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Section 1: 8-K (8-K)

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

 


 

FORM 8-K

 


 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): October 26, 2005

 


 

 

TCF FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

 


 

Delaware

 

001-10253

 

41-1591444

(State or other jurisdiction of
incorporation or organization)

 

(Commission File Number)

 

(IRS Employer Identification No.)

 

 

 

 

 

200 Lake Street East, Mail Code EX0-03-A, Wayzata, Minnesota 55391-1693

(Address of principal executive offices)

 

 

 

 

 

(612) 661-6500

(Registrant’s telephone number, including area code)

 


 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

o   Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o   Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o   Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 



 

Item 2.02  Results of Operations and Financial Condition.

 

Information is being furnished herein in Exhibit 99.1 with respect to presentations to investors and others that may be made by executive officers of TCF Financial Corporation (the “Company”).  This information includes selected financial and operational information through the third quarter of 2005 and does not represent a complete set of financial statements and related footnotes prepared in conformity with generally accepted accounting principles (“GAAP”).  Most, but not all, of the selected financial information furnished herein is derived from the Company’s consolidated financial statements and related footnotes prepared in accordance with GAAP and management’s discussion and analysis included in the Company’s reports of Forms 10-K and 10-Q.  The Company’s annual financial statements are subject to independent audit.  Please refer to the glossary of financial terms at the end of these materials for a definition of the basis of presentation of such information. These materials replace and supersede investor presentation materials previously furnished as an exhibit to Current Reports on Form 8-K.  These materials are dated October 26, 2005, and TCF does not undertake to update the materials after that date.

 

The presentation is also available on the Company’s web site at www.TCFExpress.com.  TCF Financial Corporation’s Annual Report to Shareholders and its reports on Forms 10-K, 10-Q and 8-K and other publicly available information should be consulted for other important information about the Company.

 

Information contained herein, including Exhibit 99.1, shall not be deemed filed for the purposes of the Securities Exchange Act of 1934, nor shall such information and Exhibit be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing.

 

Item 7.01    Regulation FD Disclosure.

 

Information is being furnished herein in Exhibit 99.1 with respect to presentations to investors and others that may be made by executive officers of TCF Financial Corporation (the “Company”).  This information includes selected financial and operational information through the third quarter of 2005 and does not represent a complete set of financial statements and related footnotes prepared in conformity with generally accepted accounting principles (“GAAP”).  Most, but not all, of the selected financial information furnished herein is derived from the Company’s consolidated financial  statements and related footnotes prepared in accordance with GAAP and management’s discussion and analysis included in the Company’s reports of Forms 10-K and 10-Q.  The Company’s annual financial statements are subject to independent audit.  Please refer to the glossary of financial terms at the end of these materials for a definition of the basis of presentation of such information. These materials replace and supersede investor presentation materials previously furnished as an exhibit to Current Reports on Form 8-K.  These materials are dated October 26, 2005, and TCF does not undertake to update the materials after that date.

 

The presentation is also available on the Company’s web site at www.TCFExpress.com.  TCF Financial Corporation’s Annual Report to Shareholders and its reports on Forms 10-K, 10-Q and 8-K and other publicly available information should be consulted for other important information about the Company.

 

Information contained herein, including Exhibit 99.1, shall not be deemed filed for the purposes of the Securities Exchange Act of 1934, nor shall such information and Exhibit be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing.

 

2



 

Item 9.01    Financial Statements and Exhibits.

 

(c)   Exhibits.

 

Exhibit No.

 

Description

 

 

 

99.1

 

Investor Presentation of TCF Financial Corporation,

 

 

Dated October 26, 2005

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

 

 

  TCF FINANCIAL CORPORATION

 

 

 

 

 

/s/ William A. Cooper

 

William A. Cooper, Chairman of the Board,
Chief Executive Officer and Director

 

 

 

 

 

 

 

/s/ Neil W. Brown

 

Neil W. Brown, Executive Vice President
and Chief Financial Officer
(Principal Financial Officer)

 

 

 

 

 

 

 

/s/ David M. Stautz

 

David M. Stautz, Senior Vice President,
Controller and Assistant Treasurer
(Principal Accounting Officer)

 

 

Dated:  October 26, 2005

 

3


(Back To Top)

Section 2: EX-99.1 (EX-99.1)

Exhibit 99.1

 

TCF Financial Corporation

 

Investing in the Future

 

1.)           Corporate Profile

 

At September 30, 2005

 

           $12.7 billion financial holding company headquartered in Minnesota

 

           47th largest¹ bank in the U.S. based on asset size

           39th largest¹ based on market cap

 

