1 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

UNTED STAT

OFFICE OF FINANCIAL STABILITY

Warrant Disposition Report

Troubled Asset Relief Program

Office of Financial Stability

Update December 31, 2011

1 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition Report The United States Department of the Treasury (Treasury) is pleased to present this supplement to the

Report dated December 31, 2010 with information about the 27 warrant repurchases, 2 public warrant auctions, and 17 

private placement auctions that Treasury’s Office of Financial Stability (OFS) conducted under the Troubled Asset Relief 

Program (TARP) in the six months ending December 31, 2011.1

Executive Summary

The Emergency Economic Stabilization Act of 2008 (EESA) requires that in most circumstances Treasury receive warrants in 

connection with the purchase of troubled assets.

Major parts of TARP were the Capital Purchase Program (CPP) and the Targeted Investment Program (TIP). Under these 

programs, Treasury invested $245 billion in 707 financial institutions.

Treasury’s warrant sales provide additional returns beyond dividend payments from Treasury’s preferred stock investments. 

Treasury’s successful warrant dispositions have significantly benefited taxpayers. During the six months ending December 

31, 2011, Treasury received more than $70.3 million in gross proceeds from the disposition of 46 warrant positions through 

repurchases and public and private auctions.2

Since the program’s inception, Treasury has received more than $9.2 billion in gross proceeds from the disposition of warrants 

associated with 127 CPP investments and 2 TIP investments,3

 consisting of (i) $3.7 billion from issuer repurchases at agreed 

upon fair market values and (ii) $5.4 billion from auctions. For the 140 fully repaid CPP investments representing $225.4 

billion in capital, Treasury has received an absolute return of 8.50% from dividends and capital appreciation on Citigroup 

common stock and an added 4.07% return from the sale of the warrants for a total absolute return of 12.57%.4 For the $40 

billion TIP investment in Bank of America Corporation and Citigroup, Treasury received an absolute return of 4.95% from 

dividends and an added 4.07% return from the sale of the warrants for a total absolute return of 9.02%.

Repurchases 

Upon repaying its TARP preferred stock investment, a financial institution may repurchase its warrants at an agreed upon fair 

market value. In all cases, Treasury follows a consistent evaluation process to ensure that taxpayers receive fair market values for 

the warrants. In the six months ending December 31, 2011, Treasury received $23.5 million from 27 banks through warrant 

repurchases at agreed upon fair market values. 

Auctions 

If an institution decides not to repurchase its warrants, Treasury has determined to dispose of the warrants as soon as practicable. 

Treasury has been successful in effectively disposing of warrants at fair market values through public and private auctions. 

In the 24 public warrant auctions held to date, investor demand above Treasury’s minimum price has exceeded the supply of warrant 

shares by an average of 6.9 times with oversubscription rates ranging from 2.0 to 18.3 times. These publicly auctioned warrants are 

actively traded on national exchanges, providing a liquid secondary market and observable market pricing for long-dated warrants. In 

the six months ending December 31, 2011, Treasury auctioned two more warrant positions in public offerings, generating over $34.1 

million in proceeds.

Treasury also sells warrants through a private placement auction when the expected proceeds of the warrant sale do not justify the fixed 

cost, both to the issuing institution and the Treasury, of a registered transaction or when the warrant position does not meet certain 

requirements for listing on the relevant exchange.

1 TARP’s Warrant Disposition Report can be located on the OFS website.

2 These numbers exclude repurchases of preferred shares acquired by Treasury pursuant to the exercise of warrants issued by private institutions, 

which warrants are exercised by Treasury at the time of purchase. In the six months ending December 31, 2011, 113 private banks 

repurchased their warrant preferred shares. Since the program inception, 138 private banks have repurchased their warrant preferred shares. 

See table on page 18.

3 For the purposes of this report, warrants in Citigroup acquired in connection with the Asset Guarantee Program are incorporated with the 

Citigroup TIP warrants.

4 Returns are not annualized.
2 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition Report Each private sale of warrants uses an auction to establish a clearing price for each warrant position by allowing 

submit bids at or above a minimum price specified for each warrant position. Each warrant position is sold to a single winning bidder. 

Treasury executed the first and, thus far, only tranche of private placement auctions for 17 warrant positions on November 17, 2011, 

generating gross proceeds of $12.7 million. Treasury expects to conduct similar auctions in the future for other warrant positions it 

holds in financial institutions that have repaid CPP.

Remaining Positions

As of December 31, 2011, Treasury held warrants to purchase common stock in 17 financial institutions that have fully repaid 

their CPP investments and in 146 publicly traded companies in which the CPP investment is still outstanding. Treasury 

intends to continue to execute a consistent and transparent disposition process which achieves fair market values and protects 

taxpayer interests. 
3 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition Report The table below sets forth proceeds from 27 warrant repurchases, 2 public warrant auctions, and 17 privat

completed during the six months ending December 31, 2011.

Summary of Gross Proceeds from Sale of Public 

Warrants since June 30, 2011

Institution Name Ticker Preferred 

Redemption Date

Preferred Amount 

Redeemed ($thousands)

Warrant 

Repurchase/Auction Date

Gross Warrant 

Proceeds ($thousands)

QEO? 

(i.e. warrants cut by 50%)

REPURCHASES

Great Southern Bancorp GSBC 8/18/11 $58,000 9/21/11 $6,436 - 

Central Bancorp, Inc. CEBK 8/25/11 10,000 10/19/11 2,525 -

Heartland Financial USA, Inc. HTLF 9/15/11 81,698 9/28/11 1,800 - 

Home Bancshares, Inc. HOMB 7/6/11 50,000 7/27/11 1,300 Yes 

Community Bank Shares of Indiana, Inc. CBIN 9/15/11 19,468 10/19/11 1,101 - 

QCR Holdings, Inc. QCRH 9/15/11 38,237 11/16/11 1,100 - 

MidWestOne Financial Group, Inc. MOFG 7/6/11 16,000 7/27/11 1,000 - 

MutualFirst Financial, Inc. MFSF 8/25/11 32,382 9/28/11 900 - 

First Midwest Bancorp, Inc. FMBI 11/23/11 193,000 12/21/11 900 - 

AmeriServ Financial, Inc. ASRV 8/11/11 21,000 11/2/11 825 - 

West Bancorporation, Inc. WTBA 6/29/11 36,000 8/31/11 700 - 

First California Financial Group, Inc FCAL 7/14/11 25,000 8/24/11 599 - 

Oak Valley Bancorp OVLY 8/11/11 13,500 9/28/11 560 - 

Codorus Valley Bancorp, Inc. CVLY 8/18/11 16,500 9/28/11 527 - 

Community Partners Bancorp CPBC 8/11/11 9,000 10/26/11 460 - 

DNB Financial Corporation DNBF 8/4/11 11,750 9/21/11 458 - 

Heritage Financial Corporation HFWA 12/22/10 24,000 8/17/11 450 Yes 

First Northern Community Bancorp FNRN 9/15/11 17,390 11/16/11 375 - 

Summit State Bank SSBI 8/4/11 8,500 9/14/11 315 - 

Center Bancorp, Inc. CNBC 9/15/11 10,000 12/7/11 245 Yes

Citizens South Banking Corporation CSBC 9/22/11 20,500 11/9/11 225 - 

Salisbury Bancorp, Inc. SAL 8/25/11 8,816 11/2/11 205 - 

Central Valley Community Bancorp CVCY 8/18/11 7,000 9/28/11 185 Yes 

Bank of Commerce Holdings BOCH 9/26/11 17,000 10/26/11 125 - 

Stewardship Financial Corporation SSFN 9/1/11 10,000 10/26/11 107 - 

Emclaire Financial Corp. EMCF 8/18/11 7,500 12/7/11 51 - 

Shore Bancshares, Inc. SHBI 4/15/09 25,000 11/16/11 25 - 

TOTAL 27 $787,241 $23,500 4

AUCTIONS

SunTrust Banks, Inc. (A & B Warrant) STI 3/30/11 $4,850,000 9/22/11 $30,494 - 

Associated Banc-Corp ASBC 4/6/11 525,000 11/30/11 3,585 - 

TOTAL 2 $5,375,000 $34,079 0

PRIVATE PLACEMENT

Eagle Bancorp, Inc. EGBN 12/23/09 $38,235 11/17/11 $2,794 Yes 

Horizon Bancorp HBNC 11/10/10 25,000 11/17/11 1,751 - 

Bank of Marin Bancorp BMRC 3/31/09 28,000 11/17/11 1,704 - 

First Bancorp FBNC 9/1/11 65,000 11/17/11 924 - 

Westamerica Bancorporation WABC 9/2/09 41,863 11/17/11 878 - 

Lakeland Financial Corporation LKFN 6/9/10 56,044 11/17/11 878 Yes 

F.N.B. Corporation FNB 9/9/09 100,000 11/17/11 690 Yes 

Encore Bancshares Inc. EBTX 9/26/11 34,000 11/17/11 637 - 

LCNB Corp. LCNB 10/21/09 13,400 11/17/11 603 - 

Western Alliance Bancorporation WAL 9/26/11 140,000 11/17/11 415 Yes 

First Merchants Corporation FRME 9/22/11 46,400 11/17/11 368 - 

1st Constitution Bancorp FCCY 10/27/10 12,000 11/17/11 327 - 

Middleburg Financial Corporation MBRG 12/23/09 22,000 11/17/11 301 Yes 

MidSouth Bancorp, Inc. MSL 8/25/11 20,000 11/17/11 207 Yes 

CoBiz Financial Inc. COBZ 9/8/11 64,450 11/17/11 144 -

First Busey Corporation BUSE 8/25/11 100,000 11/17/11 64 Yes 

First Community Bancshares Inc. FCBC 7/8/09 41,500 11/17/11 31 Yes 

TOTAL 17 $847,892 $12,714 8
4 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposi

As required by EESA, Treasury received warrants from TARP banks to provide taxpayers with an additional potential return on 

the government’s investment.5

For each CPP and TIP investment in a publicly traded company, Treasury received warrants to purchase, at a fixed exercise price, shares 

of common stock equal to 15 percent of the aggregate liquidation preference of the senior preferred investment.6 The per share exercise 

price was set at the 20-trading day trailing average of the bank’s common stock price as of the time it was given preliminary approval 

for the TARP investment. The warrants may be exercised at any time over a ten year period. These public warrants include certain 

customary anti-dilution provisions for Treasury’s protection.

For CPP investments in a privately-held company, an S-corporation, or certain mutual institutions, Treasury received warrants 

to purchase, at a nominal cost, additional preferred stock (warrant preferreds) or subordinated debentures (warrant sub debt) 

equivalent to five percent of the aggregate liquidation preference of the primary CPP investment. These warrant preferreds and 

warrant sub debt securities pay a higher dividend or interest rate than the primary CPP investment. Treasury exercised these 

kinds of warrants at the closings of the investments.

Institutions may repay Treasury for its CPP investment under the conditions established in the CPP purchase agreements as 

amended by the American Recovery and Reinvestment Act of 2009 (ARRA). The repayment price is equal to what Treasury 

invested, plus any unpaid dividends or interest. Originally, the CPP contracts provided that an institution could not redeem 

the investment within the first three years except with the proceeds of a “qualified equity offering” (QEO), which is an offering 

of securities that would qualify as Tier 1 capital. The repayment terms of the contracts were later effectively amended by the 

ARRA, which provides that an institution can repay from any source of funds and without regard to any waiting period. For 

TIP investments, an institution was required to first redeem its CPP investment before being able to redeem the TIP preferred 

stock.7

In addition, in order to encourage institutions to seek additional private capital, the CPP contracts provided that participants 

could halve the number of shares subject to their warrants by completing one or more QEOs before December 31, 2009 with 

aggregate gross proceeds equivalent to the value of Treasury’s CPP investment. Thirty-eight CPP participants completed a 

QEO in time to reduce their warrants.

The CPP and TIP contracts further provide that once the preferred investment is redeemed or sold by Treasury, the institution 

has a right to repurchase its warrants at the fair market value. In addition, Treasury has the contractual right to sell the 

warrants.

The ARRA affected Treasury’s authority to dispose of warrants, as it provided that when an institution repaid, “the Secretary 

shall liquidate warrants [of such institution]... at the current market price.” The ARRA was subsequently amended in May 

2009 through the Helping Families Save Their Homes Act of 2009 (HFSTHA), which provides that the Secretary “may 

liquidate the warrants” following repayment.

5 EESA provides that the Secretary may establish a “de minimis” exception to the requirement to issue warrants in the case of an institution that 

receives less than $100 million in TARP funds. Treasury has exercised that authority by not requiring warrants in the case of investments in 

Community Development Financial Institutions in order to encourage their participation in CPP.

6 Treasury received warrants in Citigroup to purchase, at a fixed exercise price, shares of common stock equal to 10 percent of the aggregate 

liquidation preference of the senior preferred stock received by Treasury in connection with Citigroup’s participation in the Asset Guarantee 

Program.

7 Bank of America redeemed both its CPP and TIP on December 9, 2009. With regards to Citigroup, i) on December 23, 2009, 

Citigroup redeemed the trust preferred securities that Treasury had received in exchange for the original TIP preferred stock in 

Citigroup, ii) on September 30, 2010, Treasury sold its remaining trust preferred securities in Citigroup that Treasury had received in 

exchange for the original AGP preferred stock, and iii) on December 6, 2010, Treasury completed the sale of the common stock that it 

had received in exchange for its CPP investment in the Citigroup.
5 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition ReportWarran

Upon redemption of the preferred stock issued to Treasury, an institution has a contractual right to repurchase its warrants 

at the fair market value.8 The banks have 15 days from repayment of the preferred to submit a bid, and Treasury then has 10 

days to respond. In June 2009, Treasury announced that, in the event that an issuer does not repurchase its warrants, Treasury 

would sell the warrants to third parties “as quickly as practicable” and, when possible, by public auction. 

Issuer Repurchases

If a company wishes to repurchase its warrants, the issuer and Treasury must agree on the warrants’ fair market value. 

Accordingly, Treasury has established a methodology for evaluating a bank’s determination of fair market value. As described 

below, Treasury’s evaluation of an issuer’s bid is based on three categories of input: (i) market quotes, (ii) independent, third 

party valuations, and (iii) model valuations.

If the issuer and Treasury fail to agree on a price, an appraisal procedure may be invoked by either party within 30 days 

following Treasury’s response to the issuer’s first bid. In the appraisal process, each party selects an independent appraiser. 

These independent appraisers conduct their own valuations and attempt to agree upon the fair market value. If they agree on 

a fair market value, that valuation becomes the basis for repurchase. If these appraisers fail to agree, a third appraiser is hired, 

and subject to some limitations, a composite valuation of the three appraisals is used to establish the fair market value. To date, 

no institution has invoked the appraisal procedure. 

Even if an agreement is not reached within the specified timeframe, a bank that has repaid its preferred stock may bid to 

repurchase its warrants at any time, and Treasury will determine whether to accept the bid. 

Sale to Third Party

Treasury retains the right to sell the warrants to a third party at a mutually agreed upon price. Following 

repayment of the preferred stock, if a bank notifies Treasury that it does not intend to repurchase its warrants or cannot agree 

with Treasury on the fair market value, Treasury intends to dispose of the warrants, when possible, through public auctions. 

Treasury held the first warrant auctions in December 2009 and has held 24 public auctions to date. These public auctions were 

conducted as modified “Dutch” auctions which were registered under the Securities Act of 1933. Only one bank’s warrants 

were sold in each public auction. In this format, bidders were able to submit one or more independent bids at different pricequantity combinations and the warrants were sold at a uniform price that cleared the auction.

Treasury executed the first and, thus far, only tranche of private placement auctions for 17 warrant positions on November 

17, 2011. Each private offering of warrants uses an auction to establish a clearing price for each warrant position by allowing 

qualified bidders to submit bids at or above a minimum price specified for each warrant position. Each warrant position is sold 

to a single winning bidder.

8 Privately-held companies, S-corporations, and certain mutual institutions typically redeem their warrant preferreds or subordinated 

debentures at par when redeeming the primary CPP investment. (See Appendix I for table of warrant preferred repurchases as of 

December 31, 2011.)
6 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition ReportTreasury’s Evalu

Treasury adheres to a consistent process for evaluating bids from institutions to repurchase their warrants. Upon receiving 

a bid for a warrant repurchase, Treasury utilizes (i) market quotes, (ii) independent, third party valuations, and (iii) model 

valuations to assess the bid. 

(i) Market Quotes

There is little comparable market data for long-dated options. In order to perform its valuation analysis, Treasury seeks 

indications of value from various market participants active in the options markets. The range of estimated valuations is 

included in Treasury’s analysis along with the average of the market indications collected. Treasury also utilizes the market 

information from the trading of auctioned TARP warrants as another indication how of the market values long-dated warrants.

(ii) Third Party Valuations

Treasury engages outside consultants or external asset managers to provide independent, third party valuations for the warrants. 

The third party provides Treasury with an estimated valuation along with a range of potential values given a reasonable variance 

in the assumptions underlying their models. 

