Arrow Third-Quarter Net Income Up 10.1%; Double-Digit Loan Growth Continues

-- Third-quarter net income increased 10.1% year over year to $7.4 million.

-- Third-quarter diluted earnings per share (EPS) rose 10.4% to $0.53.

-- Period-end total loans reached a record high of $1.9 billion, up 11.8% year over year.

-- New record highs for total assets, total deposits, total equity and assets under administration.

-- Ongoing strong ratios for profitability, asset quality and capital.

News provided by

Oct 23, 2017, 09:17 ET

GLENS FALLS, N.Y., Oct. 23, 2017 /PRNewswire/ -- Arrow Financial Corporation (NasdaqGS: AROW) announced operating results for the three and nine-month periods ended September 30, 2017. Net income for the third quarter of 2017 was $7.4 million, an increase of $678 thousand, or 10.1%, from net income of $6.7 million a year earlier. Diluted earnings per share (EPS) for the third quarter was $0.53, an increase of 10.4% from diluted EPS of $0.48 during the comparable 2016 quarter.

Annualized key profitability ratios continue to remain strong, as measured by a return on average equity (ROE) of 12.07% and a return on average assets (ROA) of 1.08% for the third quarter, compared to 11.75% and 1.06% a year earlier.

Arrow President and CEO Thomas J. Murphy stated, "Our solid performance on the lending side, as well as our strategic expansion into new markets, contributed again to new records for total assets, total deposits, total loans, total equity and assets under trust administration, all while maintaining healthy profitability and asset quality ratios. I am proud of the entire team for their contributions toward our success."

During the third quarter, Arrow subsidiary Saratoga National Bank and Trust Company completed the final steps toward establishing its 10th branch, located in Schenectady. The new office opened October 10, 2017 and expands the brand's presence in the Capital District. Also in the third quarter, Arrow's lead subsidiary, Glens Falls National Bank and Trust Company, legally merged its two property and casualty insurance agencies; they are now operating as one unified business line as Upstate Agency LLC.

The following expands upon third-quarter results:

Net Interest Income: In the third quarter of 2017, net interest income on a GAAP basis increased to $19.7 million, up 9.9% over the $17.9 million total in the comparable quarter of 2016. On a tax-equivalent (non-GAAP) basis, net interest income increased by 9.6%, compared to the third quarter of 2016. Net interest margin, measured on a tax-equivalent (non-GAAP) basis, increased slightly to 3.15% from 3.12% in the prior-year quarter.

Loan Growth: Over the 12 months ended September 30, 2017, total loans increased to a record high of $1.9 billion, up $201.6 million, or 11.8%, from the September 30, 2016 level. Over the nine-month period ended September 30, 2017, total loans grew $155.5 million, or 8.9%. During the third quarter of 2017, total loans grew by $30.2 million, or 1.6% as compared to the second quarter of 2017. There was growth in all three major loan segments: commercial, consumer and residential real estate.

During the third quarter of 2017, the consumer loan portfolio grew $13.3 million, or 2.3%, to $592 million at period-end. This balance exceeded the prior year's by $68.3 million, or 13.0%. The increase was primarily a result of growth in the indirect automobile lending program. Total outstanding commercial loans decreased 0.4% during the third quarter to $566.1 million on September 30, 2017, but was up $34.0 million, or 6.4%, from September 30, 2016. The residential real estate loan portfolio increased $18.9 million, or 2.6%, during the third quarter of 2017 to $750.7 million, up $99.2 million, or 15.2%, over the balance at September 30, 2016.

Deposit Growth: At September 30, 2017, deposit balances reached $2.3 billion, up $93.9 million, or 4.2%, from the prior-year level. Deposit growth was spread across both personal and business accounts. Noninterest-bearing demand deposits increased $66.8 million, or 17.5%, from the prior-year level, which had a positive impact on net interest margin. Noninterest-bearing demand deposits represented 19.4% of total deposits at September 30, 2017, compared to 17.2% at the 2016 quarter-end.

Assets Under Management: Assets under trust administration and investment management reached a record high of $1.4 billion at September 30, 2017. Assets under trust administration increased by $127.6 million, or 9.9%, from the balance at September 30, 2016, primarily due to the performance of the equity markets.

