First of Long Island — IPO Roadshow (May 2016)
38 slides from First of Long Island's IPO roadshow presentation, May 2, 2016
Slide 1: First of Long Island Follow-On Offering of Common Shares
FIRST OF LONG ISLAND Follow-On Offering of Common Shares May 2016 Ticker: FLIC www.fnbli.com Michael N. Vittorio President & CEO
Slide 2: Offering Disclosure
Offering Disclosure Free Writing Prospectus The First of Long Island Corporation has filed a registration statement (including a prospectus and a related prospectus supplement) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus and th
Slide 3: Offering Summary
3 Offering Summary Issuer: The First of Long Island Corporation Type of Offering: Follow-On Public Offering Type of Security: Common Stock Ticker Symbol: FLIC Exchange: The NASDAQ Capital Market Offering Size: $35 Million Over-Allotment Option: 15% Use of Proceeds: General Corporate Purposes, Includ
Slide 4: Franchise Overview
Franchise Overview Operates on Long Island and in Two Boroughs of New York City Provides Full Range of Financial Services to: Small Businesses Middle Market Companies Local Municipalities Professional Practices Service Conscious Retail Customers 44 Branches Nassau County, Long Island: 24 Suffolk Cou
Slide 5: Experienced Executive Staff
Experienced Executive Staff Executive Title Years with FLIC Years in Banking Michael N. Vittorio President & Chief Executive Officer 14 41 Sallyanne K. Ballweg Senior Executive Vice President 9 38 Mark D. Curtis EVP, Chief Financial Officer and Treasurer 19 28 Christopher Becker EVP, Chief Risk Offi
Slide 6: Strategic Objectives
Strategic Objectives Maintain Pristine Credit Quality Perpetuate Operational Efficiency Branch Expansion Continue to Grow Reputation and Brand Identity Expand Fee Income Opportunities Effective Balance Sheet Management Attract and Retain Talented Executives and Staff
Slide 7: Financial Summary
Financial Summary Data as of March 31, 2016 Note: The First of Long Island Corporation has $220,000 of total intangible assets Source: Company documents, SNL Financial LC Total Assets: $3.2 Billion Total Loans: $2.3 Billion Total Deposits: $2.6 Billion Loans / Deposits: 90.3% Nonaccrual Loans/ Loans
Slide 8: Evolution of Branch Distribution
Evolution of Branch Distribution Year-End 2000 Year-End 2010 19 Branches 33 Branches
Slide 9: Evolution of Branch Distribution 2016 Branch Distribution Summary
Evolution of Branch Distribution 2016 Branch Distribution Summary Existing Branch Coming Soon 46 Branches
Slide 10: First Quarter 2016 Highlights
10 First Quarter 2016 Highlights Net Income Increased 14.6% to $7.4 Million Earnings Per Share Increased 13.0% to $0.52 Cash Dividends Per Share Increased 5.3% to $0.20 22.9% Growth in the Average Balance of Loans 19.3% Growth in the Average Balance of Total Deposits 19.2% Growth in the Average Bala
Slide 11: Net Income
YOY Growth: 12.5% 11 Net Income Net Income ($000) Source: Company documents, SNL Financial LC CAGR: 7.7% $11,227 $11,482 $12,962 $13,463 $18,392 $19,457 $20,393 $21,300 $23,014 $25,890 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 12: Net Income Quarterly
12 Net Income Net Income ($000) Source: Company documents, SNL Financial LC % Increase: 14.6% $6,485 $7,430 2015Q1 2016Q1
Slide 13: Earnings Per Share
13 Earnings Per Share Earnings Per Share ($) CAGR: 5.9% Source: Company documents, SNL Financial LC $0.97 $1.01 $1.18 $1.23 $1.53 $1.46 $1.51 $1.55 $1.65 $1.83 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 YOY Growth: 10.9%
Slide 14: Earnings Per Share Quarterly
