SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.  20549

FORM 10-Q

[X]
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the quarterly period ended September 30, 2007
   
 
Or
   
[   ]
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the transition period from _____________ to _____________
   

Commission file number 0-11129

COMMUNITY TRUST BANCORP, INC.
(Exact name of registrant as specified in its charter)

Kentucky
61-0979818
(State or other jurisdiction of incorporation or organization)
IRS Employer Identification No.
   
346 North Mayo Trail
Pikeville, Kentucky
(address of principal executive offices)
41501
(Zip Code)

(606) 432-1414
(Registrant's telephone number)
 
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.

Yes  ü
No
 
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer.  See definition of "accelerated filer and large accelerated filer" in Rule 12b-2 of the Exchange Act.

Large accelerated filer
Accelerated filer  ü
Non-accelerated filer

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes
   No ü

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practical date.

Common stock – 15,040,439 shares outstanding at October 31, 2007
 

 

PART I - FINANCIAL INFORMATION

Item 1. Condensed Consolidated Financial Statements
 
The accompanying information has not been audited by independent registered public accountants; however, in the opinion of management such information reflects all adjustments necessary for a fair presentation of the results for the interim period.  All such adjustments are of a normal and recurring nature.
 
The accompanying condensed consolidated financial statements are presented in accordance with the requirements of Form 10-Q and consequently do not include all of the disclosures normally required by accounting principles generally accepted in the United States of America or those normally made in the Registrant's annual report on Form 10-K.  Accordingly, the reader of the Form 10-Q should refer to the Registrant's Form 10-K for the year ended December 31, 2006 for further information in this regard.



Community Trust Bancorp, Inc.
Condensed Consolidated Balance Sheets

(dollars in thousands)
  
(unaudited)
September 30
2007
    
December 31
2006
  
Assets:
            
Cash and due from banks
   $
86,070
     $
95,438
  
Federal funds sold
    
41,876
      
62,100
  
Cash and cash equivalents
    
127,946
      
157,538
  
                 
Securities available-for-sale at fair value
                
(amortized cost of $356,248 and $430,867, respectively)
    
352,973
      
425,851
  
Securities held-to-maturity at amortized cost
                
(fair value of $33,090 and $39,015, respectively)
    
34,107
      
40,508
  
Loans held for sale
    
1,719
      
1,431
  
                 
Loans
    
2,234,494
      
2,167,458
  
Allowance for loan losses
     (27,933 )     (27,526 )
Net loans
    
2,206,561
      
2,139,932
  
                 
Premises and equipment, net
    
53,650
      
55,665
  
Federal Reserve Bank and Federal Home Loan Bank stock
    
28,041
      
28,027
  
Goodwill
    
65,059
      
65,059
  
Core deposit intangible (net of accumulated amortization of $5,429 and
                
$4,953, respectively)
    
2,075
      
2,551
  
Bank owned life insurance
    
22,981
      
20,937
  
Other assets
    
34,030
      
32,262
  
Total assets
   $
2,929,142
     $
2,969,761
  
                 
Liabilities and shareholders’ equity:
                
Deposits
                
Noninterest bearing
   $
426,368
     $
429,994
  
Interest bearing
    
1,906,507
      
1,911,173
  
Total deposits
    
2,332,875
      
2,341,167
  
                 
Repurchase agreements
    
146,876
      
161,630
  
Federal funds purchased and other short-term borrowings
    
15,450
      
15,940
  
Advances from Federal Home Loan Bank
    
40,971
      
81,245
  
Long-term debt
    
61,341
      
61,341
  
Other liabilities
    
36,713
      
26,063
  
Total liabilities
    
2,634,226
      
2,687,386
  
                 
Shareholders’ equity:
                
Preferred stock, 300,000 shares authorized and unissued
                
Common stock, $5 par value, shares authorized 25,000,000;
                
shares outstanding 2007 – 15,031,850; 2006 – 15,158,176
    
75,159
      
75,791
  
Capital surplus
    
148,543
      
150,965
  
Retained earnings
    
73,342
      
58,879
  
Accumulated other comprehensive loss, net of tax
     (2,128 )     (3,260 )
Total shareholders’ equity
    
294,916
      
282,375
  
                 
Total liabilities and shareholders’ equity
   $
2,929,142
     $
2,969,761
  


      
        See notes to condensed consolidated financial statements.      
      
        
      
      
                                 
    

Community Trust Bancorp, Inc.
Condensed Consolidated Statements of Income and Other Comprehensive Income
(unaudited)

   
Three Months Ended
    
Nine Months Ended
  
   
September 30
    
September 30
  
(in thousands except per share data)
  
2007
    
2006
    
2007
    
2006
  
                         
Interest income:
                        
Interest and fees on loans, including loans held for sale
   $
43,454
     $
42,114
     $
128,835
     $
120,510
  
Interest and dividends on securities
                                
Taxable
    
4,316
      
4,947
      
13,593
      
14,550
  
Tax exempt
    
471
      
514
      
1,460
      
1,550
  
Interest and dividends on other equity investments