United Community Banks, Inc.
Jan 25, 2017

United Community Banks, Inc. Announces Fourth Quarter Earnings

Diluted earnings per share up 52 percent, to 38 cents, from fourth quarter 2015

Excluding merger-related and other non-operating charges, diluted operating EPS up 21 percent, to 40 cents

BLAIRSVILLE, Ga., Jan. 25, 2017 (GLOBE NEWSWIRE) -- United Community Banks, Inc. (NASDAQ:UCBI) ("United") today announced strong fourth quarter results with solid loan growth, effective expense management, sound credit quality and improvement in nearly every other performance measure.  Net income grew to $27.2 million, or 38 cents per diluted share, compared with $18.2 million, or 25 cents per diluted share, for the fourth quarter of 2015.  Net income for the full year of 2016 was $100.7 million, or $1.40 per diluted share.  This compares with $71.6 million, or $1.09 per diluted share, for 2015.

On an operating basis, net income rose to $28.9 million for the fourth quarter of 2016 compared with $23.8 million for the fourth quarter of 2015.  Fourth quarter 2016 operating net income excludes pre-tax merger-related charges of $1.14 million and the associated tax benefit of $432,000, as well as a tax charge of $976,000 related to the cancellation of nonqualified stock options.

Fourth quarter 2015 operating net income excludes $3.11 million in pre-tax merger-related charges and $5.97 million in pre-tax charges for impairment on properties acquired for future expansion.  The tax benefit on the fourth quarter 2015 charges was $3.49 million.  On a per diluted share basis, operating net income was 40 cents for the fourth quarter of 2016 compared with 33 cents for the fourth quarter of 2015.  For the full year of 2016, operating net income was $106.7 million, or $1.48 per diluted share, compared with $83.1 million, or $1.27 per diluted share, for 2015.

At December 31, 2016, preliminary regulatory capital ratios were as follows: Tier 1 Risk-Based of 11.3 percent; Total Risk-Based of 12.1 percent; Common Equity Tier 1 Risk-Based of 11.3 percent; and, Tier 1 Leverage of 8.5 percent.

"Our fourth quarter results mark a solid ending to an exceptional year for United Community Banks," said Jimmy Tallent, chairman and chief executive officer.  "Our bankers continue to make progress in improving our financial performance.  A year ago we set a goal of achieving a 1.10 percent operating return on assets by the fourth quarter of 2016.  We knew that achieving this goal would not be easy, but we also knew our determined bankers and how they react to a challenge.  I am proud to say that in the fourth quarter, not only did they achieve that goal, but they also pushed our operating return on tangible common equity to 12.5 percent and improved our operating efficiency ratio to 56.6 percent.  I could not be more pleased."  Operating performance measures exclude the charges mentioned above.  Including those charges, return on assets was 1.03 percent, return on common equity was 9.89 percent and the efficiency ratio was 57.7 percent.

"In the fourth quarter we completed all systems conversions for Tidelands Bank, and we have achieved all expected cost savings from that acquisition," Tallent said.  "We are proud that Tidelands is now fully integrated with United Community Bank, operating under our brand in coastal South Carolina.

"Fourth quarter loan production was $747 million," Tallent added.  "Linked-quarter loan growth of $196 million, or 12 percent annualized, was slightly above our 2016 loan growth target of mid-to-upper single-digit.  Our community banks originated $490 million in loans while specialized lending produced $216 million.  United's specialized lending area encompasses commercial real estate, middle market, SBA, asset-based lending, senior living and builder finance."

Fourth quarter net interest revenue totaled $80.9 million, up $1.9 million from the third quarter and up $7.2 million from the fourth quarter of 2015.  The increase from both periods reflects loan growth, and the increase from a year ago also includes net interest revenue from recent acquisitions.

The taxable-equivalent net interest margin of 3.34 percent remained the same as in the third quarter of 2016 and the fourth quarter of 2015.  The effect of rising short-term interest rates and lower wholesale borrowings offset the impact of competitive loan pricing.

No provision for credit losses was required for the fourth quarter.  This compares with a provision recovery of $300,000 in the third quarter, and a provision of $300,000 in the fourth quarter of 2015.  Fourth quarter net charge-offs totaled $1.5 million, compared with $1.4 million in the third quarter and $1.3 million in the fourth quarter of 2015. Contributing to the low level of net charge-offs were continued strong recoveries of previously charged-off loans. Nonperforming assets were .28 percent of total assets at December 31, 2016, compared with .30 percent at September 30, 2016 and .29 percent at December 31, 2015.

"Our lack of need for a provision for loan losses reflects continued strong credit quality and a low overall level of net charge-offs," Tallent commented.  "Our credit quality indicators remain favorable and our outlook is for positive credit quality and low provision levels through 2017.  We expect to gradually increase provision levels with loan growth during the year, which is expected to slightly decrease our allowance and the related ratio to total loans."

Fourth quarter fee revenue totaled $25.2 million, a decrease of $1.13 million from the third quarter and up $3.95 million from a year ago.  Mortgage fees were up $477,000 from the third quarter, and $3.23 million from a year ago.  Gains from sales of SBA loans were up $549,000 from the third quarter, and up $1.03 million from a year ago due to continued growth in SBA lending.  Offsetting the mortgage and SBA business growth from the third quarter of 2016 were decreases in merchant services and brokerage fees, and in deposit account fees and service charges.  Customer derivative fees were also down from the record level achieved in the third quarter.

"The rise in mortgage fees reflects our strategic investment in additional mortgage lenders where we see opportunities to gain market share and higher spreads on loan sales," Tallent said.  "Also, our SBA lending business remains a top priority.  In the fourth quarter we sold $41 million in loans compared with $32 million in the third quarter and $25 million in the fourth quarter of 2015."

Operating expenses were $61.3 million for the fourth quarter, compared with $64.0 million for the third quarter and $65.5 million for the fourth quarter of 2015.  Included in operating expenses are merger-related and impairment charges of $1.14 million in the fourth quarter, $3.15 million in the third quarter and $9.08 million in the fourth quarter of 2015.  Excluding these charges, fourth quarter operating expenses were $60.2 million compared with $60.9 million for the third quarter, and $56.4 million a year ago.

The decrease in operating expenses from the third quarter is mostly in salaries and employee benefits costs and a decrease in professional fees.  The increase from a year ago reflects the additional operating expenses of Tidelands Bank following its acquisition on July 1, 2016.  United's financial results include operating expenses of acquired companies beginning on their respective acquisition dates.  The benefit of higher revenue and the lower level of fourth quarter expenses compared to the third quarter also improved the operating efficiency ratio to 56.6 percent, compared to 57.8 percent in the third quarter and 59.4 percent a year ago.

