Ameris Bancorp Reports Net Income and Decline in Non-Performing Assets for First Quarter 2011

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Apr 26, 2011, 08:49 ET

MOULTRIE, Ga., April 26, 2011 /PRNewswire/ -- AMERIS BANCORP (Nasdaq: ABCB), today reported net income available to common shareholders of $580,000, or $0.02 per diluted share, for the quarter ended March 31, 2011, compared to a net loss of $2.3 million, or ($0.17) per diluted share, for the quarter ended March 31, 2010. Highlights of the results of the first quarter of 2011 include:

The first quarter of 2011 represented the 2nd consecutive quarter of profitability for the Company.
Non-accrual loans declined 24% from March 31, 2010 and 14% from December 31, 2010.
Tangible common equity as a percentage of total assets improved to 7.51% during the quarter.
The Company's net interest margin improved to 4.04%, despite historically low levels of earning assets to total assets and higher concentrations of short-term assets.
Allowance for loan losses as a percentage of non-performing loans increased to 52% in the current quarter compared to 37% at March 31, 2010.
Annualized net charge-offs for the current quarter declined to 1.88% of total loans compared to 3.33% for the year ended December 31, 2010.

"We are proud to report net income and a reduction in non-performing assets during the first quarter of 2011. Our financial results represent a significant improvement from prior quarters due to the success of several strategies we implemented throughout this economic cycle. We believe the benefits of these decisions will continue to positively impact earnings as we move forward in the national recovery," stated Edwin W. Hortman, Jr., President and CEO.

Continued Improvement in Credit Quality

Non-performing assets declined for the second consecutive quarter as the Company continued to see success in the resolution of problem assets and a slowing of problem asset formation. Total non-accrual loans declined 13.7% to $68.4 million at March 31, 2011 compared to $79.3 million at December 31, 2010 and $96.1 million at the peak of this economic cycle. The Company's balances in OREO (other real estate owned) increased to $62.3 million at March 31, 2011 from $57.9 million at December 31, 2010, as problem loans migrated to OREO for final liquidation. Mr. Hortman commented on credit quality, saying "Although we continue to see improvements in the resolution of our problem assets, we remain cautiously optimistic about improving market conditions. Our entire Ameris team continues to work diligently to reduce the problem assets on our balance sheet with the same sense of urgency as when this economic downturn began."

Net charge-offs on loans during the first quarter of 2011 decreased to $6.2 million as compared to $10.2 million during the fourth quarter of 2010 and $13.0 million during the first quarter of 2010. The Company's provision for loan losses during the first quarter of 2011 amounted to $7.1 million, a decline of $4.3 million as compared to the $11.4 million posted in the fourth quarter of 2010. At March 31, 2011, the Company's loan loss allowance totaled $35.4 million, or 2.63%, of ending legacy loans, compared to $34.6 million, or 2.52%, at the end of 2010.

Balance Sheet Trends

Total assets at March 31, 2011 were $2.92 billion, an increase of 24.3% as compared to March 31, 2010. This year-over-year increase is primarily due to the four FDIC-assisted transactions completed by the Company during 2010. However, as compared to balances at December 31, 2010, total assets decreased $53.7 million, or 7.3% on an annualized basis.

Total loans outstanding decreased $57.8 million during the first quarter of 2011 to $1.87 billion at March 31, 2011 from $1.93 billion at December 31, 2010. Loans acquired in FDIC-assisted transactions decreased by $29.0 million, and the Company's legacy loan portfolio declined $28.8 million, as the Company continued to resolve problem assets through upgrades, charge-offs or foreclosure.

Total deposits grew $37.3 million, or 6.0% on an annualized basis, during the first quarter of 2011, from $2.54 billion at December 31, 2010 to $2.57 billion at March 31, 2011. Noninterest-bearing deposits increased $14.1 million, or 18.9% on an annualized basis, and interest-bearing deposits increased $23.2 million, or 4.2% on an annualized basis.