           442 bank branches, 140 branches opened since January 1, 2000

 

           22nd in total number of retail branches2

 

           1,755 ATMs free to TCF customers; 1,262 off-site

 

           12th largest issuer of VISA® Classic debit cards3

 

           15th largest issuer of VISA® Commercial debit cards3

 

           22nd largest overall issuer of VISA® cards3

 

           ROA 2.11%;  ROE 28.32%;  ROTE4 34.11%

 

           1,612,497 checking accounts

 

¹  Source:  CapitalBridge, 6/30/05

2  Source: SNL Financial, LLC, 10/17/05; bank and thrift holding companies

3  Source: VISA; 2Q05

4  Excludes the impact of intangible amortization expense (see reconciliation slide in the appendix)

 

2.)           Corporate Profile

 

At September 30, 2005

 

           Bank branches located in six states

 

 

 

At 9/30/05

 

At 1/1/00

Traditional

 

182

 

136

Supermarket

 

251

 

195

Campus

 

9

 

7

Total

 

442

 

338

 

 

 

At 9/30/05

 

At 1/1/00

Minnesota

 

104

 

82

Illinois

 

199

 

150

Michigan

 

62

 

64

Wisconsin

 

34

 

31

Colorado

 

37

 

10

Indiana

 

6

 

1

Total

 

442

 

338

 

3.)           What Makes TCF Different

 

           Convenience

TCF banks a large and diverse customer base by offering a host of convenient banking services:

           Open seven days a week, 364 days/year

           Traditional, supermarket and campus branches

           1,755 ATMs free to TCF customers

           Debit cards

           Phone banking

           TCF Totally Free OnlineSM banking

           976,579 Internet banking accounts

 

           De Novo Expansion

TCF is increasing its market share through de novo expansion:

           Opening new branches

           Starting new businesses

           Offering new products and services

 

4.)           What Makes TCF Different

 

           Power Assets® and Power Liabilities®

Power Assets® (consumer home equity and other loans, commercial real estate and business loans, and leasing and equipment finance) and low-cost Power Liabilities® (checking, savings and money market accounts) are growing and contribute a significantly high percentage of TCF’s profits.

 

           Credit Quality

TCF is primarily a secured lender, emphasizing credit quality over asset growth.

 



 

5.)           Share Repurchase Program

 

           Repurchased 400,000 shares of common stock during the 2005 third quarter at an average cost of $27.79 per share

 

           Since 1/1/98:

           TCF repurchased 58 million shares at an average cost of $18.15 per share

           $1 billion investment

           $1.5 billion value at 9/30/05

 

           At 9/30/05, 6.7 million shares remain available to purchase under board authorizations

 

6.)           Return of Net Income to Shareholders

 

 

 

Net
Income

 

Stock
Repurchase

 

Dividends
Paid

 

Total

 

% of Net
Income

 

 

 

($ millions)

 

 

 

 

 

2001

 

$

207.3

 

$

148.0

 

$

77.5

 

$

225.5

 

109%

 

2002

 

232.9

 

148.0

 

86.5

 

234.5

 

101

 

2003

 

215.9

 

150.4

 

93.0

 

243.4

 

113

 

2004

 

255.0

 

116.1

 

104.0

 

220.1

 

86

 

2005¹

 

199.6

 

93.5

 

86.1

 

179.6

 

90

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

1,110.7

 

$

656.0

 

$

447.1

 

$

1,103.1

 

99%

 

 

¹     Year-to-date

 

7.)           Consumer Home Equity Lending +19%*

 

Loan-to-value

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

80% or less

 

$

1,178.8

 

$

1,488.5

 

$

1,816.7

 

$

2,149.4

 

$

2,531.9

 

Over 80 to 90%

 

$

802.1

 

$

1,028.2

 

$

1,370.5

 

$

1,750.5

 

$

1,850.0

 

Over 90 to 100%

 

$

396.3

 

$

385.0

 

$

361.4

 

$

449.3

 

$

586.6

 

Over 100%

 

$

66.6

 

$

53.9

 

$

39.5

 

$

32.8

 

$

28.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

2,444

 

$

2,956

 

$

3,588

 

$

4,382

 

$

4,997

 

 

*    Twelve-month growth rate

 

8.)           Consumer Home Equity Loans

 

At September 30, 2005

 

           70% amortizing loans, 30% lines of credit

 

           45% variable rate (prime based) and 55% fixed rate

 

           66% are 1st mortgages, 34% are 2nd mortgages

 

           Average home value of $209,763

 

           Yield 7.01%

 

