		(13.2	)	%
Net amortization of deferred loan fees (costs)	$	1,220		$	913		33.6		%	$	121		908.3		%

(1)

Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

Loans. The decrease in average yield for the current quarter compared with the previous quarter was primarily due to an increase in SBA PPP loans and a decrease in net accretion of discount on loans, partially offset by an increase in net amortization of deferred loan fees from the increased SBA PPP loan production. The decrease in average yield for the current quarter compared with the year-ago quarter was primarily due to the increase in SBA PPP loans, partially offset by the increase in net amortization of deferred loan fees.

The following table presents a composition of total loans by interest rate type accompanied with the weighted-average contractual rates as of the dates indicated:

	3/31/2021				12/31/2020				3/31/2020
	% to Total Loans		Weighted- Average Contractual Rate		% to Total Loans		Weighted- Average Contractual Rate		% to Total Loans		Weighted- Average Contractual Rate
Fixed rate loans	36.3	%	3.44	%	31.7	%	3.86	%	30.2	%	5.19	%
Hybrid rate loans	19.3	%	4.77	%	20.8	%	4.82	%	14.6	%	5.01	%
Variable rate loans	44.4	%	4.04	%	47.5	%	4.06	%	55.2	%	4.41	%

Investment Securities. The decreases in average yield for the current quarter compared with the previous and year-ago quarters were primarily due to new investment securities purchased at lower market rates and an increase in premium amortization. During the current quarter and past 12-months period, the Company purchased investment securities of $20.2 million and $52.1 million, respectively.

Other Interest-Earning Assets. The decrease in average yield for the current quarter compared with the year-ago quarter was primarily due to the lower market rates. The increase in average balance for the current quarter compared with the year-ago quarter was primarily due to an increase in deposits and other borrowings as the Company maintains most of its cash at the Federal Reserve Bank account. For additional detail, please see the discussion for the current quarter in “Deposits” under the “Balance Sheet” discussion.

Interest-Bearing Deposits. The decreases in average cost for the current quarter compared with the previous and year-ago quarters were primarily due to the continuing decreases in market rates.

Borrowings. The increase in average cost for the current quarter compared with the previous quarter was primarily due to matured borrowings with lower interest rates during the current quarter. During the current quarter, a FHLB advance of $40.0 million with a rate of 0.59% matured. At March 31, 2021, the Company had a total outstanding FHLB advances of $40.0 million with a weighted-average rate of 0.76%.

Provision (reversal) for Loan Losses

Provision (reversal) for loan losses was $(1.1) million for the current quarter compared with $2.1 million for the previous quarter and $2.9 million for the year-ago quarter. The reversal for the current quarter was primarily due to improvement in historical loss factors and qualitative adjustment factors reflecting general economic condition. The Company recorded net charge-offs (recoveries) of $(151) thousand for the current quarter compared with $178 thousand for the previous quarter and $601 thousand for the year-ago quarter.

The following table presents allowance for loan losses to total loans held-for-investment ratio for the dates indicated:

($ in thousands)	3/31/2021			12/31/2020			3/31/2020
Total loans held-for-investment	$	1,685,916		$	1,583,578		$	1,451,038
Less: SBA PPP loans	218,709			135,654			—
Total loans held-for-investment, excluding SBA PPP loans	$	1,467,207		$	1,447,924		$	1,451,038
Allowance for loan losses	$	25,514		$	26,510		$	16,674
Allowance for loan losses to total loans held-for-investment	1.51		%	1.67		%	1.15		%
Allowance for loan losses to total loans held-for-investment, excluding SBA PPP loans	1.74		%	1.83		%	1.15		%

Noninterest Income

The following table presents the components of noninterest income for the periods indicated:

	ThreeMonthsEnded
($ in thousands)	3/31/2021		12/31/2020		% Change			3/31/2020		% Change
Gain on sale of loans	$	1,322	$	3,483	(62.0	)	%	$	725	82.3		%
Service charges and fees on deposits	293		311		(5.8	)	%	390		(24.9	)	%
Loan servicing income	882		398		121.6		%	554		59.2		%
Other income	360		332		8.4		%	357		0.8		%
Total noninterest income	$	2,857	$	4,524	(36.8	)	%	$	2,026	41.0		%

Gain on Sale of Loans. The following table presents information on gain on sale of loans for the periods indicated:

	ThreeMonthsEnded
($ in thousands)	3/31/2021		12/31/2020		% Change			3/31/2020		% Change
Gain on sale of SBA loans
Sold loan balance	$	10,919	$	42,413	(74.3	)	%	$	11,715	(6.8	)	%
Premium received	1,309		4,441		(70.5	)	%	1,056		24.0		%
Gain recognized	1,195		3,197		(62.6	)	%	704		69.7		%
Gain on sale of residential property loans
Sold loan balance	$	8,279	$	27,139	(69.5	)	%	$	2,079	298.2		%
Gain recognized	127		286		(55.6	)	%	21		504.8		%

The decrease in gain on sale of SBA loans compared with the previous quarter was primarily due to a higher sales volume in the previous quarter from the SBA loans held-for-sale of $26.8 million at September 30, 2020. The decrease in gain on sale of residential property loans was primarily due to the sales of residential property loans held-for-sale of $4.0 million at September 30, 2020 and an increased origination resulted from a higher demand for refinancing from the lower market rates during the previous quarter.

Loan Servicing Income. The following table presents information on loan servicing income for the periods indicated:

	ThreeMonthsEnded
($ in thousands)	3/31/2021			12/31/2020			% Change			3/31/2020			% Change
Loan servicing income
Servicing income received	$	1,273		$	961		32.5		%	$	1,158		9.9		%
Servicing assets amortization	(391		)	(563		)	(30.6	)	%	(604		)	(35.3	)	%
Loan servicing income	$	882		$	398		121.6		%	$	554		59.2		%
Underlying loans at end of period	$	492,981		$	498,795		(1.2	)	%	$	478,748		3.0		%

The Company services SBA loans and certain residential property loans that are sold to the secondary market. The increases for the current quarter compared with the previous and year-ago quarters were primarily due to an increase in servicing income received and a decrease in servicing asset amortization from a decrease in loan payoffs.

Noninterest Expense

The following table presents the components of noninterest expense for the periods indicated:

	ThreeMonthsEnded
($ in thousands)	3/31/2021		12/31/2020		% Change			3/31/2020		% Change
Salaries and employee benefits	$	6,182	$	7,397	(16.4	)	%	$	6,551	(5.6	)	%
Occupancy and equipment	1,371		1,424		(3.7	)	%	1,380		(0.7	)	%
Professional fees	494		625		(21.0	)	%	797		(38.0	)	%
Marketing and business promotion	138		440		(68.6	)	%	179		(22.9	)	%
Data processing	377		375		0.5		%	358		5.3		%
Director fees and expenses	138		146		(5.5	)	%	221		(37.6	)	%
Regulatory assessments	208		250		(16.8	)	%	219		(5.0	)	%
Other expenses	761		893		(14.8	)	%	862		(11.7	)	%
Total noninterest expense	$	9,669	$	11,550	(16.3	)	%	$	10,567	(8.5	)	%

Salaries and Employee Benefits. The decrease for the current quarter compared with the previous quarter was primarily due to direct loan origination cost of $750 thousand related to SBA PPP loan production, which offsets the recognition of salaries and benefits expense, and decreases in bonus accrual and other employee benefits during the current quarter. Compared with the year-ago quarter, the decrease was primarily due to the SBA PPP loan direct loan origination cost and a decrease in other employee benefits, partially offset by an increase in bonus accrual.

Professional Fees. The decrease for the current quarter compared with the previous quarter was primarily due to increased other professional fees during the previous quarter as a part of the year-end processes. Compared with the year-ago quarter, the decrease was primarily due to a decrease in expenses related to the Bank’s Bank Secrecy Act and Anti-Money Laundering (“BSA/AML”) compliance enhancements. The consent order related to the BSA/AML compliance was terminated on September 30, 2020.

Marketing and business promotion. The decrease for the current quarter compared with the previous quarter was primarily due to the year-end promotion during the previous quarter and a decrease in advertisement. The decrease for the current quarter compared with the year-ago quarter was primarily due to fewer marketing activities related to the COVID-19 pandemic.

Regulatory Assessments. The decreases for the current quarter compared with the previous and year-ago quarters were primarily due to a decrease in the assessment base as SBA PPP loans are excluded from the assessment base.

Balance Sheet (Unaudited)

Total assets were $2.05 billion at March 31, 2021, an increase of $127.8 million, or 6.6%, from $1.92 billion at December 31, 2020 and an increase of $250.7 million, or 13.9%, from $1.80 billion at March 31, 2020. The increase for the current quarter was primarily due to increases in loans held-for-investment, cash and cash equivalents, and investment securities. The increase in cash and cash equivalents for the current quarter was primarily due to an increase in deposits, partially offset by increases in loans held-for-investment and investment securities and a decrease in other borrowings.

Loans

The following table presents a composition of total loans (includes both loans held-for-sale and loans held-for-investment, net of deferred costs (fees)) as of the dates indicated:

($ in thousands)	3/31/2021		12/31/2020		% Change			3/31/2020		% Change
Real estate loans
Commercial property	$	922,536	$	880,736	4.7		%	$	812,484	13.5		%
Residential property	190,990		198,431		(3.7	)	%	227,492		(16.0	)	%
SBA property	125,989		126,570		(0.5	)	%	125,322		0.5		%
Construction	13,151		15,199		(13.5	)	%	19,178		(31.4	)	%
Commercial and industrial loans
Commercial term	80,361		87,250		(7.9	)	%	101,943		(21.2	)	%
Commercial lines of credit	91,970		96,087		(4.3	)	%	116,873		(21.3	)	%
SBA commercial term	21,078		21,878		(3.7	)	%	24,745		(14.8	)	%
SBA PPP	218,709		135,654		61.2		%	—		—		%
Other consumer loans	21,132		21,773		(2.9	)	%	23,001		(8.1	)	%
Loans held-for-investment	1,685,916		1,583,578		6.5		%	1,451,038		16.2		%
Loans held-for-sale	3,569		1,979		80.3		%	16,191		(78.0	)	%
Total loans	$	1,689,485	$	1,585,557	6.6		%	$	1,467,229	15.1		%

The increase in loans held-for-investment for the current quarter was primarily due to new funding of $190.4 million and advances on lines of credit of $27.8 million, partially offset by pay-downs and pay-offs of $115.4 million. SBA PPP loan production contributed significantly to the Company’s loan growth for the current quarter.

The increase in loans held-for-sale for the current quarter was primarily due to new funding of $20.4 million, partially offset by sales of $19.2 million.

