Howard Bank, N.A., The

Burlington, VT · Cert 6267

FDIC

Q4 2001

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: Q4 2001, the quarter ended December 31, 2001, 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.

Burlington, VT · Cert 6267

FDIC

Q4 2001

$1.1BAssets

$666.8MLoans

$831.7MDeposits

$82.9MEquity

Loan mix

Deposit mix

Earnings: ROA of 1.32%, down 52 bps year over year; NIM at 4.09%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.76%.
Funding: loans stand at 80.17% of deposits as of Q4 2001.

Return on Assets (YTD, annualized)

1.32%-52 bps YoY

Net Interest Margin (YTD, annualized)

4.09%

Efficiency Ratio (YTD, annualized)

46.19%

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	1.61%	2.03%	1.97%	1.84%	1.39%	1.21%	1.24%	1.32%	-52 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	4.22%	4.27%	3.99%	4.09%	n/a
Efficiency Ratio	n/a	n/a	n/a	n/a	48.52%	46.69%	45.05%	46.19%	n/a
Non-Interest Burden	n/a	n/a	n/a	n/a	1.78%	1.68%	1.46%	1.55%	n/a
Growth
Asset Growth (YoY)	10.69%	21.89%	27.83%	19.92%	18.48%	1.46%	-0.60%	8.66%	-1,126 bps
Loan Growth (YoY)	7.31%	21.15%	19.49%	20.15%	17.47%	-0.38%	0.83%	0.35%	-1,980 bps
Deposit Growth (YoY)	7.19%	14.61%	24.73%	21.35%	17.26%	10.82%	0.24%	7.49%	-1,386 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	-0.01%	0.42%	0.84%	0.76%	n/a
Allowance / Loans	n/a	n/a	n/a	n/a	1.88%	2.11%	2.02%	1.88%	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	10.73%	10.73%	10.84%	10.23%	n/a
Equity / Assets	n/a	n/a	n/a	n/a	8.16%	7.80%	8.10%	7.55%	n/a
Liquidity & Funding
Loans / Deposits	87.19%	93.55%	82.16%	85.88%	87.34%	84.10%	82.64%	80.17%	-571 bps
Liquid Assets / Assets	0.00%	0.00%	0.00%	0.00%	0.02%	0.02%	0.01%	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