UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

þ		QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2009

OR

o		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______ to ______

WINTRUST FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

Illinois		36-3873352
(State of incorporation or organization)		(I.R.S. Employer Identification No.)

727 North Bank Lane
Lake Forest, Illinois 60045

(Address of principal executive offices)

(847) 615-4096

(Registrant’s telephone number, including area code)

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 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 þ No o     

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes o No o     

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.

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

Yes o No þ     

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

Common Stock — no par value, 24,062,007 shares, as of August 7, 2009

 

 

TABLE OF CONTENTS

				Page
PART I. — FINANCIAL INFORMATION
ITEM 1.		Financial Statements.			1-31
ITEM 2.		Management’s Discussion and Analysis of Financial Condition and Results of Operations.			32-64
ITEM 3.		Quantitative and Qualitative Disclosures About Market Risk.			65-66
ITEM 4.		Controls and Procedures.			67
PART II. — OTHER INFORMATION
ITEM 1.		Legal Proceedings.		NA
ITEM 1A.		Risk Factors.			68
ITEM 2.		Unregistered Sales of Equity Securities and Use of Proceeds.			68
ITEM 3.		Defaults Upon Senior Securities.		NA
ITEM 4.		Submission of Matters to a Vote of Security Holders.			68-69
ITEM 5.		Other Information.			69
ITEM 6.		Exhibits.			70
		Signatures.			71
EX-10.2
EX-10.3
EX-31.1
EX-31.2
EX-32.1

PART I

ITEM 1. FINANCIAL STATEMENTS

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CONDITION

		(Unaudited)								(Unaudited)
		June 30,				December 31,				June 30,
(In thousands)		2009				2008				2008
Assets
Cash and due from banks		$	122,382			$	219,794			$	166,857
Federal funds sold and securities purchased under resale agreements			41,450				226,110				73,311
Interest bearing deposits with banks			655,759				123,009				6,438
Available-for-sale securities, at fair value			1,267,410				784,673				1,590,648
Trading account securities			22,973				4,399				1,877
Brokerage customer receivables			17,701				17,901				19,661
Loans held-for-sale, at fair value			291,275				51,029				114,739
Loans held-for-sale, at lower of cost or market			529,825				10,087				3,640
Loans, net of unearned income			7,595,476				7,621,069				7,153,603
Less: Allowance for loan losses			85,113				69,767				57,633
Net loans			7,510,363				7,551,302				7,095,970
Premises and equipment, net			350,447				349,875				348,881
Accrued interest receivable and other assets			260,182				240,664				208,574
Trade date securities receivable			—				788,565				—
Goodwill			276,525				276,310				276,311
Other intangible assets			13,244				14,608				16,170
Total assets		$	11,359,536			$	10,658,326			$	9,923,077
Liabilities and Shareholders’ Equity
Deposits:
Non-interest bearing		$	793,173			$	757,844			$	688,512
Interest bearing			8,398,159				7,618,906				7,072,855
Total deposits			9,191,332				8,376,750				7,761,367
Notes payable			1,000				1,000				41,975
Federal Home Loan Bank advances			435,980				435,981				438,983
Other borrowings			244,286				336,764				383,009
Subordinated notes			65,000				70,000				75,000
Junior subordinated debentures			249,493				249,515				249,579
Trade date securities payable			—				—				97,898
Accrued interest payable and other liabilities			107,369				121,744				126,241
Total liabilities			10,294,460				9,591,754				9,174,052
Shareholders’ equity:
Preferred stock			283,518				281,873				—
Common stock			26,835				26,611				26,478
Surplus			577,473				571,887				547,792
Treasury stock			(122,302	)			(122,290	)			(122,258	)
Retained earnings			317,713				318,793				325,314
Accumulated other comprehensive loss			(18,161	)			(10,302	)			(28,301	)
Total shareholders’ equity			1,065,076				1,066,572				749,025
Total liabilities and shareholders’ equity		$	11,359,536			$	10,658,326			$	9,923,077

See accompanying notes to unaudited consolidated financial statements

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
(In thousands, except per share data)		2009				2008				2009				2008
Interest income
Interest and fees on loans		$	110,302			$	108,803			$	217,189			$	227,756
Interest bearing deposits with banks			767				68				1,427				188
Federal funds sold and securities purchased under resale agreements			66				472				127				1,106
Securities			15,819				16,553				30,146				32,634
Trading account securities			55				15				79				46
Brokerage customer receivables			120				249				240				606
Total interest income			127,129				126,160				249,208				262,336
Interest expense
Interest on deposits			43,502				53,862				89,455				115,292
Interest on Federal Home Loan Bank advances			4,503				4,557				8,956				9,113
Interest on notes payable and other borrowings			1,752				2,900				3,622				5,670
Interest on subordinated notes			428				843				1,008				1,930
Interest on junior subordinated debentures			4,447				4,598				8,888				9,189
Total interest expense			54,632				66,760				111,929				141,194
Net interest income			72,497				59,400				137,279				121,142
Provision for credit losses			23,663				10,301				38,136				18,856
Net interest income after provision for credit losses			48,834				49,099				99,143				102,286
Non-interest income
Wealth management			6,883				7,771				12,809				15,636
Mortgage banking			22,596				7,536				38,828				13,632
Service charges on deposit accounts			3,183				2,565				6,153				4,938
Gain on sales of premium finance receivables			196				566				518				1,707
Gains (losses) on available-for-sale securities, net			1,540				(140	)			(498	)			(1,473	)
Other			11,054				15,306				24,069				23,736
Total non-interest income			45,452				33,604				81,879				58,176
Non-interest expense
Salaries and employee benefits			46,015				36,976				90,835				73,648
Equipment			4,015				4,048				7,953				7,974
Occupancy, net			5,608				5,438				11,798				11,305
Data processing			3,216				2,918				6,352				5,716
Advertising and marketing			1,420				1,368				2,515				2,367
Professional fees			2,871				2,227				5,754				4,295
Amortization of other intangible assets			676				779				1,363				1,567
Other			20,424				11,427				34,637				21,158
Total non-interest expense			84,245				65,181				161,207				128,030
Income before taxes			10,041				17,522				19,815				32,432
Income tax expense			3,492				6,246				6,908				11,451
Net income			6,549				11,276				12,907				20,981
Preferred stock dividends and discount accretion			5,000				—				10,000				—
Net income applicable to common shares		$	1,549			$	11,276			$	2,907			$	20,981
Net income per common share — Basic		$	0.06			$	0.48			$	0.12			$	0.89
Net income per common share — Diluted		$	0.06			$	0.47			$	0.12			$	0.87
Cash dividends declared per common share		$	—			$	—			$	0.18			$	0.18
Weighted average common shares outstanding			23,964				23,608				23,910				23,563
Dilutive potential common shares			300				531				269				555
Average common shares and dilutive common shares			24,264				24,139				24,179				24,118

See accompanying notes to unaudited consolidated financial statements.

