OKSB Southwest Bancorp, Inc.

Southwest Bancorp, Inc. (NASDAQ:OKSB), (“Southwest”), today reported net income for the fourth quarter of 2015 of $4.6 million, or $0.23 per diluted share, compared to $5.9 million, or $0.30 per diluted share, for the fourth quarter of 2014. Included in the prior year’s fourth quarter results was a negative (credit) provision for loan losses of $2.4 million versus a negative (credit) provision of $0.6 million for the quarter ended December 31, 2015. Net income for the year ended December 31, 2015 totaled $17.4 million, or $0.90 per diluted share, compared to $21.0 million, or $1.07 per diluted share, for the year ended December 31, 2014. Included in the prior year’s results was a pre-tax net gain on sale of bank branches of $4.4 million and a negative (credit) provision for loan losses of $6.6 million, versus a negative (credit) provision for loan losses of $3.6 million for the year ended December 31, 2015.

Southwest announced that its board of directors has approved an increase in the quarterly cash dividend from $0.06 per share to $0.08 per share payable February 12, 2016 to shareholders of record as of January 29, 2016.

Mark Funke, President and CEO, stated, “The fourth quarter was a positive growth and expansion quarter for Bank SNB.  We successfully completed the acquisition and integration of First Commercial Bancshares, Inc. We hired a market president and two commercial bankers to lead our newly established Denver banking efforts.  The acquisition expands our presence in the Oklahoma City metro area with five additional branches, increasing our total to ten. It also adds Colorado to our geographic footprint with three branches in Denver and one in Colorado Springs. 

“The financial results for the fourth quarter reflect solid earnings and strong loan growth. Our efforts produced several highlights:

• Closed the acquisition of Edmond-based First Commercial Bancshares, Inc. (“FCBI”) October 9, 2015.
• Total loan growth was $231.3 million, including $194.0 million of FCBI acquired loans, or 15%, for the fourth quarter and $379.4 million, or 27%, for the year. We have had eight consecutive quarters of loan growth.
• Core loan growth (excluding the FCBI acquisition) for the year was $185.4 million, or 13%.
• The quarterly net interest margin improved to 3.48% at December 31, 2015 compared to 3.34% at September 30, 2015. 

“Our financial results and the solid loan growth for the fourth quarter and the full year reflect the excellent work of our banking associates. We will continue to focus our company on producing consistent, conservative, and sustainable earnings through the expansion of our revenue base while prudently managing risk and expenses.”

On February 24, 2015, Southwest’s board of directors authorized its second consecutive share repurchase program of up to 5.0% of its outstanding common stock, or approximately 950,000 shares, which became effective on August 14, 2015. The first share repurchase program, in August 2014, authorized up to 990,000 shares. Since August 2014, Southwest has repurchased 1,121,558 shares for a total of $18.8 million.  During the fourth quarter of 2015, 254,248 shares for a total of $4.4 million were repurchased.

Financial Overview

Condition:  As of December 31, 2015, total assets were $2.4 billion, an increase of $297.1 million, including FCBI acquired assets, when compared to September 30, 2015. At the date of acquisition, FCBI assets were $291.9 million. As of December 31, 2015, total loans were $1.8 billion, an increase of $231.3 million from the prior quarter end, including $194.0 million in acquired loans. As of December 31, 2015, investment securities were $412.1 million, an increase of $23.6 million from the prior quarter end, including $34.8 million in acquired investments. Cash and cash equivalents at December 31, 2015 were $78.1 million, up $9.5 million from September 30, 2015. 

At December 31, 2015, the allowance for loan losses was $26.1 million, a decrease of $0.5 million when compared to September 30, 2015 and a decrease of $2.3 million when compared to December 31, 2014.  The allowance for loan losses to portfolio loans was 1.47% as of December 31, 2015, compared to 1.73% as of September 30, 2015 and 2.03% as of December 31, 2014.  The allowance for loan losses to nonperforming loans was 128.49% as of December 31, 2015, compared to 176.38% as of September 30, 2015 and 302.26% as of December 31, 2014.  The total allowance for loan losses combined with the purchase discount on acquired loans represents 1.96% of gross loans. 

Nonperforming loans were $20.3 million at December 31, 2015, an increase of $5.2 million from September 30, 2015, including $4.1 million of acquired nonperforming loans, and an increase of $10.9 million from December 31, 2014.  Other real estate at December 31, 2015 was $2.3 million, which is flat from September 30, 2015, and a decrease of $0.8 million when compared to December 31, 2014.  Nonperforming assets were $22.6 million, or 1.27% of portfolio loans and other real estate, as of December 31, 2015, compared to $17.4 million, or 1.12% of portfolio loans and other real estate, as of September 30, 2015, and $12.5 million, or 0.89% of portfolio loans and other real estate, as of December 31, 2014.

As of December 31, 2015, total deposits were $1.9 billion, an increase of $257.9 million, including $227.9 million of acquired deposits, when compared to September 30, 2015. Total core funding, which includes all non-brokered deposits and sweep repurchase agreements, comprised 88% and 89% of total funding as of December 31, 2015 and September 30, 2015, respectively.  Wholesale funding, including Federal Home Loan Bank borrowings, federal funds purchased, and brokered deposits, accounted for 12% and 11% of total funding at December 31, 2015 and September 30, 2015, respectively.  See Table 7 for details on core funding and non-brokered deposits, which are non-GAAP financial measures.

The capital ratios of Southwest and Bank SNB as of December 31, 2015 exceeded the criteria for regulatory classification as “well-capitalized”.  Southwest’s total regulatory capital was $354.3 million, for a total risk-based capital ratio of 16.55%, Common Equity Tier 1 capital was $282.7 million, for a Common Equity Tier 1 ratio of 13.21%, and Tier 1 capital was $327.5 million, for a Tier 1 risk-based capital ratio of 15.30%.  Bank SNB had total regulatory capital of $317.9 million, for a total risk-based capital ratio of 14.90% and Common Equity Tier 1 and Tier 1 capital of $291.1 million, for a Common Equity Tier 1 and Tier 1 ratio of 13.65%.  Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators.

