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Southwest Bancorp, Inc. Reports Fourth Quarter 2014 Results and Announces Increased Quarterly Dividend

STILLWATER, Okla., Jan. 20, 2015 (GLOBE NEWSWIRE) -- Southwest Bancorp, Inc. (Nasdaq:OKSB), ("Southwest"), today reported net income for the fourth quarter of 2014 of $5.9 million, or $0.30 per diluted share, compared to $5.3 million, or $0.27 per diluted share, for the third quarter of 2014. Net income for the year ended December 31, 2014 totaled $21.0 million, or $1.07 per diluted share, compared to $17.4 million, or $0.89 per diluted share, for the year ended December 31, 2013.

Southwest announced that its board of directors has approved an increase in the quarterly cash dividend from $0.04 per share to $0.06 per share payable February 13, 2015 to shareholders of record as of January 30, 2015.

Mark Funke, President and CEO, stated, "The quarterly and annual results reflect continued improvement in asset quality and our focus on growing loans and customer relationships. Our efforts produced several highlights.

  • Loan growth in the fourth quarter was $32.6 million and $129.1 million or 10% for the year.
  • The quarterly net interest margin was 3.47% (normalized) for December 31, 2014 compared to 3.44% for September 30, 2014 and 3.42% for December 31, 2013.
  • Asset quality improved as nonperforming loans decreased $5.6 million, or 37%, and potential problem loans decreased $30.3 million, or 47%, during the fourth quarter. The improved asset quality resulted in a negative provision of $2.4 million for the quarter."

"Our positive financial results for 2014 reflect the good work of our associates at Bank SNB and a growing customer base. Additionally, our earnings reflect several positive one-time events, including the divestiture of three branches during the second quarter resulting in $4.4 million in pre-tax income. We will continue to focus our company on growing consistent, conservative, and sustainable earnings through the expansion of our revenue base while prudently managing our expenses."

On November 19, 2014, Southwest's banking subsidiary, Bank SNB, welcomed five established bankers from the Fort Worth, Texas area, and announced the filing of an application for a full-service branch in Fort Worth, Texas, which was approved and the branch formally opened on January 9, 2015.

In the third quarter, Southwest's board of directors authorized the repurchase of up to 5.0% or 990,000 shares, of its outstanding common stock, par value $1.00 per share. The share repurchases are expected to be made primarily on the open market from time to time until August 14, 2015. Repurchases under the program are available at the discretion of management based upon market, business, legal, and other factors. During the third and fourth quarters, Southwest repurchased 617,818 shares for a total of $10.3 million in treasury stock.

Financial Overview

Condition: At December 31, 2014, total assets of $1.9 billion increased $41.1 million from September 30, 2014. Total loans of $1.4 billion increased $32.6 million from September 30, 2014 and total investment securities of $365.6 million decreased $5.0 million compared to September 30, 2014. Cash and cash equivalents at December 31, 2014 were $140.9 million, up $10.8 million from September 30, 2014.

At December 31, 2014, the allowance for loan losses was $28.5 million, compared to $36.7 million at December 31, 2013 and $30.9 million at September 30, 2014. The allowance for loan losses to portfolio loans was 2.03% as of December 31, 2014, compared to 2.89% as of December 31, 2013 and 2.27% as of September 30, 2014. The allowance for loan losses to nonperforming loans was 302.26% as of December 31, 2014, compared to 184.5% as of December 31, 2013 and 205.29% as of September 30, 2014.

Nonperforming loans were $9.4 million at December 31, 2014, a decrease of $10.5 million from December 31, 2013, and a decrease of $5.6 million from September 30, 2014. Other real estate at December 31, 2014 was $3.1 million, an increase of $0.4 million from December 31, 2013, but a decrease of $0.4 million when compared to September 30, 2014. Nonperforming assets were $12.5 million, or 0.89% of portfolio loans and other real estate, as of December 31, 2014, compared to $22.5 million, or 1.77% of portfolio loans and other real estate, as of December 31, 2013, and $18.5 million, or 1.36% of portfolio loans and other real estate, as of September 30, 2014.

Total core funding, which includes all non-brokered deposits and sweep repurchase agreements, comprised 94% and 92% of total funding as of December 31, 2014 and September 30, 2014, respectively. Wholesale funding, including Federal Home Loan Bank borrowings, federal funds purchased, and brokered deposits, accounted for 6% and 8% of total funding at December 31, 2014 and September 30, 2014, respectively. See Table 7 for details on core funding and non-brokered deposits, which are non-GAAP financial measures.

The capital ratios of Southwest and Bank SNB as of December 31, 2014 exceeded the criteria for regulatory classification as "well-capitalized". Southwest's total regulatory capital was $334.3 million, for a total risk-based capital ratio of 20.96%, and Tier 1 capital was $314.2 million, for a Tier 1 risk-based capital ratio of 19.70%. Bank SNB had total regulatory capital of $298.2 million, for a total risk-based capital ratio of 18.81% and Tier 1 capital of $278.2 million, for a Tier 1 risk-based capital ratio of 17.55%. Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators.

Fourth Quarter Results:

Summary: For the fourth quarter of 2014, net income was $5.9 million, compared to $6.8 million for the fourth quarter of 2013 and $5.3 million for the third quarter of 2014.

The $0.9 million decrease in our net income compared to the fourth quarter of 2013 was primarily the result of a $4.1 million decrease in the negative provision for loan losses, offset in part by a $1.5 million increase in noninterest income, a $1.0 million decrease in noninterest expense, and a $0.8 million increase in net interest income.

The $0.6 million increase in net income compared to the third quarter of 2014 was primarily due to the $0.8 million increase in net interest income and the $1.5 million increase in noninterest income, due to the current quarter's gain recognized on the divestiture of a private equity investment and interest rate swap income recognized in the quarter. These increases were offset in part by a $0.5 million decrease in the negative provision for loan losses and a $0.7 million increase in noninterest expense, primarily driven by increased other real estate expenses and a write-down of certain leasehold improvements.

