Chase Chemical Exhibits

8/3/2019 Chase Chemical Exhibits

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Acquiror/acquiree Transaction Value ($Bn) Book Market

First Union/First Fidelity 5.4 1.9x 1.3x

First Chicago/NBD 5.3 1.5 1.1

Fleet/Shawmut 3.7 1.8 1.5

PNC/Midlantic 3 2 1.3US Bancorp/West One 1.6 2 1.4

NAB/Michigan National 1.9 1.2

Boatmens/Fourth financial 1.8 1.1

Major bank Mergers announced in 1995

Price To


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BOA 234 Chase (TCB 302 First Chicago/NBD 115

Wells 104 NationsBa 234 Banc One 96

US Bancor 32 BOA 234 Norwest 74

bancorp H 13 Banc One 96 KeyCorp 65National City 49

First Bank System 37

Comerica 35

First of America 23

Huntington 20

Firstar 19

Fifth Third 19

Mercantile 18

Old Kent 12

Geographic Markets Served by the Top 50 U.S. Banks, by Assets (billions of dollars)

West Plains/Mountain Midwest


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NationsBank 234 Vchase 302

First Union 131 citicorp 264

Sun Trust 47 First Union 131

Wachovia 45 Fleet 103Barnett 42 PNC 73

SouthTrust 21 BKB 58

Southern National 20 BONY 53

AmSouth 18 CoreStates 44

Mercantile 18 Mellon 42

Crestar 18 State Street 27

First Tennessee 13 Summit 22

Union Planters 11 HSBC 22

Central Fidelity 11

NortheastSouth


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Rank Sharea Rank Share Branches

Chemical 1 55% 1 29% 282

Chase 3 30% 2 12% 184

Citicorp 4 29% 4 7% 212Bank of New York 2 31% 5 7% 237

NatWest N.R. N.R. 3 7% 131

Merrill Lynch 5 23% N.R. N.R. N.R.

Top Credit Card Issuers (1994) Rank Cards Outstandings

Citibank 1 34 $39.00

Discover Card 2 42.6 20.9

MBNA 3 16 17.6

AT&T Universal 4 22 12.3

First Chicago 5 18.3 12.2

First USA 6 8.8 11

Household Bank 7 15 10.8

Chase 8 13.3 10.4

Chemical 9 9.8 8.9

American Express 10 25.3 8.1

Mortgage Originations (first half 1995) Rank Originatio Share

Countrywide 1 $13.10 4.50%

Norwest 2 12.3 4.2

Prudential 3 5.7 2

Fleet 4 5.5 1.9

Chase 5 5.3 1.8

Chemical 6 4.9 1.7

NationsBank 7 4.1 1.4

Great Western Bank 8 4 1.4

BankAmerica 9 3.9 1.3

GMAC Mortgage 10 3.3 1.1

Mortgage Servicing (June 30, 1995) Rank Servicing

Countrywide 1 $121.20

GE Mortgage 2 109.4

Norwest 3 100.5

Fleet 4 99.8

Prudential 5 77.8

NationsBank 6 77.5

Comparative Market Share Data: Tri-State Regional Banking (Top Five Rankings fo

Comparative Market Share Data: National Consumer Business (dollar

amounts in $ billions)

Relationship Share Lead Share

Downstate New York Middle Market New Y


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Chase 7 73.6

BankAmerica 8 57.1

Chemical 9 51.9

Home Savings 10 49.5

Bank Mutual Fund Assets Under Mana Rank Servicing

Mellon 1 $68.00

PNC Bank 2 22.4

NationsBank 3 14.7

Wells Fargo 4 10.6

Chase 10 7

Chemical 13 5.7

Loan Syndications - Agent Only(first ha Rank Agent VoluNo. of dealShareChemical 1 $132 162 24%

J.P. Morgan 2 68 73 12

Citicorp 3 56 101 10

BankAmerica 4 52 115 9

Chase 5 46 94 8

NationsBank 6 27 94 5

First Chicago 7 22 62 4

Bank of New York 8 22 38 4

Bankers Trust 9 22 59 4

Bank of Nova Scotia 10 11 20 2

Comparative Market Share Data: Other Businesses (dollaramounts in $

billions)


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Rank Share

1 14%

3 6%

2 13%4 4%

5 3%

N.R. N.R.

1994)

rk 9 County Consumer Share

Deposit Share


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Aggreagte Amounts

outstanding for Banks Banks Main competitors

Deposit rate $453 2.71% 5.05%

Credit card loan rate 240 16.00% 14.00%Small business loan rate spread 300 6.00% 3.00%

Avg. US rates Paid or charged

1995 interest rates comparison


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Chemical Chase BankAmer Nationsba First UnionBanc One J.P. Morga

Income Statement Data

Interest Income 9,088 8,134 12,384 10,529 5,095 6,437 8,379

Non-interest Income 3,597 3,053 4,147 2,597 1,159 1,420 3,536

Interest Expense 4,414 4,445 4,842 5,318 2,061 2,249 6,398

Non-interest Expense 5,509 4,472 7,512 4,942 2,677 3,847 3,692Net Income 1,294 1,205 2,176 1,609 925 1,005 1,215