Improvement in Net Interest Income and Net Interest Margin

Net interest income during the first quarter of 2011 totaled $24.2 million, an increase of $3.8 million, or 18.6%, compared to the $20.4 million reported for first quarter of 2010 and an increase of $1.2 million, or 5.2%, compared to the $23.0 million reported for the fourth quarter of 2010. The Company's net interest margin increased to 4.04%, compared to 3.92% during the same quarter of 2010 and 3.88% during the fourth quarter of 2010, due to an improvement in cost of funds. The yield on earning assets in the first quarter of 2011 was 5.35% compared to 5.36% in the first quarter of 2010 and 5.18% in the fourth quarter of 2010. The Company's cost of funding saw a greater improvement, as it decreased from 1.41% in the first quarter of 2010 and 1.27% in the fourth quarter of 2010 to 1.22% in the first quarter of 2011.

At March 31, 2011, the Company's earning assets totaled $2.4 billion, or 83.7% of total assets, compared to $2.1 billion, or 89.7% of total assets, at the same time in 2010. This decrease is attributable to the growth in non-earning assets associated with the FDIC-assisted transactions, such as covered loans, OREO, and the FDIC indemnification asset of $167.2 million at March 31, 2011. As these assets are resolved and liquidated, the proceeds are expected to be reinvested in earning assets.

Non-Interest Income and Expense

Total non-interest income for the first quarter of 2011 increased 26.8% to $6.2 million, from $4.9 million reported in the first quarter of 2010. Service charges on deposit accounts increased $828,000, or 24.1%, from the first quarter of 2010 due to the increased number of customer accounts. Income from mortgage related activities declined from $554,000 in the first quarter of 2010 to $450,000 in the first quarter of 2011. Other non-interest income increased due to a gain on the sale of a former branch building, increased check order fees and a higher level of merchant fee income.

Non-interest expenses increased from $16.9 million in the first quarter of 2010 to $21.2 million in the first quarter of 2011. Salaries and employee benefits reflect the largest increase; however, this increase is in proportion to the Company's asset growth. Total assets per full-time-equivalent employee increased from $4.0 million at March 31, 2010 to $4.2 million per employee at March 31, 2011. The Company believes the earnings potential to be significant as additional improvement is expected with the consolidation of Darby Bank & Trust Co. into the core Ameris Bank operations during the second quarter of 2011. The increase in occupancy and equipment expenses, as well as data processing and telecommunication expenses, is directly correlated to the increase in the number of branch locations from the first quarter of 2010 to the first quarter of 2011. Credit related expenses decreased as the Company reported a net gain of $700,000 on the sale of OREO in the first quarter of 2011, compared to a net loss of $487,000 in the first quarter of 2010 and a net loss of $2.0 million in the fourth quarter of 2010. Problem loan and OREO expense totaled $2.5 million for the three months ended March 31, 2011, compared to $2.9 million for the three months ended December 31, 2010, and $1.5 million for the three months ended March 31, 2010.

Ameris Bancorp is headquartered in Moultrie, Georgia, and at the end of the most recent quarter had 59 locations in Georgia, Alabama, northern Florida and South Carolina.

This news release contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Management of Ameris Bancorp (the "Company") uses these non-GAAP measures in its analysis of the Company's performance. These measures are useful when evaluating the underlying performance and efficiency of the Company's operations and balance sheet. The Company's management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company's management believes that investors may use these non-GAAP financial measures to evaluate the Company's financial performance without the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

This news release contains statements that constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words "believe", "estimate", "expect", "intend", "anticipate" and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates which they were made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors. Readers are cautioned not to place undue reliance on these forward-looking statements and are referred to the Company's periodic filings with the Securities and Exchange Commission for a summary of certain factors that may impact the Company's results of operations and financial condition.

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)

			Three Months Ended
			Mar.	Dec.	Sept.	June	Mar.
			2011	2010	2010	2010	2010

EARNINGS

	Net Income/(Loss) Available to Common Shareholders		$ 580	$ 1,050	$ (1,704)	$ (4,218)	$ (2,330)

