CommunityOne Bancorp   Second Quarter 2015 Earnings Presentation   July 30, 2015
 Presenters         Bob Reid      President / Chief Executive Officer         David Nielsen      Chief Financial Officer         Neil Machovec      Chief Credit Officer           2
 Forward Looking Statements & Other Information   3              Forward Looking Statements   This presentation contains certain forward-looking statements within the safe harbor rules of the federal securities laws.   These statements generally relate to COB’s financial condition, results of operations, plans, objectives, future   performance or business. They usually can be identified by the use of forward-looking terminology, such as “believes,”   “expects,” or “are expected to,” “plans,” “projects,” “goals,” “estimates,” “may,” “should,” “could,” “would,” “intends to,”   “outlook” or “anticipates,” or variations of these and similar words, or by discussions of strategies that involve risks and   uncertainties. Forward looking statements are subject to risks and uncertainties, including but not limited to, those risks   described in COB’s Annual Report on Form 10-K for the year ended December 31, 2014 under the section entitled   “Item 1A, Risk Factors,” and in the Quarterly Reports of Form 10-Q and other reports that are filed by COB with the   Securities and Exchange Commission. You are cautioned not to place undue reliance on these forward-looking   statements, which are subject to numerous assumptions, risks and uncertainties, and which change over time. These   forward-looking statements speak only as of the date of this presentation.  Actual results may differ materially from   those expressed in or implied by any forward looking statements contained in this presentation.   We assume no duty   to revise or update any forward-looking statements, except as required by applicable law.   Non-GAAP Financial Measures   In addition to the results of operations presented in accordance with Generally Accepted Accounting Principles (GAAP),   COB management uses and this presentation contains or references, certain non-GAAP financial measures, such as   pre-credit and non-recurring (PCNR) earnings, PCNR noninterest income, PCNR noninterest expense, and tangible   shareholders’ equity. COB believes  these non-GAAP financial measures provide information useful to investors in   understanding our underlying operational performance and our business and performance trends as they facilitate   comparisons with the performance of others in the financial services industry; however, these non-GAAP financial   measures should not be considered an alternative to GAAP. The non-GAAP financial measures contained within this   presentation should be read in conjunction with the audited financial statements and analysis as presented in COB’s   Annual Report on Form 10-K as well as the unaudited financial statements and analyses as presented in COB’s   Quarterly Reports on Form 10-Q.  A reconciliation of non-GAAP measures to the most directly comparable GAAP   measure is included within tables in the presentation or with the appendix to this presentation.
 Quarterly Operating Highlights    Net income of $2.5 million, $0.10 per   share   – PCNR earnings of $4.0 million, up   56% over 2Q 2014   – $3.9 million pre tax net income, up   30% over 2Q 2014    Fifth consecutive quarter of double   digit annualized loan growth   – Portfolio grew $49.9 million, a   14% annualized growth rate   – Loans to deposit ratio grew to   78%    Annualized deposit growth of 11%   – Branch deposit acquisition of   $58.8 million from CertusBank   – Noninterest-bearing deposits grew   at 17% annualized rate    Continued improved credit trends   – NPA’s fell to 1.7% of assets    – Provision recovery of $0.8 million    Net interest income grew 7% over 2Q   2014   – 3.43% NIM, up 3 bps over 2Q   2014    NIE