Ameris Bancorp (NASDAQ:ABCB) Q3 2019 Earnings Conference Call - Final Transcript

Oct 18, 2019 • 09:00 am ET

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Ameris Bancorp (NASDAQ:ABCB) Q3 2019 Earnings Conference Call - Final Transcript

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Q & A
Operator
Operator

[Operator Instruction] The first question comes from Casey Whitman with Sandler O'Neill.

Analyst
Casey Whitman

Good morning.

Executive
Nicole S. Stokes

Good morning, Casey.

Analyst
Casey Whitman

Great quarter. Just a few questions, with regards to loan growth, I just more broadly, I was wondering if you could just talk to us about the organic loan growth at the bank segment and production this quarter. Is a lot of that being driven by the Atlanta market, or are you seeing good growth throughout your markets. I guess, my question will just be what markets are growing more than others or are there many in [Phonetic] particular markets for you guys.

Executive
Palmer Proctor

Yeah, Casey. Good morning. Right now, where we're seeing most of the loan growth. The predominant loan growth this last quarter, and the activity in terms of production is coming out of Atlanta and then parts of our Florida market in that order.

Analyst
Casey Whitman

Okay, all right. And then also you referenced the sale of a I think a Corporate Finance Group portfolio in the quarter, can you just give us an idea of the timing of that sale, and kind of the decision there?

Executive
Nicole S. Stokes

Sure, Casey, that was the Corporate Finance division that we got with the Hamilton acquisition last year. And from a credit and a risk, we really -- we're not big fans of that portfolio. So that had been planned for a while to dispose of that and, or to sell those loans. They had been moved to held for sale at the end -- during the second quarter and then we closed on that during the third quarter -- September.

Analyst
Casey Whitman

September. All right. Helpful. Thank you. And lastly on the loan growth, would just be, the indirect auto, I guess how is the runoff been trending in that? And can you just remind us of what we can expect the run-off to be per quarter in that book?

Executive
Nicole S. Stokes

Sure. So when we did the acquisition of Fidelity, it was about $1.2 billion, $1.3 billion. Today or at the end of September, it was down to $1.05 billion and we -- the run [Phonetic] that is about $130 million to $150 million a quarter.

Executive
Palmer Proctor

And it's paying off just as we had -- as it always has. That's one thing about that line of business is very predictable in terms of cash flow and and it continues to perform that way. And asset quality remains pristine.

Analyst
Casey Whitman

Great, thank you. I'll just ask one more and let somebody else jump on. Just with regard to expenses, you mentioned some accelerated cost saves in your prepared remarks. Can you just sort of remind us, or walk us through how much more on cost savings you have to come out of line between the fourth quarter and first quarter between the bank and the mortgage groups? And just sort of help us out with how we should think about the timing of all those cost saves heading?

Executive
Nicole S. Stokes

Sure, so we had anticipated about 20% of those coming into the third quarter,