																						Accumulated
																						Other				Total
		Preferred				Common								Treasury				Retained				Comprehensive				Shareholders’
(In thousands)		Stock				Stock				Surplus				Stock				Earnings				Income (Loss)				Equity
Balance at December 31, 2007		$	—			$	26,281			$	539,586			$	(122,196	)		$	309,556			$	(13,672	)		$	739,555
Comprehensive income:
Net income			—				—				—				—				20,981				—				20,981
Other comprehensive income, net of tax:
Unrealized losses on securities, net of reclassification adjustment			—				—				—				—				—				(15,188	)			(15,188	)
Unrealized gains on derivative Instruments			—				—				—				—				—				559				559
Comprehensive income																			—								6,352
Cash dividends declared on common stock			—				—				—				—				(4,231	)			—				(4,231	)
Common stock repurchases			—				—				—				(62	)			—				—				(62	)
Stock-based compensation			—				—				4,942				—				—				—				4,942
Cumulative effect of change in accounting for split-dollar life insurance			—				—				—				—				(992	)							(992	)
Common stock issued for:			—
Exercise of stock options and warrants			—				73				1,871				—				—				—				1,944
Restricted stock awards			—				71				(532	)			—				—				—				(461	)
Employee stock purchase plan			—				23				795				—				—				—				818
Director compensation plan							30				1,130				—				—				—				1,160
Balance at June 30, 2008		$	—			$	26,478			$	547,792			$	(122,258	)		$	325,314			$	(28,301	)		$	749,025
Balance at December 31, 2008		$	281,873			$	26,611			$	571,887			$	(122,290	)		$	318,793			$	(10,302	)		$	1,066,572
Comprehensive income:
Net income			—				—				—				—				12,907				—				12,907
Other comprehensive income, net of tax:
Unrealized losses on securities, net of reclassification adjustment			—				—				—				—				—				(10,666	)			(10,666	)
Unrealized gains on derivative instruments			—				—				—				—				—				2,807				2,807
Comprehensive income																											5,048
Cash dividends declared on common stock			—				—				—				—				(4,296	)			—				(4,296	)
Dividends on preferred stock			—				—				—				—				(8,355	)			—				(8,355	)
Accretion on preferred stock			1,645				—				—				—				(1,645	)			—				—
Common stock repurchases			—				—				—				(12	)			—				—				(12	)
Stock-based compensation			—				—				3,431				—				—				—				3,431
Cumulative effect of change in accounting for other-than-temporary impairment			—				—				—				—				309				—				309
Common stock issued for:
Exercise of stock options and warrants			—				52				612				—				—				—				664
Restricted stock awards			—				66				(764	)			—				—				—				(698	)
Employee stock purchase plan			—				56				635				—				—				—				691
Director compensation plan			—				50				1,672				—				—				—				1,722
Balance at June 30, 2009		$	283,518			$	26,835			$	577,473			$	(122,302	)		$	317,713			$	(18,161	)		$	1,065,076

		Six Months Ended June 30,
		2009				2008
Other Comprehensive Income:
Unrealized losses on available-for-sale securities arising during the period, net		$	(17,861	)		$	(26,451	)
Unrealized gains on derivative instruments arising during the period, net			4,567				909
Less: Reclassification adjustment for losses included in net income, net			(498	)			(1,473	)
Less: Income tax benefit			(4,937	)			(9,440	)
Other Comprehensive (loss) income		$	(7,859	)		$	(14,629	)

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

		Six Months Ended
		June 30,
(In thousands)		2009				2008
Operating Activities:
Net income		$	12,907			$	20,981
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses			38,136				18,856
Depreciation and amortization			10,125				10,138
Stock-based compensation expense			3,431				4,942
Tax (expense) benefit from stock-based compensation arrangements			(650	)			395
Excess tax benefits from stock-based compensation arrangements			(84	)			(464	)
Net amortization (accretion) of premium on securities			4				(859	)
Mortgage servicing rights fair value change and amortization, net			1,218				668
Originations and purchases of loans held-for-sale			(2,753,665	)			(946,621	)
Originations of premium finance receivables held-for-sale			(520,000	)			—
Proceeds from sales of mortgage loans held-for-sale			2,542,202				945,415
Bank owned life insurance income, net of claims			(851	)			(1,464	)
Gain on sales of premium finance receivables			(518	)			(1,707	)
Increase in trading securities, net			(18,574	)			(306	)
Net decrease in brokerage customer receivables			200				4,545
Gain on mortgage loans sold			(28,521	)			(7,621	)
Losses on available-for-sale securities, net			498				1,473
Loss on sales of premises and equipment, net			27				79
Decrease (increase) in accrued interest receivable and other assets, net			6,372				(687	)
(Decrease) increase in accrued interest payable and other liabilities, net			(7,597	)			24,085
Net Cash (Used for) Provided by Operating Activities			(715,340	)			71,848
Investing Activities:
Proceeds from maturities of available-for-sale securities			975,126				587,493
Proceeds from sales of available-for-sale securities			1,071,192				609,498
Purchases of available-for-sale securities			(1,760,047	)			(1,319,858	)
Proceeds from sales of premium finance receivables			—				184,255
Net (increase) decrease in interest-bearing deposits with banks			(532,750	)			3,972
Net increase in loans			(18,092	)			(561,137	)
Purchases of premises and equipment, net			(9,272	)			(18,657	)
Net Cash Used for Investing Activities			(273,843	)			(514,434	)
Financing Activities:
Increase in deposit accounts			814,576				289,873
(Decrease) increase in other borrowings, net			(92,478	)			128,575
Decrease in notes payable, net			—				(18,725	)
Increase in Federal Home Loan Bank advances, net			—				23,801
Repayment of subordinated note			(5,000	)			—
Excess tax benefits from stock—based compensation arrangements			84				464
Issuance of common shares resulting from exercise of stock options, employee stock purchase plan and conversion of common stock warrants			1,307				1,905
Common stock repurchases			(12	)			(62	)
Dividends paid			(11,366	)			(4,231	)
Net Cash Provided by Financing Activities			707,111				421,600
Net Decrease in Cash and Cash Equivalents			(282,072	)			(20,986	)
Cash and Cash Equivalents at Beginning of Period			445,904				261,154
Cash and Cash Equivalents at End of Period		$	163,832			$	240,168