fell 7% from 2Q 2014   – PCNR NIE to average assets was   3.03% in 2Q      Quarterly Results   Results of Operations   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Net interest income 15,718$        15,848$        16,721$        16,774$        16,827$          Recovery of provision 1,685            1,679             1,323             1,137            788                  Noninterest income 4,893            3,985             4,543             4,034            4,153              Noninterest expense 19,268          20,015           20,446          18,008          17,827            Net income before tax 3,028            1,497             2,141             3,937            3,941              Income tax benefit (expense) (236)              276                142,475        (1,418)           (1,418)             Net income 2,792            1,773             144,616        2,519            2,523              PCNR earnings   1   2,551$          2,013$           2,906$          3,460$          3,972$                1  Non-GAAP measure.  See appendix for reconciliation to GAAP presentation.   4   Quarterly Performance Metrics   Dollars in thousands except per share data 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Net income per share - diluted 0.13$            0.08$             6.62$             0.10$            0.10$              Return on average assets 0.56% 0.35% 28.10% 0.46% 0.45%   Pre-tax return on average assets 0.61% 0.30% 0.42% 0.73% 0.70%   Return on average equity 12.7% 7.6% 577.0% 3.8% 3.7%   et i margin 3.40% 3.38% 3. 9% 3.54% 3.43%   PCNR noninterest expense to average assets   1   3.47% 3.55% 3.55% 3.15% 3.03%   Loans held for investment 1,269,865$  1,318,117$   1,357,788$  1,395,911$  1,445,853$    Deposits 1,763,765    1,758,930     1,794,420     1,807,472    1,855,638      NPA's to total assets 2.7% 2.4% 2.1% 1.9% 1.7%   Loans to deposits 72% 75% 76% 77% 78%   Tier 1 Leverage 6.35% 6.48% 9.78% 8.47% 8.50%   Tier 1 Common Equity N/A N/A N/A 11.86% 11.85%   Tangible book value to tangible assets   1   4.1% 4.2% 11.7% 11.8% 11.4%   1  Non-GAAP measure.  See appendix for reconciliation to GAAP presentation.
  14% annualized loan growth in 2Q - 5th consecutive quarter of double digit   annualized loan growth   – On track with year end goal of 10-12%   – Annualized organic loan growth of 21% in 2Q 2015   – Average earning assets grew at a 9% annualized rate in 2Q   – Loans to deposits ratio grew to 78% vs year end goal of 80-85%       Asset growth          Core deposit growth ahead of plan in 2Q   – Deposits grew at 11% annualized rate, including branch acquisition   – Low cost core deposits grew at 8% annual rate in 2Q   – Noninterest-bearing deposits grew $14.6 million, an annualized growth rate   of 17%, on commercial relationship acquisition and treasury management   products             Continued deposit growth          Completed the acquisition of deposits of the Lenoir and Granite Falls branches   of CertusBank          Explore M&A opportunities          NIE reduced 7% year over year, ahead of plan   – PCNR NIE to average assets ratio was 3.03%, ahead of 3.10% 2015 goal   – First full quarter of savings from March 2015 branch closures   – Run rate includes investments in Raleigh and Charleston LPOs, and   additional mortgage origination personnel    Monetize expense efforts         Progress on 2015 Goals    Noninterest income was flat year over year, trailing growth goal of 10-12%   – Mortgage loan income up 20% from 2Q 2014 on 67% increase in origination   volume from MLO and non-branch channel volume   – Completed sale of first SBA loans in 2Q 2015, expect acceleration in 2nd   half of year   – Service charges down 5% year over year including impact of six branch   closures in 1Q 2015    Enhanced fee income         5
