Bank of Virginia

Midlothian, VA · Cert 57627

FDIC · 6 branches

Q2 2016

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 2016, the quarter ended June 30, 2016, 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.

Midlothian, VA · Cert 57627

FDIC · 6 branches

Q2 2016

$353.7MAssets

$251.5MLoans

$296.8MDeposits

$26.2MEquity

Loan mix

Deposit mix

Market Position · Richmond, VA · 2016 SOD (annual) · 0.3% share · #15 of 36 inst. · $0.3B of $96.8B

5.5% Chesterfield

0.1% Henrico

1.5% Colonial Heights (City)

Earnings: ROA of -0.69%, down 126 bps year over year; NIM at 2.69%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.04%.
Capital: tier 1 leverage ratio of 7.44%, down 80 bps from a year ago.
Funding: loans stand at 84.73% of deposits as of Q2 2016.

Return on Assets (YTD, annualized)

-0.69%-126 bps YoY

Net Interest Margin (YTD, annualized)

2.69%+14 bps YoY

Efficiency Ratio (YTD, annualized)

125.48%+3,814 bps YoY

Tier 1 Leverage Ratio

7.44%-80 bps YoY

Year to date, annualized, through each quarter.

Metric	Q3 2014	Q4 2014	Q1 2015	Q2 2015	Q3 2015	Q4 2015	Q1 2016	Q2 2016	YoY Δ	Trend
Earnings
Return on Assets	0.05%	0.11%	0.65%	0.57%	0.51%	0.42%	-1.53%	-0.69%	-126 bps
Return on Equity	0.72%	1.56%	8.02%	7.21%	6.39%	5.28%	-20.13%	-9.12%	-1,633 bps
Net Interest Margin	2.75%	2.61%	2.50%	2.54%	2.42%	2.42%	2.72%	2.69%	+14 bps
Efficiency Ratio	97.35%	94.70%	96.78%	87.33%	87.91%	89.11%	174.16%	125.48%	+3,814 bps
Non-Interest Burden	2.67%	2.47%	2.42%	2.20%	2.12%	2.15%	4.12%	3.28%	+108 bps
Growth
Asset Growth (YoY)	28.83%	35.14%	17.80%	16.04%	15.72%	9.29%	7.15%	3.15%	-1,290 bps
Loan Growth (YoY)	18.25%	22.39%	7.21%	10.61%	12.02%	15.63%	7.37%	11.28%	+67 bps
Deposit Growth (YoY)	21.82%	26.70%	13.52%	15.83%	14.11%	8.83%	8.90%	3.74%	-1,209 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	0.25%	0.33%	-0.64%	-0.16%	-0.08%	-0.01%	0.09%	0.04%	+20 bps
Allowance / Loans	0.60%	0.51%	0.50%	0.44%	0.39%	0.33%	0.37%	0.36%	-7 bps
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	8.27%	8.24%	7.87%	7.82%	7.43%	7.44%	-80 bps
Total Risk-Based Capital	16.21%	15.52%	15.29%	14.60%	14.02%	13.43%	13.12%	12.10%	-250 bps
Equity / Assets	8.43%	8.04%	8.15%	7.71%	7.77%	7.69%	7.48%	7.42%	-29 bps
Liquidity & Funding
Loans / Deposits	80.21%	79.65%	82.33%	78.99%	78.74%	84.63%	81.17%	84.73%	+574 bps
Liquid Assets / Assets	9.10%	11.63%	13.44%	10.11%	12.13%	10.85%	14.39%	12.27%	+216 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a