Core Deposit Premium, which definition
Core Deposit Premium, which means the quotient of (i) the equity value of a company less TBV and (ii) aggregate core deposits, expressed as a percentage (“CDP”). Unless the context indicates otherwise, the analyses performed below were calculated using (i) the closing price of F.N.B. common stock and Metro common stock and the closing prices of the selected bank holding companies as of July 31, 2015, (ii) historical financial and operating data for F.N.B., Metro and the selected companies based on publicly available information for each company as of July 31, 2015, and (iii) transaction values and CDPs for the target companies derived from the selected transactions analysis described below, calculated as of the announcement date of the relevant transaction based on the estimated purchase prices announced on such date for the selected transactions. Accordingly, this information may not reflect current or future market conditions. The calculations of TBV and CDP were as of June 30, 2015. Estimates of earnings for F.N.B. and Metro were based on estimates provided by management of F.N.B., and estimates of earnings for the selected companies were based on consensus Wall Street analyst estimates available as of July 31, 2015. For the purposes of certain analyses described below, the term “implied per share consideration” refers to the implied per share value of the merger consideration of $32.72 based on the exchange ratio of 2.373 shares of F.N.B. common stock per share of Metro common stock and the closing price of F.N.B. common stock as of July 31, 2015 of $13.79. Metro Financial Analysis Public Company Analysis. RBC reviewed certain financial and operating information and implied trading multiples for selected publicly-traded companies as compared to the corresponding information and implied trading multiples for Metro. In choosing the selected companies, RBC considered publicly traded banks in the Mid-Atlantic region with (i) assets ranging from $2.0 billion to $5.0 billion, and (ii) a ratio of non-performing assets to total assets of less than three percent. RBC excluded companies not traded on a national securities exchange, together with mutual holding companies and targets of pending mergers.