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
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Community Bank System Reports Strong First Quarter Results

First quarter net interest income of $53.9 million increased 18.4% from the first quarter of 2011, the result of a $967 million increase in average interest-earning assets. Late in the first quarter, the Company invested approximately $600 million of its existing and expected (from the pending branch acquisition) liquidity into US Treasury securities at a blended yield of 2.3%, consistent with its intentions when it announced the transaction. Low market interest rates and diligence in managing deposit pricing resulted in the first quarter cost of funds declining 29-basis points in comparison to the same quarter last year. The benefit derived from the lower cost of funds was offset by a 41-basis point decline in earning-asset yields, driven by lower yields on both investment securities (including cash equivalents) and loans.

First quarter non-interest income of $23.5 million was up 12.6% versus the same quarter of last year. The Company’s employee benefits administration and consulting businesses grew revenues by 9.7% over first quarter 2011, a result of the CAI Benefits (CAI) acquisition completed in December. While not immediately additive to operating results, the acquisition added approximately $0.8 million in revenue in the strategically important metropolitan New York marketplace. The Company’s wealth management group generated a $1.0 million revenue increase, or 43.6%, over the first quarter of 2011, driven by incremental revenue produced from the acquired Wilber trust operations as well as solid organic growth generated by more favorable market conditions. Mortgage banking revenues of $0.3 million for the quarter were almost entirely from servicing fees, reflective of the decision to hold a majority of secondary market eligible mortgages in portfolio in the first quarter of 2012. Deposit service fees of $10.4 million were up $0.7 million from the first quarter of 2011, as the addition of the Wilber branches and solid growth in debit card-related revenue more than offset generally lower utilization of overdraft protection programs.

2 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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!
SYM TRADE IT LAST %CHG

Markets

DOW 18,132.70 -81.72 -0.45%
S&P 500 2,104.50 -6.24 -0.30%
NASDAQ 4,963.5270 -24.3630 -0.49%

Partners Compare Online Brokers

Free Reports

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