 Net Interest Income    Net interest income increased   $1.1 million (7%) from 2Q 2014,   and $0.1 million from 1Q 2015     Earning assets level and mix   improved year over year   – Average earning assets   grew $112.1 million (6%)   – Average loans increased   $172.0 million (14%)   – Average cash balances   declined $39.1 million (69%)    Net interest margin improved 3   bps from 3.40% in 2Q 2014, but   down 11 bps from 1Q 2015   – Driven by improved asset   mix and interest recoveries   – Securities yield fell 0.33%   from 2Q 14 to 2.39%   – Non cash accretion on PI   loans was $0.6 million in 2Q   2015, $0.8 million in 2Q   2014, and $0.7 million in 1Q   2015    Year over year, cost of interest   bearing deposits of 48 bps was   unchanged and cost of all   deposits fell 1 bp to 39 bps   6   0.0%   1.0%   2.0%   3.0%   4.0%   5.0%   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Yield on Loans Yield on Investment Securities   0.0%   1.0%   2.0%   3.0%   4.0%   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Cost of Interest Bearing Deposits N t Interest Margin   Quarterly Results   Average Balances, Yields and Net Interest Margin   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Average loans (includes loans held for sale) 1,238,847$  1,289,718$   1,340,874$  1,378,834$  1,410,808$       Average yield 4.66% 4.58% 4.70% 4.67% 4.56%   Average loans and securities 1,788,879    1,814,160     1,839,709     1,886,599    1,934,020      Average earning assets 1,855,092    1,862,479     1,900,647     1,922,497    1,967,230         Average yield 3.95% 3.92% 4.03% 4.07% 3.94%   Average interest bearing liabilities 1,581,777    1,577,399     1,600,583     1,597,737    1,612,211         Average rate 0.65% 0.64% 0.63% 0.63% 0.62%      Average cost of interest bearing deposits 0.48% 0.48% 0.47% 0.48% 0.48%   Net interest margin 3.40% 3.38% 3.49% 3.54% 3.43%   Net interest rate spread 3.31% 3.28% 3.39% 3.44% 3.32%   Net interest income 15,718$        15,848$        16,721$        16,774$        16,827$          Quarterly Loan and Securities YieldsQuarterly Margin and Cost of Deposits
 Noninterest Income    PCNR noninterest income was   flat to 2Q 2014 and $0.1   million improved from 1Q 2015    Mortgage income increased   $0.1 million, or 20%, from 2Q   2014 on 72% increase in loans   originated for sale to investors   – Total origination volume of   $70.6 million, up 67% from   2Q 2014    Service charge income fell   $0.1 million vs 2Q 2014 on   reduced overdraft and NSF   fees, including the impact of   six branch closures in 1Q   2015    Cardholder and merchant   services income was flat to 2Q   2014, but $0.1 million higher   than 1Q 2015    Wealth business fee income   was flat to 2Q 2014, but up   $0.1 million from 1Q 2015, as   a result of increased assets   under management, increased   sales activity and improved fee   splits    7   Quarterly Results   Noninterest Income   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Total noninterest income 4,893$       3,985$        4,543$        4,034$       4,153$         Less:       Securities gains, net 720            34              220            -                -                  PCNR noninterest income 1 4,173$       3,951$        4,323$        4,034$       4,153$                1  Non-GAAP measure.  Reconciliation to GAAP presentation included in this table.   2,026 1,946 2,040 1,872 1,950   261   205   241 465 314   1,209   1,183   1,298 1,125 1,218   399   344   394   322 403   278   273   350   250   268   $4,173   $3,951   $4,323   $4,034   $4,153   $0   $1,000   $2,000   $3,000   $4,000   $5,000   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Service charges and other fee income Mortgage loan income   Cardholder and merchant services income Trust and investment services   Bank-owned life insurance Total   PCNR   1    Noninterest Income Trend   1 Non-GAAP measure.  See table below for reconciliation to GAAP presentation.
