First Bancorp (FBNC) Registration filing summary

Company overview and business model

• North Carolina-headquartered bank holding company; substantially all operations conducted through First Bank, which operated 88 branches across North Carolina and into Florence, South Carolina, at Sep. 30, 2016.

• Full-service banking model spanning deposits, consumer and commercial lending, cards, payment services, online/mobile banking, cash management and remote deposit capture.

• ATM network access to 67,000 machines without surcharge; CDARS enabled depositors to obtain FDIC insurance on deposits up to $50 million.

• Agreed to acquire Carolina Bank Holdings in a cash-and-stock transaction valued at ~$140.4 million; anticipated closing by end-Q1 2017, subject to customary conditions.

Financial performance and metrics

• At Sep. 30, 2016: consolidated assets $3.54 billion, loans $2.65 billion, deposits $2.91 billion and shareholders’ equity $365 million.

• Earnings-to-fixed-charges ratio excluding deposit interest: 21.74x in 2015, 25.81x in 2014, 24.67x in 2013, (16.49x) in 2012 and 9.01x in 2011.

• Earnings-to-fixed-charges and preferred-dividends ratio excluding deposit interest: 16.67x in 2015, 16.56x in 2014, 14.98x in 2013, (7.44x) in 2012 and 4.04x in 2011.

Use of proceeds and capital allocation

• Net proceeds generally intended for corporate purposes, potentially including debt repayment and interest, capital expenditures, acquisitions, investments and other purposes specified in a supplement.

• Proceeds may be invested temporarily before use; returns on interim investments are uncertain.