Table of Contents
O L D N A T I O N A L
Forward-looking Statements
Offering Summary
PPT Slide
Company Overview
Old National Debt Ratings
The Old National formula has been consistent since the creation of the company in 1983
Business model combines community banking with new markets and growing array of products
Services provided to customer base through six major business units
Old National’s markets are concentrated in Indiana with selected markets in adjacent states
Preeminent market share positions in regions we serve provide solid profitability base
Asset growth slowed in late 2000 as a result of balance sheet restructuring focused on funding
Non-mortgage loan growth remains strong
Balance sheet restructuring and continued focus on core deposits have changed funding dynamics
Funding trends over last 4 quarters have contributed to improved earnings
Shareholders’ equity position is solid
Capital Ratios – Bancorp
Capital Ratios – Bank
Company’s credit culture is focused on local relationship lending
Economic environment has prompted tightening of credit operations
Loan mix is changing
Majority of commercial real estate is on owner- occupied properties
Recent upward trend in non-performing assets is being closely monitored but levels are still low
2000 charge-offs were unusual but reserve levels have been maintained
Current balance sheet has limited exposure to interest rate shocks
Operating results through June 2001 were strong
Revenue growth remains strong
Strong expense management has returned efficiency ratio to historic levels following late 2000 pressure
Special charge taken in second quarter was primarily related to final restructuring of banking network
Margin pressure and credit quality issues which affected 2000 earnings have been reversed
ROA is building back towards historic levels
ROE has returned to long range objective levels
Near-term outlook is for modest earnings improvement with focus on risk management and efficiency gains
Summary
PPT Slide
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