Asset Quality: Asset quality remained strong at September 30, 2017, as measured by continuing comparatively low levels of nonperforming assets and net charge-offs. Nonperforming assets at September 30, 2017, were $9.0 million, up $1.2 million, or 15.6%, from the prior-year level. Net charge-offs, expressed as an annualized percentage of average loans outstanding, were 0.11% for the three-month period ended September 30, 2017, up slightly from the prior-year quarter level of 0.07%.

Allowance for loan losses was $17.7 million at September 30, 2017, which represented 0.93% of loans outstanding. The provision for loan losses for the third quarter of 2017 was $800 thousand, up $320 thousand from the provision for the comparable 2016 quarter. The provision for loan losses for the year-to-date was $1.58 million, up $29.0 thousand from the prior year amount of $1.55 million.

Noninterest Income: Noninterest income for the three-month period ended September 30, 2017, increased 0.4% from the comparable 2016 quarter. Income from fiduciary activities increased during the quarter by $193 thousand, or 10.0%, over the amount for the third quarter of 2016. Income from fiduciary activities year to date increased $430 thousand, or 7.3%, over the year-to-date amount for September 30, 2016.

Noninterest Expense: Salaries and employee benefits increased in the third quarter of 2017 by $558 thousand, or 6.4%, over the same 2016 quarter. This increase was driven primarily by a $376 thousand, or 5.8%, increase in the salary expense, due in part to staffing expansion as well as normal increases for existing employees. Employee benefit expenses increased by $184 thousand, or 10.2%, primarily due to increases in medical costs.

Cash and Stock Dividends: On September 15, 2017, we distributed a cash dividend to shareholders of $0.250 which was subsequently restated to $0.243 per share adjusting for the 3% stock dividend distributed on September 28, 2017. The cash dividend was 3% higher than the cash dividend paid in the third quarter of 2016 when adjusted for the 3% stock dividend.

Capital: Total stockholders' equity was a record $244.6 million at period-end, up $15.4 million, or 6.7%, from the prior-year. This increase exceeded the 6.4% increase in total assets over the same period. Overall regulatory capital ratios also remained strong in 2017. At September 30, 2017, the Company's Common Equity Tier 1 Ratio was estimated to be 12.70% and the Total Risk-Based Capital Ratio was estimated to be 14.77%. These capital levels at the Company and both its subsidiary banks continue to significantly exceed the "well capitalized" regulatory standard.

Provision for Income Taxes: The effective income tax rates for the nine-month periods ended September 30, 2017 and 2016 were 29.1% and 30.0%, respectively. The decrease in the 2017 period relates primarily to current accounting standards for equity compensation under which income tax benefits from stock options exercised in the period reduced the effective tax rate from the prior year period. Under the previous accounting standards, the tax benefits would have impacted equity directly. The year-to-date impact on earnings per share was less than $0.01.

Industry Recognition: Both of the Company's two banking subsidiaries maintained their BauerFinancial, Inc. 5-Star Superior Bank rating. Glens Falls National Bank and Trust Company and Saratoga National Bank and Trust Company have continued to earn this designation for the last 43 and 35 quarters, respectively.

——————

Arrow Financial Corporation is a multi-bank holding company headquartered in Glens Falls, New York, serving the financial needs of northeastern New York. The Company is the parent of Glens Falls National Bank and Trust Company and Saratoga National Bank and Trust Company. Other subsidiaries include North Country Investment Advisers, Inc.; Upstate Agency, LLC, specializing in property and casualty insurance; and Capital Financial Group, Inc., specializing in the sale and servicing of group health plans.

In addition to presenting information in conformity with accounting principles generally accepted in the United States of America (GAAP), this news release contains financial information determined by methods other than GAAP (non-GAAP). The following measures used in this release, which are commonly utilized by financial institutions, have not been specifically exempted by the Securities and Exchange Commission ("SEC") and may constitute "non-GAAP financial measures" within the meaning of the SEC's rules. Certain non-GAAP financial measures include: tangible equity, return on tangible equity, tax-equivalent adjustment and related net interest income - tax equivalent, and the efficiency ratio. Management believes that the non-GAAP financial measures disclosed by the Company from time to time are useful in evaluating the Company's performance and that such information should be considered as supplemental in nature and not as a substitute for or superior to the related financial information prepared in accordance with GAAP. Non-GAAP financial measures may differ from similar measures presented by other companies. See the reconciliation of GAAP to non-GAAP measures in the section "Selected Quarterly Information."

