NASDAQ Global Select Market Symbol - 'SBSI' TYLER, Texas, Oct. 27
/PRNewswire-FirstCall/ -- Southside Bancshares, Inc. ("Southside"
or the "Company") today reported its financial results for the
three and nine months ended September 30, 2008. Southside reported
record net income of $6.3 million for the three months ended
September 30, 2008, an increase of $2.8 million, or 78.6%, when
compared to $3.5 million for the same period in 2007. Net income
for the nine months ended September 30, 2008, increased $8.5
million, or 71.5%, to $20.3 million from $11.9 million, for the
same period in 2007. Earnings per fully diluted share increased
$0.19, or 76.0%, to $0.44 for the three months ended September 30,
2008, compared to $0.25 for the same period in 2007. Earnings per
fully diluted share increased $0.59, or 70.2%, to $1.43 for the
nine months ended September 30, 2008, compared to $0.84 for the
same period in 2007. The return on average shareholders' equity for
the nine months ended September 30, 2008, increased to 19.19%,
compared to 13.68%, for the same period in 2007. The return on
average assets increased to 1.18%, for the nine months ended
September 30, 2008, compared to 0.86%, for the same period in 2007.
"2008 will be remembered as the year of the credit crisis,
liquidity pressures and unparalleled volatility. As financial
markets became increasingly dysfunctional, the global government
response became increasingly aggressive. Current economic troubles
are not the product of recent decisions, but rather are the result
of decisions made over many years. Fortunately for Southside, the
product of our long term decisions did not result in a third
quarter marked by crisis management or reactive behavior. Rather,
we were able to concentrate on executing our business plan designed
to positively impact current earnings and enhance future franchise
value" stated B. G. Hartley, Chairman and CEO of Southside
Bancshares, Inc. "Against this backdrop of financial uncertainty,
we are exceptionally pleased to announce record net income for the
third quarter and nine months ended September 30, 2008. The
earnings reported today continue to be in large measure the result
of strategic investments and decisions initiated, in some cases,
years ago. I would like to update you on a few of our initiatives
and benchmarks." "For several quarters up to and ending June 30,
2007, the size of our balance sheet was in a period of no growth or
actual shrinkage. Beginning with the third quarter of 2007 we began
deliberately increasing the size of the balance sheet and as of
September 30, 2008 assets had grown from $1.8 billion at June 30,
2007 to $2.5 billion. Asset growth during this period included
$152.3 million due to the acquisition of Fort Worth National Bank
("FWNB") in October of 2007, $113.0 million in loan growth
(including Southside Financial Group "SFG") and a $397.2 million
increase in the securities portfolio. Funding for these earning
assets was accomplished through an increase in deposits (net of
brokered CDs) of $266.3 million, $100.9 million of which were due
to the acquisition of FWNB, an increase in wholesale funding of
$348.8 million and an increase in capital of $65.4 million
(including trust preferred securities). The economics associated
with this growth is more attractive than we have seen in several
years. At Southside we are well aware of the current precarious
economic environment and are managing the bank to an increasing
standard of protection." "Southside's strong commitment to
traditional banking remains unwavering. Our loan growth is a
product of the success of our many lending initiatives and programs
coupled with the hard work and dedication of our seasoned lending
team. SFG continues to perform as planned. We continue to believe
SFG will be a meaningful contributor to future earnings. Each of
the banking offices of FWNB is now a branch of Southside Bank as
the merger of Southside Bank and FWNB was completed on September
29, 2008. We believe this merger will allow us to further integrate
FWNB, increasing the synergies of the two entities. Southside has
traditionally built its banking franchise on a foundation of strong
banking talent. Also, during the third quarter we were able to
attract several seasoned lending professionals most of whom are
located in our Fort Worth footprint. We anticipate the Fort Worth
metropolitan area will continue to be a major driver of our future
