BankUnited (BKU)’s Fourth Quarter 2014 Earnings Conference Call Transcript

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John Kanas, Chairman, President and CEO

And some of the government sponsored programs are important. It seems to me like the last three or four meetings I’ve had with some of our larger customers, they are doing deals financed by EB-5 money. That’s prolific in Florida and in New York. There is no lack of resource.

Gerard Cassidy, RBC Capital Markets

And one final question. I think, Tom you touched on this about investing in people in the upcoming year in Florida. John, you’ve had great success in hiring teams of people over the years to come work for BankUnited. What’s the outlook for 2015? Do you need to or do you want to hire groups again, or can you do it? Is it tougher today now that the other banks have kind of come back and are on stronger footing?

John Kanas, Chairman, President and CEO

It’s probably a little tougher today, I would argue that it’s easier for us than many banks down here because of performance and the relative visibility of this company. Tom is on the trail of a number of different teams down here that would help us to spread our efforts a little more broadly in the state of Florida. And you could expect to see us getting a couple of very productive teams down here very quickly. We’re doing the same thing in New York. We have a number of conversations going on with people whom we have known for many years, who will be joining us over the next two, three, four months. Somebody asked a question before about this big ramp up we had in the beginning. Remember that a lot of the people that we hired in the beginning were folks that worked with me for many, many years and they had a tremendous glut of business that was sitting on the desk waiting to get underwritten and waiting to get funded. Once that was done, the growth rate settles down to a more reasonable rate and so now it’s time to add more people who can bring in their new business and we are doing that in New York and in Florida. You’ll see the effects of that this year.

Raj Singh, Chief Operating Officer

I’ll actually add to that, the national businesses also we are looking at it. There’s a team I’m talking to tomorrow that we are hopeful that we can find a way to work with them, which would be very, very good for us and for the team. Nationally also we stay active.

Gerard Cassidy, RBC Capital Markets

Great. Thank you.

Operator

And your last question will come from the line of Steven Alexopoulos from JPMorgan. Please proceed.

Preeti Dixit, JPMorgan

Hi everyone. This is actually Preeti Dixit on for Steve. Most of my questions have been answered. Just one quick modeling one, Leslie. Was there anything unusual or seasonal in the lease financing income this quarter? And I know the portfolio of assets under lease continues to grow. So is this a good run rate to build off of?

Leslie Lunak, Chief Financial Officer

I think generally speaking, yes it is.

Preeti Dixit, JPMorgan

Okay. Great. That’s all we had. Thank you.

John Kanas, Chairman, President and CEO

That was our last question I guess?

Operator

Yes, that was our last question.

John Kanas, Chairman, President and CEO

Okay. In closing, I appreciate all you guys and gals who follow our company and are interested in it. I think that you’ll be very pleased with our performance in the coming year. We are excited to get started. We would love to see a much deeper yield curve. It would help things a lot and I could be even more optimistic. But all of the things that we’ve sat here and told you about today that represent our best guesses as to what’s going to happen, don’t anticipate any friendlier interest rate environment than what we have today. If we should get a friendlier interest rate environment, then all bets are off and we can do better than we are predicting. But we are excited and continue enjoying the benefit of the tremendous growth in both of the markets — all three of the markets that we serve and expect that to continue into 2015. Thank very much everybody.

Raj Singh, Chief Operating Officer

The weather is 78 degrees and sunny and we welcome you to come to stay with us.

Operator

Ladies and gentlemen, that will conclude today’s’ conference. Thank you for your participation. You may now disconnect. Have a great day.

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