The following table presents a composition of commitments to extend credit as of the dates indicated:

($ in thousands)	3/31/2021		12/31/2020		% Change			3/31/2020		% Change
Real estate loans
Commercial property	$	20,003	$	21,016	(4.8	)	%	$	14,393	39.0		%
SBA property	3,677		540		580.9		%	421		773.4		%
Construction	13,588		13,986		(2.8	)	%	17,761		(23.5	)	%
Commercial and industrial loans
Commercial term	1,000		1,000		—		%	1,034		(3.3	)	%
Commercial lines of credit	168,381		156,870		7.3		%	143,228		17.6		%
SBA commercial term	—		—		—		%	912		(100.0	)	%
Other consumer loans	96		84		14.3		%	38		152.6		%
Total commitments to extend credit	$	206,745	$	193,496	6.8		%	$	177,787	16.3		%

Credit Quality

The following table presents a summary of non-performing loans, non-performing assets and classified assets as of the dates indicated:

($ in thousands)	3/31/2021			12/31/2020			% Change			3/31/2020			% Change
Nonaccrual loans
Real estate loans
Commercial property	$	—		$	524		(100.0	)	%	$	—		—		%
Residential property	—			189			(100.0	)	%	—			—		%
SBA property	841			885			(5.0	)	%	$	1,461		(42.4	)	%
Commercial and industrial loans
Commercial lines of credit	—			904			(100.0	)	%	2,182			(100.0	)	%
SBA commercial term	568			595			(4.5	)	%	430			32.1		%
Other consumer loans	52			66			(21.2	)	%	10			420.0		%
Total nonaccrual loans held-for-investment	1,461			3,163			(53.8	)	%	4,083			(64.2	)	%
Loans past due 90 days or more and still accruing	—			—			—		%	—			—		%
Non-performing loans (“NPLs”)	1,461			3,163			(53.8	)	%	4,083			(64.2	)	%
Other real estate owned (“OREO”)	2,336			1,401			66.7		%	376			521.3		%
Non-performing assets (“NPAs”)	$	3,797		$	4,564		(16.8	)	%	$	4,459		(14.8	)	%
Loans past due and still accruing
Past due 30 to 59 days	$	56		$	302		(81.5	)	%	$	1,584		(96.5	)	%
Past due 60 to 89 days	52			36			44.4		%	46			13.0		%
Past due 90 days or more	—			—			—		%	—			—		%
Total loans past due and still accruing	$	108		$	338		(68.0	)	%	$	1,630		(93.4	)	%
Troubled debt restructurings (“TDRs”)
Accruing TDRs	$	620		$	634		(2.2	)	%	$	679		(8.7	)	%
Nonaccrual TDRs	33			5			560.0		%	145			(77.2	)	%
Total TDRs	$	653		$	639		2.2		%	$	82		(20.8	)	%
Special mention loans	$	17,997		$	16,461		9.3		%	$	72		24,895.8		%
Classified assets
Classified loans	$	7,090		$	10,130		(30.0	)	%	$	6,519		8.8		%
OREO	2,336			1,401			66.7		%	376			521.3		%
Classified assets	$	9,426		$	11,531		(18.3	)	%	$	6,895		36.7		%
NPLs to loans held-for-investment	0.09		%	0.20		%				0.28		%
NPAs to total assets	0.19		%	0.24		%				0.25		%
Classified assets to total assets	0.46		%	0.60		%				0.38		%

The increase in special mention was primarily due to downgrades of loans under modified terms related to the COVID-19 pandemic. Loans that are granted modifications related to the COVID-19 pandemic in excess of 6 months, on a cumulative basis, are classified as special mention or classified.

Special mention loans included $16.4 million and $14.9 million of loans under modified terms related to the COVID-19 pandemic at March 31, 2021 and December 31, 2020, respectively. The special mention loans under modified terms related to the COVID-19 pandemic included 2 commercial property loans totaling $11.9 million, 4 commercial term loans totaling $4.3 million, and a SBA property loan of $252 thousand at March 31, 2021.

Classified loans included $1.2 million and $1.9 million of loans under modified terms related to the COVID-19 pandemic at March 31, 2021 and December 31, 2020, respectively.

Loan Modifications Related to the COVID-19 Pandemic

The Company provided modifications, including interest only payments or payment deferrals, to customers that were adversely affected by the COVID-19 pandemic. The loan modifications met all criteria under the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”). Therefore, the modified loans were not considered TDRs. Total loans under modified terms related to the COVID-19 pandemic were $19.8 million at March 31, 2021, a decrease of $16.3 million, or 45.1%, from $36.1 million at December 31, 2020 and a decrease of $464.2 million, or 95.9%, from $484.0 million at June 30, 2020.

The following table presents a summary of loans under modified terms related to the COVID-19 pandemic by portfolio segment as of March 31, 2021:

	Modification Type						Weighted- Average Contractual Rate		Accrued Interest Receivable
($ in thousands)	Payment Deferment		Interest Only Payment		Total		Weighted- Average Contractual Rate		Accrued Interest Receivable
Real estate loans
Commercial property	$	—	$	11,830	$	11,830	3.59	%	$	77
Residential property	349		—		349		3.25	%	5
SBA property	—		1,627		1,627		4.94	%	27
Commercial and industrial loans
Commercial term	—		5,506		5,506		3.88	%	92
SBA commercial term	—		513		513		5.50	%	3
Total	$	349	$	19,476	$	19,825	3.82	%	$	204

Investment Securities

Total investment securities were $127.1 million at March 31, 2021, an increase of $6.6 million, or 5.5%, from $120.5 million at December 31, 2020 and an increase of $8.8 million, or 7.5%, from $118.3 million at March 31, 2020.

The increase for the current quarter was primarily due to purchases of $20.2 million, partially offset by principal pay-downs and calls of $11.8 million and net premium amortization of $310 thousand.

On June 30, 2020, the Company transferred securities held-to-maturity to securities available-for-sale as a part of the Company’s liquidity management plan in response to the COVID-19 pandemic. The Company transferred all of securities held-to-maturity of $18.8 million to securities available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $787 thousand.

Deposits

The following table presents the Company’s deposit mix as of the dates indicated:

	3/31/2021				12/31/2020				3/31/2020
($ in thousands)	Amount		% to Total		Amount		% to Total		Amount		% to Total
Noninterest-bearing demand deposits	$	715,719	40.8	%	$	538,009	33.7	%	$	394,084	26.7	%
Interest-bearing deposits
Savings	11,271		0.6	%	10,481		0.7	%	6,569		0.4	%
NOW	19,380		1.1	%	21,604		1.4	%	18,608		1.3	%
Retail money market accounts	381,704		21.7	%	351,739		22.0	%	338,850		22.9	%
Brokered money market accounts	4		0.1	%	25,002		1.6	%	10,006		0.7	%
Retail time deposits of
$250,000 or less	276,232		15.8	%	299,431		18.7	%	362,408		24.5	%
More than $250,000	166,845		9.5	%	168,683		10.6	%	176,970		12.0	%
Time deposits from internet rate service providers	17,616		1.0	%	24,902		1.6	%	5,447		0.4	%
State and brokered time deposits	165,000		9.4	%	155,000		9.7	%	164,500		11.1	%
Total interest-bearing deposits	1,038,052		59.2	%	1,056,842		66.3	%	1,083,358		73.3	%
Total deposits	$	1,753,771	100.0	%	$	1,594,851	100.0	%	$	1,477,442	100.0	%

The increase in noninterest-bearing demand deposits for the current year was primarily due to the overall liquid deposit market. During the current quarter, a total of $91.4 million of SBA PPP loans were funded through the Bank’s noninterest-bearing demand deposits and deposit customers also received $10.1 million of SBA Economic Injury Disaster Loans.

The decrease in retail time deposits for the current quarter was primarily due to matured and closed accounts of $195.6 million, partially offset by new accounts of $31.6 million and renewals of the matured accounts of $136.2 million.

Liquidity

The following table presents a summary of the Company’s liquidity position as of March 31, 2021:

($ in thousands)	3/31/2021
Cash and cash equivalents	$	211,780
Cash and cash equivalents to total assets	10.3		%

Available borrowing capacity
FHLB advances	$	440,705
Federal Reserve Discount Window	34,373
Overnight federal funds lines	65,000
Total	$	540,078
Total available borrowing capacity to total assets	26.3		%

Shareholders’ Equity

Shareholders’ equity was $240.3 million at March 31, 2021, an increase of $6.5 million, or 2.8%, from $233.8 million at December 31, 2020 and an increase of $16.1 million, or 7.2%, from $224.1 million at March 31, 2020. The increase for the current quarter was primarily due to net income, partially offset by a cash dividend declared on common stock of $1.5 million.

Capital Ratios

Based on changes to the Federal Reserve’s definition of a “Small Bank Holding Company” that increased the threshold to $3 billion in assets in August 2018, the Company is not currently subject to separate minimum capital measurements. At such time as the Company reaches the $3 billion asset level, it will again be subject to capital measurements independent of the Bank. For comparison purposes, the Company’s ratios are included in following discussion. The following table presents capital ratios for the Company and the Bank as of dates indicated:

	3/31/2021		12/31/2020		3/31/2020		Well Capitalized Requirements
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)	15.92	%	15.97	%	15.53	%	N/A
Total capital (to risk-weighted assets)	17.17	%	17.22	%	16.71	%	N/A
Tier 1 capital (to risk-weighted assets)	15.92	%	15.97	%	15.53	%	N/A
Tier 1 capital (to average assets)	12.03	%	11.94	%	12.57	%	N/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)	15.62	%	15.70	%	15.28	%	6.5%
Total capital (to risk-weighted assets)	16.88	%	16.95	%	16.47	%	10.0%
Tier 1 capital (to risk-weighted assets)	15.62	%	15.70	%	15.28	%	8.0%
Tier 1 capital (to average assets)	11.81	%	11.74	%	12.37	%	5.0%

Declaration of Quarterly Cash Dividend

On April 22, 2021, the Company’s Board of Directors declared a quarterly cash dividend of $0.10 per common share. The dividend will be paid on or about May 14, 2021, to shareholders of record as of the close of business on May 7, 2021.

About PCB Bancorp

PCB Bancorp, formerly known as Pacific City Financial Corporation, is the bank holding company for Pacific City Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phases of similar meaning. We caution that the forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to our borrowers’ actual payment performance as loan deferrals related to the COVID-19 pandemic expire, changes to statutes, regulations, or regulatory policies or practices as a result of, or in response to the COVID-19 pandemic, including the potential adverse impact of loan modifications and payment deferrals implemented consistent with recent regulatory guidance, and the general economic uncertainty caused by the COVID-19 pandemic, and government and societal responses thereto. These and other important factors are detailed in various securities law filings made periodically by the Company, copies of which are available from the Company without charge. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law.

