NEWS RELEASE [HUNTINGTON BANK LOGO]
FOR IMMEDIATE RELEASE FOR FURTHER INFORMATION, CONTACT:
SUBMITTED: OCTOBER 9, 1996 JACQUELINE THURSTON (614) 480-3878
HUNTINGTON BANCSHARES REPORTS EARNINGS
FOR THIRD QUARTER AND FIRST NINE MONTHS OF 1996
COLUMBUS, Ohio -- Huntington Bancshares Incorporated (NASDAQ: HBAN;
http://www.huntington.com) today reported earnings per share for the first nine
months of $1.33 and $.46 for the third quarter representing increases of 13.7%
and 4.5%, respectively, over the same periods last year. Net income was $194.4
million for the first nine months of 1996 and $66.5 million for the third
quarter compared with $179.0 million and $65.9 million, respectively, during the
corresponding periods in 1995.
Huntington's return on average equity (ROE) and return on average
assets (ROA) were 17.15% and 1.30% in the first nine months, up from 15.75% and
1.27% last year. ROE was 17.92% and ROA was 1.33% for the third quarter.
"We are pleased with the company's overall results in the third
quarter," stated Frank Wobst, chairman and chief executive officer of Huntington
Bancshares Incorporated. "We continued to see strong growth in fee income as
well as double digit growth in consumer loans. Commercial loans also grew a
respectable 5.2%."
Net interest income for the nine and three months ended September 30,
1996 was $565.7 million and $191.7 million, respectively; the net interest
margin was 4.16% in the recent third quarter.
Non-interest income, excluding securities transactions, amounted to
$192.9 million and $64.9 million in the most recent nine and three month
periods, 15.2% and 12.8% higher than the same periods last year. All major
categories remained strong.
HUNTINGTON BANCSHARES INCORPORATED
COMPARATIVE SUMMARY (CONSOLIDATED)
(in thousands of dollars, except per share amounts)
Consolidated Results Three Months Ended Nine Months Ended
of Operations September 30, Change September 30, Change
- - ---------------------- --------------------------------------- ---------------------------------
1996 1995 % 1996 1995 %
------------- ---------- -------- ----------- ----------- -----
Interest Income $ 378,422 $ 377,859 0.1% $1,127,797 $1,080,459 4.4%
Interest Expense 186,721 191,281 (2.14) 562,085 537,782 4.5
---------- ---------- ---------- ----------
Net Interest Income 191,701 186,578 2.7 565,712 542,677 4.2
Provision for Loan Losses 20,250 7,187 181.8 43,916 16,582 164.8
Non-Interest Income 71,028 59,800 18.8 206,366 176,211 17.1
Non-Interest Expense 141,578 137,446 3.0 430,540 423,139 1.7
Provision for Income Taxes 34,438 35,808 (3.8) 103,246 100,207 3.0
---------- ---------- ---------- ----------
Net Income $ 66,463 $ 65,937 0.8% $ 194,376 $ 178,960 8.6%
========== ========== ========== ==========
PER COMMON SHARE (1)
- - --------------------
Net Income $ 0.46 $ 0.44 4.5% $ 1.33 $ 1.17 13.7%
Cash Dividends Declared $ 0.20 $ 0.18 11.1% $ 0.56 $ 0.52 7.7%
Shareholders' Equity
(period end) $ 10.40 $ 10.02 3.8% $ 10.40 $ 10.02 3.8%
Average Shares
Outstanding (000's) 145,287 150,901 (3.7%) 146,673 153,024 (4.2%)
KEY RATIOS
- - ----------
Return On:
Average Total Assets 1.33% 1.34% 1.30% 1.27%
Average Shareholders' Equity 17.92% 17.03% 17.15% 15.75%
Efficiency Ratio 55.57% 56.49% 56.87% 59.41%
Net Interest Margin 4.16% 4.18% 4.11% 4.21%
Average Equity/Average Assets 7.41% 7.87% 7.60% 8.10%
Tier I Risk-Based Capital Ratio
(period end) 8.03% 8.46% 8.03% 8.46%
Total Risk-Based Capital Ratio
(period end) 11.57% 12.17% 11.57% 12.17%
Tier I Leverage Ratio
(period end) 6.78% 6.96% 6.78% 6.96%
Consolidated Statement
of Condition Data At September 30, Change
- - ------------------------ ------------------------------------
1996 1995 %
------------ ----------- -----
Total Loans $13,939,218 $13,457,831 3.6%
Total Deposits $13,175,649 $12,544,500 5.0
Total Assets $20,565,805 $20,173,130 1.9
Shareholders' Equity $ 1,501,084 $ 1,482,799 1.2
ASSET QUALITY
- - -------------
Non-performing loans $ 54,974 $ 46,310
Total non-performing assets $ 70,584 $ 69,978
Allowance for loan losses/total loans 1.44% 1.48%
Allowance for loan losses/non-performing loans 364.20% 428.79%
Allowance for loan losses and other real
estate/non-performing assets 274.54% 263.26%
(1) Adjusted for the ten percent stock dividend distributed July 31, 1996.