Net Interest Income: Net interest income totaled $16.6 million for both the fourth quarter of 2014 and 2013, and $15.8 million for the third quarter of 2014, an increase of $0.8 million, or 5%. Net interest margin was 3.52% for the fourth quarter of 2014, compared to 3.42% for the fourth quarter of 2013 and 3.44% for the third quarter of 2014. Included in interest income for the fourth quarter of 2014 was $0.2 million due to interest recovery on nonaccrual loans. The net effect of this additional income on the net interest margin was a 5 basis point increase in the fourth quarter of 2014. Loans (including loans held for sale) increased $32.6 million, or 2%, when compared to September 30, 2014.

Provision for Loan Losses and Net Charge-offs: The provision for loan losses is the amount that is required to maintain the allowance for losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs or net recoveries for the period. The provision for loan losses was a negative provision (or credit) of $2.4 million for the fourth quarter of 2014, compared to a negative provision of $6.5 million for the fourth quarter of 2013, and a negative provision of $2.9 million for the third quarter of 2014. During the fourth quarter of 2014, net charge-offs totaled $0.1 million, or 0.02% (annualized) of average portfolio loans, compared to net recoveries of $3.1 million, or (0.96)% (annualized) of average portfolio loans for the fourth quarter of 2013 and net recoveries of $0.7 million, or (0.21)% (annualized) of average portfolio loans for the third quarter of 2014.

Noninterest Income: Noninterest income totaled $4.6 million for the fourth quarter of 2014, compared to $3.1 million for both the fourth quarter of 2013 and the third quarter of 2014.

The $1.5 million increase from the fourth quarter of 2013 is primarily the result of a $1.1 million gain on sale of a private equity investment during the fourth quarter of 2014 and a $0.4 million increase in other noninterest income, which is primarily due to swap fee income.

The $1.5 million increase from the third quarter of 2014 is primarily the result of a $1.1 million gain on sale of a private equity investment during the fourth quarter of 2014, a $0.2 million increase in other noninterest income primarily due to 2014 swap fee income, and a $0.1 million increase in gain on sale of mortgage loans.

Noninterest Expense: Noninterest expense totaled $14.1 million for the fourth quarter of 2014, compared to $15.1 million for the fourth quarter of 2013 and $13.4 million for the third quarter of 2014.

The $1.0 million decrease in noninterest expense from the fourth quarter of 2013 consisted of a $0.1 million decrease in other real estate expense due to a reduction of income from income producing properties compared to the prior year, a $0.6 million decrease in personnel expense, and a $0.1 million decrease in general and administrative expense, primarily due to the reduction in expense related to the 2013 charter consolidation and rebranding, offset in part by an increase in the provision for unfunded loan commitments.

The $0.7 million increase in noninterest expense from third quarter of 2014 was due to a $0.5 million increase in other real estate expense, a $0.5 million increase in general and administrative expense primarily from increased professional fees and an increase in the provision for unfunded loan commitments, and a $0.2 million increase in occupancy expense, offset by a $0.4 million decrease in personnel expense.

Income Tax: Income tax expense totaled $3.5 million for the fourth quarter of 2014, compared to $4.3 million for the fourth quarter of 2013 and $3.2 million for the third quarter of 2014. The income tax expense fluctuates in relation to pre-tax income levels. The fourth quarter of 2014 effective tax rate was 37.5%.

Year-to-date Results:

Summary: Net income was $21.0 million for the year ended December 31, 2014, compared to $17.4 million for the year ended December 31, 2013. The $3.6 million increase in net income from 2013 is the result of a $2.3 million increase in net interest income, primarily driven by lower interest expense on deposits and a reduction in interest expense due to the redemption of the 10.5% Trust Preferred Securities in third quarter of 2013, a $5.3 million increase in noninterest income, primarily resulting from the pre-tax net gain on sale of community bank branches, offset in part by a $1.6 million increase in noninterest expense due to decreased gains recognized on sales of other real estate properties, offset in part by decreased write downs on other real estate properties, and a $0.6 million decrease in the negative provision for loan losses.

Net Interest Income: Net interest income totaled $65.0 million for 2014, compared to $62.7 million for 2013, an increase of $2.3 million, or 4%, primarily driven by lower interest expense on deposits and a reduction in interest expense due to the redemption of the 10.5% Trust Preferred Securities in third quarter of 2013. Year-to-date net interest margin was 3.45%, compared to 3.19% for 2013. Included in interest income for 2014 was $0.8 million due to accelerated discount accretion attributable to the sale of loans covered by the loss share agreement and $0.8 million due to interest recovery on nonaccrual loans. The net effects of these adjustments on the net interest margin was an 8 basis point increase for 2014. With the rate environment remaining low, earning assets are repricing at lower rates.

Provision for Loan Losses and Net Charge-offs: The provision for loan losses is the amount of expense that is required to maintain the allowance for losses at an appropriate level based upon the inherent risks in the loan portfolio after the effects of net charge-offs for the period. The provision for loan losses was a credit (or negative) of $6.6 million for 2014, compared to a credit of $7.2 million for 2013. Net charge-offs totaled $1.6 million, or 0.12% (annualized) of average portfolio loans for the year ended December 31, 2014, compared to $2.8 million, or 0.22% (annualized) of average portfolio loans for the year ended December 31, 2013.

Noninterest Income: Noninterest income totaled $18.9 million for 2014, compared to $13.6 million for 2013. The increase primarily consists of the $4.4 million recognized as the pre-tax net gain on sales of the community bank branches, a $1.9 million gain on the sale of a private equity investment and the sale of a stock investment acquired in a prior year repossession, a $0.4 million increase in other noninterest income, offset in part by the $1.1 million decline in gains on sales of mortgage loans and a $0.3 million decrease in service charges and fees.

Noninterest Expense: Noninterest expense totaled $56.9 million for 2014, compared to $55.3 million for 2013. The increase consists of a $1.7 million increase in other real estate expense, primarily from decreased gains on sales of other real estate properties, offset in part by decreased write downs on other real estate properties, a $0.2 million increase in occupancy expense, a $0.5 million decrease in FDIC and other insurance, and a $0.2 million increase in general and administrative expense, primarily the result of increased legal fees and consulting fees, offset in part by a decrease in the provision for unfunded loan commitments and the reduction in expense related to the 2013 charter consolidation and rebranding.

Income Tax: Income tax expense totaled $12.6 million for 2014, compared to $10.8 million for 2013. The income tax expense fluctuates in relation to pre-tax income levels. The year-to-date effective tax rate was 37.5% as of December 31, 2014.

