Investors Bancorp Inc (ISBC) Q4 2020 Earnings Call Transcript

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Investors Bancorp Inc (ISBC)
Q4 2020 Earnings Call
Jan 28, 2021, 11:00 a.m. ET

Contents:

• Prepared Remarks
• Questions and Answers
• Call Participants

Prepared Remarks:

Operator

Good morning, and welcome to the Investors Bancorp Fourth Quarter 2020 Earnings Conference Call. [Operator Instructions] We'll begin this morning's call with the Company's standard forward-looking statement disclosure. On this call, representatives of Investors Bancorp Incorporated may make some forward-looking statements with respect to its financial position, results of operations and business. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond Investors Bancorp's control, are difficult to predict and which can cause actual results to materially differ from those expressed or forecast in these forward-looking statements. In last night's press release, the Company included its safe harbor disclosure and refers you to that statement.

That document is incorporated into this presentation. For a more complete discussion of the certain risks and uncertainties affecting Investors Bancorp, please see the sections entitled Risk Factors Management Discussion and Analysis of Financial Conditions and Results of Operations set forth in Investor Bancorp's filings with the SEC.

And now, I'd like to turn the call over to Kevin Cummings, Chairman and CEO of Investors Bancorp.

Kevin Cummings -- Chairman and Chief Executive Officer

Thank you, Gary, and good morning and welcome to the Investors Bancorp fourth quarter earnings call. Last night, the company reported in its press release net income of $75.1 million or $0.32 per diluted share for the three months ended December 31, 2020. This compares to $64.3 million or $0.27 per diluted share for the three months ended in the third quarter September 30th, and $48.7 million or $0.19 per diluted share for the three months ended December 31, 2019. These results represent a 17% increase in earnings from the third quarter of 2020 and a 54% increase over the fourth quarter of '19. On an EPS basis, the increase in earnings represents 19% increase over the linked quarter and a 68% increase over the prior year's quarter.

There were non-core transactions that impacted our fourth quarter and our results for this year. During the quarter, we recorded a gain from two sales-leaseback transactions totaling $22.8 million, which was offset by the early extinguishment of long term borrowings of $24.1 million in expense. This transaction will have a positive effect on our net interest margin in future years and especially 2021.

In addition, in the fourth quarter, we also recorded a restructuring charge of $11.7 million for the anticipated closure of 10 branches, which will result in cost savings of approximately $4 million on an annual basis in the future. Taking these transactions into effect and the related tax impact, our core operating earnings for the fourth quarter of 2020 was $84 million or $0.35 per diluted share, which reflects a 1.27% return on average assets and a return on tangible equity of 13% for the quarter.

On an annual basis, in addition to the items previously mentioned, we also had transaction cost related to our acquisition of Gold Coast Bank in the second quarter, which negatively impacted earnings by approximately $3.6 million early into the -- earlier in the year. Taking all these items into effect, plus the related tax impact, earnings or core earnings were $234 million and $0.99 per diluted share for the year ended December 31, 2020.

Despite a difficult year with the pandemic, we ended the year with strong results and move into 2021 with great momentum. As a result of the strong quarterly results, excellent credit metrics and strong capital ratios, our Board approved a $0.02 increase or 17% in our quarterly cash dividend to $0.14 per share. In addition, the company bought back approximately 2 million shares during the fourth quarter for approximately $20.5 million.

We believe we have sufficient capital, strong liquidity and a robust credit culture to maintain this dividend and to continue to move forward with our treasury stock buyback program. Although there are still uncertainties in our economy and our markets, we are more optimistic for the future than earlier in the year.

During this year, our core deposits increased 21% with non-interest deposits increasing 48% to $3.7 billion, which is approximately 19% of total deposits versus 14% last year. We continue to focus on driving low cost deposits into the bank and we have made significant progress calling on small and mid-size companies, even during this pandemic.

Through our marketing and culture departments, we have been holding virtual e-learning events with our customers throughout this pandemic. These are similar to local chamber of commerce events where we bring in noted authors and speakers available in Zoom meetings to discuss current sales and virtual networking techniques during this pandemic. In fact, we had a session yesterday attended by over 550 customers and prospects, with Boomer Esiason and Phil Simms along with Steve Albado [Phonetic], an Emmy award-winning TV and radio host. These sessions have been well received and have kept our brand and our momentum strong in the markets that we serve.