 $10,000   $12,500   $15,000   $17,500   $20,000   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   558   568 568 571   553   500   525   550   575   600   2  014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Noninterest Expense    NIE fell by $1.4 million (7%) from   2Q 2014 and by $0.2 million   (1%) from 1Q 2015   – OREO and collection   expenses fell 46% year over   year    PCNR NIE was reduced $0.3   million (2%) from 2Q 2014 and   $0.3 million (2%) from 1Q 2015   – Reduced branch costs, offset   by investments in commercial   and mortgage origination   personnel and mortgage   commissions    Average FTE was 553 in Q2   – Includes impact of hires of 4   mortgage originators in   Raleigh and Charlotte, and 3   commercial personnel in new   Charleston, SC LPO   – Full quarter impact of 6   branches closed in 1Q 2015         8   Quarterly Results   Noninterest Expense   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Personnel expense 9,956$          12,616$        10,717$        10,594$        10,462$          Net occupancy expense 1,512            1,521             1,526             1,469            1,211              Furniture, equipment and data processing expense 2,047            2,208             2,078             1,989            1,875              Professional fees 467                699                671                539                528                  Stationery, printing and supplies 173                149                162                176                141                  Advertising and marketing 147                142                274                186                134                  Other real estate owned expense (recovery) 954                (29)                 572                360                506                  Credit/debit card expense 604                520                568                543                498                  FDIC insurance 595                412                422                453                456                  Loan collection expense 551                198                170                300                313                  Core deposit intangible amortization 352                352                351                352                352                  Other expense 1,910            1,227             2,935             1,047            1,351              Total noninterest expense 19,268$        20,015$        20,446$        18,008$        17,827$          PCNR noninterest expense   1   17,340$        17,786$        18,138$        17,348$        17,008$          Average Quarterly FTE Employees 558                568                568                571                553                        1  Non-GAAP measure. See appendix for reconciliation to GAAP presentation.   5 Quarter PCNR NIE Trend   1   5 Quarter FTE Trend
 4% 3% 4% 2% 1%   27% 25% 22% 23% 23%   62% 64%   60% 62% 62%   7% 7%   6% 7% 6%   0% 0%   7% 6% 6%   0%   10%   20%   30%   40%   50%   60%   70%   80%   90%   100%   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Cash and bank balances Investment securities Loans Other assets Deferred tax asset, net   Balance Sheet    Total assets increased $61.5   million in Q2, an 11%   annualized growth rate    – Loans held for investment   increased $49.9 million    Investment portfolio increased   by $29.6 million    – Portfolio positioned to assist   in funding loan growth   – Portfolio weighted toward   liquid Agency MBS      9   Quarterly Balance Sheet   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Cash and interest bearing bank balances 70,477$        60,080$        95,882$        47,933$        30,986$          Investment securities 546,165        507,980        492,501        508,401        538,015          Loans and loans held for sale, net 1,247,655    1,298,860     1,340,239     1,384,474    1,430,631      Other real estate owned 21,871          20,289           20,411          21,040          19,955            Intangible assets 10,501          10,191           9,886             9,705            9,598              Deferred tax asset, net 5,188            5,564             146,432        144,223        145,229          Other assets 111,656        112,829        110,163        116,158        118,973             Total assets 2,013,513$  2,015,793$   2,215,514$  2,231,934$  2,293,387$    Deposits 1,763,765$  1,758,930$   1,794,420$  1,807,472$  1,855,638$    Borrowings 143,594        147,484        139,350        138,118        154,211          Other liabilities 13,457          14,889           14,828          15,392          13,752            Equity 92,697          94,490           266,916        270,952        269,786             Total liabilities and equity 2,013,513$  2,015,793$   2,215,514$  2,231,934$  2,293,387$    Quarterly Balance Sheet Composition