growth." "In the investment portfolio, we managed our agency
mortgage-backed securities to profit from the overall weaker real
estate market. Our entire mortgage-backed portfolio continues to be
comprised of U. S. agency securities (Ginnie Mae, Fannie Mae and
Freddie Mac). The average coupon in the mortgage- backed securities
portfolio ended the quarter at 6.08%, an increase from 5.70% at
September 30, 2007." The management of the funding for any
successful financial institution needs to be a core competency. Our
funding is comprised of core deposit relationships, as well as,
wholesale funding in order to complete the picture. We believe our
overall funding strategy provides us appropriate funding for our
earning assets. Our funding objectives go well beyond quarterly
earnings and include long-term economics, as well as, overall
soundness. As on the asset side, our funding goals are concentrated
on maximizing franchise value. "2008 has been a year marked by
several historic economic events. At Southside, as we evaluate the
financial landscape, our posture is best described as both cautious
and constructive. We firmly believe in the long- term financial
success of our great nation. Just as we believe today's decisions
will pave the way for Southside's future success we believe the
same is true for the United States. Loan and Deposit Growth For the
three months ended September 30, 2008, total loans increased by
$9.1 million, or 0.93%, when compared to June 30, 2008. Management
believes that the loan portfolio remains well diversified. During
the quarter ended September 30, 2008, construction and commercial
real estate loan categories decreased along with commercial and
municipal loan portfolios, while 1-4 family real estate and loans
to individuals increased. When comparing the period ended September
30, 2008 to the comparable period in 2007, total loans grew by
$191.8 million, or 24.1%. Approximately $87.8 million of the
increase at September 30, 2008 is related to FWNB, which was
purchased in October of 2007, and approximately $73.8 million is
related to SFG automobile loans. The remaining $30.2 million
increase is due to loan growth at Southside Bank. We are pleased
that our loan growth appears well diversified as all loan
categories increased when comparing September 30, 2008 to the same
period in 2007. Nonperforming assets increased $915,000, or 12.0%,
for the three months ended September 30, 2008, when compared to
June 30, 2008. The increase in nonperforming assets is primarily
due to an increase in nonaccrual loans and loans 90 days past due
at Southside Bank. The ratio of non-performing assets to total
assets increased slightly to 0.34% from 0.33% at June 30, 2008.
Nonperforming assets increased $6.4 million, or 293.2%, when
comparing September 30, 2008 to September 30, 2007. The ratio of
non-performing assets to total assets increased but remained
relatively low at 0.34%. In addition, approximately $1.4 million of
SFG automobile loans were in nonaccrual status at September 30,
2008 compared to zero at September 30, 2007. This increase is a
result of the $73.8 million in auto loan purchases by SFG currently
in Southside's loan portfolio. Deposits, net of brokered deposits,
decreased $13.9 million, or 0.93%, to $1.5 billion during the three
months ended September 30, 2008, when compared to June 30, 2008.
When comparing the period ended September 30, 2008 to the
comparable period in 2007, deposits, net of brokered deposits,
increased $248.3 million, or 20.2%. Approximately $100.9 million of
the increase at September 30, 2008, is related to FWNB, which was
purchased in October of 2007, and approximately $147.4 million of
organic deposit growth at Southside Bank. Net Interest Income Net
interest income increased $9.6 million, or 93.5%, to $19.8 million
for the three months ended September 30, 2008, when compared to
$10.2 million for the same period in 2007. This is due to an
increase in the average yield on our interest earning assets
combined with a decrease in the average yield on the average
interest bearing liabilities resulting in an increase in our net
interest spread and margin. For the three months ended September
30, 2008, our net interest spread increased to 3.13% from 1.65% and
our net interest margin increased to 3.68% from 2.52% when compared
to the same period in 2007. The net interest margin and net