The information contained in this news release may contain statements that are not historical in nature but rather are based on management's beliefs, assumptions, expectations, estimates and projections about the future. These statements may be "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, involving a degree of uncertainty and attendant risk. In the case of all forward-looking statements, actual outcomes and results may differ materially from what the statements predict or forecast, explicitly or by implication. The Company undertakes no obligation to revise or update these forward-looking statements to reflect the occurrence of unanticipated events. This News Release should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2016, and other filings with the Securities and Exchange Commission.

ARROW FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In Thousands, Except Per Share Amounts - Unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
INTEREST AND DIVIDEND INCOME
Interest and Fees on Loans	$	17,996	$	15,833	$	51,693	$	46,565
Interest on Deposits at Banks	104		34		242		100
Interest and Dividends on Investment Securities:
Fully Taxable	1,924		1,889		5,927		5,994
Exempt from Federal Taxes	1,575		1,526		4,660		4,486
Total Interest and Dividend Income	21,599		19,282		62,522		57,145
INTEREST EXPENSE
Interest-Bearing Checking Accounts	376		320		1,088		941
Savings Deposits	356		231		963		677
Time Deposits over $250,000	66		61		187		133
Other Time Deposits	241		231		702		677
Federal Funds Purchased and Securities Sold Under Agreements to Repurchase	13		9		29		24
Federal Home Loan Bank Advances	700		390		1,651		1,013
Junior Subordinated Obligations Issued to Unconsolidated Subsidiary Trusts	197		163		564		487
Total Interest Expense	1,949		1,405		5,184		3,952
NET INTEREST INCOME	19,650		17,877		57,338		53,193
Provision for Loan Losses	800		480		1,580		1,550
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES	18,850		17,397		55,758		51,643
NONINTEREST INCOME
Income From Fiduciary Activities	2,116		1,923		6,284		5,854
Fees for Other Services to Customers	2,453		2,491		7,122		7,144
Insurance Commissions	2,113		2,127		6,426		6,468
Net Gain on Securities Transactions	10		—		10		144
Net Gain on Sales of Loans	182		310		431		649
Other Operating Income	267		263		620		925
Total Noninterest Income	7,141		7,114		20,893		21,184
NONINTEREST EXPENSE
Salaries and Employee Benefits	9,251		8,693		27,343		25,223
Occupancy Expenses, Net	2,371		2,425		7,410		7,223
FDIC Assessments	225		217		679		844
Other Operating Expense	3,701		3,747		11,229		11,047
Total Noninterest Expense	15,548		15,082		46,661		44,337
INCOME BEFORE PROVISION FOR INCOME TAXES	10,443		9,429		29,990		28,490
Provision for Income Taxes	3,027		2,691		8,735		8,556
NET INCOME	$	7,416	$	6,738	$	21,255	$	19,934
Average Shares Outstanding ¹:
Basic	13,889		13,810		13,889		13,775
Diluted	13,966		13,901		13,981		13,842
Per Common Share:
Basic Earnings	$	0.53	$	0.49	$	1.53	$	1.45
Diluted Earnings	0.53		0.48		1.52		1.44

¹ Share and per share data have been restated for the September 28, 2017, 3% stock dividend.

ARROW FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In Thousands, Except Share and Per Share Amounts - Unaudited)