PER COMMON SHARE DATA
	Earnings per share available to common shareholders:
		Basic	$ 0.02	$ 0.04	$ (0.07)	$ (0.20)	$ (0.17)
		Diluted	$ 0.02	$ 0.04	$ (0.07)	$ (0.20)	$ (0.17)
	Cash Dividends per share		$ -	$ -	$ -	$ -	$ -
	Stock dividend		-	-	-	1 for 210	1 for 130
	Book value per share (period end)		$ 9.41	$ 9.44	$ 9.48	$ 9.57	$ 10.18
	Tangible book value per share (period end)		$ 9.20	$ 9.22	$ 9.35	$ 9.43	$ 9.94
	Weighted average number of shares:
		Basic	23,440,201	23,427,393	23,427,919	21,231,367	13,906,137
		Diluted	23,474,424	23,579,205	23,427,919	21,231,367	13,906,137
	Period-end number of shares		23,766,044	23,647,841	23,626,169	23,515,468	14,108,672
	Market data:
		High closing price	$ 11.10	$ 11.07	$ 10.49	$ 11.55	$ 10.32
		Low closing price	$ 9.32	$ 8.73	$ 7.83	$ 9.00	$ 7.36
		Period end closing price	$ 10.16	$ 10.54	$ 9.35	$ 9.66	$ 9.03
		Average daily volume	46,618	55,281	75,573	205,388	37,715

PERFORMANCE RATIOS
	Return on average assets		0.08%	0.15%	(0.28%)	(0.68%)	(0.26%)
	Return on average common equity		1.06%	1.85%	(3.01%)	(8.77%)	(4.33%)
	Earning asset yield (TE)		5.35%	5.18%	5.34%	5.32%	5.36%
	Total cost of funds		1.22%	1.27%	1.33%	1.34%	1.41%
	Net interest margin (TE)		4.04%	3.88%	4.04%	4.01%	3.92%
	Non-interest income excluding securities transactions,
		as a percent of total revenue (TE) (1)	15.49%	16.12%	16.74%	12.40%	14.15%
	Efficiency ratio		69.59%	62.15%	70.08%	63.35%	66.93%

CAPITAL ADEQUACY (period end)
	Stockholders' equity to assets		9.38%	9.20%	11.25%	11.35%	8.22%
	Tangible common equity to tangible assets		7.51%	7.35%	9.08%	9.17%	5.97%

EQUITY TO ASSETS RECONCILIATION
	Tangible common equity to tangible assets		7.51%	7.35%	9.08%	9.17%	5.97%
	Effect of preferred equity		1.72%	1.69%	2.05%	2.06%	2.11%
	Effect of goodwill and other intangibles		0.16%	0.16%	0.12%	0.12%	0.14%
		Equity to assets (GAAP)	9.38%	9.20%	11.25%	11.35%	8.22%

OTHER PERIOD-END DATA
	FTE Headcount		691	708	570	581	594
	Assets per FTE		$ 4,223	$ 4,198	$ 4,271	$ 4,169	$ 3,959
	Branch locations		59	59	50	53	53
	Deposits per branch location		$ 43,605	$ 42,257	$ 41,980	$ 39,246	$ 39,402

(1) Includes gain from acquisition

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)

			Three Months Ended
			Mar.	Dec.	Sept.	June	Mar.
			2011	2010	2010	2010	2010

INCOME STATEMENT

Interest income
	Interest and fees on loans		$ 28,971	$ 27,676	$ 26,465	$ 28,187	$ 25,156
	Interest on taxable securities		2,658	2,562	2,295	2,502	2,462
	Interest on nontaxable securities		320	317	295	299	304
	Interest on deposits in other banks		175	204	104	97	57
	Interest on federal funds sold		13	52	13	12	12
		Total interest income	32,137	30,811	29,172	31,097	27,991

Interest expense
	Interest on deposits		$ 7,375	$ 7,328	$ 6,903	$ 7,084	$ 7,332
	Interest on other borrowings		555	477	270	154	246
		Total interest expense	7,930	7,805	7,173	7,238	7,578

Net interest income			24,207	23,006	21,999	23,859	20,413

Provision for loan losses			7,043	11,404	9,739	18,608	10,770

Net interest income/(loss) after provision for loan losses			$ 17,164	$ 11,602	$ 12,260	$ 5,251	$ 9,643

Noninterest income
	Service charges on deposit accounts		$ 4,267	$ 4,323	$ 3,761	$ 3,620	$ 3,439
	Mortgage banking activity		450	806	713	675	554
	Other service charges, commissions and fees		239	180	180	232	213
	Gain(loss) on sale of securities		224	-	-	-	200
	Gains from acquisitions		-	6,442	-	8,209	-
	Other non-interest income		1,013	552	357	313	479
		Total noninterest income	6,193	12,303	5,011	13,049	4,885

