Home National Bank

Scottsdale, AZ · Cert 34327

FDIC

Q4 2001

$66.0MAssets

$48.1MLoans

$50.1MDeposits

$5.9MEquity

Deposit mix

Executive Summary

Earnings: ROA of -0.58%, down 74 bps year over year; NIM at 3.67%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.06%.
Funding: loans stand at 96.09% of deposits as of Q4 2001.

Return on Assets (YTD, annualized)

-0.58%-74 bps YoY

Net Interest Margin (YTD, annualized)

3.67%

Efficiency Ratio (YTD, annualized)

115.04%

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	0.36%	0.65%	0.46%	0.16%	0.25%¹	-0.50%	-0.51%	-0.58%	-74 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	3.73%	3.44%	3.55%	3.67%	n/a
Efficiency Ratio	n/a	n/a	n/a	n/a	115.21%	123.73%	118.72%	115.04%	n/a
Non-Interest Burden	n/a	n/a	n/a	n/a	4.34%	4.29%	4.25%	4.25%	n/a
Growth
Asset Growth (YoY)	4.81%	42.74%	48.38%	45.55%	37.08%	31.74%	17.35%	39.31%	-624 bps
Loan Growth (YoY)	22.09%	27.85%	26.84%	34.99%	12.16%	13.94%	45.38%	90.90%	+5,591 bps
Deposit Growth (YoY)	-1.64%	47.13%	41.02%	38.70%	42.61%	24.36%	11.59%	32.35%	-635 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	0.00%	0.00%	0.11%	0.06%	n/a
Allowance / Loans	n/a	n/a	n/a	n/a	1.08%	0.98%	0.68%	0.78%	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	12.14%	16.13%	12.89%	10.38%	n/a
Equity / Assets	n/a	n/a	n/a	n/a	8.52%	10.68%	10.62%	8.91%	n/a
Liquidity & Funding
Loans / Deposits	73.07%	62.42%	59.18%	66.62%	57.47%	57.19%	77.10%	96.09%	+2,947 bps
Liquid Assets / Assets	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a