	September 30, 2017		December 31, 2016		September 30, 2016
ASSETS
Cash and Due From Banks	$	55,683	$	43,024	$	66,556
Interest-Bearing Deposits at Banks	24,983		14,331		35,503
Investment Securities:
Available-for-Sale	315,459		346,996		339,190
Held-to-Maturity (Approximate Fair Value of $343,899 at September 30, 2017; $343,751 at December 31, 2016; and $347,441 at September 30, 2016)	341,526		345,427		338,238
Other Investments	6,704		10,912		5,371
Loans	1,908,799		1,753,268		1,707,216
Allowance for Loan Losses	(17,695)		(17,012)		(16,975)
Net Loans	1,891,104		1,736,256		1,690,241
Premises and Equipment, Net	26,432		26,938		26,718
Goodwill	21,873		21,873		21,873
Other Intangible Assets, Net	2,395		2,696		2,802
Other Assets	58,303		56,789		53,993
Total Assets	$	2,744,462	$	2,605,242	$	2,580,485
LIABILITIES
Noninterest-Bearing Deposits	$	448,515	$	387,280	$	381,760
Interest-Bearing Checking Accounts	967,250		877,988		993,221
Savings Deposits	696,805		651,965		629,201
Time Deposits over $250,000	28,464		32,878		45,237
Other Time Deposits	166,082		166,435		163,768
Total Deposits	2,307,116		2,116,546		2,213,187
Federal Funds Purchased and Securities Sold Under Agreements to Repurchase	61,419		35,836		38,589
Federal Home Loan Bank Overnight Advances	33,000		123,000		—
Federal Home Loan Bank Term Advances	55,000		55,000		55,000
Junior Subordinated Obligations Issued to Unconsolidated Subsidiary Trusts	20,000		20,000		20,000
Other Liabilities	23,279		22,008		24,501
Total Liabilities	2,499,814		2,372,390		2,351,277
STOCKHOLDERS' EQUITY
Preferred Stock, $5 Par Value; 1,000,000 Shares Authorized	—		—		—
Common Stock, $1 Par Value; 20,000,000 Shares Authorized (18,481,301 Shares Issued and Outstanding at September 30, 2017; 17,943,201 at December 31, 2016 and 17,943,201 at September 30, 2016)	18,481		17,943		17,943
Additional Paid-in Capital	289,294		270,880		269,680
Retained Earnings	22,581		28,644		25,400
Unallocated ESOP Shares (20,050 Shares at September 30, 2017; 19,466 Shares at December 31, 2016 and 38,396 Shares at September 30, 2016)	(400)		(400)		(750)
Accumulated Other Comprehensive Loss	(6,135)		(6,834)		(5,442)
Treasury Stock, at Cost (4,570,291 Shares at September 30, 2017; 4,441,093 Shares at December 31, 2016 and 4,479,257 Shares at September 30, 2016)	(79,173)		(77,381)		(77,623)
Total Stockholders' Equity	244,648		232,852		229,208
Total Liabilities and Stockholders' Equity	$	2,744,462	$	2,605,242	$	2,580,485

Arrow Financial Corporation Selected Quarterly Information (Dollars In Thousands, Except Per Share Amounts - Unaudited)

Quarter Ended	9/30/2017			6/30/2017			3/31/2017			12/31/2016			9/30/2016
Net Income	7,416			7,208			6,631			6,600			6,738
Transactions Recorded in Net Income (Net of Tax):
Net (Loss) Gain on Securities Transactions	6			—			—			(101)			—

Share and Per Share Data:¹
Period End Shares Outstanding	13,891			13,900			13,886			13,887			13,828
Basic Average Shares Outstanding	13,889			13,890			13,889			13,844			13,810
Diluted Average Shares Outstanding	13,966			13,975			14,001			13,972			13,901
Basic Earnings Per Share	$	0.53		$	0.52		$	0.48		$	0.48		$	0.49
Diluted Earnings Per Share	0.53			0.52			0.47			0.47			0.48
Cash Dividend Per Share	0.243			0.243			0.243			0.243			0.236

Selected Quarterly Average Balances:
Interest-Bearing Deposits at Banks	27,143			24,480			23,565			34,731			21,635
Investment Securities	677,368			684,570			695,615			684,906			696,712
Loans	1,892,766			1,842,543			1,781,113			1,726,738			1,680,850
Deposits	2,193,778			2,206,365			2,161,798			2,160,156			2,063,832
Other Borrowed Funds	262,864			207,270			205,436			157,044			209,946
Shareholders' Equity	243,801			239,396			235,257			230,198			228,048
Total Assets	2,725,653			2,677,843			2,626,470			2,572,425			2,528,124
Return on Average Assets, annualized	1.08		%	1.08		%	1.02		%	1.02		%	1.06		%
Return on Average Equity, annualized	12.07		%	12.08		%	11.43		%	11.41		%	11.75		%
Return on Average Tangible Equity, annualized	13.40		%	13.45		%	12.76		%	12.77		%	13.18		%
Average Earning Assets	2,597,277			2,551,593			2,500,293			2,446,375			2,399,197
Average Paying Liabilities	2,012,802			2,005,421			1,977,628			1,933,974			1,892,583
Interest Income, Tax-Equivalent³	22,565			21,875			20,945			20,709			20,222
Interest Expense	1,949			1,699			1,536			1,404			1,405
Net Interest Income, Tax-Equivalent³	20,616			20,176			19,409			19,305			18,817
Tax-Equivalent Adjustment³	966			949			948			939			940
Net Interest Margin, annualized³	3.15		%	3.17		%	3.15		%	3.14		%	3.12		%