PCB Bancorp and Subsidiary

Consolidated Balance Sheets (Unaudited)

($ in thousands, except share and per share data)

	3/31/2021				12/31/2020				% Change			3/31/2020				% Change
Assets
Cash and due from banks	$	16,764			$	19,605			(14.5	)	%	$	14,880			12.7		%
Interest-bearing deposits in other financial institutions	195,016				174,493				11.8		%	174,039				12.1		%
Total cash and cash equivalents	211,780				194,098				9.1		%	188,919				12.1		%
Securities available-for-sale, at fair value	127,114				120,527				5.5		%	98,568				29.0		%
Securities held-to-maturity	—				—				—		%	19,711				(100.0	)	%
Total investment securities	127,114				120,527				5.5		%	118,279				7.5		%
Loans held-for-sale	3,569				1,979				80.3		%	16,191				(78.0	)	%
Loans held-for-investment, net of deferred loan costs (fees)	1,685,916				1,583,578				6.5		%	1,451,038				16.2		%
Allowance for loan losses	(25,514		)		(26,510		)		(3.8	)	%	(16,674		)		53.0		%
Net loans held-for-investment	1,660,402				1,557,068				6.6		%	1,434,364				15.8		%
Premises and equipment, net	3,774				4,048				(6.8	)	%	4,797				(21.3	)	%
Federal Home Loan Bank and other bank stock	8,447				8,447				—		%	8,345				1.2		%
Other real estate owned, net	2,336				1,401				66.7		%	376				521.3		%
Deferred tax assets, net	8,170				8,120				0.6		%	5,140				58.9		%
Servicing assets	6,253				6,400				(2.3	)	%	6,358				(1.7	)	%
Operating lease assets	7,145				7,616				(6.2	)	%	8,393				(14.9	)	%
Accrued interest receivable	7,523				9,334				(19.4	)	%	4,706				59.9		%
Other assets	4,159				3,815				9.0		%	4,069				2.2		%
Total assets	$	2,050,672			$	1,922,853			6.6		%	$	1,799,937			13.9		%
Liabilities
Deposits
Noninterest-bearing demand	$	715,719			$	538,009			33.0		%	$	394,084			81.6		%
Savings, NOW and money market accounts	412,359				408,826				0.9		%	374,033				10.2		%
Time deposits of $250,000 or less	358,848				379,333				(5.4	)	%	442,355				(18.9	)	%
Time deposits of more than $250,000	266,845				268,683				(0.7	)	%	266,970				—		%
Total deposits	1,753,771				1,594,851				10.0		%	1,477,442				18.7		%
Federal Home Loan Bank advances	40,000				80,000				(50.0	)	%	80,000				(50.0	)	%
Operating lease liabilities	7,935				8,455				(6.2	)	%	9,349				(15.1	)	%
Accrued interest payable and other liabilities	8,703				5,759				51.1		%	9,021				(3.5	)	%
Total liabilities	1,810,409				1,689,065				7.2		%	1,575,812				14.9		%
Commitments and contingent liabilities
Shareholders’ equity
Common stock, no par value	164,698				164,140				0.3		%	163,532				0.7		%
Retained earnings	74,707				67,692				10.4		%	59,702				25.1		%
Accumulated other comprehensive income, net	858				1,956				(56.1	)	%	891				(3.7	)	%
Total shareholders’ equity	240,263				233,788				2.8		%	224,125				7.2		%
Total liabilities and shareholders’ equity	$	2,050,672			$	1,922,853			6.6		%	$	1,799,937			13.9		%

Outstanding common shares	15,468,242				15,385,878							15,370,086
Book value per common share ⁽¹⁾	$	15.53			$	15.19						$	14.58
Total loan to total deposit ratio	96.33			%	99.42			%				99.31			%
Noninterest-bearing deposits to total deposits	40.81			%	33.73			%				26.67			%

(1)

The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares. The Company did not have any intangible equity components for the presented periods.

PCB Bancorp and Subsidiary

Consolidated Statements of Income (Unaudited)

($ in thousands, except share and per share data)

	ThreeMonthsEnded
	3/31/2021				12/31/2020			% Change			3/31/2020			% Change
Interest and dividend income
Loans, including fees	$	18,744			$	18,929		(1.0	)	%	$	20,406		(8.1	)	%
Investment securities	360				429			(16.1	)	%	644			(44.1	)	%
Other interest-earning assets	154				150			2.7		%	610			(74.8	)	%
Total interest income	19,258				19,508			(1.3	)	%	21,660			(11.1	)	%
Interest expense
Deposits	1,311				1,958			(33.0	)	%	4,992			(73.7	)	%
Other borrowings	128				143			(10.5	)	%	102			25.5		%
Total interest expense	1,439				2,101			(31.5	)	%	5,094			(71.8	)	%
Net interest income	17,819				17,407			2.4		%	16,566			7.6		%
Provision (reversal) for loan losses	(1,147		)		2,142			(153.5	)	%	2,896			(139.6	)	%
Net interest income after provision (reversal) for loan losses	18,966				15,265			24.2		%	13,670			38.7		%
Noninterest income
Gain on sale of loans	1,322				3,483			(62.0	)	%	725			82.3		%
Service charges and fees on deposits	293				311			(5.8	)	%	390			(24.9	)	%
Loan servicing income	882				398			121.6		%	554			59.2		%
Other income	360				332			8.4		%	357			0.8		%
Total noninterest income	2,857				4,524			(36.8	)	%	2,026			41.0		%
Noninterest expense
Salaries and employee benefits	6,182				7,397			(16.4	)	%	6,551			(5.6	)	%
Occupancy and equipment	1,371				1,424			(3.7	)	%	1,380			(0.7	)	%
Professional fees	494				625			(21.0	)	%	797			(38.0	)	%
Marketing and business promotion	138				440			(68.6	)	%	179			(22.9	)	%
Data processing	377				375			0.5		%	358			5.3		%
Director fees and expenses	138				146			(5.5	)	%	221			(37.6	)	%
Regulatory assessments	208				250			(16.8	)	%	219			(5.0	)	%
Other expenses	761				893			(14.8	)	%	862			(11.7	)	%
Total noninterest expense	9,669				11,550			(16.3	)	%	10,567			(8.5	)	%
Income before income taxes	12,154				8,239			47.5		%	5,129			137.0		%
Income tax expense	3,594				2,452			46.6		%	1,557			130.8		%
Net income	$	8,560			$	5,787		47.9		%	$	3,572		139.6		%
Earnings per common share
Basic	$	0.55			$	0.38					$	0.23
Diluted	$	0.55			$	0.38					$	0.23
Average common shares
Basic	15,384,343				15,350,742						15,505,699
Diluted	15,533,608				15,392,355						15,700,144

Dividend paid per common share	$	0.10			$	0.10					$	0.10
Return on average assets ⁽¹⁾	1.75			%	1.19		%				0.81		%
Return on average shareholders’ equity^{(1), (2)}	14.66			%	9.92		%				6.35		%
Efficiency ratio⁽³⁾	46.76			%	52.67		%				56.84		%

(1)		Ratios are presented on an annualized basis.
(2)		The Company did not have any intangible equity components for the presented periods.
(3)		The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

PCB Bancorp and Subsidiary

Average Balance, Average Yield, and Average Rate (Unaudited)

($ in thousands)

	Three Months Ended
	3/31/2021							12/31/2020							3/31/2020
	Average Balance			Interest Income/ Expense		Avg. Yield/Rate		Average Balance			Interest Income/ Expense		Avg. Yield/Rate		Average Balance			Interest Income/ Expense		Avg. Yield/Rate
Assets
Interest-earning assets
Total loans ⁽¹⁾	$	1,641,634		$	18,744	4.63	%	$	1,592,705		$	18,929	4.73	%	$	1,454,727		$	20,406	5.64	%
Mortgage-backed securities	81,486			215		1.07	%	76,787			275		1.42	%	57,503			329		2.30	%
Collateralized mortgage obligation	24,888			57		0.93	%	28,743			60		0.83	%	41,408			198		1.92	%
SBA loan pool securities	11,673			52		1.81	%	12,432			57		1.82	%	13,872			79		2.29	%
Municipal bonds ⁽²⁾	5,804			36		2.52	%	5,823			37		2.53	%	5,719			38		2.67	%
Other interest-earning assets	189,153			154		0.33	%	187,592			150		0.32	%	158,793			610		1.55	%
Total interest-earning assets	1,954,638			19,258		4.00	%	1,904,082			19,508		4.08	%	1,732,022			21,660		5.03	%
Noninterest-earning assets
Cash and cash equivalents	19,072							18,188							18,850
Allowance for loan losses	(26,870		)					(25,699		)					(14,399		)
Other assets	40,377							42,755							34,312
Total noninterest-earning assets	32,579							35,244							38,763
Total assets	$	1,987,217						$	1,939,326						$	1,770,785
Liabilities and Shareholders’ Equity
Interest-bearing liabilities
Deposits
NOW and money market accounts	$	407,623		333		0.33	%	$	383,507		327		0.34	%	$	364,604		1,119		1.23	%
Savings	10,609			1		0.04	%	11,037			1		0.04	%	6,614			3		0.18	%
Time deposits	635,613			977		0.62	%	655,825			1,630		0.99	%	758,481			3,870		2.05	%
Total interest-bearing deposits	1,053,845			1,311		0.50	%	1,050,369			1,958		0.74	%	1,129,699			4,992		1.78	%
Federal Home Loan Bank advances	75,556			128		0.69	%	91,467			143		0.62	%	25,117			102		1.63	%
Total interest-bearing liabilities	1,129,401			1,439		0.52	%	1,141,836			2,101		0.73	%	1,154,816			5,094		1.77	%
Noninterest-bearing liabilities
Noninterest-bearing demand	607,076							549,922							369,518
Other liabilities	13,950							15,412							20,365
Total noninterest-bearing liabilities	621,026							565,334							389,883
Total liabilities	1,750,427							1,707,170							1,544,699
Total shareholders’ equity	236,790							232,156							226,086
Total liabilities and shareholders’ equity	$	1,987,217						$	1,939,326						$	1,770,785
Net interest income				$	17,819						$	17,407						$	16,566
Net interest spread⁽³⁾						3.48	%						3.35	%						3.26	%
Net interest margin ⁽⁴⁾						3.70	%						3.64	%						3.85	%
Total deposits	$	1,660,921		$	1,311	0.32	%	$	1,600,291		$	1,958	0.49	%	$	1,499,217		$	4,992	1.34	%
Total funding ⁽⁵⁾	$	1,736,477		$	1,439	0.34	%	$	1,691,758		$	2,101	0.49	%	$	1,524,334		$	5,094	1.34	%

(1)		Total loans include both loans held-for-sale and loans held-for-investment, net of deferred loan costs (fees).
(2)		The yield on municipal bonds has not been computed on a tax-equivalent basis.
(3)		Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.
(4)		Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.
(5)		Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210422006090/en/

Timothy Chang

Executive Vice President & Chief Financial Officer

213-210-2000

KEYWORDS: California United States North America

INDUSTRY KEYWORDS: Banking Professional Services

MEDIA:

Logo

April 22, 2021 4:33 pm

Glacier Bancorp, Inc. Announces Results for the Quarter Ended March 31, 2021

Net income of $80.8 million, an increase of $37.5 million, or 86 percent, over the prior year first quarter net income of $43.3 million.

Diluted earnings per share of $0.85, an increase of 85 percent from the prior year first quarter diluted earnings per share of $0.46.

Gain on sale of loans of $21.6 million, increased $9.8 million, or 82 percent, compared to the prior year first quarter.

Non-interest expense of $96.6 million, decreased $14.6 million, or 13 percent, compared to the prior quarter and increased $1.1 million, or 1 percent, from the prior year first quarter.

Bank loan modifications related to the coronavirus disease of 2019 (“COVID-19”) decreased $13.5 million from the prior quarter and decreased $1.433 billion from the second quarter of 2020 to $81.3 million, or 79 basis points of loans excluding the Payroll Protection Program (“PPP”) loans.

Non-performing assets as a percentage of subsidiary assets was 0.19 percent, which compared to 0.19 percent in the prior quarter and 0.26 percent in the prior year first quarter.

Core deposits increased $1.307 billion, or 35 percent annualized, during the current quarter and increased $4.571 billion, or 40 percent, from the prior year first quarter.

The loan portfolio increased $147 million, or 5 percent annualized, in the current quarter and increased $1.182 billion, or 12 percent, from the prior year first quarter.

The Company funded 6,500 PPP loans in the amount of $487 million during the current quarter.

The Company received $426 million in PPP loan forgiveness from the U.S. Small Business Administration (“SBA”) during the current quarter.

Declared a quarterly dividend of $0.31 per share, an increase of $0.01 per share or 3 percent over the prior quarter regular dividend. The Company has declared 144 consecutive quarterly dividends and has increased the dividend 47 times.

