pab bankshares, inc. - SNL Financial

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 28. SEGMENT REPORTING
The Company has four reportable segments, the South Georgia market, the North Georgia market, the Florida market and
the Treasury segment. The South Georgia market includes the Company’s locations in Lowndes County, Cook County,
Decatur County, Appling County, Bulloch County, Jeff Davis County and Grady County. The North Georgia market
includes the Company’s current and former locations in Henry County, Hall County, Oconee County, Clarke County,
Gwinnett County, Cobb County, and Forsyth County. The Florida market includes the Company’s current and former
locations in Marion County, Duval County, and St. Johns County. The Treasury segment includes the administrative and
operational support facilities of the Company, such as accounting, internal audit, credit administration, marketing,
information technology, human resources and operations. All four segments derive revenues from the delivery of financial
services, to include commercial loans, mortgage loans, consumer loans and deposit accounts. The South Georgia, North
Georgia and Florida markets are managed as separate business units because of their different geographic areas and the
Treasury segment is managed separately because it provides support services to the other Markets.
The Company evaluates performance and allocates resources based on profit or loss from operations. There are no
material intersegment sales or transfers. Net interest revenue is used as the basis for performance evaluation rather than its
components, total interest revenue and total interest expense. The Company uses a funds transfer pricing system to credit
or charge the segments with the economic value or cost of the funds the segments create or use. The accounting policies
used by each reportable segment are the same as those discussed in Note 1. All costs have been allocated to the reportable
segments, therefore, combined segment amounts agree to the consolidated totals.
2009
Net interest income (expense)
South Georgia North Georgia Florida
(In thousands)
Treasury
Provision for loan losses 14,432 26,273 3,097 7,386 51,188
Noninterest income 3,844 (3,936) (118) 4,745 4,535
Total
$ 15,470 $ 11,028 $ 1,881 $ (69) $ 28,310
Noninterest expense 10,905 7,264 6,274 16,130 40,573
Income tax expense (benefit) (2,048) (8,991) (2,587) 5,882 (7,744)
Net income (loss) (3,975) (17,454) (5,021) (24,722) (51,172)
Total assets 366,362 416,988 87,256 361,339 1,231,945
2008
Net interest income $ 18,398 $ 12,288 $ 3,633 $ 447 $ 34,766
Provision for loan losses
Noninterest income
985
3,981
12,369
(1,191)
1,855
(24)
2,841
1,637
18,050
4,403
Noninterest expense 9,469 6,337 2,270 12,508 30,584
Income tax expense (benefit) 4,055 (2,587) (175) (4,846) (3,554)
Net income (loss) 7,871 (5,022) (341) (8,419) (5,911)
Total assets 406,708 464,949 106,029 372,417 1,350,103
2007
Net interest income $ 20,858 $ 16,035 $ 4,052 $ 1,521 $ 42,466
Provision for loan losses 269 3,145 373 (1,387) 2,400
Noninterest income 3,842 413 162 1,574 5,991
Noninterest expense 9,154 5,692 2,021 12,723 29,590
Income tax expense (benefit) 5,347 2,664 637 (2,967) 5,681
Net income (loss) 9,930 4,947 1,183 (5,274) 10,786
Total assets 388,016 446,516 103,037 261,102 1,198,671
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