(iii) Model Valuations

Treasury uses a number of financial models to estimate warrant valuations. Primarily, Treasury uses a binomial option model 

adjusted for American style options, which is a well-accepted method for valuing options by both academics and market 

participants. Valuation estimates generated from the binomial model are presented in the Treasury’s analysis along with a range 

of potential values given a reasonable variance in key model inputs, such as assumptions about the expected future volatility 

and dividend yield of the underlying stock. Treasury’s internal valuation modeling was reviewed by Dr. Robert Jarrow, an 

options expert and professor at Cornell University, who concluded that “the Treasury’s modeling methodology for valuing the 

warrants is consistent with industry best practice and the highest academic standards.” More information on Treasury’s internal 

valuation modeling and the report written by Dr. Jarrow can be found on the OFS website.

Treasury and its external asset managers use the 20-trading day trailing average stock price of a company in their valuations to minimize 

the effects of day-to-day market fluctuations. Market participants who provide Treasury with market indications utilize the stock price 

at the time that they provide the valuation. If the discussions with an institution continue over an extended period of time, Treasury 

and its external asset managers will update their estimates as necessary. Treasury may also collect new market quotes or adjust the 

market quotes based on changes in market conditions from when the quotes were collected. (See Appendix I for information on the 

timing of issuers’ bids.)

Determination by Warrant Committee

Based on the range of estimated warrant values provided by these sources, a committee of Treasury officials within the Office 

of Financial Stability (OFS), who comprise the OFS Warrant Committee, makes a recommendation to the Assistant Secretary 

for Financial Stability as to whether to agree with the bank’s determination of fair market value. Each member of the Warrant 

Committee and the Assistant Secretary weigh the three valuation metrics as they deem appropriate. 

Additional factors presented to the Warrant Committee, along with the three valuation metrics discussed above include: 

• how quickly Treasury would have to monetize the warrants if the issuer does not repurchase based on 

legislation in place at the time as discussed in the “Background” section of this report,

• the expertise and experience of the outside consultant providing the third party valuation,

• the quality and number of market indications received, 

• any significant movements in the stock price of the issuer since market indications were collected, 

• deviations of the current stock price from the 20-trading day trailing average of the company’s stock price,

• the size of the warrant position and potential investor interest in the warrants, 

• the liquidity of the underlying common stock, and

• fixed transaction costs associated with selling the warrants to a third party.
7 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition 

ReportRepurchases of Warran

Treasury began selling warrants back to banks that had repaid theTARP investment in May 209.  In aggregate, 

December 31, 2011, Treasury has realized $3.7 billion in gross proceeds from 86 warrant repurchases. This compares favorably

to initial bids of $2.4 billion and estimates of aggregate value of $2.9 billion based on market indications, $3.5 billion based on 

third party estimates, and $3.3 billion based on Treasury’s internal financial model. Warrants repurchased by the issuer have

yielded an extra absolute return of 4.07% on Treasury’s investment.

When selling warrants back to the issuer, Treasury has achieved fair market values and protected the taxpayer. Dr. Jarrow

noted that “[Treasury’s] valuation process results in a warrant valuation that is fair to both the participating banks and the U.S

taxpayers.” Further, the Special Inspector General for the Troubled Asset Relief Program (SIGTARP ) audit 

May 15, 2010 entitled Assessing Treasury’s Process to Sell Warrants Received from TARP Recipients concluded that Treasury

successfully negotiated prices from institutions that wished to repurchase their warrants that were at or above Treasury’s

estimated range of fair market value for such warrants.9

 The report also described the valuation methodology to estimate fair 

market value and offered no suggestions for modifying that methodology.10

9 SIGTARP report, Assessing Treasury’s Process to Sell Warrants Recived from TARP Recipients, dat

10 SIGTARP offered some suggestions regarding documentation of the negotiation process, and regarding insuring consistency i

information provided to issuers seeking to repurchase their warrants. Treasury reviewed these suggestions carefully and has made

appropriate changes to its procedures for recording Warrant Committee meeting minutes and conversations with banks regarding the 

repurchases of their warrants. 
8 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition 

ReportAuctions of Warran

Following repayment of its preferred stock, if a bank notifies Treasury that it does not intend to repurchase its warrants or

cannot agree with Treasury on the fair market value, Treasury disposes of the warrants, when possible, through public auctions

Since December 2009, Treasury has publicly auctioned 24 warrant positions in 21 financial institutions, generating aggregat

proceeds of approximately $5.4 billion.11 Demand in the public warrant auctions has exceeded the number of warrant shares 

being auctioned by an average of 6.9 times with an oversubscription range of 2.0 to 18.3 times. Warrants sold through public 

auctions have yielded an extra absolute return of 3.27% on Treasury’s investment.

The auctions have also provided valuable insights into how the market values long-dated warrants, as scores of different bidders 

have placed hundreds of unique bids in each auction. The auctions have resulted in estimated placements of approximately 

46% to fundamental institutional investors,12 25% to convertible-focused investors, 19% to derivative-focused investors, 

and 10% to individual investors. Typically, many of the fundamental institutional investors who buy warrants in any given

auction are also holders of the bank’s common stock.

Active secondary trading in the warrants has further validated the auction prices and provides ongoing observable market prices

for long-dated warrants. Each of the warrants sold through public auction has been listed on the New York Stock Excha

or the NASDQ.  Trading volumes tend to be very high during the first few days following an auction and then to fall 

a lower range. Excluding the first five trading days after each auction, the daily trading volume of the warrants has averaged

0.38% of the outstanding securities. Across the 24TARP warrant positions currently outstanding with public investors, 

million warrants change hands on a typical trading day. 

In a Treasury report entitled Treasury Analysis of Warrant Auction Results, the OFS and the Office of Economic Polic

examined three CPP warrant auctions and on TIP warrant auction, each of which generated proceeds in excess of 

million.13 This report concluded that no single bidder had a large impact on the final clearing price in these four auctions. 

Further, the report showed that increasing the amount of smaller bidders participating in the auctions would not have had a 

material impact on the final clearing price. These two results suggest that the auctions were robust and achieved a fair market 

value.

Treasury has successfully disposed of warrants through the auction process. Clearing prices have been set through robust

competition between a large number of bidders, and fair market value has been achieved for taxpayers. Additionally, an active

and liquid secondary market for the warrants has been established, providing greater confidence in the market value of the total 

Treasury warrant portfolio and thereby supporting future auctions.

11 Treasury held two separate auctions for different Bank of America Corporation CPP and TIP warrants. See footnote 5.

12 The estimated placements to different investor types are calculated excluding any allocations to the issuing institution.

13 The report Treasury Analysis of Warrant Auction Results can be found on the Treasury website: http://www.ustreas.gov/offices/

economic-policy/reports/Auction-Analysis-3-18-2010.pdf
9 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition ReportPrivate Placement

Warrants are also sold through private placement auctions when the expected proceeds of the warrant sale do not justify the 

fixed cost, both to the issuing institution and the Treasury, of a registered transaction or when the warrant position does not 

meet certain requirements for listing on the relevant exchange. 

These sales are executed using an auction to establish a clearing price for each warrant position by allowing appropriately 

qualified bidders to submit bids at or above a minimum price specified for each warrant position. Each warrant position is sold 

to a single winning bidder. 

Treasury executed the first and, thus far, only tranche of private placement auctions for 17 warrant positions on November 17, 

2011, generating gross proceeds of $12.7 million. Treasury expects to conduct similar auctions in the future for other warrant 

positions it holds in financial institutions that have repaid CPP.
10 Warrant Disposition Report - Update DECEMBER 31

Warrant Disposition 

Repor

Modified “Dutch” Auctions For the public warrant auctions

completed to date, Treasury has 

utilized modified “Dutch” auctions 

to dispose of the warrants. The 

public auctions were registered

under the Securities Act of 1933.

Only one bank’s warrants were 

sold in each such auction. With 

advice from its external asset 

managers and the auction agent, 

Treasury publicly disclosed a 

minimum bid for each auction. 

Bidders were able to submit one or 

more independent bids at different 

price-quantity combinations at 

or above the set minimum price. 

The auction agent did not provide 

bidders with any information 

about the bids of other bidders 

or auction trends, or with advice 

regarding bidding strategies, in 

connection with the auction.

The issuers of the warrants were 

able to bid for their warrants in 

the auctions. Bids were accepted 

by the auction agent from 8:00 

a.m. to 6:30 p.m. on the day of the

auction. The warrants were sold 

to all winning bids at the uniform 

price that cleared the auction. 

Deutsche Bank Securities Inc. has 

been Treasury’s auction agent each 

public auction to date. Deutsche 

Bank receives fees equal to 

approximately 1.3% of the gross 

proceeds ($72.1 million) which 

is significantly below typical 

secondary equity offering fees

that run around 3.5% to 4.5%

depending on the size of the

offering.

For illustrative purposes only, 

Figures 1 and 2 are example charts 

of the demand in a theoretical 

auction of an 8 million share 

position with a minimum price 

of $3.00 per share and a clearing 

price of $5.75 per share.

