Zions Bank Press Release: 2015 Fourth Quarter Earnings

Zions Bancorporation Reports Fourth Quarter and Annual 2015 Financial Results

Zions Bank Jan 25, 2016

View entire press release.

Zions Bancorporation reported fourth quarter net earnings applicable to common shareholders of $88.2 million, or $0.43 per diluted common share, compared to net earnings of $84.2 million, or $0.41 per diluted common share for the third quarter of 2015. Annual net earnings for 2015 (adjusted for the one-time loss resulting from the sale of the company’s remaining collateralized debt obligation portfolio in the second quarter of 2015) were $331.5 million, or $1.62 per diluted common share, compared to $326.6 million, or $1.68 per share, for 2014.

Loan balances, excluding energy-related loans, increased $728 million during the fourth quarter compared to a $176 million increase during the third quarter calculated on the same basis.

  • Overall, net loans and leases increased $536 million, or 1.3%, to $40.6 billion at Dec. 31, 2015.

Total deposits increased to a record $50.4 billion at Dec. 31, 2015.

  • Average total deposits increased $1.1 billion in the fourth quarter.
  • Average noninterest bearing deposits increased $796 million to $22.4 billion for the fourth quarter, and comprised 45% of average total deposits.

Tangible book value per common share increased to $27.63 at Dec. 31, 2015, compared to $27.42 at Sept. 30, 2015.

Overall credit quality remained in line with expectations in the fourth quarter, with deterioration in energy loans and continued strength in other loans.

  • Nonperforming assets declined 4% to $357 million at Dec. 31, 2015.
  • Impacted by the energy loan portfolio, classified loans increased slightly to $1.37 billion at Dec. 31, 2015, from $1.32 billion at Sept. 30, 2015.
  • Total net charge-offs were $13 million in the fourth quarter (including energy-related loans), or an annualized 0.13% of average loans. Excluding energy-related charge-offs, the company experienced net recoveries of $11 million.
  • The ratio of nonperforming lending-related assets to net loans and leases and other real estate owned (OREO) declined to 0.87% at Dec. 31, 2015.

The allowance for credit losses increased $3 million to $681 million at Dec. 31, 2015.

  • As a percentage of net loans and leases, the allowance was 1.68% at Dec. 31, 2015.
  • Zions’ allowance to net charge-offs ratio remains among the strongest of the company’s peer U.S. regional banks.
  • As of Dec. 31, 2015, Zions Bancorporation was carrying $606 million in allowances for loan losses on its balance sheet.

Zions Bancorporation remains exceptionally well-capitalized, with all capital ratios well in excess of “well-capitalized” levels.

  • The estimated Basel III common equity Tier 1 capital ratio was 12.20% at Dec. 31, 2015, up from 12.16% at Sept. 30, 2015.

About Zions Bank

Zions Bank, a division of ZB, N.A., operates 124 full-service financial centers throughout Utah and Idaho. In addition to offering a wide range of traditional banking services, Zions Bank is also a leader in small business lending and has consistently ranked as the No. 1 lender of U.S. Small Business Administration 7(a) loans in Utah for the past 22 years and Idaho’s Boise District for the past 14 years. Founded in 1873, Zions Bank has been serving the communities of the Intermountain West for more than 140 years. Additional information is available at

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