Financial Highlights

 For theThree Months Ended (Unaudited)

In Thousands of Dollars (Except Per Share and Percentage Amounts)

OPERATING RESULTS

Net Income

$

25,159

$

24,288

$

21,158

Total Revenue

106,796

105,082

81,745

Earnings per Share

$

0.73

$

0.70

$

0.62

- Diluted

0.72

0.70

0.61

Return on Shareholders’ Equity

27.94%

28.87%

29.34%

Return on Average Assets

1.94%

2.01%

2.10%

Efficiency Ratio

28.41%

29.80%

27.28%

Efficiency Ratio (TEB)

27.89%

28.54%

26.70%

(Non-interest Expense/Net Interest Income Plus Fee Income) 

Taxable Equivalent Basis (TEB)
Most banks and trust companies analyze and report their financial results on a TEB to provide uniform measurement and comparison of net interest income. Net interest income (as presented in the consolidated statements of income) includes tax-exempt income from certain securities.
The adjustment to TEB increases income and the provision for income taxes to what they would have been had the income from tax-exempt securities been taxed at the statutory tax rate.
The TEB adjustments of $1.0 million for the fi rst quarter ($2.3 million - Q4 2007 and $0.9 million – Q1 2007) increased reported interest income. TEB does not have a standard meaning prescribed by Canadian generally accepted accounting principles (GAAP) and therefore may not be comparable to similar measures used by other companies. Net interest income and income taxes are discussed on a TEB basis throughout this Management’s Discussion and Analysis (MD & A).