Modified “Dutch” Aucti

Figure 1: Illustrative Cumulative Auction 

Demand by Price 

Figure 2: Illustrative Auction Demand by Price

0	
  

5	
  

10	
  

15	
  

20	
  

25	
  

30	
  

$3.00	
   $3.25	
   $3.50	
   $3.75	
   $4.00	
   $4.25	
   $4.50	
   $4.75	
   $5.00	
   $5.25	
   $5.50	
   $5.75	
   $6.00	
   $6.25	
   $6.50	
   $6.75	
   $7.00	
   $7.25	
   $7.50	
   $7.75	
   $8.00	
  

Example	
  of	
  Cumula-ve	
  Demand	
  by	
  Price	
  

Example	
  Auc7on	
  Clearing	
  Price	
  $5.75	
  	
  
11 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of a

Issuer Bids Date of Issuer Bids

Company Ticker CPP Preferred 

($thousands)

Redemption 

Date

Bid #1 Bid #2 Bid #3 Bid #4 Bid # 5 Final Price

($thousands)

Bid #1 Bid #2 Bid #3 Bid #4 Bid #5 Warrant Repurchase 

Date

Old National Bancorp ONB $100,000 3/31/09 $559 $1,200 $1,200 4/15/09 5/6/09 5/8/09

IBERIABANK Corporation IBKC 90,000 3/31/09 620 1,200 1,200 4/14/09 5/12/09 5/20/09

Sun Bancorp SNBC 89,310 4/8/09 1,049 2,100 2,100 4/21/09 5/19/09 5/27/09

FirstMerit Corp FMER 125,000 4/22/09 3,186 5,025 5,025 5/15/09 5/21/09 5/27/09

Independent Bank Corp INDB 78,158 4/22/09 880 2,200 2,200 5/2/09 5/21/09 5/27/09

Alliance Financial Corporation ALNC 26,918 5/13/09 320 900 900 5/26/09 6/12/09 6/17/09

SCBT Financial Corporation SCBT 64,779 5/20/09 694 1,400 1,400 6/3/09 6/16/09 6/24/09

Berkshire Hills Bancorp BHLB 40,000 5/27/09 875 1,040 1,040 6/8/09 6/17/09 6/24/09

Somerset Hills Bancorp SOMH 7,414 5/20/09 193 275 275 6/4/09 6/17/09 6/24/09

First Niagra Financial Group FNFG 184,011 5/27/09 1,500 2,700 2,700 6/4/09 6/19/09 6/24/09

HF Financial Corp. HFFC 25,000 6/3/09 465 600 650 650 6/9/09 6/29/09 6/29/09 6/30/09

State Street Corporation STT 2,000,000 6/17/09 60,000 60,000 6/22/09 7/8/09

U.S. Bancorp USB 6,599,000 6/17/09 115,000 131,000 139,000 139,000 6/18/09 7/1/09 7/8/09 7/15/09

BB&T Corporation BBT 3,133,640 6/17/09 20,854 41,707 64,925 67,010 67,010 6/24/09 7/8/09 7/14/09 7/14/09 7/22/09

Goldman Sachs Group, Inc. GS 10,000,000 6/17/09 600,000 900,000 1,100,000 1,100,000 6/17/09 7/20/09 7/21/09 7/22/09

American Express Company AXP 3,388,890 6/17/09 230,000 260,000 340,000 340,000 7/1/09 7/20/09 7/27/09 7/29/09

Bank of New York Mellon BK 3,000,000 6/17/09 79,000 118,000 130,000 136,000 136,000 6/30/09 7/29/09 7/30/09 7/31/09 8/5/09

Morgan Stanley MS 10,000,000 6/17/09 500,000 800,000 900,000 950,000 950,000 6/30/09 8/3/09 8/4/09 8/5/09 8/12/09

Northern Trust Corporation NTRS 1,576,000 6/17/09 37,000 75,000 87,000 87,000 6/18/09 8/17/09 8/19/09 8/26/09

Old Line Bancshares OLBK 7,000 7/15/09 175 205 225 225 7/29/09 8/19/09 8/20/09 9/2/09

Bancorp Rhode Island, Inc. BARI 30,000 8/5/09 857 1,125 1,400 1,400 8/19/09 9/16/09 9/21/09 9/30/09

Manhattan Bancorp MNHN 1,700 9/16/09 63 63 9/29/09 10/14/09

CenterState Banks, Inc. CSFL 27,875 9/30/09 168 212 212 10/9/09 10/20/09 10/28/09

CVB Financial Corp. CVBF 130,000 9/2/09 1,002 1,307 1,307 9/17/09 10/21/09 10/28/09

Bank of the Ozarks, Inc. OZRK 75,000 11/4/09 2,161 2,650 2,650 11/5/09 11/18/09 11/24/09

Wainwright Bank and Trust WAIN 22,000 11/24/09 569 569 12/3/09 12/16/09

LSB Corporation LSBX 15,000 11/18/09 500 560 560 12/4/09 12/8/09 12/16/09

Wesbanco, Inc. WSBC 75,000 9/2/09 825 950 950 950 9/22/09 10/20/09 12/11/09 12/23/09

Union Bankshares Corporation UBSH 59,000 11/18/09 400 450 450 11/24/09 12/16/09 12/23/09

Flushing Financial Corporation FFIC 70,000 10/28/09 597 700 860 900 900 11/10/09 12/14/09 12/23/09 12/28/09 12/30/09

Trustmark Corporation TRMK 215,000 12/3/09 8,167 9,200 9,600 10,000 10,000 12/23/09 12/28/09 12/28/09 12/29/09 12/30/09

OceanFirst Financial Corp. OCFC 38,263 12/30/09 431 431 1/21/10 2/3/10

Monarch Financial Holdings, Inc. MNRK 14,700 12/23/09 209 250 260 260 1/6/10 1/22/10 2/1/10 2/10/10

Umpqua Holdings Corp. UMPQ 214,181 2/17/10 2,055 3,610 4,250 4,500 4,500 3/2/10 3/19/10 3/22/10 3/22/10 3/31/10

City National Corporation CYN 400,000 3/3/10 11,900 17,500 18,500 18,500 3/17/10 4/5/10 4/6/10 4/7/10

First Litchfield Financial Corporation FLFL 10,000 4/7/10 1,488 1,488 4/7/10 4/7/10

SVB Financial Group SIVB 235,000 12/23/09 3,800 6,200 6,820 6,820 2/18/10 6/4/10 6/8/10 6/16/10

Discover Financial Services DFS 1,224,558 4/21/10 165,000 180,000 172,000 172,000 4/23/10 5/4/10 6/29/10 7/7/10

Bar Harbor Bankshares BHB 18,751 2/24/10 67 175 225 250 250 3/10/10 4/23/10 7/20/10 7/22/10 7/28/10

Citizens & Northern Corporation CZNC 26,400 8/4/10 400 400 8/19/10 9/1/10

Columbia Banking System COLB 76,898 8/11/10 3,302 3,302 8/19/10 9/1/10

The Bancorp, Inc. TBBK 45,220 3/10/10 3,546 4,852 4,754 4,754 3/15/10 3/29/10 9/2/10 9/8/10

Fulton Financial Corporation FULT 376,500 7/14/10 8,000 9,500 10,800 10,800 8/6/10 9/2/10 9/3/10 9/8/10

Central Jersey Bancorp CJBK 11,300 11/24/10 320 320 12/1/10 12/1/10

First PacTrust Bancorp Inc. FPTB 19,300 12/15/10 291 1,003 1,003 12/17/10 12/30/10 1/5/11

Huntington Bancshares Incorporated HBAN 1,398,071 12/22/10 49,100 49,100 1/6/11 1/19/11

Susquehanna Bancshares, Inc. SUSQ 300,000 12/29/10 4,482 5,269 5,269 12/29/10 1/12/11 1/19/11

East West Bancorp, Inc. EWBC 306,546 12/29/10 12,000 14,500 14,500 1/11/11 1/21/11 1/26/11

Sandy Spring Bancorp, Inc. SASR 83,094 12/15/10 3,077 3,430 3,750 4,200 4,450 4,450 12/29/10 1/21/11 2/2/11 2/11/11 2/11/11 2/23/11

Washington Banking Company WBCO 26,380 1/12/11 1,370 1,575 1,625 1,625 1/28/11 2/8/11 2/16/11 3/2/11

1st Source Corporation SRCE 111,000 12/29/10 3,250 3,750 3,750 3,750 1/20/11 1/31/11 3/2/11 3/9/11

First Horizon National Corporation FHN 866,540 12/22/10 51,948 79,700 79,700 1/26/11 3/4/11 3/9/11

Fifth Third Bancorp FITB 3,408,000 2/2/11 273,919 280,026 280,026 280,026 2/16/11 3/8/11 3/14/11 3/16/11

