Bank Analysis School Case Study

FDIC Certificate # XXXX OCC Charter # 0 Public Report Earnings and Profitability Percent of Average Assets: Interest Income (TE)

SUNNY STATE BANK One Quarter Annualized Income Analysis--Page 12

Income Statement 1-Qtr-Ann

12/31/20X5

12/31/20X4

12/31/20X3

12/31/20X2

12/31/20X1

BANK

PG 10

PCT

BANK

PG 10

PCT

BANK

PG 10

PCT

BANK

PG 10

PCT

BANK

PG 10

PCT

3.80 0.47 3.32 0.52 3.13 0.71 0.73 N/A -0.02 0.00 -0.02 0.05 0.00 0.05 0.05 N/A

4.33 0.54 3.78 0.61 3.41 0.96 0.17 0.00 0.71 0.00 0.00 0.71 0.60 0.00 0.56 0.60

21 43 17 50 42 35 89 15 89 15 18 98 18 18

3.50 0.37 3.13 0.42 3.92 -0.37 0.51 -0.88 0.00 -0.88 -1.59 0.00 -1.59 -1.59 N/A N/A

4.13 0.38 3.74 0.69 3.68 0.86 0.14 0.00 0.69 0.00 0.00 0.68 0.28 0.00 0.20 0.28

14 59 10 38 69

3.85 0.38 3.48 1.04 4.04 0.48 0.07 N/A 0.41 0.00 N/A 0.42 0.22 0.00 0.22 0.22

3.94 0.35 3.57 0.73 3.50 0.87 0.15 0.00 0.71 0.01 0.00 0.73 0.56 0.00 0.48 0.56

43 60 42 80 77 26 51 28 84 27 22 98 25 22

4.15 0.36 3.80 0.68 3.37 1.10 0.02 N/A 1.08 0.45 N/A 1.54 1.05 0.00 1.05 1.05

3.93 0.33 3.58 0.79 3.68 0.77 0.11 0.00 0.61 0.00 0.00 0.62 0.47 0.00 0.40 0.47

57 61 60 59 50 66 46 72 98 92 84 98 91 84

4.22 0.47 3.75 0.45 3.32 0.88 0.34 N/A 0.54 0.71 N/A 1.24 0.87 0.00 0.87 0.87

4.04 0.38 3.65 0.74 3.58 0.82 0.11 0.00 0.70 0.01 0.00 0.71 0.53 0.00 0.45 0.53

60 69 57 36 42 51 85 32 99 80 80 99 85 80

- Interest Expense

Net Interest Income (TE) + Noninterest Income - Noninterest Expense

Pre-Provision Net Revenue (TE) - Provision: Loan & Lease Losses - Provision: Credit Loss Oth Assets Pretax Operating Income (TE) + Realized Gains/Losses Sec + Unrealized Gains / Losses Equity Sec Pretax Net Operating Income (TE)

9

90

N/A

N/A

N/A

N/A

N/A

7

88

N/A

N/A

N/A

N/A

N/A

7 9 9 9

Net Operating Income Net Inc Attrib Min Ints Net Income Adjusted Sub S

98

Net Income

Margin Analysis: Int Inc (TE) to Avg Earn Assets Int Expense to Avg Earn Assets Net Int Inc-TE to Avg Earn Assets Loan & Lease Analysis: Net Loss to Average Total LN&LS Earnings Coverage of Net Loss (X) LN&LS Allowance to Net Losses (X) Capitalization Cash Dividends to Net Income Retain Earns to Avg Total Equity

4.23 0.53 3.70

4.64 0.57 4.06

25 46 29

3.99 0.42 3.57

4.45 0.41 4.03

25 59 19

4.35 0.42 3.93

4.26 0.38 3.86

56 65 56

4.64 0.40 4.24

4.28 0.36 3.91

73 60 75

4.73 0.53 4.21

4.40 0.41 3.98

67 71 61

1.24 1.01 0.68

0.20

89 38 36

0.51 -0.77 1.33

0.19 3.63 -6.15

81 35 46

0.01

0.20 0.33 -5.16

49 89 97

-0.06 -21.71 -11.32

0.25 -1.98 0.79

10 20 24

0.03

0.21 -1.08 -2.51

47 88 87

15.66 2.71

63.00 88.00

30.33 33.67

0.00 0.72

57.71

51 40

0.00

53.24 -2.58

52 10

184.44

49.82

91 32

39.05

53.49 -0.20

59 86

53.33

51.12

58 80

0.28

-20.10

-2.18

0.20

7.22

4.80

0.61

Yield on or Cost of: Total Loan & Leases (TE) Loans in Domestic Offices

5.24 5.24 4.95 4.78 6.06 8.82 5.72 5.89 -2.27 N/A 2.40 2.40 2.10 2.43 2.82 6.67 N/A 0.50 0.57 0.21 0.96 N/A 2.81 1.73 N/A N/A 0.60

