WesBanco, Inc. · NASDAQ:WSBC

WesBanco — Midwest 2007 Super Community Bank Conference

24 slides from WesBanco's conference presentation, Feb 27, 2007

  1. Slide 1: Midwest 2007 Super Community Bank Conference

    Midwest 2007 Super Community Bank Conference February 27, 2007

  2. Slide 2: Corporate Profile

    Corporate Profile* NASDAQ: WSBC • Founded in 1870 • $4.1 billion in assets • 78 offices, 1 lending office, & 112 ATM’s • $3.0 billion in trust assets • Market capitalization: $721 million * • 2006 average daily shares traded: 50,025 * As of 12/31/06

  3. Slide 3: Market Diversification

    Market Diversification 2002 2002 2004 2005

  4. Slide 4: Loans & Deposits

    Loans & Deposits LOANS 12/31/06 DEPOSITS 12/31/06 NON NON WV WV 56% 42% WV WV 44% 58% WV ­ $1,283 million WV ­ $1,742 million Non­WV ­ $1,625 million Non­WV ­ $1,254 million WV ­ Branches – 45 WV – ATM’s ­ 67 Non­WV ­ Branches – 33 Non­WV ­ ATM’s ­ 45

  5. Slide 5: Market Demographics

    Market Demographics* NEW MARKETS NEW MONTGOMERY, MARKET CLARK & GREENE HAMILTON WEST COUNTIES COUNTY VIRGINIA Dayton/Springfield, OH Cincinnati, OH Total Est. Population * 1,771,750 814,135 786,982 (1) Median Household Income * $33,452 $43,470 $43,933 (1) Per Capita Income * $19,214 $23,634 $25,922

  6. Slide 6: 4th Quarter 2006 Financial Results

    4th Quarter 2006 Financial Results 4th Quarter 4th Quarter (dollars in thousands) 2006 2005 % CHG Net income $ 10,636 $ 10,549 0.8% EPS ­ diluted $ 0.49 $ 0.48 2.1% Return on assets 1.03% 0.95% 8.4% Return on equity 10.06% 10.09% (0.3%) Return on tangible equity 15.40% 15.66% (1.7%) Net interest mar

  7. Slide 7: 4th Quarter 2006 Financial Results

    4th Quarter 2006 Financial Results Ø Decrease in net interest income due to competitive loan and deposit pricing pressure, and overall flat yield curve. Ø 1st quarter balance sheet repositioning contributed to an approximate 9 basis point improvement in the 4th quarter net interest margin. Ø Increas

  8. Slide 8: Net Income / Earnings Per Share

    Net Income / Earnings Per Share $16,000 $0.60 $0.50 $12,000 $0.40 $8,000 $0.30 $0.20 $4,000 $0.10 $0 $0.00 12/31/05 3/31/06 6/30/06 9/30/06 12/31/06 Net Income Earnings Per Diluted Share

  9. Slide 9: Core Operating EPS

    Core Operating EPS * $2.00 $1.95 $1.95 $1.91 $1.75 $1.81 $1.50 $1.77 $1.25 $1.00 $0.75 $0.50 $0.25 $0.00 2002 2003 2004 2005 2006 *See Core Operating EPS detail in Reconciliation Table – Non­GAAP Financial Information later in this presentation.

  10. Slide 10: Composition of Loans

    Composition of Loans 12/31/06 12/31/05 5.60% 9.50% 6.00% 9.30% 13.50% 14.20% 30.80% 31.90% 40.10% 38.40% Commercial Comm. R/E Commercial Comm. R/E Residential R/E Home Equity Residential R/E Home Equity Consumer Consumer

  11. Slide 11: Composition of Deposits

    Composition of Deposits 12/31/06 12/31/05 13.40% 12.90% 10.80% 11.90% 48.20% 46.30% 11.80% 14.70% 14.70% 15.30% Non-int. bearing Int. bearing Non-int. bearing Int. bearing MMDA Savings MMDA Savings CDs CDs

  12. Slide 12: Credit Quality

    Credit Quality In thousands Non­performing In thousands Net charge­offs $25,000 assets 0.60% $4,500 0.60% $4,000 0.54% $20,000 $3,500 0.50% 0.49% 0.40% $3,000 0.40% $15,000 0.41% 0.39% $2,500 0.35% $2,000 $10,000 0.27% 0.20% $1,500 0.20% $1,000 0.18% $5,000 0.16% 0.17% $500 $0 0.00% $0 0.00% 4Q05 1Q