Efficiency Ratio Calculation: ⁴
Noninterest Expense	15,548			15,637			15,475			15,272			15,082
Less: Intangible Asset Amortization	69			70			71			73			74
Net Noninterest Expense	15,479			15,567			15,404			15,199			15,008
Net Interest Income, Tax-Equivalent	20,616			20,176			19,409			19,305			18,817
Noninterest Income	7,141			7,057			6,695			6,648			7,114
Less: Net Securities (Loss) Gain	10			—			—			(166)			—
Net Gross Income	27,747			27,233			26,104			26,119			25,931
Efficiency Ratio	55.79		%	57.16		%	59.01		%	58.19		%	57.88		%

Period-End Capital Information:
Total Stockholders' Equity (i.e. Book Value)	244,648			240,752			236,111			232,852			229,208
Book Value per Share¹	17.61			17.32			17.00			16.77			16.58
Goodwill and Other Intangible Assets, net	24,268			24,355			24,448			24,569			24,675
Tangible Book Value per Share ^1,2	15.86			15.57			15.24			15.00			14.79

Capital Ratios:⁵
Tier 1 Leverage Ratio	9.33		%	9.35		%	9.37		%	9.47		%	9.44		%
Common Equity Tier 1 Capital Ratio	12.70		%	12.68		%	12.84		%	12.97		%	12.80		%
Tier 1 Risk-Based Capital Ratio	13.79		%	13.79		%	13.99		%	14.14		%	13.98		%
Total Risk-Based Capital Ratio	14.77		%	14.77		%	14.98		%	15.15		%	14.99		%

Assets Under Trust Administration and Investment Management	$	1,411,608		$	1,356,262		$	1,333,690		$	1,301,408		$	1,284,051

Arrow Financial Corporation Selected Quarterly Information - Continued (Dollars In Thousands, Except Per Share Amounts - Unaudited)

Footnotes:

1.	Share and Per Share Data have been restated for the September 28, 2017, 3% stock dividend.

2.	Tangible Book Value and Tangible Equity exclude goodwill and other intangible assets, net from total equity. These are non-GAAP financial measures which we believe provide investors with information that is useful in understanding our financial performance.
		9/30/2017			6/30/2017			3/31/2017			12/31/2016			9/30/2016
	Total Stockholders' Equity (GAAP)	244,648			240,752			236,111			232,852			229,208
	Less: Goodwill and Other Intangible assets, net	24,268			24,355			24,448			24,569			24,675
	Tangible Equity (Non-GAAP)	$	220,380		$	216,397		$	211,663		$	208,283		$	204,533

	Period End Shares Outstanding	13,891			13,900			13,886			13,887			13,828
	Tangible Book Value per Share (Non-GAAP)	$	15.86		$	15.57		$	15.24		$	15.00		$	14.79

3.	Net Interest Margin is the ratio of our annualized tax-equivalent net interest income to average earning assets. This is also a non-GAAP financial measure which we believe provides investors with information that is useful in understanding our financial performance.
		9/30/2017			6/30/2017			3/31/2017			12/31/2016			9/30/2016
	Net Interest Income (GAAP)	19,650			19,227			18,461			18,366			17,877
	Add: Tax-Equivalent adjustment (Non-GAAP)	966			949			948			939			940
	Net Interest Income - Tax Equivalent (Non-GAAP)	$	20,616		$	20,176		$	19,409		$	19,305		$	18,817
	Average Earning Assets	2,597,277			2,551,593			2,500,293			2,446,375			2,399,197
	Net Interest Margin (Non-GAAP)*	3.15		%	3.17		%	3.15		%	3.14		%	3.12		%

4.	Financial Institutions often use the "efficiency ratio", a non-GAAP ratio, as a measure of expense control. We believe the efficiency ratio provides investors with information that is useful in understanding our financial performance. We define our efficiency ratio as the ratio of our noninterest expense to our net gross income (which equals our tax-equivalent net interest income plus noninterest income, as adjusted).