Noninterest expense
	Salaries and employee benefits		9,843	8,510	7,555	8,027	7,826
	Occupancy and equipment expenses		2,730	1,989	2,171	2,025	2,027
	Data processing and telecommunications expenses		2,396	2,075	1,729	2,077	1,763
	FDIC Insurance expense		1,245	1,296	1,304	1,285	1,248
	Credit related expenses (1)		1,797	4,936	3,232	6,224	2,020
	Advertising and marketing expenses		163	97	167	143	159
	Amortization of intangible assets		263	277	254	186	271
	Goodwill impairment		-	-	-	-	-
	Other non-interest expenses		2,718	2,766	2,516	3,416	1,617
		Total noninterest expense	21,155	21,946	18,928	23,383	16,931

Operating profit/(loss)			$ 2,202	$ 1,959	$ (1,657)	$ (5,083)	$ (2,403)

	Income tax (benefit)/expense		824	98	(760)	(1,664)	(869)

Net income/(loss)			$ 1,378	$ 1,861	$ (897)	$ (3,419)	$ (1,534)

Preferred stock dividends			798	811	807	799	796

Net income/(loss) available
to common shareholders			$ 580	$ 1,050	$ (1,704)	$ (4,218)	$ (2,330)

Diluted earnings available to common shareholders			0.02	0.04	(0.07)	(0.20)	(0.17)

	(1) Includes expenses associated with problem loans and OREO, as well as OREO losses and writedowns.

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)


			Three Months Ended
			Mar.	Dec.	Sept.	June	Mar.
			2011	2010	2010	2010	2010

PERIOD-END BALANCE SHEET

Assets
	Cash and due from banks		$ 88,386	$ 74,326	$ 43,814	$ 54,444	$ 68,859
	Federal funds sold and interest bearing balances		264,508	261,262	306,867	240,075	200,942
	Investment securities available for sale, at fair value		305,620	322,581	236,048	237,985	248,013
	Other investments		12,436	12,440	7,106	7,531	7,260

	Loans, net of unearned income		1,345,981	1,374,757	1,455,853	1,493,126	1,536,528
	Covered loans		526,012	554,991	192,267	191,663	123,771
	Less allowance for loan losses		35,443	34,576	34,072	33,585	33,562
		Loans, net	1,836,550	1,895,172	1,614,048	1,651,204	1,626,737

	Other real estate owned		62,258	57,917	50,919	41,079	34,682
	Covered other real estate owned		59,757	54,931	28,416	25,845	17,862
		Total other real estate owned	122,015	112,848	79,335	66,924	52,544

	Premises and equipment, net		66,359	66,589	66,056	66,708	66,523
	Intangible assets, net		3,973	4,261	3,097	3,314	3,364
	Goodwill		956	956	-	-	-
	FDIC loss sharing receivable		167,176	177,187	42,532	57,946	47,579
	Other assets		50,444	44,546	35,800	35,779	29,711
		Total assets	$ 2,918,423	$ 2,972,168	$ 2,434,703	$ 2,421,910	$ 2,351,532

Liabilities
	Deposits:
		Noninterest-bearing	$ 316,060	$ 301,971	$ 235,646	$ 218,012	$ 222,454
		Interest-bearing	2,256,629	2,233,455	1,863,355	1,862,014	1,865,852
	Total deposits		2,572,689	2,535,426	2,099,001	2,080,026	2,088,306
	Federal funds purchased & securities sold under
		agreements to repurchase	20,257	68,184	13,186	17,600	20,640
	Other borrowings		-	43,495	-	-	2,000
	Other liabilities		9,351	9,387	6,279	7,145	5,082
	Subordinated deferrable interest debentures		42,269	42,269	42,269	42,269	42,269
		Total liabilities	2,644,566	2,698,761	2,160,735	2,147,040	2,158,297