Financial Summary

	At or for the Three Months ended
(Dollars in thousands, except per share and market data)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020
Operating results
Net income	$	80,802		81,860		43,339
Basic earnings per share	$	0.85		0.86		0.46
Diluted earnings per share	$	0.85		0.86		0.46
Dividends declared per share ¹	$	0.31		0.45		0.29
Market value per share
Closing	$	57.08		46.01		34.01
High	$	67.35		47.05		46.10
Low	$	44.55		31.29		26.66
Selected ratios and other data
Number of common stock shares outstanding	95,501,819			95,426,364		95,408,274
Average outstanding shares – basic	95,465,801			95,418,958		93,287,670
Average outstanding shares – diluted	95,546,922			95,492,258		93,359,792
Return on average assets (annualized)	1.73		%	1.78	%	1.25	%
Return on average equity (annualized)	14.12		%	14.27	%	8.52	%
Efficiency ratio	46.75		%	50.34	%	54.65	%
Dividend payout ratio ²	36.47		%	52.33	%	63.04	%
Loan to deposit ratio	70.72		%	76.29	%	88.10	%
Number of full time equivalent employees	2,994			2,970		2,955
Number of locations	193			193		192
Number of ATMs	250			250		247

______________________
¹Includes a special dividend declared of $0.15 per share for the three months ended December 31, 2020.
² Excluding the special dividend, the dividend payout ratio was 34.88 percent the three months ended December 31, 2020.

KALISPELL, Mont., April 22, 2021 (GLOBE NEWSWIRE) — Glacier Bancorp, Inc. (NASDAQ:GBCI) reported net income of $80.8 million for the current quarter, an increase of $37.5 million, or 86 percent, from the $43.3 million of net income for the prior year first quarter. Diluted earnings per share for the current quarter was $0.85 per share, an increase of 85 percent from the prior year first quarter diluted earnings per share of $0.46. “The Glacier team got off to a strong start in 2021 and is well positioned for the rest of the year. We believe our markets are among the strongest in the country and that our unique business model will continue to enable our Company to grow by delivering superior service to new and existing customers,” said Randy Chesler, President and Chief Executive Officer.

Asset Summary

								$ Change from
(Dollars in thousands)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020		Dec 31, 2020		Mar 31, 2020
Cash and cash equivalents	$	878,450		633,142		273,441		245,308		605,009
Debt securities, available-for-sale	5,853,315			5,337,814		3,429,890		515,501		2,423,425
Debt securities, held-to-maturity	588,751			189,836		203,814		398,915		384,937
Total debt securities	6,442,066			5,527,650		3,633,704		914,416		2,808,362
Loans receivable
Residential real estate	745,097			802,508		957,830		(57,411	)	(212,733	)
Commercial real estate	6,474,701			6,315,895		5,928,303		158,806		546,398
Other commercial	3,100,584			3,054,817		2,239,878		45,767		860,706
Home equity	625,369			636,405		652,942		(11,036	)	(27,573	)
Other consumer	324,178			313,071		309,253		11,107		14,925
Loans receivable	11,269,929			11,122,696		10,088,206		147,233		1,181,723
Allowance for credit losses	(156,446		)	(158,243	)	(150,190	)	1,797		(6,256	)
Loans receivable, net	11,113,483			10,964,453		9,938,016		149,030		1,175,467
Other assets	1,336,553			1,378,961		1,313,223		(42,408	)	23,330
Total assets	$	19,770,552		18,504,206		15,158,384		1,266,346		4,612,168

Total debt securities of $6.442 billion at March 31, 2021 increased $914 million, or 17 percent, during the current quarter and increased $2.808 billion, or 77 percent, from the prior year first quarter. The Company continues to purchase debt securities with excess liquidity from the increase in core deposits and SBA forgiveness of PPP loans. Debt securities represented 33 percent of total assets at March 31, 2021 compared to 30 percent of total assets at December 30, 2020 and 24 percent of total assets at March 31, 2020.

The loan portfolio of $11.270 billion at March 31, 2021 increased $147 million, or 5 percent annualized, in the current quarter. Excluding the PPP loans, the loan portfolio increased $80.6 million, or 3 percent annualized, during the current quarter with the largest increase in commercial real estate loans which increased $159 million, or 3 percent.

The loan portfolio increased $1.182 billion, or 12 percent, from the prior year first quarter. Excluding the PPP loans, the loan portfolio increased $206 million, or 2 percent, from the prior year first quarter with the largest increase in commercial real estate loans which increased $546 million, or 9 percent.

Credit Quality Summary

	At or for the Three Months ended			At or for the Year ended		At or for the Three Months ended
(Dollars in thousands)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020
Allowance for credit losses
Balance at beginning of period	$	158,243		124,490		124,490
Impact of adopting CECL	—			3,720		3,720
Acquisitions	—			49		49
Provision for credit losses	489			37,637		22,744
Charge-offs	(4,246		)	(13,808	)	(2,567	)
Recoveries	1,960			6,155		1,754
Balance at end of period	$	156,446		158,243		150,190
Provision for credit losses
Loan portfolio	$	489		37,637		22,744
Unfunded loan commitments	(441		)	2,128		(3,559	)
Total provision for credit losses	$	48		39,765		19,185
Other real estate owned	$	2,965		1,744		4,748
Accruing loans 90 days or more past due	3,733			1,725		6,624
Non-accrual loans	29,887			31,964		28,006
Total non-performing assets	$	36,585		35,433		39,378
Non-performing assets as a percentage of subsidiary assets	0.19		%	0.19	%	0.26	%
Allowance for credit losses as a percentage of non-performing loans	465		%	470	%	434	%
Allowance for credit losses as a percentage of total loans	1.39		%	1.42	%	1.49	%
Net charge-offs as a percentage of total loans	0.02		%	0.07	%	0.01	%
Accruing loans 30-89 days past due	$	44,616		22,721		41,375
Accruing troubled debt restructurings	$	41,345		42,003		44,371
Non-accrual troubled debt restructurings	$	4,702		3,507		6,911
U.S. government guarantees included in non-performing assets	$	2,778		3,011		3,204

Non-performing assets of $36.6 million at March 31, 2021 increased $1.2 million, or 3 basis points, over the prior quarter and decreased $2.8 million, or 7 percent, over the prior year first quarter. Non-performing assets as a percentage of subsidiary assets at March 31, 2021 was 0.19 percent. Excluding the government guaranteed PPP loans, the non-performing assets as a percentage of subsidiary assets at March 31, 2021 was 0.19 percent, a decrease of 1 basis point from the prior quarter and 7 basis points decrease from the prior year first quarter.

Early stage delinquencies (accruing loans 30-89 days past due) of $44.6 million at March 31, 2021 increased $21.9 million from the prior quarter with the increase primarily isolated to one credit relationship. Early stage delinquencies increased $3.2 million from the prior year first quarter. Early stage delinquencies as a percentage of loans at March 31, 2021 was 0.40 percent, which was an increase of 20 basis points from prior quarter and a 1 basis point decrease from prior year first quarter. Excluding PPP loans, early stage delinquencies as a percentage of loans at March 31, 2021 was 0.43 percent, which was an increase of 21 basis points from prior quarter and a 2 basis points increase from prior year first quarter.

The current quarter provision for credit loss expense on loans of $489 thousand was an increase of $2.0 million from the prior quarter provision for credit loss benefit of $1.5 million and a $22.3 million decrease from the prior year first quarter provision for credit loss expense of $22.7 million. The higher levels of provision for credit losses in the prior year first quarter was from credit losses related to COVID-19 and an additional $4.8 of provision for credit losses related to the acquisition of State Bank Corp. (“SBAZ”). The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at March 31, 2021 was 1.39 percent which was a 3 basis points decrease compared to the prior quarter. Excluding the PPP loans, the ACL as percentage of loans was 1.51 percent compared to 1.55 percent in as of the prior quarter and 1.49 percent in the prior year first quarter.

Credit Quality Trends and Provision for Credit Losses on the Loan Portfolio

(Dollars in thousands)	Provision for Credit Losses Loans			Net Charge-Offs		ACL as a Percent of Loans		Accruing Loans 30-89 Days Past Due as a Percent of Loans		Non-Performing Assets to Total Subsidiary Assets
First quarter 2021	$	489		$	2,286	1.39	%	0.40	%	0.19	%
Fourth quarter 2020	(1,528		)	4,781		1.42	%	0.20	%	0.19	%
Third quarter 2020	2,869			826		1.42	%	0.15	%	0.25	%
Second quarter 2020	13,552			1,233		1.42	%	0.22	%	0.27	%
First quarter 2020	22,744			813		1.49	%	0.41	%	0.26	%
Fourth quarter 2019	—			1,045		1.31	%	0.24	%	0.27	%
Third quarter 2019	—			3,519		1.32	%	0.31	%	0.40	%
Second quarter 2019	—			732		1.46	%	0.43	%	0.41	%

Net charge-offs for the current quarter were $2.3 million compared to $4.8 million for the prior quarter and $813 thousand from the same quarter last year. Loan portfolio growth, composition, average loan size, credit quality considerations, economic forecasts and other environmental factors will continue to determine the level of the provision for credit losses for loans.

PPP Loans

	March 31, 2021
(Dollars in thousands)	Number of PPP Loans	Round 1 PPP 2020 Loans		Round 2 PPP 2021 Loans	Total PPP Loans	Total Loans Receivable, Net of PPP Loans	PPP Loans as a Percent of Total Loans Receivable, Net of PPP Loans
Residential real estate	—	$	—	—	—	745,097	—	%
Commercial real estate and other commercial
Real estate rental and leasing	684	14,795		13,970	28,765	3,614,584	0.80	%
Accommodation and food services	1,324	48,140		130,304	178,444	664,115	26.87	%
Healthcare	1,165	150,949		53,041	203,990	835,975	24.40	%
Manufacturing	506	20,013		25,002	45,015	181,641	24.78	%
Retail and wholesale trade	850	39,275		24,616	63,891	496,052	12.88	%
Construction	1,426	62,445		81,326	143,771	765,959	18.77	%
Other	5,148	153,592		158,323	311,915	2,041,167	15.28	%
Home equity and other consumer	—	—		—	—	949,548	—	%
Total	11,103	$	489,209	486,582	975,791	10,294,138	9.48	%

During the current quarter, the Company originated $487 million of Round 2 PPP loans which generated $27.7 million of SBA processing fees and $5.2 million of deferred compensation costs for total net deferred fees of $22.5 million. During the current quarter, the SBA processing fees received on Round 2 averaged 5.67 percent which compared to the average of 3.75 percent received on Round 1 in the prior year. The increase in the fee received was the result of an increase in the number of smaller loans which receive a higher percentage fee and the change in the SBA fee schedule for loans under $50 thousand.

The Company continued to submit applications to the SBA for Round 1 PPP loan forgiveness which resulted in a $426 million decrease in PPP loans during the current quarter. As of March 31, 2021, the Company had $489 million or 33 percent of the $1.472 billion of Round 1 PPP loans originated in the prior year.

The Company recognized $13.5 million of interest income (including deferred fees and costs) from the Round 1 and Round 2 PPP loans in the current quarter. The income recognized in the current quarter included $7.8 million acceleration of net deferred fees in interest income resulting from the SBA forgiveness of loans. Net deferred fees remaining on the balance of PPP loans at March 31, 2021 were $28.1 million, which will be recognized into interest income over the remaining life of the loans or when the loans are forgiven in whole or in part by the SBA.

