Home Savings, Inc. SSB

Thomasville, NC · Cert 31012

FDIC

Q2 2001

Board Package

Performance Trends and Peer Comparison

Part 1Performance Trends, own institution only2

Part 2Peer Comparison, not published for this institution and quartern/a

Basis

Quarter: Q2 2001, the quarter ended June 30, 2001, on both parts.

Income statement: year to date as filed, annualized, on both parts.

Balance sheet: as filed at quarter end.

No peer standings are published for this institution and quarter.

Peer groups below the disclosure floor are suppressed.

Thomasville, NC · Cert 31012

FDIC

Q2 2001

$105.2MAssets

$88.6MLoans

$85.9MDeposits

$18.4MEquity

Deposit mix

Earnings: ROA of 0.39%, down 54 bps year over year; NIM at 3.11%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.00%.
Funding: loans stand at 103.06% of deposits as of Q2 2001.

Return on Assets (YTD, annualized)

0.39%-54 bps YoY

Net Interest Margin (YTD, annualized)

3.11%

Efficiency Ratio (YTD, annualized)

68.49%

Tier 1 Leverage Ratio

n/a

Year to date, annualized, through each quarter.

Metric	Q3 1999	Q4 1999	Q1 2000	Q2 2000	Q3 2000	Q4 2000	Q1 2001	Q2 2001	YoY Δ	Trend
Earnings
Return on Assets	1.00%	1.00%	0.98%	0.93%	0.94%	0.85%	0.87%	0.39%	-54 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	n/a	n/a	2.87%	3.11%	n/a
Efficiency Ratio	n/a	n/a	n/a	n/a	n/a	n/a	52.64%	68.49%	n/a
Non-Interest Burden	n/a	n/a	n/a	n/a	n/a	n/a	1.49%	2.12%	n/a
Growth
Asset Growth (YoY)	3.69%	-0.99%	5.52%	7.09%	6.94%	11.32%	10.04%	4.74%	-235 bps
Loan Growth (YoY)	8.90%	10.45%	15.05%	15.34%	12.40%	14.13%	9.00%	1.51%	-1,383 bps
Deposit Growth (YoY)	2.27%	-0.80%	1.25%	-0.48%	-0.08%	0.04%	0.05%	15.66%	+1,614 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	n/a	n/a	0.00%	0.00%	n/a
Allowance / Loans	n/a	n/a	n/a	n/a	n/a	n/a	0.66%	0.68%	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	n/a	n/a	33.50%	33.26%	n/a
Equity / Assets	n/a	n/a	n/a	n/a	n/a	n/a	17.23%	17.46%	n/a
Liquidity & Funding
Loans / Deposits	105.36%	108.68%	112.55%	117.44%	118.52%	123.99%	122.62%	103.06%	-1,437 bps
Liquid Assets / Assets	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	7.41%	8.66%	+866 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a