First Quarter - First Niagara

2012
Corporate Summary
First Quarter
Facts, Figures and Community Impact
“
A
t First Niagara, it continues to
be about getting even better,
not just bigger, and our work this
quarter further demonstrates our
commitment and progress. Our
fundamentals and well-run core
businesses remain strong and
are thriving. We have, and we will
continue, to win with talent. We
have an energized and engaged
team that over-prepares, because
our goal is to over-deliver –
for the benefit our customers,
communities, and shareholders.
”
John R. Koelmel, First Niagara Financial Group, President and CEO.
Company Overview
First Niagara is a community-oriented bank serving New York, Pennsylvania,
Connecticut and Massachusetts. With more than 330 branches and 5,000
employees, First Niagara provides financial services to individuals, families and
businesses. Driven by proven, local talent, First Niagara has consistently delivered
strong, high-quality and consistent earnings. With $33 billion in assets and $19
billion in deposits, the bank has maintained industry leading loan growth, without
compromising credit quality. Thanks to its key differentiator, having the best team in
the business, First Niagara is well-positioned for long-term success.
Fast Facts
• Founded in 1870, the bank has grown significantly in size and reach and currently serves
more than 730,000 customers across its multi-state operations.
• Listed on the Nasdaq Stock Market under the trading symbol: FNFG.
• Geographic footprint extends across New York, Pennsylvania, Connecticut
and Massachusetts.
• Market capitalization of $3.3 billion.
• A top 25 U.S. bank by assets and market capitalization.
• More than $16 billion in loans.
• First Niagara Risk Management among top 50 insurance agencies in U.S.
Superior Credit Quality is a Key Differentiator
• Our Proven Strengths = Your Advantage.
- Local credit decisions.
- Customized terms and services.
- Experienced lenders who structure smart, sound financing programs.
• Positioned for Continuing Success - Winning with talent.
- Executive leadership average of 30 years’ experience.
- Local bankers with deep relationships and decades of experience in their respective
regions and markets.
Regional Market Centers
Region
MSA
Employees1
Branches1
ATMs1
Deposit Share2
1,866
52
66
11.31%
838
64
75
4.79%
2,704
116
141
641
61
72
3.77%
713
68
77
0.69%
1,354
129
149
955
89
98
955
89
98
5,013
334
388
Buffalo
Upstate New York - West
Niagara Falls
Rochester
Syracuse
Upstate New York - East
Albany
Schenectady
Troy
Total Upstate New York
Western Pennsylvania
Pittsburgh
Erie
Philadelphia
Eastern Pennsylvania
Allentown
Bethlehem–Easton
Total Pennsylvania
Hartford
New England
New Haven
6.64%
Springfield
Total New England
Total
Credit Ratings
Standard and Poor’s: BBB
Moody’s Investor Service: Baa2
Fitch Ratings: BBB
1
Employee, branch and ATM data as of most recent quarter
2
Most recent FDIC data as of June 30, 2011
Highlights
Central New York Market Executive David Kavney announces First Niagara’s partnership with Winterfest 2012
• Posted its ninth-consecutive quarter of double-digit organic loan growth.
• New checking account customer acquisition increased 11% QOQ.
• First Niagara will close and convert its Upstate New York and Connecticut
HSBC-branch acquisition on May 18, enabling the bank to enhance its depth,
breadth and efficiency throughout its multi-state footprint.
• Winner of six national awards and several regional honors in the 2011
Greenwich Excellence Awards for Small Business Banking. First Niagara was a
national winner in the following categories:
- Overall Satisfaction.
- Relationship Manager Performance.
- Branch Satisfaction.
- Treasury Management – Overall Satisfaction.
- Treasury Management – Accuracy of Operations and Treasury of Management.
- Product Capabilities.
• Regionally, the bank captured awards for Overall Satisfaction and Treasury
Management Overall Satisfaction.
• One of the largest providers of risk financing and risk reduction services in the U.S.1
• Named a “Best Practices” agency, an honor given to only the top 1% of
insurance agencies/brokers in the U.S.2
Business Insurance, July 18, 2011, as ranked by 2010 brokerage revenues from U.S.-based clients
1
Reagan Consulting for the Independent Insurance Agents and Brokers of America, September 2010
2
Products
Personal Banking
With the convenience of products like free online banking, overdraft protection and no
ATM transaction fees, First Niagara provides an extensive range of products and solutions
designed to meet your unique needs. But what really sets us apart is our service. Taking the
time to understand your financial needs, you can be sure we will work with you to make your
goals a reality.
Commercial Banking
Through a unique 360° approach, we see your business from every angle. Our proven
strengths equal your advantage. Whether you’re a seasoned investor or first-time buyer, we
can help you realize your goal. Our experienced lenders will structure smart, sound financing
programs, with customized terms and services. Best of all, you can expect local service and
decision-making.
