Independence Community Bank Corp. Reports a 29.2% Increase in Diluted Earnings per Share for Fourth Quarter

Apr 23, 2001, 01:00 ET from Independence Community Bank Corp.

    NEW YORK, April 23 /PRNewswire Interactive News Release/ -- Independence
 Community Bank Corp. (Nasdaq:   ICBC), reported today that diluted earnings per
 share increased 29.2% to $0.31 per share and 22.2% to $1.10 per share for the
 quarter and year ended March 31, 2001, respectively, as compared to $0.24 per
 share and $0.90 per share for the same respective periods in fiscal 2000.  Net
 income increased 12.0% to $16.4 million and 16.5% to
 $62.0 million for the quarter and year ended March 31, 2001, respectively,
 compared to $14.7 million and $53.2 million, respectively, for the same
 periods in the prior fiscal year.
     Charles J. Hamm, Chairman, commenting on the Company's performance,
 stated, "It is extremely satisfying to end fiscal 2001 with these record
 earnings levels.  These earnings, recognize the substantial investment
 Independence has made in the past three years towards developing more
 commercial bank-like products and reflecting the success of our broader
 banking strategy.  Depositors who bought stock in our IPO in March of 1998
 have received over a twenty percent average return on their investment each
 year since."
     Alan H. Fishman, President and Chief Executive Officer, remarked "I am
 eager to continue to build upon the success we have achieved during the past
 fiscal year and excited to have joined Independence at a time when there is
 strong growth potential in several key business sectors.  The Bank's financial
 strength and market position provide an excellent platform on which to build
 on past successes and grow both organically and externally.  I am confident
 that we have the resources and the talent to make Independence the premier
 community bank in the New York market in the next few years."
 
     Recent Accomplishments
      -- The acquisition of Summit Bank's mortgage banking finance group with
 more than $127 million in warehouse lines with $83 million outstanding
 advances, effective April 13, 2001.
 
     During the fiscal year the Company implemented the following:
      -- The defined benefit pension plan was amended, which resulted in annual
 savings of $3.5 million.
      -- In addition to continuing to generate mortgage loans on multi-family
 and commercial real estate, the Company commenced a strategy to originate and
 sell commercial real estate loans in the secondary market while retaining
 servicing.
      -- A $100 million Bank-Owned Life Insurance ("BOLI") program was
 implemented to provide attractive tax-exempt income while providing a funding
 mechanism to the Bank to meet its benefit obligations.
      -- Introduced a new, secure and easy to use internet banking system which
 combines an interactive voice response system and a customer call center.
 Increased the quarterly dividend rate to $0.08 per share which represents the
 fifth dividend rate increase since its conversion to a public company in March
 1998.
      -- Continued its stock repurchase strategy.  To date, the Company has
 repurchased approximately 35% of its stock issued in connection with its
 mutual to stock conversion in 1998, with approximately 12% being reissued in
 acquisitions.  The Company is currently conducting its eighth repurchase
 program.
 
     Cash Earnings
     Cash earnings for the fourth quarter of fiscal 2001 increased 11.4% to
 $23.5 million and increased 25.7% per cash diluted share to $0.44 compared to
 the fourth quarter of the prior fiscal year.  For the fiscal year ended March
 31, 2001, cash earnings increased 21.3% to $89.1 million and increased 27.4%
 per cash diluted share to $1.58 as compared to the fiscal year ended March 31,
 2000. Cash earnings include net income adjusted for the amortization of
 intangibles and certain charges related to the Company's stock benefit plans,
 net of tax.
 
     Net Interest Income
     For the quarter ended March 31, 2001, net interest income before provision
 for loan losses increased 2.2% to $56.6 million compared to the fourth quarter
 of fiscal 2000.  The increase was primarily the result of a $261.2 million
 increase in average interest-earning assets partially offset by a 12 basis
 point decline in the net interest margin to 3.46% for the quarter ended March
 31, 2001 compared to 3.58% for the quarter ended March 31, 2000.  The increase
 in average interest-earning assets was mainly attributable to growth in
 commercial mortgage and business loans, which were primarily funded with
 borrowings.  The decline in the net interest margin for the quarter compared
 to the prior year quarter reflected the effect of increases in short-term
 interest rates during the first three quarters of the fiscal year.  The
 effects of such increases were partly diminished by the reduction in interest
 rates by the Federal Open Market Committee of the Federal Reserve during the
 fourth quarter of fiscal 2001.  Net interest income in the current quarter was
 also negatively effected by the BOLI investment, the income from which is
 included in non-interest income.
     For the year ended March 31, 2001, net interest income before the
 provision for loan losses increased by $24.4 million, or 12.3%, to
 $223.2 million compared to $198.8 million for the year ended March 31, 2000.
 Average interest-earning assets for the year increased by $623.6 million
 primarily due to the asset growth resulting from the acquisitions of Broad
 National Bancorporation and Statewide Financial Corp., and, to a lesser
 extent, the growth in the commercial mortgage and business loan portfolios.
 The interest rate spread and net interest margin were 3.23% and 3.51%,
 respectively, for the fiscal 2001 period, compared to 3.06% and 3.47%,
 respectively, for the fiscal 2000 period.  The increases in the interest rate
 spread and net interest margin were attributable, in part, to the addition of
 Broad's higher yielding commercial mortgage and business loan portfolios and
 the associated lower cost commercial deposit base, partially offset by
 interest rate compression experienced during the period.  Net interest income
 in the current year was also adversely effected by the BOLI investment.
 
     Provision for Loan Losses
     The Company recorded $0.6 million and $1.4 million provisions for loan
 losses for the fourth quarter and fiscal 2001, respectively, declines of
 $1.1 million and $8.4 million from the provisions for loan losses for the
 quarter and year ended March 31, 2000, respectively.  Management considers the
 qualitative and quantitative assessment of the loan portfolio and protection
 provided by the level of the Company's existing allowance for loan losses in
 determining the amount of the provision for loan losses.  The provision
 recorded during the fourth quarter reflected the Company's increased emphasis
 on commercial real estate and business loan originations, the substantial
 increase in mortgage warehouse advances and the $1.4 million in net loan
 charge-offs, primarily commercial business loans, occurring during the fourth
 quarter of fiscal 2001.  Management believes the allowance for loan losses at
 March 31, 2001 was adequate and will continue to evaluate the adequacy of the
 allowance for loan losses.  Non-performing assets as a percentage of total
 assets totaled 0.51% at March 31, 2001 compared to 0.40% at March 31, 2000.
 The $9.2 million increase in non-performing assets from $26.4 million at
 March 31, 2000 to $35.6 million at March 31, 2001 reflected increases of
 $3.0 million in non-accrual commercial business loans and $6.2 million of
 loans 90 days or more past maturity which continued to make payments on a
 basis consistent with the original repayment schedule.
 
     Non-Interest Income
     Increasing non-interest income has been an on-going strategic objective.
 As a result of the implementation of a variety of initiatives, the Company
 experienced a $7.8 million increase in non-interest income, or 162.9%, to
 $12.6 million for quarter ended March 31, 2001, compared to $4.8 million for
 the quarter ended March 31, 2000.  Non-interest income increased
 $21.4 million, or 126.7%, to $38.3 million for year ended March 31, 2001,
 compared to $16.9 million for the year ended March 31, 2000.
     During fiscal 2001, the Company recognized net gains of $3.4 million
 primarily from the sale of the $35.7 million student loan portfolio and
 securities sales of $72.1 million, the proceeds of which funded the
 $100 million BOLI program.
     Income from mortgage-banking activity reflects $3.6 million in gains and
 $1.3 million of origination fees related to the sale in the secondary market
 of $509.9 million of commercial real estate loans during the fiscal 2001
 period, with the Bank retaining servicing.
     Service fees increased 47.1% to $6.2 million and 76.4% to $24.0 million
 for the quarter and year ended March 31, 2001, respectively, compared to the
 same periods in fiscal 2000.  These increases were due to increased banking
 and service fees from the core and expanded branch network resulting from the
 acquisitions of Broad and Statewide.
     Other non-interest income, consisting primarily of income from the BOLI
 program and mortgage prepayment fees, increased by $1.6 million to
 $2.2 million for the quarter ended March 31, 2001, compared to $0.6 million
 for the quarter ended March 31, 2000 and increased by $1.0 million to
 $6.0 million for the year ended March 31, 2001, compared to $5.0 million for
 the prior fiscal year.  The Company recorded approximately $1.4 million and
 $2.7 million in income related to the BOLI program for the quarter and year
 ended March 31, 2001, respectively.  Prior to the investment in the BOLI
 program, the $100 million premium was initially invested in investment
 securities, income from which was recognized in interest income.  Non-interest
 income was adversely effected by a decline in the level of mortgage
 prepayments during fiscal 2001, as general market rates of interest increased
 during the majority of the fiscal year, resulting in reduced mortgage
 refinancing and lower mortgage prepayment fees of $2.1 million.
 
     Non-Interest Expense
     For the quarter ended March 31, 2001, non-interest expense increased
 $5.2 million, or 14.9%, to $40.3 million compared to $35.1 million for the
 fourth quarter of fiscal 2000.  For the year ended March 31, 2001,
 non-interest expense amounted to $152.8 million, an increase of $32.9 million
 or 27.5%, compared to $119.9 million for the same period in fiscal 2000.  The
 increase for both periods was mainly attributable to the expansion of
 operations resulting from the Statewide acquisition and, to a lesser degree,
 the Broad acquisition, which increased expenses for compensation and benefits,
 occupancy, data processing, amortization of intangibles and other expenses.
 The third de novo branch opened in fiscal 2001 was opened during the fourth
 quarter of fiscal 2001.  As a result of the recent expansion of the Company's
 branch network, the Company anticipates higher annual operating costs as a
 result of the increased number of branch facilities.
     Compensation and benefits increased $1.3 million and $11.2 million for the
 three months and year ended March 31, 2001, respectively.  The increase for
 the quarter was due to increased compensation and stock related benefit plan
 costs of $1.2 million and $1.0 million, respectively, partially offset by a
 $0.7 million reduction in pension expense.  The $11.2 million increase for
 fiscal 2001 was primarily due to $10.3 million in increased compensation,
 increased stock related benefit plan costs of $1.1 million, increased medical
 insurance and post-retirement health care costs of $2.1 million, partially
 offset by a $3.3 million reduction in pension expense.  The increased
 compensation and medical costs primarily result from staff additions due to
 the Statewide and Broad acquisitions.  The pension expense reduction resulted
 from amendments to the pension plan adopted in the second quarter of fiscal
 2001.
     Data processing costs increased $0.3 million and $1.0 million for the
 quarter and year ended March 31, 2001, respectively.  The increases were a
 result of additional costs associated with the expanded operations resulting
 from the Broad and Statewide acquisitions.  The fiscal 2000 period included
 expenses related to Year 2000 compliance testing.
     Amortization of intangibles increased $0.2 million and $6.6 million for
 the quarter and year ended March 31, 2001 compared to the same periods in
 fiscal 2000.  The increase reflected amortization throughout fiscal 2001 of
 the goodwill incurred in the Broad and Statewide acquisitions compared to
 amortization of eight months for Broad and three months for Statewide in
 fiscal 2000.
     Other non-interest expense increased $1.5 million and $7.4 million for the
 quarter and year ended March 31, 2001, respectively, primarily due to the
 expanded operations resulting from the Broad and Statewide acquisitions, as
 well as to costs associated with the internal growth of the Company's
 infrastructure, including three new branch facilities, a new customer call
 center and expanded lending activities.
     The Company's effective tax rate increased to 42.2% for fiscal 2001
 compared to 38.1% for fiscal 2000.  The increase was due to the effect of the
 non-deductible amortization of intangibles arising from the Broad and
 Statewide acquisitions in fiscal 2000.
 
     Financial Condition
     Total assets at March 31, 2001 were $7.01 billion, an increase of
 $406.7 million compared to March 31, 2000, resulting mainly from the growth of
 $310.9 million in the loan portfolio.  Such loan growth was funded primarily
 through the use of borrowings.  The Company originated for its own portfolio
 during the year ended March 31, 2001 in excess of $646.8 million of mortgage
 loans, of which approximately $293.7 million were multi-family residential
 mortgage loans and $332.9 million were commercial mortgage loans.  During the
 fourth quarter of the fiscal year, the Company sold $260.0 million of
 commercial mortgage loans out of its existing portfolio to be reinvested in
 higher yielding loan products.  As a result of these activities, commercial
 real estate loans comprised 19.3% of the mortgage portfolio at March 31, 2001
 compared to 13.4% at March 31, 2000.  The $298.8 million increase in other
 loans during the year ended March 31, 2001 was primarily the result of a
 $183.1 million increase in commercial business loans and an $158.5 million
 increase related to the warehouse mortgage lines of credit partially offset by
 a $38.1 million decrease in student loans as a result of the sale of
 substantially all of the portfolio.  The warehouse mortgage lines of credit
 are secured short-term advances extended to mortgage-banking companies to fund
 the origination of one-to-four family mortgages.  Deposits increased by $254.0
 million during fiscal 2001 primarily as the result of the continuing effort to
 grow core deposits and to a lesser extent, the opening of three branches.
     Stockholders' equity totaled $813.2 million at March 31, 2001, compared to
 $834.8 million at March 31, 2000.  The $21.7 million decrease was primarily
 due to a $113.1 million reduction in capital resulting from the purchase of
 shares in connection with the Company's open market stock repurchase programs
 and dividends declared of $17.4 million.  These decreases were partially
 offset by net income of $62.0 million, a $10.1 million increase related to the
 amortization of grants and allocations pursuant to stock benefit plans, a
 $32.4 million decrease in the net unrealized loss on securities
 available-for-sale, reflecting the effect on fair market value as a result of
 declines in market rates of interest during fiscal 2001 and a $4.7 million
 valuation adjustment of the deferred tax asset reflecting the fair market
 value of stock contributed to the Independence Community Foundation at its
 inception in March 1998.  Tangible book value per share was $10.39 and the
 tangible equity to tangible assets ratio was 9.02% at March 31, 2001 as
 compared to $9.13 and 9.62% at March 31, 2000, respectively.  At March 31,
 2001, Independence Community Bank's capital exceeded all regulatory
 requirements and the Bank was considered "well capitalized. "
 
     Asset Quality
     The overall quality of the Company's assets remained strong, as non-
 performing assets as a percentage of total assets totaled .51% at
 March 31, 2001 compared to .40% at March 31, 2000.  The $9.2 million increase
 in non-performing assets from $26.4 million at March 31, 2000 to $35.6 million
 at March 31, 2001 was primarily due to a $3.0 million increase in non-accrual
 commercial business loans as well as $6.2 million of loans 90 days or more
 past maturity which continued to make payments on a basis consistent with the
 original repayment schedule. The Company does not participate in syndicated
 loan structures.
     The allowance for loan losses was $71.7 million at March 31, 2001, an
 increase of $1.4 million from $70.3 million at March 31, 2000.  The allowance
 for loan losses to total loans at March 31, 2001 was 1.36% as compared to
 1.42% at March 31, 2000.  The increase in the allowance reflected net
 recoveries of $38,000 and a provision of $1.4 million for the year ended March
 31, 2001.  Management reviews the adequacy of the allowance for loan losses
 not less than once per quarter.  Although management believes the allowance
 for loan losses at March 31, 2001 was adequate, changes in market conditions,
 loan portfolio composition and other factors may result in the need for
 additional provisions in the future.
     Independence Community Bank Corp. is the holding company for Independence
 Community Bank.  The Bank, originally chartered in 1850, currently operates
 67 full service branches located in the greater New York City metropolitan
 area, which includes the five boroughs of New York City, Nassau County and
 northern New Jersey.  The Bank has three key business divisions: Commercial
 Real Estate Lending, Consumer Banking and Business Banking.  The Bank strives
 to maintain its community orientation by offering the urban, ethnically
 diverse communities in which it operates a wide range of financial products
 and by emphasizing customer service, superior value and convenience.  The
 Bank's web address is http://www.icbny.com.
 
     Statements contained in this news release which are not historical facts
 are forward-looking statements as that term is defined in the Private
 Securities Litigation Reform Act of 1995.  Such forward-looking statements are
 subject to risks and uncertainties which could cause actual results to differ
 materially from those currently anticipated due to a number of factors.
 Factors which could result in material variations include, but are not limited
 to, changes in interest rates which could affect net interest margins and net
 interest income; competitive factors which could affect net interest income
 and non-interest income, general economic conditions which could affect the
 volume of loan originations, deposit flows, real estate values, the levels of
 non-interest income and the amount of loan losses as well as other factors
 discussed in documents filed by the Company with the Securities and Exchange
 Commission from time to time.  The Company undertakes no obligation to update
 these forward looking statements to reflect events or circumstances that occur
 after the date on which such statements were made.
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                 Consolidated Statements of Financial Condition
                             (Dollars in thousands)
 
                                                    March 31,      March 31,
                                                         2001           2000
                                                  (Unaudited)      (Audited)
     ASSETS:
     Cash and due from banks                         $252,362       $134,170
     Federal funds sold                                25,400         17,997
       Total cash and cash equivalents                277,762        152,167
 
     Securities available-for-sale:
      Investment securities                           201,198        212,768
      Mortgage-related securities                     720,549        773,031
       Total securities available-for-sale            921,747        985,799
 
     Mortgage loans on real estate                  4,467,984      4,455,845
     Commercial and consumer loans                    793,457        494,675
       Total loans                                  5,261,441      4,950,520
       Less: allowance for possible loan losses      (71,716)       (70,286)
       Total loans, net                             5,189,725      4,880,234
 
     Premises, furniture and equipment, net            84,728         88,704
     Accrued interest receivable                       37,119         33,509
     Intangible assets, net                           198,994        220,979
     Other assets                                     300,792        242,758
       Total assets                                $7,010,867     $6,604,150
 
     LIABILITIES AND STOCKHOLDERS' EQUITY:
     Deposits                                      $4,666,057     $4,412,032
     Borrowings                                     1,309,293      1,162,738
     Trust preferred securities                        11,067         11,500
     Escrow and other deposits                         72,152         73,516
     Accrued expenses and other liabilities           139,142        109,557
       Total liabilities                            6,197,711      5,769,343
 
     Stockholders' equity:
      Common stock, $.01 par value:
       125,000,000 shares authorized,
       76,043,750 shares issued; 59,128,845 and
       67,254,439 shares outstanding at
       March 31, 2001 and March 31, 2000,
        respectively                                      760            760
      Additional paid-in-capital                      723,418        718,953
      Treasury stock at cost; 16,914,905 and
     8,789,311 shares at March 31, 2001 and
     March 31, 2000, respectively                   (230,012)      (116,693)
      Unallocated common stock held by ESOP          (82,805)       (87,749)
      Non-vested awards under Recognition
       and Retention Plan                            (22,744)       (27,907)
      Retained earnings, substantially restricted     425,016        380,358
      Accumulated other comprehensive loss:
     Net unrealized loss on securities
     available-for-sale, net of tax                     (477)       (32,915)
     Total stockholders' equity                       813,156        834,807
 
     Total liabilities and stockholders' equity    $7,010,867     $6,604,150
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                       Consolidated Statements of Income
                     (In thousands, except per share data)
                                  (Unaudited)
 
                               Three Months Ended             Year Ended
                                    March  31,                  March 31,
 
                               2001          2000         2001          2000
     Interest income:
     Mortgage loans on
      real estate           $88,350       $80,307    $ 343,595     $ 290,566
     Commercial and
      consumer loans         14,680         9,497       52,294        22,867
     Investment securities    2,956         4,286       12,399        17,350
     Mortgage-related
      securities             11,769        13,834       48,993        58,714
     Other                    2,660         2,960       13,421        12,989
     Total interest income  120,415       110,884      470,702       402,486
 
     Interest expense:
     Deposits                43,126        37,604      168,228       138,769
     Borrowings              20,428        17,630       78,182        64,163
     Trust preferred
      securities                262           273        1,047           728
     Total interest expense  63,816        55,507      247,457       203,660
 
     Net interest income     56,599        55,377      223,245       198,826
 
     Provision for
      loan losses               600         1,731        1,392         9,817
     Net interest income
      after provision
       for loan losses       55,999        53,646      221,853       189,009
 
     Non-interest income:
     Net gain (loss) on
      sales of loans and
       securities               295             2        3,398       (1,716)
     Mortgage-banking
      activities              3,947            --        4,932            --
     Service fees             6,154         4,184       24,025        13,621
     Other                    2,200           605        5,983         5,011
     Total non-interest
      income                 12,596         4,791       38,338        16,916
 
     Non-interest expense:
     Compensation and
      employee benefits      16,288        14,972       62,934        51,740
     Occupancy costs          6,018         5,177       22,332        16,672
     Data processing fees     1,573         1,290        8,419         7,464
     Advertising              1,566           420        6,063         4,665
     FDIC insurance premiums    230           263          894         1,142
     Amortization of
      intangible assets       5,314         5,140       21,224        14,613
     Other                    9,299         7,815       30,960        23,594
     Total non-interest
      expense                40,288        35,077      152,826       119,890
 
     Income before
      provision for income
       taxes                 28,307        23,360      107,365        86,035
     Provision for income
      taxes                  11,880         8,693       45,329        32,789
     Net income             $16,427       $14,667      $62,036       $53,246
 
     Basic earnings
      per share               $0.31         $0.24        $1.11         $0.90
 
     Diluted earnings
      per share               $0.31         $0.24        $1.10         $0.90
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                    Selected Financial Ratios and Other Data
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                At or For the               At or For the
                              Three Months Ended             Year Ended
                                   March 31,                  March 31,
 
                            2001(1)       2000(1)      2001(1)       2000(1)
 
     Performance ratios:
 
     Return on average
      assets (2)              0.94%         0.89%        0.91%         0.88%
     Return on average
      equity (2)              8.15%         7.00%        7.60%         6.52%
 
     Basic earnings per
      common share            $0.31         $0.24        $1.11         $0.90
     Diluted earnings per
      common share            $0.31         $0.24        $1.10         $0.90
 
     Interest rate spread(2)  3.22%         3.29%        3.23%         3.06%
     Net interest margin(2)   3.46%         3.58%        3.51%         3.47%
     Average interest-earning
     assets to average
      interest-bearing
       liabilities          105.89%       107.74%      107.25%       111.29%
 
     Non-interest expense
      to average assets(3)    1.99%         1.81%        1.92%         1.74%
     Efficiency ratio(4)     53.85%        49.76%       51.96%        48.41%
 
     Average balances:
 
     Average shares
      outstanding
       - basic           52,776,450    60,515,071   55,880,273    59,203,079
     Average shares
      outstanding
       - diluted         53,748,328    60,515,071   56,326,245    59,203,079
     Average loans      $ 5,333,928   $ 4,820,897  $ 5,173,185   $ 4,237,027
     Average interest
      -earning assets   $ 6,435,457   $ 6,174,210  $ 6,354,442   $ 5,730,882
     Average total
      assets            $ 7,020,213   $ 6,607,144  $ 6,845,025   $ 6,056,722
     Average deposits   $ 4,597,409   $ 4,438,825  $ 4,542,668   $ 3,966,340
     Average borrowings $ 1,469,157   $ 1,280,185  $ 1,371,018   $ 1,175,273
     Average equity        $805,858      $837,593     $816,462      $816,899
 
     Cash earnings and
      ratios:
     Calculation:
     Net income             $16,427       $14,667      $62,036       $53,246
     Amortization of
      intangibles             5,314         5,140       21,224        14,613
     Stock benefit plans,
      net of tax              1,754         1,285        5,840         5,572
     Cash earnings          $23,495       $21,092      $89,100       $73,431
 
     Ratios:
     Diluted cash
      earnings per share      $0.44         $0.35        $1.58         $1.24
     Cash efficiency
      ratio(4)               49.19%        46.36%       47.97%        44.27%
     Cash return on
      average equity         11.66%        10.07%       10.91%         8.99%
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                    Selected Financial Ratios and Other Data
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                    March 31,      March 31,
                                                         2001           2000
     Capital and Other Ratios:
 
     Tangible book value per share                     $10.39          $9.13
     Book value per share                              $13.75         $12.41
     Average equity to average assets                  11.93%         13.49%
     Tangible equity to tangible assets                 9.02%          9.62%
     Leverage ratio (Bank only)                         8.20%          7.83%
     Tier 1 risk-based (Bank only)                     11.70%         11.37%
     Total risk-based (Bank only)                      12.95%         12.62%
 
     Asset Quality:
 
     Non-performing assets:
     Non-accrual loans                                $16,197        $12,218
     Loans past due 90 days or more as to:
     Interest and accruing                              1,422          2,616
     Principal and accruing (6)                        17,750         11,516
     Total non-performing loans                        35,369         26,350
     Other real estate owned                              235             68
     Total non-performing assets                      $35,604        $26,418
 
     Non-performing assets to total
      assets at end of period                           0.51%          0.40%
     Allowance for loan losses to non-performing
     loans at end of period                           202.77%        266.74%
     Allowance for loan losses to total
      loans at end of period                            1.36%          1.42%
 
      (1) Acquisitions of Broad National Bancorporation and Statewide Financial
          Corp. were completed and were incorporated in the Consolidated
          Statements of Financial Condition and the Consolidated Statements of
          Income effective close of business July 31, 1999 and January 7, 2000,
          respectively.
 
      (2) Presented on an annualized basis for the three months ended
          March 31, 2000 and 2001.
 
      (3) Excludes amortization of intangible assets.
 
      (4) Reflects adjusted operating expense (net of amortization of
          intangibles) as a percentage of the aggregate of net interest income
          and adjusted non-interest income (excluding gains and losses on the
          sales of loans and securities and mortgage-banking activities).
 
      (5) Reflects loans that are 90 days or more past maturity, which continue
          to make payments on a basis consistent with the original repayment
          schedule.
 
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SOURCE Independence Community Bank Corp.
    NEW YORK, April 23 /PRNewswire Interactive News Release/ -- Independence
 Community Bank Corp. (Nasdaq:   ICBC), reported today that diluted earnings per
 share increased 29.2% to $0.31 per share and 22.2% to $1.10 per share for the
 quarter and year ended March 31, 2001, respectively, as compared to $0.24 per
 share and $0.90 per share for the same respective periods in fiscal 2000.  Net
 income increased 12.0% to $16.4 million and 16.5% to
 $62.0 million for the quarter and year ended March 31, 2001, respectively,
 compared to $14.7 million and $53.2 million, respectively, for the same
 periods in the prior fiscal year.
     Charles J. Hamm, Chairman, commenting on the Company's performance,
 stated, "It is extremely satisfying to end fiscal 2001 with these record
 earnings levels.  These earnings, recognize the substantial investment
 Independence has made in the past three years towards developing more
 commercial bank-like products and reflecting the success of our broader
 banking strategy.  Depositors who bought stock in our IPO in March of 1998
 have received over a twenty percent average return on their investment each
 year since."
     Alan H. Fishman, President and Chief Executive Officer, remarked "I am
 eager to continue to build upon the success we have achieved during the past
 fiscal year and excited to have joined Independence at a time when there is
 strong growth potential in several key business sectors.  The Bank's financial
 strength and market position provide an excellent platform on which to build
 on past successes and grow both organically and externally.  I am confident
 that we have the resources and the talent to make Independence the premier
 community bank in the New York market in the next few years."
 
     Recent Accomplishments
      -- The acquisition of Summit Bank's mortgage banking finance group with
 more than $127 million in warehouse lines with $83 million outstanding
 advances, effective April 13, 2001.
 
     During the fiscal year the Company implemented the following:
      -- The defined benefit pension plan was amended, which resulted in annual
 savings of $3.5 million.
      -- In addition to continuing to generate mortgage loans on multi-family
 and commercial real estate, the Company commenced a strategy to originate and
 sell commercial real estate loans in the secondary market while retaining
 servicing.
      -- A $100 million Bank-Owned Life Insurance ("BOLI") program was
 implemented to provide attractive tax-exempt income while providing a funding
 mechanism to the Bank to meet its benefit obligations.
      -- Introduced a new, secure and easy to use internet banking system which
 combines an interactive voice response system and a customer call center.
 Increased the quarterly dividend rate to $0.08 per share which represents the
 fifth dividend rate increase since its conversion to a public company in March
 1998.
      -- Continued its stock repurchase strategy.  To date, the Company has
 repurchased approximately 35% of its stock issued in connection with its
 mutual to stock conversion in 1998, with approximately 12% being reissued in
 acquisitions.  The Company is currently conducting its eighth repurchase
 program.
 
     Cash Earnings
     Cash earnings for the fourth quarter of fiscal 2001 increased 11.4% to
 $23.5 million and increased 25.7% per cash diluted share to $0.44 compared to
 the fourth quarter of the prior fiscal year.  For the fiscal year ended March
 31, 2001, cash earnings increased 21.3% to $89.1 million and increased 27.4%
 per cash diluted share to $1.58 as compared to the fiscal year ended March 31,
 2000. Cash earnings include net income adjusted for the amortization of
 intangibles and certain charges related to the Company's stock benefit plans,
 net of tax.
 
     Net Interest Income
     For the quarter ended March 31, 2001, net interest income before provision
 for loan losses increased 2.2% to $56.6 million compared to the fourth quarter
 of fiscal 2000.  The increase was primarily the result of a $261.2 million
 increase in average interest-earning assets partially offset by a 12 basis
 point decline in the net interest margin to 3.46% for the quarter ended March
 31, 2001 compared to 3.58% for the quarter ended March 31, 2000.  The increase
 in average interest-earning assets was mainly attributable to growth in
 commercial mortgage and business loans, which were primarily funded with
 borrowings.  The decline in the net interest margin for the quarter compared
 to the prior year quarter reflected the effect of increases in short-term
 interest rates during the first three quarters of the fiscal year.  The
 effects of such increases were partly diminished by the reduction in interest
 rates by the Federal Open Market Committee of the Federal Reserve during the
 fourth quarter of fiscal 2001.  Net interest income in the current quarter was
 also negatively effected by the BOLI investment, the income from which is
 included in non-interest income.
     For the year ended March 31, 2001, net interest income before the
 provision for loan losses increased by $24.4 million, or 12.3%, to
 $223.2 million compared to $198.8 million for the year ended March 31, 2000.
 Average interest-earning assets for the year increased by $623.6 million
 primarily due to the asset growth resulting from the acquisitions of Broad
 National Bancorporation and Statewide Financial Corp., and, to a lesser
 extent, the growth in the commercial mortgage and business loan portfolios.
 The interest rate spread and net interest margin were 3.23% and 3.51%,
 respectively, for the fiscal 2001 period, compared to 3.06% and 3.47%,
 respectively, for the fiscal 2000 period.  The increases in the interest rate
 spread and net interest margin were attributable, in part, to the addition of
 Broad's higher yielding commercial mortgage and business loan portfolios and
 the associated lower cost commercial deposit base, partially offset by
 interest rate compression experienced during the period.  Net interest income
 in the current year was also adversely effected by the BOLI investment.
 
     Provision for Loan Losses
     The Company recorded $0.6 million and $1.4 million provisions for loan
 losses for the fourth quarter and fiscal 2001, respectively, declines of
 $1.1 million and $8.4 million from the provisions for loan losses for the
 quarter and year ended March 31, 2000, respectively.  Management considers the
 qualitative and quantitative assessment of the loan portfolio and protection
 provided by the level of the Company's existing allowance for loan losses in
 determining the amount of the provision for loan losses.  The provision
 recorded during the fourth quarter reflected the Company's increased emphasis
 on commercial real estate and business loan originations, the substantial
 increase in mortgage warehouse advances and the $1.4 million in net loan
 charge-offs, primarily commercial business loans, occurring during the fourth
 quarter of fiscal 2001.  Management believes the allowance for loan losses at
 March 31, 2001 was adequate and will continue to evaluate the adequacy of the
 allowance for loan losses.  Non-performing assets as a percentage of total
 assets totaled 0.51% at March 31, 2001 compared to 0.40% at March 31, 2000.
 The $9.2 million increase in non-performing assets from $26.4 million at
 March 31, 2000 to $35.6 million at March 31, 2001 reflected increases of
 $3.0 million in non-accrual commercial business loans and $6.2 million of
 loans 90 days or more past maturity which continued to make payments on a
 basis consistent with the original repayment schedule.
 
     Non-Interest Income
     Increasing non-interest income has been an on-going strategic objective.
 As a result of the implementation of a variety of initiatives, the Company
 experienced a $7.8 million increase in non-interest income, or 162.9%, to
 $12.6 million for quarter ended March 31, 2001, compared to $4.8 million for
 the quarter ended March 31, 2000.  Non-interest income increased
 $21.4 million, or 126.7%, to $38.3 million for year ended March 31, 2001,
 compared to $16.9 million for the year ended March 31, 2000.
     During fiscal 2001, the Company recognized net gains of $3.4 million
 primarily from the sale of the $35.7 million student loan portfolio and
 securities sales of $72.1 million, the proceeds of which funded the
 $100 million BOLI program.
     Income from mortgage-banking activity reflects $3.6 million in gains and
 $1.3 million of origination fees related to the sale in the secondary market
 of $509.9 million of commercial real estate loans during the fiscal 2001
 period, with the Bank retaining servicing.
     Service fees increased 47.1% to $6.2 million and 76.4% to $24.0 million
 for the quarter and year ended March 31, 2001, respectively, compared to the
 same periods in fiscal 2000.  These increases were due to increased banking
 and service fees from the core and expanded branch network resulting from the
 acquisitions of Broad and Statewide.
     Other non-interest income, consisting primarily of income from the BOLI
 program and mortgage prepayment fees, increased by $1.6 million to
 $2.2 million for the quarter ended March 31, 2001, compared to $0.6 million
 for the quarter ended March 31, 2000 and increased by $1.0 million to
 $6.0 million for the year ended March 31, 2001, compared to $5.0 million for
 the prior fiscal year.  The Company recorded approximately $1.4 million and
 $2.7 million in income related to the BOLI program for the quarter and year
 ended March 31, 2001, respectively.  Prior to the investment in the BOLI
 program, the $100 million premium was initially invested in investment
 securities, income from which was recognized in interest income.  Non-interest
 income was adversely effected by a decline in the level of mortgage
 prepayments during fiscal 2001, as general market rates of interest increased
 during the majority of the fiscal year, resulting in reduced mortgage
 refinancing and lower mortgage prepayment fees of $2.1 million.
 
     Non-Interest Expense
     For the quarter ended March 31, 2001, non-interest expense increased
 $5.2 million, or 14.9%, to $40.3 million compared to $35.1 million for the
 fourth quarter of fiscal 2000.  For the year ended March 31, 2001,
 non-interest expense amounted to $152.8 million, an increase of $32.9 million
 or 27.5%, compared to $119.9 million for the same period in fiscal 2000.  The
 increase for both periods was mainly attributable to the expansion of
 operations resulting from the Statewide acquisition and, to a lesser degree,
 the Broad acquisition, which increased expenses for compensation and benefits,
 occupancy, data processing, amortization of intangibles and other expenses.
 The third de novo branch opened in fiscal 2001 was opened during the fourth
 quarter of fiscal 2001.  As a result of the recent expansion of the Company's
 branch network, the Company anticipates higher annual operating costs as a
 result of the increased number of branch facilities.
     Compensation and benefits increased $1.3 million and $11.2 million for the
 three months and year ended March 31, 2001, respectively.  The increase for
 the quarter was due to increased compensation and stock related benefit plan
 costs of $1.2 million and $1.0 million, respectively, partially offset by a
 $0.7 million reduction in pension expense.  The $11.2 million increase for
 fiscal 2001 was primarily due to $10.3 million in increased compensation,
 increased stock related benefit plan costs of $1.1 million, increased medical
 insurance and post-retirement health care costs of $2.1 million, partially
 offset by a $3.3 million reduction in pension expense.  The increased
 compensation and medical costs primarily result from staff additions due to
 the Statewide and Broad acquisitions.  The pension expense reduction resulted
 from amendments to the pension plan adopted in the second quarter of fiscal
 2001.
     Data processing costs increased $0.3 million and $1.0 million for the
 quarter and year ended March 31, 2001, respectively.  The increases were a
 result of additional costs associated with the expanded operations resulting
 from the Broad and Statewide acquisitions.  The fiscal 2000 period included
 expenses related to Year 2000 compliance testing.
     Amortization of intangibles increased $0.2 million and $6.6 million for
 the quarter and year ended March 31, 2001 compared to the same periods in
 fiscal 2000.  The increase reflected amortization throughout fiscal 2001 of
 the goodwill incurred in the Broad and Statewide acquisitions compared to
 amortization of eight months for Broad and three months for Statewide in
 fiscal 2000.
     Other non-interest expense increased $1.5 million and $7.4 million for the
 quarter and year ended March 31, 2001, respectively, primarily due to the
 expanded operations resulting from the Broad and Statewide acquisitions, as
 well as to costs associated with the internal growth of the Company's
 infrastructure, including three new branch facilities, a new customer call
 center and expanded lending activities.
     The Company's effective tax rate increased to 42.2% for fiscal 2001
 compared to 38.1% for fiscal 2000.  The increase was due to the effect of the
 non-deductible amortization of intangibles arising from the Broad and
 Statewide acquisitions in fiscal 2000.
 
     Financial Condition
     Total assets at March 31, 2001 were $7.01 billion, an increase of
 $406.7 million compared to March 31, 2000, resulting mainly from the growth of
 $310.9 million in the loan portfolio.  Such loan growth was funded primarily
 through the use of borrowings.  The Company originated for its own portfolio
 during the year ended March 31, 2001 in excess of $646.8 million of mortgage
 loans, of which approximately $293.7 million were multi-family residential
 mortgage loans and $332.9 million were commercial mortgage loans.  During the
 fourth quarter of the fiscal year, the Company sold $260.0 million of
 commercial mortgage loans out of its existing portfolio to be reinvested in
 higher yielding loan products.  As a result of these activities, commercial
 real estate loans comprised 19.3% of the mortgage portfolio at March 31, 2001
 compared to 13.4% at March 31, 2000.  The $298.8 million increase in other
 loans during the year ended March 31, 2001 was primarily the result of a
 $183.1 million increase in commercial business loans and an $158.5 million
 increase related to the warehouse mortgage lines of credit partially offset by
 a $38.1 million decrease in student loans as a result of the sale of
 substantially all of the portfolio.  The warehouse mortgage lines of credit
 are secured short-term advances extended to mortgage-banking companies to fund
 the origination of one-to-four family mortgages.  Deposits increased by $254.0
 million during fiscal 2001 primarily as the result of the continuing effort to
 grow core deposits and to a lesser extent, the opening of three branches.
     Stockholders' equity totaled $813.2 million at March 31, 2001, compared to
 $834.8 million at March 31, 2000.  The $21.7 million decrease was primarily
 due to a $113.1 million reduction in capital resulting from the purchase of
 shares in connection with the Company's open market stock repurchase programs
 and dividends declared of $17.4 million.  These decreases were partially
 offset by net income of $62.0 million, a $10.1 million increase related to the
 amortization of grants and allocations pursuant to stock benefit plans, a
 $32.4 million decrease in the net unrealized loss on securities
 available-for-sale, reflecting the effect on fair market value as a result of
 declines in market rates of interest during fiscal 2001 and a $4.7 million
 valuation adjustment of the deferred tax asset reflecting the fair market
 value of stock contributed to the Independence Community Foundation at its
 inception in March 1998.  Tangible book value per share was $10.39 and the
 tangible equity to tangible assets ratio was 9.02% at March 31, 2001 as
 compared to $9.13 and 9.62% at March 31, 2000, respectively.  At March 31,
 2001, Independence Community Bank's capital exceeded all regulatory
 requirements and the Bank was considered "well capitalized. "
 
     Asset Quality
     The overall quality of the Company's assets remained strong, as non-
 performing assets as a percentage of total assets totaled .51% at
 March 31, 2001 compared to .40% at March 31, 2000.  The $9.2 million increase
 in non-performing assets from $26.4 million at March 31, 2000 to $35.6 million
 at March 31, 2001 was primarily due to a $3.0 million increase in non-accrual
 commercial business loans as well as $6.2 million of loans 90 days or more
 past maturity which continued to make payments on a basis consistent with the
 original repayment schedule. The Company does not participate in syndicated
 loan structures.
     The allowance for loan losses was $71.7 million at March 31, 2001, an
 increase of $1.4 million from $70.3 million at March 31, 2000.  The allowance
 for loan losses to total loans at March 31, 2001 was 1.36% as compared to
 1.42% at March 31, 2000.  The increase in the allowance reflected net
 recoveries of $38,000 and a provision of $1.4 million for the year ended March
 31, 2001.  Management reviews the adequacy of the allowance for loan losses
 not less than once per quarter.  Although management believes the allowance
 for loan losses at March 31, 2001 was adequate, changes in market conditions,
 loan portfolio composition and other factors may result in the need for
 additional provisions in the future.
     Independence Community Bank Corp. is the holding company for Independence
 Community Bank.  The Bank, originally chartered in 1850, currently operates
 67 full service branches located in the greater New York City metropolitan
 area, which includes the five boroughs of New York City, Nassau County and
 northern New Jersey.  The Bank has three key business divisions: Commercial
 Real Estate Lending, Consumer Banking and Business Banking.  The Bank strives
 to maintain its community orientation by offering the urban, ethnically
 diverse communities in which it operates a wide range of financial products
 and by emphasizing customer service, superior value and convenience.  The
 Bank's web address is http://www.icbny.com.
 
     Statements contained in this news release which are not historical facts
 are forward-looking statements as that term is defined in the Private
 Securities Litigation Reform Act of 1995.  Such forward-looking statements are
 subject to risks and uncertainties which could cause actual results to differ
 materially from those currently anticipated due to a number of factors.
 Factors which could result in material variations include, but are not limited
 to, changes in interest rates which could affect net interest margins and net
 interest income; competitive factors which could affect net interest income
 and non-interest income, general economic conditions which could affect the
 volume of loan originations, deposit flows, real estate values, the levels of
 non-interest income and the amount of loan losses as well as other factors
 discussed in documents filed by the Company with the Securities and Exchange
 Commission from time to time.  The Company undertakes no obligation to update
 these forward looking statements to reflect events or circumstances that occur
 after the date on which such statements were made.
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                 Consolidated Statements of Financial Condition
                             (Dollars in thousands)
 
                                                    March 31,      March 31,
                                                         2001           2000
                                                  (Unaudited)      (Audited)
     ASSETS:
     Cash and due from banks                         $252,362       $134,170
     Federal funds sold                                25,400         17,997
       Total cash and cash equivalents                277,762        152,167
 
     Securities available-for-sale:
      Investment securities                           201,198        212,768
      Mortgage-related securities                     720,549        773,031
       Total securities available-for-sale            921,747        985,799
 
     Mortgage loans on real estate                  4,467,984      4,455,845
     Commercial and consumer loans                    793,457        494,675
       Total loans                                  5,261,441      4,950,520
       Less: allowance for possible loan losses      (71,716)       (70,286)
       Total loans, net                             5,189,725      4,880,234
 
     Premises, furniture and equipment, net            84,728         88,704
     Accrued interest receivable                       37,119         33,509
     Intangible assets, net                           198,994        220,979
     Other assets                                     300,792        242,758
       Total assets                                $7,010,867     $6,604,150
 
     LIABILITIES AND STOCKHOLDERS' EQUITY:
     Deposits                                      $4,666,057     $4,412,032
     Borrowings                                     1,309,293      1,162,738
     Trust preferred securities                        11,067         11,500
     Escrow and other deposits                         72,152         73,516
     Accrued expenses and other liabilities           139,142        109,557
       Total liabilities                            6,197,711      5,769,343
 
     Stockholders' equity:
      Common stock, $.01 par value:
       125,000,000 shares authorized,
       76,043,750 shares issued; 59,128,845 and
       67,254,439 shares outstanding at
       March 31, 2001 and March 31, 2000,
        respectively                                      760            760
      Additional paid-in-capital                      723,418        718,953
      Treasury stock at cost; 16,914,905 and
     8,789,311 shares at March 31, 2001 and
     March 31, 2000, respectively                   (230,012)      (116,693)
      Unallocated common stock held by ESOP          (82,805)       (87,749)
      Non-vested awards under Recognition
       and Retention Plan                            (22,744)       (27,907)
      Retained earnings, substantially restricted     425,016        380,358
      Accumulated other comprehensive loss:
     Net unrealized loss on securities
     available-for-sale, net of tax                     (477)       (32,915)
     Total stockholders' equity                       813,156        834,807
 
     Total liabilities and stockholders' equity    $7,010,867     $6,604,150
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                       Consolidated Statements of Income
                     (In thousands, except per share data)
                                  (Unaudited)
 
                               Three Months Ended             Year Ended
                                    March  31,                  March 31,
 
                               2001          2000         2001          2000
     Interest income:
     Mortgage loans on
      real estate           $88,350       $80,307    $ 343,595     $ 290,566
     Commercial and
      consumer loans         14,680         9,497       52,294        22,867
     Investment securities    2,956         4,286       12,399        17,350
     Mortgage-related
      securities             11,769        13,834       48,993        58,714
     Other                    2,660         2,960       13,421        12,989
     Total interest income  120,415       110,884      470,702       402,486
 
     Interest expense:
     Deposits                43,126        37,604      168,228       138,769
     Borrowings              20,428        17,630       78,182        64,163
     Trust preferred
      securities                262           273        1,047           728
     Total interest expense  63,816        55,507      247,457       203,660
 
     Net interest income     56,599        55,377      223,245       198,826
 
     Provision for
      loan losses               600         1,731        1,392         9,817
     Net interest income
      after provision
       for loan losses       55,999        53,646      221,853       189,009
 
     Non-interest income:
     Net gain (loss) on
      sales of loans and
       securities               295             2        3,398       (1,716)
     Mortgage-banking
      activities              3,947            --        4,932            --
     Service fees             6,154         4,184       24,025        13,621
     Other                    2,200           605        5,983         5,011
     Total non-interest
      income                 12,596         4,791       38,338        16,916
 
     Non-interest expense:
     Compensation and
      employee benefits      16,288        14,972       62,934        51,740
     Occupancy costs          6,018         5,177       22,332        16,672
     Data processing fees     1,573         1,290        8,419         7,464
     Advertising              1,566           420        6,063         4,665
     FDIC insurance premiums    230           263          894         1,142
     Amortization of
      intangible assets       5,314         5,140       21,224        14,613
     Other                    9,299         7,815       30,960        23,594
     Total non-interest
      expense                40,288        35,077      152,826       119,890
 
     Income before
      provision for income
       taxes                 28,307        23,360      107,365        86,035
     Provision for income
      taxes                  11,880         8,693       45,329        32,789
     Net income             $16,427       $14,667      $62,036       $53,246
 
     Basic earnings
      per share               $0.31         $0.24        $1.11         $0.90
 
     Diluted earnings
      per share               $0.31         $0.24        $1.10         $0.90
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                    Selected Financial Ratios and Other Data
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                At or For the               At or For the
                              Three Months Ended             Year Ended
                                   March 31,                  March 31,
 
                            2001(1)       2000(1)      2001(1)       2000(1)
 
     Performance ratios:
 
     Return on average
      assets (2)              0.94%         0.89%        0.91%         0.88%
     Return on average
      equity (2)              8.15%         7.00%        7.60%         6.52%
 
     Basic earnings per
      common share            $0.31         $0.24        $1.11         $0.90
     Diluted earnings per
      common share            $0.31         $0.24        $1.10         $0.90
 
     Interest rate spread(2)  3.22%         3.29%        3.23%         3.06%
     Net interest margin(2)   3.46%         3.58%        3.51%         3.47%
     Average interest-earning
     assets to average
      interest-bearing
       liabilities          105.89%       107.74%      107.25%       111.29%
 
     Non-interest expense
      to average assets(3)    1.99%         1.81%        1.92%         1.74%
     Efficiency ratio(4)     53.85%        49.76%       51.96%        48.41%
 
     Average balances:
 
     Average shares
      outstanding
       - basic           52,776,450    60,515,071   55,880,273    59,203,079
     Average shares
      outstanding
       - diluted         53,748,328    60,515,071   56,326,245    59,203,079
     Average loans      $ 5,333,928   $ 4,820,897  $ 5,173,185   $ 4,237,027
     Average interest
      -earning assets   $ 6,435,457   $ 6,174,210  $ 6,354,442   $ 5,730,882
     Average total
      assets            $ 7,020,213   $ 6,607,144  $ 6,845,025   $ 6,056,722
     Average deposits   $ 4,597,409   $ 4,438,825  $ 4,542,668   $ 3,966,340
     Average borrowings $ 1,469,157   $ 1,280,185  $ 1,371,018   $ 1,175,273
     Average equity        $805,858      $837,593     $816,462      $816,899
 
     Cash earnings and
      ratios:
     Calculation:
     Net income             $16,427       $14,667      $62,036       $53,246
     Amortization of
      intangibles             5,314         5,140       21,224        14,613
     Stock benefit plans,
      net of tax              1,754         1,285        5,840         5,572
     Cash earnings          $23,495       $21,092      $89,100       $73,431
 
     Ratios:
     Diluted cash
      earnings per share      $0.44         $0.35        $1.58         $1.24
     Cash efficiency
      ratio(4)               49.19%        46.36%       47.97%        44.27%
     Cash return on
      average equity         11.66%        10.07%       10.91%         8.99%
 
                       INDEPENDENCE COMMUNITY BANK CORP.
                    Selected Financial Ratios and Other Data
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                    March 31,      March 31,
                                                         2001           2000
     Capital and Other Ratios:
 
     Tangible book value per share                     $10.39          $9.13
     Book value per share                              $13.75         $12.41
     Average equity to average assets                  11.93%         13.49%
     Tangible equity to tangible assets                 9.02%          9.62%
     Leverage ratio (Bank only)                         8.20%          7.83%
     Tier 1 risk-based (Bank only)                     11.70%         11.37%
     Total risk-based (Bank only)                      12.95%         12.62%
 
     Asset Quality:
 
     Non-performing assets:
     Non-accrual loans                                $16,197        $12,218
     Loans past due 90 days or more as to:
     Interest and accruing                              1,422          2,616
     Principal and accruing (6)                        17,750         11,516
     Total non-performing loans                        35,369         26,350
     Other real estate owned                              235             68
     Total non-performing assets                      $35,604        $26,418
 
     Non-performing assets to total
      assets at end of period                           0.51%          0.40%
     Allowance for loan losses to non-performing
     loans at end of period                           202.77%        266.74%
     Allowance for loan losses to total
      loans at end of period                            1.36%          1.42%
 
      (1) Acquisitions of Broad National Bancorporation and Statewide Financial
          Corp. were completed and were incorporated in the Consolidated
          Statements of Financial Condition and the Consolidated Statements of
          Income effective close of business July 31, 1999 and January 7, 2000,
          respectively.
 
      (2) Presented on an annualized basis for the three months ended
          March 31, 2000 and 2001.
 
      (3) Excludes amortization of intangible assets.
 
      (4) Reflects adjusted operating expense (net of amortization of
          intangibles) as a percentage of the aggregate of net interest income
          and adjusted non-interest income (excluding gains and losses on the
          sales of loans and securities and mortgage-banking activities).
 
      (5) Reflects loans that are 90 days or more past maturity, which continue
          to make payments on a basis consistent with the original repayment
          schedule.
 
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 SOURCE  Independence Community Bank Corp.