In the fourth quarter, we expanded our consumer online account opening capabilities by adding 17 additional products to our platform and enabling account opening for existing customers through our online and mobile banking platforms. These efforts have allowed us to move closer to a true omnichannel account opening experience and better assist customers and prospects during the pandemic and has resulted in a 161% increase in online account openings in the fourth quarter versus the third quarter.

Our mobile deposit user base experienced a 72% increase in users during 2020. We continue to refine our mobile deposit functionality and in November, we rolled out and enabled technology that sets customers' mobile deposit limits using AI for customers based on their account activity. Consumer digital bank uses increased 3% for the year, as we accelerated the migration of our small business customers to a new online banking program and that has experienced an additional 6% increase in uses.

Our Zelle user base was up 124% from the previous year and in late September we enabled Zelle for our small business customers, which should help drive even more usage of this device or this service. For the future, we intend to continue to invest in our online account opening capabilities and we will look to extend this functionality to our small business customers.

In addition, this functionality will be used in our branches to speed up the account opening process and improve the customers' experience on-site and the branch. It was certainly a year of change and a year of progress, but these investments in our digital platform over the last few years have paid dividends for us during the pandemic.

On loan front, we had a strong quarter in the business lending group. Our C&I loans increased over $500 million or 15% after getting us back to the sale of the PPP loans of $328 million. As you may recall, our strategy prior to the pandemic was to use the cash flows from our resi and multi-family books to fund growth in our business lending, focusing on relationship banking and driving lower cost deposits into the bank. As a result of market forces, our investments in new loan offices and business development personnel on the retail side, we have seen an increase in non-interest bearing deposits and business lending during this year.

Despite the uncertainty during the year, we were able to reposition our focus and be more on the offensive in the latter part of 2020. We are cautiously optimistic going into this year and remain confident that we have a good understanding of our credit risks due to the credit process that we've established monitoring these loans, monitoring our performing portfolio, our non-performing portfolio and the loan deferral portfolios.

With respect to our loan deferral portfolio at year-end, we saw a slight increase in commercial loans of $42 million to $635 million from $593 million in the third quarter. This increase is primarily due to one multi-family loan for $37 million, which went on its first deferral in late December. It should be noted, I want to highlight that 80% or $509 million of these loans are paying us interest and tax escrow [Phonetic], as we've only deferred the principal payment. We believe this approach is a fair approach to our borrowers during these difficult times and allows them to manage their businesses and their properties during this unprecedented epidemic. It is a commitment by both us and the borrower to do the right thing.

As we look at the remaining 20% of the deferrals of principal and interest, approximately $126 million, there were five loans to four borrowers that make up the majority or $109 million of this exposure. Two of the properties of multifamily loans in Brooklyn, one is the multifamily loan in Washington DC area that just went on deferral status and one is the community theatre located in New Jersey. The remaining $17 million is comprised of 27 loans mainly to small businesses in our market footprint, with the largest loan in this group for $2.3 million, which is an investment property secured by real estate. The remaining 26 loans have an average balance of approximately $565,000. So by covering those five loans and four borrowers, we cover a good portion of the exposure to the 20% principal and interest deferrals.

We continue to meet weekly to discuss these credits and other credits in our portfolio. In fact, we have met 38 times since June 3rd, in a war room setting with participation from all levels of management and lines of business. This credit review process is the significant priority of the bank and we believe we have -- today we believe we have a good handle on our exposures. Our commercial delinquency trends improved for the quarter with no new significant problems on the horizon. In the 30-day multi-family loan delinquencies, all are current today or less than 30 days past due as of today.

In the CRE 30-day bucket $8.3 million is current and $1 million is a matured loan waiting for extension. In the C&I group, three loans for $750,000 are also in the process of extension. For the $5.4 million in the commercial 60-day delinquency, the largest loan in this group is a CRE loan for $2.6 million with a 20% LTV. There are no significant problems, while losses are anticipated at this time from these smaller loans in this category.

Our commercial non-accrual loans are down 24% for the quarter. In the non-accrual category, our two largest exposures in this group are two multi-family loans, one for $14.9 million and the other a smaller loan for $4.4 million. That smaller loan has a contract for sale with no loss anticipated and the larger loan is adequately written down to a value we expect to recover through foreclosure process or sale as a note. The remaining $41 million is comprised of 63 loans for an average balance of approximately $660,000 with no significant exposure to the bank.