Mortgage
Whether you’re buying a home, refinancing or leveraging equity within your home,
First Niagara offers a variety of mortgage products and services, designed to meet your
unique needs. Our mortgage consultants will assist you in selecting the solution that’s best
for you.
Risk Management
From personal insurance to complex coverage for your business, First Niagara Risk
Management can tailor a program to meet your unique needs. When you choose First
Niagara to help manage your risks, you are working with a recognized leader in the design
and delivery of insurance programs and Risk Management solutions.
Cash Management
We understand how important it is to manage, track and maximize your business’s cash
flow. More importantly, we understand how time consuming and stressful this can be. We
will perform a detailed cost-savings analysis of your business and share solutions to help you
better manage your business’s finances.
Small Business
Small businesses are the engines that drive the communities and neighborhoods we serve.
As a small business owner you can be sure that our small business bankers will work to
understand your business from every angle, helping you create a smart, comprehensive plan
to support and expand your business and reach your goals more quickly.
Wealth Management
First Niagara Private Client Services is dedicated to helping you make smart decisions
about your money. Using a comprehensive, multi-dimensional approach that incorporates
wealth planning, investment management, credit and banking, fiduciary services and risk
management to develop highly individualized and comprehensive plans that optimize today’s
opportunities, we can help you prepare for tomorrow’s challenges and achieve future goals.
Capital Markets Services
Strategic thinking is our strong suit. No matter how varied or complex your capital needs
are, you can count on our experienced team to deliver informed, custom-tailored solutions.
Our solid connections give you access to a broad range of investors.
Benefit Consulting
A company’s most valuable assets are its employees. No matter the size of business, our goal
is to keep your employees – and your business – healthy. First Niagara offers a comprehensive
suite of products helping you eliminate the burden of managing and administrating health
and welfare plans and pension benefits. Plus, our personal advisors will customize services
specifically for your business.
Government
Leading the way to more comprehensive financial services for governments than any other
bank, First Niagara serves local governments, municipal agencies, school districts, public
authorities, and other special units of municipal government by providing government
banking and depository services and a full range of financial services as well.
Specialized Lending and Financing
In addition to the solutions mentioned above, First Niagara offers a number of additional
lending and financing options for clients with a specialized need, including: automotive
lending, healthcare and leasing.
Whether it’s borrowing, saving, or just making it easier to manage your money, First Niagara
has the banking products, services and expertise to help you make your dreams a reality. Our
product portfolio may be our competitive advantage, but what really sets us apart is our team.
For more information on First Niagara’s products and services, visit www.firstniagara.com.
Our Commitment
to Community
Strong communities are places where all people
have opportunities to learn, grow and achieve their
dreams. First Niagara’s philanthropic mission is to
support and empower not-for-profit organizations
with financial support, employee volunteers and
professional expertise. We feel privileged to be able
to support hundreds of charitable organizations,
giving special consideration to those that support
children and youth. Our goal is simple – to be a
genuine neighbor of choice.
Corporate Giving
From left to right: John R. Koelmel, First Niagara President and CEO, Will Law, Chief Operating Officer of Minneapolis-based Artspace
Bill Strickland, Manchester Bidwell Corporation Founder, President and CEO, Robert D. Gioia, Oishei Foundation President
First Niagara to Help Launch Buffalo Arts and
Technology Center
In January, First Niagara announced its plans to partner with the John R. Oishei
Foundation, Empire State Development Corporation and Community Foundation
for Greater Buffalo to establish the Buffalo Arts and Technology Center (BATC).
The center, potentially to be located at Artspace Buffalo, 1219 Main St., is
expected to debut in late 2012, offering after-school visual arts programs for at-risk
urban high school students, as well as health sciences career training for underemployed and unemployed adults. Training will be geared toward specific positions
at the Buffalo Niagara Medical Campus and throughout the local health care sector.
More than $3 million in public-private seed money has been earmarked for design
and build-out of vacant commercial space on the first and lower floors of Artspace
to accommodate the youth and adult programs. The unusual marriage of art and
vocational training programs is modeled after entrepreneur Bill Strickland’s highly
successful Manchester Bidwell Corporation in Pittsburgh, a two-pronged template
for social change which dates back four decades.
Communities We Serve
Buffalo
En
Syracuse
New York
Erie
d
New
Rochester
an
l
g
Springfield
Albany
Hartford
Manchester
New Haven
Pennsylvania
Allentown
Pittsburgh
Philadelphia
First Niagara is committed to empowering our
employees, customers and communities to thrive.
Media Relations Contact
David Lanzillo | 716-819-5780 | [email protected] | www.firstniagara.com
Public Relations and Corporate Communications