Earnings Per Share Earnings Per Share ($) Source: Company documents, SNL Financial LC % Increase: 13.0% $0.46 $0.52 2015Q1 2016Q1
Slide 15: Dividends Per Share
Dividends Per Share Dividends Per Share ($) CAGR: 10.4% Source: Company documents, SNL Financial LC $0.33 $0.39 $0.44 $0.51 $0.56 $0.60 $0.64 $0.68 $0.72 $0.78 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 YOY Growth: 8.3%
Slide 16: Dividends Per Share Quarterly
Dividends Per Share ($) Source: Company documents, SNL Financial LC % Increase: 5.3% $0.19 $0.20 2015Q1 2016Q1 Dividends Per Share
Slide 17: Book Value Per Share
Book Value Per Share Book Value Per Share ($) Source: Company documents, SNL Financial LC CAGR: 8.6% $8.40 $9.15 $9.50 $10.77 $12.00 $14.35 $15.21 $15.06 $16.80 $17.78 $18.32 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016Q1 YOY Growth: 5.8% Quarterly Increase: 3.0%
Slide 18: Historical Shareholder Wealth Creation
Historical Shareholder Wealth Creation Five Year Total Shareholder Return1 (%) Simple Price Appreciation Dividends Reinvested 100.00% 100.00% 94.71% 91.52% 105.35% 98.47% 164.09% 149.06% 166.36% 147.97% 182.27% 156.47% 187.36% 159.65% 2010 2011 2012 1213 2014 2015 20163 Ten Year Total Shareholder Re
Slide 19: Commitment to Organic Growth
Commitment to Organic Growth Total Assets ($Millions) CAGR: 12.7% Source: Company documents, SNL Financial LC $954.2 $1,069.0 $1,261.6 $1,675.2 $1,711.0 $2,022.4 $2,108.3 $2,399.9 $2,721.5 $3,130.3 $3,234.4 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016Q1 YOY Growth: 15.0% Quarterly Increase
Slide 20: Total Loans
Total Loans Source: Company documents, SNL Financial LC Gross Loans ($Millions) $986 $1,147 $1,478 $1,805 $2,248 $2,309 2011 2012 2013 2014 2015 2016Q1 CAGR: 19.5% YOY Growth: 24.5% Quarterly Increase: 2.7%
Slide 21: Total Deposits
Total Deposits Source: Company documents, SNL Financial LC Total Deposits ($Millions) CAGR: 13.8% $1,503 $1,633 $1,782 $1,985 $2,285 $2,556 2011 2012 2013 2014 2015 2016Q1 YOY Growth: 15.1% Quarterly Increase: 11.9%
Slide 22: Total DDA
Total DDA DDA ($ Millions) CAGR: 13.9% Source: Company documents $436 $529 $599 $656 $778 $768 2011 2012 2013 2014 2015 2016Q1 YOY Growth: 18.6% Quarterly Change: -1.3%
Slide 23: Consistent Profitability
Consistent Profitability Assets (%) Source: Company documents, SNL Financial LC 1.05% 0.99% 0.95% 0.92% 0.89% 0.94% 2011 2012 2013 2014 2015 2016Q1 11.15% 10.19% 10.49% 10.25% 10.64% 11.62% 2011 2012 2013 2014 2015 2016Q1 51.5% 53.7% 51.9% 51.7% 51.1% 51.2% 2011 2012 2013 2014 2015 2016Q1 1.98% 1.82
Slide 24: Asset Quality Ratios
Asset Quality Ratios Source: Company documents Dollars in Thousands December 31, March 31, 2011 2012 2013 2014 2015 2016 Total Past Due, Nonaccrual and Restructured Loans: Past Due 30 Through 89 Days 740 884 184 2,186 1,003 265 Nonaccrual 3,211 4,098 4,496 1,704 1,435 1,313 Troubled Debt Restructuri
Slide 25: Investment Considerations
Investment Considerations Measured and Disciplined Approach to Risk and Growth Consistent and Pristine Asset Quality Over the Years and Throughout the Great Recession Strong and Consistent Profitability Despite Fragile Economy Operating in One of the Best Retail Banking Markets in the Country Our Br
Slide 26: Appendix
Appendix
Slide 27: Recent Franchise Expansion Hewlett Branch
27 Recent Franchise Expansion Hewlett Branch 1301 Broadway Opened: February 1, 2016 Total Deposits¹: $40 Million (1)As of March 17, 2016 Source: Company documents
Slide 28: Recent Franchise Expansion Howard Beach and Whitestone Branches