Fourth Quarter Results:

Summary:  For the fourth quarter of 2015, net income was $4.6 million, compared to $4.1 million for the third quarter of 2015 and $5.9 million for the fourth quarter of 2014.  For the quarter, FCBI contributed $1.1 million of net income, which was substantially offset by deal costs, net of tax, of $1.0 million.

The $0.5 million increase in net income compared to the third quarter of 2015 was primarily due to $3.0 million increase in net interest income, a negative provision for loan losses of $0.6 million versus a small loan provision for loan losses in the previous quarter, and a $0.2 million increase in noninterest income, offset in part by a $3.0 million increase in noninterest expense including FCBI acquisition expenses, and an increase in taxes of $0.3 million.

The $1.3 million decrease in our net income compared to the fourth quarter of 2014 was primarily the result of a decrease in the negative provision for loan losses of $1.8 million, a $0.4 million decrease in noninterest income, a $3.0 million increase in noninterest expense, offset in part by a $2.9 million increase in net interest income and a $1.0 million decrease in taxes.

Net Interest Income:  Net interest income totaled $19.5 million for the fourth quarter of 2015, compared to $16.5 million for the third quarter of 2015 and $16.6 million for the fourth quarter of 2014.  Net interest margin was 3.48% for the fourth quarter of 2015, compared to 3.34% for the third quarter of 2015 and 3.52% for the fourth quarter of 2014. Included in interest income for the fourth quarter of 2015 was $0.3 million due to accelerated discount accretion attributable to the acquisition of FCBI.  The net effect of these adjustments on the net interest margin was a 5 basis point increase for the quarter ended 2015. The FCBI acquisition contributed $2.7 million in net interest income including $0.3 million in accelerated discount accretion. Loans (including loans held for sale) for the fourth quarter of 2015 increased $231.3 million, or 15%, including $194.0 million of acquired loans, when compared to September 30, 2015, and $379.4 million, or 27%, when compared to December 31, 2014.

Provision (Credit) for Loan Losses and Net Charge-offs:  The provision for loan losses is the amount that is required to maintain the allowance for loan losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs or net recoveries for the period.  The provision for loan losses was a negative provision of $0.6 million for the fourth quarter of 2015, compared to a provision of $0.02 million for the third quarter of 2015, and a negative provision of $2.4 million for the fourth quarter of 2014. During the fourth quarter of 2015, net recoveries totaled $0.1 million, or (0.02%) (annualized) of average portfolio loans, compared to net recoveries of $0.4 million, or (0.09%) (annualized) of average portfolio loans for the third quarter of 2015 and net charge-offs of $0.1 million, or 0.02% (annualized) of average portfolio loans for the fourth quarter of 2014. 

Noninterest Income:  Noninterest income totaled $4.2 million for the fourth quarter of 2015, compared to $4.0 million for the third quarter of 2015 and $4.6 million for the fourth quarter of 2014. 

The $0.2 million increase from the third quarter of 2015 is primarily the result of a $0.2 million increase in service charges and fees and a $0.1 million increase in the gain on sale of mortgage loans, offset in part by a $0.1 million decrease in other noninterest income, primarily from customer risk management interest rate swap income. 

The $0.4 million decrease from the fourth quarter of 2014 is primarily the result of a $1.1 million decrease in gain on investment securities related to the gain on sale of a private equity investment during the fourth quarter of 2014, offset in part by a $0.1 million increase in service charges and fees, a $0.2 million increase in the gain on sale of mortgage loans, and a $0.4 million increase in other noninterest income, primarily from customer risk management interest rate swap income and income on bank owned life insurance.

Noninterest Expense:  Noninterest expense totaled $17.1 million for the fourth quarter of 2015, compared to $14.1 million for the third quarter of 2015 and the fourth quarter of 2014. 

The $3.0 million increase in noninterest expense from the third quarter of 2015 was primarily due to a $1.9 million increase in personnel expense, a $0.3 million increase in occupancy, a $0.4 million increase in data processing, and a $0.4 million increase in general and administrative expense. Noninterest expense included $2.6 million of expenses related to the acquisition of FCBI and the associated deal costs.

The $3.0 million increase in noninterest expense from the fourth quarter of 2014 consisted of a $2.8 million increase in personnel expense, a $0.2 million increase in occupancy, a $0.4 million increase in data processing, and a $0.1 million increase in FDIC and other insurance, offset in part by a $0.2 million decrease in other real estate and a $0.4 million decrease in general and administrative expense, which includes primarily legal, accounting, and marketing expenses. Noninterest expense included $2.6 million of expenses related to the acquisition of FCBI and the associated deal costs.

Income Tax:  Income tax expense totaled $2.6 million for the fourth quarter of 2015, compared to $2.3 million for the third quarter of 2015 and $3.5 million for the fourth quarter of 2014.  The income tax expense fluctuates in relation to pre-tax income levels.  The fourth quarter of 2015 effective tax rate was 35.96%, compared to 35.84% for the third quarter of 2015 and 37.50% for the fourth quarter of 2014. The decline in the effective tax rate includes the impact of an increase in tax exempt income, as a percentage of pre-tax income.

Year-to-date Results:

Summary:  Net income was $17.4 million for the year ended December 31, 2015, compared to $21.0 million for the year ended December 31, 2014.  The $3.6 million decrease in net income from 2014 is the result of a $3.1 million decrease in the negative provision for loan losses, a $4.5 million decrease in noninterest income, which is primarily the pre-tax net gain of $4.4 million on the sales of community bank branches in the second quarter of 2014, and a $1.3 million increase in noninterest expense, offset in part by a $2.4 million increase in net interest income and a $2.8 million decrease in income tax. For the year, FCBI contributed $1.1 million of net income, which was offset by, net of tax, deal costs of $1.2 million.

Net Interest Income:  Net interest income totaled $67.4 million for 2015, compared to $65.0 million for 2014, an increase of $2.4 million.  Year-to-date net interest margin was 3.35%, compared to 3.45% for 2014. Included in interest income for 2015 was $0.3 million due to accelerated discount accretion attributable to the acquisition of FCBI.  The net effect of these adjustments on the net interest margin was a 2 basis point increase for the year ended 2015. Included in interest income for 2014 was $0.8 million due to accelerated discount accretion attributable to the sale of loans covered by a loss share agreement and $0.8 million due to the interest recovery on nonaccrual loans.  The net effect of these adjustments on the net interest margin was a 8 basis point increase for the year ended 2014.  With the rate environment remaining low, earning assets are repricing at lower rates.

