COLUMBUS — Synovus Financial Corp. (NYSE: SNV), parent company of Commercial Bank & Trust, today reported financial results for the quarter ended Dec. 31, 2012.
Fourth Quarter Results
Net income available to common shareholders was $712.8 million for the fourth quarter of 2012, compared to net income available to common shareholders of $16.0 million for the third quarter of 2012 and $12.8 million for the fourth quarter of 2011. Net income available to common shareholders was $775 million for year end 2012, compared to a net loss attributable to common shareholders of $118.7 million for the year ended Dec. 31, 2011.
Diluted net income per common share for the fourth quarter of 2012 was 78 cents, compared to diluted net income per common share of 2 cents for the third quarter of 2012 and 1 cent for the fourth quarter of 2011. Diluted net income per common share for the year ended Dec. 31, 2012 was 85 cents, compared to a net loss per common share of 15 cents for the year ended Dec. 31, 2011.
The fourth quarter results include an income tax benefit of approximately $800 million from the recapture of substantially all of the deferred tax asset valuation allowance. The recapture of the deferred tax asset drove the 89-cent increase in tangible book value per share during the quarter to $2.96.
The fourth quarter results also reflect the successful completion of distressed asset sales of approximately $545 million, including the execution of a bulk sale effective Dec. 10, 2012. The fourth quarter distressed asset dispositions resulted in a pre-tax charge of approximately $157 million.
“Our fourth quarter performance represents another huge step forward for our company,” said Kessel D. Stelling, Chairman and CEO of Synovus. “The recapture of the deferred tax asset is a significant milestone that reflects years of progress and further demonstrates our company’s return to a position of strength. Additionally, the successful execution of the bulk sale during the fourth quarter accelerates credit quality improvement and also enhances our future financial performance.”
Frank McRae, President and CEO of CB&T, added: “Our team members have worked extremely hard increasing the business while operating the bank as efficiently as possible. We are encouraged by this momentum and look forward to even more positive results in 2013.”