 Loan Growth in Core Markets   10    Four metro markets represent   72% of our organic loan   portfolio, up from 70% a year   ago   – Strong growth in non-   metro markets from share   gains    Experienced and growing   origination teams in key   growth markets driving strong   year over year loan portfolio   growth rates   – Charlotte – 47% growth   – Raleigh – 46% growth   – Greensboro / WS – 9%   growth    Full range of lending products   – Commercial, SBA,   Treasury, Consumer, Auto,   Mortgage, Wealth   – Commercial Real Estate   including Builder Finance      Organic Loan Portfolio and Growth Rates by MSA   47% 46%   2%   9%   10%   0%   5%   10%   15%   20%   25%   30%   35%   40%   45%   50%   $0   $50,000   $100,000   $150,000   $200,000   $250,000   $300,000   $350,000   $400,000   $450,000   Charlotte MSA Raleigh / Durham MSA Hickory MSA Greensboro / WS MSA Non Metro MSAs   Loan Portfolio Metro 12 Month Growth Rate
 Accelerated Loan Growth    Total loans held for investment   grew $49.9 million in 2Q 2015;    annualized growth rate of 14%   – 5th consecutive quarter of   double digit annualized   growth rate   – All lines of business grew   loans during the quarter    Organic loans (excluding   purchased residential loans)   grew $61.7 million; 21%   annualized growth rate    Total pass rated loans grew by   $61.9 million; annualized   growth rate of 19%    Non-pass rated loans fell by   $11.9 million, or 13%    Loan portfolio composition   balanced between consumer   and commercial exposure   11   Loan Portfolio Growth Rates By Category   Dollars in thousands 2Q 2014 1Q 2015 2Q 2015 $ % Annualized   Commercial and Commercial Real Estate 397,905$    492,192$    547,122$    54,930$      11% 45%   RE Construction 61,125       75,226        64,851        (10,375)      -14% -55%   Consumer/HELOC 200,336      227,578      236,870      9,292         4% 16%   1-4 Family Residential 266,890      309,131      328,901      19,770       6% 26%   Pass Rated Organic Loans 926,256      1,104,127   1,177,745   73,617       7% 27%   Purchased Resi Mortgage Loans 222,723      201,500      189,758      (11,743)      (6%) (23%)   Non Pass Rated Organic Loans 120,887      90,283        78,350        (11,933)      (13%) (53%)   Total Loans 1,269,865$ 1,395,911$  1,445,853$ 49,942$      4% 14%   Total Organic Loans 1,047,142$ 1,194,410$  1,256,095$ 61,685$      5% 21%   Total Pass Rated Loans 1,148,978   1,305,628   1,367,503   61,875       5% 19%   2Q Growth   1,269,865   1,318,117 1,357,788   1,395,911 1,445,853   0%   5%   10%   15%   20%   25%   $   $400,000   $800,000   $1,200,000   $1,600,000   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Commercial RE Construction Consumer/HELOC   1-4 Family Residential Purchased Residential Non pass loans   Total Loans Organic Growth Rate Annualized   Quarterly Loan Portfolio Mix
 18% 18% 18% 19% 19%   19% 20% 20% 20% 20%   5% 5% 5% 5% 5%   24% 24% 24% 24% 23%   17% 17% 16% 15% 16%   14%   14% 15% 15% 15%   3% 2% 2% 2% 2%   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Noninterest-bearing demand Interest-bearing demand Savings   Money market Time deposits < $100,000 Time deposits > $100,000   Brokered   Attractive and Growing Core Deposit Franchise    Deposits increased by $48.2   million, an 11% annualized   growth rate, in 2Q   – Includes impact of Certus   Branch acquisition, offset by   closure of six branches in   March 2015    Low cost core deposits grew   at an annualized rate of 8% in   2Q    Noninterest-bearing deposits   increased $14.6 million, or 4%,   in 2Q, a 17% annualized   growth rate    – Driven by commercial   relationship acquisition and   improved treasury   management product set    Average deposits per branch   has grown 17% since 2Q 2014   to $41.2 million per branch    Core deposits stable at 83% of   deposits   12   Co   re      N   o   n      Co   re      Quarterly Deposits   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Noninterest-bearing demand 321,829$     317,981$      323,776$      337,417$     352,033$       Interest-bearing demand 333,260 349,517 358,162 364,196 363,998   Savings 85,451 85,519 86,686 89,919 92,057   Money market 431,803 423,967 437,484 426,606 433,648   Brokered 47,783 37,673 38,378 37,433 37,054   Time deposits < $100,000 301,795 294,774 285,989 277,928 290,516   Time deposits > $100,000 241,844 249,499 263,945 273,973 286,332        Total deposits 1,763,765$  1,758,930$   1,794,420$  1,807,472$  1,855,638$    Total Time Deposits 591,422$     581,946$      588,312$      589,334$     613,902$       Low Cost Core Deposits 1,172,343    1,176,984     1,206,108     1,218,138    1,241,736      Core Deposits 1,474,138    1,471,758     1,492,097     1,496,066    1,532,252      Quarterly Deposit Mix