Provision (Credit) for Loan Losses and Net Charge-offs:  The provision for loan losses is the amount of expense that is required to maintain the allowance for loan losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs or net recoveries for the period.  The provision for loan losses was a credit (or negative) of $3.6 million for 2015, compared to a negative provision of $6.6 million for 2014. Net recoveries totaled $1.2 million, or (0.08%) (annualized) of average portfolio loans year-to-date as of 2015, compared to net charge-offs of $1.6 million, or 0.12% (annualized) of average portfolio loans for 2014.  

Noninterest Income:  Noninterest income totaled $14.5 million for 2015, compared to $18.9 million for 2014.  The decrease consists of a $0.2 million decrease in service charges and fees, the $4.4 million recognized as the pre-tax net gain on the sales of the community bank branches in the second quarter of 2014, and a $1.7 million decrease in the gain on sale of investment securities, due to the gain on sale of a private equity investment and the gain on the sale of a stock investment that was acquired in a prior year repossession in 2014, offset in part by a $0.6 million increase in gain on sales of mortgage loans and a $1.2 million increase in other noninterest income, which includes customer risk management interest rate swap income and income on bank owned life insurance. 

Noninterest Expense:  Noninterest expense totaled $58.2 million for 2015, compared to $56.9 million for 2014.  The increase consists of a $3.0 million increase in salaries and employee benefits, a $0.2 million increase in occupancy expense, and a $0.4 million increase in data processing. These increases are offset in part by a $0.4 million decrease in other real estate expense and a $1.9 million decrease in general and administrative expenses, which primarily includes legal, marketing, and consulting. Noninterest expense included $3.1 million of expenses related to the acquisition of FCBI and the associated deal costs.

Income Tax:  Income tax expense totaled $9.8 million for 2015, compared to $12.6 million for 2014.  The income tax expense fluctuates in relation to pre-tax income levels.  The year-to-date effective tax rate was 36.00% as of December 31, 2015, compared to 37.50% as of December 31, 2014. The decline in the effective tax rate includes the impact of an increase in tax exempt income, as a percentage of pre-tax income.

Conference Call

Southwest will host a conference call to review these results on Wednesday, January 20, 2016 at 11:00 a.m. Eastern Time (10:00 a.m. Central Time).  Investors, news media, and others may pre-register for the call using the following link to receive a special dial-in number and PIN:  http://dpregister.com/10077971.  Telephone participants who are unable to pre-register may access the call by telephone at 866-218-2402 (toll-free) or 412-902-4190 (international).  Participants are encouraged to dial into the call approximately 10 minutes prior to the start time.  The call and corresponding presentation slides will be webcast live on Southwest’s website at www.oksb.com or http://services.choruscall.com/links/oksb160120.html.  An audio replay will be available one hour after the call at 877-344-7529 (toll-free) or 412-317-0088 (international), conference number 10077971.  Telephone replay access will be available until 9:00 a.m. Eastern Time on February 20, 2016.

Southwest Bancorp and Subsidiaries

Southwest is the holding company for Bank SNB, an Oklahoma state banking corporation (“Bank SNB”).  Bank SNB offers commercial and consumer lending, deposit and investment services, specialized cash management, and other financial services from offices in Oklahoma, Texas, Kansas, and Colorado.  Bank SNB was chartered in 1894 and Southwest was organized in 1981 as the holding company.  At December 31, 2015, Southwest had total assets of approximately $2.4 billion, deposits of $1.9 billion, and shareholders’ equity of $296.1 million.

Southwest’s area of expertise focuses on the special financial needs of healthcare and health professionals, businesses and their managers and owners, commercial lending, energy banking, and commercial real estate borrowers.  The strategic focus on healthcare lending was established in 1974.  Southwest and its banking subsidiary provide credit and other remittance services, such as deposits, cash management, and document imaging for physicians and other healthcare practitioners to start or develop their practices and finance the development and purchase of medical offices, clinics, surgical care centers, hospitals, and similar facilities.  As of December 31, 2015, approximately $425.7 million, or 24%, of loans were loans to individuals and businesses in the healthcare industry.  Regular market reviews are conducted of (i) current and potential healthcare lending business, and (ii) the appropriate concentrations within healthcare based upon economic and regulatory conditions.

Southwest’s common stock is traded on the NASDAQ Global Select Market under the symbol OKSB. 

Caution About Forward-Looking Statements

Southwest makes forward-looking statements in this news release that are subject to risks and uncertainties.  These statements are intended to be covered by the safe harbor provision for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

These forward-looking statements include: 

• Statements of Southwest's goals, intentions, and expectations;
• Estimates of risks and of future costs and benefits;
• Expectations regarding Southwest’s future financial performance and the financial performance of its operating segments;
• Expectations regarding regulatory actions;
• Expectations regarding Southwest’s ability to utilize tax loss benefits;
• Expectations regarding Southwest’s stock repurchase program;
• Expectations regarding dividends;
• Expectations regarding acquisitions and divestitures;
• Assessments of loan quality, probable loan losses, and the amount and timing of loan payoffs;
• Estimates of the value of assets held for sale or available for sale; and
• Statements of Southwest’s ability to achieve financial and other goals.

These forward-looking statements are subject to significant uncertainties because they are based upon: the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters. These other matters include, among other things, the direct and indirect effects of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators.  Because of these uncertainties, the actual future results may be materially different from the results indicated by these forward-looking statements. In addition, Southwest's past growth and performance do not necessarily indicate future results.  For other factors, risks, and uncertainties that could cause actual results to differ materially from estimates and projections contained in forward-looking statements, please read Southwest’s reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2014.  You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, specifically those under the heading “Risk Factors”.

The cautionary statements in this release also identify important factors and possible events that involve risk and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements.  These forward-looking statements speak only as of the date on which the statements were made.  Southwest does not intend, and undertakes no obligation, to update or revise any forward-looking statements contained in this release, whether as a result of differences in actual results, changes in assumptions, or changes in other factors affecting such statements, except as required by law.

Southwest is required under generally accepted accounting principles to evaluate subsequent events and their impact, if any, on its financial statements as of December 31, 2015 through the date its financial statements are filed with the Securities and Exchange Commission.  The December 31, 2015 financial statements included in this release will be adjusted if necessary to properly reflect the impact of subsequent events on estimates used to prepare those statements. 