EPS (incl. extraordinry income a 4.64 5.87 5.33 6.12 5.22 2.42 6.02

Performance Ratios

Return on Average Assets 0.78% 1.01% 1.08% 1.02% 1.27% 1.15% 0.70%

Return on Average Common Eq 12.32% 15.79% 13.20% 16.10% 17.04% 13.35% 12.90%

Efficiency Ratio 63.00% 66.33% 64.27% 62.54% 62.47% 64.60% 66.92%

Non Performing asstes as % of t 0.66% 1.03% 0.67% 0.72% 0.52% 0.14%

Balance Sheet Data Data

Total Assets 171,423 114,038 215,475 169,604 77,314 88,923 154,917

Total Loans 78,767 63,038 137,222 103,371 53,051 61,096 20,949

Total Deposits 96,506 69,956 154,394 100,470 58,958 68,090 43,085

Total Liabilities (Total Debt) 160,711 105,679 196,584 158,593 71,916 81,358 145,349

Risk based Capital Ratio - Tier 1 8.20% 8.30% 7.27% 7.43% 7.76% 9.93% 9.60%

- Total 12.35% 12.78% 11.69% 11.47% 12.94% 13.33% 14.20%

Market Data

Common Stock - High 42.13 40 50.25 57.38 47.63 44.73 79.38

Price - Low 33.63 30.38 38.38 43.38 39.38 24.13 55.13

Number Shares, year end (in M 244.5 181.2 371.2 276.4 176 396.9 187.7

Market value/share 35.88 34.38 39.5 45.13 41.38 25.38 56.13

Book value/share 37.88 39.28 42.63 39.43 30.66 18.43 46.73

Market-to-book ratio 94.72% 87.51% 92.66% 114.44% 134.95% 137.71% 120.10%Other

Headquarters (City/State) New York, New York, San Franco Charlotte, Charlotte, Columbus, New York,

Employees 42,130 35,774 98,600 61,484 31,858 48,800 17,055

Comparables analysis, December 31, 1994( dollar amnts in Mn)


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Y


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Estimated Impact of Merger between

Target Bank $ Millions

As % of Target's Premerger

Expenses

Chemical's

ownership at

Current Market

Price of

Impact on

Chemical's

EPSbChase $1,500 34% 59% 31%

BankAmerica 655 13 40 8

NationsBank 539 10 45 9

First Unionc 185 7 60 3

Banc One 350 10 51 -1

J.P. Morgan 587 15 50 -2

Estimated reduction in non interest Expense


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Chemical and selected banks

Impact on Target's EPSb44%

12

10

7

18

34


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Planned Saves as % of combined Expense

base

GlobalBank 19%

GlobalServices 12%

Tri-StateRegional 16%NationalColnsumer 16%

TCB(Texas) 0%

TotalRegional&NationalConsumer 13%

CentralInformationTechnology&O 25%

Corporate Functions 29%

Miscellaneous

Total 18%

SavesasPercentofSmallerBase(Cha 38%

OneTimePre-TaxRestructuringCharges

RelatedExpensesTotal

Targeted Merger Saves, Pre Ta (Doll


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Forecasted Dollar savings reduction in FTE

$560 3,600

$150 1,400

$250 2,600$280 2,700

0 0

$530 5,300

$240 1,000

$190 1,200

$30

$1,700 12,500

$1,650

$250$1,900

ar amounts in $ millions)


14/20


15/20

1997 1998 1999 2000

9,394 9,936 10,510 11,119

5,185 5,433 5,689 5,953

4,209 4,503 4,821 5,166

750 800 850 900

17 17 17 173,442 3,686 3,954 4,249

1,343 1,438 1,542 1,657

2,099 2,248 2,412 2,592

0 0 0 0

2,099 2,248 2,412 2,592

100 100 100 100

$1,999 $2,148 $2,312 $2,492

$13,229 $14,626 $16,128 $17,748

198,655 208,588 219,017 229,968

102,000 106,774 111,780 117,016

260.9 260.9 260.9 260.9

1997 1998 1999 2000

7,434 7,880 8,351 8,856

4,768 4,943 5,124 5,313

-400 -400 -400 -400

4,368 4,543 4,724 4,913

3,067 3,336 3,627 3,943

500 525 546 5670 0 0 0

2,567 2,811 3,081 3,376

1,026 1,124 1,234 1,351

1,542 1,687 1,847 2,025

0 0 0 0

1,541 1,687 1,847 2,025

123 123 123 123

$1,419 $1,564 $1,724 $1,902

$9,413 $10,430 $11,550 $12,787

142,462 150,385 158,777 167,67474,471 78,725 83,222 87,977

189.9 189.9 189.9 189.9

xcept per share amounts)

ept per share amounts)