           Over-30-day delinquency rate .34%

 

           Net charge-offs: 2005 = .09%¹, 2004 = .09%, 2003 = .11%

 

           Average loan-to-value 75%

 

           Average FICO score 719

 

¹    Annualized

 

9.)           Commercial Lending +8%*

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Real Estate

 

$

1,622.5

 

$

1,835.8

 

$

1,916.7

 

$

2,154.4

 

$

2,241.1

 

Commercial Business

 

$

422.4

 

$

440.1

 

$

427.7

 

$

424.1

 

$

438.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

2,045

 

$

2,276

 

$

2,344

 

$

2,579

 

$

2,679

 

 

*    Twelve-month growth rate

 



 

10.)         Commercial Loans

 

At September 30, 2005

 

           Commercial real estate

           24% apartment loans

           18% office building loans

           5% hotel loans

 

           Commercial business — $438 million

 

           Yield 6.28%

 

           Over-30-day delinquency rate .02%

 

           Net (recoveries) charge-offs: 2005 = (.12)%¹, 2004 = .03% , 2003 = .09%

 

           Approximately 99% of all commercial loans secured

 

           CRE location mix: 94% Midwest, 6% Other

 

¹    Annualized

 

11.)         Leasing and Equipment Finance +7%*

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Leasing and Equipment Finance

 

$

957

 

$

1,039

 

$

1,160

 

$

1,375

 

$

1,424

 

 

*    Twelve-month growth rate

 

12.)         Leasing and Equipment Finance

 

At September 30, 2005

 

           38th largest equipment finance/leasing company in the U.S.¹

 

           18th largest bank-owned equipment finance/leasing company in the U.S.¹

 

           Equipment type

           34% manufacturing and construction

           17% specialty vehicle

           15% technology and data processing

           13% medical

           21% other

 

           Yield 6.70%

 

           Uninstalled backlog of $248.1 million; up $53 million from year-end 2004

 

           Over-30-day delinquency rate .40%

 

           Net charge-offs excluding Delta leveraged lease: 2005 = .23%², 2004 = .43%, 2003 = .69%

 

¹     Source: Equipment Leasing Association; 6/05

²    Annualized

 

13.)         Allowance for Loan & Lease Losses

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for Loan & Lease Losses

 

$

75.0

 

$

77.0

 

$

76.6

 

$

79.9

 

$

59.0

 

 

Net Charge-offs (NCO)

 

$

12.5

 

$

20.0

 

$

12.9

 

$

9.5

 

$

22.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As a % of Loans & Leases:

 

 

 

 

 

 

 

 

 

 

 

 

Allowance

 

.91%

 

.95%

 

.92%

 

.85%

 

.59%

 

 

NCO

 

.15%

 

.25%

 

.16%

 

.11%

 

.31%

 

¹,²

Coverage Ratio

 

6.0X

 

3.8X

 

5.9X

 

8.4X

 

2.0X

¹

 

¹    Annualized

²    Net charge-offs excluding Delta leveraged lease .05% (annualized)

 



 

14.)         Delinquencies (Over 30-day)1

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Delinquencies

 

$

46.8

 

$

46.3

 

$

38.7

 

$

34.4

 

$

31.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Delinquencies (percent)

 

.57%

 

.57%

 

.47%

 

.37%

 

.31%

 

1     Excludes non-accrual loans and leases

 

15.)         Non-Performing Assets

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-Accrual Loans and Leases

 

$

52.0

 

$

43.6

 

$

35.4

 

$

46.9

 

$

21.7

 

Real Estate Owned

 

$

14.6

 

$

26.6

 

$

33.5

 

$

17.2

 

$

16.8

 

Total

 

$

66.6

 

$

70.2

 

$

68.9

 

$

64.1

 

$

38.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reserves/NAs:

 

144%

 

176%

 

216%

 

170%

 

272%

 

NPAs/Assets:

 

.59%

 

.58%

 

.61%

 

.52%

 

.30%

 

 

16.)         Retail Banking

 

17.)         Checking Accounts +6%*

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

(000s)

 

 

 

 

 

 

 

 

 

 

 

 

 

Supermarket Branches

 

496

 

549

 

608

 

652

 

683

 

Traditional & Campus Branches

 

753

 

789

 

836

 

883

 

929

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

1,249

 

1,338

 

1,444

 

1,535

 

1,612

 

 

*    Twelve-month growth rate

 

18.)         Banking Fees and Other Revenue¹

 

 

 

2001

 

2002

 

2003

 

2004

 

2005

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter

 

$

65.6

 

$

71.8

 