COVID-19 Bank Loan Modifications

	March 31, 2021							December 31, 2020
(Dollars in thousands)	Total Loans Receivable, Net of PPP Loans		Amount of Unexpired Original Loan Modifications	Amount of Re-deferral Loan Modifications	Amount of Remaining Loan Modifications	Loan Modifications as a Percent of Total Loans Receivable, Net of PPP Loans		Amount of Remaining Loan Modifications		Loan Modifications as a Percent of Total Loans Receivable, Net of PPP Loans
Residential real estate	$	745,097	2,080	3,840	5,920	0.79	%	$	4,322	0.54	%
Commercial real estate and other commercial
Real estate rental and leasing	3,614,584		32,889	4,333	37,222	1.03	%	43,313		1.24	%
Accommodation and food services	664,115		269	14,641	14,910	2.25	%	22,054		3.35	%
Healthcare	835,975		4,013	6,482	10,495	1.26	%	1,131		0.14	%
Manufacturing	181,641		828	1,541	2,369	1.30	%	9,488		5.20	%
Retail and wholesale trade	496,052		932	408	1,340	0.27	%	2,655		0.56	%
Construction	765,959		764	—	764	0.10	%	927		0.12	%
Other	2,041,167		1,871	5,816	7,687	0.38	%	10,255		0.50	%
Home equity and other consumer	949,548		640	—	640	0.07	%	705		0.07	%
Total	$	10,294,138	44,286	37,061	81,347	0.79	%	$	94,850	0.93	%

In response to COVID-19, the Company modified 3,054 loans in the amount of $1.515 billion during the second quarter of 2020. These modifications were primarily short-term payment deferrals under six months. During the second half of 2020, the majority of the modified loan deferral periods expired, and the loans returned to regular payment status. As of March 31, 2021, $81.3 million of the modifications, or 79 basis points of the $10.294 billion of loans, net of the PPP loans, remain in the deferral period, a reduction of $13.5 million in the current quarter and a reduction of $1.433 billion from the $1.515 billion of the original loan modifications in the second quarter.

In addition to the Bank loan modifications presented above, the state of Montana created the Montana Loan Deferment Program for only Montana-based businesses and was implemented only in the third quarter of 2020. Cares Act Funds were used to provide interest payments upfront and directly to lenders on behalf of participating borrowers to convert existing commercial loans to interest only status, resulting in the deferral of principal and interest for a period of six to twelve months. None of the interest payments are required to be repaid by the borrowers, thus providing a grant to the borrowers. This program was unique to Montana, had minimal qualification requirements, and required that participating lenders modify eligible loans to conform to the program in order for borrowers to qualify for the grant. As of March 31, 2021, the Company had $272 million in eligible loans benefiting from this grant program, which was 2.6 percent of total loans receivable, net of PPP loans. Given the unique nature of the Montana only grant program, the $272 million was not included in the Bank loan modifications presented above.

COVID-19 Higher Risk Industries – Enhanced Monitoring

	March 31, 2021									December 31, 2020
(Dollars in thousands)	Enhanced Monitoring Total Loans Receivable, Net of PPP Loans		Percent of Total Loans Receivable, Net of PPP Loans		Amount of Unexpired Original Loan Modifications	Amount of Re-deferral Loan Modifications	Amount of Remaining Loan Modifications	Loan Modifications as a Percent of Enhanced Monitoring Loans Receivable, Net of PPP Loans		Amount of Remaining Loan Modifications		Percent of Total Loans Receivable, Net of PPP Loans		Loan Modifications as a Percent of Enhanced Monitoring Loans Receivable, Net of PPP Loans
Hotel and motel	$	423,606	4.12	%	—	11,845	11,845	2.80	%	$	14,032	4.20	%	3.27	%
Restaurant	158,246		1.54	%	269	2,796	3,065	1.94	%	7,999		1.51	%	5.19	%
Travel and tourism	23,638		0.23	%	—	—	—	—	%	—		0.22	%	—	%
Gaming	13,971		0.14	%	—	—	—	—	%	—		0.14	%	—	%
Oil and gas	23,334		0.23	%	—	—	—	—	%	1,435		0.23	%	6.20	%
Total	$	642,795	6.24	%	269	14,641	14,910	2.32	%	$	23,466	6.29	%	3.65	%

Excluding the PPP loans, the Company has $643 million, or 6 percent, of its total loan portfolio with direct exposure to industries for which it has identified as higher risk, requiring enhanced monitoring. As of March 31, 2021, $14.9 million, or 2.32 percent, of the loans in the higher risk industries have modifications which was a reduction of $8.60 million, or 36 percent, from the $23.5 million of modifications at the end of the prior quarter. The Company continues to conduct enhanced portfolio reviews and monitoring for potential credit deterioration.

Supplemental information regarding credit quality and identification of the Company’s loan portfolio based on regulatory classification is provided in the exhibits at the end of this press release. The regulatory classification of loans is based primarily on collateral type while the Company’s loan segments presented herein are based on the purpose of the loan.

Liability Summary

					$ Change from
(Dollars in thousands)	Mar 31, 2021		Dec 31, 2020	Mar 31, 2020	Dec 31, 2020		Mar 31, 2020
Deposits
Non-interest bearing deposits	$	6,040,440	5,454,539	3,875,848	585,901		2,164,592
NOW and DDA accounts	4,035,455		3,698,559	2,860,563	336,896		1,174,892
Savings accounts	2,206,592		2,000,174	1,578,062	206,418		628,530
Money market deposit accounts	2,817,708		2,627,336	2,155,203	190,372		662,505
Certificate accounts	965,986		978,779	1,025,237	(12,793	)	(59,251	)
Core deposits, total	16,066,181		14,759,387	11,494,913	1,306,794		4,571,268
Wholesale deposits	38,143		38,142	62,924	1		(24,781	)
Deposits, total	16,104,324		14,797,529	11,557,837	1,306,795		4,546,487
Repurchase agreements	996,878		1,004,583	580,335	(7,705	)	416,543
Federal Home Loan Bank advances	—		—	513,055	—		(513,055	)
Other borrowed funds	33,452		33,068	32,499	384		953
Subordinated debentures	132,499		139,959	139,916	(7,460	)	(7,417	)
Other liabilities	208,014		222,026	198,098	(14,012	)	9,916
Total liabilities	$	17,475,167	16,197,165	13,021,740	1,278,002		4,453,427

Core deposits of $16.066 billion as of March 31, 2021 increased $1.307 billion, or 35 percent annualized, from the prior quarter and increased $4.571 billion, or 40 percent, from the prior year first quarter. Non-interest bearing deposits of $6.040 billion as of March 31, 2021 increased $586 million, or 11 percent, from the prior quarter and increased $2.165 billion, or 56 percent, from the prior year first quarter. The last twelve months unprecedented increase in deposits resulted from a number of factors including the PPP loan proceeds deposited by customers, federal stimulus deposits and the increase in customer savings. Non-interest bearing deposits were 38 percent of total core deposits at March 31, 2021 compared to 37 percent of total core deposits at December 31, 2020 and 34 percent at March 31, 2020.

During the current quarter, the Company paid off $7.5 million of subordinated debt. The current and prior quarter low levels of borrowings, including wholesale deposits and Federal Home Loan Bank (“FHLB”) advances, were reflective of the significant increase in core deposits which funded the asset growth.

Stockholders’ Equity Summary

								$ Change from
(Dollars in thousands, except per share data)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020		Dec 31, 2020		Mar 31, 2020
Common equity	$	2,215,465		2,163,951		2,036,920		51,514		178,545
Accumulated other comprehensive income	79,920			143,090		99,724		(63,170	)	(19,804	)
Total stockholders’ equity	2,295,385			2,307,041		2,136,644		(11,656	)	158,741
Goodwill and core deposit intangible, net	(567,034		)	(569,522	)	(576,701	)	2,488		9,667
Tangible stockholders’ equity	$	1,728,351		1,737,519		1,559,943		(9,168	)	168,408

Stockholders’ equity to total assets		11.61	%	12.47	%	14.10	%
Tangible stockholders’ equity to total tangible assets		9.00	%	9.69	%	10.70	%
Book value per common share	$	24.03		24.18		22.39		(0.15	)	1.64
Tangible book value per common share	$	18.10		18.21		16.35		(0.11	)	1.75

Tangible stockholders’ equity of $1.728 billion at March 31, 2021 decreased $9.2 million, or 5 basis points, from the prior quarter and was primarily the result of a decrease in the unrealized gain on the available-for-sale debt securities during the current quarter which was driven by an increase in interest rates. The current year decrease in both the stockholder’s equity to total assets ratio and the tangible stockholders’ equity to total tangible assets ratio was primarily the result of the $1.266 billion increase in total assets driven by the increase of $914 million in debt securities.

Tangible stockholders’ equity increased $168 million over the prior year first quarter, which was the result of earnings retention. Excluding the impact from PPP Loans, the tangible stockholders’ equity to total assets was 9.48 percent which was a 1.22 percent decrease from prior year first quarter and was due to adding $2.8 billion in debt securities. Tangible book value per common share of $18.10 at the current quarter end decreased $0.11 per share from the prior quarter and increased $1.75 per share from a year ago.

Cash Dividends

On March 31, 2021, the Company’s Board of Directors declared a quarterly cash dividend of $0.31 per share. The dividend was payable April 22, 2021 to shareholders of record on April 13, 2021. The dividend was the 144th consecutive dividend. Future cash dividends will depend on a variety of factors, including net income, capital, asset quality, general economic conditions and regulatory considerations.

Operating Results for Three Months Ended March 31, 2021

Compared to December 31, 2020, and March 31, 2020

Income Summary

	Three Months ended							$ Change from
(Dollars in thousands)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020		Dec 31, 2020		Mar 31, 2020
Net interest income
Interest income	$	161,552		171,308		142,865		(9,756	)	18,687
Interest expense	4,740			5,550		8,496		(810	)	(3,756	)
Total net interest income	156,812			165,758		134,369		(8,946	)	22,443
Non-interest income
Service charges and other fees	12,792			13,713		14,020		(921	)	(1,228	)
Miscellaneous loan fees and charges	2,778			2,293		1,285		485		1,493
Gain on sale of loans	21,624			26,214		11,862		(4,590	)	9,762
Gain on sale of investments	284			124		863		160		(579	)
Other income	2,643			2,360		5,242		283		(2,599	)
Total non-interest income	40,121			44,704		33,272		(4,583	)	6,849
Total income	196,933			210,462		167,641		(13,529	)	29,292
Net interest margin (tax-equivalent)	3.74		%	4.03	%	4.36	%

Net Interest Income

The current quarter net interest income of $157 million decreased $8.9 million, or 5 percent, over the prior quarter and increased $22.4 million, or 17 percent, from the prior year first quarter. The current quarter interest income of $162 million decreased $9.8 million, or 6 percent, compared to the prior quarter due to a decrease in income from PPP loans. The current quarter interest income increased $18.7 million, or 13 percent, over the prior year first quarter due to an increase in income from PPP loans and debt securities. The interest income (which included deferred fees and deferred costs) from the PPP loans was $13.5 million in the current quarter and $21.5 million in the prior quarter.

The current quarter interest expense of $4.7 million decreased $810 thousand, or 15 percent, over the prior quarter and decreased $3.8 million, or 44 percent, over the prior year first quarter primarily as result of a decrease in deposit rates and borrowing interest rates. During the current quarter, the total cost of funding (including non-interest bearing deposits) of 12 basis points declined 2 basis points in the current quarter and 17 basis points from the prior year first quarter with both decreases driven by a decrease in rates in deposits and borrowings.

The Company’s net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 3.74 percent compared to 4.03 percent in the prior quarter and 4.36 in the prior year first quarter. The core net interest margin, excluding 4 basis points of discount accretion, 1 basis point from non-accrual interest and 13 basis points increase from the PPP loans, was 3.56 percent compared to 3.76 in the prior quarter and 4.30 percent in the prior year first quarter. The core net interest margin decreased 20 basis points in the current quarter and decreased 74 basis points from the prior year first quarter due to a decrease in earning asset yields. Earning asset yields have decreased from the combined impact of the significant increase in the lower yielding debt securities and the decrease in yields on both loans and debt securities. Debt securities comprised 35.7 percent of the earning assets during the current quarter compared to 31.8 percent in the prior quarter and 23.5 percent in the prior year first quarter.