Conference Call

Southwest will host a conference call to review these results on Wednesday, January 21, 2015 at 9:30 a.m. Eastern Time (8:30 a.m. Central Time). Investors, news media, and others may pre-register for the call using the following link to receive a special dial-in number and PIN: http://dpregister.com/10058191. Telephone participants who are unable to pre-register may access the call by telephone at 866-218-2402 (toll-free) or 412-902-4190 (international). Participants are encouraged to dial into the call approximately 10 minutes prior to the start time. The call and corresponding presentation slides will be webcast live on Southwest's website at www.oksb.com or http://services.choruscall.com/links/oksb150121.html. An audio replay will be available one hour after the call at 877-344-7529 (toll-free) or 412-317-0088 (international), conference number 10058191. Telephone replay access will be available until 9:00 a.m. Eastern Time on February 6, 2015.

Southwest Bancorp and Subsidiaries

Southwest is the holding company for Bank SNB, an Oklahoma state banking corporation ("Bank SNB"). Bank SNB offers commercial and consumer lending, deposit and investment services, specialized cash management, and other financial services from offices in Oklahoma, Texas, and Kansas. Bank SNB was chartered in 1894 and Southwest was organized in 1981 as the holding company. At December 31, 2014, Southwest had total assets of $1.9 billion, deposits of $1.5 billion, and shareholders' equity of $270.8 million.

Southwest's area of expertise focuses on the special financial needs of healthcare and health professionals, businesses and their managers and owners, commercial lending, energy banking, and commercial real estate borrowers. The strategic focus on healthcare lending was established in 1974. Southwest and its banking subsidiary provide credit and other services, such as deposits, cash management, and document imaging for physicians and other healthcare practitioners to start or develop their practices and finance the development and purchase of medical offices, clinics, surgical care centers, hospitals, and similar facilities. As of December 31, 2014, approximately $413.8 million, or 30%, of loans were loans to individuals and businesses in the healthcare industry. Regular market reviews are conducted of (i) current and potential healthcare lending business, and (ii) the appropriate concentrations within healthcare based upon economic and regulatory conditions.

Southwest's common stock is traded on the NASDAQ Global Select Market under the symbol OKSB.

Caution About Forward-Looking Statements

Southwest makes forward-looking statements in this news release that are subject to risks and uncertainties. These statements are intended to be covered by the safe harbor provision for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

These forward-looking statements include:

  • Statements of Southwest's goals, intentions, and expectations;
  • Estimates of risks and of future costs and benefits;
  • Expectations regarding Southwest's future financial performance and the financial performance of its operating segments;
  • Expectations regarding regulatory actions;
  • Expectations regarding Southwest's ability to utilize tax loss benefits;
  • Expectations regarding Southwest's stock repurchase program;
  • Expectations regarding dividends;
  • Expectations regarding acquisitions and divestitures;
  • Assessments of loan quality, probable loan losses, and the amount and timing of loan payoffs;
  • Estimates of the value of assets held for sale or available for sale; and
  • Statements of Southwest's ability to achieve financial and other goals.

These forward-looking statements are subject to significant uncertainties because they are based upon: the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters. These other matters include, among other things, the direct and indirect effects of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators. Because of these uncertainties, the actual future results may be materially different from the results indicated by these forward-looking statements. In addition, Southwest's past growth and performance do not necessarily indicate future results. For other factors, risks, and uncertainties that could cause actual results to differ materially from estimates and projections contained in forward-looking statements, please read Southwest's reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2013. You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, specifically those under the heading "Risk Factors".

The cautionary statements in this release also identify important factors and possible events that involve risk and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. These forward-looking statements speak only as of the date on which the statements were made. Southwest does not intend, and undertakes no obligation, to update or revise any forward-looking statements contained in this release, whether as a result of differences in actual results, changes in assumptions, or changes in other factors affecting such statements, except as required by law.

Southwest is required under generally accepted accounting principles to evaluate subsequent events and their impact, if any, on its financial statements as of December 31, 2014 through the date its financial statements are filed with the Securities and Exchange Commission. The December 31, 2014 financial statements included in this release will be adjusted if necessary to properly reflect the impact of subsequent events on estimates used to prepare those statements.