National Penn Bancshares, Inc. NPBC 150,000 3/16/11 486 765 882 1,000 1,000 3/23/11 4/5/11 4/6/11 4/8/11 4/13/11

Bridge Capital Holdings BBNK 23,864 2/23/11 1,150 1,395 1,395 3/30/11 4/8/11 4/20/11

KeyCorp KEY 25,000 3/30/11 63,000 70,000 70,000 4/6/11 4/18/11 4/20/11

Financial Institutions, Inc. FISI 37,515 3/30/11 1,418 1,853 2,080 2,080 4/8/11 4/21/11 5/2/11 5/11/11

Sterling Bancorp STL 42,000 4/27/11 946 946 5/5/11 5/18/11

Whitney Holding Corporation / Hancock HBHC 300,000 4/29/11 6,000 6,900 6,900 4/26/11 5/13/11 6/3/11

Home Bancshares, Inc. HOMB 50,000 7/6/11 697 1,300 1,300 7/7/11 7/21/11 7/27/11

MidWestOne Financial Group, Inc MOFG 16,000 7/6/11 800 950 1,000 1,000 7/13/11 7/20/11 7/21/11 7/27/11

Heritage Financial Corporation HFWA 24,000 12/22/10 286 372 390 450 450 1/4/11 1/18/11 6/24/11 8/5/11 8/17/11

First California Financial Group, Inc FCAL 25,000 7/14/11 599 599 8/9/11 8/24/11

West Bancorporation, Inc. WTBA 36,000 6/29/11 356 559 700 700 7/12/11 8/5/11 8/23/11 8/31/11

Summit State Bank SSBI 8,500 8/4/11 270 303 315 315 8/16/11 8/31/11 9/8/11 9/14/11

DNB Financial Corporation DNBF 11,750 8/4/11 373 458 458 8/16/11 8/31/11 9/21/11

Great Southern Bancorp GSBC 58,000 8/18/11 4,500 6,436 6,436 6,436 8/22/11 9/8/11 9/15/11 9/21/11

Oak Valley Bancorp OVLY 13,500 8/11/11 408 507 560 560 8/22/11 9/8/11 9/20/11 9/28/11

Central Valley Community Bancorp CVCY 7,000 8/18/11 185 185 9/9/11 9/28/11

Codorus Valley Bancorp, Inc. CVLY 16,500 8/18/11 527 527 8/31/11 9/28/11

MutualFirst Financial, Inc. MFSF 32,382 8/25/11 313 563 900 900 8/26/11 9/7/11 9/20/11 9/28/11

Heartland Financial USA, Inc. HTLF 81,698 9/15/11 1,800 1,800 9/16/11 9/28/11

Central Bancorp, Inc. CEBK 10,000 8/25/11 2,100 2,200 2,300 2,400 2,525 2,525 9/9/11 9/26/11 9/29/11 10/6/11 10/12/11 10/19/11

Community Bank Shares of Indiana, Inc. CBIN 19,468 9/15/11 1,101 1,101 10/4/11 10/19/11

Community Partners Bancorp CPBC 9,000 8/11/11 200 375 385 415 460 460 9/7/11 9/26/11 9/29/11 10/12/11 10/18/11 10/26/11

Stewardship Financial Corporation SSFN 10,000 9/1/11 107 107 10/11/11 10/26/11

Bank of Commerce Holdings BOCH 17,000 9/26/11 96 125 125 10/4/11 10/17/11 10/26/11

AmeriServ Financial, Inc. ASRV 21,000 8/11/11 392 659 708 812 825 825 9/12/11 9/29/11 10/20/11 10/25/11 10/27/11 11/2/11

Salisbury Bancorp, Inc. SAL 8,816 8/25/11 113 202 202 205 205 8/31/11 9/15/11 9/29/11 10/28/11 11/2/11

Citizens South Banking Corporation CSBC 20,500 9/22/11 144 225 225 10/5/11 11/2/11 11/9/11

Shore Bancshares, Inc. SHBI 25,000 4/15/09 254 25 25 5/7/09 11/2/11 11/16/11

QCR Holdings, Inc. QCRH 38,237 9/15/11 550 850 1,100 1,100 9/28/11 10/20/11 11/8/11 11/16/11

First Northern Community Bancorp FNRN 17,390 9/15/11 230 300 375 375 9/22/11 10/20/11 10/28/11 11/16/11

Emclaire Financial Corp. EMCF 7,500 8/18/11 51 51 11/16/11 12/7/11

Center Bancorp, Inc. CNBC 10,000 9/15/11 143 200 222 245 245 9/30/11 11/2/11 11/14/11 11/22/11 12/7/11

First Midwest Bancorp, Inc. FMBI 193,000 11/23/11 900 900 12/6/11 12/21/11

Total 86 $51,832,017 $2,358,127 $3,686,054

Note: The first bid date is the date that an issuer submitted its bid. Subsequent bid dates are the dates the Warrant Committee met to consider those 

bids. 

Appendix I – Detailed Tables of Warrant Repurchases and Auctions 
12 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of arrant Repurchases and Auctions Is

Ordered by Auction Date Issuer Bids Date of Issuer Bids Company Ticker CPP/TIP Preferred ($thousands) Redemption Date Bid #1 Bid #2 Bid #3 Bid #4 Auction Proceeds ($thousands) Bid #1 Bid #2 Bid #3 Bid #4 Auction Date Capital One Financial Corp. COF $3,555,199 6/17/09 $46,500 $148,731 6/30/09 12/3/09 JPMorgan Chase & Co. JPM 25,000,000 6/17/09 825,539 950,318 6/17/09 12/10/09 TCF Financial Corporation TCB 361,172 4/22/09 3,200 9,600 5/5/09 12/15/09 Bank of America Corporation (CPP) BAC 25,000,000 12/9/09 N/A 310,572 N/A 3/3/10 Bank of America Corporation (TIP) BAC 20,000,000 12/9/09 N/A 1,255,639 N/A 3/3/10 Washington Federal, Inc. WFSL 200,000 5/27/09 N/A 15,623 N/A 3/9/10 Signature Bank SBNY 120,000 3/31/09 N/A 11,321 N/A 3/10/10 Texas Capital Bancshares TCBI 75,000 5/13/09 N/A 6,709 N/A 3/11/10 PNC Financial Services Group, Inc. PNC 7,579,200 2/10/10 N/A 324,196 N/A 4/29/10 Comerica Incorporated CMA 2,250,000 3/17/10 N/A 183,673 N/A 5/6/10 Valley National Bancorp VLY 300,000 12/23/09 2,291 5,572 1/7/10 5/18/10 Wells Fargo & Company WFC 25,000,000 12/23/09 593,600 700,000 750,000 849,015 1/7/10 2/12/10 2/22/10 5/20/10 First Financial Bancorp FFBC 80,000 2/24/10 N/A 3,116 N/A 6/2/10

Sterling Bancshares, Inc. SBIB 125,198 5/5/09 4,000 3,008 6/5/09 6/9/10

Lincoln National Corporation LNC 950,000 6/30/10 N/A 216,621 N/A 9/16/10

Hartford Financial Services Group, Inc. HIG 3,400,000 3/31/10 N/A 713,687 N/A 9/21/10

Citigroup, Inc. (TIP) C 20,000,000 12/23/09 N/A 257,583 N/A 1/25/11

Citigroup, Inc. (CPP) C 25,000,000 12/6/10 N/A 54,622 N/A 1/25/11

Boston Private Financial Holdings, Inc. BPFH 154,000 6/16/10 4,300 6,353 7/12/10 2/1/11Wintrust Financial Corporation WTFC 250,000 12/22/10 N/A 25,964 N/A 2/8/11

Webster Financial Corporation WBS 400,000 12/29/10 N/A 20,678 N/A 6/2/11SunTrust Banks, Inc. (A & B Warrants) STI 4,850,000 3/30/11 N/A 30,494 N/A 9/22/11

Associated Banc-Corp ASBC 525,000 4/6/11 N/A 3,585 N/A 11/30/11

Total 24 $165,174,769 $5,406,680
13 Warrant Disposition Report - Update DECEMBER 31

Appendix  – Detailed Tables of Warrant Repurchases an

IssuerBids andPrivatePlacementSal

of Warrants Issuer Bids Date of Issuer Bids Company Ticker CPP/TIP Preferred ($thousands) Redemption Date Bid #1 Bid #2 Bid #3 Bid #4 Auction Proceeds ($thousands) Bid #1 Bid #2 Bid #3 Bid #4 Auction Date Bank of Marin Bancorp BMRC $28,000 3/31/09 $1,368 $1,704 11/1/11 11/17/11 First Community Bancshares Inc. FCBC 41,500 7/8/09 N/A 31 N/A 11/17/11 Westamerica Bancorporation WABC 41,863 9/2/09 N/A 878 N/A 11/17/11 F.N.B. Corporation FNB 100,000 9/9/09 N/A 690 N/A 11/17/11 LCNB Corp. LCNB 13,400 10/21/09 N/A 603 N/A 11/17/11 Eagle Bancorp, Inc. EGBN 38,235 12/23/09 N/A 2,794 N/A 11/17/11