Tallent concluded, "I am very proud of our bankers and the exceptional results they achieved in 2016.  They steadily improved financial performance while providing the best in customer service, which is the foundation of our success and the core of everything we do. With our strong earnings momentum, a high-quality balance sheet and strategic investments in our franchise, I look forward with optimism going into 2017."

Conference Call
United will hold a conference call today, Wednesday, January 25, 2017, at 11 a.m. ET to discuss the contents of this earnings release and to share business highlights for the quarter. To access the call, dial (877) 380-5665 and use the conference number 47644518.  The conference call also will be webcast and available for replay for 30 days by selecting "Events & Presentations" within the Investor Relations section of United's website at www.ucbi.com.

About United Community Banks, Inc.
United Community Banks, Inc. (NASDAQ:UCBI) is a registered bank holding company based in Blairsville, Georgia with $10.7 billion in assets.  The company's banking subsidiary, United Community Bank, is one of the southeast region's largest full-service banks, operating 139 offices in Georgia, North Carolina, South Carolina and Tennessee.  The bank specializes in providing personalized community banking services to individuals, small businesses and corporations.  Services include a full range of consumer and commercial banking products including mortgage, advisory, and treasury management.  Respected national research firms consistently recognize United Community Bank for outstanding customer service: In 2014, 2015 and 2016, J.D. Power ranked United Community Bank first in customer satisfaction in the Southeast. In 2017, for the fourth consecutive year, Forbes included United among their list of the top 100  Best Banks in America.  Additional information about the company and the bank's full range of products and services can be found at www.ucbi.com.

Non-GAAP Financial Measures
This News Release contains financial information determined by methods other than in accordance with generally accepted accounting principles, or GAAP.  This financial information includes certain operating performance measures, which exclude merger-related and other charges that are not considered part of recurring operations, such as "operating net income," "operating net income per diluted share," "tangible book value," "operating return on common equity," "operating return on tangible common equity," "operating return on assets," "operating dividend payout ratio," "operating efficiency ratio," "average tangible equity to average assets," "average tangible common equity to average assets" and "tangible common equity to risk-weighted assets."  These non-GAAP measures are included because United believes they may provide useful supplemental information for evaluating United's underlying performance trends.  These measures should be viewed in addition to, and not as an alternative to or substitute for, measures determined in accordance with GAAP, and are not necessarily comparable to non-GAAP measures that may be presented by other companies.  To the extent applicable, reconciliations of these non-GAAP measures to the most directly comparable measures as reported in accordance with GAAP are included with the accompanying financial statement tables.

Safe Harbor
This News Release contains forward-looking statements, as defined by federal securities laws, including statements about United's financial outlook and business environment.  These statements are based on current expectations and are provided to assist in the understanding of future financial performance.  Such performance involves risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements.  For a discussion of some of the risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to United's filings with the Securities and Exchange Commission including its 2015 Annual Report on Form 10-K under the sections entitled "Forward-Looking Statements" and "Risk Factors."  Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update or revise forward-looking statements.

 

UNITED COMMUNITY BANKS, INC.             
Financial Highlights             
Selected Financial Information             
              
           Fourth 
  2016   2015  Quarter 
  Fourth   Third   Second   First   Fourth  2016-2015 
(in thousands, except per share data)Quarter Quarter Quarter Quarter Quarter  Change 
INCOME SUMMARY             
Interest revenue$87,778   $85,439  $81,082  $80,721  $79,362     
Interest expense 6,853   6,450    6,164   5,769   5,598     
Net interest revenue 80,925   78,989   74,918   74,952   73,764  10 % 
Provision for credit losses -   (300)  (300)   (200)  300     
Fee revenue 25,233   26,361   23,497   18,606   21,284  19   
Total revenue 106,158   105,650   98,715   93,758   94,748  12   
Expenses 61,321   64,023   58,060   57,885   65,488  (6)  
Income before income tax expense 44,837   41,627   40,655   35,873   29,260  53   
Income tax expense 17,616   15,753    15,389   13,578   11,052  59   
Net income 27,221   25,874   25,266   22,295   18,208  50   
Preferred dividends -   -   -   21   25     
Net income available to common shareholders$   27,221   $   25,874   $   25,266    $   22,274   $   18,183     50    
Merger-related and other charges 1,141   3,152   1,176   2,653   9,078     
Income tax benefit of merger-related and other charges (432)  (1,193)  (445)   (1,004)  (3,486)    
Impairment of deferred tax asset on cancelled non-
  qualified stock options
 976   -   -   -   -     
Net income available to common
  shareholders - operating (1)
$   28,906   $   27,833   $   25,997   $   23,923   $   23,775     22    
              
PERFORMANCE MEASURES             
Per common share:             
Diluted net income - GAAP$ .38  $.36  $.35  $.31  $.25  52   
Diluted net income - operating  (1) .40   .39   .36   .33   .33  21   
Cash dividends declared .08   .08   .07   .07   .06     
Book value 15.06    15.12   14.80   14.35   14.02  7   
Tangible book value (3) 12.95   13.00   12.84   12.40   12.06  7    
              
Key performance ratios:             
Return on common equity - GAAP (2)(4) 9.89 % 9.61 %  9.54 % 8.57 % 7.02 %  
Return on common equity - operating (1)(2)(4) 10.51   10.34   9.81   9.20    9.18     
Return on tangible common equity - operating (1)(2)(3)(4) 12.47   12.45   11.56   10.91   10.87     
Return on assets - GAAP (4) 1.03   1.00   1.04   .93   .76     
Return on assets - operating (1)(4) 1.10   1.08   1.07   1.00   .99     
Dividend payout ratio - GAAP 21.05   22.22    20.00   22.58   24.00     
Dividend payout ratio - operating (1) 20.00    20.51   19.44   21.21   18.18     
Net interest margin (fully taxable equivalent) (4) 3.34    3.34   3.35   3.41   3.34     
Efficiency ratio - GAAP 57.65   60.78   59.02   61.94   68.97     
Efficiency ratio - operating  (1) 56.58   57.79   57.82   59.10   59.41     
Average equity to average assets 10.35   10.38   10.72   10.72   10.68     
Average tangible equity to average assets (3) 9.04   8.98   9.43   9.41   9.40     
Average tangible common equity to
  average assets (3)
 9.04   8.98   9.43   9.32   9.29     
Tangible common equity to risk-weighted
  assets (3)(5)
 11.89   12.22   12.87   12.77   12.82     
              