See accompanying notes to unaudited consolidated financial statements.

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

(1) Basis of Presentation

The consolidated financial statements of Wintrust Financial Corporation and Subsidiaries (“Wintrust” or “the Company”) presented herein are unaudited, but in the opinion of management reflect all necessary adjustments of a normal or recurring nature for a fair presentation of results as of the dates and for the periods covered by the consolidated financial statements.

Wintrust is a financial holding company engaged in the business of providing traditional community banking services to customers in the Chicago metropolitan area and southern Wisconsin. Additionally, the Company operates various non-bank subsidiaries. Wintrust has 15 wholly-owned bank subsidiaries (collectively, “the Banks”), nine of which the Company started as de novo institutions, including Lake Forest Bank & Trust Company (“Lake Forest Bank”), Hinsdale Bank & Trust Company (“Hinsdale Bank”), North Shore Community Bank & Trust Company (“North Shore Bank”), Libertyville Bank & Trust Company (“Libertyville Bank”), Barrington Bank & Trust Company, N.A. (“Barrington Bank”), Crystal Lake Bank & Trust Company, N.A. (“Crystal Lake Bank”), Northbrook Bank & Trust Company (“Northbrook Bank”), Beverly Bank & Trust Company, N.A. (“Beverly Bank”) and Old Plank Trail Community Bank, N.A. (“Old Plank Trail Bank”). The Company acquired Advantage National Bank (“Advantage Bank”) in October 2003, Village Bank & Trust (“Village Bank”) in December 2003, Northview Bank & Trust (“Northview Bank”) in September 2004, Town Bank in October 2004, State Bank of The Lakes in January 2005, First Northwest Bank in March 2005 and Hinsbrook Bank and Trust (“Hinsbrook Bank”) in May 2006. In December 2004, Northview Bank’s Wheaton branch became its main office, it was renamed Wheaton Bank & Trust (“Wheaton Bank”) and its two Northfield locations became branches of Northbrook Bank and its Mundelein location became a branch of Libertyville Bank. In May 2005, First Northwest Bank was merged into Village Bank. In November 2006, Hinsbrook Bank’s Geneva branch was renamed St. Charles Bank & Trust (“St. Charles Bank”), its Willowbrook, Downers Grove and Darien locations became branches of Hinsdale Bank and its Glen Ellyn location became a branch of Wheaton Bank.

The Company provides, on a national basis, loans to businesses to finance insurance premiums on their commercial insurance policies (“premium finance receivables”) through First Insurance Funding Corporation (“FIFC”). FIFC is a wholly-owned subsidiary of Lake Forest Bank. In November 2007, the Company acquired Broadway Premium Funding Corporation (“Broadway”). Broadway also provides loans to businesses to finance liability, property and casualty and other commercial insurance premiums, mainly through insurance agents and brokers in the northeastern portion of the United States and California. On October 1, 2008, Broadway merged with its parent, FIFC, but continues to utilize the Broadway brand in serving its segment of the marketplace.

In 2007, FIFC began financing life insurance policy premiums for high net-worth individuals. These loans are originated through independent insurance agents with assistance from financial advisors and legal counsel. The life insurance policy is the primary form of collateral. In addition, these loans can be secured with a letter of credit or certificate of deposit.

Wintrust, through Tricom, Inc. of Milwaukee (“Tricom”), provides high-yielding short-term accounts receivable financing (“Tricom finance receivables”) and value-added out-sourced administrative services, such as data processing of payrolls, billing and cash management services, to the temporary staffing industry, with clients located throughout the United States. Tricom is a wholly-owned subsidiary of Hinsdale Bank.

The Company provides a full range of wealth management services through its trust, asset management and broker-dealer subsidiaries. Trust and investment services are provided at the Banks through the Company’s wholly-owned subsidiary, Wayne Hummer Trust Company, N.A. (“WHTC”), a de novo company started in 1998. Wayne Hummer Investments, LLC (“WHI”) is a broker-dealer providing a full range of private client and securities brokerage services to clients located primarily in the Midwest. WHI has office locations staffed by one or more registered financial advisors in a majority of the Company’s Banks. WHI also provides a full range of investment services to individuals through a network of relationships with community-based financial institutions primarily in Illinois. WHI is a wholly-owned subsidiary of North Shore Bank. Wayne Hummer Asset Management Company (“WHAMC”) provides money management services and advisory services to individuals, institutions and municipal and tax-exempt organizations, in

addition to portfolio management and financial supervision for a wide range of pension and profit-sharing plans. WHI and WHAMC were acquired in 2002, and in February 2003, the Company acquired Lake Forest Capital Management (“LFCM”), a registered investment advisor, which was merged into WHAMC. In April 2009, WHAMC purchased certain assets and assumed certain liabilities of Advanced Investment Partners, LLC (“AIP”). AIP is an investment management firm specializing in the active management of domestic equity investment strategies. WHTC, WHI and WHAMC are referred to collectively as the “Wayne Hummer Companies.”

