Commerce Bancshares Inc. 10-K Summary (Fiscal Year Ended Dec 31, 2000)
Business Context and Reporting Period
This Form 10-K covers the fiscal year ended December 31, 2000 for Commerce Bancshares, Inc., a Missouri-incorporated bank holding company. The Company is the largest bank holding company headquartered in Missouri, operating four national banking associations in Missouri, Illinois, Kansas, and Nebraska. Its business is organized into three segments: Consumer (52% of pre-tax income), Commercial (43% of pre-tax income), and Money Management. As of December 31, 2000, the Company employed 4,440 full-time and 793 part-time personnel.
Key Financial Metrics
Consolidated balance sheet data as of December 31, 2000, includes:
- Consolidated Assets: $11.1 billion
- Consolidated Loans: $7.9 billion
- Consolidated Deposits: $9.1 billion
- Assets Under Management (Money Management Segment): $10.1 billion (plus $6.1 billion in administered non-managed assets)
- Market Value of Voting Stock (Non-Affiliates): Approximately $2.391 billion (as of Feb 20, 2001)
- Shares Outstanding: 62,583,911 shares of $5 Par Value Common Stock (as of Feb 20, 2001)
Note: Specific revenue, net income, profit margins, cash flow, and debt figures are not provided in the text of this filing; they are incorporated by reference from the Annual Report to Shareholders.
Material Changes and Operational Updates
The filing notes that the Company regularly evaluates acquisitions and dispositions. A material acquisition of Breckenridge Bancshares Company was completed effective March 1, 2001, shortly after the reporting period. The Company's Missouri bank charter comprises approximately 84% of total banking assets. The filing references the Gramm-Leach-Bliley Act (passed late 1999) as a significant regulatory change allowing for broader financial holding company activities, though the Company may continue operating as a traditional bank holding company.
Guidance, Risks, and Contingencies
Regulatory Environment: The Company is subject to strict regulation by the Federal Reserve, the Office of the Comptroller of the Currency (OCC), and the FDIC. Dividend payments by subsidiaries are limited to current and retained net profits of the preceding two years. The Federal Reserve may prohibit dividends if deemed unsafe or unsound.
Competition: The Company faces intense competition in Missouri, Kansas, and central Illinois from national and state banks, savings and loans, credit unions, and other financial intermediaries. The GLB Act is expected to increase competition from securities and insurance industries.
Legal Proceedings: Information regarding commitments and contingencies is incorporated by reference from page 57 of the Annual Report to Shareholders; no specific legal proceedings are detailed in this text.
Market Risk: The Company is exposed to interest rate risks and monetary policy changes implemented by the Federal Reserve, which influence loan volumes, deposit rates, and inflation. Specific quantitative disclosures are incorporated by reference.
Investor Verification Checklist
- Verify specific revenue, net income, and earnings per share figures in the Annual Report to Shareholders (incorporated by reference), as they are absent from this 10-K text.
- Review the impact of the Breckenridge Bancshares acquisition (completed March 1, 2001) on the 2001 financial outlook.
- Examine the Loan Portfolio risk elements and non-performing loan ratios detailed in the Annual Report (pages 30-31).
- Confirm the Company's Capital Adequacy status and dividend payout capacity as discussed in the Annual Report (pages 54-55).
- Assess the Community Reinvestment Act (CRA) ratings (Outstanding for MO/NE; Satisfactory for KS/IL) and their implications for future expansion approvals.