ASSET QUALITY             
Nonperforming loans$21,539  $21,572   $21,348  $22,419  $22,653  (5)  
Foreclosed properties 7,949   9,187   6,176   5,163   4,883  63   
Total nonperforming assets (NPAs) 29,488   30,759   27,524   27,582   27,536  7   
Allowance for loan losses 61,422   62,961   64,253   66,310   68,448  (10)  
Net charge-offs 1,539   1,359   1,730   2,138   1,302  18   
Allowance for loan losses to loans  .89 % .94 % 1.02 % 1.09 % 1.14 %   
Net charge-offs to average loans (4)  .09   .08   .11   .14   .09     
NPAs to loans and foreclosed properties .43    .46   .44   .45   .46     
NPAs to total assets .28   .30   .28   .28   .29     
              
AVERAGE BALANCES ($ in millions)             
Loans$6,814  $6,675  $6,151  $6,004  $5,975  14   
Investment securities 2,690   2,610   2,747   2,718   2,607  3   
Earning assets 9,665   9,443   9,037   8,876   8,792  10   
Total assets 10,484   10,281   9,809   9,634   9,558  10   
Deposits 8,552   8,307   7,897   7,947   8,028  7   
Shareholders' equity 1,085   1,067   1,051   1,033   1,021  6   
Common shares - basic (thousands) 71,641   71,556   72,202   72,162   72,135  (1)  
Common shares - diluted (thousands) 71,648   71,561   72,207   72,166   72,140  (1)  
              
AT PERIOD END ($ in millions)             
Loans$6,921  $6,725  $6,287  $6,106  $5,995  15   
Investment securities 2,762   2,560   2,677   2,757   2,656  4   
Total assets 10,709   10,298   9,928   9,781   9,616  11   
Deposits 8,638   8,442    7,857   7,960   7,873  10   
Shareholders' equity 1,076   1,079   1,060   1,034   1,018  6    
Common shares outstanding (thousands) 70,899   70,861   71,122   71,544   71,484  (1)  
              
(1)  Excludes merger-related charges, a fourth quarter 2016 deferred tax asset impairment charge related to cancelled non-qualified stock options and fourth quarter 2015 impairment losses on surplus bank property.  (2)  Net income available to common shareholders, which is net of preferred stock dividends, divided by average realized common equity, which excludes accumulated other comprehensive income (loss).  (3)  Excludes effect of acquisition related intangibles and associated amortization.  (4)  Annualized.  (5)  Fourth quarter 2016 ratio is preliminary. 
              

 

UNITED COMMUNITY BANKS, INC.        
Financial Highlights        
Selected Financial Information        
         
  For the Twelve   
  Months Ended YTD 
  December 31, 2016-2015 
(in thousands, except per share data)  2016   2015   Change 
INCOME SUMMARY        
Interest revenue $335,020  $278,532     
Interest expense  25,236   21,109     
Net interest revenue  309,784   257,423   20 % 
Provision for credit losses  (800)  3,700     
Fee revenue  93,697   72,529  29   
Total revenue  404,281   326,252  24   
Expenses  241,289   211,238  14   
Income before income tax expense   162,992   115,014  42    
Income tax expense  62,336   43,436  44   
Net income  100,656    71,578  41   
Preferred dividends  21   67     
Net income available to common shareholders $  100,635   $   71,511     41    
Merger-related and other charges  8,122   17,995     
Income tax benefit of merger-related and other charges  (3,074)  (6,388)    
Impairment of deferred tax asset on cancelled non-
  qualified stock options
  976   -     
Net income available to common
  shareholders - operating (1)
 $  106,659   $   83,118     28    
         
PERFORMANCE MEASURES        
Per common share:         
Diluted net income - GAAP $1.40  $1.09  28   
Diluted net income - operating  (1)  1.48   1.27  17   
Cash dividends declared  .30   .22     
Book value  15.06   14.02  7   
Tangible book value (3)  12.95   12.06  7   
         
Key performance ratios:        
Return on common equity - GAAP (2)(4)  9.41  % 8.15 %  
Return on common equity - operating (1)(2)(4)  9.98   9.48     
Return on tangible common equity - operating (1)(2)(3)(4) 11.86   10.24      
Return on assets - GAAP (4)  1.00   .85     
Return on assets - operating (1)(4)  1.06   .98     
Dividend payout ratio - GAAP  21.43   20.18      
Dividend payout ratio - operating (1)  20.27   17.32     
Net interest margin (fully taxable equivalent) (4)  3.36   3.30     
Efficiency ratio - GAAP  59.80   63.96     
Efficiency ratio - operating  (1)  57.78   58.51     
Average equity to average assets  10.54    10.27     
Average tangible equity to average assets (3)  9.21   9.74     
Average tangible common equity to
  average assets (3)
  9.19   9.66     
Tangible common equity to risk-weighted
  assets (3)(5)
  11.89   12.82      
         
ASSET QUALITY        
Nonperforming loans $21,539  $22,653  (5)  
Foreclosed properties  7,949   4,883  63   
Total nonperforming assets (NPAs)  29,488   27,536  7   
Allowance for loan losses  61,422   68,448  (10)  
Net charge-offs  6,766   6,259  8   
Allowance for loan losses to loans  .89 % 1.14 %   
Net charge-offs to average loans (4)  .11   .12     
NPAs to loans and foreclosed properties  .43   .46      
NPAs to total assets  .28   .29     
         
AVERAGE BALANCES ($ in millions)        
Loans $6,413  $5,298  21   
Investment securities  2,691   2,368  14   
Earning assets  9,257   7,834  18   
Total assets  10,054   8,462  19   
Deposits  8,177   7,055  16   
Shareholders' equity  1,059   869  22   
Common shares - basic (thousands)  71,910   65,488  10   
Common shares - diluted (thousands)  71,915   65,492  10   
         
AT PERIOD END ($ in millions)        
Loans $6,921  $5,995  15   
Investment securities  2,762   2,656  4   
Total assets  10,709   9,616  11   
Deposits  8,638   7,873  10   
Shareholders' equity  1,076   1,018  6   
Common shares outstanding (thousands)  70,899   71,484  (1)  
         
(1)  Excludes merger-related charges, a fourth quarter 2016 deferred tax asset impairment charge related to cancelled non-qualified stock options and fourth quarter 2015 impairment losses on surplus bank property.  (2)  Net income available to common shareholders, which is net of preferred stock dividends, divided by average realized common equity, which excludes accumulated other comprehensive income (loss).  (3)  Excludes effect of acquisition related intangibles and associated amortization.  (4)  Annualized.  (5)  Fourth quarter 2016 ratio is preliminary. 
         

