8-K - HOMB - Equibles

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT

TO SECTION 13 OR 15(D) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported) July 30, 2020

HOME BANCSHARES, INC.

(Exact name of registrant as specified in its charter)

Arkansas

(State or other jurisdiction of incorporation)

000-51904	71-0682831
(Commission File Number)	(IRS Employer Identification No.)
719 Harkrider, Suite 100, Conway, Arkansas	72032
(Address of principal executive offices)	(Zip Code)

(501) 339-2929

(Registrant's telephone number, including area code)

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	HOMB	NASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 7.01. Regulation FD Disclosure

Home BancShares, Inc. has made the following slides related to the retail and other commercial real estate portfolio presentation, to be held on July 30, 2020 at 1:00 p.m. CT, available on the Company’s website, www.homebancshares.com. The slides are attached as Exhibit 99.1 to this Current Report and are incorporated by reference into this Item 7.01.

As provided in General Instruction B.2 to Form 8-K, the information furnished in Exhibit 99.1 to this Current Report on Form 8-K shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, and such information shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1 Home BancShares, Inc. Presentation

104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


		(Registrant)
Date: July 30, 2020	/s/	Jennifer C. Floyd
	Jennifer C. Floyd
	Chief Accounting Officer

homb-ex991_6.pptx.htm

HOMB Retail Fireside Chat 30 July 2020

Forward Looking Statement This presentation may contain forward-looking statements regarding the Company’s plans, expectations, goals and outlook for the future. Statements in this presentation that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements of this type speak only as of the date of this presentation. By nature, forward-looking statements involve inherent risk and uncertainties. Various factors could cause actual results to differ materially from those contemplated by the forward-looking statements. These factors include, but are not limited to, the following: economic conditions, credit quality, interest rates, loan demand, disruptions and uncertainties in our business and operations as a result of the ongoing coronavirus pandemic, the ability to successfully integrate new acquisitions, legislative and regulatory changes and risks associated with current and future regulations, technological changes and cybersecurity risks, competition from other financial institutions, changes in the assumptions used in making the forward-looking statements, and other factors described in reports we file with the Securities and Exchange Commission (the “SEC”), including those factors set forth in our Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC on February 26, 2020, and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2020, filed with the SEC on May 8, 2020.

Centennial Bank Retail CRE Portfolio Geography 341 Loans with the Largest Loan at $30MM, and Only 6 Loans Over $10MM Low Leverage with Significant Equity Weighted Average Loan to Value: 54% Seasoned Loans with Largest Balances Originated in 2015 and 2016 Florida Loans are Geographically Disbursed 19% Broward County (Fort Lauderdale) 10% Hillsborough County (Tampa) 9% Lee County (Ft. Myers) 9% Brevard County (Titusville) 7% each Sarasota County, Pinellas County (St. Pete), and Palm Beach County $ Outstanding as of 6/30/20 Texas $55MM (13%) Florida $212MM (51%) Arkansas $110MM (26%) Others $41MM (10%) Largely located in community bank footprint

Centennial Bank Retail CRE Portfolio Type Heavily weighted to convenience/neighborhood shopping, with strong rebound in collections Type # of Credits Outstanding ($MM) % WA July Coll % Shopping Center 177 $313 75% 80% Strip/Convenience 107 $93 22% 84% Neighborhood Center 53 $86 21% 92% Regional Mall 7 $83 20% 65% Power Center 3 $36 9% 71% Community Center 5 $10 2% 99% Lifestyle Center 2 $5 1% 75% Other 66 $56 13% 89% Single Credit Tenant 32 $30 7% 99% Single Tenant 66 $20 5% 83% 56% of Retail loans are secured by Convenience/Neighborhood/Other Centers, with an average loan balance of $1.0MM, with the most prominent anchor tenant being a grocery or convenience store. Another 12% are Single Tenant Properties, with over half of that to Credit Tenants Only 17 loans in larger facility types totaling $134MM, or 32% of the balance. Most of these are either related to an insider, or to a successful mall redeveloper Overall WA July collection % of 83%

Retail CRE Deferrals…90 Days and Review… Liberal with first 90-day deferral, but second 90-day process involves robust information gathering, and approval process similar to new loan request Second deferral process began in mid-June, and as of July 26, we have worked through $2.2B of the overall $3.1B in first 90-day deferrals. At this point, 69% of these loans are going back to P&I payments, and another 7% paying interest. Specifically related to Retail loans, as of July 26, we have worked through 89% of the Retail balances, and 88% of those loans are going back to P&I payments now. Only $35MM are continuing for a second 90-day deferral ($20MM-Full Deferral and $15MM-Principal Deferral) $ Outstanding as of 6/30/20 Full Deferral $183MM (44%) No Deferral $170MM (40%) Principal Deferral $66MM (16%) Second deferral process showing significant decrease in July-Sept deferrals

Centennial Bank Other CRE Portfolio Geography 600 Loans with the Largest Loan at $36MM, and 12 Loans Over $10MM Low Leverage with Significant Equity Weighted Average Loan to Value: 57% Largest Balances Originated in 2016 and 2018 Florida Loans are Geographically Disbursed 13% Palm Beach County 13% Miami-Dade County 10% Broward County (Fort Lauderdale) 10% Monroe County (Keys) 7% each Lee County (Fort Myers) and Collier County (Naples) 5% each Leon County (Tallahassee) and Hillsborough County (Tampa) $ Outstanding as of 6/30/20 Texas $30MM (4%) Florida $385MM (53%) Arkansas $219MM (30%) Others $91MM (13%) Even greater concentration in community bank footprint

Centennial Bank Other CRE Portfolio Type Heavily weighted to senior care facilities Type # of Credits Outstanding ($MM) % ALF/SNC/CCRC 41 $293 40% Non-Resi Mixed-Use 109 $77 11% MH and RV Parks 48 $62 9% Restaurants 53 $46 6% Gas Stations 40 $41 6% All Others 309 $206 28% Senior care split about 60/40 Florida vs Arkansas. Almost all of the Florida credits are ALF’s with most still in the stabilization phase. A large percentage of these credits have a substantial institutional sponsor, and were underwritten with stressed stabilization budgets. Most of the Arkansas credits are nursing homes with a legacy operator in a state where Certificates of Need are required. No other significant concentrations were noted outside those mentioned in the table.

Other CRE Deferrals…90 Days and Review… Liberal with first 90-day deferral, but second 90-day process involves robust information gathering, and approval process similar to new loan request Second deferral process began in mid-June, and as of July 26, we have worked through $2.2B of the overall $3.1B in first 90-day deferrals. At this point, 69% of these loans are going back to P&I payments, and another 7% paying interest. Specifically related to Other CRE loans, as of July 26, we have worked through 2/3 of the Other CRE balances, and 68% of these loans are going back to P&I payments. At this point, a total of $147MM are continuing for a second 90-day deferral ($141MM-Full Deferral and $6MM-Principal Deferral) $ Outstanding as of 6/30/20 Full Deferral $362MM (50%) No Deferral $357MM (49%) Principal Deferral $6MM (1%) Second deferral process showing significant decrease in July-Sept deferrals

Centennial Bank WA LTV by CRE Property Type

Centennial Bank WA LTV by Geography

Contact Information Corporate Headquarters Home BancShares, Inc. 719 Harkrider Street, Suite 100 P.O. Box 966 Conway, AR 72033 Financial Information Donna Townsell Director of Investor Relations (501) 328-4625 Website www.homebancshares.com

NASDAQ: HOMB | July 2020 www.homebancshares.com