$

81.6

 

$

86.6

 

$

87.3

 

Second Quarter

 

$

74.7

 

$

84.1

 

$

92.6

 

$

103.7

 

$

99.1

 

Third Quarter

 

$

75.1

 

$

87.4

 

$

93.8

 

$

102.2

 

$

103.8

 

Fourth Quarter

 

$

77.6

 

$

91.1

 

$

90.0

 

$

97.9

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

293

 

$

334

 

$

358

 

$

390

 

$

290

 

 

¹     Consisting of fees and service charges, card revenue, ATM revenue, and investments and insurance revenue

 

19.)         Retail Checking Deposits +16%*

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

Supermarket Branches

 

$

591

 

$

695

 

$

829

 

$

1,000

 

$

1,115

 

Traditional & Campus Branches

 

$

1,715

 

$

1,903

 

$

2,146

 

$

2,565

 

$

2,778

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

2,306

 

$

2,598

 

$

2,975

 

$

3,565

 

$

3,893

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Rate:

 

.07%

 

.05%

 

.01%

 

.22%

 

.60%

 

 

*    Twelve-month growth rate

 

20.)         Retail Deposits +10%*

Quarterly Average Balances

($ millions)

 

 

 

9/30/05

 

9/30/04

 

Non-interest bearing checking

 

$

2,465

 

$

2,367

 

Premier checking

 

 

695

 

 

248

 

Other int. bearing checking

 

 

1,005

 

 

1,140

 

Subtotal

 

 

4,165

 

 

3,755

 

Premier savings

 

 

437

 

 

110

 

Other savings

 

 

1,549

 

 

1,718

 

Subtotal

 

 

1,986

 

 

1,828

 

Money Market

 

 

632

 

 

739

 

Certificates

 

 

1,771

 

 

1,459

 

Total

 

$

8,554

 

$

7,781

 

 

 

 

 

 

 

 

 

Average Rate:

 

 

1.23

%

 

.53

%

 

*Annual growth rate

 



 

21.)         Card Revenue +27%*

 

 

 

2001

 

2002

 

2003

 

2004

 

2005

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter

 

$

8.1

 

$

10.2

 

$

13.2

 

$

13.5

 

$

17.6

 

Second Quarter

 

$

9.3

 

$

11.8

 

$

14.8

 

$

16.0

 

$

19.8

 

Third Quarter

 

$

10.1

 

$

12.1

 

$

12.9

 

$

16.3

 

$

21.0

 

Fourth Quarter

 

$

10.1

 

$

13.1

 

$

12.1

 

$

17.7

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

37.6

 

$

47.2

 

$

53.0

 

$

63.5

 

$

58.4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales Volume:

 

$

2,560

 

$

3,216

 

$

3,899

 

$

4,735

 

$

4,142¹ 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average off-line interchange rate:

 

1.55%

 

1.55%

 

1.43%

 

1.40%

 

1.43%¹

 

 

¹     Year-to-date

*     Year-to-date growth rate (‘05 vs. ‘04)

 

22.)         Card Revenue

 

           12th largest issuer of VISA® Classic debit cards¹

 

           15th largest issuer of VISA® Commercial debit cards¹

 

           22nd largest overall issuer of VISA® cards¹

 

           20% increase in sales volume²

 

           29% increase in revenue to $21.0 million²

 

           Number of active accounts up 50,514 or 7%²

 

           15.5 transactions per month on active cards, up 14%²

 

¹   Source: VISA; 2Q05

²  3Q05 vs. 3Q04

 

23.)         Small Business Checking Deposits +13%*

 

 

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Small Business Checking Deposits

 

  $

313

 

  $

380

 

  $

461

 

  $

546

 

  $

609

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Rate:

 

0%

 

0%

 

0%

 

0%

 

0%

 

 

 

 

 

 

 

 

 

 

 

 

 

# of Accounts

 

79,865

 

91,385

 

102,557

 

113,605

 

121,643

 

 

*     Twelve-month growth rate

 

24.)         Small Business Services and Products

 

At September 30, 2005

 

           $609 million in 0% interest checking account deposits

 

           Small business loans up to $500,000; small business administration loans up to $150,000; home equity loans up to $500,000

 

           76,412 TCF Business Check CardsSM

 

           Introduced TCF Miles Plus Business Check CardSM loyalty program in April 2005

 

25.)         New Branch Expansion

 

 

26.)         Total New Branches

Branches opened since January 1, 2000

 

 

 

Traditional

 

 

 

 

 

# of Branches

 

 

 

 

 

and Campus

 

Supermarket

 

