This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

MB Financial, Inc. Reports First Quarter 2012 Net Income Of $21.1 Million, Strong Pre-Tax, Pre-Provision Operating Earnings And Improving Credit Costs

Stocks in this article: MBFI

Core other income decreased by $623 thousand from the fourth quarter of 2011 to the first quarter of 2012. Deposit service fees decreased primarily due to decreases in NSF and overdraft fees. Net lease financing decreased due to a decrease in remarketing revenues, which were unusually robust during the fourth quarter of 2011. Accretion of indemnification asset decreased as a result of the corresponding decrease in the indemnification asset balance during the first quarter of 2012. Card fees increased due to restrictions of the Durbin Amendment to the Dodd-Frank Act on debit card interchange fees currently not applying to us as a result of total assets decreasing under $10 billion as of December 31, 2011. Non-core other income was primarily impacted by higher losses recognized on other real estate owned.

Core other income was consistent from the first quarter of 2011 to the first quarter of 2012. Deposit service fees decreased due to decreases in NSF and overdraft fees. Net lease financing increased primarily due to an increase in the sales of third party equipment maintenance contracts and related income. Accretion of indemnification asset decreased as a result of corresponding decrease in the indemnification asset balance during the first quarter of 2012. Non-core other income was primarily impacted by higher losses recognized on other real estate owned.

Other Expense (in thousands):

         
Three Months Ended

March 31,

  December 31, September 30, June 30, March 31,
  2012     2011     2011     2011     2011
Core other expense:
Salaries and employee benefits $ 39,928 $ 39,826 $ 38,827 $ 37,657 $ 37,588
Occupancy and equipment expense 9,570 8,498 9,092 8,483 9,394
Computer services and telecommunication expense 3,653 4,382 3,488 3,570 3,445
Advertising and marketing expense 2,066 1,831 1,740 1,748 1,719
Professional and legal expense 1,413 1,422 1,647 1,853 1,225
Other intangible amortization expense 1,257 1,410 1,414 1,416 1,425
FDIC insurance premiums 2,643 2,662 2,272 3,502 3,428
Other real estate expense, net 1,243 1,464 1,181 1,251 398
Other operating expenses   5,057     7,324     7,352       7,090     7,055
Total core other expense   66,830     68,819     67,013       66,570     65,677
 
Non-core other expense: (1)
Branch impairment charges - 594 - - 1,000

Increase (decrease) in market value of assets held in trust for deferred compensation (A)

  501     20     (405 )     158     187
Total non-core other expense   501     614     (405 )     158     1,187
 
Total other expense $ 67,331   $ 69,433   $ 66,608     $ 66,728   $ 66,864

(1) Letters denote the corresponding line items where these non-core other expense items reside in the consolidated statements of income as follows: A – Salaries and employee benefits.

3 of 16

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,810.06 +91.06 0.51%
S&P 500 2,063.50 +10.75 0.52%
NASDAQ 4,712.97 +11.1030 0.24%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs