NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (table dollar amounts in thousands, except share data) NOTE 19 CONDENSED FINANCIAL INFORMATION (parent company only) CONDENSED STATEMENTS OF CASH FLOWS NOTE 20 QUARTERLY RESULTS OF OPERATIONS (unaudited) The following table sets forth certain quarterly results for the years ended December 31, 2003 and 2002: Year Ended December 31, ===================================================================================================================== 2003 2002 2001 ===================================================================================================================== Operating activities: Net income ........................................................ $ 27,571 $ 27,836 $ 22,209 Adjustments to reconcile net income to net cash provided by operating activities: Amortization .................................................... 26 28 66 Distributions in excess of (equity in undistributed) income of subsidiaries ............... ........................ (9,627) (12,476) (4,366) Net change in: Other assets ................................................. 2,406 (6,892) (1,274) Other liabilities ............................................ (6) 4,430 (842) -------- -------- -------- Net cash provided by operating activities ................. 20,370 12,926 15,793 -------- -------- -------- Investing activities: Purchase of securities available for sale.......................... (3,500) Investment in subsidiary .......................................... (25,858) (51,135) (14,296) -------- -------- -------- Net cash used by investing activities ..................... (25,858) (51,135) (17,796) -------- -------- -------- Financing activities: Cash dividends .................................................... (16,557) (13,995) (11,127) Borrowings......................................................... 47,594 55,832 8,500 Repayment of borrowings ........................................... (29,550) Stock issued under employee benefit plans ......................... 819 658 504 Stock issued under dividend reinvestment and stock purchase plan ......................................... 1,339 951 803 Stock options exercised ........................................... 1,191 494 225 Stock redeemed .................................................... (489) (4,333) (7,023) Cash paid in lieu of issuing fractional shares .................... (28) (35) (22) -------- -------- -------- Net cash provided (used) by financing activities .......... 4,319 39,572 (8,140) -------- -------- -------- Net change in cash ................................................... (1,169) 1,363 (10,143) Cash, beginning of year .............................................. 4,404 3,041 13,184 -------- -------- -------- Cash, end of year .................................................... $ 3,235 $ 4,404 $ 3,041 ======== ======== ======== ----------------------------------------------------------------------------------------------------------------------------------- AVERAGE SHARES OUTSTANDING NET INCOME PER SHARE QUARTER INTEREST INTEREST NET INTEREST PROVISION FOR NET -------------------------- -------------------- ENDED INCOME EXPENSE INCOME LOAN LOSSES INCOME BASIC DILUTED BASIC DILUTED 2003: March ............ $ 38,981 $ 12,971 $ 26,010 $ 4,601 $ 5,658 17,565,405 17,675,633 $ .32 $ .32 June ............. 39,554 13,599 25,955 2,123 8,745 18,392,925 18,519,155 .48 .48 September......... 38,959 13,085 25,874 1,706 7,349 18,466,678 18,622,306 .40 .39 December.......... 38,036 12,733 25,303 1,047 5,819 18,497,612 18,666,079 .31 .31 ---------- ---------- ----------- -------- -------- ----- ----- $ 155,530 $ 52,388 $ 103,142 $ 9,477 $ 27,571 18,233,855 18,371,400 $1.51 $1.50 ========== ========== =========== ======== ======== ===== ===== 2002: March ............ $ 27,591 $ 10,213 $ 17,378 $ 1,192 $ 5,479 14,088,149 14,208,467 $ .39 $ .39 June ............. 39,678 14,596 25,082 1,284 7,940 17,122,348 17,296,513 .46 .46 September......... 40,148 14,820 25,328 1,821 7,827 17,079,298 17,224,358 .47 .46 December.......... 39,265 14,130 25,135 2,877 6,590 17,128,100 17,232,099 .38 .38 ---------- ---------- ----------- -------- -------- ----- ----- $ 146,682 $ 53,759 $ 92,923 $ 7,174 $ 27,836 16,364,788 16,502,491 $1.70 $1.69 ========== ========== =========== ======== ======== ===== ===== 57