In May 2004, the Company acquired Wintrust Mortgage Corporation (“WMC”) (formerly known as WestAmerica Mortgage Company) and its affiliate, Guardian Real Estate Services, Inc. (“Guardian”). WMC engages primarily in the origination and purchase of residential mortgages for sale into the secondary market. WMC maintains principal origination offices in eight states, including Illinois, and originates loans in other states through wholesale and correspondent offices. WMC is a wholly-owned subsidiary of Barrington Bank. Guardian provided document preparation and other loan closing services to WMC and a network of mortgage brokers. Guardian was merged into Barrington Bank in November 2008. In December 2008, WMC acquired certain assets and assumed certain liabilities of the mortgage banking business of Professional Mortgage Partners (“PMP”).

Wintrust Information Technology Services Company (“WITS”) provides information technology support, item capture, imaging and statement preparation services to the Wintrust subsidiaries and is a wholly-owned subsidiary of Wintrust.

The accompanying consolidated financial statements are unaudited and do not include information or footnotes necessary for a complete presentation of financial condition, results of operations or cash flows in accordance with generally accepted accounting principles. The consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report and Form 10-K for the year ended December 31, 2008. Operating results reported for the three-month and year-to-date periods are not necessarily indicative of the results which may be expected for the entire year. Reclassifications of certain prior period amounts have been made to conform to the current period presentation.

The preparation of the financial statements requires management to make estimates, assumptions and judgments that affect the reported amounts of assets and liabilities. Management believes that the estimates made are reasonable, however, changes in estimates may be required if economic or other conditions develop differently from management’s expectations. In preparing these financial statements, management has evaluated events and transactions for potential recognition and or disclosure through August 10, 2009, the date the financial statements were issued. Certain policies and accounting principles inherently have a greater reliance on the use of estimates, assumptions and judgments and as such have a greater possibility of producing results that could be materially different than originally reported. Management views critical accounting policies to be those which are highly dependent on subjective or complex judgments, estimates and assumptions, and where changes in those estimates and assumptions could have a significant impact on the financial statements. Management currently views the determination of the allowance for loan losses and the allowance for losses on lending-related commitments, estimations of fair value, the valuations required for impairment testing of goodwill, the valuation and accounting for derivative instruments and income taxes as the accounting areas that require the most subjective and complex judgments, and as such could be the most subject to revision as new information becomes available. Descriptions of our significant accounting policies are included in Note 1 (Summary of Significant Accounting Policies) of the Company’s 2008 Form 10-K.

(2) Recent Accounting Developments

In June 2009, the Financial Accounting Standards Board (“FASB”) issued SFAS No. 168, “The FASB Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting Principles — a replacement of FASB Statement No. 162” (“SFAS 168”). SFAS 168 replaces the Generally Accepted Accounting Principles (“GAAP”) hierarchy with two levels of GAAP: authoritative and nonauthoritative. On July 1, 2009, the FASB Accounting Standards Codification became the single source of authoritative nongovernmental GAAP, except for rules and interpretive releases of the Securities Exchange Commission. All other non-grandfathered accounting literature became nonauthoritative. The Company does not expect the adoption of SFAS 168 to have a material impact on the Company’s financial statements.

In June 2009, the FASB issued SFAS No. 167, “Amendments to FASB Interpretation No. 46(R)” (“SFAS 167”). SFAS 167 eliminates exceptions to consolidating qualifying special purpose entities, contains new criteria for determining the primary beneficiary, and increases the frequency of required reassessments to determine whether a company is the primary beneficiary of a variable interest entity. This Statement clarifies, but does not significantly change, the characteristics that identify a variable interest entity. This Statement also contains a new requirement that any term, transaction, or arrangement that does not have a substantive effect on an entity’s status as a variable interest entity, a company’s power over a variable interest entity, or a company’s obligation to absorb losses or its right to receive benefits of a variable interest entity must be disregarded in applying the provisions of Interpretation 46(R). This Statement is effective for interim and annual reporting periods beginning after November 15, 2009. The Company does not expect these proposed changes to have a material impact on the Company’s financial statements.

In June 2009, the FASB issued SFAS No. 166, “Accounting for Transfers of Financial Assets, an amendment of FASB Statement No. 140” (“SFAS 166”). SFAS 166 amends SFAS 140 by removing the concept of a qualifying special-purpose entity, changes the requirements for derecognizing financial assets and requires additional disclosures about a transferor’s continuing involvement in transferred financial assets. This Statement is effective for all interim and annual periods beginning after November 15, 2009. The Company is currently evaluating the potential impact the new pronouncement will have on its financial statements.

In May 2009, the FASB issued SFAS No. 165, “Subsequent Events” (“SFAS 165”). SFAS 165 provides guidance for the recognition and disclosure of subsequent events not addressed in other applicable generally accepted accounting principles. This Statement also requires entities to disclose the date through which subsequent events have been evaluated and the nature and estimated financial effects of certain subsequent events. This Statement is effective for interim or annual financial periods ending after June 15, 2009, and shall be applied prospectively. The adoption of SFAS 165 did not have a material impact on the Company’s financial statements.

In April 2009, the FASB issued FASB Staff Position No. 141R-1, “Accounting for Assets Acquired and Liabilities Assumed in a Business Combination That Arise from Contingencies (“FSP 141R-1”). FSP 141R-1 amends and clarifies SFAS No. 141(R), “Business Combinations” (SFAS 141R), to address application issues on initial recognition and measurement, subsequent measurement and accounting, and disclosure of assets and liabilities arising from contingencies in a business combination. FSP 141R-1 is effective for assets or liabilities arising from contingencies in business combinations for which the acquisition date is on or after the first annual reporting period beginning on or after December 15, 2008. The adoption of FSP 141R-1 did not have a material impact on the Company’s financial statements.