 

UNITED COMMUNITY BANKS, INC.           
Selected Financial Information           
For the Years Ended December 31,           
            
(in thousands, except per share data)  2016    2015   2014  2013   2012 
INCOME SUMMARY           
Interest revenue $335,020  $278,532  $248,432 $245,840  $265,977 
Interest expense  25,236   21,109   25,551  27,682   37,909 
Net interest revenue  309,784   257,423   222,881  218,158   228,068 
Provision for credit losses  (800)  3,700   8,500  65,500   62,500 
Fee revenue  93,697   72,529   55,554  56,598   56,112 
Total revenue  404,281   326,252    269,935  209,256   221,680 
Expenses  241,289   211,238   162,865  174,304   186,774 
Income before income tax expense  162,992    115,014   107,070  34,952   34,906 
Income tax expense (benefit)  62,336    43,436   39,450  (238,188)  1,050 
Net income  100,656    71,578   67,620  273,140   33,856 
Preferred dividends  21   67   439  12,078   12,148 
Net income available to common shareholders $  100,635    $   71,511   $   67,181  $  261,062   $   21,708  
Merger-related and other charges  8,122   17,995   -   -   - 
Income tax benefit of merger-related and other charges  (3,074)  (6,388)  -   -   - 
Impairment of deferred tax asset on cancelled non-qualified stock options  976   -   -  -   - 
Net income available to common shareholders - operating (1) $  106,659   $   83,118   $   67,181  $  261,062   $    21,708  
            
PERFORMANCE MEASURES           
Per common share:            
Diluted net income - GAAP $1.40  $1.09  $1.11 $4.44  $  .38 
Diluted net income - operating  (1)  1.48   1.27   1.11  4.44   .38 
Cash dividends declared  .30   .22   .11  -   - 
Book value  15.06   14.02   12.20  11.30   6.67 
Tangible book value (3)  12.95   12.06   12.15  11.26   6.57 
            
Key performance ratios:           
Return on common equity - GAAP (2)  9.41 % 8.15 % 9.17% 46.72 % 5.43
Return on common equity - operating (1)(2)  9.98   9.48   9.17  46.72   5.43 
Return on tangible common equity - operating (1)(2)(3)  11.86   10.24   9.32  47.35   6.27 
Return on assets - GAAP  1.00   .85   .91  3.86   .49 
Return on assets - operating (1)   1.06   .98   .91  3.86    .49 
Dividend payout ratio - GAAP  21.43   20.18   9.91  -   - 
Dividend payout ratio - operating (1)  20.27   17.32    9.91  -   - 
Net interest margin (fully taxable equivalent)  3.36   3.30   3.26  3.30   3.51 
Efficiency ratio - GAAP  59.80   63.96   58.26  63.14   65.43 
Efficiency ratio - operating  (1)  57.78   58.51   58.26  63.14   65.43 
Average equity to average assets  10.54   10.27   9.69  10.35   8.47 
Average tangible equity to average assets (3)  9.21   9.74   9.67  10.31   8.38 
Average tangible common equity to average assets (3)  9.19   9.66   9.60  7.55   5.54 
Tangible common equity to risk-weighted assets (3)(4)  11.89    12.82   13.82  13.17   8.26 
            
ASSET QUALITY           
Nonperforming loans $21,539  $22,653  $17,881 $26,819  $109,894 
Foreclosed properties  7,949   4,883   1,726  4,221   18,264 
Total nonperforming assets (NPAs)  29,488   27,536   19,607  31,040   128,158 
Allowance for loan losses  61,422   68,448   71,619  76,762   107,137 
Net charge-offs  6,766   6,259   13,879  93,710   69,831 
Allowance for loan losses to loans  .89 % 1.14 % 1.53% 1.77 % 2.57%
Net charge-offs to average loans  .11   .12   .31   2.22   1.69 
NPAs to loans and foreclosed properties  .43   .46   .42  .72   3.06 
NPAs to total assets  .28   .29   .26  .42   1.88 
              
AVERAGE BALANCES ($ in millions)           
Loans $6,413  $5,298  $4,450 $4,254  $4,166 
Investment securities  2,691   2,368   2,274  2,190   2,089 
Earning assets  9,257   7,834   6,880  6,649   6,547 
Total assets  10,054   8,462   7,436  7,074   6,865 
Deposits  8,177   7,055    6,228  6,027   5,885 
Shareholders' equity  1,059   869   720  732   582 
Common shares - basic (thousands)  71,910   65,488   60,588  58,787   57,857 
Common shares - diluted (thousands)  71,915   65,492   60,590  58,845   57,857 
            
AT PERIOD END ($ in millions)           
Loans $6,921  $5,995  $4,672 $4,329  $4,175 
Investment securities  2,762   2,656   2,198  2,312   2,079 
Total assets  10,709   9,616   7,558  7,424   6,801 
Deposits  8,638   7,873   6,335  6,202   5,952 
Shareholders' equity  1,076   1,018    740  796   581 
Common shares outstanding (thousands)  70,899   71,484    60,259  59,432   57,741 
            
(1)  Excludes merger-related charges, a 2016 deferred tax asset impairment charge related to cancelled non-qualified stock options  and 2015 impairment losses on surplus bank property.  (2)  Net income available to common shareholders, which is net of preferred stock dividends, divided by average realized common equity, which excludes accumulated other comprehensive income (loss).  (3)  Excludes effect of acquisition related intangibles and associated amortization.  (4)  2016 ratio is preliminary. 
            

 

UNITED COMMUNITY BANKS, INC.            
Non-GAAP Performance Measures Reconciliation           
Selected Financial Information           
            
            
  2016   2015   
  Fourth   Third    Second   First   Fourth   
(in thousands, except per share data)Quarter Quarter Quarter Quarter Quarter  
            
Expense reconciliation           
Expenses (GAAP)$61,321  $64,023  $58,060  $57,885  $65,488   
Merger-related and other charges (1,141)  (3,152)  (1,176)  (2,653)  (9,078)  
Expenses - operating$60,180  $60,871  $56,884  $55,232  $56,410    
            
Net income reconciliation           
Net income (GAAP)$27,221  $25,874  $25,266  $22,295  $18,208   
Merger-related and other charges 1,141   3,152   1,176   2,653   9,078   
Income tax benefit of merger-related and other charges (432)  (1,193)  (445)  (1,004)  (3,486)  
Impairment of deferred tax asset on cancelled non-qualified stock options  976   -   -   -   -   
Net income - operating$28,906  $27,833  $25,997  $23,944  $23,800   
            