As a result of the strong performance of our portfolio net recoveries of $2.1 million and an improving economic recovery, our provision for the quarter was a credit of $2.7 million, which allowed our ratio of the allowance for loan losses as a percent of total loans to remain relatively flat to the prior quarter at 1.36% versus 1.37%.

It is also noted that our coverage ratio to non-accrual loans improved to 264% at year-end compared to 218% at the end of the third quarter. We will remain diligent in our monitoring process and look forward to driving loan growth in the coming months. We believe there are opportunities in our markets, as a strong community bank can deal with borrowers, especially in this environment more easily than some of the national banks. We look forward to a strong year from our commercial lending teams, as we are well positioned to capture market share if -- with such a strong fourth quarter.

Now, I'd like to turn it over to Sean Burke, our CFO, who will give some additional commentary on our operating results for the quarter. Sean?

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Thank you, Kevin. Net interest margin increased 19 basis points to 2.98% in the fourth quarter, while core margin expanded 16 basis points. Declining deposit costs and cash balances plus the extinguishment of wholesale funding drove the improvement. Total non-interest income totaled $45.8 million, an increase of $25.9 million quarter-over-quarter. Excluding gains on our sale-leaseback transactions in the quarter, non-interest income totaled $22.6 million, an increase of $2.7 million quarter-over-quarter, driven largely by continued strong mortgage banking activity and customer swap fees.

With respect to non-interest expenses, excluding $23 million of costs from the early extinguishment of debt, $12 million of branch closure costs and $1 million of a tax credit investment, non-interest expenses for the quarter were $107 million, an increase of $3 million compared to the third quarter. The increase was primarily driven by incentive compensation given strong fourth quarter results. Provision for credit losses was a negative $2.7 million for the fourth quarter compared to $8.3 million for the third quarter. The decrease was driven primarily by an improving economic forecast and net loan recoveries in the quarter of $2 million.

Total loan balances increased $125 million quarter-over-quarter inclusive of the sale of our PPP loans totaling $328 million. Excluding the sale of PPP loans, C&I loans grew $505 million or 15% quarter-over-quarter. Total deposits were up $422 million quarter-over-quarter, including non-interest bearing deposits, which were up $318 million or 10% quarter-over-quarter. Our percentage of non-interest-bearing deposits to total deposits improved to 19% at year-end 2020 compared to 14% a year ago.

During the quarter, we extinguished $1 billion in wholesale funding at an average cost of approximately 2%. Year-to-date borrowings were down $2.5 billion and our ratio of borrowings to assets declined to 13% from 22% a year ago. Asset quality, liquidity and capital continue to remain in a solid position at quarter end. Non-accrual loans represented 0.51% of total loans at December 31, 2020 compared to 0.63% at September 30th, while our allowance for credit losses to loans remain unchanged at 1.44%. Our common equity Tier 1 ratio was 13% at quarter end. Our loan to deposit ratio was 107% compared to 122% at year-end 2019.

Finally, I would like to share some high-level guidance for 2021. We are targeting loan growth in the 6% to 10% range and deposit growth in the 6% to 7% range. Net interest margin is forecast in the 3% area for full year 2021. Non-interest income is expected in the range of $65 million to $75 million and expenses in the $425 million range. We expect our effective tax rate to be in the area of 27%.

Now I'd like to turn it back over to Kevin for some concluding remarks.

Kevin Cummings -- Chairman and Chief Executive Officer

Okay. Thanks, Sean. I tell you what a year 2020 has been, we've gone from unbelievable fear and uncertainty in the early part in the first quarter to '21 a year of great possibilities. Having finished consecutive quarters of double-digit return on tangible equity, we are pleased, but not satisfied with our results. We are hopeful with the roll out of the vaccine and are well positioned to take advantage of the opportunities before us. We are very optimistic and look forward to this upcoming year.

So now, I'd like to turn the meeting over to questions and open up the line. Gary?

Questions and Answers:

Operator

[Operator instructions] The first question is from Mark Fitzgibbon with Piper Sandler. Please go ahead.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Hey, guys. Good morning. Sean, just to clarify, did you give NIM guidance, I think, I missed that, when you were saying it.