The Southwest Bancorp, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8074

The Bank SNB logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=23106

Financial Tables
Unaudited Financial Highlights	Table 1
Unaudited Consolidated Statements of Financial Condition	Table 2
Unaudited Consolidated Statements of Operations	Table 3
Unaudited Average Balances, Yields, and Rates-Quarterly	Table 4
Unaudited Average Balances, Yields, and Rates-Year-to-date	Table 5
Unaudited Quarterly Summary Loan Data	Table 6
Unaudited Quarterly Summary Financial Data	Table 7
Unaudited Quarterly Supplemental Analytical Data	Table 8

SOUTHWEST BANCORP, INC.					Table 1
UNAUDITED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share)
		Fourth Quarter						Third Quarter									Fourth Quarter
QUARTERLY HIGHLIGHTS		2015											% Change				2014					% Change
Operations
Net interest income		$		19,520				$		16,496				18	%		$		16,592				18	%
Provision (credit) for loan losses				(566		)				23				(2,561	)				(2,386	)			(76	)
Noninterest income				4,179						4,029				4					4,576				(9	)
Noninterest expense				17,099						14,077				21					14,115				21
Income before taxes				7,166						6,425				12					9,439				(24	)
Taxes on income				2,577						2,303				12					3,540				(27	)
Net income				4,589						4,122				11					5,899				(22	)
Diluted earnings per share				0.23						0.22				5					0.30				(23	)
Balance Sheet
Total assets				2,357,022						2,059,899				14					1,942,034				21
Loans held for sale				7,453						7,024				6					1,485				402
Portfolio loans				1,771,976						1,541,070				15					1,398,506				27
Total deposits				1,884,105						1,626,250				16					1,533,999				23
Total shareholders' equity				296,098						277,344				7					270,786				9
Book value per common share				14.80						14.57				2					14.11				5
Key Ratios
Net interest margin				3.48		%				3.34	%								3.52	%
Efficiency ratio				71.49						68.25									66.68
Total capital to risk-weighted assets				16.55						18.21									20.96
Nonperforming loans to portfolio loans				1.15						0.98									0.67
Shareholders' equity to total assets				12.56						13.46									13.94
Tangible common equity to tangible assets*				11.95						13.40									13.89
Return on average assets (annualized)				0.78						0.81									1.22
Return on average common equity (annualized)				6.14						5.94									8.62
Return on average tangible common equity (annualized)**				6.46						5.97									8.66
		Year
YEAR-TO-DATE  HIGHLIGHTS		2015						2014					% Change
Operations
Net interest income		$		67,417				$		65,004				4	%
Provision (credit) for loan losses				(3,566		)				(6,624	)			(46	)
Noninterest income				14,457						18,931				(24	)
Noninterest expense				58,240						56,912				2
Income before taxes				27,200						33,647				(19	)
Taxes on income				9,793						12,617				(22	)
Net income				17,407						21,030				(17	)
Net income available to common shareholders				17,407						21,030				(17	)
Diluted earnings per share				0.90						1.07				(16	)
Balance Sheet
Total assets				2,357,022						1,942,034				21
Loans held for sale				7,453						1,485				402
Portfolio loans				1,771,976						1,398,506				27
Total deposits				1,884,105						1,533,999				23
Total shareholders' equity				296,098						270,786				9
Book value per common share				14.80						14.11				5
Key Ratios
Net interest margin				3.35		%				3.45	%
Efficiency ratio				70.67						67.80
Total capital to risk-weighted assets				16.55						20.96
Nonperforming loans to portfolio loans				1.15						0.67
Shareholders' equity to total assets				12.56						13.94
Tangible common equity to tangible assets*				11.95						13.89
Return on average assets (annualized)				0.84						1.09
Return on average common equity (annualized)				6.23						7.82
Return on average tangible common equity (annualized)**				6.35						7.85
Balance sheet amounts and ratios are as of period end unless otherwise noted.
* This is a Non-GAAP financial measure.  Please see Table 8 for a reconciliation to the most directly comparable GAAP based measure.
** This is a Non-GAAP financial measure.
Please see accompanying tables for additional financial information.

SOUTHWEST BANCORP, INC.						Table 2
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollars in thousands)
	December 31,					December 31,
	2015					2014
Assets
Cash and due from banks	$		24,971			$		19,705
Interest-bearing deposits			53,158					121,231
Cash and cash equivalents			78,129					140,936
Securities held to maturity (fair values of $12,282 and $12,880, respectively)			11,797					12,362
Securities available for sale (amortized cost of $401,136 and $352,275, respectively)			400,331					353,231
Loans held for sale			7,453					1,485
Loans receivable			1,771,976					1,398,506
Less: Allowance for loan losses			(26,106	)				(28,452	)
Net loans receivable			1,745,870					1,370,054
Accrued interest receivable			5,767					4,723
Non-hedge derivative asset			1,793					787
Premises and equipment, net			23,819					18,588
Other real estate			2,274					3,097
Goodwill			13,467					1,214
Other intangible assets, net			6,615					3,927
Other assets			59,707					31,630
Total assets	$		2,357,022			$		1,942,034
Liabilities
Deposits:
Noninterest-bearing demand	$		596,494			$		496,128
Interest-bearing demand			151,015					122,342
Money market accounts			534,357					461,679
Savings accounts			56,333					32,795
Time deposits of $100,000 or more			311,538					198,952
Other time deposits			234,368					222,103
Total deposits			1,884,105					1,533,999
Accrued interest payable			867					769
Non-hedge derivative liability			1,793					787
Other liabilities			11,684					9,920
Other borrowings			110,927					79,380
Subordinated debentures			51,548					46,393
Total liabilities			2,060,924					1,671,248
Shareholders' equity
Common stock - $1 par value; 40,000,000 shares authorized;
21,138,028 and 19,810,877 shares issued, respectively			21,138					19,811
Additional paid-in capital			121,966					101,245
Retained earnings			173,210					160,427
Accumulated other comprehensive income (loss)			(1,290	)				(395	)
Treasury stock, at cost, 1,131,226 and 617,818 shares, respectively			(18,926	)				(10,302	)
Total shareholders' equity			296,098					270,786
Total liabilities and shareholders' equity	$		2,357,022			$		1,942,034