Middleburg Financial Corporation MBRG 22,000 12/23/09 N/A 301 N/A 11/17/11

Lakeland Financial Corporation LKFN 56,044 6/9/10 N/A 878 N/A 11/17/111st Constitution Bancorp FCCY 12,000 10/27/10 217 425 327 11/10/11 11/24/10 11/17/11Horizon Bancorp HBNC 25,000 11/10/10 N/A 1,751 N/A 11/17/11First Busey Corporation BUSE 100,000 8/25/11 41 58 64 9/6/11 9/21/11 11/17/11

MidSouth Bancorp, Inc. MSL 20,000 8/25/11 N/A 207 N/A 11/17/11First Bancorp FBNC 65,000 9/1/11 N/A 924 N/A 11/17/11

CoBiz Financial Inc. COBZ 64,450 9/8/11 N/A 144 N/A 11/17/11

First Merchants Corporation FRME 46,400 9/22/11 N/A 368 N/A 11/17/11Western Alliance Bancorporation WAL 140,000 9/26/11 320 650 750 415 10/11/11 11/1/11 11/8/11 11/17/11

Encore Bancshares Inc. EBTX 34,000 9/26/11 N/A 637 N/A 11/17/11

Total 17 $847,892 $12,714
14 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of a

Decision Date

Institution Name Ticker Decision 

Date

Payment 

Date

Expiration 

Date

Strike 

Price 

QEO? - (i.e. 

warrants 

cut by 

50%)

Final 

Warrant 

Shares

Warrant 

Repurchase 

Price/Share

Warrant 

Repurchase 

Proceeds

Estimated

Implied

Volatility*

Stock 

Price

20-day 

Avg Stock 

Price

Warrant 

Price / 

Stock 

Price

Underlying / 

Strike

Goldman Sachs Group, Inc. GS 7/21/09 7/22/09 10/28/18 $122.90 - 12,205,045 $90.13 $1,100,000,000 N/A $159.80 $148.16 0.56 1.30 x

Morgan Stanley MS 8/5/09 8/12/09 10/28/18 22.99 - 65,245,759 14.56 950,000,000 40.6% - 44.5% 31.05 28.16 0.47 1.35 x

American Express Company AXP 7/27/09 7/29/09 1/9/19 20.95 - 24,264,129 14.01 340,000,000 33.3% - 38.7% 28.38 25.71 0.49 1.35 x

Fifth Third Bancorp FITB 3/14/11 3/16/11 12/31/18 11.72 - 43,617,747 6.42 280,025,936 37.6% - 40.7% 13.90 14.37 0.46 1.19 x

Discover Financial Services DFS 6/29/10 7/7/10 3/13/19 8.96 - 20,500,413 8.39 172,000,000 30.1% - 37.4% 13.80 13.66 0.61 1.54 x

U.S. Bancorp USB 7/8/09 7/15/09 11/14/18 30.29 - 32,679,102 4.25 139,000,000 45.6% - 52.7% 16.59 17.69 0.26 0.55 x

Bank of New York Mellon BK 7/31/09 8/5/09 10/28/18 31.00 - 14,516,129 9.37 136,000,000 39.3% - 42.6% 27.34 27.98 0.34 0.88 x

Northern Trust Corporation NTRS 8/19/09 8/26/09 11/14/18 61.81 - 3,824,624 22.75 87,000,000 35.7% - 39.6% 60.38 60.00 0.38 0.98 x

First Horizon National Corporation FHN 3/4/11 3/9/11 11/14/18 8.76 - 14,842,321 5.37 79,700,000 31.1% - 35.9% 11.43 11.62 0.47 1.30 x

KeyCorp KEY 4/18/11 4/20/11 11/14/18 10.64 - 35,244,361 1.99 70,000,000 24.9% - 34.0% 8.59 8.80 0.23 0.81 x

BB&T Corporation BBT 7/14/09 7/22/09 11/14/18 33.81 - 13,902,573 4.82 67,010,402 31.4% - 34.4% 21.65 21.64 0.22 0.64 x

State Street Corporation STT 7/1/09 7/8/09 10/28/18 53.80 Yes 2,788,104 21.52 60,000,000 32.0% - 35.1% 47.35 46.98 0.45 0.88 x

Huntington Bancshares Incorporated HBAN 1/13/11 1/19/11 11/14/18 8.90 - 23,562,994 2.08 49,100,000 37.9% - 43.8% 7.12 6.92 0.29 0.80 x

City National Corporation CYN 4/6/10 4/7/10 11/21/18 53.16 - 1,128,668 16.39 18,500,000 35.1% - 38.6% 55.70 53.90 0.29 1.05 x

East West Bancorp, Inc. EWBC 1/21/11 1/26/11 12/5/18 15.15 Yes 1,517,555 9.55 14,500,000 23.5% - 27.9% 20.78 20.28 0.46 1.37 x

Fulton Financial Corporation FULT 9/3/10 9/8/10 12/23/18 10.25 - 5,509,756 1.96 10,800,000 25.8% - 33.5% 8.72 8.52 0.22 0.85 x

Trustmark Corporation TRMK 12/29/09 12/30/09 11/21/18 19.57 - 1,647,931 6.07 10,000,000 27.9% - 30.8% 22.80 20.84 0.27 1.17 x

Whitney Holding Company / Hancock HBHC 5/13/11 6/3/11 12/19/18 40.91 - 1,100,000 6.27 6,900,000 19.0% - 22.9% 31.76 32.32 0.20 0.78 x

SVB Financial Group SIVB 6/8/10 6/16/10 12/12/18 49.78 Yes 354,058 19.26 6,820,000 30.0% - 32.6% 42.24 45.32 0.46 0.85 x

Great Southern Bancorp GSBC 9/15/11 9/21/11 12/5/18 9.57 - 909,091 7.08 6,436,364 39.2% - 44.7% 16.36 16.61 0.43 1.71 x

Susquehanna Bancshares, Inc. SUSQ 1/12/11 1/19/11 12/12/18 14.86 - 3,028,264 1.74 5,269,179 33.3% - 36.0% 9.18 9.47 0.19 0.62 x

FirstMerit Corp FMER 5/21/09 5/27/09 1/9/19 19.69 - 952,260 5.28 5,025,000 34.9% - 38.3% 17.54 19.27 0.30 0.89 x

The Bancorp, Inc. TBBK 9/2/10 9/8/10 12/12/18 3.46 Yes 980,203 4.85 4,753,985 46.7% - 55.6% 6.89 6.60 0.70 1.99 x

Umpqua Holdings Corp. UMPQ 3/22/10 3/31/10 11/14/18 14.46 Yes 1,110,897 4.05 4,500,000 25.1% - 29.4% 13.60 12.87 0.30 0.94 x

Sandy Spring Bancorp, Inc. SASR 2/11/11 2/23/11 12/5/18 19.13 - 651,547 6.83 4,450,000 29.8% - 34.5% 19.35 18.97 0.35 1.01 x

1st Source Corporation SRCE 3/2/11 3/9/11 1/23/19 19.87 - 837,947 4.48 3,750,000 25.8% - 28.7% 9.15 9.01 0.49 0.46 x

Columbia Banking System, Inc. COLB 8/25/10 9/1/10 11/21/18 14.49 Yes 398,023 8.30 3,301,647 40.3% - 46.0% 17.00 17.21 0.49 1.17 x

First Niagara Financial Group FNFG 6/19/09 6/24/09 11/21/18 14.48 Yes 953,096 2.83 2,700,000 28.5% - 31.7% 11.93 12.05 0.24 0.82 x

Bank of the Ozarks, Inc. OZRK 11/18/09 11/24/09 12/12/18 29.62 - 379,811 6.98 2,650,000 20.9% - 25.1% 27.48 24.46 0.25 0.93 x

Central Bancorp, Inc. CEBK 10/12/11 10/19/11 12/5/18 6.39 - 234,742 10.76 2,525,000 28.5% - 31.6% 16.14 17.15 0.67 2.53 x

Independent Bank Corp INDB 5/21/09 5/27/09 1/9/19 24.34 - 481,664 4.57 2,200,000 16.0% - 19.9% 19.60 19.92 0.23 0.81 x

Sun Bancorp SNBC 5/19/09 5/27/09 1/9/19 8.27 - 1,620,545 1.30 2,100,000 30.7% - 34.1% 6.25 6.36 0.21 0.76 x

Financial Institutions, Inc. FISI 5/2/11 5/11/11 12/23/18 14.88 378,175 5.50 2,079,963 21.8% - 30.2% 16.55 16.88 0.33 1.11 x

