ISBC 2017 Form 10-K & 2018 Proxy Statement

FORM 10-K INVESTORS BANCORP, INC. AND SUBSIDIARY Consolidated Statements of Stockholders’ Equity Year ended December 31, 2017, 2016 and 2015 Common stock Additional paid-in capital Retained earnings Treasury stock Unallocated Common Stock Held by ESOP Accumulated other comprehensive loss Total stockholders’ equity (In thousands except share data) Balance at December 31, 2014 $3,591 2,864,406 836,639 (11,131) (93,246) (22,404) 3,577,855 Net income — — 181,505 — — — 181,505 Other comprehensive loss, net of tax — — — — — (5,421) (5,421) Purchase of treasury stock (31,576,421 shares) — — — (382,922) — — (382,922) Treasury stock allocated to restricted stock plan (6,849,832 shares) — (85,897) 5,472 80,425 — — — Compensation cost for stock options and restricted stock — 9,220 — — — — 9,220 Net tax benefit from stock-based compensation — 2,985 — — — — 2,985 Option exercise — (9,045) — 19,164 — — 10,119 Restricted stock forfeitures (90,000 shares) — 1,129 (181) (948) — — — Cash dividend paid ($0.25 per common share) — — (87,395) — — — (87,395) ESOP shares allocated or committed to be released — 2,705 — — 2,996 — 5,701 Balance at December 31, 2015 3,591 2,785,503 936,040 (295,412) (90,250) (27,825) 3,311,647 Cumulative effect of adopting ASU No. 2016-09 — (8,051) 8,051 — — — — Net income — — 192,125 — — — 192,125 Other comprehensive income, net of tax — — — — — 3,225 3,225 Purchase of treasury stock (31,336,369 shares) — — — (363,410) — — (363,410) Treasury stock allocated to restricted stock plan (276,890 shares) — (3,237) (85) 3,322 — — — Compensation cost for stock options and restricted stock — 21,975 — — — — 21,975 Option exercise — (34,325) — 68,642 — — 34,317 Restricted stock forfeitures (100,205 shares) — 1,206 (90) (1,116) — — — Cash dividend paid ($0.26 per common share) — — (82,291) — — — (82,291) ESOP shares allocated or committed to be released — 2,661 — — 2,996 — 5,657 Balance at December 31, 2016 3,591 2,765,732 1,053,750 (587,974) (87,254) (24,600) 3,123,245 Net income — — 126,744 — — — 126,744 Effect of adopting ASU No. 2018-02 — — 4,629 — — (4,629) — Other comprehensive loss, net of tax — — — — — (110) (110) Purchase of treasury stock (4,463,669 shares) — — — (59,090) — — (59,090) Treasury stock allocated to restricted stock plan (440,000 shares) — (6,329) 1,030 5,299 — — — Compensation cost for stock options and restricted stock — 20,542 — — — — 20,542 Option exercise — (3,689) — 12,830 — — 9,141 Restricted stock forfeitures (367,734 shares) — 4,601 (426) (4,175) — — — Cash dividend paid ($0.33 per common share) — — (101,550) — — (101,550) ESOP shares allocated or committed to be released — 3,533 — — 2,996 — 6,529 Balance at December 31, 2017 3,591 2,784,390 1,084,177 (633,110) (84,258) (29,339) 3,125,451 See accompanying notes to consolidated financial statements. 81