Stockholders' equity
Preferred stock			$ 50,269	$ 50,121	$ 49,975	$ 49,832	$ 49,691
Common stock			25,102	24,983	24,961	24,961	15,379
Capital surplus			165,995	165,930	165,544	165,544	88,996
Retained earnings			37,580	37,000	35,948	37,519	42,431
Accumulated other comprehensive income/(loss)			5,742	6,204	8,371	7,834	7,676
Less treasury stock			(10,831)	(10,831)	(10,831)	(10,820)	(10,812)
		Total stockholders' equity	273,857	273,407	273,968	274,870	193,361
		Total liabilities and stockholders' equity	$ 2,918,423	$ 2,972,168	$ 2,434,703	$ 2,421,910	$ 2,351,658


Other Data
Earning Assets			2,442,121	2,513,591	2,191,035	2,162,849	2,109,254
Intangible Assets			4,929	5,217	3,097	3,314	3,364
Interest Bearing Liabilities			2,319,155	2,413,319	1,918,810	1,921,883	1,930,761
Average Assets			2,949,943	2,872,207	2,429,709	2,444,425	2,377,348
Average Common Stockholders' Equity			222,675	225,088	224,656	217,042	143,655

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)


			Three Months Ended
			Mar.	Dec.	Sept.	June	Mar.
			2011	2010	2010	2010	2010

ASSET QUALITY INFORMATION (1)

Allowance for loan losses
	Balance at beginning of period		$ 34,576	$ 34,072	$ 33,585	$ 33,563	$ 35,762
	Acquired Reserves		-	-	-	-	-
	Provision for loan loss (2)		7,092	10,742	9,602	17,725	10,770

		Charge-offs	7,067	10,513	10,108	18,756	13,246
		Recoveries	842	275	993	1,053	277
	Net charge-offs (recoveries)		6,225	10,238	9,115	17,703	12,969

	Ending balance		$ 35,443	$ 34,576	$ 34,072	$ 33,585	$ 33,563

	As a percentage of loans		2.63%	2.52%	2.34%	2.25%	2.18%
	As a percentage of nonperforming loans		51.82%	43.61%	37.92%	36.37%	37.44%


Net charge-off information
	Charge-offs
	Commercial, Financial and Agricultural		$ 1,113	$ 1,907	$ 866	$ 703	$ 2,008
	Real Estate - Residential		809	1,328	3,100	4,739	924
	Real Estate - Commercial and Farmland		2,557	2,368	4,118	5,023	4,593
	Real Estate - Construction and Development		2,425	4,519	1,557	8,202	5,576
	Consumer Installment		163	391	467	89	145
	Other		-	-	-	-	-
		Total charge-offs	7,067	10,513	10,108	18,756	13,246

	Recoveries
	Commercial, Financial and Agricultural		20	22	41	430	78
	Real Estate - Residential		14	20	54	84	28
	Real Estate - Commercial and Farmland		2	182	392	202	64
	Real Estate - Construction and Development		772	22	458	140	64
	Consumer Installment		34	29	48	197	43
	Other		-	-	-	-	-
		Total recoveries	842	275	993	1,053	277

	Net charge-offs (recoveries)		$ 6,225	$ 10,238	$ 9,115	$ 17,703	$ 12,969



Non-accrual loans			68,391	79,289	89,862	92,336	89,649
Foreclosed assets			62,258	57,916	50,919	41,079	34,682
Accruing loans delinquent 90 days or more			-	-	-	-	-
Total non-performing assets			130,649	137,205	140,781	133,415	124,331

Non-performing assets as a percent of total assets			4.48%	4.62%	5.78%	5.62%	5.21%
Net charge offs as a percent of loans (Annualized)			1.88%	2.87%	2.14%	4.22%	3.12%

(1) Asset quality information is presented net of covered assets where the Company's risk exposure is limited substantially by loss sharing agreements with the FDIC. (2) During 2010 and 2011, the Company recorded provision for loan loss expense to account for losses where the initial estimate of cash flows was found to be excessive on loans acquired in FDIC assisted acquisitions. These amounts are excluded from the calculation above but reflected in the Company's Consolidated Statement of Operations.