SOUTHWEST BANCORP, INC.														Table 3
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands)
	For the three months ended													For the year
	December 31,					September 30,			December 31,					ended December 31,
	2015					2015			2014					2015					2014
Interest income
Loans	$		19,725			$	16,510		$		16,423			$		67,644			$		64,224
Investment securities			1,813				1,644				1,737					6,559					7,146
Other interest-earning assets			46				66				56					280					422
Total interest income			21,584				18,220				18,216					74,483					71,792
Interest expense
Interest-bearing deposits			1,196				905				835					3,798					3,655
Other borrowings			261				255				225					984					900
Subordinated debentures			607				564				564					2,284					2,233
Total interest expense			2,064				1,724				1,624					7,066					6,788
Net interest income			19,520				16,496				16,592					67,417					65,004
Provision (credit) for loan losses			(566	)			23				(2,386	)				(3,566	)				(6,624	)
Net interest income after provision for loan losses			20,086				16,473				18,978					70,983					71,628
Noninterest income
Service charges and fees			2,676				2,441				2,526					9,995					10,222
Gain on sale of branches, net			-				-				-					-					4,378
Gain on sales of mortgage loans			645				565				480					2,179					1,549
Gain on sale/call of investment securities, net			-				19				1,120					162					1,884
Other noninterest income			858				1,004				450					2,121					898
Total noninterest income			4,179				4,029				4,576					14,457					18,931
Noninterest expense
Salaries and employee benefits			10,273				8,374				7,428					34,850					31,830
Occupancy			2,586				2,288				2,388					9,359					9,193
Data processing			847				475				417					2,178					1,776
FDIC and other insurance			384				341				295					1,353					1,305
Other real estate, net			8				20				235					161					594
General and administrative			3,001				2,579				3,352					10,339					12,214
Total noninterest expense			17,099				14,077				14,115					58,240					56,912
Income before taxes			7,166				6,425				9,439					27,200					33,647
Taxes on income			2,577				2,303				3,540					9,793					12,617
Net income	$		4,589			$	4,122		$		5,899			$		17,407			$		21,030
Basic earnings per common share	$		0.23			$	0.22		$		0.30			$		0.90			$		1.07
Diluted earnings per common share			0.23				0.22				0.30					0.90					1.07
Common dividends declared per share			0.06				0.06				0.04					0.24					0.16

 

SOUTHWEST BANCORP, INC.								Table 4
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES – QUARTERLY
(Dollars in thousands)
	For the three months ended
	December 31, 2015										September 30, 2015									December 31, 2014
	Average					Average					Average					Average				Average					Average
	Balance					Yield/Rate					Balance					Yield/Rate				Balance					Yield/Rate
Assets
Loans	$		1,744,374				4.49		%		$		1,473,297				4.45	%		$		1,369,852				4.76	%
Investment securities			413,701				1.74						387,194				1.68					367,978				1.87
Other interest-earning assets			64,562				0.28						100,011				0.26					132,418				0.17
Total interest-earning assets			2,222,637				3.85						1,960,502				3.69					1,870,248				3.86
Other assets			101,003										65,459									44,268
Total assets	$		2,323,640								$		2,025,961							$		1,914,516
Liabilities and Shareholders' Equity
Interest-bearing demand deposits	$		137,154				0.15		%		$		123,829				0.12	%		$		114,035				0.11	%
Money market accounts			541,976				0.18						497,935				0.17					466,937				0.15
Savings accounts			53,603				0.13						35,982				0.10					32,824				0.10
Time deposits			548,145				0.63						446,464				0.57					427,582				0.57
Total interest-bearing deposits			1,280,878				0.37						1,104,210				0.33					1,041,378				0.32
Other borrowings			80,343				1.29						76,799				1.32					79,932				1.12
Subordinated debentures			51,044				4.76						46,393				4.86					46,393				4.86
Total interest-bearing liabilities			1,412,265				0.58						1,227,402				0.56					1,167,703				0.55
Noninterest-bearing demand deposits			594,537										511,442									465,466
Other liabilities			20,149										11,708									9,765
Shareholders' equity			296,689										275,409									271,582
Total liabilities and shareholders' equity	$		2,323,640								$		2,025,961							$		1,914,516
Net interest income and spread							3.27		%								3.13	%								3.31	%
Net interest margin (1)							3.48		%								3.34	%								3.52	%
Average interest-earning assets
to average interest-bearing liabilities			157.38	%									159.73	%								160.16	%
(1) Net interest margin = annualized net interest income / average interest-earning assets

SOUTHWEST BANCORP, INC.	Table 5
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES – YEAR-TO-DATE
(Dollars in thousands)
	For the year ended December 31,
	2015									2014
	Average					Average				Average					Average
	Balance					Yield/Rate				Balance					Yield/Rate
Assets
Loans	$		1,519,730				4.45	%		$		1,334,323				4.81	%
Investment securities			384,745				1.70					379,924				1.88
Other interest-earning assets			106,587				0.26					170,563				0.25
Total interest-earning assets			2,011,062				3.70					1,884,810				3.81
Other assets			68,680									46,894
Total assets	$		2,079,742							$		1,931,704
Liabilities and Shareholders' Equity
Interest-bearing demand deposits	$		134,381				0.11	%		$		121,976				0.12	%
Money market accounts			499,788				0.17					440,658				0.14
Savings accounts			39,456				0.11					38,147				0.10
Time deposits			469,547				0.59					472,820				0.60
Total interest-bearing deposits			1,143,172				0.33					1,073,601				0.34
Other borrowings			72,538				1.36					82,965				1.08
Subordinated debentures			47,565				4.80					46,393				4.81
Total interest-bearing liabilities			1,263,275				0.56					1,202,959				0.56
Noninterest-bearing demand deposits			524,025									449,052
Other liabilities			13,217									10,612
Shareholders' equity			279,225									269,081
Total liabilities and shareholders' equity	$		2,079,742							$		1,931,704
Net interest income and spread							3.14	%								3.25	%
Net interest margin (1)							3.35	%								3.45	%
Average interest-earning assets
to average interest-bearing liabilities			159.19	%								156.68	%
(1) Net interest margin = annualized net interest income / average interest-earning assets