Net income available to common shareholders reconciliation           
Net income available to common shareholders (GAAP)$27,221  $25,874  $25,266  $22,274  $18,183   
Merger-related and other charges 1,141   3,152   1,176   2,653   9,078   
Income tax benefit of merger-related and other charges (432)  (1,193)  (445)  (1,004)  (3,486)  
Impairment of deferred tax asset on cancelled non-qualified stock options 976   -    -   -   -   
Net income available to common shareholders - operating$28,906  $27,833  $25,997  $23,923  $23,775   
            
Diluted income per common share reconciliation           
Diluted income per common share (GAAP) $  .38  $.36   $.35  $.31  $.25   
Merger-related and other charges .01   .03   .01   .02   .08   
Impairment of deferred tax asset on cancelled non-qualified stock options .01   -   -    -   -   
Diluted income per common share - operating$.40  $.39   $.36   $.33  $.33   
            
Book value per common share reconciliation            
Book value per common share (GAAP)$15.06  $15.12  $14.80  $14.35  $14.02   
Effect of goodwill and other intangibles (2.11)  (2.12)  (1.96)  (1.95)  (1.96)  
Tangible book value per common share$12.95  $13.00  $12.84  $12.40  $12.06    
            
Return on tangible common equity reconciliation           
Return on common equity (GAAP) 9.89 % 9.61 % 9.54 % 8.57 % 7.02 % 
Merger-related and other charges .26   .73   .27   .63   2.16   
Impairment of deferred tax asset on cancelled non-qualified stock options .36   -   -   -   -   
Return on common equity - operating 10.51   10.34   9.81   9.20   9.18   
Effect of goodwill and other intangibles 1.96   2.11   1.75   1.71   1.69   
Return on tangible common equity - operating 12.47 % 12.45 % 11.56 % 10.91 % 10.87 % 
             
Return on assets reconciliation           
Return on assets (GAAP) 1.03 % 1.00 % 1.04 % .93 %  .76 % 
Merger-related and other charges .03   .08    .03   .07   .23   
Impairment of deferred tax asset on cancelled non-qualified stock options .04   -   -   -   -   
Return on assets - operating 1.10 %  1.08 % 1.07 % 1.00 % .99 % 
            
Dividend payout ratio reconciliation           
Dividend payout ratio (GAAP) 21.05 % 22.22 % 20.00 % 22.58 % 24.00 % 
Merger-related and other charges (.54)  (1.71)  (.56)  (1.37)  (5.82)  
Impairment of deferred tax asset on cancelled non-qualified stock options (.51)  -   -    -   -   
Dividend payout ratio - operating 20.00 % 20.51 % 19.44 % 21.21 % 18.18 % 
            
Efficiency ratio reconciliation           
Efficiency ratio (GAAP)  57.65 % 60.78 % 59.02 % 61.94 % 68.97 % 
Merger-related and other charges (1.07)  (2.99)  (1.20)  (2.84)  (9.56)  
Efficiency ratio - operating 56.58 % 57.79 % 57.82 % 59.10 % 59.41 %  
            
Average equity to assets reconciliation            
Equity to assets (GAAP) 10.35 % 10.38 % 10.72 % 10.72 % 10.68 % 
Effect of goodwill and other intangibles (1.31)  (1.40)  (1.29)  (1.31)  (1.28)  
Tangible equity to assets 9.04   8.98   9.43   9.41   9.40   
Effect of preferred equity -   -   -   (.09)  (.11)  
Tangible common equity to assets 9.04 % 8.98 % 9.43 % 9.32 % 9.29 % 
            
Tangible common equity to risk-weighted assets reconciliation (1)           
Tier 1 capital ratio (Regulatory) 11.27 % 11.04 % 11.44 % 11.32 % 11.45 % 
Effect of other comprehensive income (.34)  -   (.06   (.25)  (.38  
Effect of deferred tax limitation 1.27   1.50   1.63   1.85   2.05   
Effect of trust preferred (.25)  (.26)  (.08)  (.08)  (.08)  
Effect of preferred equity -   -   -   -    (.15)  
Basel III intangibles transition adjustment (.06)  (.06)  (.06 )  (.07)  (.10)  
Basel III disallowed investments -   -   -   -   .03   
Tangible common equity to risk-weighted assets 11.89 % 12.22 % 12.87 % 12.77 % 12.82 % 
            
(1)  Fourth quarter 2016 ratios are preliminary.           
            

 

UNITED COMMUNITY BANKS, INC.           
Non-GAAP Performance Measures Reconciliation           
Selected Financial Information       
             
            
  For the Twelve Months Ended
December 31 , 
 
  
(in thousands, except per share data) 2016   2015   2014   2013   2012   
            
Expense reconciliation           
Expenses (GAAP)$241,289  $211,238  $162,865  $174,304  $186,774   
Merger-related and other charges (8,122)  (17,995)  -   -   -   
Expenses - operating$233,167  $193,243  $162,865  $174,304  $ 186,774   
             
Net income reconciliation           
Net income (GAAP)$100,656  $71,578  $67,620  $273,140  $33,856   
Merger-related and other charges 8,122   17,995   -   -   -   
Income tax benefit of merger-related and other charges (3,074)  (6,388)  -   -   -   
Impairment of deferred tax asset on cancelled non-qualified stock options 976   -   -   -   -   
Net income - operating$106,680  $83,185  $67,620  $273,140  $33,856   
            
Net income available to common shareholders reconciliation           
Net income available to common shareholders (GAAP)$100,635  $71,511  $67,181  $261,062  $21,708   
Merger-related and other charges 8,122   17,995    -   -   -    
Income tax benefit of merger-related and other charges (3,074)  (6,388)   -   -   -   
Impairment of deferred tax asset on cancelled non-qualified stock options 976   -   -   -    -   
Net income available to common shareholders - operating$ 106,659  $83,118  $67,181  $261,062  $21,708   
            
Diluted income per common share reconciliation           
Diluted income per common share (GAAP)$1.40  $1.09  $1.11  $4.44  $.38   
Merger-related and other charges .07   .18    -   -   -   
Impairment of deferred tax asset on cancelled non-qualified stock options .01    -   -   -   -   
Diluted income per common share - operating$1.48  $1.27  $1.11  $4.44  $.38   
            
Book value per common share reconciliation           
Book value per common share (GAAP)$15.06  $14.02  $12.20  $11.30  $6.67   
Effect of goodwill and other intangibles (2.11)  (1.96)  (.05)  (.04)  (.10)  
Tangible book value per common share$12.95   $12.06  $12.15  $11.26  $6.57   
            
Return on tangible common equity reconciliation           
Return on common equity (GAAP) 9.41 % 8.15 % 9.17 % 46.72 % 5.43 % 
Merger-related and other charges .48   1.33   -   -   -   
Impairment of deferred tax asset on cancelled non-qualified stock options .09   -   -   -    -   
Return on common equity - operating 9.98   9.48   9.17   46.72   5.43   
Effect of goodwill and other intangibles 1.88   .76   .15   .63   .84   
Return on tangible common equity - operating 11.86 % 10.24 % 9.32 % 47.35 % 6.27 % 
            
