| Segment and Related Information |
11. Segment and Related Information
The Company manages its operations through two business segments: banking and financial services. Financial services activities consist of the results of the Company’s trust, financial planning and wealth management, broker-dealer services and risk management operations. All other activities, including holding company activities, are considered banking. The Company accounts for intercompany fees and services at an estimated fair value according to regulatory requirements for the services provided. Intercompany items relate primarily to the use of human resources, information systems, accounting and marketing services provided by any of the Banks and the holding company. All other accounting policies are the same as those described in the summary of significant accounting policies in the 2011 Annual Report on Form 10-K.
Summarized
financial information concerning the Company’s reportable segments and the reconciliation to the Company’s consolidated
results is shown in the following table. Investment in subsidiaries is netted out of the presentations below. The “Intercompany”
column identifies the intercompany activities of revenues, expenses and other assets between the banking and financial services
segments.
|
As of and for the three months ended March 31, 2012
|
|
|
(in thousands)
|
|
Banking
|
|
|
Financial Services
|
|
|
Intercompany
|
|
|
Consolidated
|
|
|
Interest income
|
|
$ |
33,070 |
|
|
$ |
60 |
|
|
$ |
(2 |
) |
|
$ |
33,128 |
|
|
Interest expense
|
|
|
5,689 |
|
|
|
0 |
|
|
|
(2 |
) |
|
|
5,687 |
|
|
Net interest income
|
|
|
27,381 |
|
|
|
60 |
|
|
|
0 |
|
|
|
27,441 |
|
|
Provision for loan and lease losses
|
|
|
1,125 |
|
|
|
0 |
|
|
|
0 |
|
|
|
1,125 |
|
|
Noninterest income
|
|
|
4,839 |
|
|
|
7,181 |
|
|
|
(359 |
) |
|
|
11,661 |
|
|
Noninterest expense
|
|
|
20,689 |
|
|
|
6,041 |
|
|
|
(359 |
) |
|
|
26,371 |
|
|
Income before income tax expense
|
|
|
10,406 |
|
|
|
1,200 |
|
|
|
0 |
|
|
|
11,606 |
|
|
Income tax expense
|
|
|
3,333 |
|
|
|
429 |
|
|
|
0 |
|
|
|
3,762 |
|
|
Net Income attributable to noncontrolling interests and Tompkins Financial Corporation
|
|
|
7,073 |
|
|
|
771 |
|
|
|
0 |
|
|
|
7,844 |
|
|
Less: Net income attributable to noncontrolling interests
|
|
|
33 |
|
|
|
0 |
|
|
|
0 |
|
|
|
33 |
|
|
Net Income attributable to Tompkins Financial Corporation
|
|
$ |
7,040 |
|
|
$ |
771 |
|
|
$ |
0 |
|
|
$ |
7,811 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
$ |
1,131 |
|
|
$ |
78 |
|
|
$ |
0 |
|
|
$ |
1,209 |
|
|
Assets
|
|
|
3,519,337 |
|
|
|
31,110 |
|
|
|
(3,753 |
) |
|
|
3,546,694 |
|
|
Goodwill
|
|
|
23,600 |
|
|
|
21,053 |
|
|
|
0 |
|
|
|
44,653 |
|
|
Other intangibles, net
|
|
|
2,333 |
|
|
|
1,583 |
|
|
|
0 |
|
|
|
3,916 |
|
|
Net loans and leases
|
|
|
1,950,621 |
|
|
|
0 |
|
|
|
0 |
|
|
|
1,950,621 |
|
|
Deposits
|
|
|
2,863,031 |
|
|
|
0 |
|
|
|
(3,595 |
) |
|
|
2,859,436 |
|
|
Total equity
|
|
|
282,863 |
|
|
|
23,104 |
|
|
|
0 |
|
|
|
305,967 |
|
|
As of and for the three months ended March 31, 2011
|
|
|
(in thousands)
|
|
Banking
|
|
|
Financial Services
|
|
|
Intercompany
|
|
|
Consolidated
|
|
|
Interest income
|
|
$ |
34,216 |
|
|
$ |
73 |
|
|
$ |
(2 |
) |
|
$ |
34,287 |
|
|
Interest expense
|
|
|
6,747 |
|
|
|
0 |
|
|
|
(2 |
) |
|
|
6,745 |
|
|
Net interest income
|
|
|
27,469 |
|
|
|
73 |
|
|
|
0 |
|
|
|
27,542 |
|
|
Provision for loan and lease losses
|
|
|
1,910 |
|
|
|
0 |
|
|
|
0 |
|
|
|
1,910 |
|
|
Noninterest income
|
|
|
5,557 |
|
|
|
7,263 |
|
|
|
(328 |
) |
|
|
12,492 |
|
|
Noninterest expense
|
|
|
19,918 |
|
|
|
5,626 |
|
|
|
(328 |
) |
|
|
25,216 |
|
|
Income before income tax expense
|
|
|
11,198 |
|
|
|
1,710 |
|
|
|
0 |
|
|
|
12,908 |
|
|
Income tax expense
|
|
|
3,493 |
|
|
|
609 |
|
|
|
0 |
|
|
|
4,102 |
|
|
Net Income attributable to noncontrolling interests and Tompkins Financial Corporation
|
|
|
7,705 |
|
|
|
1,101 |
|
|
|
0 |
|
|
|
8,806 |
|
|
Less: Net income attributable to noncontrolling interests
|
|
|
33 |
|
|
|
0 |
|
|
|
0 |
|
|
|
33 |
|
|
Net Income attributable to Tompkins Financial Corporation
|
|
$ |
7,672 |
|
|
$ |
1,101 |
|
|
$ |
0 |
|
|
$ |
8,773 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
$ |
1,097 |
|
|
$ |
77 |
|
|
$ |
0 |
|
|
$ |
1,174 |
|
|
Assets
|
|
|
3,255,200 |
|
|
|
28,654 |
|
|
|
(4,960 |
) |
|
|
3,278,894 |
|
|
Goodwill
|
|
|
23,600 |
|
|
|
18,049 |
|
|
|
0 |
|
|
|
41,649 |
|
|
Other intangibles, net
|
|
|
2,785 |
|
|
|
1,254 |
|
|
|
0 |
|
|
|
4,039 |
|
|
Net loans and leases
|
|
|
1,886,309 |
|
|
|
0 |
|
|
|
0 |
|
|
|
1,886,309 |
|
|
Deposits
|
|
|
2,617,299 |
|
|
|
0 |
|
|
|
(4,782 |
) |
|
|
2,612,517 |
|
|
Total equity
|
|
|
260,650 |
|
|
|
21,587 |
|
|
|
0 |
|
|
|
282,237 |
|
|