The Southwest Bancorp, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8074

The Bank SNB logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=23106

Financial Tables
Unaudited Financial Highlights Table 1
Unaudited Consolidated Statements of Financial Condition Table 2
Unaudited Consolidated Statements of Operations Table 3
Unaudited Average Balances, Yields, and Rates-Quarterly Table 4
Unaudited Average Balances, Yields, and Rates-Year-to-date Table 5
Unaudited Quarterly Summary Loan Data Table 6
Unaudited Quarterly Summary Financial Data Table 7
Unaudited Quarterly Supplemental Analytical Data Table 8
SOUTHWEST BANCORP, INC. Table 1
UNAUDITED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share)
Fourth Quarter Third Quarter Fourth Quarter
QUARTERLY HIGHLIGHTS 2014 % Change 2013 % Change
Operations
Net interest income $ 16,592 $ 15,837 5 % $ 16,637 (0)%
Provision for loan losses (2,386) (2,897) (18) (6,502) (63)
Noninterest income 4,576 3,084 48 3,068 49
Noninterest expense 14,115 13,358 6 15,065 (6)
Income before taxes 9,439 8,460 12 11,142 (15)
Taxes on income 3,540 3,172 12 4,310 (18)
Net income 5,899 5,288 12 6,832 (14)
Diluted earnings per share 0.30 0.27 11 0.35 (14)
Balance Sheet
Total assets 1,942,034 1,900,948 2 1,981,423 (2)
Loans held for sale 1,485 4,368 (66) 3,060 (51)
Portfolio loans 1,398,506 1,363,020 3 1,267,843 10
Total deposits 1,533,999 1,494,946 3 1,584,086 (3)
Total shareholders' equity 270,786 271,966 (0) 259,187 4
Book value per common share 14.11 13.90 2 13.13 7
Key Ratios
Net interest margin 3.52% 3.44% 3.42%
Efficiency ratio 66.68 70.60 76.45
Total capital to risk-weighted assets 20.96 21.34 21.59
Nonperforming loans to portfolio loans 0.67 1.10 1.57
Shareholders' equity to total assets 13.94 14.31 13.08
Tangible common equity to tangible assets* 13.89 14.25 13.03
Return on average assets (annualized) 1.22 1.12 1.37
Return on average common equity (annualized) 8.62 7.69 10.59
Return on average tangible common equity (annualized)** 8.66 7.72 10.64
Year
YEAR-TO-DATE HIGHLIGHTS 2014 2013 % Change
Operations
Net interest income $ 65,004 $ 62,650 4 %
Provision for loan losses (6,624) (7,209) (8)
Noninterest income 18,931 13,643 39
Noninterest expense 56,912 55,311 3
Income before taxes 33,647 28,191 19
Taxes on income 12,617 10,756 17
Net income 21,030 17,435 21
Diluted earnings per share 1.07 0.89 20
Balance Sheet
Total assets 1,942,034 1,981,423 (2)
Loans held for sale 1,485 3,060 (51)
Portfolio loans 1,398,506 1,267,843 10
Total deposits 1,533,999 1,584,086 (3)
Total shareholders' equity 270,786 259,187 4
Book value per common share 14.11 13.13 7
Key Ratios
Net interest margin 3.45% 3.19%
Efficiency ratio 67.80 72.50
Total capital to risk-weighted assets 20.96 21.59
Nonperforming loans to portfolio loans 0.67 1.57
Shareholders' equity to total assets 13.94 13.08
Tangible common equity to tangible assets* 13.89 13.03
Return on average assets (annualized) 1.09 0.86
Return on average common equity (annualized) 7.82 6.90
Return on average tangible common equity (annualized)** 7.85 6.94
Balance sheet amounts and ratios are as of period end unless otherwise noted.
* This is a Non-GAAP financial measure. Please see Table 8 for a reconciliation to the most directly comparable GAAP based measure.
** This is a Non-GAAP financial measure.
Please see accompanying tables for additional financial information.
SOUTHWEST BANCORP, INC. Table 2
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollars in thousands)
December 31, December 31,
2014 2013
Assets
Cash and due from banks $ 19,705 $ 28,062
Interest-bearing deposits 121,231 251,777
Cash and cash equivalents 140,936 279,839
Securities held to maturity (fair values of $12,880 and $12,115, respectively) 12,362 11,720
Securities available for sale (amortized cost of $352,275 and $385,423, respectively) 353,231 382,479
Loans held for sale 1,485 3,060
Loans receivable (includes loss share of $0 and $1,812, respectively) 1,398,506 1,267,843
Less: Allowance for loan losses (28,452) (36,663)
Net loans receivable 1,370,054 1,231,180
Accrued interest receivable 4,723 5,335
Non-hedge derivative asset 787 --
Premises and equipment, net 18,588 20,833
Other real estate 3,097 2,654
Goodwill 1,214 1,214
Other intangible assets, net 3,927 4,980
Other assets 31,630 38,129
Total assets $ 1,942,034 $ 1,981,423
Liabilities
Deposits:
Noninterest-bearing demand $ 496,128 $ 444,796
Interest-bearing demand 122,342 120,156
Money market accounts 461,679 439,981
Savings accounts 32,795 41,727
Time deposits of $100,000 or more 198,952 251,185
Other time deposits 222,103 286,241
Total deposits 1,533,999 1,584,086
Accrued interest payable 769 832
Non-hedge derivative liability 787 --
Other liabilities 9,920 10,293
Other borrowings 79,380 80,632
Subordinated debentures 46,393 46,393
Total liabilities 1,671,248 1,722,236
Shareholders' equity
Common stock - $1 par value; 40,000,000 shares authorized;
19,810,877 shares issued and 19,732,926 shares issued and outstanding, respectively 19,811 19,733