Total

 

Opened

 

Percent of Total

 

 

 

 

 

 

12/00

 

 

3

 

21

 

24

 

25

 

7%

 

 

12/01

 

 

8

 

41

 

49

 

26

 

13%

 

 

12/02

 

 

20

 

56

 

76

 

27

 

19%

 

 

12/03

 

 

34

 

61

 

95

 

19

 

24%

 

 

12/04

 

 

53

 

72

 

125

 

30

 

29%

 

 

9/05

 

 

64

 

76

 

140

 

15

 

32%

 

 

2005 Forecast

 

74

 

79

 

153

 

28

 

34%

 

 



 

27.)         New Traditional Branch Model - Net Income

($ 000s)

 

 

 

1

 

2

 

3

 

4

 

5

 

6

 

7

 

8

 

9

 

10

 

 

 

Year of Existence

 

Traditional Branch (net income)

 

$

(362

)

$

(32

)

$

157

 

$

320

 

$

384

 

$

491

 

$

570

 

$

555

 

$

630

 

$

692

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Traditional branch capital expenditure $3 million

 

 

Includes deposits and consumer lending

 

28.)         New Branch Expansion

 

           Ranked 4th among all major U.S. banks in branch expansion rate¹ during 2004

 

           New branch expansion continues to be a “growth engine” for TCF:

 

           Emphasis on traditional branch expansion, primarily in the Colorado, Illinois and Michigan markets

 

           Improve customer banking experience through continued branch redesign and corporate branding

 

           Continued high standards in acquiring prime real estate sites

 

¹ Source: American Banker 4/19/05

 

29.)         New Branch Total Deposits +91%*

Branches opened since January 1, 2000

 

 

 

12/00

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

52

 

$

97

 

$

250

 

$

353

 

$

570

 

$

983

 

 

*   Twelve-month growth rate

 

30.)         New Branch Total Checking Accounts +32%*

Branches opened since January 1, 2000

 

 

 

12/00

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

(000s)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Checking Accounts

 

12

 

42

 

83

 

142

 

206

 

256

 

 

*    Twelve-month growth rate

 

31.)         New Branch Banking Fees & Other Revenue¹ +32%*

Branches opened since January 1, 2000

 

 

 

2000

 

2001

 

2002

 

2003

 

2004

 

2005

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter

 

$

 

$

1.0

 

$

2.8

 

$

5.4

 

$

9.1

 

$

13.8

 

Second Quarter

 

$

0.2

 

$

1.6

 

$

4.1

 

$

7.3

 

$

13.4

 

$

17.2

 

Third Quarter

 

$

0.5

 

$

2.0

 

$

4.4

 

$

7.9

 

$

14.0

 

$

18.5

 

Fourth Quarter

 

$

0.8

 

$

2.6

 

$

5.4

 

$

8.4

 

$

14.5

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

2

 

$

7

 

$

17

 

$

29

 

$

51

 

$

50

 

 

¹     Consisting of fees and service charges, card revenue, ATM revenue, and investments and insurance revenue.

*   Twelve-month growth rate

 

32.)         New Branch Consumer Loans +45%*

Branches opened since January 1, 2000

 

 

 

Consumer Loans

 

 

($ millions)

12/00

 

$

5

12/01

 

$

28

12/02

 

$

94

12/03

 

$

204

12/04

 

$

366

9/05

 

$

477

 

*   Twelve-month growth rate

 



 

33.)         Campus Banking

 

At September 30, 2005

 

           Alliances with the University of Minnesota and University of Michigan plus nine other colleges, including the latest agreements with DePaul University in Chicago and Milwaukee Area Technical College

 

           Multi-purpose campus card serves as a school identification card, ATM card, library card, security card, health care card, phone card, stored value card for vending machines, laundry, etc.

 

           95,495 total checking accounts

 

           $154.9 million in total deposits

 

34.)         New Products and Services

 

           TCF MILES PLUSSM Card Loyalty Programs

           Premier (Retail)

           Small Business

 

           TCF Check CashingSM and Money Transfers

 

           Electronic statement delivery

 

           TCF index Investment StrategiesTM

 

           TCF Visa® Gift Card

 

           TCF Express Check Conversion

 

           Medical equipment leasing

 

35.)         Premier Checking & Savings Deposits +190%*

Quarterly Average Balances

($000s)

 

 

 

9/30/04

 

12/31/04

 

3/31/05

 

6/30/05

 

9/30/05

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Premier Checking

 

$

291

 

$

397

 

$

525

 

$

627

 

$

764

 

 

 

 

Premier Savings

 