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)


		Three Months Ended
		Mar.	Dec.	Sept.	June	Mar.
		2011	2010	2010	2010	2010


AVERAGE BALANCES

	Federal funds sold	$ 32,891	$ 28,523	$ 61,465	$ 54,245	$ 25,831
	Interest bearing deposits in banks	204,268	267,337	190,203	232,733	173,125
	Investment securities - taxable	262,778	246,417	199,244	209,532	209,465
	Investment securities - nontaxable	38,794	37,649	35,813	35,650	36,430
	Other investments	12,218	7,603	7,246	8,061	5,495
	Loans	1,902,091	1,790,536	1,690,705	1,683,522	1,683,518
	Total Earning Assets	$ 2,453,040	$ 2,378,065	$ 2,184,676	$ 2,223,743	$ 2,133,864

	Noninterest bearing deposits	$ 310,226	$ 275,184	$ 225,907	$ 237,276	$ 231,765
	NOW accounts	584,338	527,264	478,105	482,798	505,566
	MMDA	522,009	455,041	448,955	441,445	424,913
	Savings accounts	76,341	63,972	64,575	64,887	63,436
	Retail CDs < $100,000	427,143	460,444	367,353	375,339	331,294
	Retail CDs > $100,000	504,011	392,266	375,756	371,754	393,473
	Brokered CDs	124,441	$ 136,201	$ 128,346	138,113	151,333
	Total Deposits	2,548,509	2,310,372	2,088,997	2,111,612	2,101,780

	FHLB advances	25,114	28,205	-	747	2,000
	Subordinated debentures	42,269	42,269	42,269	42,269	42,269
	Federal funds purchased and securities sold
	under agreements to repurchase	22,100	49,878	14,246	18,698	30,650
	Other borrowings	-	-	-	-	-
	Total Non-Deposit Funding	89,483	120,352	56,515	61,714	74,919

	Total Funding	$ 2,637,992	$ 2,430,724	$ 2,145,512	$ 2,173,326	$ 2,176,699

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)

			Three Months Ended
			Mar.	Dec.	Sept.	June	Mar.
			2011	2010	2010	2010	2010

INTEREST INCOME/EXPENSE

	INTEREST INCOME
		Federal funds sold	$ 13	$ 50	$ 13	$ 12	$ 12
		Interest bearing deposits in banks	175	204	104	97	57
		Investment securities - taxable	2,658	2,562	2,295	2,438	2,462
		Investment securities - nontaxable (TE)	492	489	453	460	468
		Loans (TE)	29,010	27,746	26,527	28,818	25,224
		Total Earning Assets	$ 32,348	$ 31,051	$ 29,392	$ 31,825	$ 28,223

	INTEREST EXPENSE
		Non-interest bearing deposits	$ -	$ -	$ -	$ -	$ -
		NOW accounts	1,048	1,063	1,087	1,135	1,234
		MMDA	1,407	1,401	1,428	1,446	1,484
		Savings accounts	132	82	76	75	90
		Retail CDs < $100,000	1,745	1,985	1,596	1,689	1,568
		Retail CDs > $100,000	2,094	1,782	1,709	1,674	1,881
		Brokered CDs	949	1,017	1,006	1,065	1,076
		Total Deposits	7,375	7,330	6,902	7,084	7,333

		FHLB advances	123	39	-	12	30
		Subordinated debentures	351	342	246	113	178
		Repurchase agreements	81	96	19	26	36
		Correspondent bank line of credit and other	-	(1)	5	2	2
		Total Non-Deposit Funding	555	476	270	153	246

		Total Funding	$ 7,930	$ 7,806	$ 7,172	$ 7,237	$ 7,579

		Net Interest Income (TE)	$ 24,418	$ 23,245	$ 22,220	$ 24,588	$ 20,644

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)


		Three Months Ended
		Mar.	Dec.	Sept.	June	Mar.
		2011	2010	2010	2010	2010
YIELDS (1)

	Federal funds sold	0.16%	0.70%	0.08%	0.09%	0.19%
	Interest bearing deposits in banks	0.35%	0.30%	0.22%	0.17%	0.13%
	Investment securities - taxable	4.10%	4.12%	4.57%	4.67%	4.77%
	Investment securities - nontaxable	5.14%	5.15%	5.02%	5.18%	5.21%
	Loans	6.19%	6.15%	6.22%	6.87%	6.08%
	Total Earning Assets	5.35%	5.18%	5.34%	5.74%	5.36%