Heartland Financial USA, Inc. HTLF 9/16/11 9/28/11 12/19/18 20.10 - 609,687 2.95 1,800,000 N/A 12.70 13.95 0.23 0.63 x

Washington Banking Company WBCO 2/16/11 3/2/11 1/16/19 8.04 Yes 246,082 6.60 1,625,000 21.9% - 26.6% 13.63 13.69 0.48 1.70 x

First Litchfield Financial Corporation FLFL 4/7/10 4/7/10 12/12/18 7.53 - 199,203 7.47 1,488,046 N/A 14.95 14.65 0.50 1.99 x

SCBT Financial Corporation SCBT 6/16/09 6/24/09 1/16/19 32.06 - 303,083 4.62 1,400,000 20.1% - 25.5% 23.16 23.45 0.20 0.72 x

Bancorp Rhode Island, Inc. BARI 9/21/09 9/30/09 12/19/18 23.32 - 192,967 7.26 1,400,000 26.4% - 29.2% 24.66 25.57 0.29 1.06 x

Bridge Capital Holdings BBNK 4/8/11 4/20/11 12/23/18 9.03 - 396,412 3.52 1,395,000 17.5% - 20.8% 9.82 9.41 0.36 1.09 x

CVB Financial Corp. CVBF 10/21/09 10/28/09 12/5/18 11.68 Yes 834,761 1.57 1,307,000 20.3% - 23.6% 8.81 7.73 0.18 0.75 x

Home Bancshares, Inc. HOMB 7/21/11 7/27/11 1/16/19 23.66 Yes 158,472 8.20 1,300,000 24.0% - 28.0% 24.46 23.98 0.34 1.03 x

Old National Bancorp ONB 5/6/09 5/8/09 12/12/18 18.45 - 813,008 1.48 1,200,000 18.4% - 22.0% 14.33 14.18 0.10 0.78 x

IBERIABANK Corporation IBKC 5/12/09 5/20/09 12/5/18 48.74 Yes 138,490 8.66 1,200,000 33.5% - 36.1% 47.22 48.23 0.18 0.97 x

Community Bank Shares of Indiana, Inc. CBIN 10/4/11 10/19/11 5/29/19 7.56 - 386,270 2.85 1,100,870 38.1% - 40.7% 9.39 9.65 0.30 1.24 x

QCR Holdings, Inc. QCRH 11/8/11 11/16/11 2/13/19 10.99 - 521,888 2.11 1,100,000 30.9% - 33.5% 8.95 9.03 0.24 0.81 x

Berkshire Hills Bancorp BHLB 6/17/09 6/24/09 12/19/18 26.51 - 226,330 4.60 1,040,000 13.8% - 17.0% 20.17 21.38 0.23 0.76 x

First PacTrust Bancorp, Inc. FPTB 12/30/10 1/5/11 11/21/18 10.31 - 280,795 3.57 1,003,227 22.4% - 25.9% 13.01 12.60 0.27 1.26 x

National Penn Bancshares, Inc. NPBC 4/8/11 4/13/11 12/12/18 15.30 Yes 735,294 1.36 1,000,000 18.3% - 21.5% 7.96 7.73 0.17 0.52 x

MidWestOne Financial Group, Inc MOFG 7/21/11 7/27/11 2/6/19 12.08 - 198,679 5.03 1,000,000 27.8% - 30.7% 14.50 14.20 0.35 1.20 x

Wesbanco, Inc. WSBC 12/11/09 12/23/09 12/5/18 25.61 - 439,282 2.16 950,000 22.1% - 25.3% 12.41 12.71 0.17 0.48 x

Sterling Bancorp STL 5/13/11 5/18/11 12/23/18 12.19 - 516,817 1.83 945,775 30.3% - 33.0% 9.50 10.06 0.19 0.78 x

MutualFirst Financial, Inc. MFSF 9/20/11 9/28/11 12/23/18 7.77 - 625,135 1.44 900,194 31.2% - 34.2% 7.03 7.52 0.20 0.90 x

Alliance Financial Corporation ALNC 6/12/09 6/17/09 12/19/18 23.33 - 173,069 5.20 900,000 41.9% - 44.4% 26.61 25.50 0.20 1.14 x

Flushing Financial Corporation FFIC 12/28/09 12/30/09 12/19/18 13.97 Yes 375,806 2.39 900,000 N/A 11.73 10.92 0.20 0.84 x

First Midwest Bancorp, Inc. FMBI 12/6/11 12/21/11 12/15/18 22.18 - 1,305,230 0.69 900,000 14.8% - 18.4% 9.29 9.16 0.07 0.42 x

AmeriServ Financial, Inc. ASRV 10/27/11 11/2/11 12/19/18 2.40 - 1,312,500 0.63 825,000 27.8% - 32.4% 1.86 1.89 0.34 0.78 x

West Bancorporation, Inc. WTBA 8/23/11 8/31/11 12/31/18 11.39 - 474,100 1.48 700,000 18.2% - 20.9% 8.44 8.91 0.17 0.74 x

HF Financial Corp. HFFC 6/29/09 6/30/09 11/21/18 12.40 - 302,419 2.15 650,000 26.3% - 30.1% 11.95 12.08 0.18 0.96 x

First California Financial Group, Inc FCAL 8/9/11 8/24/11 12/19/18 6.26 - 599,042 1.00 599,042 34.9% - 38.2% 3.15 3.60 0.32 0.50 x

Wainwright Bank and Trust WAIN 12/11/09 12/16/09 12/19/18 8.46 - 390,071 1.46 568,700 29.7% - 34.8% 7.00 6.75 0.21 0.83 x

LSB Corporation LSBX 12/8/09 12/16/09 12/12/18 10.74 - 209,497 2.67 560,000 31.1% - 34.2% 11.28 11.00 0.24 1.05 x

Oak Valley Bancorp OVLY 9/20/11 9/28/11 12/5/18 5.78 - 350,346 1.60 560,000 51.6% - 58.2% 5.41 5.53 0.30 0.94 x

Codorus Valley Bancorp, Inc. CVLY 8/31/11 9/28/11 1/9/19 9.38 - 263,859 2.00 526,604 38.4% - 41.1% 9.11 9.89 0.22 0.97 x

Community Partners Bancorp CPBC 10/18/11 10/26/11 1/30/19 4.33 - 311,972 1.47 460,000 25.9% - 30.6% 4.62 4.68 0.32 1.07 x

DNB Financial Corporation DNBF 8/31/11 9/21/11 1/30/19 9.46 - 186,311 2.46 458,000 26.7% - 29.9% 9.85 10.11 0.25 1.04 x

Union Bankshares Corporation UBSH 12/16/09 12/23/09 12/19/18 20.94 Yes 211,318 2.13 450,000 28.5% - 31.5% 11.93 11.93 0.18 0.57 x

Heritage Financial Corporation HFWA 8/5/11 8/17/11 11/21/18 13.04 Yes 138,037 3.26 450,000 34.1% - 37.5% 12.57 12.87 0.26 0.96 x

OceanFirst Financial Corp OCFC 1/28/10 2/3/10 1/16/19 15.07 Yes 190,427 2.26 430,797 30.9% - 33.2% 10.45 10.97 0.22 0.69 x

Citizens & Northern Corporation CZNC 8/25/10 9/1/10 1/16/19 20.36 - 194,794 2.05 400,000 31.3% - 33.2% 10.73 11.12 0.19 0.53 x

First Northern Community Bancorp FNRN 10/28/11 11/16/11 3/13/19 7.39 - 352,977 1.06 375,000 36.7% - 41.2% 4.60 4.57 0.23 0.62 x

Central Jersey Bancorp CJBK 12/1/10 12/1/10 12/23/18 6.31 - 268,621 1.19 319,659 N/A 7.49 7.45 0.16 1.19 x

Summit State Bank SSBI 9/8/11 9/14/11 12/19/18 5.33 - 239,212 1.32 315,000 45.2% - 48.4% 5.99 6.26 0.22 1.12 x

Somerset Hills Bancorp SOMH 6/17/09 6/24/09 1/16/19 6.82 - 163,065 1.69 275,000 35.5% - 38.6% 7.80 7.73 0.22 1.14 x

Monarch Financial Holdings MNRK 2/1/10 2/10/10 12/19/18 8.33 Yes 132,353 1.96 260,000 29.7% - 32.0% 6.40 6.48 0.31 0.77 x

Bar Harbor Bankshares BHB 7/22/10 7/28/10 1/16/19 26.81 Yes 52,455 4.77 250,000 27.7% - 31.9% 27.00 25.61 0.18 1.01 x

Center Bancorp, Inc. CNBC 11/22/11 12/7/11 1/9/19 8.65 Yes 86,705 2.83 245,000 25.0% - 28.1% 9.31 9.54 0.30 1.08 x