$

156

 

$

244

 

$

324

 

$

370

 

$

533

 

 

 

 

Total

 

$

447

 

$

641

 

$

849

 

$

997

 

$

1,297

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Rate:

 

1.48%

 

1.86%

 

2.03%

 

2.21%

 

2.89%

 

 

 

 

 

*Twelve-month growth rate

 



 

36.)         Financial Highlights

 

37.)         Diluted EPS  +10%*

 

 

 

 

 

1996

 

1997

 

1998

 

1999

 

2000

 

2001

 

2002

 

2003

 

2004

 

2005¹

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted EPS

 

 

 

$

.60

 

$

.84

 

$

.88

 

$

1.00

 

$

1.17

 

$

1.35

 

$

1.58

 

$

1.53

 

$

1.86

 

$

1.50

 

 

¹    Year-to-date

*   Year-to-date growth rate (‘05 vs. ‘04)

 

38.)         Dividend History +13%*

 

 

 

1996

 

1997

 

1998

 

1999

 

2000

 

2001

 

2002

 

2003

 

2004

 

2005²

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends Paid

 

$

.18

 

$

.23

 

$

.31

 

$

.36

 

$

.41

 

$

.50

 

$

.58

 

$

.65

 

$

.75

 

$

.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividend payout ratio:

 

30%

 

28%

 

35%

 

36%

 

35%

 

37%

 

37%

 

43%

 

40%

 

43%

 

 

10-year compounded annual growth rate 19%

Ranks 6th of the Top 50 Banks¹

 

¹  Source:  CapitalBridge

²  Year-to-date

*  Annual growth rate (‘05 vs. ‘04)

 



 

39.)         Net Income +6%*

 

 

 

2001

 

2002

 

2003

 

2004

 

2005¹

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter

 

$

48.2

 

$

56.3

 

$

60.1

 

$

60.7

 

$

63.5

 

Second Quarter

 

$

52.0

 

$

58.0

 

$

60.3

 

$

65.2

 

$

70.6

 

Third Quarter

 

$

52.9

 

$

58.9

 

$

36.0

 

$

61.7

 

$

65.5

 

Fourth Quarter

 

$

54.2

 

$

59.8

 

$

59.5

 

$

67.4

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

207

 

$

233

 

$

216

 

$

255

 

$

200

 

 

¹   Year-to-date

*   Year-to-date growth rate (‘05 vs. ‘04)

 

40.)         Net Interest Income +6%*

 

 

 

2001

 

2002

 

2003

 

2004

 

2005

 

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter

 

$

113.8

 

$

124.5

 

$

122.4

 

$

118.4

 

$

129.1

 

 

Second Quarter

 

$

119.3

 

$

124.3

 

$

119.8

 

$

122.4

 

$

131.3

 

 

Third Quarter

 

$

122.4

 

$

123.8

 

$

119.9

 

$

124.5

 

$

128.0

 

 

Fourth Quarter

 

$

125.7

 

$

126.6

 

$

119.1

 

$

126.5

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

481

 

$

499

 

$

481

 

$

492

 

$

388

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Interest Margin:

 

4.51%

 

4.71%

 

4.54%

 

4.54%

 

4.51%

 

¹

 

¹   Year-to-date

*   Year-to-date growth rate (‘05 vs. ‘04)

 

41.)         Financial Highlights

($ millions, except per-share data)

 

 

 

Year-to-Date

 

 

 

 

2005

 

2004

 

Change

Net Interest Income

 

$

388.4

 

$

365.4

 

6.3

  %

Fees & Other Revenue:

 

 

 

 

 

 

 

Banking

 

290.2

 

292.5

 

(.8

)

Other

 

52.7

 

49.0

 

7.5

 

Total Fees and Other Revenue

 

342.9

 

341.5

 

.4

 

Gains on Sales of Securities

 

10.7

 

16.4

 

(34.9

)

Total Non-Interest Income

 

353.6

 

357.9

 

(1.2

)

Total Revenue

 

742.0

 

723.3

 

2.6

 

Provision for Credit Losses

 

1.4

 

6.9

 

(79.7

)

Non-Interest Expense

 

452.4

 

432.5

 

4.6

 

Net Income

 

$

199.6

 

$

187.6

 

6.4

 

 

 

 

 

 

 

 

 

Diluted EPS

 

$

1.50

 

$

1.36

 

10.3

 

ROA

 

2.11%

 

2.12%

 

(1

)bps

ROE

 

28.32%

 

26.56%

 

176

 bps

 



 

42.)         Power ProfitsSM

 