Return on assets reconciliation           
Return on assets (GAAP) 1.00 % .85 % .91 % 3.86 % .49 % 
Merger-related and other charges .05   .13   -   -   -   
Impairment of deferred tax asset on cancelled non-qualified stock options .01             
Return on assets - operating 1.06  % .98 % .91 % 3.86 % .49 % 
            
Dividend payout ratio reconciliation           
Dividend payout ratio (GAAP) 21.43 % 20.18 % 9.91 % - % - % 
Merger-related and other charges (1.02)  (2.86)  -   -   -    
Impairment of deferred tax asset on cancelled non-qualified stock options (.14)  -   -   -   -   
Dividend payout ratio - operating 20.27 % 17.32 % 9.91 % - % - % 
            
Efficiency ratio reconciliation           
Efficiency ratio (GAAP) 59.80 % 63.96 %  58.26 % 63.14 % 65.43 % 
Merger-related and other charges (2.02)  (5.45)  -   -   -   
Efficiency ratio - operating 57.78  % 58.51 % 58.26 % 63.14 % 65.43  % 
             
Average equity to assets reconciliation           
Equity to assets (GAAP) 10.54 % 10.27 % 9.69 % 10.35 % 8.47 % 
Effect of goodwill and other intangibles (1.33)   (.53)  (.02)  (.04)  (.09)  
Tangible equity to assets 9.21   9.74   9.67   10.31   8.38   
Effect of preferred equity (.02)  (.08)  (.07)  (2.76)  (2.84)  
Tangible common equity to assets 9.19 % 9.66 % 9.60 % 7.55 % 5.54 % 
            
Tangible common equity to risk-weighted assets reconciliation (1)           
Tier 1 capital ratio (Regulatory) 11.27 % 11.45 % 12.06 % 12.74 % 14.16 % 
Effect of other comprehensive income (.34)  (.38)  (.35)  (.39)  (.51)  
Effect of deferred tax limitation 1.27   2.05   3.11   4.26   -   
Effect of trust preferred (.25)  (.08)  (1.00)  (1.04)  (1.15)  
Effect of preferred equity -   (.15)  -   (2.39)  (4.24)  
Basel III intangibles transition adjustment (.06)  (.10)  -   -   -   
Basel III disallowed investments -   .03   -   -   -    
Tangible common equity to risk-weighted assets 11.89 % 12.82 % 13.82 % 13.18 % 8.26 % 
            
(1)  Fourth quarter 2016 ratios are preliminary.           
            

 

UNITED COMMUNITY BANKS, INC.       
Financial Highlights          
Loan Portfolio Composition at Period-End       
            
           
   2016   2015
   Fourth   Third    Second   First   Fourth 
(in millions) Quarter Quarter (1) Quarter (1) Quarter (1) Quarter (1)
LOANS BY CATEGORY          
Owner occupied commercial RE $1,650 $1,587 $1,527  $1,509 $1,571
Income producing commercial RE  1,282  1,277  1,101  1,071  1,021
Commercial & industrial  1,070  994  925  854  785
Commercial construction  634  567  565  535  518
Total commercial  4,636  4,425  4,118  3,969  3,895
Residential mortgage  857  814  784  774  764
Home equity lines of credit  655  693  616  597  589
Residential construction  190  200  170  167  176
Consumer installment  583  593  599  599  571
Total loans  $6,921 $6,725 $6,287 $6,106 $5,995
           
LOANS BY MARKET          
North Georgia $1,097 $1,110 $1,097 $1,097 $1,125
Atlanta MSA  1,399  1,332  1,314  1,257  1,259
North Carolina  545  548  543  543  549
Coastal Georgia  581  565  541  543  537
Gainesville MSA  248  236  240  248  254
East Tennessee  504  506  509  495  504
South Carolina   1,233  1,199  862  821  819
Specialized Lending  855  763   706  628  492
Indirect auto  459   466  475  474  456
Total loans $6,921 $6,725 $6,287 $6,106 $5,995
           
(1) Certain prior period amounts have been reclassified to conform to the current presentation.  
           

 

UNITED COMMUNITY BANKS, INC.      
Financial Highlights          
Loan Portfolio Composition at Period-End      
            
            
   2016  2015 Linked Quarter Change Year over Year Change
   Fourth   Third   Fourth   
(in millions) Quarter Quarter (1) Quarter (1)  
LOANS BY CATEGORY          
Owner occupied commercial RE $1,650 $1,587 $1,571 $63  $79 
Income producing commercial RE  1,282  1,277  1,021  5   261  
Commercial & industrial  1,070  994  785  76   285 
Commercial construction  634  567  518  67   116 
Total commercial  4,636  4,425  3,895  211   741 
Residential mortgage  857  814  764  43   93 
Home equity lines of credit  655  693  589  (38)  66 
Residential construction  190  200  176  (10)  14 
Consumer installment  583  593  571  (10)  12 
Total loans $6,921 $6,725 $5,995  196   926 
            
LOANS BY MARKET          
North Georgia $1,097 $1,110 $1,125  (13)  (28)
Atlanta MSA  1,399  1,332  1,259  67   140 
North Carolina  545  548  549  (3)   (4)
Coastal Georgia  581  565  537  16   44 
Gainesville MSA   248  236  254  12   (6)
East Tennessee  504  506  504  (2)  - 
South Carolina  1,233  1,199  819  34   414 
Specialized Lending  855  763  492  92   363 
Indirect auto  459  466  456  (7)  3 
Total loans $6,921 $6,725 $5,995  196   926 
           
(1) Certain prior period amounts have been reclassified to conform to the current presentation.  
           

 

UNITED COMMUNITY BANKS, INC.        
Financial Highlights          
Loan Portfolio Composition at Year-End        
           
           
(in millions)  2016 2015 (1)  2014 (1) 2013 (1) 2012 (1)
LOANS BY CATEGORY           
Owner occupied commercial RE $ 1,650 $1,571 $1,257 $1,238 $1,254
Income producing commercial RE  1,282  1,021  767  807  891
Commercial & industrial  1,070  785  710  471  456
Commercial construction  634  518  364  336  407
Total commercial  4,636  3,895  3,098  2,852  3,008
Residential mortgage  857  764  614  604  517
Home equity lines of credit  655  589   456  430  375
Residential construction  190  176  131  136  122
Consumer installment  583  571  373  307  153
  Total loans $6,921 $5,995 $4,672 $4,329 $4,175
           
           
LOANS BY MARKET          
North Georgia $1,097 $1,125 $1,163 $1,240 $1,364
Atlanta MSA  1,399  1,259  1,243  1,235  1,204
North Carolina  545  549  553  572  579
Coastal Georgia  581  537  456  423  400
Gainesville MSA  248  254  257  255  261
East Tennessee  504  504  280  280  283
South Carolina  1,233  819  30  4  -
Specialized Lending  855  492  421  124  46
Indirect auto  459  456  269  196  38
Total loans $6,921 $5,995 $4,672 $4,329 $4,175
            
           
(1) Certain prior period amounts have been reclassified to conform to the current presentation.    