Non-interest Income

Non-interest income for the current quarter totaled $40.1 million which was a decrease of $4.6 million, or 10 percent, over the prior quarter and an increase of $6.8 million, or 21 percent, over the same quarter last year. Service charges and other fees decreased $921 thousand from the prior quarter and decreased $1.2 million from the prior year first quarter as a result of decreased overdraft activity. Gain on the sale of loans of $21.6 million for the current quarter decreased $4.6 million, or 18 percent, compared to the prior quarter, although remained at elevated levels as a result of the current low interest rate environment. Gain on sale of loans increased $9.8 million, or 82 percent, from the prior year first quarter due to the increase in purchase and refinance activity driven by the decrease in interest rates. Other income of $2.6 million decreased $2.6 million, or 50 percent, from the prior year first quarter as a result of a $2.4 million gain on the sale of a former branch building in the prior year.

Non-interest Expense Summary

	Three Months ended				$ Change from
(Dollars in thousands)	Mar 31, 2021		Dec 31, 2020	Mar 31, 2020	Dec 31, 2020		Mar 31, 2020
Compensation and employee benefits	$	62,468	70,540	59,660	(8,072	)	2,808
Occupancy and equipment	9,515		9,728	9,219	(213	)	296
Advertising and promotions	2,371		2,797	2,487	(426	)	(116	)
Data processing	5,206		5,211	5,282	(5	)	(76	)
Other real estate owned	12		550	112	(538	)	(100	)
Regulatory assessments and insurance	1,879		1,034	1,090	845		789
Core deposit intangibles amortization	2,488		2,612	2,533	(124	)	(45	)
Other expenses	12,646		18,715	15,104	(6,069	)	(2,458	)
Total non-interest expense	$	96,585	111,187	95,487	(14,602	)	1,098

Total non-interest expense of $96.6 million for the current quarter decreased $14.6 million, or 13 percent, over the prior quarter and increased $1.1 million, or 1 percent, over the prior year first quarter. Compensation and employee benefits decreased $8.1 million, or 11 percent, from the prior quarter which was primarily driven by the $5.2 million increase in deferred compensation on originating Round 2 PPP loans. Compensation and employee benefits increased by $2.8 million, or 5 percent, from the prior year first quarter which was due to increased real estate commissions, increased employees from acquisitions and organic growth which more than offset the decreased expense from originating PPP loans. Regulatory assessment and insurance increased $845 thousand from the prior quarter primarily due to an accrual adjustment in the prior quarter for waiver of the State of Montana regulatory semi-annual assessment for the second half of 2020. Regulatory assessment and insurance increased $789 thousand from the prior year first quarter primarily due to $530 thousand in Small Bank Assessment credits applied in the prior year first quarter. Other expenses of $12.6 million, decreased $6.1 million, or 32 percent, from the prior quarter and decreased $2.5 million, or 16 percent, from the prior year first quarter. Current quarter other expenses included acquisition-related expenses of $104 thousand compared to $501 thousand in the prior quarter and $2.8 million in the prior year first quarter.

Federal and State Income Tax Expense

Tax expense during the first quarter of 2021 was $19.5 million, an increase of $548 thousand, or 3 percent, compared to the prior quarter and an increase of $9.9 million, or 102 percent, from the prior year first quarter. The effective tax rate in the current and prior quarter was 19 percent compared to 18 percent in the prior year first quarter.

Efficiency Ratio

The efficiency ratio was 46.75 percent in the current quarter and 50.34 percent in the prior quarter. “The Bank divisions continue to focus on controlling non-interest expenses,” said Ron Copher, Chief Financial Officer. “We were pleased with the improvement in the efficiency ratio during the current quarter.” Excluding the impact from the PPP loans, the efficiency ratio would have been 52.89 percent in the current quarter, which was a 307 basis points decrease from the prior quarter efficiency ratio of 55.96 percent and was driven by the decrease in non-interest expense, including a $5.2 increase in deferred compensation on originating the PPP loans, that more than offset the decrease in net interest income and gain on sale of loans. Excluding the current year impact from the PPP loans, the current quarter efficiency ratio of 52.89 which was a decrease of 176 basis points the prior year first quarter efficiency ratio of 54.65 percent and was primarily from the increase in gain on sale of loans and net interest income.

Forward-Looking Statements
This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about management’s plans, objectives, expectations and intentions that are not historical facts, and other statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “should,” “projects,” “seeks,” “estimates” or words of similar meaning. These forward-looking statements are based on current beliefs and expectations of management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the Company’s control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations in the forward-looking statements, including those set forth in this news release:

the risks associated with lending and potential adverse changes of the credit quality of loans in the Company’s portfolio;
changes in trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System or the Federal Reserve Board, which could adversely affect the Company’s net interest income and profitability;
changes in the cost and scope of insurance from the Federal Deposit Insurance Corporation and other third parties;
legislative or regulatory changes, such as the those signaled by the Biden Administration, as well as increased banking and consumer protection regulation that adversely affect the Company’s business, both generally and as a result of the Company exceeding $10 billion in total consolidated assets;
ability to complete pending or prospective future acquisitions;
costs or difficulties related to the completion and integration of acquisitions;
the goodwill the Company has recorded in connection with acquisitions could become impaired, which may have an adverse impact on earnings and capital;
reduced demand for banking products and services;
the reputation of banks and the financial services industry could deteriorate, which could adversely affect the Company’s ability to obtain and maintain customers;
competition among financial institutions in the Company’s markets may increase significantly;
the risks presented by continued public stock market volatility, which could adversely affect the market price of the Company’s common stock and the ability to raise additional capital or grow the Company through acquisitions;
the projected business and profitability of an expansion or the opening of a new branch could be lower than expected;
consolidation in the financial services industry in the Company’s markets resulting in the creation of larger financial institutions who may have greater resources could change the competitive landscape;
dependence on the Chief Executive Officer, the senior management team and the Presidents of Glacier Bank divisions;
material failure, potential interruption or breach in security of the Company’s systems and technological changes which could expose us to new risks (e.g., cybersecurity), fraud or system failures;
natural disasters, including fires, floods, earthquakes, and other unexpected events;
the Company’s success in managing risks involved in the foregoing; and
the effects of any reputational damage to the Company resulting from any of the foregoing.

The Company does not undertake any obligation to publicly correct or update any forward-looking statement if it later becomes aware that actual results are likely to differ materially from those expressed in such forward-looking statement.

Conference Call Information

A conference call for investors is scheduled for 11:00 a.m. Eastern Time on Friday, April 23, 2021. The conference call will be accessible by telephone and webcast. Interested individuals are invited to listen to the call by dialing 877-561-2748 and conference ID 8356937. To participate on the webcast, log on to: https://edge.media-server.com/mmc/p/2wjr73e8. If you are unable to participate during the live webcast, the call will be archived on our website, www.glacierbancorp.com, or by calling 855-859-2056 with the ID 8356937 by April 30, 2021.

About Glacier Bancorp, Inc.

Glacier Bancorp, Inc. (NASDAQ:GBCI), a member of the Russell 2000® and the S&P MidCap 400® indices, is the parent company for Glacier Bank and its Bank divisions: Bank of the San Juans (Durango, CO), Citizens Community Bank (Pocatello, ID), Collegiate Peaks Bank (Buena Vista, CO), First Bank of Montana (Lewistown, MT), First Bank of Wyoming (Powell, WY), First Community Bank Utah (Layton, UT), First Security Bank (Bozeman, MT), First Security Bank of Missoula (Missoula, MT), First State Bank (Wheatland, WY), Glacier Bank (Kalispell, MT), Heritage Bank of Nevada (Reno, NV), Mountain West Bank (Coeur d’Alene, ID), North Cascades Bank (Chelan, WA), The Foothills Bank (Yuma, AZ), Valley Bank of Helena (Helena, MT), and Western Security Bank (Billings, MT).

CONTACT:	Randall M. Chesler, CEO
	(406) 751-4722
	Ron J. Copher, CFO
	(406) 751-7706

Glacier Bancorp, Inc.

Unaudited Condensed Consolidated Statements of Financial Condition

(Dollars in thousands, except per share data)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020
Assets
Cash on hand and in banks	$	227,745		227,108		204,373
Interest bearing cash deposits	650,705			406,034		69,068
Cash and cash equivalents	878,450			633,142		273,441
Debt securities, available-for-sale	5,853,315			5,337,814		3,429,890
Debt securities, held-to-maturity	588,751			189,836		203,814
Total debt securities	6,442,066			5,527,650		3,633,704
Loans held for sale, at fair value	118,731			166,572		94,619
Loans receivable	11,269,929			11,122,696		10,088,206
Allowance for credit losses	(156,446		)	(158,243	)	(150,190	)
Loans receivable, net	11,113,483			10,964,453		9,938,016
Premises and equipment, net	322,354			325,335		324,230
Other real estate owned	2,965			1,744		4,748
Accrued interest receivable	79,331			75,497		68,525
Core deposit intangible, net	53,021			55,509		63,346
Goodwill	514,013			514,013		513,355
Non-marketable equity securities	10,022			10,023		30,597
Bank-owned life insurance	122,843			123,763		121,685
Other assets	113,273			106,505		92,118
Total assets	$	19,770,552		18,504,206		15,158,384
Liabilities
Non-interest bearing deposits	$	6,040,440		5,454,539		3,875,848
Interest bearing deposits	10,063,884			9,342,990		7,681,989
Securities sold under agreements to repurchase	996,878			1,004,583		580,335
FHLB advances	—			—		513,055
Other borrowed funds	33,452			33,068		32,499
Subordinated debentures	132,499			139,959		139,916
Accrued interest payable	2,590			3,305		4,713
Deferred tax liability	3,116			23,860		15,210
Other liabilities	202,308			194,861		178,175
Total liabilities	17,475,167			16,197,165		13,021,740
Commitments and Contingent Liabilities
Stockholders’ Equity
Preferred shares, $0.01 par value per share, 1,000,000 shares authorized, none issued or outstanding	—			—		—
Common stock, $0.01 par value per share, 117,187,500 shares authorized	955			954		954
Paid-in capital	1,495,438			1,495,053		1,491,651
Retained earnings – substantially restricted	719,072			667,944		544,315
Accumulated other comprehensive income	79,920			143,090		99,724
Total stockholders’ equity	2,295,385			2,307,041		2,136,644
Total liabilities and stockholders’ equity	$	19,770,552		18,504,206		15,158,384

Glacier Bancorp, Inc.