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Yes, Mark for the full year 2021, our guidance was the 3% area.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Okay, great. And then secondly, of the loans you have on deferral, what is the expiration schedule those deferrals look like over the course...

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Hey, Mark. A number of the loans mature and due sometime in November and December and we have a chunk coming due in April also. So I would say, of the $635 million in commercial loans, approximately 20% is coming due in the middle of the year and about 70% is coming due toward the end of 2021 and the rest is scattered throughout the year, but a big chunk coming due at the end of the year.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Okay. And then, Dom, you guys have benefited to a great degree from the decline in rates. It's certainly benefited your margin. At what point would you expect to start kind of reducing liability sensitivity and positioning the balance sheet for higher rates?

Domenick A. Cama -- President and Chief Operating Officer

Well, we've already started doing that, Mark. We were doing that in 2020 as we saw rates come down so significantly, we entered into a number of swap transactions that had an average cost ranging anywhere from 55 basis points to 65 basis points. In addition, we have also positioned the loan portfolio, where we're doing more customer-facing swaps. And so we've reduced our liability sensitivity year-over-year and we still have some work to do, but we think we're in a pretty good position for the next few years and we continue to look at ways to reduce that liability sensitivity.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Thank you. And then last question is on M&A, I wonder, it strikes me that 2021 could be a fairly active year for M&A. How are you guys thinking about it? What are sort of your priorities? And what would be most appealing from the acquisition or sales standpoint and a potential partner?

Domenick A. Cama -- President and Chief Operating Officer

Yeah, I think, Mark, on -- we want to continue to take the bank to a point of being more commercial-like. And so banks that can add obviously more non-interest-bearing deposits, more C&I type loans, those are appealing to us. Because ultimately we believe that being more commercial-bank like and reducing our reliance on resi and multi-family is a better way to go, both from an ROE perspective and from a valuation perspective.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Thank you.

Operator

The next question is from Steven Duong with RBC Capital Markets. Please go ahead.

Steven Duong -- RBC Capital Markets -- Analyst

Hi. Good morning, guys.

Kevin Cummings -- Chairman and Chief Executive Officer

Hey, Steve.

Steven Duong -- RBC Capital Markets -- Analyst

Hey. I just wanted to go into your 6% to 10% loan guidance, I assume that includes the $300 million or so in the Berkshire acquisition?

Domenick A. Cama -- President and Chief Operating Officer

Yes.

Steven Duong -- RBC Capital Markets -- Analyst

Okay. And I guess, if you were to strip that out, I guess, where do you see the loan growth coming from primarily? I mean, you had such a -- really strong C&I this quarter, maybe you can just give us some more color on that and you're seeing that as a read-through for this year?

Domenick A. Cama -- President and Chief Operating Officer

Yeah, no, it's a good question, Steve. We see the growth coming primarily from the commercial real estate sector and C&I sector. As you point out C&I had a strong year for us, even without PPP and we're continue -- we're continuing our focus there. We've seen our multi-family spreads widen over the last six months. And so, while we took a backseat to multi-family lending in the early part of the year, we fully ramped down our CRE and our multi-family business up again.

And to the point where our CRE pipelines these days are about $1.4 billion and C&I is about $600 million. So the C&I pipeline at its peak was probably closer to $1 billion and so we have some building to do there, but CRE pipeline, we think is in a good spot. And that will help us grow in 2021. We continue to see residential run-off to some degree and so we think that will be more than offset by the commercial real estate business.

Steven Duong -- RBC Capital Markets -- Analyst

Yeah, it's really such a great quarter on the C&I side. Was there an increased demand or was it just more of you guys putting more sweat into it?

Domenick A. Cama -- President and Chief Operating Officer

Yeah, I think it's the latter.

Steven Duong -- RBC Capital Markets -- Analyst

Okay, that's great to hear...

Kevin Cummings -- Chairman and Chief Executive Officer

Hey, Steve...

Steven Duong -- RBC Capital Markets -- Analyst

Yes.