In April 2009, the FASB issued FSP No. FAS 107-1 and APB 28-1, “Interim Disclosures about Fair Value of Financial Instruments” (“FSP FAS 107-1 and APB 28-1”). FSP FAS 107-1 and APB 28-1 amends FASB Statement No. 107, "Disclosures about Fair Value of Financial Instruments”, to require disclosures about fair value of financial instruments for interim reporting periods of publicly traded companies as well as in annual financial statements. FSP FAS 107-1 and APB 28-1 is effective for interim reporting periods ending after June 15, 2009, with early adoption permitted. The Company adopted this FSP in the second quarter of 2009. The adoption expanded the Company’s disclosures regarding the use of fair value in interim periods. See Note 4 — Available-for-sale Securities, for the required disclosures in accordance with this FSP.

In April 2009, the FASB issued FSP No. FAS 115-2 and FAS 124-2, “Recognition and Presentation of Other-Than-Temporary Impairments” (“FSP FAS 115-2 and FAS 124-2”). FSP FAS 115-2 and FAS 124-2 amends the other-than-temporary impairment (“OTTI”) guidance in GAAP for debt securities and the presentation and disclosure requirements of OTTI on debt and equity securities in the financial statements. This FSP does not amend existing recognition and measurement guidance related to OTTI of equity securities. FSP FAS 115-2 and FAS 124-2 requires separate display of losses related to credit deterioration and losses related to other market factors. When an entity does not intend to sell the security and it is more likely than not that an entity will not have to sell the security before recovery of its cost basis, it must recognize the credit component of OTTI in earnings and the remaining portion in other comprehensive income. FSP FAS 115-2 and FAS 124-2 is effective for interim reporting periods ending after June 15, 2009, with early adoption permitted. The Company adopted this FSP in the second quarter of 2009. See Note 4 — Available-for-sale Securities, for a further discussion on the adoption of this FSP.

In April 2009, the FASB issued FSP No. FAS 157-4, “Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not Orderly” (“FSP FAS 157-4”). FSP FAS 157-4 provides additional guidance for estimating fair value in accordance with SFAS No. 157, “Fair Value Measurements” (“SFAS 157”), when the volume and level of activity for the asset or liability have significantly decreased. FSP FAS 157-4 also includes guidance on identifying circumstances that indicate a transaction is not orderly. FSP FAS 157-4 is effective for interim reporting periods ending after June 15, 2009, with early adoption permitted. The adoption of FSP FAS 157-4 in the second quarter of 2009 did not have a material impact on the Company’s financial statements.

In March 2008, the FASB issued Statement of Financial Accounting Standards No. 161, “Disclosures about Derivative Instruments and Hedging Activities — an amendment of FASB Statement No. 133” (“SFAS 161”). Effective for fiscal years and interim periods beginning after November 15, 2008, SFAS 161 amends and expands the disclosure requirements of Statement No. 133 by requiring enhanced disclosures for how and why an entity uses derivative instruments; how derivative instruments and related hedged items are accounted for under Statement No. 133 and its related interpretations; and how derivative instruments and related items affect an entity’s financial position, financial performance and cash flows. SFAS 161 only relates to disclosures and did not have an impact on the Company’s financial condition or results of operations. See Note 10 — Derivative Financial Instruments, for the required disclosures in accordance with SFAS 161.

In December 2007, the FASB issued Statement of Financial Accounting Standards No. 160, “Noncontrolling Interests in Consolidated Financial Statements-an amendment of ARB No. 51” (“SFAS 160”). SFAS 160 establishes accounting and reporting standards for the noncontrolling interest in a subsidiary and for the deconsolidation of a subsidiary. The guidance is effective for fiscal years beginning after December 15, 2008. The adoption of SFAS 160 did not have a material impact on the Company’s financial statements.

In December 2007, the FASB issued SFAS No. 141(R), “Business Combinations” (“SFAS 141R”). SFAS 141R requires the acquiring entity in a business combination to recognize the full fair value of the assets acquired and liabilities assumed in a transaction at the acquisition date; the immediate expense recognition of transaction costs; and accounting for restructuring plans separately from the business combination. SFAS 141R eliminates separate recognition of the acquired allowance for loan losses on the acquirer’s balance sheet as credit related factors will be incorporated directly into the fair value of the loans recorded at the acquisition date. SFAS 141R is effective for business combinations occurring after December 15, 2008. The adoption of SFAS 141R did not have a material impact on the Company’s financial statements.

(3) Cash and Cash Equivalents

For purposes of the Consolidated Statements of Cash Flows, the Company considers cash and cash equivalents to include cash on hand, cash items in the process of collection, non-interest bearing amounts due from correspondent banks, federal funds sold and securities purchased under resale agreements with original maturities of three months or less.

(4) Available-for-sale Securities

The following tables are a summary of the available-for-sale securities portfolio as of the dates shown:

		June 30, 2009
						Gross				Gross
		Amortized				Unrealized				Unrealized				Fair
(Dollars in thousands)		Cost				Gains				Losses				Value
U.S. Treasury		$	121,880			$	—			$	(10,952	)		$	110,928
U.S. Government agencies			517,710				862				(3,340	)			515,232
Municipal			58,539				1,061				(737	)			58,863
Corporate notes and other debt			67,384				2,045				(7,157	)			62,272
Mortgage-backed			399,547				10,488				(3,705	)			406,330
Federal Reserve/FHLB stock and other equity securities			115,764				—				(1,979	)			113,785
Total available-for-sale securities		$	1,280,824			$	14,456			$	(27,870	)		$	1,267,410

		December 31, 2008
						Gross				Gross
		Amortized				Unrealized				Unrealized				Fair
(Dollars in thousands)		Cost				Gains				Losses				Value
U.S. Treasury		$	—			$	—			$	—			$	—
U.S. Government agencies			297,191				1,539				(1	)			298,729
Municipal			59,471				563				(739	)			59,295
Corporate notes and other debt			36,157				223				(8,339	)			28,041
Mortgage-backed			272,492				12,859				(44	)			285,307
Federal Reserve/FHLB stock and other equity securities			115,414				—				(2,113	)			113,301
Total available-for-sale securities		$	780,725			$	15,184			$	(11,236	)		$	784,673

The Company conducts a regular assessment of its investment securities to determine whether securities are other-than-temporarily impaired considering, among other factors, the nature of the securities, credit ratings or financial condition of the issuer, the extent and duration of the unrealized loss, expected cash flows, market conditions and the Company’s ability to hold the securities through the anticipated recovery period.