Unaudited Condensed Consolidated Statements of Operations

	Three Months ended
(Dollars in thousands, except per share data)	Mar 31, 2021		Dec 31, 2020		Mar 31, 2020
Interest Income
Debt securities	$	27,306	27,388		21,014
Residential real estate loans	10,146		11,176		11,526
Commercial loans	113,541		121,956		98,684
Consumer and other loans	10,559		10,788		11,641
Total interest income	161,552		171,308		142,865
Interest Expense
Deposits	3,014		3,500		5,581
Securities sold under agreements to repurchase	689		818		989
Federal Home Loan Bank advances	—		49		346
Other borrowed funds	174		173		128
Subordinated debentures	863		1,010		1,452
Total interest expense	4,740		5,550		8,496
Net Interest Income	156,812		165,758		134,369
Provision for credit losses	48		(1,535	)	19,185
Net interest income after provision for credit losses	156,764		167,293		115,184
Non-Interest Income
Service charges and other fees	12,792		13,713		14,020
Miscellaneous loan fees and charges	2,778		2,293		1,285
Gain on sale of loans	21,624		26,214		11,862
Gain on sale of debt securities	284		124		863
Other income	2,643		2,360		5,242
Total non-interest income	40,121		44,704		33,272
Non-Interest Expense
Compensation and employee benefits	62,468		70,540		59,660
Occupancy and equipment	9,515		9,728		9,219
Advertising and promotions	2,371		2,797		2,487
Data processing	5,206		5,211		5,282
Other real estate owned	12		550		112
Regulatory assessments and insurance	1,879		1,034		1,090
Core deposit intangibles amortization	2,488		2,612		2,533
Other expenses	12,646		18,715		15,104
Total non-interest expense	96,585		111,187		95,487
Income Before Income Taxes	100,300		100,810		52,969
Federal and state income tax expense	19,498		18,950		9,630
Net Income	$	80,802	81,860		43,339

Glacier Bancorp, Inc.

Average Balance Sheets

	Three Months ended
	March 31, 2021						December 31, 2020
(Dollars in thousands)	Average Balance		Interest & Dividends		Average Yield/ Rate		Average Balance		Interest & Dividends		Average Yield/ Rate
Assets
Residential real estate loans	$	893,052	$	10,146	4.54	%	$	984,942	$	11,176	4.54	%
Commercial loans ¹	9,412,281		114,928		4.95	%	9,535,228		123,327		5.15	%
Consumer and other loans	949,736		10,559		4.51	%	951,379		10,788		4.51	%
Total loans ²	11,255,069		135,633		4.89	%	11,471,549		145,291		5.04	%
Tax-exempt debt securities ²	1,545,484		14,710		3.81	%	1,511,725		14,659		3.88	%
Taxable debt securities ⁴	4,713,936		15,851		1.35	%	3,838,896		15,957		1.66	%
Total earning assets	17,514,489		166,194		3.85	%	16,822,170		175,907		4.16	%
Goodwill and intangibles	568,222						570,771
Non-earning assets	843,305						853,518
Total assets	$	18,926,016					$	18,246,459
Liabilities
Non-interest bearing deposits	$	5,591,531	$	—	—	%	$	5,498,744	$	—	—	%
NOW and DDA accounts	3,830,856		570		0.06	%	3,460,923		607		0.07	%
Savings accounts	2,092,517		138		0.03	%	1,935,476		162		0.03	%
Money market deposit accounts	2,719,267		865		0.13	%	2,635,653		1,052		0.16	%
Certificate accounts	971,584		1,422		0.59	%	984,100		1,629		0.66	%
Total core deposits	15,205,755		2,995		0.08	%	14,514,896		3,450		0.09	%
Wholesale deposits ⁵	38,076		19		0.20	%	100,329		50		0.20	%
Repurchase agreements	1,001,394		689		0.28	%	969,263		819		0.34	%
FHLB advances	—		—		—	%	6,540		49		2.93	%
Subordinated debentures and other borrowed funds	165,830		1,037		2.54	%	172,936		1,182		2.72	%
Total funding liabilities	16,411,055		4,740		0.12	%	15,763,964		5,550		0.14	%
Other liabilities	193,858						199,771
Total liabilities	16,604,913						15,963,735
Stockholders’ Equity
Common stock	955						954
Paid-in capital	1,495,138						1,494,422
Retained earnings	710,137						657,906
Accumulated other comprehensive income	114,873						129,442
Total stockholders’ equity	2,321,103						2,282,724
Total liabilities and stockholders’ equity	$	18,926,016					$	18,246,459
Net interest income (tax-equivalent)			$	161,454					$	170,357
Net interest spread (tax-equivalent)					3.73	%					4.02	%
Net interest margin (tax-equivalent)					3.74	%					4.03	%

______________________________

¹Includes tax effect of $1.4 million and $1.4 million on tax-exempt municipal loan and lease income for the three months ended March 31, 2021 and December 31, 2020, respectively.
²Total loans are gross of the allowance for credit losses, net of unearned income and include loans held for sale. Non-accrual loans were included in the average volume for the entire period.
³Includes tax effect of $3.0 million and $3.0 million on tax-exempt debt securities income for the three months ended March 31, 2021 and December 31, 2020, respectively.
⁴Includes tax effect of $255 thousand and $266 thousand on federal income tax credits for the three months ended March 31, 2021 and December 31, 2020, respectively.
⁵Wholesale deposits include brokered deposits classified as NOW, DDA, money market deposit and certificate accounts with contractual maturities.

Glacier Bancorp, Inc.

Average Balance Sheets (continued)

	Three Months ended
	March 31, 2021						March 31, 2020
(Dollars in thousands)	Average Balance		Interest & Dividends		Average Yield/ Rate		Average Balance		Interest & Dividends		Average Yield/ Rate
Assets
Residential real estate loans	$	893,052	$	10,146	4.54	%	$	980,647	$	11,526	4.70	%
Commercial loans ¹	9,412,281		114,928		4.95	%	7,809,482		99,956		5.15	%
Consumer and other loans	949,736		10,559		4.51	%	926,924		11,641		5.05	%
Total loans ²	11,255,069		135,633		4.89	%	9,717,053		123,123		5.10	%
Tax-exempt debt securities ³	1,545,484		14,710		3.81	%	930,601		9,409		4.04	%
Taxable debt securities ⁴	4,713,936		15,851		1.35	%	2,059,581		13,772		2.67	%
Total earning assets	17,514,489		166,194		3.85	%	12,707,235		146,304		4.63	%
Goodwill and intangibles	568,222						539,431
Non-earning assets	843,305						690,338
Total assets	$	18,926,016					$	13,937,004
Liabilities
Non-interest bearing deposits	$	5,591,531	$	—	—	%	$	3,672,959	$	—	—	%
NOW and DDA accounts	3,830,856		570		0.06	%	2,675,152		915		0.14	%
Savings accounts	2,092,517		138		0.03	%	1,518,809		239		0.06	%
Money market deposit accounts	2,719,267		865		0.13	%	2,031,799		1,624		0.32	%
Certificate accounts	971,584		1,422		0.59	%	965,908		2,595		1.08	%
Total core deposits	15,205,755		2,995		0.08	%	10,864,627		5,373		0.20	%
Wholesale deposits ⁵	38,076		19		0.20	%	57,110		208		1.46	%
Repurchase agreements	1,001,394		689		0.28	%	542,822		989		0.73	%
FHLB advances	—		—		—	%	108,672		346		1.26	%
Subordinated debentures and other borrowed funds	165,830		1,037		2.54	%	169,965		1,580		3.74	%
Total funding liabilities	16,411,055		4,740		0.12	%	11,743,196		8,496		0.29	%
Other liabilities	193,858						147,361
Total liabilities	16,604,913						11,890,557
Stockholders’ Equity
Common stock	955						933
Paid-in capital	1,495,138						1,417,004
Retained earnings	710,137						562,951
Accumulated other comprehensive income	114,873						65,559
Total stockholders’ equity	2,321,103						2,046,447
Total liabilities and stockholders’ equity	$	18,926,016					$	13,937,004
Net interest income (tax-equivalent)			$	161,454					$	137,808
Net interest spread (tax-equivalent)					3.73	%					4.34	%
Net interest margin (tax-equivalent)					3.74	%					4.36	%

______________________________

¹Includes tax effect of $1.4 million and $1.3 million on tax-exempt municipal loan and lease income for the three months ended March 31, 2021 and 2020, respectively.
²Total loans are gross of the allowance for credit losses, net of unearned income and include loans held for sale. Non-accrual loans were included in the average volume for the entire period.
³Includes tax effect of $3.0 million and $1.9 million on tax-exempt debt securities income for the three months ended March 31, 2021 and 2020, respectively.
⁴Includes tax effect of $255 thousand and $266 thousand on federal income tax credits for the three months ended March 31, 2021 and 2020, respectively.
⁵Wholesale deposits include brokered deposits classified as NOW, DDA, money market deposit and certificate accounts with contractual maturities.

Glacier Bancorp, Inc.

Loan Portfolio by Regulatory Classification

	Loans Receivable, by Loan Type									% Change from
(Dollars in thousands)	Mar 31, 2021			Dec 31, 2020			Mar 31, 2020			Dec 31, 2020		Mar 31, 2020
Custom and owner occupied construction	$	153,226		$	157,529		$	172,238		(3	)%	(11	)%
Pre-sold and spec construction	154,312			148,845			180,799			4	%	(15	)%
Total residential construction	307,538			306,374			353,037			—	%	(13	)%
Land development	103,960			102,930			101,644			1	%	2	%
Consumer land or lots	133,409			123,747			121,082			8	%	10	%
Unimproved land	62,002			59,500			65,355			4	%	(5	)%
Developed lots for operative builders	27,310			30,449			32,661			(10	)%	(16	)%
Commercial lots	61,289			60,499			59,023			1	%	4	%
Other construction	604,326			555,375			453,403			9	%	33	%
Total land, lot, and other construction	992,296			932,500			833,168			6	%	19	%
Owner occupied	1,973,309			1,945,686			1,813,284			1	%	9	%
Non-owner occupied	2,372,644			2,290,512			2,200,664			4	%	8	%
Total commercial real estate	4,345,953			4,236,198			4,013,948			3	%	8	%
Commercial and industrial	1,883,438			1,850,197			1,151,817			2	%	64	%
Agriculture	728,579			721,490			694,444			1	%	5	%
1st lien	1,130,339			1,228,867			1,213,232			(8	)%	(7	)%
Junior lien	35,230			41,641			49,071			(15	)%	(28	)%
Total 1-4 family	1,165,569			1,270,508			1,262,303			(8	)%	(8	)%
Multifamily residential	380,172			391,895			352,379			(3	)%	8	%
Home equity lines of credit	664,800			657,626			656,953			1	%	1	%
Other consumer	191,152			190,186			180,832			1	%	6	%
Total consumer	855,952			847,812			837,785			1	%	2	%
States and political subdivisions	546,086			575,647			566,953			(5	)%	(4	)%
Other	183,077			156,647			116,991			17	%	56	%
Total loans receivable, including loans held for sale	11,388,660			11,289,268			10,182,825			1	%	12	%
Less loans held for sale ¹	(118,731		)	(166,572		)	(94,619		)	(29	)%	25	%
Total loans receivable	$	11,269,929		$	11,122,696		$	10,088,206		1	%	12	%

______________________________

¹ Loans held for sale are primarily 1st lien 1-4 family loans.

Glacier Bancorp, Inc.

Credit Quality Summary by Regulatory Classification

	Non-performing Assets, by Loan Type				Non- Accrual Loans	Accruing Loans 90 Days or More Past Due	Other Real Estate Owned
(Dollars in thousands)	Mar 31, 2021		Dec 31, 2020	Mar 31, 2020	Mar 31, 2021	Mar 31, 2021	Mar 31, 2021
Custom and owner occupied construction	$	246	247	188	246	—	—
Pre-sold and spec construction	—		—	96	—	—	—
Total residential construction	246		247	284	246	—	—
Land development	330		342	1,432	82	—	248
Consumer land or lots	325		201	471	198	—	127
Unimproved land	243		294	680	197	—	46
Commercial lots	368		368	529	—	—	368
Other construction	—		—	—	—	—	—
Total land, lot and other construction	1,266		1,205	3,112	477	—	789
Owner occupied	5,272		6,725	5,269	5,152	—	120
Non-owner occupied	4,615		4,796	5,133	4,615	—	—
Total commercial real estate	9,887		11,521	10,402	9,767	—	120
Commercial and industrial	6,100		6,689	5,438	5,536	129	435
Agriculture	8,392		6,313	7,263	5,502	2,890	—
1st lien	4,303		5,353	8,410	4,115	188	—
Junior lien	290		301	640	262	28	—
Total 1-4 family	4,593		5,654	9,050	4,377	216	—
Multifamily residential	—		—	402	—	—	—
Home equity lines of credit	3,614		2,939	2,617	2,684	—	930
Other consumer	1,017		572	520	866	151	—
Total consumer	4,631		3,511	3,137	3,550	151	930
Other	1,470		293	290	432	347	691
Total	$	36,585	35,433	39,378	29,887	3,733	2,965

Glacier Bancorp, Inc.