 $32   $28   $25   $20 $20   $22   $20   $20   $21   $20   $0   $10   $20   $30   $40   $50   $60   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   M   ill   io   ns    o   f   D   ol   la   rs   Nonperforming loans OREO and foreclosed assets   $41 $36 $40 $35   $26   $80   $73 $63   $55   $53   $0   $25   $50   $75   $100   $125   $150   $175   $200   2Q 2014 3  2014 4  2014 1  5 2    M   ill   io   ns    o   f   D   ol   la   rs   Special Menti  Loans Classified Lo s   Credit Risk Well Managed   13   35% decline   26% decline   Quarterly Asset Quality   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Allowance for loan losses (ALL) 23,975$        21,525$        20,345$        19,008$        17,989$          Nonperforming loans to total loans 2.5% 2.2% 1.9% 1.5% 1.4%   Nonperforming assets to total assets 2.7% 2.4% 2.1% 1.9% 1.7%   Annualized net charge-offs (recoveries) to avg. loans 0.12% 0.24% (0.04%) 0.06% 0.07%   Allowance for loan loss to total loans 1.89% 1.63% 1.50% 1.36% 1.24%   Classified assets to Tier 1 + ALL 68% 62% 41% 39% 36%    Continued asset quality   improvement in 2Q   – Classified loans decreased   by $2.6 million (5%) in 2Q   – Nonperforming loans   reduced to 1.4% of total   loans, from 2.5% a year   ago   – NPA’s reduced to 1.7% of   assets    The ALL has been reduced to   $18.0 million from $19.0 million   at end of 1Q, reflecting the    improved asset quality and   continued low annualized   charge-off rates    ALL is 1.24% of loans held for   investment    $0.2 million in net charge-offs   in 2Q 2015   – C&I and construction- $0.4   million net recovery   – Consumer & 1-4 residential   mortgage - $0.6 million net   charge-off   – 2015 annualized net   charge-off of 7 bps    Classified Asset Ratio   improved to 36%   Quarterly Asset Quality Trends   Criticized LoansNonperforming Assets
 Nonperforming Assets and Allowance   14   Quarterly Loan Portfolio and ALL   2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Originated loans 1,101,736$ 1,162,793$  1,211,794$ 1,271,783$ 1,346,506$   Granite purchased impaired (PI) loans 141,924      130,665      122,842      109,262      102,115        Granite purchased contractual (PC) loans 27,970       26,927        25,948        22,437       21,593         Total loans 1,271,630$ 1,320,385$  1,360,584$ 1,403,482$ 1,470,214$   Originated loan ALL (19,417)$     (17,184)$     (16,729)$     (15,390)$     (14,463)$       Granite PI loan ALL (4,123)        (3,923)         (3,237)        (3,194)        (3,181)          Granite PC loan ALL (435)           (418)           (379)           (424)           (345)             Total ALL (23,975)$     (21,525)$     (20,345)$     (19,008)$     (17,989)$       Originated loan ALL / Originated loans (1.76%) (1.48%) (1.38%) (1.21%) (1.07%)   Granite PI ALL  / Granite PI loans (2.91%) (3.00%) (2.64%) (2.92%) (3.12%)   Granite PC ALL / Granite PC loans (1.56%) (1.55%) (1.46%) (1.89%) (1.60%)   T ota l ALL 1.89% 1.63% 1.50% 1.36% 1.24%    Originated loans of $1.35   billion with ALL of $14.5   million (1.07%) at 2Q    Granite PC loans of $21.6   million with ALL of $0.4   million (1.6%) at 2Q    Granite PI loans of $102.1   million with $3.2 million ALL   (3.12%) at 2Q 2015    Non-performing assets fell   by $1.8 million (4%) during   the quarter, and $14.0   million (26%) since 2Q 2014    Nonperforming loans fell by   $0.7 million (3%) in 2Q, and   by $12.1 million (38%) since   2Q 2014     OREO decreased by $1.0   million (5%) in 2Q and   decreased by $1.9 million   (9%) since 2Q 2014    At the end of 2Q, $1.1   million of OREO (6%) was   under contract for sale      Nonperforming Loans and OREO   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Commercial and agricultural 400$             351$              608$              515$             469$               Real estate - construction 2,773            2,878             2,307             