Talbots Classics National Bank

Lincoln, RI · Cert 35485

FDIC

Q2 2012

$8.5MAssets

n/aLoans

$5.5MDeposits

$2.6MEquity

Deposit mix

Executive Summary

Return on Assets (quarter, annualized)

-0.19%-50 bps YoY

Net Interest Margin (quarter, annualized)

-0.08%-5 bps YoY

Efficiency Ratio (quarter, annualized)

97.17%+1,204 bps YoY

Tier 1 Leverage Ratio

n/a

Discrete quarter, annualized.

Metric	Q3 2010	Q4 2010	Q1 2011	Q2 2011	Q3 2011	Q4 2011	Q1 2012	Q2 2012	YoY Δ	Trend
Earnings
Return on Assets	1.94%	-0.35%	2.54%	0.31%	-4.48%	5.53%	-0.05%	-0.19%	-50 bps
Return on Equity	6.06%	-0.95%	6.81%	0.88%	-13.98%	18.58%	-0.15%	-0.62%	-150 bps
Net Interest Margin	0.00%	-0.07%	-0.39%	-0.04%	-0.12%	-0.13%	0.57%	-0.08%	-5 bps
Efficiency Ratio	89.60%	100.21%	99.22%	85.13%	117.92%	92.24%	108.75%	97.17%	+1,204 bps
Non-Interest Burden	-3.89%	0.03%	-0.70%	-6.31%	6.63%	-4.46%	4.83%	-1.48%	+483 bps
Growth
Asset Growth (YoY)	-3.32%	4.19%	6.64%	-20.61%	-29.46%	-18.93%	-24.21%	-29.84%	-923 bps
Loan Growth (YoY)	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Deposit Growth (YoY)	-31.25%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
Asset Quality
Nonperforming Loans / Loans	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Net Charge-Offs / Loans	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Allowance / Loans	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	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	113.76%	91.99%	159.31%	152.87%	125.61%	131.58%	130.08%	137.08%	-1,579 bps
Equity / Assets	36.74%	37.72%	36.76%	33.80%	29.44%	30.10%	30.84%	30.51%	-329 bps
Liquidity & Funding
Loans / Deposits	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0 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