Delaware Sterling Bank & Trust Company

Christiana, DE · Cert 57896

FDIC

Q2 2008

$32.3MAssets

$21.0MLoans

$27.7MDeposits

$4.3MEquity

Loan mix

Deposit mix

NIM

Earnings: ROA of 0.55%, up 210 bps year over year; NIM at -0.15%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.00%.
Funding: loans stand at 75.74% of deposits as of Q2 2008.

Return on Assets (quarter, annualized)

0.55%+210 bps YoY

Net Interest Margin (quarter, annualized)

-0.15%-154 bps YoY

Efficiency Ratio (quarter, annualized)

468%+24,071 bps YoY

Tier 1 Leverage Ratio

n/a

Discrete quarter, annualized.

Metric	Q2 2007	Q3 2007	Q4 2007	Q1 2008	Q2 2008	YoY Δ	Trend
Earnings
Return on Assets	-1.55%	-1.92%	-1.78%	-2.18%	0.55%	+210 bps
Return on Equity	-19.16%	-25.90%	-24.96%	-25.78%	4.86%	+2,402 bps
Net Interest Margin	1.38%	1.30%	1.12%	0.51%	-0.15%	-154 bps
Efficiency Ratio	227%	264%	280%	473%	468%	+24,071 bps
Non-Interest Burden	3.77%	4.13%	3.74%	3.25%	-0.84%	-461 bps
Growth
Asset Growth (YoY)	62.66%	57.77%	33.70%	-5.94%	-34.97%	-9,763 bps
Loan Growth (YoY)	191.29%	56.65%	62.81%	31.91%	64.24%	-12,705 bps
Deposit Growth (YoY)	76.75%	69.82%	40.85%	-7.88%	-39.18%	-11,594 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%	0.00%	0.00%	0.00%	0 bps
Allowance / Loans	0.77%	0.81%	0.74%	0.72%	0.58%	-19 bps
Allowance Coverage of NPLs	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
Total Risk-Based Capital	19.09%	17.61%	16.56%	20.09%	18.41%	-68 bps
Equity / Assets	7.80%	7.07%	7.16%	9.85%	13.18%	+538 bps
Liquidity & Funding
Loans / Deposits	28.05%	27.78%	34.04%	41.63%	75.74%	+4,769 bps
Liquid Assets / Assets	0.05%	0.58%	0.64%	0.06%	0.10%	+5 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a