During the first quarter of 2009, the Company recorded $2.1 million of other than temporary impairment on certain corporate debt securities. Effective April 1, 2009, the Company adopted FSP FAS 115-2 and FAS 124-2, which provides guidance for the measurement and recognition of other than temporary impairment for debt securities. If an entity does not intend to sell, and it is more likely than not that the entity will not be required to sell a debt security before recovery of its cost basis, impairment should be separated into (a) the amount representing credit loss and (b) the amount related to all other factors. The amount of impairment related to credit loss is recognized in earnings and the impairment related to other factors is recognized in other comprehensive income (loss). To determine the amount related to credit loss, the Company applied a method similar to that described by SFAS 114, “Accounting by Creditors for Impairment of a Loan” using a single best estimate of expected cash flows. The Company’s adoption of FSP 115-2 and FAS 124-2 resulted in the recognition of a cumulative-effect adjustment to retained earnings with a corresponding charge to accumulated other comprehensive income of $309,000. No impairment charges were recognized in the second quarter of 2009.

The following tables present the portion of the Company’s available-for-sale securities portfolio which has gross unrealized losses, reflecting the length of time that individual securities have been in a continuous unrealized loss position at June 30, 2009:

		Continuous unrealized								Continuous unrealized
		losses existing for								losses existing for
		less than 12 months								greater than 12 months								Total
		Fair				Unrealized				Fair				Unrealized				Fair				Unrealized
(Dollars in thousands)		Value				Losses				Value				Losses				Value				Losses
U.S. Treasury		$	110,928				(10,952	)			—				—				110,928				(10,952	)
U.S. Government agencies			205,384				(3,340	)			—				—				205,384				(3,340	)
Municipal			15,787				(546	)			1,777				(191	)			17,564				(737	)
Corporate notes and other debt			11,242				(2,489	)			19,945				(4,668	)			31,187				(7,157	)
Mortgage-backed			128,839				(3,704	)			174				(1	)			129,013				(3,705	)
Federal Reserve/FHLB stock and other equity securities			584				(1	)			4,326				(1,978	)			4,910				(1,979	)
Total		$	472,764				(21,032	)			26,222				(6,838	)			498,986				(27,870	)

The Company does not consider these unrealized losses to be other-than-temporary at June 30, 2009. The unrealized losses within each category have occurred as a result of changes in interest rates and market spreads subsequent to purchase. A substantial portion of the securities that have unrealized losses are either U.S. Treasury securities or corporate debt obligations. The corporate debt obligations include four trust-preferred securities with unrealized losses totaling $4.3 million. These four securities represent financial issuers with high investment grade credit ratings. Most of these obligations were purchased in 1999, have interest rates significantly below the rates at which these types of obligations are currently issued, and have maturity dates in 2027. Although they are currently callable by the issuers, it is unlikely that they will be called in the near future as the interest rates are very attractive to the issuers. A review of the issuers indicated that they have recently raised equity capital and/or have strong capital ratios. The Company does not intend to sell these investments and it is not more likely than not that the Company will be required to sell these investments before recovery of the amortized cost bases, which may be the maturity dates of the securities.

In prior periods the Company recognized other than temporary impairment charges on corporate debt securities in the Company’s high-yield portfolio as well as other corporate debt (non-financial issuers). Changes in the amount of credit losses recognized in net income on these corporate debt securities are summarized as follows:

		Three Months Ended
(Dollars in thousands)		June 30, 2009
Balance at beginning of period		$	(6,181	)
Credit losses not previously recognized			—
Reductions for securities sold during the period			1,986
Balance at end of period		$	(4,195	)

The amortized cost and fair value of securities as of June 30, 2009, by contractual maturity, are shown in the following table. Contractual maturities may differ from actual maturities as borrowers may have the right to call or repay obligations with or without call or prepayment penalties. Mortgage-backed securities are not included in the maturity categories in the following maturity summary as actual maturities may differ from contractual maturities because the underlying mortgages may be called or prepaid without penalties:

		June 30, 2009
		Amortized				Fair
(Dollars in thousands)		Cost				Value
Due in one year or less		$	100,723				101,037
Due in one to five years			264,235				265,087
Due in five to ten years			260,256				248,695
Due after ten years			140,299				132,476
Mortgage-backed			399,547				406,330
Federal Reserve/FHLB Stock and other equity			115,764				113,785
Total available-for-sale securities		$	1,280,824				1,267,410

The following table provides information as to the amount of gross gains and losses realized through the sales of available-for-sale investment securities:

		Three Months				Six Months
		Ended				Ended
(Dollars in thousands)		June 30, 2009				June 30, 2009
Realized gains		$	1,703			$	1,816
Realized losses			(163	)			(178	)
Net realized gains (losses)		$	1,540			$	(1,638	)

(5) Loans

The following table is a summary of the loan portfolio as of the dates shown:

		June 30,				December 31,				June 30,
(Dollars in thousands)		2009				2008				2008
Balance:
Commercial and commercial real estate		$	5,083,917			$	4,778,664			$	4,610,550
Home equity			912,399				896,438				770,748
Residential real estate			279,345				262,908				243,400
Premium finance receivables (1)			1,070,514				1,346,586				1,145,986
Indirect consumer loans			133,808				175,955				221,511
Other loans			115,493				160,518				161,408
Total loans, net of unearned income		$	7,595,476			$	7,621,069			$	7,153,603
Mix:
Commercial and commercial real estate			67	%			63	%			65	%
Home equity			12				12				11
Residential real estate			3				3				3
Premium finance receivables (1)			14				18				16
Indirect consumer loans			2				2				3
Other loans			2				2				2
Total loans, net of unearned income			100	%			100	%			100	%

Premium finance receivables are recorded net of unearned income. The unearned income portions of premium finance receivables were $30.7 million at June 30, 2009, $27.1 million at December 31, 2008 and $22.9 million at June 30, 2008. Indirect consumer loans include auto, boat and other indirect consumer loans. Total loans include net deferred loan fees and costs and fair value purchase accounting adjustments totaling $10.5 million at June 30, 2009, $9.4 million at December 31, 2008 and $8.7 million at June 30, 2008.

