8-K - IBOC - 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): **** November 4, 2021

INTERNATIONAL BANCSHARES CORPORATION

(Exact name of registrant as specified in its charter)

-
Texas	000-9439	74-2157138
(State or other jurisdiction	(Commission File	(IRS Employer
of incorporation)	Number)	Identification No.)


	1200 San Bernardo , Laredo , Texas		78040-1359
	(Address of principal executive offices)		(Zip Code)

Registrant's telephone number, including area code ( 956 ) 722-7611

None

(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 (see General Instruction A.2.below):

☐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))

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

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. ☐


Title of Each Class:		Trading Symbol (s):		Name of each exchange on which registered:
Common Stock, $1.00 par value		IBOC		NASDAQ

Item 2.02 Results of Operations and Financial Condition.

On November 4, 2021, International Bancshares Corporation issued a news release announcing net income for the three and nine months ended September 30, 2021. The news release, attached hereto and filed herewith as Exhibit 99, is incorporated by reference.

All of the information furnished in Item 2.02 of this report, including the accompanying exhibits, is also intended to be included under “Item 7.01 – Regulation Fair Disclosure” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to the liabilities of that section and shall not be incorporated by reference in any filing under the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits

99 - The following exhibit is being furnished with this Current Report on Form 8-K.

EXHIBIT INDEX

Exhibit Number	****	Description

99		News Release of International Bancshares Corporation dated November 4, 2021
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.


	INTERNATIONAL BANCSHARES CORPORATION


	By:	/s/ Dennis E. Nixon
		DENNIS E. NIXON, President
		and Chief Executive Officer

Date: November 4, 2021

EXHIBIT 99


Contact:	Judith Wawroski,<br><br>Treasurer and Principal Financial Officer
	International Bancshares Corporation
	(956) 722-7611

FOR IMMEDIATE RELEASE:

IBC Reports Strong Earnings

LAREDO, Texas—(BUSINESS WIRE)— November 4, 2021—International Bancshares Corporation (NASDAQ:IBOC), one of the largest independent bank holding companies in Texas, today reported net income for the three months ended September 30, 2021 was $54.6 million or $.86 diluted earnings per common share ($.86 per share basic), compared to $42.7 million or $.67 diluted earnings per common share ($.68 per share basic) for the same period in 2020, representing an increase of 28.4 percent in diluted earnings per share and an increase of 27.9 percent in net income. Net income for the nine months ended September 30, 2021 was $197.4 million or $3.11 diluted earnings per common share ($3.12 per share basic), compared to $119.1 million or $1.86 diluted earnings per common share ($1.86 per share basic) for the same period of 2020, representing an increase of 67.2 percent in diluted earnings per share and an increase of 65.7 percent in net income.

Net income for the nine months ended September 30, 2021 was significantly impacted by the sale in the second quarter, of an equity interest in a merchant banking investment held by one of our non-bank subsidiaries, totaling $42.8 million, net of tax. Net income for the period was also positively affected by a decrease in the provision for credit losses compared to the same period of 2020. The credit loss expense charged to operations increased throughout 2020 as a result of increases in the allowance for credit losses (“ACL”) due to deteriorating economic conditions as a result of the novel Coronavirus Disease 2019 (“COVID-19”) and the impact of those conditions on certain segments of our loan portfolio. Economic conditions during the first nine months of 2021 have stabilized or improved in certain segments. The pool specific qualitative loss factors management deemed appropriate for the ACL calculation at December 31, 2020 remained constant in the September 30, 2021 ACL calculation, which positively impacted the calculation and resulted in a decrease of approximately $24.9 million, net of tax, in the credit loss expense charged to operations for the nine months ended September 30, 2021 compared to the same period of 2020. Net interest income continues to be negatively impacted by the Federal Reserve Board (“FRB”) action to keep interest rates low since March 2020.

“The global health crisis resulting from COVID-19 has continued to impact business. Economic conditions have continued to improve, but have not fully recovered to pre-pandemic levels and the timeline for full recovery remains uncertain. The vaccines for COVID-19 have become widely available to the entire population; however, large sectors of the population have continued to choose not to take the vaccine resulting in a prolonging of the pandemic. The continued improvement in forecasted economic conditions positively impacted our ACL calculation in 2021, resulting in lower credit loss expense compared to the same periods of 2020.”

“We continue to be confident in our exceptionally strong capital position, significant liquidity, and strong relationship deposit base. Management strategies that were established at the onset of the pandemic remain in place and we remain fully committed to making the best decisions possible to protect the future of our company for our customers, employees, and shareholders,” said Dennis E. Nixon President and CEO. “We will continue to monitor the crisis and the impact on our business and are confident that we are making prudent choices to ensure that we continue the 55-plus years of success we have delivered.”

Total assets at September 30, 2021 were approximately $15.7 billion compared to approximately $14.0 billion at December 31, 2020. Total net loans were approximately $7.3 billion at September 30, 2021 compared to $7.4 billion at December 31, 2020. Deposits were approximately $12.2 billion at September 30, 2021 compared to approximately $10.7 billion at December 31, 2020.

IBC is a multi-bank financial holding company headquartered in Laredo, Texas, with 186 facilities and 280 ATMs serving 87 communities in Texas and Oklahoma.

“Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this release which are not historical facts contain forward looking information with respect to plans, projections or future performance of IBC and its subsidiaries, the occurrence of which involve certain risks and uncertainties detailed in IBC’s filings with the Securities and Exchange Commission.

Copies of IBC’s SEC filings and Annual Report (as an exhibit to the 10-K) may be downloaded from the SEC filings site located at http://www.sec.gov/edgar.shtml