Average Balance ($ millions)

Profit center net income ($ 000s)

 

 

 

 

 

YTD 2005

 

 

 

 

 

Balance

 

Net Income

 

%

 

Commercial Lending

 

$

2,621

 

$

23,736

 

12

%

Consumer Lending

 

4,685

 

41,808

 

21

 

Leasing and Equipment Finance

 

1,410

 

23,800

 

12

 

Total Power Assets ®

 

$

8,716

 

89,344

 

45

 

 

 

 

 

 

 

 

 

Traditional and Campus Branches (191)

 

$

6,590

 

58,397

 

29

 

Supermarket Branches (251)

 

1,772

 

24,458

 

12

 

Total Power Liabilities ®

 

$

8,362

 

82,855

 

41

 

Total Power Assets & Liabilities

 

 

 

172,199

 

86

 

Equity

 

 

 

17,312

 

9

 

Total Power Businesses

 

 

 

189,511

 

95

 

Gains on Sales of Securities

 

 

 

7,390

 

4

 

Treasury Services and Other

 

 

 

2,691

 

1

 

Net Income

 

 

 

$

199,592

 

100

%

 

43.)         Securities Available for Sale and Residential Portfolios

 

Ending Balance

 

12/01

 

12/02

 

12/03

 

12/04

 

9/05

 

 

 

($ millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale portfolio1

 

$

1,575

 

$

2,355

 

$

1,524

 

$

1,622

 

$

1,340

 

Residential portfolio

 

2,733

 

1,800

 

1,213

 

1,014

 

816

 

Total

 

$

4,308

 

$

4,155

 

$

2,737

 

$

2,636

 

$

2,156

 

 

 

 

 

 

 

 

 

 

 

 

 

Yield:

 

6.76%

 

6.25%

 

5.55%

 

5.29%

 

5.37%

 

% of Total Assets

 

37.9%

 

34.1%

 

24.2%

 

21.4%

 

16.9%

 

 

1     Based on historical amortized cost

 



 

44.)         TCF vs Top 50 Banks

 

45.)         Top 50 Banks¹ - Return on Assets

 

Quarter Ended June 30, 2005

(Percent)

 

TCF FINL CORP

 

TCB

 

2.22

%

US BANCORP

 

USB

 

2.19

%

MELLON FINANCIAL

 

MEL

 

2.10

%

NATL CITY CORP

 

NCC

 

2.04

%

NORTH FORK BANCP

 

NFB

 

1.94

%

SYNOVUS FINL

 

SNV

 

1.88

%

WELLS FARGO & CO

 

WFC

 

1.71

%

MARSHALL &ILSLEY

 

MI

 

1.71

%

MERCANTILE BANKS

 

MRBK

 

1.64

%

BB&T CORPORATION

 

BBT

 

1.59

%

ASSOC BANC-CORP

 

ASBC

 

1.58

%

CITY NATL CORP

 

CYN

 

1.55

%

COMMERCE BCSHS

 

CBSH

 

1.54

%

COMERICA INC

 

CMA

 

1.50

%

WESTCORP

 

WES

 

1.50

%

BANK NEW YORK

 

BK

 

1.48

%

FIFTH THIRD BANC

 

FITB

 

1.48

%

HIBERNIA CORP -A

 

HIB

 

1.47

%

FULTON FINANCIAL

 

FULT

 

1.47

%

PNC FINANCIAL SE

 

PNC

 

1.47

%

UNIONBANCAL CORP

 

UB

 

1.46

%

NEW YORK CMNTY BANCORP INC

 

NYB

 

1.46

%

REGIONS FINL

 

RF

 

1.46

%

BANK OF AMERICA

 

BAC

 

1.45

%

M&T BANK CORP

 

MTB

 

1.44

%

CITIGROUP INC

 

C

 

1.43

%

VALLEY NATL BANC

 

VLY

 

1.38

%

COMPASS BANCSHS

 

CBSS

 

1.37

%

ZIONS BANCORP

 

ZION

 

1.37

%

INVESTORS FINL

 

IFIN

 

1.34

%

AMSOUTH BANCORP

 

ASO

 

1.33

%

FIRST HORIZON NA

 

FHN

 

1.33

%

BOK FINL CORP

 

BOKF

 

1.31

%

WACHOVIA CORP

 

WB

 

1.29

%

SKY FINANCIAL GR

 

SKYF

 

1.28

%

POPULAR INC

 

BPOP

 

1.23

%

HUNTINGTON BANC

 

HBAN

 

1.20

%

SUNTRUST BANKS

 

STI

 