(6) Deposits

The following table is a summary of deposits as of the dates shown:

		June 30,				December 31,				June 30,
(Dollars in thousands)		2009				2008				2008
Balance:
Non-interest bearing deposits		$	793,173			$	757,844			$	688,512
NOW accounts			1,072,255				1,040,105				1,064,792
Wealth management deposits			919,968				716,178				599,451
Money market accounts			1,379,164				1,124,068				900,482
Savings accounts			461,377				337,808				326,869
Time certificates of deposit			4,565,395				4,400,747				4,181,261
Total deposits		$	9,191,332			$	8,376,750			$	7,761,367
Mix:
Non-interest bearing deposits			9	%			9	%			9	%
NOW accounts			11				12				14
Wealth management deposits			10				9				8
Money market accounts			15				13				12
Savings accounts			5				4				4
Time certificates of deposit			50				53				53
Total deposits			100	%			100	%			100	%

Wealth management deposits represent deposit balances at the Company’s subsidiary banks from brokerage customers of Wayne Hummer Investments, trust and asset management customers of Wayne Hummer Trust Company and brokerage customers from unaffiliated companies.

(7) Notes Payable, Federal Home Loan Bank Advances, Other Borrowings and Subordinated Notes

The following table is a summary of notes payable, Federal Home Loan Bank advances, other borrowings and subordinated notes as of the dates shown:

		June 30,				December 31,				June 30,
(Dollars in thousands)		2009				2008				2008
Notes payable		$	1,000			$	1,000			$	41,975
Federal Home Loan Bank advances			435,980				435,981				438,983
Other borrowings:
Securities sold under repurchase agreements			242,478				334,925				381,151
Other			1,808				1,839				1,858
Total other borrowings			244,286				336,764				383,009
Subordinated notes			65,000				70,000				75,000
Total notes payable, Federal Home Loan Bank advances, other borrowings and subordinated notes		$	746,266			$	843,745			$	938,967

The $1.0 million balance at June 30, 2009 represents the outstanding balance on a $101.0 million loan agreement (“Agreement”) with an unaffiliated bank. The Agreement consists of a $100.0 million revolving note, with a maturity date of August 31, 2009, and a $1.0 million note that matures on June 1, 2015. At June 30, 2009, there was no outstanding balance on the $100.0 million revolving note. Interest is calculated, at the Company’s option, at a floating rate equal to either: (1) LIBOR plus 200 basis points or (2) the greater of the lender’s prime rate or the Federal Funds Rate plus 50 basis points. The Agreement is secured by the stock of some of the Banks and contains several restrictive covenants, including the maintenance of various capital adequacy levels, asset quality and profitability ratios, and certain restrictions on dividends and other indebtedness. In May 2009 the Company and lender entered into an amendment to the Agreement which waived the prior violation of a debt covenant and amended the covenant to require that the Company have a return on assets in excess of zero percent based on quarterly regulatory filings through June 30, 2009 and in excess of 0.35 percent thereafter. The Agreement may be utilized, as needed, to provide capital to fund continued growth at the Company’s Banks and to serve as an interim source of funds for acquisitions, common stock repurchases or other general corporate purposes.

Federal Home Loan Bank advances consist of fixed rate obligations of the Banks and are collateralized by qualifying residential real estate and home equity loans and certain securities. FHLB advances are stated at par value of the debt adjusted for unamortized fair value adjustments recorded in connection with advances acquired through acquisitions.

At June 30, 2009, securities sold under repurchase agreements represent $62.2 million of customer balances in sweep accounts in connection with master repurchase agreements at the Banks and $180.3 million of short-term borrowings from brokers.

The subordinated notes represent three notes, issued in October 2002, April 2003 and October 2005 (funded in May 2006). The balances of the notes as of June 30, 2009 were $20.0 million, $20.0 million and $25.0 million, respectively. Each subordinated note requires annual principal payments of $5.0 million beginning in the sixth year, with final maturities in the tenth year. The Company may redeem the subordinated notes at any time prior to maturity. Interest on each note is calculated at a rate equal to LIBOR plus 130 basis points.

(8) Junior Subordinated Debentures

As of June 30, 2009, the Company owned 100% of the common securities of nine trusts, Wintrust Capital Trust III, Wintrust Statutory Trust IV, Wintrust Statutory Trust V, Wintrust Capital Trust VII, Wintrust Capital Trust VIII, Wintrust Capital Trust IX, Northview Capital Trust I, Town Bankshares Capital Trust I, and First Northwest Capital Trust I (the “Trusts”) set up to provide long-term financing. The Northview, Town and First Northwest capital trusts were acquired as part of the acquisitions of Northview Financial Corporation, Town Bankshares, Ltd., and First Northwest Bancorp, Inc., respectively. The Trusts were formed for purposes of issuing trust preferred securities to third-party investors and investing the proceeds from the issuance of the trust preferred securities and common securities solely in junior subordinated debentures issued by the Company (or assumed by the Company in connection with an acquisition), with the same maturities and interest rates as the trust preferred securities. The junior subordinated debentures are the sole assets of the Trusts. In each Trust, the common securities represent approximately 3% of the junior subordinated debentures and the trust preferred securities represent approximately 97% of the junior subordinated debentures.

The Trusts are reported in the Company’s consolidated financial statements as unconsolidated subsidiaries. Accordingly, in the Consolidated Statements of Condition, the junior subordinated debentures issued by the Company to the Trusts are reported as liabilities and the common securities of the Trusts, all of which are owned by the Company, are included in available-for-sale securities.

The following table provides a summary of the Company’s junior subordinated debentures as of June 30, 2009. The junior subordinated debentures represent the par value of the obligations owed to the Trusts and basis adjustments for unamortized fair value adjustments recognized at the respective acquisition dates for the Northview, Town and First Northwest obligations.