interest spread for the three months ended September 30, 2008,
increased to 3.68% and 3.13%, respectively, from 3.65% and 3.06%
for the three months ended June 30, 2008. The increase in the yield
on interest earning assets for the three months ended September 30,
2008, compared to the same period in 2007, is reflective of the
purchase of $73.8 million of high yield automobile loans by SFG,
the addition of approximately $87.8 million of loans associated
with FWNB, a 12 basis point increase in the yield on our securities
portfolio and an increase in average interest earning assets of
$516.0 million, or 29.6%. The decrease in the average yield on
interest bearing liabilities is a result of an overall decrease in
interest rates and calling $125.4 million of high yield brokered
deposits during 2008. Net Income for the Three Months The increase
in net income for the three months ended September 30, 2008, was
primarily a result of the increase in net interest income and
noninterest income partially offset by an increase in provision for
loan loss and noninterest expense. Noninterest income, excluding
gain on available for sale securities, increased $520,000, or 8.3%,
for the three months ended September 30, 2008, compared to the same
period in 2007. The increase in noninterest income was primarily
the result of increases in deposit services income, trust income
and other income. During the three months ended September 30, 2008,
we primarily sold specific low coupon mortgage-backed securities
where the risk reward profile had changed. As a result, we realized
an $822,000 gain on the sale of available for sale securities
during the third quarter of 2008. Provision for loan losses
increased $2.5 million, or 408.1%, for the three months ended
September 30, 2008, compared to the same period in 2007 primarily
as a result of the $73.8 million investment in the automobile loan
portfolios combined with an increase in reserve percentages
associated with two of the loan categories due to changing market
conditions. Noninterest expense increased $4.2 million, or 36.8%,
for the three months ended September 30, 2008, compared to the same
period in 2007. Due to the acquisition of FWNB during the fourth
quarter of 2007 and SFG in the third quarter of 2007, most
noninterest expense categories experienced increases. The increase
in noninterest expense was primarily a result of the increase in
salaries and employee benefits, occupancy expense and other
expense. The increase in salaries and employee benefits for the
three months ended September 30, 2008 was $2.8 million, or 38.1%,
compared to the same period in 2007. The increase in salary and
benefits is related to normal annual salary increases, new
employees and $1.2 million of this increase is related to a
retirement agreement for the Chairman and CEO payable over a five
year period, only after the executive retires, which replaces a
previous post-retirement agreement. About Southside Bancshares,
Inc. Southside Bancshares, Inc. is a bank holding company with
approximately $2.5 billion in assets that owns 100% of Southside
Bank. Southside Bank currently has 44 banking centers in Texas and
operates a network of 45 ATMs. To learn more about Southside
Bancshares, Inc., please visit our investor relations website at
http://www.southside.com/investor. Our investor relations site
provides a detailed overview of our activities, financial
information and historical stock price data. To receive e-mail
notification of company news, events and stock activity, please
register on the E-mail Notification portion of the website.
Questions or comments may be directed to Susan Hill at (903)
531-7220, or . Forward-Looking Statements Certain statements of
other than historical fact that are contained in this document and
in written material, press releases and oral statements issued by
or on behalf of the Company, a bank holding company, may be
considered to be "forward-looking statements" within the meaning of
and subject to the protections of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are not
guarantees of future performance, nor should they be relied upon as
representing management's views as of any subsequent date. These
statements may include words such as "expect," "estimate,"
"project," "anticipate," "appear," "believe," "could," "should,"
"may," "intend," "probability," "risk," "target," "objective,"
"plans," "potential," and similar expressions. Forward-looking