28 Recent Franchise Expansion Howard Beach Branch 159-14 Cross Bay Boulevard Opened: September 28, 2015 Total Deposits¹: $24 Million Whitestone Branch 19-01 Utopia Parkway Opened: December 14, 2015 Total Deposits¹: $80 Million (1)As of March 17, 2016 Source: Company documents
Slide 29: Recent Franchise Expansion Melville and Patchogue Branches
29 Recent Franchise Expansion Melville Branch 555 Broad Hollow Road Opened: April 20, 2015 Total Deposits¹: $31 Million Patchogue Branch 392 East Main Street Opened: March 30, 2015 Total Deposits¹: $43 Million (1)As of March 17, 2016 Source: Company documents
Slide 30: Loan Composition
Loan Composition Loan Approval Generally Requires: Loan to Value Ratio of 75% or Less FICO Score of 700 or Better Debt Service Coverage Ratio of 1.25x or Better and a Stressed Debt Service Coverage Ratio of 1.0x or Better Residential Loans in Excess of $1 Million and Other Loans in Excess of $500,00
Slide 31: Deposit Composition
Deposit Composition 19.3% Growth¹ in the Average Balance of Total Deposits 19.2% Growth¹ in the Average Balance of Noninterest-Bearing Checking Deposits Our Growth Reflects the Type of Franchise Value We are Building with Our Lucrative Target Markets: Small Businesses - $500,000—$10 Million in Sales
Slide 32: Investment Securities Composition
Investment Securities Composition The Securities Portfolio is Primarily Comprised of: = Direct Obligations of the U.S. Government and its Agencies, Majority of Which are GNMA = Obligations of States and Political Subdivisions, Rated AA or Better by Major Ratings Agencies Exceptional Quality = No Cor
Slide 33: Investment Securities Composition
Investment Securities Composition The Securities Portfolio is Primarily Comprised of: Direct Obligations of the U.S. Government and its Agencies, Majority of Which are GNMA Obligations of States and Political Subdivisions, Rated AA or Better by Major Ratings Agencies Exceptional Quality No Corporate
Slide 34: Recognition
Recognition Sandler O’Neill + Partners Recognized The First of Long Island Corporation as a “Recession Resistant” Bank in its Industry Note “Ideas to Bank On.” (February 2016) The First of Long Island Corporation was Recognized by SNL Financial as One of the Top 100 Best-Performing Community Banks i
Slide 35: Recognition
Recognition “Risk Management—How The First of Long Island Became the Best 2013 Little Bank in America” as Reported by Long Island Business News. (May 10-16, 2013) “The First of Long Island Corporation is the 70th Most Efficient 2012 Bank Holding Company in the Country” as Reported by the American Ba
Slide 36: Experienced Executive Staff
Experienced Executive Staff Executive Michael N. Vittorio Sallyanne K. Ballweg Mark D. Curtis Title President & Chief Executive Officer Senior Executive Vice President EVP, Chief Financial Officer and Treasurer Background Division Executive – Managed Small to Middle Market Business at Chase Manhatta
Slide 37: Experienced Executive Staff
Experienced Executive Staff Executive Christopher Becker Paul J. Daley Richard Kick Title EVP, Chief Risk Officer EVP, Senior Commercial Banking Officer EVP, Senior Retail Lending Officer, Senior Facilities Administrator and Chief Security Officer Background EVP and Chief Operating Officer at Bridge
Slide 38: Experienced Executive Staff
Experienced Executive Staff Executive Donald L. Manfredonia Richard P. Perro Title EVP, Senior Lending Officer and Deputy CRA Officer – Lending EVP, Branch Administration & Deputy Security Officer Background EVP at The First of Long Island Since 1982 Credit Card Fraud Supervisor Chemical Bank VP-Bra