5.	For the current quarter, all of the regulatory capital ratios in the table above, as well as the Total Risk-Weighted Assets and Common Equity Tier 1 Capital amounts listed in the table below, are estimates based on, and calculated in accordance with, bank regulatory capital rules. All prior quarters reflect actual results. The September 30, 2017 CET1 ratio listed in the tables (i.e., 12.70%) exceeds the sum of the required minimum CET1 ratio plus the fully phased-in Capital Conservation Buffer (i.e., 7.00%).
		9/30/2017			6/30/2017			3/31/2017			12/31/2016			9/30/2016
	Total Risk Weighted Assets	1,830,730			1,802,455			1,747,318			1,707,829			1,690,646
	Common Equity Tier 1 Capital	232,473			228,586			224,369			221,472			216,382
	Common Equity Tier 1 Ratio	12.70		%	12.68		%	12.84		%	12.97		%	12.80		%

	* Quarterly ratios have been annualized

Arrow Financial Corporation Consolidated Financial Information (Dollars in Thousands - Unaudited)

Quarter Ended:	09/30/2017			12/31/2016			9/30/2016
Loan Portfolio
Commercial Loans	$	125,360		$	105,155		$	103,054
Commercial Real Estate Loans	440,715			431,646			429,011
Subtotal Commercial Loan Portfolio	566,075			536,801			532,065
Consumer Loans	592,029			537,361			523,703
Residential Real Estate Loans	750,695			679,106			651,448
Total Loans	$	1,908,799		$	1,753,268		$	1,707,216
Allowance for Loan Losses
Allowance for Loan Losses, Beginning of Quarter	$	17,442		$	16,975		$	16,798
Loans Charged-off	(622)			(486)			(367)
Less Recoveries of Loans Previously Charged-off	75			40			64
Net Loans Charged-off	(547)			(446)			(303)
Provision for Loan Losses	800			483			480
Allowance for Loan Losses, End of Quarter	$	17,695		$	17,012		$	16,975
Nonperforming Assets
Nonaccrual Loans	$	5,482		$	4,193		$	6,107
Loans Past Due 90 or More Days and Accruing	967			1,201			548
Loans Restructured and in Compliance with Modified Terms	828			106			107
Total Nonperforming Loans	7,277			5,500			6,762
Repossessed Assets	62			101			149
Other Real Estate Owned	1,651			1,585			868
Total Nonperforming Assets	$	8,990		$	7,186		$	7,779
Key Asset Quality Ratios
Net Loans Charged-off to Average Loans, Quarter-to-date Annualized	0.11		%	0.10		%	0.07		%
Provision for Loan Losses to Average Loans, Quarter-to-date Annualized	0.17		%	0.11		%	0.11		%
Allowance for Loan Losses to Period-End Loans	0.93		%	0.97		%	0.99		%
Allowance for Loan Losses to Period-End Nonperforming Loans	243.16		%	309.31		%	251.04		%
Nonperforming Loans to Period-End Loans	0.38		%	0.31		%	0.40		%
Nonperforming Assets to Period-End Assets	0.33		%	0.28		%	0.30		%
Nine-Month Period Ended:
Allowance for Loan Losses
Allowance for Loan Losses, Beginning of Year	$	17,012					$	16,038
Loans Charged-off	(1,196)						(784)
Less Recoveries of Loans Previously Charged-off	300						171
Net Loans Charged-off	(896)						(613)
Provision for Loan Losses	1,579						1,550
Allowance for Loan Losses, End of Period	$	17,695					$	16,975
Key Asset Quality Ratios
Net Loans Charged-off to Average Loans, Annualized	0.07		%				0.05		%
Provision for Loan Losses to Average Loans, Annualized	0.11		%				0.13		%