Additional paid-in capital 101,245 99,937
Retained earnings 160,427 142,528
Accumulated other comprehensive loss (395) (3,011)
Treasury stock, at cost, 617,818 and 0 shares, respectively (10,302) --
Total shareholders' equity 270,786 259,187
Total liabilities and shareholders' equity $ 1,942,034 $ 1,981,423
SOUTHWEST BANCORP, INC. Table 3
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except per share)
For the three months ended For the year
December 31, September 30, December 31, ended December 31,
2014 2014 2013 2014 2013
Interest income
Loans $ 16,423 $ 15,683 $ 16,499 $ 64,224 $ 66,162
Investment securities 1,506 1,534 1,747 6,318 6,655
Other interest-earning assets 287 274 332 1,250 1,097
Total interest income 18,216 17,491 18,578 71,792 73,914
Interest expense
Interest-bearing deposits 835 864 1,148 3,655 5,559
Other borrowings 225 227 225 900 892
Subordinated debentures 564 563 568 2,233 4,813
Total interest expense 1,624 1,654 1,941 6,788 11,264
Net interest income 16,592 15,837 16,637 65,004 62,650
Provision for loan losses (2,386) (2,897) (6,502) (6,624) (7,209)
Net interest income after provision for loan losses 18,978 18,734 23,139 71,628 69,859
Noninterest income
Service charges and fees 2,526 2,492 2,635 10,222 10,491
Gain on sale of branches, net -- -- -- 4,378 --
Gain on sales of mortgage loans 480 382 385 1,549 2,649
Gain on sale/call of investment securities, net 1,120 -- -- 1,884 --
Other noninterest income 450 210 48 898 503
Total noninterest income 4,576 3,084 3,068 18,931 13,643
Noninterest expense
Salaries and employee benefits 7,428 7,804 8,057 31,830 31,877
Occupancy 2,805 2,612 2,805 10,969 10,779
FDIC and other insurance 295 299 460 1,305 1,764
Other real estate, net 235 (220) 330 594 (1,098)
General and administrative 3,352 2,863 3,413 12,214 11,989
Total noninterest expense 14,115 13,358 15,065 56,912 55,311
Income before taxes 9,439 8,460 11,142 33,647 28,191
Taxes on income 3,540 3,172 4,310 12,617 10,756
Net income $ 5,899 $ 5,288 $ 6,832 $ 21,030 $ 17,435
Basic earnings per common share $ 0.30 $ 0.27 $ 0.35 $ 1.07 $ 0.89
Diluted earnings per common share 0.30 0.27 0.35 1.07 0.89
Common dividends declared per share 0.04 0.04 -- 0.16 --
SOUTHWEST BANCORP, INC. Table 4
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES - QUARTERLY
(Dollars in thousands)
For the three months ended
December 31, 2014 September 30, 2014 December 31, 2013
Average Average Average Average Average Average
Balance Yield/Rate Balance Yield/Rate Balance Yield/Rate
Assets
Loans $ 1,369,852 4.76% $ 1,356,729 4.59% $ 1,288,487 5.08%
Investment securities 367,978 1.62 378,924 1.61 390,160 1.78
Other interest-earning assets 132,418 0.86 88,653 1.23 253,327 0.52
Total interest-earning assets 1,870,248 3.86 1,824,306 3.80 1,931,974 3.82
Other assets 44,268 43,339 47,369
Total assets $ 1,914,516 $ 1,867,645 $ 1,979,343
Liabilities and Shareholders' Equity
Interest-bearing demand deposits $ 114,035 0.11% $ 109,245 0.12% $ 111,744 0.11%
Money market accounts 466,937 0.15 437,632 0.14 426,090 0.17
Savings accounts 32,824 0.10 32,076 0.10 41,021 0.10
Time deposits 427,582 0.57 440,317 0.60 555,762 0.66
Total interest-bearing deposits 1,041,378 0.32 1,019,270 0.34 1,134,617 0.40
Other borrowings 79,932 1.12 85,423 1.05 78,933 1.13
Subordinated debentures 46,393 4.86 46,393 4.85 46,393 4.90
Total interest-bearing liabilities 1,167,703 0.55 1,151,086 0.57 1,259,943 0.61
Noninterest-bearing demand deposits 465,466 432,255 452,849
Other liabilities 9,765 11,442 10,564
Shareholders' equity 271,582 272,862 255,987
Total liabilities and shareholders' equity $ 1,914,516 $ 1,867,645 $ 1,979,343
Net interest income and spread 3.31% 3.23% 3.21%
Net interest margin (1) 3.52% 3.44% 3.42%
Average interest-earning assets to average interest-bearing liabilities 160.16% 158.49% 153.34%
(1) Net interest margin = annualized net interest income / average interest-earning assets
SOUTHWEST BANCORP, INC. Table 5
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES - YEAR-TO-DATE
(Dollars in thousands)
For the year ended December 31,
2014 2013
Average Average Average Average
Balance Yield/Rate Balance Yield/Rate
Assets
Loans $ 1,334,323 4.81% $ 1,315,001 5.03%
Investment securities 379,924 1.66 377,460 1.76
Other interest-earning assets 170,563 0.73 272,940 0.40
Total interest-earning assets 1,884,810 3.81 1,965,401 3.76
Other assets 46,894 63,865
Total assets $ 1,931,704 $ 2,029,266
Liabilities and Shareholders' Equity
Interest-bearing demand deposits $ 121,976 0.12% $ 122,106 0.12%
Money market accounts 440,658 0.14 420,767 0.19
Savings accounts 38,147 0.10 39,397 0.11
Time deposits 472,820 0.60 617,824 0.74
Total interest-bearing deposits 1,073,601 0.34 1,200,094 0.46
Other borrowings 82,965 1.08 74,115 1.20
Subordinated debentures 46,393 4.81 71,243 6.76
Total interest-bearing liabilities 1,202,959 0.56 1,345,452 0.84
Noninterest-bearing demand deposits 449,052 420,347
Other liabilities 10,612 10,925