Kevin Cummings -- Chairman and Chief Executive Officer

Steve, that in the latter part of '19 and early 2020, we hired some loan officers that takes them a while to get up and going and we had some pretty good loans in the education space around Long Island in the not-for-profit space and it was a pretty -- I got to know -- actually, a lot of these people I didn't meet. I met them on Zoom calls and they're pretty productive and they came in and finally put some numbers up on the board in the fourth quarter after a slow start in the first half of the year.

Steven Duong -- RBC Capital Markets -- Analyst

All right. That is great to hear...

Kevin Cummings -- Chairman and Chief Executive Officer

So I think it's credit to the people, the additions to the team.

Steven Duong -- RBC Capital Markets -- Analyst

Yes, it's great to hear that that's paid off. And then, I guess, just on buybacks, what are you guys thinking about for this year?

Kevin Cummings -- Chairman and Chief Executive Officer

Not sure in total in terms of dollar amounts or volumes. But clearly, we'll continue to look at the attractiveness of the stock, obviously, it's moved quite a bit from us, from when we first started to put buybacks in place and we are waiting till earnings are done and Sean and I will sit down and kind of go through what we think is the right level to be buying at.

P. Sean Burke -- Executive Vice President and Chief Financial Officer

We do have some repurchases built into 2021, Steve, and I think it's safe to assume that 6 million to 7 million shares would probably be on the lower end. But again, it all depends on the stock price and kind of how the market trends. But I think if you were modeling this up, I think it's safe to assume 6 million to 7 million of shares repurchased throughout the year.

Steven Duong -- RBC Capital Markets -- Analyst

Yeah. Got it. And are you targeting a capital level just for our modeling purposes at all?

Kevin Cummings -- Chairman and Chief Executive Officer

Well, capital has inched up a little bit. We always -- again I answer this question, it depends. It depends on the environment we're in. In 2020, I was much more comfortable being at around 9.5%, in a more normal environment, it's probably closer to that 8.5%. So again that's a tough question depending on the economic environment that we find ourselves in.

Steven Duong -- RBC Capital Markets -- Analyst

Understood. Appreciate it. Thank you.

Operator

The next question is from Laurie Hunsicker with Compass Point. Please go ahead.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Yeah, hi. Good morning.

Kevin Cummings -- Chairman and Chief Executive Officer

Hi.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Just wanted to -- if we could go back to buybacks for a minute. I just want to clarify. So after the 2 million shares repurchased this quarter there is 12.6 million shares remaining in your authorization. Is that right number? Is there...

Kevin Cummings -- Chairman and Chief Executive Officer

Yes, yes.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Okay. And historically you've been active above current levels. Can you just share with us why you would only do half of that this year?

Kevin Cummings -- Chairman and Chief Executive Officer

Well again, Laurie, we want to be careful about how we allocate our buybacks. Sean said we do have $75 million or so built-in for 2021, but clearly, we don't want to get over our skis in terms of buying at valuations that are too high, right. The earn back on that would not be good for us. So we're trying to assess where the market is, where valuations are going and we are confident in our business. But again, we want to be careful about where we are and want to make sure that when we enter back -- when we continue our buyback program, that we're doing it in a prudent way.

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Yeah, Laurie, we increased the dividend an extra penny actually than we had originally planned in our strategic plan. So that makes up about $10 million return to the shareholders. And then when you look at the economic uncertainty, that's why we're hedging our bets here a little bit. We're not going to put some number out there and we don't want to over-promise and under-deliver with respect to buybacks.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Fair. That makes sense. Okay. And then I wondered, if we could just switch back over, the multi-family loan, the $37 million that came on deferral, where was that located?

Kevin Cummings -- Chairman and Chief Executive Officer

That was in Washington, D.C., it's about 600 unit province.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

That was in D.C.

Kevin Cummings -- Chairman and Chief Executive Officer

Big complex.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Okay, great. And then do you have -- so your multi-family loans are $7 billion round numbers, $3 billion in New York. Do you have a refresh on what New York City multi-family deferrals are?

Kevin Cummings -- Chairman and Chief Executive Officer

Yes. New York City multi-family deferrals -- just give me a minute, $74 million -- I'm sorry $91 million.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

$91 million, OK. So $91 million of the round number $3 billion was on deferral?

Kevin Cummings -- Chairman and Chief Executive Officer

$91 million of the $635 million is on multi-family loans in Manhattan and the weighted average LTV of those loans in Manhattan is 53%.

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Okay. And that's up from -- last quarter that number was around $12 million.