SOUTHWEST BANCORP, INC.																					Table 6
UNAUDITED QUARTERLY SUMMARY LOAN DATA
(Dollars in thousands)
						2015															2014
		Dec. 31					Sep. 30				Jun. 30					Mar. 31					Dec. 31					Sep. 30					Jun. 30					Mar. 31
LOAN COMPOSITION
Real estate mortgage:
Commercial	$		938,462			$		869,250			$		759,406			$		759,676			$		752,971			$		757,878			$		769,021			$		766,178
One-to-four family residential			161,958					95,906					85,338					86,343					77,531					78,985					79,542					84,619
Real estate construction:
Commercial			129,070					126,407					186,140					192,052					186,659					166,379					166,981					166,007
One-to-four family residential			21,337					12,866					13,107					12,586					10,464					11,030					8,359					6,629
Commercial			507,173					423,480					384,788					366,282					350,410					330,738					300,163					266,311
Installment and consumer:
Guaranteed student loans			-					-					-					-					37					127					4,282					4,318
Other			21,429					20,185					20,651					21,306					21,919					22,251					23,352					26,060
Total loans, including held for sale			1,779,429					1,548,094					1,449,430					1,438,245					1,399,991					1,367,388					1,351,700					1,320,122
Less allowance for loan losses			(26,106	)				(26,593	)				(26,219	)				(27,250	)				(28,452	)				(30,917	)				(33,083	)				(34,925	)
Total loans, net	$		1,753,323			$		1,521,501			$		1,423,211			$		1,410,995			$		1,371,539			$		1,336,471			$		1,318,617			$		1,285,197
LOANS BY SEGMENT
Oklahoma banking****	$		1,048,473			$		832,282			$		810,367			$		814,949			$		793,268			$		800,201			$		798,067			$		777,384
Texas banking			580,476					563,010					493,047					478,005					460,680					424,640					408,385					372,018
Kansas banking			150,480					152,802					146,016					145,291					146,043					142,547					145,248					170,720
Total loans	$		1,779,429			$		1,548,094			$		1,449,430			$		1,438,245			$		1,399,991			$		1,367,388			$		1,351,700			$		1,320,122
NONPERFORMING LOANS BY TYPE
Construction & development	$		1,010			$		391			$		416			$		392			$		73			$		77			$		82			$		80
Commercial real estate			3,992					1,795					2,141					2,247					2,195					7,504					7,613					7,541
Commercial			13,491					11,727					5,114					5,447					6,044					6,149					7,484					7,992
One-to-four family residential			1,777					1,016					1,216					1,065					1,100					1,274					1,180					470
Consumer			88					148					-					-					1					55					119					2
Total nonperforming loans	$		20,358			$		15,077			$		8,887			$		9,151			$		9,413			$		15,059			$		16,478			$		16,085
NONPERFORMING LOANS BY SEGMENT
Oklahoma banking****	$		6,948			$		2,846			$		1,670			$		2,244			$		1,867			$		6,410			$		7,149			$		7,056
Texas banking			12,450					11,025					5,353					5,264					5,699					5,777					5,636					5,793
Kansas banking			960					1,206					1,864					1,643					1,847					2,872					3,693					3,236
Total nonperforming loans	$		20,358			$		15,077			$		8,887			$		9,151			$		9,413			$		15,059			$		16,478			$		16,085
OTHER REAL ESTATE BY TYPE
Construction & development	$		2,060			$		2,025			$		2,035			$		2,035			$		2,035			$		2,130			$		2,130			$		2,130
Commercial real estate			214					249					358					220					1,062					1,318					2,155					2,524
Total other real estate	$		2,274			$		2,274			$		2,393			$		2,255			$		3,097			$		3,448			$		4,285			$		4,654
OTHER REAL ESTATE BY SEGMENT
Oklahoma banking****	$		274			$		200			$		200			$		-			$		-			$		-			$		-			$		-
Texas banking			2,000					2,025					2,000					2,000					2,000					2,000					2,000					2,000
Kansas banking			-					49					193					255					1,097					1,448					2,285					2,654
Total other real estate	$		2,274			$		2,274			$		2,393			$		2,255			$		3,097			$		3,448			$		4,285			$		4,654
****Due to immateriality, Colorado banking is included within Oklahoma banking.

SOUTHWEST BANCORP, INC.																					Table 6
UNAUDITED QUARTERLY SUMMARY LOAN DATA																					Continued
(Dollars in thousands)
						2015															2014
		Dec. 31					Sep. 30				Jun. 30					Mar. 31					Dec. 31					Sep. 30					Jun. 30					Mar. 31
POTENTIAL PROBLEM LOANS BY TYPE
Construction & development	$		-			$		-			$		-			$		201			$		2,004			$		19,307			$		18,842			$		22,220
Commercial real estate			26,981					22,362					20,375					24,672					26,108					40,623					60,559					64,257
Commercial			9,879					7,366					14,519					14,016					5,842					4,090					4,299					4,807
One-to-four family residential			2,285					79					80					81					83					355					475					481
Consumer			10					-					-					-					-					-					-					-
Total potential problem loans	$		39,155			$		29,807			$		34,974			$		38,970			$		34,037			$		64,375			$		84,175			$		91,765
POTENTIAL PROBLEM LOANS BY SEGMENT
Oklahoma banking****	$		32,970			$		23,597			$		23,231			$		26,713			$		24,950			$		23,895			$		23,887			$		29,208
Texas banking			4,165					4,086					9,180					9,541					6,283					38,586					57,044					58,361
Kansas banking			2,020					2,124					2,563					2,716					2,804					1,894					3,244					4,196
Total potential problem loans	$		39,155			$		29,807			$		34,974			$		38,970			$		34,037			$		64,375			$		84,175			$		91,765
ALLOWANCE ACTIVITY
Balance, beginning of period	$		26,593			$		26,219			$		27,250			$		28,452			$		30,917			$		33,083			$		34,925			$		36,663
Charge offs			569					226					325					230					377					1,156					1,991					3,392
Recoveries			648					577					430					915					298					1,887					504					2,640
Net charge offs (recoveries)			(79	)				(351	)				(105	)				(685	)				79					(731	)				1,487					752
Provision (credit) for loan losses			(566	)				23					(1,136	)				(1,887	)				(2,386	)				(2,897	)				(355	)				(986	)
Balance, end of period	$		26,106			$		26,593			$		26,219			$		27,250			$		28,452			$		30,917			$		33,083			$		34,925
NET CHARGE OFFS BY TYPE
Construction & development	$		-			$		(16	)		$		(15	)		$		5			$		-			$		-			$		-			$		655
Commercial real estate			219					24					82					(118	)				(34	)				(640	)				583					(2,243	)
Commercial			(286	)				(325	)				(52	)				(188	)				(45	)				22					652					2,267
One-to-four family residential			(48	)				(68	)				(91	)				(331	)				84					11					(2	)				(18	)
Consumer			36					34					(29	)				(53	)				74					(124	)				254					91
Total net charge offs (recoveries) by type	$		(79	)		$		(351	)		$		(105	)		$		(685	)		$		79			$		(731	)		$		1,487			$		752
NET CHARGE OFFS BY SEGMENT
Oklahoma banking****	$		288			$		(86	)		$		25			$		(309	)		$		248			$		67			$		763			$		229
Texas banking			(415	)				(103	)				(72	)				(114	)				(36	)				(611	)				244					(1,586	)
Kansas banking			48					(162	)				(58	)				(262	)				(133	)				(187	)				480					2,109
Total net charge offs (recoveries) by segment	$		(79	)		$		(351	)		$		(105	)		$		(685	)		$		79			$		(731	)		$		1,487			$		752
****Due to immateriality, Colorado banking is included within Oklahoma banking.