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Month-End Chemical Chase

Jan 94 39.5 36.13

Feb 94 37.25 32.63

Mar 94 36.38 32.25

Apr 94 34.75 34

May 94 38.38 37.75Jun 94 38.5 38.25

Jul 94 38.38 36.88

Aug 94 38.75 37.75

Sept 94 35 34.63

Oct 94 38 36

Nov 94 36.38 35.63

Dec 94 35.88 34.38

Jan 95 39 33.13

Feb 95 40.13 35.88

Mar 95 37.75 35.63

Apr 95 41.75 43.75

May 95 46.13 46.25

Jun 95 47.25 47

Jul 95 51.63 53.63

Stock Price History


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Income Statement Data 1994 1993 1992 1991a 1990 1989

Interest Income 9,088 8,403 9,148 11,282 6,511 6,823

Non-interest Income 3,597 4,024 3,026 2,846 1,456 1,404

Interest Expense 4,414 3,767 4,550 7,169 4,460 4,806

Non-interest Expense 5,509 5,293 4,930 5,324 2,623 2,740

Provision for Loan losses 550 1,259 1,365 1,345 537 1,135Net Income 1,294 1,604 1,086 154 291 -482

Restructuring Change 308 158 0 625 52 0

EPS (incl. extraordinry inc 4.64 5.63 3.9 0.11 2.38 -8.29

Performance Ratios

Return on Average Assets 0.78% 1.11% 0.78% 0.11% 0.37% n.m.

Return on Average Comm 12.32% 16.66% 12.36% 0.33% 7.08% n.m.

Efficiency Ratio 63% 58% 61% 65% 75% 80%

Non Performing asstes as 0.66% 2.35% 4.36% 4.43% 4.50% 4.59%

Balance Sheet DataTotal Assets 171,423 149,888 139,655 138,930 73,019 71,513

Total Loans 78,767 75,381 82,010 84,237 45,131 44,512

Total Deposits 96,506 98,277 94,173 92,950 48,951 50,151

Total Liabilities (Total Deb 160,711 138,724 129,084 131,649 69,112 67,808

Market Data

Common Stock Price, yea 35.88 40.13 38.63 21.25 10.75 29.88

Other

Employee 42,130 41,567 39,687 43,169 26,689 29,139

Income Statement Data 1,994 1,993 1,992 1991a 1,990 1,989

Interest Income 8,134 8,468 8,705 9,638 11,572 11,959

Non-interest Income 3,053 2,949 2,420 2,202 2,100 1,945

Interest Expense 4,445 4,605 5,141 6,293 8,384 8,934

Non-interest Expense 4,472 4,520 3,939 3,818 4,119 3,702

Provision for Loan losses 500 1,561 1,220 1,085 1,300 1,737

Net Income 1,205 966 639 520 -334 -665

Restructuring Change 0 205 0 0 220 38EPS (incl. extraordinry inc 5.87 4.79 3.46 3.12 -3.31 -7.94

Performance Ratios

Return on Average Assets 1.01% 0.94% 0.64% 0.52% n.m. n.m.

Return on Average Comm 15.79% 14.59% 11.14% 10.49% n.m. n.m.

Efficiency Ratio 66.33% 66.35% 65.83% 68.83% 77.89% 74.49%

Non Performing asstes as 0.60% 1.00% 4.00% 4.40% 4.60% 3.60%

Chemical 10 year financial summary

Chase ten year financial summary


18/20

Balance Sheet Data

Total Assets 114,038 102,103 95,862 98,197 98,064 107,369

Total Loans 63,038 60,493 62,558 67,785 74,727 76,692

Total Deposits 69,956 71,509 67,224 71,517 70,713 69,073

Total Liabilities (Total Deb 105,679 93,981 89,298 92,820 93,279 102,371

Market DataCommon Stock Price, yea 34.38 33.88 28.5 17.25 10.5 34.75

Other

Employee 35,774 34,390 34,540 36,210 38,470 41,610


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1988 1987 1986 1985

6,220 5,470 4,520 4,883

1,424 1,285 968 768

3,913 3,500 2,850 3,311

2,460 2,476 1,708 1,532

364 1,492 439 281754 -854 402 390

11 135 0 0

12.02 -16.68 7.57 7.33

0.99% n.m. 0.70% 0.70%

27.74% n.m. 14.22% 15.06%

66% 76% 65% 65%

n.a. n.a. n.a. n.a.

67,349 78,189 60,564 56,990

41,590 49,800 39,425 39,096

47,966 55,509 39,055 34,505

63,382 75,186 63,382 75,186

31 21.38 42.25 45.38

27,225 28,597 20,993 19,691

1,988 1,987 1,986 1,985

10,112 8,839 7,717 8418.00

2,252 1,906 1,743 1,316

6,850 5,858 4,721 5,669

3,431 3,455 3,301 2,732

750 2,150 595 435

1,059 -895 585 565

48 63 30 011.55 -11.56 6.63 6.39

1.11% n.m. 0.65% 0.65%

27.75% n.m. 13.29% 13.64%

62.22% 70.69% 69.65% 67.21%

4.20% 4.30% 2.00% 2.30%


20/20

97,455 99,206 94,838 87,685

69,602 67,979 66,220 61,931

64,057 68,578 66,003 61,353

92,495 95,220 89,822 83,227

28.63 22.13 35.63 36.31

41,570 42,390 47,480 46,450

Documents

Chase Chemical Exhibits