  13. Slide 13: Shares Repurchased vs. Capital Levels

    Shares Repurchased vs. Capital Levels 1,600 12.00% 1,400 9.62% 9.34% 9.13% 10.00% 8.76% 8.46% 1,200 9.75% 8.21% 8.00% 1,000 8.53% 7.69% 7.65% 800 6.75% 6.00% 6.33% 600 4.00% 400 2.00% 200 ­ 0.00% 2001 2002 2003 2004* 2005 2006 Shares repurchased Tier I leverage Tangible equity * 2004 repurchases lim

  14. Slide 14: Relative Stock Price Performance: 2003 - 2006

    Relative Stock Price Performance: 2003 ­ 2006 135% 130% 125% 120% 115% 110% 105% 100% 95% 90% 85% /0 3 1/0 4 0/0 4 9/0 4 /04 0/ 0 5 0/0 5 9/ 0 5 /05 0/ 0 6 9/ 0 6 8/0 6 /06 / 31 /3 /3 /2 / 29 /3 /3 /2 / 29 /3 /2 /2 / 29 12 3 6 9 12 3 6 9 12 3 6 9 12 WesBanco Inc. (+21.2%) NASDAQ Bank Index (+17.9%)

  15. Slide 15: Historical P/E Analysis: WesBanco vs. Peers

    Historical P/E Analysis: WesBanco vs. Peers Historical P/E: WSBC Peers Monthly Historical P/E Comparison Five year average: 14.5x 13.9x Chart Displays Price to Next Twelve Months Estimated EPS* Three year average: 14.9x 14.5x One year average: 15.1x 14.3x 18.0x 17.0x 16.0x 15.0x Current P/E differen

  16. Slide 16: Peer Group Analysis – Total Return

    Peer Group Analysis – Total Return Total Return Since Completion of Western Ohio Financial Corporation Acquisition* (%) 100.0% WesBanco Total Return = 26.8% 75.0% 50.0% 25.0% 0.0% Median Value = 11.5% ­25.0% Peer Group Values Peers include selected banks in western Pennsylvania, Indiana, Ohio, and W

  17. Slide 17: Yield Curve

    Yield Curve Yield Curve – 12/30/05 vs. 12/29/06 5.50 5.30 5.10 4.90 4.70 4.50 % Yield 4.30 4.10 3.90 3.70 3.50 3 mo. 2 yr. 5 yr. 10 yr. 30 yr. 12/30/2005 12/29/2006

  18. Slide 18: Business Strategies

    Business Strategies Ø Cost control and FTE reduction. § Reduction of 190 FTE’s since the Winton acquisition in 2005 (32 in 2006). Ø Service charge income and alternative fee income growth. § Improved overdraft product. § Growth in securities / insurance product lines. Ø Focus on credit quality and r

  19. Slide 19: Business Strategies (cont.)

    Business Strategies (cont.) § Focus on loan spreads – target spreads by relationship and by lender. § Focus on commercial loan growth – increasing resources in Cincinnati, Morgantown & Washington, PA. § New professional suite of products rolled out, encompassing loan, deposit and non­traditional com

  20. Slide 20: Business Strategies (cont.)

    Business Strategies (cont.) Ø Marketing campaigns will focus on new account acquisitions to improve retail DDA balances and grow activity fees. Ø Branch optimization – Closure/sale of low growth branches and consolidating existing locations to improve efficiency. Ø Implementation of new commercial l

  21. Slide 21: Branch Optimization

    Branch Optimization Ø West Virginia Markets: § Parkersburg­Marietta ­ sold 4 branches in Ritchie County; opening new banking center in Marietta; merging 3 existing locations into the new center (2006). § North Central ­ Opened new banking center in Kingwood (2005). § Upper Ohio Valley – building a n

  22. Slide 22: Key Investor Messages

    Key Investor Messages Ø Increased dividend in February 2007 – 22 consecutive years of dividend increases. Dividend yield of 3.4%. Ø Repurchased approximately 2 million shares in last two years, with 630,000 shares remaining in current 1 million share authorization. Ø Tangible capital supportive of s

  23. Slide 23: Reconciliation Table – Non-GAAP Financial Information

    Reconciliation Table – Non­GAAP Financial Information For the Year Ended December 31, 2006 2005 2004 2003 2002 Per Share Amts. GAAP ­ Net income / Per share $ 1.79 $ 1.90 $ 1.91 $ 1.80 $ 1.70 Merger­related expenses, net of tax (1) ­ 0.05 0.01 0.01 0.07 Restructuring expenses, net of tax (1) 0.01 ­

  24. Slide 24: Forward-looking Disclosure

    Forward­looking Disclosure Forward­looking statements in this presentation relating to WesBanco’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The informatio

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