statements are statements with respect to the Company's beliefs,
plans, expectations, objectives, goals, anticipations, assumptions,
estimates, intentions and future performance and are subject to
significant known and unknown risks and uncertainties, which could
cause the Company's actual results to differ materially from the
results discussed in the forward-looking statements. For example,
discussions of the effect of the Company's expansion, including
expectations of the costs and profitability of such expansion,
trends in asset quality and earnings from growth, and certain
market risk disclosures are based upon information presently
available to management and are dependent on choices about key
model characteristics and assumptions and are subject to various
limitations. By their nature, certain of the market risk
disclosures are only estimates and could be materially different
from what actually occurs in the future. As a result, actual income
gains and losses could materially differ from those that have been
estimated. Additional information concerning the Company and its
business, including additional factors that could materially affect
the Company's financial results, is included in the Company's
Annual Report on Form 10-K for the year ended December 31, 2007
under "Forward-Looking Information" and Item 1A. "Risk Factors,"
and in the Company's other filings with the Securities and Exchange
Commission. The Company disclaims any obligation to update any
factors or to announce publicly the result of revisions to any of
the forward-looking statements included herein to reflect future
events or developments. Selected Financial At At At Condition Data
September 30, December 31, September 30, (at end of period): 2008
2007 2007 (dollars in thousands) (unaudited) Total assets
$2,524,098 $2,196,322 $1,904,029 Loans 987,375 961,230 795,588
Allowance for loan losses 12,928 9,753 7,668 Mortgage-backed and
related securities: Available for sale, at estimated fair value
1,011,955 727,553 665,244 Held to maturity, at cost 165,288 189,965
197,798 Investment securities: Available for sale, at estimated
fair value 121,509 109,928 87,671 Held to maturity, at cost 477 475
1,354 Federal Home Loan Bank stock, at cost 34,317 19,850 17,004
Deposits 1,479,192 1,530,491 1,354,323 Long-term obligations
589,905 146,558 149,795 Shareholders' equity 142,427 132,328
123,096 Nonperforming assets 8,561 3,946 2,177 Nonaccrual loans
6,192 2,913 1,307 Loans 90 days past due 1,320 400 466 Restructured
loans 158 225 167 Other real estate owned 549 153 172 Repossessed
assets 342 255 65 Asset Quality Ratios: Nonaccruing loans to total
loans 0.63% 0.30% 0.16% Allowance for loan losses to nonaccruing
loans 208.79 334.81 586.69 Allowance for loan losses to
nonperforming assets 151.01 247.16 352.23 Allowance for loan losses
to total loans 1.31 1.01 0.96 Nonperforming assets to total assets
0.34 0.18 0.11 Net charge-offs to average loans 0.70 0.09 0.08
Capital Ratios: Shareholders' equity to total assets 5.64 6.02 6.47
Average shareholders' equity to average total assets 6.17 6.22 6.28
LOAN PORTFOLIO COMPOSITION The following table sets forth loan
totals by category for the periods presented: At At At September
30, December 31, September 30, 2008 2007 2007 (in thousands)
(unaudited) Real Estate Loans: Construction $99,235 $107,397
$56,714 1-4 Family Residential 244,988 237,979 225,381 Other
185,248 200,148 178,847 Commercial Loans 165,929 154,171 125,809
Municipal Loans 118,568 112,523 110,084 Loans to Individuals
173,407 149,012 98,753 Total Loans $987,375 $961,230 $795,588 At or
for the At or for the Three Months Nine Months Ended September 30,
Ended September 30, 2008 2007 2008 2007 (dollars in thousands)
(dollars in thousands) (unaudited) (unaudited) Selected Operating
Data: Total interest income $34,260 $25,475 $97,931 $75,052 Total
interest expense 14,452 15,240 44,858 44,730 Net interest income
19,808 10,235 53,073 30,322 Provision for loan losses 3,150 620
8,336 954 Net interest income after provision for loan losses
16,658 9,615 44,737 29,368 Noninterest income Deposit services
4,739 4,274 13,823 12,472 Gain on securities available for sale 822
126 6,574 561 Gain on sale of loans 239 424 1,551 1,493 Trust
income 678 522 1,890 1,562 Bank owned life insurance income 314 273
1,382 805 Other 827 784 2,388 2,310 Total noninterest income 7,619