1,022            799                  Real estate - mortgage:       1-4 family residential 9,083            8,777             8,637             8,856            9,383                  Commercial 19,398          16,383           13,386          9,410            8,379              C nsumer 31                  94                   355                452                553                      Total nonperforming loans 31,685          28,483           25,293          20,255          19,583            OREO and other foreclosed assets 21,871          20,289           20,411          21,040          19,955                Total nonperforming assets 53,556$        48,772$        45,704$        41,295$        39,538$          NPL / Total Loans Held For Investment 2.5% 2.2% 1.9% 1.5% 1.4%
 Appendix   15
 Non-GAAP Measures    Reconciliation of non-   GAAP measures to the   most directly comparable   GAAP measure   16   Reconciliation of Non-GAAP Measures   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Net income after tax 2,792$       1,773$        144,616$    2,519$       2,523$         Less taxes, credit costs and nonrecurring items:   Income tax benefit (expense) (236)           276            142,475      (1,418)        (1,418)          Gain on sales of securities 720            34              220            -                -                  Other real estate owned recovery (expense) (954)           29              (572)           (360)           (506)             Recovery of (Provision for) loan losses 1,685         1,679          1,323         1,137         788              Mortgage and litigation recovery (accrual) (7)              -                 -                -                -                  Loan collection expense (551)           (198)           (170)           (300)           (313)             (7)              -                 (1,566)        -                -                  US Treasury sale expenses (409)           -                 -                -                -                  CEO severance expense -                (2,060)         -                -                -                  PCNR earnings (Non-GAAP) 2,551$       2,013$        2,906$        3,460$       3,972$         Branch closure/restructuring expense (recovery)   econciliation of Non-GAAP Measures   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Total noninter st expense 19,268$   20,015$   20 44$   18,008$   17,827$     Less:   Other r al estat  own d xpense 954                (29)                 572                360                506                  US Treasury sale expenses 409                -                      -                      -                     -                       Loan collection expense 551                198                170                300                313                  Branch closure and restructuring expenses 7                    -                      1,566             -                     -                       Mortgage and litigation accruals 7                    -                      -                      -                     -                       CEO severance expense -                     2,060             -                      -                     -                       PCNR noninterest expense (Non-GAAP) 17,340$        17,786$        18,138$        17,348$        17,008$
 Non-GAAP Measures   17    Reconciliation of non-   GAAP measures to the   most directly comparable   GAAP measure   Reconciliation of Non-GAAP Measures   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   Book Value (Shareholders' equity) 92,697$      94,490$      266,916$    270,952$    269,786$      Less:       Goodwill (4,205)        (4,205)         (4,205)        (4,205)        (4,205)              Core deposit and other intangibles (6,296)        (5,986)         (5,681)        (5,500)        (5,393)          82,196$      84,299$      257,030$    261,247$    260,188$      Tangible book value (Tangible       shareholders' equity) (Non-GAAP)   Rec nciliation of Non-GAAP Measures   Dollars in thousands 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015   2,013,513$ 2,015,793$  2,215,514$ 2,231,934$ 2,293,387$   Le s:       Goodwill (4,205)        (4,205)         (4,205)        (4,205)        (4,205)              Core deposit and other intangibles (6,296)        (5,986)         (5,681)        (5,500)        (5,393)          2,003,012$ 2,005,602$  2,205,628$ 2,222,229$ 2,283,789$   Total Assets   Tangible Assets (Non-GAAP)