						Junior																				Earliest
		Trust Preferred				Subordinated				Rate				Rate at				Issue				Maturity				Redemption
(Dollars in thousands)		Securities				Debentures				Structure				6/30/09				Date				Date				Date
Wintrust Capital Trust III		$	25,000			$	25,774				L+3.25				4.38	%			04/2003				04/2033				04/2008
Wintrust Statutory Trust IV			20,000				20,619				L+2.80				3.40	%			12/2003				12/2033				12/2008
Wintrust Statutory Trust V			40,000				41,238				L+2.60				3.20	%			05/2004				05/2034				06/2009
Wintrust Capital Trust VII			50,000				51,550				L+1.95				2.58	%			12/2004				03/2035				03/2010
Wintrust Capital Trust VIII			40,000				41,238				L+1.45				2.05	%			08/2005				09/2035				09/2010
Wintrust Capital Trust IX			50,000				51,547			Fixed					6.84	%			09/2006				09/2036				09/2011
Northview Capital Trust I			6,000				6,186				L+3.00				4.03	%			08/2003				11/2033				08/2008
Town Bankshares Capital Trust I			6,000				6,186				L+3.00				4.03	%			08/2003				11/2033				08/2008
First Northwest Capital Trust I			5,000				5,155				L+3.00				3.60	%			05/2004				05/2034				05/2009
Total						$	249,493								3.82	%

The junior subordinated debentures totaled $249.5 million at June 30, 2009 and December 31, 2008 and $249.6 million at June 30, 2008.

The interest rates on the variable rate junior subordinated debentures are based on the three-month LIBOR rate and reset on a quarterly basis. The interest rate on the Wintrust Capital Trust IX junior subordinated debentures, currently fixed at 6.84%, changes to a variable rate equal to three-month LIBOR plus 1.63% effective September 15, 2011. At June 30, 2009, the weighted average contractual interest rate on the junior subordinated debentures was 3.82%. The Company entered into $175 million of interest rate swaps to hedge the variable cash flows on certain junior subordinated debentures. The hedge-adjusted rate on the junior subordinated debentures on June 30, 2009, was 7.14%. Distributions on all issues are payable on a quarterly basis.

The Company has guaranteed the payment of distributions and payments upon liquidation or redemption of the trust preferred securities, in each case to the extent of funds held by the Trusts. The Company and the Trusts believe that, taken together, the obligations of the Company under the guarantees, the junior subordinated debentures, and other related agreements provide, in the aggregate, a full, irrevocable and unconditional guarantee, on a subordinated basis, of all of the obligations of the Trusts under the trust preferred securities. Subject to certain limitations, the Company has the right to defer the payment of interest on the junior subordinated debentures at any time, or from time to time, for a period not to exceed 20 consecutive quarters. The trust preferred securities are subject to mandatory redemption, in whole or in part, upon repayment of the junior subordinated debentures at maturity or their earlier redemption. The junior subordinated debentures are redeemable in whole or in part prior to maturity at any time after the earliest redemption dates shown in the table, and earlier at the discretion of the Company if certain conditions are met, and, in any event, only after the Company has obtained Federal Reserve approval, if then required under applicable guidelines or regulations.

The junior subordinated debentures, subject to certain limitations, qualify as Tier 1 capital of the Company for regulatory purposes. The amount of junior subordinated debentures and certain other capital elements in excess of those certain limitations could be included in Tier 2 capital, subject to restrictions.

(9) Segment Information

The segment financial information provided in the following tables has been derived from the internal profitability reporting system used by management to monitor and manage the financial performance of the Company. The Company evaluates segment performance based on after-tax profit or loss and other appropriate profitability measures common to each segment. Certain indirect expenses have been allocated based on actual volume measurements and other criteria, as appropriate. Inter-segment revenue and transfers are generally accounted for at current market prices. The parent and inter-segment eliminations reflect parent company information and inter-segment eliminations. In the first quarter of 2009, the Company combined the premium finance and Tricom segments into the specialty finance segment. Prior period information has been restated to reflect this change.

The net interest income and segment profit of the banking segment includes income and related interest costs from portfolio loans that were purchased from the specialty finance segment. For purposes of internal segment profitability analysis, management reviews the results of its specialty finance segment as if all loans originated and sold to the banking segment were retained within that segment’s operations, thereby causing inter-segment eliminations. Similarly, for purposes of analyzing the contribution from the wealth management segment, management allocates the net interest income earned by the banking segment on deposit balances of customers of the wealth management segment to the wealth management segment. (See “Wealth management deposits” discussion in Deposits section of this report for more information on these deposits.) The following tables present a summary of certain operating information for each reportable segment for the three and six months ended for the periods shown:

		Three Months Ended
		June 30,								$ Change in				% Change in
(Dollars in thousands)		2009				2008				Contribution				Contribution
Net interest income:
Banking		$	69,606			$	57,964			$	11,642				20	%
Specialty finance			19,204				17,136				2,068				12
Wealth management			7,010				4,484				2,526				56
Parent and inter-segment eliminations			(23,323	)			(20,184	)			(3,139	)			16
Total net interest income		$	72,497			$	59,400			$	13,097				22	%
Non-interest income:
Banking		$	28,207			$	24,449			$	3,758				15	%
Specialty finance			650				1,321				(671	)			(51	)
Wealth management			9,553				10,077				(524	)			(5	)
Parent and inter-segment eliminations			7,042				(2,243	)			9,285			NM
Total non-interest income		$	45,452			$	33,604			$	11,848				35	%
Segment profit (loss):
Banking		$	4,667			$	14,948			$	(10,281	)			(69)	%
Specialty finance			8,080				8,089				(9	)			—
Wealth management			3,702				2,876				826				29
Parent and inter-segment eliminations			(9,900	)			(14,637	)			4,737				(32	)
Total segment profit		$	6,549			$	11,276			$	(4,727	)			(42)	%
Segment assets:
Banking		$	11,214,377			$	9,791,254			$	1,423,123				15	%
Specialty finance			1,146,971				1,239,496				(92,525	)			(8	)
Wealth management			58,068				57,881				187				—
Parent and inter-segment eliminations			(1,059,880	)			(1,165,554	)			105,674				(9	)
Total segment assets		$	11,359,536			$	9,923,077			$	1,436,459				14	%