6,403 27,608 19,203 Noninterest expense Salaries and employee
benefits 10,002 7,242 27,521 21,644 Occupancy expense 1,449 1,261
4,264 3,619 Equipment expense 327 268 968 738 Advertising, travel
& entertainment 447 363 1,407 1,233 ATM and debit card expense
313 247 905 743 Director fees 134 126 425 394 Supplies 201 151 584
487 Professional fees 452 413 1,239 964 Postage 199 165 565 468
Telephone and communications 270 193 785 577 FDIC Insurance 220 38
688 112 Other 1,773 1,075 5,268 3,255 Total noninterest expense
15,787 11,542 44,619 34,234 Income before income tax expense 8,490
4,476 27,726 14,337 Provision for income tax expense 2,240 976
7,399 2,487 Net income $6,250 $3,500 $20,327 $11,850 Common share
data: Weighted-average basic shares outstanding 13,925 13,746
13,858 13,689 Weighted-average diluted shares outstanding 14,210
14,127 14,187 14,111 Net income per common share Basic $0.45 $0.26
$1.47 $0.87 Diluted 0.44 0.25 1.43 0.84 Book value per common share
- - 10.19 8.94 Cash dividend declared per common share 0.16 0.12
0.41 0.35 Selected Performance Ratios: Return on average assets
1.03% 0.75% 1.18% 0.86% Return on average shareholders' equity
17.47 11.75 19.19 13.68 Average yield on interest earning assets
6.23 6.00 6.33 5.97 Average yield on interest bearing liabilities
3.10 4.35 3.41 4.30 Net interest spread 3.13 1.65 2.92 1.67 Net
interest margin 3.68 2.52 3.52 2.52 Average interest earnings
assets to average interest bearing liabilities 121.82 125.22 121.45
124.66 Noninterest expense to average total assets 2.60 2.47 2.60
2.48 Efficiency ratio 56.35 66.45 56.88 66.63 RESULTS OF OPERATIONS
The analysis below shows average interest earning assets and
interest bearing liabilities together with the average yield on the
interest earning assets and the average cost of the interest
bearing liabilities. AVERAGE BALANCES AND YIELDS (dollars in
thousands) (unaudited) Nine Months Ended September 30, 2008
September 30, 2007 AVG AVG AVG AVG ASSETS BALANCE INTEREST YIELD
BALANCE INTEREST YIELD INTEREST EARNING ASSETS: Loans(1) (2)
$980,076 $55,818 7.61% $770,653 $39,937 6.93% Loans Held For Sale
2,734 99 4.84% 3,857 149 5.16% Securities: Investment Securities
(Taxable)(4) 47,105 1,377 3.90% 54,444 2,004 4.92% Investment
Securities (Tax-Exempt) (3)(4) 83,357 4,124 6.61% 41,831 2,221
7.10% Mortgage-backed and Related Securities (4) 983,882 38,876
5.28% 839,505 32,079 5.11% Total Securities 1,114,344 44,377 5.32%
935,780 36,304 5.19% FHLB stock and other investments, at cost
29,108 656 3.01% 20,071 945 6.29% Interest Earning Deposits 928 22
3.17% 586 26 5.93% Federal Funds Sold 4,118 79 2.56% 2,102 80 5.09%
Total Interest Earning Assets 2,131,308 101,051 6.33% 1,733,049
77,441 5.97% NONINTEREST EARNING ASSETS: Cash and Due From Banks
45,590 41,898 Bank Premises and Equipment 40,135 34,374 Other
Assets 86,988 43,046 Less: Allowance for Loan Loss (10,667) (7,326)
Total Assets $2,293,354 $1,845,041 LIABILITIES AND SHAREHOLDERS'
EQUITY INTEREST BEARING LIABILITIES: Savings Deposits $56,863 545
1.28% $51,825 505 1.30% Time Deposits 537,829 17,203 4.27% 547,659
20,055 4.90% Interest Bearing Demand Deposits 492,051 8,132 2.21%
396,075 9,421 3.18% Total Interest Bearing Deposits 1,086,743
25,880 3.18% 995,559 29,981 4.03% Short-term Interest Bearing
Liabilities 299,125 7,125 3.18% 269,344 9,771 4.85% Long-term
Interest Bearing Liabilities - FHLB Dallas 308,725 8,828 3.82%
97,662 3,315 4.54% Long-term Debt (5) 60,311 3,025 6.70% 27,662
1,663 8.04% Total Interest Bearing Liabilities 1,754,904 44,858
3.41% 1,390,227 44,730 4.30% NONINTEREST BEARING LIABILITIES:
Demand Deposits 367,786 319,854 Other Liabilities 28,623 19,178
Total Liabilities 2,151,313 1,729,259 Minority Interest in SFG 525
- SHAREHOLDERS' EQUITY 141,516 115,782 Total Liabilities and
Shareholders' Equity $2,293,354 $1,845,041 NET INTEREST INCOME
$56,193 $32,711 NET YIELD ON AVERAGE EARNING ASSETS 3.52% 2.52% NET
INTEREST SPREAD 2.92% 1.67% (1) Interest on loans includes fees on
loans that are not material in amount. (2) Interest income includes
taxable-equivalent adjustments of $1,825 and $1,705 for the nine
months ended September 30, 2008 and 2007, respectively. (3)
Interest income includes taxable-equivalent adjustments of $1,295
and $684 for the nine months ended September 30, 2008 and 2007,
respectively. (4) For the purpose of calculating the average yield,
the average balance of securities is presented at historical cost.