 

UNITED COMMUNITY BANKS, INC.      
Financial Highlights         
Credit Quality         
          
          
  Fourth Quarter 2016
   Nonperforming   Foreclosed   Total 
(in thousands) Loans Properties NPAs
NONPERFORMING ASSETS BY CATEGORY      
Owner occupied CRE $7,373  $3,145  $10,518 
Income producing CRE  1,324   36   1,360 
Commercial & industrial  966   -   966 
Commercial construction  1,538   2,977   4,515 
Total commercial  11,201   6,158   17,359 
Residential mortgage  6,368   1,260   7,628 
Home equity lines of credit  1,831   531    2,362 
Residential construction  776   -   776 
Consumer installment  1,363   -   1,363 
Total NPAs $21,539  $7,949  $29,488 
          
NONPERFORMING ASSETS BY MARKET       
North Georgia $5,278  $856  $6,134 
Atlanta MSA  1,259   716   1,975 
North Carolina  4,750   632   5,382 
Coastal Georgia  1,778   -   1,778 
Gainesville MSA  279   -   279 
East Tennessee  2,354   675   3,029 
South Carolina  2,494   5,070   7,564 
Specialized Lending  2,072   -   2,072 
Indirect auto  1,275   -   1,275 
Total NPAs $21,539  $7,949  $29,488 
          
          
NONPERFORMING ASSETS ACTIVITY       
Beginning Balance $21,572  $9,187  $30,759 
Acquisitions  -   -   - 
Loans placed on non-accrual  6,346   -   6,346 
Payments received  (3,832)  -   (3,832)
Loan charge-offs  (1,293)  -   (1,293)
Foreclosures  (1,254)  1,530   276 
Capitalized costs  -   26   26 
Property sales  -   (2,737)  (2,737)
Write downs  -   (254)   (254)
Net gains (losses) on sales  -   197   197 
Ending Balance $21,539  $7,949  $29,488 
          
          
(1)  Annualized.  (2) Certain prior period amounts have been reclassified to conform to the current presentation.

 

UNITED COMMUNITY BANKS, INC.      
Financial Highlights         
Credit Quality         
          
          
  Third Quarter 2016 (2)
   Nonperforming   Foreclosed   Total 
(in thousands)  Loans Properties NPAs
NONPERFORMING ASSETS BY CATEGORY      
Owner occupied CRE $7,693  $3,188  $10,881 
Income producing CRE  2,422   765   3,187 
Commercial & industrial  1,079   -   1,079 
Commercial construction  1,977   1,274   3,251 
Total commercial  13,171   5,227   18,398 
Residential mortgage  5,440   1,211   6,651 
Home equity lines of credit  1,194   514    1,708 
Residential construction  369   2,235   2,604 
Consumer installment  1,398   -   1,398 
Total NPAs $21,572  $ 9,187  $30,759 
          
NONPERFORMING ASSETS BY MARKET       
North Georgia $5,356  $653  $6,009 
Atlanta MSA  979   1,530   2,509 
North Carolina  5,216   543   5,759 
Coastal Georgia  1,606   47   1,653 
Gainesville MSA  222   -   222 
East Tennessee  3,281   160   3,441 
South Carolina  2,015   6,254   8,269 
Specialized Lending  1,597   -   1,597 
Indirect auto  1,300   -   1,300 
Total NPAs $21,572  $9,187  $30,759 
          
          
NONPERFORMING ASSETS ACTIVITY       
Beginning Balance $21,348  $6,176  $27,524 
Acquisitions  -   7,495   7,495 
Loans placed on non-accrual  6,680   -   6,680 
Payments received  (3,938)  -   (3,938)
Loan charge-offs  (1,236)  -   (1,236)
Foreclosures  (1,282)  2,335   1,053 
Capitalized costs  -   3   3 
Property sales  -   (6,553)  (6,553)
Write downs  -   (53)   (53)
Net gains (losses) on sales  -   (216)  (216)
Ending Balance $21,572  $9,187  $30,759 
          
          
(1)  Annualized.  (2) Certain prior period amounts have been reclassified to conform to the current presentation.

 

UNITED COMMUNITY BANKS, INC.      
Financial Highlights         
Credit Quality         
          
          
  Second Quarter 2016 (2)
   Nonperforming   Foreclosed   Total 
(in thousands)  Loans Properties NPAs
NONPERFORMING ASSETS BY CATEGORY      
Owner occupied CRE $8,218  $3,096  $11,314 
Income producing CRE  2,511   1,554   4,065 
Commercial & industrial  949   -   949 
Commercial construction  1,398   -   1,398 
Total commercial  13,076   4,650   17,726 
Residential mortgage  5,636   1,160   6,796 
Home equity lines of credit  1,308   83   1,391 
Residential construction  379   283   662 
Consumer installment  949   -   949 
Total NPAs $21,348  $6,176  $27,524 
          
NONPERFORMING ASSETS BY MARKET       
North Georgia $6,219  $1,086  $7,305 
Atlanta MSA  1,140   2,041   3,181 
North Carolina  4,762   224   4,986 
Coastal Georgia  1,186   168   1,354 
Gainesville MSA  234   -   234 
East Tennessee  3,616   247   3,863 
South Carolina  1,271   2,410   3,681 
Specialized Lending  2,108   -   2,108 
Indirect auto  812   -   812 
Total NPAs $21,348  $ 6,176  $27,524 
          
          
NONPERFORMING ASSETS ACTIVITY       
Beginning Balance $22,419  $5,163  $27,582 
Acquisitions  -   (497)  (497)
Loans placed on non-accrual  6,786   -   6,786 
Payments received  (4,201)  -   (4,201)
Loan charge-offs  (1,803)  -   (1,803)
Foreclosures  (1,853)  2,722   869 
Capitalized costs  -   98   98 
Property sales  -   (1,424)  (1,424)
Write downs  -   (73)   (73)
Net gains (losses) on sales  -   187   187 
Ending Balance $21,348  $6,176  $27,524 
          
          
(1)  Annualized.  (2) Certain prior period amounts have been reclassified to conform to the current presentation.

