Bank @Lantec

Virginia Beach, VA · Cert 57730

FDIC · 4 branches

Q4 2016

$110.5MAssets

$92.0MLoans

$88.2MDeposits

$12.8MEquity

Loan mix

Deposit mix

NIM

Market Position · Virginia Beach-Norfolk-Newport News, VA-NC · 2016 SOD (annual) · 0.4% share · #17 of 27 inst. · $0.1B of $23.9B

0.8% Virginia Beach (City)

0.4% Norfolk (City)

0.6% Chesapeake (City)

Earnings: ROA of 0.09%, down 9 bps year over year; NIM at 2.89%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.13%.

Return on Assets (quarter, annualized)

0.09%-9 bps YoY

Net Interest Margin (quarter, annualized)

2.89%-18 bps YoY

Efficiency Ratio (quarter, annualized)

96.05%+384 bps YoY

Tier 1 Leverage Ratio

10.75%+19 bps YoY

Discrete quarter, annualized.

Metric	Q4 2015	Q1 2016	Q2 2016	Q3 2016	Q4 2016	YoY Δ	Trend
Earnings
Return on Assets	0.18%	-0.04%	0.10%	0.23%	0.09%	-9 bps
Return on Equity	1.54%	-0.38%	0.91%	2.00%	0.78%	-76 bps
Net Interest Margin	3.07%	3.04%	3.04%	2.97%	2.89%	-18 bps
Efficiency Ratio	92.22%	102.30%	94.94%	89.85%	96.05%	+384 bps
Non-Interest Burden	2.76%	3.08%	2.83%	2.57%	2.74%	-2 bps
Growth
Asset Growth (YoY)	3.63%	3.29%	0.69%	1.88%	-2.27%	-590 bps
Loan Growth (YoY)	3.83%	4.98%	0.19%	1.34%	-2.16%	-599 bps
Deposit Growth (YoY)	5.69%	7.82%	6.69%	7.32%	2.08%	-361 bps
Asset Quality
Nonperforming Loans / Loans	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
Net Charge-Offs / Loans	0.00%	0.00%	0.08%	0.00%	0.13%	+13 bps
Allowance / Loans	0.61%	0.62%	0.59%	0.60%	0.58%	-4 bps
Allowance Coverage of NPLs	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Capital
Tier 1 Leverage Ratio	10.56%	10.44%	10.47%	10.49%	10.75%	+19 bps
Total Risk-Based Capital	16.35%	16.50%	16.38%	16.96%	17.05%	+70 bps
Equity / Assets	11.29%	11.43%	11.40%	11.41%	11.63%	+34 bps
Liquidity & Funding
Loans / Deposits	108.76%	105.30%	106.26%	102.92%	104.24%	-452 bps
Liquid Assets / Assets	5.67%	6.18%	3.79%	6.53%	5.67%	0 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a