	Noninterest bearing deposits	0.00%	0.00%	0.00%	0.00%	0.00%
	NOW accounts	0.73%	0.80%	0.90%	0.94%	0.99%
	MMDA	1.09%	1.22%	1.26%	1.31%	1.42%
	Savings accounts	0.70%	0.51%	0.47%	0.46%	0.58%
	Retail CDs < $100,000	1.66%	1.71%	1.72%	1.80%	1.92%
	Retail CDs > $100,000	1.68%	1.80%	1.80%	1.81%	1.94%
	Brokered CDs	3.09%	2.96%	3.11%	3.09%	2.88%
	Total Deposits	1.17%	1.26%	1.31%	1.35%	1.41%

	FHLB advances	1.99%	0.55%	0.00%	6.44%	6.08%
	Subordinated debentures	3.37%	3.21%	2.31%	1.07%	1.71%
	Repurchase agreements	1.49%	0.76%	0.53%	0.56%	0.48%
	Correspondent bank line of credit and other	0.00%	0.00%	0.00%	0.00%	0.00%
	Total Non-Deposit Funding	2.52%	1.57%	1.90%	0.99%	1.33%

	Total funding (3)	1.22%	1.27%	1.33%	1.34%	1.41%

	Net interest spread	4.13%	3.91%	4.01%	4.40%	3.95%

	Net interest margin	4.04%	3.88%	4.04%	4.43%	3.92%
(1) Interest and average rates are calculated on a tax-equivalent basis using an effective tax rate of 35%.
(2) Rate calculated based on average earning assets.
(3) Rate calculated based on total average funding including non-interest bearing liabilities.

AMERIS BANCORP
FINANCIAL HIGHLIGHTS
(unaudited)
(dollars in thousands except per share data and FTE headcount)


		Three Months Ended
		Mar.	Dec.	Sept.	June	Mar.
	Core Earnings Reconciliation	2011	2010	2010	2010	2010

	Pre-tax operating profit/(loss)	$ 2,202	$ 1,959	$ (1,657)	$ (5,083)	$ (2,403)
	Plus: Credit Related Costs
	Provision for loan losses	7,043	11,404	9,739	18,608	10,770
	(Gains)/Losses on the sale of legacy OREO	1,591	2,033	1,263	4,173	487
	Problem loan and OREO expense	2,498	2,903	1,969	2,051	1,533
	Interest reversed (received) on non-accrual loans	(389)	478	533	1,017	575
	Total Credit-Related Costs	10,743	16,818	13,504	25,849	13,365

	Plus: Non-recurring impairment charges	-	-	-	-	-
	Plus: Costs associated with capital raise	-	-	-	933
	Less: Non-recurring gains
	Gains related to FDIC acquisitions	-	(6,442)	-	(8,209)	-
	Gains on sales of securities	(224)	-	-	-	(200)
	Gains on sales of bank premises	(128)	-	-	(149)	(249)
	Other non-recurring adjustments	-	-	-	(1,408)	-

	Pretax, Pre-provision earnings	$ 12,593	$ 12,335	$ 11,847	$ 11,933	$ 10,513



		Three Months Ended
		Mar.	Dec.	Sept.	June	Mar.
	Recurring Operating Expenses	2011	2010	2010	2010	2010

	Total Operating Expenses	21,155	21,946	18,928	23,383	16,931
	Less: Credit costs & non-recurring charges
	Gains/(Losses) on the sale of legacy OREO	(1,591)	(2,033)	(1,263)	(4,173)	(487)
	Gains/(Losses) on the sale of covered OREO	2,292
	Problem loan and OREO expense	(2,498)	(2,903)	(1,969)	(2,051)	(1,533)
	Costs associated with capital raise	-	-	-	(933)	-
	Severance payments	-	-	(16)	(310)	-
	(Gains)/Losses on the sale of premises	128	-	(124)	149	249
	FDIC insurance expense	(1,245)	(1,296)	(1,304)	(1,285)	(1,248)

	Recurring operating expenses	$ 18,241	$ 15,714	$ 14,252	$ 14,780	$ 13,912

SOURCE Ameris Bancorp