(5) Represents junior subordinated debentures issued by us to
Southside Statutory Trust III, IV, and V in connection with the
issuance by Southside Statutory Trust III of $20 million of trust
preferred securities, Southside Statutory Trust IV of $22.5 million
of trust preferred securities, Southside Statutory Trust V of $12.5
million of trust preferred securities and junior subordinated
debentures issued by Fort Worth Bancshares, Inc. to Magnolia Trust
Company I in connection with the issuance by Magnolia Trust Company
I of $3.5 million of trust preferred securities. Note: As of
September 30, 2008 and 2007, loans totaling $6,192 and $1,307,
respectively, were on nonaccrual status. The policy is to reverse
previously accrued but unpaid interest on nonaccrual loans;
thereafter, interest income is recorded to the extent received when
appropriate. AVERAGE BALANCES AND YIELDS (dollars in thousands)
(unaudited) Three Months Ended September 30, 2008 September 30,
2007 AVG AVG AVG AVG ASSETS BALANCE INTEREST YIELD BALANCE INTEREST
YIELD INTEREST EARNING ASSETS: Loans(1) (2) $985,953 $18,630 7.52%
$777,509 $13,678 6.98% Loans Held For Sale 2,099 29 5.50% 3,804 53
5.53% Securities: Investment Securities (Taxable)(4) 37,826 307
3.23% 44,743 552 4.89% Investment Securities (Tax-Exempt) (3)(4)
76,646 1,291 6.70% 43,679 772 7.01% Mortgage-backed and Related
Securities (4) 1,119,217 14,883 5.29% 851,985 10,982 5.11% Total
Securities 1,233,689 16,481 5.31% 940,407 12,306 5.19% FHLB stock
and other investments, at cost 33,810 180 2.12% 17,226 245 5.64%
Interest Earning Deposits 530 2 1.50% 655 9 5.45% Federal Funds
Sold 1,559 8 2.04% 2,028 28 5.48% Total Interest Earning Assets
2,257,640 35,330 6.23% 1,741,629 26,319 6.00% NONINTEREST EARNING
ASSETS: Cash and Due From Banks 45,061 40,381 Bank Premises and
Equipment 40,473 35,204 Other Assets 86,542 42,431 Less: Allowance
for Loan Loss (11,614) (7,381) Total Assets $2,418,102 $1,852,264
LIABILITIES AND SHAREHOLDERS' EQUITY INTEREST BEARING LIABILITIES:
Savings Deposits $58,646 188 1.28% $51,846 171 1.31% Time Deposits
497,663 4,502 3.60% 561,382 6,983 4.94% Interest Bearing Demand
Deposits 511,599 2,567 2.00% 402,884 3,237 3.19% Total Interest
Bearing Deposits 1,067,908 7,257 2.70% 1,016,112 10,391 4.06%
Short-term Interest Bearing Liabilities 279,502 1,986 2.83% 247,088
3,049 4.90% Long-term Interest Bearing Liabilities - FHLB Dallas
445,590 4,231 3.78% 86,147 997 4.59% Long-term Debt (5) 60,311 978
6.45% 41,518 803 7.67% Total Interest Bearing Liabilities 1,853,311
14,452 3.10% 1,390,865 15,240 4.35% NONINTEREST BEARING
LIABILITIES: Demand Deposits 382,940 323,130 Other Liabilities
39,105 20,134 Total Liabilities 2,275,356 1,734,129 Minority
Interest in SFG 425 - SHAREHOLDERS' EQUITY 142,321 118,135 Total
Liabilities and Shareholders' Equity $2,418,102 $1,852,264 NET
INTEREST INCOME $20,878 $11,079 NET YIELD ON AVERAGE EARNING ASSETS
3.68% 2.52% NET INTEREST SPREAD 3.13% 1.65% (1) Interest on loans
includes fees on loans that are not material in amount. (2)
Interest income includes taxable-equivalent adjustments of $630 and
$597 for the three months ended September 30, 2008 and 2007,
respectively. (3) Interest income includes taxable-equivalent
adjustments of $440 and $247 for the three months ended September
30, 2008 and 2007, respectively. (4) For the purpose of calculating
the average yield, the average balance of securities is presented
at historical cost. (5) Represents junior subordinated debentures
issued by us to Southside Statutory Trust III, IV, and V in
connection with the issuance by Southside Statutory Trust III of
$20 million of trust preferred securities, Southside Statutory
Trust IV of $22.5 million of trust preferred securities, Southside
Statutory Trust V of $12.5 million of trust preferred securities
and junior subordinated debentures issued by Fort Worth Bancshares,
Inc. to Magnolia Trust Company I in connection with the issuance by
Magnolia Trust Company I of $3.5 million of trust preferred
securities. Note: As of September 30, 2008 and 2007, loans totaling
$6,192 and $1,307, respectively, were on nonaccrual status. The
policy is to reverse previously accrued but unpaid interest on
nonaccrual loans; thereafter, interest income is recorded to the
extent received when appropriate. DATASOURCE: Southside Bancshares,
Inc. CONTACT: Susan Hill of Southside Bancshares, Inc.,
+1-903-531-7220, Web site: http://www.southside.com/
Copyright
