State Bank of Hammond

Hammond, IL · Cert 11742

FDIC

Q4 2001

$14.5MAssets

$6.0MLoans

$12.3MDeposits

$1.6MEquity

Deposit mix

Executive Summary

Earnings: ROA of 0.90%, down 66 bps year over year; NIM at 3.43%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 1.60%.
Funding: loans stand at 49.00% of deposits as of Q4 2001.

Return on Assets (YTD, annualized)

0.90%-66 bps YoY

Net Interest Margin (YTD, annualized)

3.43%

Efficiency Ratio (YTD, annualized)

75.39%

Tier 1 Leverage Ratio

n/a

Year to date, annualized, through each quarter.

Metric	Q1 2000	Q2 2000	Q3 2000	Q4 2000	Q1 2001	Q2 2001	Q3 2001	Q4 2001	YoY Δ	Trend
Earnings
Return on Assets	1.47%	1.49%	1.55%	1.56%	0.89%	1.19%	1.00%	0.90%	-66 bps
Return on Equity	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Net Interest Margin	n/a	n/a	n/a	n/a	3.37%	3.78%	3.64%	3.43%	n/a
Efficiency Ratio	n/a	n/a	n/a	n/a	78.21%	72.78%	76.22%	75.39%	n/a
Non-Interest Burden	n/a	n/a	n/a	n/a	2.50%	2.57%	2.61%	2.36%	n/a
Growth
Asset Growth (YoY)	-7.46%	-0.52%	-2.56%	0.61%	1.63%	-5.04%	-3.78%	-5.11%	-572 bps
Loan Growth (YoY)	-25.52%	-18.36%	-19.88%	-10.61%	-8.39%	-12.29%	-10.97%	-12.27%	-167 bps
Deposit Growth (YoY)	-7.55%	-0.94%	-3.56%	-1.70%	-1.06%	-7.92%	-6.50%	-10.24%	-854 bps
Asset Quality
Nonperforming Loans / Loans	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
Net Charge-Offs / Loans	n/a	n/a	n/a	n/a	-0.62%	-0.43%	-0.35%	1.60%	n/a
Allowance / Loans	n/a	n/a	n/a	n/a	2.94%	2.99%	3.04%	1.78%	n/a
Allowance Coverage of NPLs	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Capital
Tier 1 Leverage Ratio	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Total Risk-Based Capital	n/a	n/a	n/a	n/a	22.66%	23.24%	22.00%	23.46%	n/a
Equity / Assets	n/a	n/a	n/a	n/a	10.14%	10.93%	11.28%	11.16%	n/a
Liquidity & Funding
Loans / Deposits	50.86%	53.80%	53.01%	50.13%	47.09%	51.25%	50.47%	49.00%	-114 bps
Liquid Assets / Assets	0.00%	0.00%	0.00%	0.00%	0.90%	0.97%	0.95%	0.89%	+89 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a