Shareholders' equity 269,081 252,542
Total liabilities and shareholders' equity $ 1,931,704 $ 2,029,266
Net interest income and spread 3.25% 2.92%
Net interest margin (1) 3.45% 3.19%
Average interest-earning assets to average interest-bearing liabilities 156.68% 146.08%
(1) Net interest margin = annualized net interest income / average interest-earning assets
SOUTHWEST BANCORP, INC. Table 6
UNAUDITED QUARTERLY SUMMARY LOAN DATA
(Dollars in thousands)
2014 2013
Dec. 31 Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sep. 30 Jun. 30 Mar. 31
LOAN COMPOSITION
Real estate mortgage:
Commercial $ 752,971 $ 757,878 $ 769,021 $ 766,178 $ 752,279 $ 757,435 $ 802,138 $ 836,843
One-to-four family residential 77,531 78,985 79,542 84,619 83,988 84,645 81,698 78,369
Real estate construction:
Commercial 186,659 166,379 166,981 166,007 143,848 163,307 159,227 139,829
One-to-four family residential 10,464 11,030 8,359 6,629 4,646 4,464 5,241 5,015
Commercial 350,410 330,738 300,163 266,311 255,058 264,565 237,221 233,939
Installment and consumer:
Guaranteed student loans 37 127 4,282 4,318 4,394 4,471 4,520 4,576
Other 21,919 22,251 23,352 26,060 26,690 27,738 28,044 28,644
Total loans, including held for sale 1,399,991 1,367,388 1,351,700 1,320,122 1,270,903 1,306,625 1,318,089 1,327,215
Less allowance for loan losses (28,452) (30,917) (33,083) (34,925) (36,663) (40,081) (40,352) (42,853)
Total loans, net $ 1,371,539 $ 1,336,471 $ 1,318,617 $ 1,285,197 $ 1,234,240 $ 1,266,544 $ 1,277,737 $ 1,284,362
LOANS BY SEGMENT
Oklahoma banking $ 772,716 $ 777,037 $ 773,665 $ 754,698 $ 681,999 $ 681,749 $ 656,356 $ 628,747
Texas banking 460,680 424,640 408,385 372,018 366,697 414,433 444,327 495,815
Kansas banking 146,043 142,547 145,248 170,720 198,992 206,802 210,189 195,355
Subtotal 1,379,439 1,344,224 1,327,298 1,297,436 1,247,688 1,302,984 1,310,872 1,319,917
Mortgage banking 20,552 23,164 24,402 22,686 23,215 3,641 7,217 7,298
Total loans $ 1,399,991 $ 1,367,388 $ 1,351,700 $ 1,320,122 $ 1,270,903 $ 1,306,625 $ 1,318,089 $ 1,327,215
NONPERFORMING LOANS BY TYPE
Construction & development $ 73 $ 77 $ 82 $ 80 $ 2,721 $ 5,789 $ 6,119 $ 6,539
Commercial real estate 2,195 7,504 7,613 7,541 7,766 15,378 15,112 15,975
Commercial 6,044 6,149 7,484 7,992 8,819 10,991 10,790 11,940
One-to-four family residential 1,100 1,274 1,180 470 513 467 492 701
Consumer 1 55 119 2 53 55 64 74
Total nonperforming loans $ 9,413 $ 15,059 $ 16,478 $ 16,085 $ 19,872 $ 32,680 $ 32,577 $ 35,229
NONPERFORMING LOANS BY SEGMENT
Oklahoma banking $ 1,867 $ 6,410 $ 7,149 $ 7,056 $ 5,547 $ 3,279 $ 1,678 $ 2,000
Texas banking 5,699 5,777 5,636 5,793 11,902 24,963 26,294 28,817
Kansas banking 1,847 2,872 3,693 3,236 2,423 4,438 4,605 4,412
Total nonperforming loans $ 9,413 $ 15,059 $ 16,478 $ 16,085 $ 19,872 $ 32,680 $ 32,577 $ 35,229
OTHER REAL ESTATE BY TYPE
Construction & development $ 2,035 $ 2,130 $ 2,130 $ 2,130 $ 130 $ 1,333 $ 972 $ 1,389
Commercial real estate 1,062 1,318 2,155 2,524 2,524 360 839 10,276
Total other real estate $ 3,097 $ 3,448 $ 4,285 $ 4,654 $ 2,654 $ 1,693 $ 1,811 $ 11,665
OTHER REAL ESTATE BY SEGMENT
Oklahoma banking $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ 1,980
Texas banking 2,000 2,000 2,000 2,000 -- -- -- 7,227
Kansas banking 1,097 1,448 2,285 2,654 2,654 1,693 1,811 2,458
Total other real estate $ 3,097 $ 3,448 $ 4,285 $ 4,654 $ 2,654 $ 1,693 $ 1,811 $ 11,665
Continued
SOUTHWEST BANCORP, INC. Table 6
UNAUDITED QUARTERLY SUMMARY LOAN DATA Continued
(Dollars in thousands)
2014 2013
Dec. 31 Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sep. 30 Jun. 30 Mar. 31
POTENTIAL PROBLEM LOANS BY TYPE
Construction & development $ 2,004 $ 19,307 $ 18,842 $ 22,220 $ 21,501 $ 22,222 $ 20,745 $ 19,968
Commercial real estate 26,108 40,623 60,559 64,257 70,654 64,505 65,518 64,287
Commercial 5,842 4,090 4,299 4,807 7,107 10,028 10,136 8,220
One-to-four family residential 83 355 475 481 488 414 1,071 1,157
Total potential problem loans $ 34,037 $ 64,375 $ 84,175 $ 91,765 $ 99,750 $ 97,169 $ 97,470 $ 93,632
POTENTIAL PROBLEM LOANS BY SEGMENT
Oklahoma banking $ 24,950 $ 23,895 $ 23,887 $ 29,208 $ 29,005 $ 31,345 $ 31,495 $ 32,246
Texas banking 6,283 38,586 57,044 58,361 65,079 59,561 58,710 51,978
Kansas banking 2,804 1,894 3,244 4,196 5,666 6,263 7,265 9,408
Total potential problem loans $ 34,037 $ 64,375 $ 84,175 $ 91,765 $ 99,750 $ 97,169 $ 97,470 $ 93,632
LOANS OUT OF MARKET
Net balance of loans out of market:
Arizona $ 13,615 $ 14,397 $ 14,984 $ 15,348 $ 19,458 $ 30,516 $ 31,564 $ 33,017
Kentucky 16,244 14,648 14,273 13,415 12,404 10,088 11,860 10,144
North Carolina 13,757 13,711 13,323 13,494 13,070 10,161 300 407
Colorado 15,057 14,048 13,269 13,705 12,553 12,358 8,586 3,067
Iowa 11,305 11,369 11,501 22,178 22,316 22,438 22,537 22,659
California 8,985 9,000 9,527 8,869 9,154 9,472 9,632 10,866
Mississippi 9,668 8,474 8,582 8,712 8,823 8,929 9,233 9,170
North Dakota 4,856 6,011 6,271 15 15 16 16 17
Hawaii 9,002 -- -- -- -- -- -- --