5.70 5.70 5.41 5.58 5.38 6.53 7.96 5.86 0.00 2.48 2.34 2.07 2.37 2.46 2.18 2.05 0.74 0.27 0.41 1.28 0.00

25 25 28 20 78 88 14 20 49 63 53 56 74 96 26 81 25 23 2

5.29 5.29 4.78 4.62 5.74 7.14 6.11 7.53 8.59 N/A 1.79 2.29 2.03 2.20 2.91 1.30 0.00 0.41 0.41 0.23 0.71 N/A 1.79 1.20 N/A N/A 0.47

5.55 5.54 5.31 5.40 5.35 6.22 7.23

40 44 18 22 69 78 33 31 94 17 64 72 57 76 52 10 35 89 42 28

5.44 5.44 4.98 4.83 5.67 6.81 6.31 7.89 6.97 N/A 2.63 2.05 2.03 1.76 3.04 0.00 0.71 0.38 0.26 0.24 0.74 N/A 0.00 1.80 N/A N/A 0.46

5.41 5.40 5.23 5.31 5.28 5.93 7.19 8.46 5.40 0.00 2.35 2.02 1.66 1.58 2.47 0.78 0.57 0.47 0.17 0.26 0.82 0.00 0.37 1.43 0.00 0.00 0.51

59 60 30 27 74 75 37 53 92 67 50 69 54 74 15 75 34 77 54 45

5.49 5.49 5.11 4.99 5.65 6.96 6.69 8.07 7.25 N/A 3.39 2.35 2.10 2.07 3.28 0.00 0.53 0.40 0.23 0.22 0.81 N/A 0.00 1.13 N/A N/A 0.45

5.55 5.54 5.41 5.30 5.59 5.92 7.16 5.26 0.00 2.27 2.04 1.52 1.91 2.54 0.68 0.27 0.44 0.15 0.23 0.77 0.00 0.34 1.83 0.00 0.00 0.48

52 52 36 40 63 83 47 26 88 90 68 74 52 74 16 82 40 79 54 58

5.54 5.53 5.11 5.02 5.53 6.47 6.69 8.53 7.21 N/A 3.66 2.47 2.02 2.08 3.39 0.00 0.00 0.51 0.22 0.23 1.02 N/A 0.00 1.60 N/A N/A 0.59

5.65 5.65 5.47 5.56 5.47 5.90 7.40 5.22 0.00 2.31 2.06 1.57 1.99 2.56 0.60 0.17 0.51 0.15 0.24 0.86 0.00 0.34 1.76 0.00 0.00 0.54

50 51 29 34 57 73 37 33 90 92 75 70 53 78 20 48 52 73 55 68

Real Estate

Secured by 1-4 Fam Resi Prop All Other Loans Sec Real Estate

Commercial & Industrial

Individual

Credit Card

13.32

11.04 5.66 0.00 2.45 2.14 1.74 1.93 2.36 1.25 1.30

20.37

17.15

Agricultural

Loans in Foreign Offices Total Investment Securities (TE) Total Investment Securities (Book) US Treas & Agency (Excl MBS) Mortgage Backed Securities Interest-Bearing Bank Balances Federal Funds Sold & Resales All Other Securities

N/A

N/A

N/A

N/A

N/A

N/A

Total Interest Bearing Deposits

0.51 0.18 0.28 0.91 0.00 1.08 1.49 0.00 1.49 0.55

Transaction accounts Other Savings Deposits

Time Deposits

Foreign Office Deposits

N/A

N/A

N/A

N/A

N/A

Federal Funds Purchased & Repos

2.14 15.22 0.00 2.61 0.80

63 28

78 46

59 56

53 36

60 51

Other Borrowed Money Subord Notes & Debentures Other Interest Expense All Interest-Bearing Funds

N/A N/A

N/A N/A

N/A N/A

N/A N/A

N/A N/A

32

43

48

47

61

Memo: Interest on Time Dep Over Ins Limit

1.23

1.66

32

1.57

1.25

73

0.80

0.92

42

0.90

0.83

63

1.04

0.91

61