 

UNITED COMMUNITY BANKS, INC.               
Financial Highlights                   
Credit Quality                   
                   
  Fourth Quarter 2016 Third Quarter 2016 (2) Second Quarter 2016 (2)
    Net Charge-    Net Charge-    Net Charge- 
     Offs to     Offs to     Offs to 
   Net   Average   Net   Average   Net    Average 
(in thousands) Charge-Offs Loans (1) Charge-Offs Loans (1) Charge-Offs Loans (1)
NET CHARGE-OFFS BY CATEGORY                   
Owner occupied CRE $1  -% $46  .01% $800  .21%
Income producing CRE  527  .16   70  .02   81  .03 
Commercial & industrial  (201) (.08)   453  .18   (392) (.18) 
Commercial construction   241  .16   (194) (.13)   (196) (.14) 
Total commercial  568  .05   375  .03   293  .03 
Residential mortgage  322  .15   (47) (.02)   489  .25 
Home equity lines of credit  151   .09   267  .16   253  .17 
Residential construction  (16) (.03)   242  .51   210  .51 
Consumer installment  514  .35   522  .34   485  .33 
Total $1,539  .09  $1,359  .08  $1,730  .11 
                   
                   
NET CHARGE-OFFS BY MARKET                   
North Georgia $575  .21% $68  .02% $428  .16%
Atlanta MSA  12  -   398  .12   1  - 
North Carolina  714  .52   329  .24   575  .43 
Coastal Georgia  118  .08    432  .31   177  .13  
Gainesville MSA  (32) (.05)   15  .03   (87) (.14) 
East Tennessee  (139) (.11)   (69) (.05)   346  .28 
South Carolina  (2) -   (66)  (.02)   49  .02 
Specialized Lending  (21) (.01)   69  .04   (18) (.01) 
Indirect auto  314  .27   183  .15   259  .22 
Total $1,539   .09  $1,359  .08  $1,730  .11 
                 
(1)  Annualized.  (2) Certain prior period amounts have been reclassified to conform to the current presentation.

 

UNITED COMMUNITY BANKS, INC.          
Consolidated Statement of Income (Unaudited)         
          
  Three Months Ended Twelve Months Ended 
  December 31 , December 31, 
(in thousands, except per share data)  2016  2015  2016    2015  
          
Interest revenue:         
Loans, including fees $71,494 $63,442 $268,382  $223,256  
Investment securities, including tax exempt of $165, $189, $614 and $705  15,988  14,952  64,027   51,848  
Deposits in banks and short-term investments  296  968  2,611   3,428  
Total interest revenue  87,778   79,362  335,020   278,532  
          
Interest expense:          
Deposits:         
NOW  522  426  1,903   1,505  
Money market  1,321  1,006  4,982   3,466  
Savings  33  27  135   98  
Time  1,084  922  3,136   3,756  
Total deposit interest expense  2,960  2,381  10,156   8,825  
Short-term borrowings  121  85  399   364   
Federal Home Loan Bank advances  945  436  3,676   1,743  
Long-term debt  2,827  2,696  11,005   10,177  
Total interest expense  6,853  5,598   25,236   21,109  
Net interest revenue  80,925  73,764  309,784   257,423  
Provision for credit losses  -  300  (800)  3,700  
Net interest revenue after provision for credit losses  80,925  73,464  310,584   253,723  
          
Fee revenue:         
Service charges and fees  10,653  11,500  42,113   36,825  
Mortgage loan and other related fees  6,516  3,290  20,292   13,592  
Brokerage fees  911  1,058  4,280   5,041  
Gains from sales of government guaranteed loans  3,028  1,995  9,545   6,276  
Securities gains, net  60  378  982   2,255  
Loss from prepayment of debt  -  -  -   (1,294) 
Other  4,065  3,063  16,485   9,834  
Total fee revenue  25,233  21,284  93,697    72,529  
Total revenue  106,158  94,748  404,281   326,252  
          
Operating expenses:          
Salaries and employee benefits  35,677   32,939  138,789   116,688  
Communications and equipment  4,753  4,735  18,355   15,273  
Occupancy  5,210  4,666  19,603   15,372  
Advertising and public relations  1,151  978  4,426   3,667  
Postage, printing and supplies  1,353  1,293  5,382   4,273  
Professional fees  2,773  3,331  11,822   10,175  
FDIC assessments and other regulatory charges  1,413  1,463   5,866   5,106  
Amortization of intangibles  1,066  1,041  4,182   2,444  
Merger-related and other charges  1,141  9,078  8,122   17,995  
Other  6,784  5,964  24,742   20,245  
Total operating expenses  61,321  65,488  241,289   211,238  
Net income before income taxes  44,837  29,260  162,992   115,014  
Income tax expense  17,616  11,052  62,336   43,436  
Net income  27,221  18,208  100,656   71,578  
Preferred stock dividends and discount accretion  -  25  21   67  
Net income available to common shareholders $27,221 $18,183 $100,635  $71,511  
          
Earnings per common share:         
Basic $  .38 $  .25 $1.40  $1.09  
Diluted .38 .25  1.40   1.09  
Weighted average common shares outstanding:         
Basic  71,641  72,135  71,910   65,488  
Diluted  71,648  72,440  71,915   65,492  
          

 

UNITED COMMUNITY BANKS, INC.    
Consolidated Balance Sheet (Unaudited)    
     
  December 31, December 31,
(in thousands, except share and per share data)  2016   2015 
     
ASSETS    
Cash and due from banks $99,489  $86,912 
Interest-bearing deposits in banks  117,859   153,451 
Cash and cash equivalents  217,348   240,363 
Securities available for sale  2,432,438   2,291,511 
Securities held to maturity (fair value $333,170 and $371,658)  329,843   364,696 
Mortgage loans held for sale (includes $27,891 and $0 at fair value)  29,878   24,231 
Loans, net of unearned income  6,920,636   5,995,441 
Less allowance for loan losses  (61,422)  (68,448)
Loans, net  6,859,214   5,926,993 
Premises and equipment, net  189,938   178,165 
Bank owned life insurance  143,543   105,493 
Accrued interest receivable  28,018   25,786 
Net deferred tax asset  154,336   197,613 
Derivative financial instruments  23,688   20,082 
Goodwill and other intangible assets  156,222   147,420 
Other assets  144,189   94,075 
Total assets $10,708,655  $9,616,428 
LIABILITIES AND SHAREHOLDERS' EQUITY    
Liabilities:    
Deposits:    
Demand $2,637,004  $2,204,755 
NOW  1,989,763