Tennessee 9,672 7,005 6,555 6,684 6,048 6,136 6,171 6,246
Other 18,184 10,449 14,604 13,770 18,814 31,139 35,409 32,444
Total loans out of market $ 130,345 $ 109,112 $ 112,889 $ 116,190 $ 122,655 $ 141,253 $ 135,308 $ 128,037
Nonperforming loans out of market:
Arizona $ 5,014 $ 5,174 $ 5,381 $ 5,441 $ 9,302 $ 11,205 $ 12,167 $ 13,419
New Jersey -- 66 594 1,094 -- -- -- --
New York -- -- -- -- -- 1,033 1,048 --
Florida -- 235 240 246 252 258 264 270
Colorado -- -- -- -- -- -- -- 131
Other 39 112 -- -- -- -- 1 --
Total nonperforming out of market $ 5,053 $ 5,587 $ 6,215 $ 6,781 $ 9,554 $ 12,496 $ 13,480 $ 13,820
Potentil problem loans out of market:
Iowa $ 11,257 $ 11,336 $ 11,414 $ 11,490 $ 11,568 $ 11,645 $ 11,719 $ 11,792
Arizona 1,123 1,138 1,152 1,167 -- -- -- --
California -- -- 461 474 482 499 512 524
Florida 48 53 58 62 66 71 75 80
New Jersey -- -- -- -- 1,094 1,170 1,244 --
Total potential problem loans out of market $ 12,428 $ 12,527 $ 13,085 $ 13,193 $ 13,210 $ 13,385 $ 13,550 $ 12,396
Continued
SOUTHWEST BANCORP, INC. Table 6
UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA Continued
(Dollars in thousands)
2014 2013
Dec. 31 Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sep. 30 Jun. 30 Mar. 31
ALLOWANCE ACTIVITY
Balance, beginning of period $ 30,917 $ 33,083 $ 34,925 $ 36,663 $ 40,081 $ 40,352 $ 42,853 $ 46,718
Charge offs 377 1,156 1,991 3,392 2,681 600 2,072 4,651
Recoveries 298 1,887 504 2,640 5,765 658 447 288
Net charge offs (recoveries) 79 (731) 1,487 752 (3,084) (58) 1,625 4,363
Provision for loan losses (2,386) (2,897) (355) (986) (6,502) (329) (876) 498
Balance, end of period $ 28,452 $ 30,917 $ 33,083 $ 34,925 $ 36,663 $ 40,081 $ 40,352 $ 42,853
NET CHARGE OFFS BY TYPE
Construction & development $ -- $ -- $ -- $ 655 $ (4,845) $ (20) $ 111 $ (19)
Commercial real estate (34) (640) 583 (2,243) (62) 274 7 416
Commercial (45) 22 652 2,267 1,883 (169) 1,085 3,751
One-to-four family residential 84 11 (2) (18) (40) (165) 363 167
Consumer 74 (124) 254 91 (20) 22 59 48
Total net charge offs (recoveries) by type $ 79 $ (731) $ 1,487 $ 752 $ (3,084) $ (58) $ 1,625 $ 4,363
NET CHARGE OFFS BY SEGMENT
Oklahoma banking $ 248 $ 67 $ 763 $ 229 $ (1,294) $ (203) $ 200 $ 589
Texas banking (36) (611) 244 (1,586) (2,314) (80) 1,356 3,241
Kansas banking (133) (187) 480 2,109 524 225 69 533
Total net charge offs (recoveries) by segment $ 79 $ (731) $ 1,487 $ 752 $ (3,084) $ (58) $ 1,625 $ 4,363
SOUTHWEST BANCORP, INC. Table 7
UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA
(Dollars in thousands, except per share)
2014 2013
Dec. 31 Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sep. 30 Jun. 30 Mar. 31
PER SHARE DATA
Basic earnings per common share $ 0.30 $ 0.27 $ 0.31 $ 0.19 $ 0.35 $ 0.19 $ 0.22 $ 0.12
Diluted earnings per common share 0.30 0.27 0.31 0.19 0.35 0.19 0.22 0.12
Common dividends declared per share 0.04 0.04 0.04 0.04 -- -- -- --
Book value per common share 14.11 13.90 13.71 13.37 13.13 12.83 12.67 12.72
Tangible book value per share* 14.05 13.83 13.65 13.31 13.07 12.77 12.60 12.66
COMMON STOCK
Shares issued 19,810,877 19,793,623 19,793,123 19,786,206 19,732,926 19,703,313 19,692,606 19,692,038
Less treasury shares 617,818 223,005 -- -- -- -- -- --
Outstanding shares 19,193,059 19,570,618 19,793,123 19,786,206 19,732,926 19,703,313 19,692,606 19,692,038
OTHER FINANCIAL DATA
Investment securities $ 365,593 $ 370,607 $ 385,873 $ 386,987 $ 394,199 $ 382,001 $ 372,403 $ 365,605
Loans held for sale 1,485 4,368 6,803 5,741 3,060 3,641 7,217 7,297
Portfolio loans 1,398,506 1,363,020 1,344,897 1,314,381 1,267,843 1,302,984 1,310,872 1,319,918
Total loans 1,399,991 1,367,388 1,351,700 1,320,122 1,270,903 1,306,625 1,318,089 1,327,215
Total assets 1,942,034 1,900,948 1,885,158 2,012,053 1,981,423 1,972,367 2,031,962 2,091,694
Total deposits 1,533,999 1,494,946 1,463,855 1,605,906 1,584,086 1,583,791 1,615,961 1,677,668
Other borrowings 79,380 75,884 90,760 85,692 80,632 78,663 74,334 70,872
Subordinated debentures 46,393 46,393 46,393 46,393 46,393 46,393 81,963 81,963
Total shareholders' equity 270,786 271,966 271,351 264,586 259,187 252,802 249,420 250,509
Mortgage servicing portfolio 410,315 401,756 397,339 391,303 390,732 383,400 368,825 356,032
INTANGIBLE ASSET DATA
Goodwill $ 1,214 $ 1,214 $ 1,214 $ 1,214 $ 1,214 $ 1,214 $ 1,214 $ 1,214
Core deposit intangible 530 597 667 1,925 2,058 2,185 2,306 2,424
Mortgage servicing rights 3,397 3,269 3,182 3,006 2,922 2,837 2,675 2,445
Total intangible assets $ 5,141 $ 5,080 $ 5,063 $ 6,145 $ 6,194 $ 6,236 $ 6,195 $ 6,083
Intangible amortization expense $ 193 $ 195 $ 210 $ 183 $ 278 $ 314 $ 313 $ 410
DEPOSIT COMPOSITION
Non-interest bearing demand 496,128 445,148 427,431 471,568 444,796 436,904 412,176 416,979
Interest-bearing demand 122,342 104,807 124,712 132,622 120,156 106,176 138,502 125,914
Money market accounts 461,679 477,614 430,296 440,875 439,981 423,720 408,145 437,629
Savings accounts 32,795 33,398 31,187 47,532 41,727 39,727 38,611 39,733