Credit Quality Summary by Regulatory Classification (continued)

	Accruing 30-89 Days Delinquent Loans, by Loan Type						% Change from
(Dollars in thousands)	Mar 31, 2021		Dec 31, 2020		Mar 31, 2020		Dec 31, 2020		Mar 31, 2020
Custom and owner occupied construction	$	963	$	788	$	2,176	22	%	(56	)%
Pre-sold and spec construction	—		—		328		n/m		(100	)%
Total residential construction	963		788		2,504		22	%	(62	)%
Land development	—		202		840		(100	)%	(100	)%
Consumer land or lots	215		71		321		203	%	(33	)%
Unimproved land	334		357		934		(6	)%	(64	)%
Developed lots for operative builders	—		306		—		(100	)%	n/m
Commercial lots	—		—		216		n/m		(100	)%
Other construction	1,520		—		—		n/m		n/m
Total land, lot and other construction	2,069		936		2,311		121	%	(10	)%
Owner occupied	1,784		3,432		3,235		(48	)%	(45	)%
Non-owner occupied	2,407		149		4,764		1,515	%	(49	)%
Total commercial real estate	4,191		3,581		7,999		17	%	(48	)%
Commercial and industrial	2,063		1,814		6,122		14	%	(66	)%
Agriculture	25,458		1,553		6,210		1,539	%	310	%
1st lien	5,984		6,677		7,419		(10	)%	(19	)%
Junior lien	18		55		795		(67	)%	(98	)%
Total 1-4 family	6,002		6,732		8,214		(11	)%	(27	)%
Home equity lines of credit	1,223		2,840		5,549		(57	)%	(78	)%
Other consumer	519		1,054		1,456		(51	)%	(64	)%
Total consumer	1,742		3,894		7,005		(55	)%	(75	)%
States and political subdivisions	375		2,358		—		(84	)%	n/m
Other	1,753		1,065		1,010		65	%	74	%
Total	$	44,616	$	22,721	$	41,375	96	%	8	%

______________________________

n/m – not measurable

Glacier Bancorp, Inc.

Credit Quality Summary by Regulatory Classification (continued)

	Net Charge-Offs (Recoveries), Year-to-Date Period Ending, By Loan Type							Charge-Offs	Recoveries
(Dollars in thousands)	Mar 31, 2021			Dec 31, 2020		Mar 31, 2020		Mar 31, 2021	Mar 31, 2021
Custom and owner occupied construction	$	—		(9	)	—		—	—
Pre-sold and spec construction	(7		)	(24	)	(6	)	—	7
Total residential construction	(7		)	(33	)	(6	)	—	7
Land development	(75		)	(106	)	(275	)	—	75
Consumer land or lots	(141		)	(221	)	3		—	141
Unimproved land	(21		)	(489	)	(37	)	—	21
Developed lots for operative builders	—			—		—		—	—
Commercial lots	—			(55	)	(1	)	—	—
Total land, lot and other construction	(237		)	(871	)	(310	)	—	237
Owner occupied	(54		)	(168	)	(16	)	—	54
Non-owner occupied	(505		)	3,030		(20	)	—	505
Total commercial real estate	(559		)	2,862		(36	)	—	559
Commercial and industrial	80			1,533		61		168	88
Agriculture	(1		)	337		36		4	5
1st lien	5			69		14		41	36
Junior lien	(47		)	(211	)	(110	)	—	47
Total 1-4 family	(42		)	(142	)	(96	)	41	83
Multifamily residential	—			(244	)	(43	)	—	—
Home equity lines of credit	25			101		(103	)	41	16
Other consumer	46			307		88		119	73
Total consumer	71			408		(15	)	160	89
Other	2,981			3,803		1,222		3,873	892
Total	$	2,286		7,653		813		4,246	1,960

Visit our website at
www.glacierbancorp.com

April 22, 2021 4:33 pm

DermTech Introduces PLAplus with Improved Sensitivity for Early Detection of Melanoma

DermTech Introduces PLAplus with Improved Sensitivity for Early Detection of Melanoma

Leading Precision Dermatology Company Tackles Melanoma with Latest Advancement using Smart Sticker^TM Technology

LA JOLLA, Calif.–(BUSINESS WIRE)–DermTech, Inc. (NASDAQ: DMTK) (“DermTech”), a leader in precision dermatology enabled by a non-invasive skin genomics platform, announced today the launch of DermTech PLAplus^TM, its next generation test for the enhanced early detection of melanoma. PLAplus^{delivers objective and actionable information to guide clinical management decisions for skin lesions suspicious of melanoma.}

The new PLAplus test adds TERT (Telomerase Reverse Transcriptase) promoter DNA driver mutation analyses to the current RNA gene expression based Pigmented Lesion Assay (PLA), which includes LINC00518 and PRAME. TERT is individually associated with histopathologic features of aggressiveness and poor survival in melanoma. The combined tests (LINC00518 and PRAME, plus TERT) elevate the sensitivity from 91%¹ to 97% and maintain a negative predictive value of >99%, resulting in a less than 1% probability of missing melanoma^2,3. By combining RNA gene expression and DNA mutation analyses, PLAplus provides a highly accurate non-invasive genomic test for enhanced early melanoma detection.

“Identifying melanoma at its earliest stages provides patients with the highest cure rate, and TERT promoter mutations are independently associated with poor overall survival and more aggressive disease,” said Laura Ferris, M.D., Ph.D., Associate Professor, Dermatology, University of Pittsburgh and senior author of Risk Stratification of Severely Dysplastic Nevi by Non-Invasively Obtained Gene Expression and Mutation Analyses.² “Having additional genomic information to objectively assess disease risk beyond what can be ascertained visually can help physicians make an earlier, more accurate diagnosis.”

“DermTech is thrilled about the addition of DNA TERT promoter mutation analyses to our test menu for the enhanced early detection of melanoma,” said Claudia Ibarra, chief operating officer at DermTech. “As always, it is our commitment to deliver high quality testing and laboratory services to our patients and clinicians, and PLAplus is a prime example of this.”

The National Comprehensive Cancer Network® (NCCN) Clinical Practice Guidelines in Oncology recognize the use of pre-diagnostic non‑invasive genomic patch testing for melanoma, like the DermTech PLA^TM,^{to help guide biopsy decisions for lesions suspicious of melanoma. There are over 21 peer reviewed publications summarizing its clinical validity and utility of the DermTech PLA^TM in studies of over 7,000 patients.}

The lowest sensitivity of DermTech PLA demonstrated in our clinical studies to date
Jackson SR et al. J of SKIN. 2020; 4(2):124-129
Gerami P et al. J Am Acad Dermatol. 2017;76(1):114- 120.e2

About DermTech:

DermTech is the leading genomics company in dermatology and is creating a new category of medicine, precision dermatology, enabled by our non-invasive skin genomics platform. DermTech’s mission is to transform dermatology with our non-invasive skin genomics platform, to democratize access to high quality dermatology care, and to improve the lives of millions. DermTech provides genomic analysis of skin samples collected non-invasively using an adhesive patch rather than a scalpel. DermTech markets and develops products that facilitate the early detection of skin cancers, and is developing products that assess inflammatory diseases and customize drug treatments. For additional information on DermTech, please visit DermTech’s investor relations site at: www.DermTech.com.

Forward-Looking Statements:

This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The expectations, estimates, and projections of DermTech may differ from its actual results and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, expectations with respect to: the performance, patient benefits, cost‑effectiveness, commercialization and adoption of DermTech’s products and the market opportunity therefor. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside of the control of DermTech and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) the outcome of any legal proceedings that may be instituted against DermTech; (2) DermTech’s ability to obtain additional funding to develop and market its products; (3) the existence of favorable or unfavorable clinical guidelines for DermTech’s tests; (4) the reimbursement of DermTech’s tests by Medicare and private payors; (5) the ability of patients or healthcare providers to obtain coverage of or sufficient reimbursement for DermTech’s products; (6) DermTech’s ability to grow, manage growth and retain its key employees; (7) changes in applicable laws or regulations; (8) the market adoption and demand for DermTech’s products and services together with the possibility that DermTech may be adversely affected by other economic, business, and/or competitive factors; and (9) other risks and uncertainties included in (x) the “Risk Factors” section of the most recent Annual Report on Form 10-K filed by DermTech with the Securities and Exchange Commission (the “SEC”), and (y) other documents filed or to be filed by DermTech with the SEC. DermTech cautions that the foregoing list of factors is not exclusive. You should not place undue reliance upon any forward-looking statements, which speak only as of the date made. DermTech does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210422005262/en/

DermTech

Sarah Dion

[email protected]

858.450.4222

Crowe PR

Sarah Gallagher

[email protected]

224.406.4709

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: Oncology Health FDA Medical Devices Other Health Clinical Trials Pharmaceutical

MEDIA:

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April 22, 2021 4:33 pm

GreenBox POS to Attend the H.C. Wainwright Cryptocurrency, Blockchain, & FinTech Virtual Conference April 26-27, 2021

SAN DIEGO, CA, April 22, 2021 (GLOBE NEWSWIRE) — GreenBox POS (NASDAQ: GBOX) (“GreenBox”, the “Company”), an emerging financial technology company leveraging proprietary blockchain security to build customized payment solutions is pleased to announce it will attend the H.C. Wainwright Cryptocurrency, Blockchain & FinTech Virtual Conference on April 26-27, 2021.

Chairman Ben Errez will provide an overview of the company, discuss its growth strategy and upcoming token deployment. The presentation will be available for on-demand viewing beginning at 7:00 a.m. ET on Tuesday, April 27, 2021 to registered attendees of the conference.

Mr. Errez will also be available for one-on-one meetings with investors who are registered for the conference on April 26^th-27^th. If you are an institutional or retail investor and would like to listen to the Company’s presentation or schedule a 1×1 meeting, please click on the following link (www.hcwevents.com/crypto ) to register for the conference.

About GreenBox POS

GreenBox POS (NASDAQ: GBOX) is an emerging financial technology company leveraging proprietary blockchain security to build customized payment solutions. The Company’s applications enable an end-to-end suite of turnkey financial products, reducing fraud and improving the efficiency of handling large-scale commercial processing volumes for its merchant clients globally. For more information, please visit the Company’s website at www.greenboxpos.com.

Forward-Looking Statements Disclaimer

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Examples of forward-looking statements include, among others, statements we make regarding guidance relating to net income; anticipated customer onboardings; and expected operating results, such as revenue growth and earnings. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set out in the Company’s SEC filings. These risks and uncertainties could cause the Company’s actual results to differ materially from those indicated in the forward-looking statements.

Investor Relations Contact

Mark Schwalenberg
MZ Group – MZ North America
312-261-6430
[email protected]
www.mzgroup.us