SOUTHWEST BANCORP, INC.													Table 7
UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA
(Dollars in thousands, except per share)
				2015									2014
		Dec. 31			Sep. 30		Jun. 30			Mar. 31			Dec. 31			Sep. 30			Jun. 30			Mar. 31
PER SHARE DATA
Basic earnings per common share	$	0.23		$	0.22		$	0.22		$	0.24		$	0.30		$	0.27		$	0.31		$	0.19
Diluted earnings per common share		0.23			0.22			0.22			0.24			0.30			0.27			0.31			0.19
Common dividends declared per share		0.06			0.06			0.06			0.06			0.04			0.04			0.04			0.04
Book value per common share		14.80			14.57			14.38			14.26			14.11			13.90			13.71			13.37
Tangible book value per share*		13.98			14.49			14.29			14.17			14.02			13.80			13.61			13.21
COMMON STOCK
Shares issued		21,138,028			19,901,336			19,900,855			19,900,350			19,810,877			19,793,623			19,793,123			19,786,206
Less treasury shares		1,131,226			868,617			867,310			867,310			617,818			223,005			-			-
Outstanding shares		20,006,802			19,032,719			19,033,545			19,033,040			19,193,059			19,570,618			19,793,123			19,786,206
OTHER FINANCIAL DATA
Investment securities	$	412,128		$	388,543		$	373,260		$	377,545		$	365,593		$	370,607		$	385,873		$	386,987
Loans held for sale		7,453			7,024			6,687			9,106			1,485			4,368			6,803			5,741
Portfolio loans		1,771,976			1,541,070			1,442,743			1,429,139			1,398,506			1,363,020			1,344,897			1,314,381
Total loans		1,779,429			1,548,094			1,449,430			1,438,245			1,399,991			1,367,388			1,351,700			1,320,122
Total assets		2,357,022			2,059,899			2,031,581			2,003,079			1,942,034			1,900,948			1,885,158			2,012,053
Total deposits		1,884,105			1,626,250			1,624,446			1,616,454			1,533,999			1,494,946			1,463,855			1,605,906
Other borrowings		110,927			96,801			75,839			58,578			79,380			75,884			90,760			85,692
Subordinated debentures		51,548			46,393			46,393			46,393			46,393			46,393			46,393			46,393
Total shareholders' equity		296,098			277,344			273,681			271,444			270,786			271,966			271,351			264,586
Mortgage servicing portfolio		432,318			422,845			415,961			407,903			410,315			401,756			397,339			391,303
INTANGIBLE ASSET DATA
Goodwill	$	13,467		$	1,214		$	1,214		$	1,214		$	1,214		$	1,214		$	1,214		$	1,214
Core deposit intangible		2,894			342			405			467			530			597			667			1,925
Mortgage servicing rights		3,721			3,631			3,518			3,399			3,397			3,269			3,182			3,006
Total intangible assets	$	20,082		$	5,187		$	5,137		$	5,080		$	5,141		$	5,080		$	5,063		$	6,145
Intangible amortization expense	$	330		$	243		$	243		$	168		$	193		$	195		$	210		$	183
DEPOSIT COMPOSITION
Non-interest bearing demand	$	596,494		$	526,159		$	515,156		$	506,952		$	496,128		$	445,148		$	427,431		$	471,568
Interest-bearing demand		151,015			114,877			131,547			140,659			122,342			104,807			124,712			132,622
Money market accounts		534,357			502,028			496,178			488,569			461,679			477,614			430,296			440,875
Savings accounts		56,333			36,163			35,647			34,413			32,795			33,398			31,187			47,532
Time deposits of $100,000 or more		311,538			238,318			233,105			227,426			198,952			203,090			209,059			236,035
Other time deposits		234,368			208,705			212,813			218,435			222,103			230,889			241,170			277,274
Total deposits**	$	1,884,105		$	1,626,250		$	1,624,446		$	1,616,454		$	1,533,999		$	1,494,946		$	1,463,855		$	1,605,906
OFFICES AND EMPLOYEES
FTE Employees		412			358			361			360			359			351			364			397
Branches		32			23			23			22			21			21			21			24
Assets per employee	$	5,721		$	5,754		$	5,628		$	5,564		$	5,410		$	5,416		$	5,179		$	5,068
*This is a Non-GAAP based financial measure.
**Calculation of Non-brokered Deposits and Core Funding (Non-GAAP Financial Measures)
Total deposits	$	1,884,105		$	1,626,250		$	1,624,446		$	1,616,454		$	1,533,999		$	1,494,946		$	1,463,855		$	1,605,906
Less:
Brokered time deposits		39,797			10,086			7,683			7,694			3,373			2,952			1,348			1,347
Other brokered deposits		135,880			133,025			103,025			83,025			73,425			98,425			48,424			3,424
Non-brokered deposits	$	1,708,428		$	1,483,139		$	1,513,738		$	1,525,735		$	1,457,201		$	1,393,569		$	1,414,083		$	1,601,135
Plus:
Sweep repurchase agreements		37,273			50,801			50,839			33,578			54,380			50,884			65,760			60,692
Core funding	$	1,745,701		$	1,533,940		$	1,564,577		$	1,559,313		$	1,511,581		$	1,444,453		$	1,479,843		$	1,661,827
Balance sheet amounts are as of period end unless otherwise noted.