Time deposits of $100,000 or more 198,952 203,090 209,059 236,035 251,185 270,916 295,179 317,270
Other time deposits 222,103 230,889 241,170 277,274 286,241 306,348 323,348 340,143
Total deposits** $ 1,533,999 $ 1,494,946 $ 1,463,855 $ 1,605,906 $ 1,584,086 $ 1,583,791 $ 1,615,961 $ 1,677,668
OFFICES AND EMPLOYEES
FTE Employees 359 351 364 397 402 407 408 412
Branches 21 21 21 24 23 23 22 22
Assets per employee $ 5,410 $ 5,416 $ 5,179 $ 5,068 $ 4,929 $ 4,846 $ 4,980 $ 5,077
____________________
*This is a Non-GAAP based financial measure.
**Calculation of Non-brokered Deposits and Core Funding (Non-GAAP Financial Measures)
Total deposits $ 1,533,999 $ 1,494,946 $ 1,463,855 $ 1,605,906 $ 1,584,086 $ 1,583,791 $ 1,615,961 $ 1,677,668
Less:
Brokered time deposits 3,373 2,952 1,348 1,347 1,347 1,343 4,904 5,760
Other brokered deposits 73,425 98,425 48,424 3,424 3,423 3,423 3,422 3,422
Non-brokered deposits $ 1,457,201 $ 1,393,569 $ 1,414,083 $ 1,601,135 $ 1,579,316 $ 1,579,025 $ 1,607,635 $ 1,668,486
Plus:
Sweep repurchase agreements 54,380 50,884 65,760 60,692 55,631 53,663 49,334 45,872
Core funding $ 1,511,581 $ 1,444,453 $ 1,479,843 $ 1,661,827 $ 1,634,947 $ 1,632,688 $ 1,656,969 $ 1,714,358
Balance sheet amounts are as of period end unless otherwise noted.
SOUTHWEST BANCORP, INC. Table 8
UNAUDITED QUARTERLY SUPPLEMENTAL ANALYTICAL DATA
(Dollars in thousands)
2014 2013
Dec. 31 Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sep. 30 Jun. 30 Mar. 31
PERFORMANCE RATIOS
Return on average assets (annualized) 1.22% 1.12% 1.27% 0.75% 1.37% 0.75% 0.87% 0.46%
Return on average common equity (annualized) 8.62 7.69 9.19 5.68 10.59 5.99 7.00 3.89
Return on average tangible common equity
(annualized)* 8.66 7.72 9.24 5.71 10.64 6.02 7.03 3.90
Net interest margin (annualized) 3.52 3.44 3.50 3.33 3.42 3.11 3.07 3.16
Total dividends declared to net income 12.93 14.88 12.86 21.40 -- -- -- --
Effective tax rate 37.50 37.49 37.50 37.49 38.68 38.01 33.74 43.88
Efficiency ratio 66.68 70.60 61.77 74.15 76.45 69.18 68.93 75.16
NONPERFORMING ASSETS
Nonaccrual loans $ 9,276 $ 15,059 $ 16,478 $ 16,085 $ 19,819 $ 32,678 $ 32,575 $ 35,229
90 days past due and accruing 137 -- -- -- 53 2 2 --
Total nonperforming loans 9,413 15,059 16,478 16,085 19,872 32,680 32,577 35,229
Other real estate 3,097 3,448 4,285 4,654 2,654 1,693 1,811 11,665
Total nonperforming assets $ 12,510 $ 18,507 $ 20,763 $ 20,739 $ 22,526 $ 34,373 $ 34,388 $ 46,894
Potential problem loans $ 34,037 $ 64,375 $ 84,175 $ 91,765 $ 99,750 $ 97,169 $ 97,470 $ 93,632
ASSET QUALITY RATIOS
Nonperforming assets to portfolio loans and other real estate 0.89% 1.36% 1.54% 1.57% 1.77% 2.63% 2.62% 3.52%
Nonperforming loans to portfolio loans 0.67 1.10 1.23 1.22 1.57 2.51 2.49 2.67
Allowance for loan losses to portfolio loans 2.03 2.27 2.46 2.66 2.89 3.08 3.08 3.24
Allowance for loan losses to nonperforming loans 302.26 205.29 200.77 217.13 184.50 122.65 123.87 121.64
Net loan charge-offs to average portfolio loans (annualized) 0.02 % (0.21)% 0.45 0.24 (0.96) (0.02) 0.50 1.32
CAPITAL RATIOS
Average total shareholders' equity to average assets 14.19% 14.61% 13.77% 13.18% 12.93% 12.53% 12.41% 11.92%
Leverage ratio 16.45 16.86 15.95 15.09 14.86 14.78 16.10 15.59
Tier 1 capital to risk-weighted assets 19.70 20.05 20.13 19.98 20.28 20.21 22.48 22.25
Total capital to risk-weighted assets 20.96 21.34 21.43 21.29 21.59 21.52 23.78 23.54
Tangible common equity to tangible assets*** 13.89 14.25 14.34 13.10 13.03 12.76 12.22 11.93
REGULATORY CAPITAL DATA
Tier I capital $ 314,216 $ 314,120 $ 309,600 $ 299,938 $ 292,051 $ 296,488 $ 326,831 $ 324,659
Total capital 334,348 334,456 329,586 319,516 310,867 315,570 345,717 343,562
Total risk adjusted assets 1,595,032 1,566,996 1,537,903 1,500,957 1,439,934 1,466,672 1,453,878 1,459,465
Average total assets 1,910,688 1,863,127 1,941,064 1,987,231 1,964,920 2,006,525 2,030,064 2,082,789
____________________
*This is a Non-GAAP based financial measure.
***Calculation of Tangible Common Equity to Tangible Assets (Non-GAAP Financial Measure)
Total shareholders' equity $ 270,786 $ 271,966 $ 271,351 $ 264,586 $ 259,187 $ 252,802 $ 249,420 $ 250,509
Less goodwill 1,214 1,214 1,214 1,214 1,214 1,214 1,214 1,214
Tangible common equity $ 269,572 $ 270,752 $ 270,137 $ 263,372 $ 257,973 $ 251,588 $ 248,206 $ 249,295
Total assets $ 1,942,034 $ 1,900,948 $ 1,885,158 $ 2,012,053 $ 1,981,423 $ 1,972,367 $ 2,031,962 $ 2,091,694
Less goodwill 1,214 1,214 1,214 1,214 1,214 1,214 1,214 1,214
Tangible assets $ 1,940,820 $ 1,899,734 $ 1,883,944 $ 2,010,839 $ 1,980,209 $ 1,971,153 $ 2,030,748 $ 2,090,480
Total shareholders' equity to total assets 13.94% 14.31% 14.39% 13.15% 13.08% 12.82% 12.27% 11.98%
Tangible common equity to tangible assets 13.89% 14.25% 14.34% 13.10% 13.03% 12.76% 12.22% 11.93%
Balance sheet amounts and ratios are as of period end unless otherwise noted.

CONTACT: Mark W. Funke President & CEO Joe T. Shockley, Jr. EVP & CFO (405) 372-2230

Source:Southwest Bancorp, Inc.