P. Sean Burke -- Executive Vice President and Chief Financial Officer

I don't know, Laurie. I don't have...

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

You don't, OK. Okay, fair enough. So just on New York, can you give us a refresh in terms of your overall New York City deferral exposure. I think last quarter we had $313 million. So just of your total loans, how much is New York City deferral? And then do you have a breakdown split in terms of that how much is hotel?

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Yeah, it's $371 million in Manhattan, of the $635 million it's $371 million, and the breakdown is $91 million in multi-family, $38 million in CRE, C&I is $1 million and hotels lodging is $241 million.

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Okay. Okay, thanks. I'll leave it there.

Operator

The next question is from Zach Westerlind with Stephens. Please go ahead.

Zachary Westerlind -- Stephens, Inc. -- Analyst

Good morning, guys. Its Zach Westerlind doing it for Matt Breese.

Kevin Cummings -- Chairman and Chief Executive Officer

Hi, how are you.

P. Sean Burke -- Executive Vice President and Chief Financial Officer

How are you Zach.

Zachary Westerlind -- Stephens, Inc. -- Analyst

Good, thanks. Just one really quick one from the, what was PPP income for the quarter?

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Well, we sold our PPP loans, Zach, in the fourth quarter and the revenue on it was about $7 million overall. But, for the quarter Zach, it was less than $1 million.

Zachary Westerlind -- Stephens, Inc. -- Analyst

All right, great. Appreciate that. Thank you.

Operator

This concludes our question-and-answer session. I would like to turn the conference back over to Kevin Cummings for any closing remarks.

Kevin Cummings -- Chairman and Chief Executive Officer

Okay. Thank you, Gary. Our retail and lending teams are engaged and excited to be working, and more importantly, are helping our customers and our communities through this pandemic, and I want to thank them for all their efforts over the last 9-10 months. This past year has not been easy, but we have faced the challenge and continue to get stronger and more adaptable, as we navigate the changes from these unprecedented events. Through all the challenges, uncertainties and hardships we are stronger, but maybe a more humble bank that understands that we are not driving the bus, but only passengers.

We understand that it's not enough for the bank to be successful, but this year, will be our year to leave an imprint on our story or our industry. This year will be our year to create a legacy of significance for our employees, our customers and the communities that we serve. And if we take care of them hopefully our shareholders will prosper. During this crisis, we didn't give people what they wanted, we gave them what they needed, and I think at the end of the day, everyone needs inspiration, everyone needs hope and everyone needs faith, and that faith most importantly is a belief in ourselves, our bank, our communities and our country to be the very best we can be during these troubled and unprecedented times.

I am happy to report through the hard work of Dom and members of our retail and healthcare teams, we will be announcing shortly a major grant to a regional hospital to support their new treatment center for post-COVID care. One of the few such centers in our region and around the country, this center will serve as both a clinical and research-based facility to support and treat post-COVID patients and will be named the Investors Bank Post-COVID Care Center. And when I think about it, what better legacy to have than to make our community, a little bit better today than it was yesterday. And that, in a nutshell is our Bank's mission and we look forward to 2021 with much optimism and it's going to be a year of great possibilities.

I want to thank you for your time today. I want you all to be safe and enjoy the Super Bowl next week. On yesterday's Zoom call with Boomer and Phil they each picked different teams. So one of them has to be right, Boomer, Kansas City and Phil, Tampa Bay. I think I'm going to go with cotreat and the cheese, but because in reference to Mark Fitzgibbon, I will never underestimate Tom Brady. Either way it should be a good game, enjoy it, and I look forward to hopefully seeing you all soon at a conference a community bank or an industry event in person. Be safe and stay healthy. Thank you for your time today.

Operator

[Operator Closing Remarks]

Duration: 36 minutes

Call participants:

Kevin Cummings -- Chairman and Chief Executive Officer

P. Sean Burke -- Executive Vice President and Chief Financial Officer

Domenick A. Cama -- President and Chief Operating Officer

Mark Fitzgibbon -- Piper Sandler & Co -- Analyst

Steven Duong -- RBC Capital Markets -- Analyst

Laurie Hunsicker -- Compass Point Research & Trading, LLC -- Analyst

Zachary Westerlind -- Stephens, Inc. -- Analyst

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