SOUTHWEST BANCORP, INC.																					Table 8
UNAUDITED QUARTERLY SUPPLEMENTAL ANALYTICAL DATA
(Dollars in thousands)
						2015															2014
		Dec. 31					Sep. 30					Jun. 30				Mar. 31					Dec. 31					Sep. 30					Jun. 30					Mar. 31
PERFORMANCE RATIOS
Return on average assets (annualized)			0.78	%				0.81	%				0.85	%				0.92	%				1.22	%				1.12	%				1.27	%				0.75	%
Return on average common equity (annualized)			6.14					5.94					6.11					6.78					8.62					7.69					9.19					5.68
Return on average tangible common equity
(annualized)*			6.46					5.97					6.14					6.82					8.67					7.74					9.30					5.75
Net interest margin (annualized)			3.48					3.34					3.31					3.25					3.52					3.44					3.50					3.33
Total dividends declared to net income			26.22					27.53					27.45					25.19					12.93					14.88					12.86					21.40
Effective tax rate			35.96					35.84					34.51					37.49					37.50					37.49					37.50					37.49
Efficiency ratio			71.49					68.25					72.43					70.47					68.90					71.39					74.25					73.61
NONPERFORMING ASSETS
Nonaccrual loans	$		19,858			$		15,076			$		8,887			$		9,151			$		9,276			$		15,059			$		16,478			$		16,085
90 days past due and accruing			500					1					-					-					137					-					-					-
Total nonperforming loans			20,358					15,077					8,887					9,151					9,413					15,059					16,478					16,085
Other real estate			2,274					2,274					2,393					2,255					3,097					3,448					4,285					4,654
Total nonperforming assets	$		22,632			$		17,351			$		11,280			$		11,406			$		12,510			$		18,507			$		20,763			$		20,739
Potential problem loans	$		39,155			$		29,807			$		34,974			$		38,970			$		34,037			$		64,375			$		84,175			$		91,765
ASSET QUALITY RATIOS
Nonperforming assets to portfolio loans and
other real estate			1.28	%				1.12	%				0.78	%				0.80	%				0.89	%				1.36	%				1.54	%				1.57	%
Nonperforming loans to portfolio loans			1.15					0.98					0.62					0.64					0.67					1.10					1.23					1.22
Allowance for loan losses to portfolio loans			1.47					1.73					1.82					1.91					2.03					2.27					2.46					2.66
Allowance for loan losses to
nonperforming loans			128.49					176.38					295.03					297.78					302.26					205.29					200.77					217.13
Net loan charge-offs to average portfolio
loans (annualized)			(0.02	)				(0.09	)				(0.03	)				(0.20	)				0.02					(0.21	)				0.45					0.24
CAPITAL RATIOS
Average total shareholders' equity to
average assets			12.77	%				13.59	%				13.87	%				13.59	%				14.19	%				14.61	%				13.77	%				13.18	%
Leverage ratio			14.19					15.84					16.12					15.75					16.45					16.86					15.95					15.09
Common equity tier 1 capital			13.21					14.57					15.30					15.51					n/a					n/a					n/a					n/a
Tier 1 capital to risk-weighted assets			15.30					16.95					17.84					18.10					19.70					20.05					20.13					19.98
Total capital to risk-weighted assets			16.55					18.21					19.09					19.36					20.96					21.34					21.43					21.29
Tangible common equity to tangible assets***			11.95					13.40					13.40					13.48					13.87					14.23					14.31					13.01
REGULATORY CAPITAL DATA
Common equity tier 1 capital	$		282,737			$		275,350			$		272,048			$		269,007			$		n/a			$		n/a			$		n/a			$		n/a
Tier I capital			327,468					320,350					317,048					314,007					314,216					314,120					309,600					299,938
Total capital			354,300					344,095					339,412					335,734					334,348					334,456					329,586					319,516
Total risk adjusted assets			2,140,344					1,889,892					1,777,618					1,734,401					1,595,032					1,566,996					1,537,903					1,500,957
Average total assets			2,307,421					2,022,972					1,966,577					1,993,446					1,910,688					1,863,127					1,941,064					1,987,231
*This is a Non-GAAP based financial measure.
***Calculation of Tangible Common Equity to Tangible Assets (Non-GAAP Financial Measure)
Total shareholders' equity	$		296,098			$		277,344			$		273,681			$		271,444			$		270,786			$		271,966			$		271,351			$		264,586
Less goodwill and core deposit intangible			16,361					1,556					1,619					1,681					1,744					1,811					1,881					3,139
Tangible common equity	$		279,737			$		275,788			$		272,062			$		269,763			$		269,042			$		270,155			$		269,470			$		261,447
Total assets	$		2,357,022			$		2,059,899			$		2,031,581			$		2,003,079			$		1,942,034			$		1,900,948			$		1,885,158			$		2,012,053
Less goodwill and core deposit intangible			16,361					1,556					1,619					1,681					1,744					1,811					1,881					3,139
Tangible assets	$		2,340,661			$		2,058,343			$		2,029,962			$		2,001,398			$		1,940,290			$		1,899,137			$		1,883,277			$		2,008,914
Total shareholders' equity to total assets			12.56	%				13.46	%				13.47	%				13.55	%				13.94	%				14.31	%				14.39	%				13.15	%
Tangible common equity to tangible assets			11.95	%				13.40	%				13.40	%				13.48	%				13.87	%				14.23	%				14.31	%				13.01	%
Balance sheet amounts and ratios are as of period end unless otherwise noted.

 

For additional information:
  Mark W. Funke
  President & CEO
  Joe T. Shockley, Jr.
  EVP & CFO
  (405) 372-2230