1.20

%

NORTHERN TRUST

 

NTRS

 

1.20

%

KEYCORP

 

KEY

 

1.15

%

HUDSON CITY BANCORP

 

HCBK

 

1.12

%

COLONIAL BANCGRO

 

CNB

 

1.05

%

SOVEREIGN BANCORP INC

 

SOV

 

1.01

%

COMMERCE BANC NJ

 

CBH

 

1.00

%

WEBSTER FINANCIAL CORP

 

WBS

 

.92

%

SOUTH FINANCIAL

 

TSFG

 

.91

%

STATE ST CORP

 

STT

 

.81

%

BANKNORTH GROUP

 

BNK

 

.81

%

FIRST CITIZENS-A

 

FCNCA

 

.72

%

JP MORGAN CHASE

 

JPM

 

.63

%

 

 

 

 

 

 

AVERAGE

 

 

 

1.39

%

 

¹  Represents the fifty largest bank holding companies in the U.S. based on asset size at 6/30/05

Source:  CapitalBridge

 



 

46.)         Top 50 Banks¹ - Return on Equity

 

Quarter Ended June 30, 2005

(Percent)

 

TCF FINL CORP

 

TCB

 

30.23

%

NATL CITY CORP

 

NCC

 

22.78

%

INVESTORS FINL

 

IFIN

 

22.43

%

US BANCORP

 

USB

 

22.36

%

FIRST HORIZON NA

 

FHN

 

20.89

%

CITIGROUP INC

 

C

 

20.16

%

VALLEY NATL BANC

 

VLY

 

19.87

%

WELLS FARGO & CO

 

WFC

 

19.51

%

COMPASS BANCSHS

 

CBSS

 

19.20

%

MELLON FINANCIAL

 

MEL

 

19.18

%

AMSOUTH BANCORP

 

ASO

 

19.03

%

COMMERCE BANC NJ

 

CBH

 

18.99

%

POPULAR INC

 

BPOP

 

18.55

%

MARSHALL &ILSLEY

 

MI

 

17.98

%

SYNOVUS FINL

 

SNV

 

17.91

%

WESTCORP

 

WES

 

17.58

%

UNIONBANCAL CORP

 

UB

 

17.30

%

BANK OF AMERICA

 

BAC

 

16.94

%

ASSOC BANC-CORP

 

ASBC

 

16.84

%

FIFTH THIRD BANC

 

FITB

 

16.56

%

CITY NATL CORP

 

CYN

 

16.46

%

COMERICA INC

 

CMA

 

16.30

%

BANK NEW YORK

 

BK

 

16.24

%

NORTHERN TRUST

 

NTRS

 

16.19

%

HIBERNIA CORP -A

 

HIB

 

16.15

%

COMMERCE BCSHS

 

CBSH

 

15.76

%

PNC FINANCIAL SE

 

PNC

 

15.69

%

ZIONS BANCORP

 

ZION

 

15.66

%

HUNTINGTON BANC

 

HBAN

 

15.45

%

BB&T CORPORATION

 

BBT

 

14.92

%

WACHOVIA CORP

 

WB

 

14.85

%

NORTH FORK BANCP

 

NFB

 

14.62

%

KEYCORP

 

KEY

 

14.39

%

BOK FINL CORP

 

BOKF

 

14.34

%

FULTON FINANCIAL

 

FULT

 

14.11

%

SKY FINANCIAL GR

 

SKYF

 

13.83

%

SUNTRUST BANKS

 

STI

 

13.35

%

M&T BANK CORP

 

MTB

 

13.31

%

STATE ST CORP

 

STT

 

13.28

%

REGIONS FINL

 

RF

 

13.01

%

COLONIAL BANCGRO

 

CNB

 

12.67

%

MERCANTILE BANKS

 

MRBK

 

12.51

%

SOVEREIGN BANCORP INC

 

SOV

 

11.50

%

NEW YORK CMNTY BANCORP INC

 

NYB

 

11.44

%

WEBSTER FINANCIAL CORP

 

WBS

 

10.41

%

SOUTH FINANCIAL

 

TSFG

 

9.52

%

FIRST CITIZENS-A

 

FCNCA

 

8.87

%

JP MORGAN CHASE

 

JPM

 

8.40

%

HUDSON CITY BANCORP

 

HCBK

 

7.42

%

BANKNORTH GROUP

 

BNK

 

5.31

%

 

 

 

 

 

 

AVERAGE

 

 

 

15.80

%

 

¹  Represents the fifty largest bank holding companies in the U.S. based on asset size at 6/30/05

Source:  CapitalBridge