Citizens South Banking Corporation CSBC 11/2/11 11/9/11 12/19/18 6.83 - 450,314 0.50 225,157 24.9% - 28.3% 3.97 3.97 0.13 0.58 x

Old Line Bancshares OLBK 8/20/09 9/2/09 12/5/18 7.40 - 141,892 1.59 225,000 32.0% - 35.1% 6.10 6.21 0.26 0.82 x

CenterState Banks, Inc. CSFL 10/21/09 10/28/09 11/21/18 16.67 Yes 125,413 1.69 212,000 24.3% - 26.6% 7.47 7.64 0.23 0.45 x

Salisbury Bancorp, Inc. SAL 10/28/11 11/2/11 3/13/19 22.93 - 57,671 3.55 205,000 36.9% - 39.8% 22.88 22.62 0.16 1.00 x

Central Valley Community Bancorp CVCY 9/9/11 9/28/11 1/30/19 6.64 Yes 79,067 2.34 185,017 30.5% - 32.7% 5.97 6.13 0.39 0.90 x

Bank of Commerce Holdings BOCH 10/17/11 10/26/11 11/14/19 6.29 - 405,405 0.31 125,000 21.7% - 23.8% 3.30 3.31 0.09 0.52 x

Stewardship Financial Corporation SSFN 10/11/11 10/26/11 1/30/19 11.24 - 133,475 0.80 107,398 37.8% - 42.2% 5.39 5.63 0.15 0.48 x

Manhattan Bancorp MNHN 10/9/09 10/14/09 12/5/18 8.65 - 29,480 2.15 63,364 33.9% - 35.7% 6.60 6.53 0.33 0.76 x

Emclaire Financial Corp. EMCF 11/16/11 12/7/11 12/23/18 22.45 - 50,111 1.02 51,113 42.5% - 44.7% 15.47 15.42 0.07 0.69 x

Shore Bancshares, Inc. SHBI 11/2/11 11/16/11 1/9/19 21.68 - 172,970 0.14 25,000 22.8% - 24.5% 4.97 4.88 0.03 0.23 x

TOTAL 86 - - - - 21 - - $3,686,054,438 - - - - -

Warrant Sales Ordered by Amount of Proceeds

* Volatility implied by the repurchase price using stock price on auction date and UST estimates for dividend yield and borrow cost; reflects discounts to a modeled valuation for illiquidity, 

risk of cash takeout, etc.
15 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of a

Auction Date

Institution Name Ticker Announce 

Date

Auction 

Date

Expiration 

Date

Strike 

Price 

QEO? (i.e. 

warrants 

cut by 

50%)

Warrant 

Shares

"Warrant 

Auction 

Price 

Warrant 

Repurchase 

Proceeds

Estimated

Implied

Volatility*

Stock 

Price

20-day 

Avg 

Stock 

Price

Warrant 

Price / 

Stock 

Price

Underlying /

Strike

Bank of America Corporation (TIP) BAC 3/1/10 3/3/10 1/16/19 $13.30 - 150,375,940 $8.35 $1,255,639,099 32.1% - 36.8% $16.37 $15.59 0.51 1.23 x

JPMorgan Chase & Co. JPM 12/8/09 12/10/09 10/28/18 42.42 - 88,401,697 10.75 950,318,243 23.8% - 27.5% 41.27 42.24 0.26 0.97 xWells Fargo & Company WFC 5/18/10 5/20/10 10/28/18 34.01 - 110,262,688 7.70 849,014,998 30.6% - 34.0% 28.69 32.21 0.27 0.84 xThe Hartford Financial Services Group, Inc. HIG 9/20/10 9/21/10 6/29/19 9.79 - 52,093,973 13.70 713,687,430 14.4% - 24.8% 23.16 21.68 0.59 2.37 x

PNC Financial Services PNC 4/27/10 4/29/10 12/13/18 67.33 - 16,885,192 19.20 324,195,686 27.6% - 31.3% 66.06 64.68 0.29 0.98 x

Bank of America Corporation (CPP) BAC 3/1/10 3/3/10 10/28/18 30.79 - 121,792,790 2.55 310,571,615 30.9% - 33.5% 16.37 15.59 0.16 0.53 x

Citigroup, Inc. (TIP) C 1/24/11 1/25/11 1/4/19 10.61 - 255,033,142 1.01 257,583,473 34.8% - 37.9% 4.82 4.89 0.21 0.45 x

Lincoln National Corporation LNC 9/15/10 9/16/10 7/10/19 10.92 - 13,049,451 16.60 216,620,887 29.9% - 44.7% 24.72 23.84 0.67 2.26 xComerica Inc. CMA 5/4/10 5/6/10 11/14/18 29.40 - 11,479,592 16.00 183,673,472 28.6% - 32.3% 41.43 42.21 0.39 1.41 xCapital One Financial Corp. COF 12/1/09 12/3/09 11/14/18 42.13 - 12,657,960 11.75 148,731,030 34.6% - 38.2% 36.92 38.66 0.32 0.88 xCitigroup, Inc. (CPP) C 1/24/11 1/25/11 10/28/18 17.85 - 210,084,034 0.26 54,621,849 31.9% - 33.7% 4.82 4.89 0.05 0.27 xWintrust Financial Corporation WTFC 2/7/11 2/8/11 12/19/18 22.82 - 1,643,295 15.80 25,964,061 21.9% - 32.0% 33.24 32.96 0.48 1.46 xWebster Financial Corporation WBS 6/1/11 6/2/11 11/21/18 18.28 - 3,282,726 6.30 20,678,339 28.2% - 32.1% 19.86 20.62 0.32 1.09 xWashington Federal, Inc WFSL 3/8/10 3/9/10 11/14/18 17.57 - 1,707,456 9.15 15,623,222 48.6% - 53.5% 19.38 19.41 0.47 1.10 xSignature Bank SBNY 3/8/10 3/10/10 12/12/18 30.21 - 595,829 19.00 11,320,751 23.1% - 29.0% 38.75 36.83 0.49 1.28 xTCF Financial Corporation TCB 12/14/09 12/15/09 11/14/18 16.93 - 3,199,988 3.00 9,599,964 28.8% - 32.1% 13.22 12.78 0.23 0.78 xTexas Capital Bancshares, Inc. TCBI 3/8/10 3/11/10 1/16/19 14.84 - 758,086 8.85 6,709,061 24.4% - 29.9% 18.41 17.06 0.48 1.24 xBoston Private Financial Holdings, Inc. BPFH 1/31/11 2/1/11 11/21/18 8.00 - 2,887,500 2.20 6,352,500 27.1% - 31.9% 6.98 6.66 0.32 0.87 x

Valley National Bancorp VLY 5/17/10 5/18/10 11/14/18 17.77 - 2,532,542 2.20 5,571,592 25.1% - 27.5% 14.80 15.49 0.15 0.83 x

First Financial Bancorp FFBC 6/1/10 6/2/10 12/23/10 12.90 Yes 465,117 6.70 3,116,284 39.9% - 43.8% 15.87 16.81 0.42 1.23 xSterling Bancshares, Inc. SBIB 6/7/10 6/9/10 12/12/18 7.18 - 2,615,557 1.15 3,007,891 30.1% - 34.2% 5.00 5.41 0.23 0.70 xSunTrust Banks, Inc. (A Warrant) STI 9/21/11 9/22/11 12/31/18 33.70 - 6,008,902 2.70 16,224,035 28.7% - 30.6% 16.89 18.92 0.16 0.50 x

SunTrust Banks, Inc. (B Warrant) STI 9/21/11 9/22/11 11/14/18 44.15 11,891,280 1.20 14,269,536 30.0% - 32.3% 16.89 18.92 0.07 0.38 x

Associated Banc-Corp ASBC 11/29/11 11/30/11 11/21/18 19.77 - 3,983,308 0.90 3,584,977 28.8% - 30.7% 10.40 10.52 0.09 0.53 x

TOTAL 24 - - - - 1 - - $5,406,679,995 - - - - -

Warrant Auctions Ordered by Amount of Proceeds * Volatility implied by the repurchase price using stock price on auction date and UST estimates for dividend yield and borrow cost; reflects discounts to a modeled valuation for illiquidity, risk of cash takeout, etc.
16 Warrant Disposition Report - Update DECEMBER 31

Appendix  – Detaild Ta bles of Warrant Repurchases an

* Volatility implied by the repurchase price using stock price on auction date and UST estimates for dividend yield and borrow cost; reflects discounts to a modeled valuation for illiquidity, risk of cash takeout, etc.

16 Warrant Disposition report - UpDate DeCeMBer 31, 2011

APPENDIx I – DETAIlED TABlES OF WARRANT REPURCHASES AND AUCTIONS

Auction Date

Institution Name Ticker Announce 

Date

Auction 

Date

Expiration 

Date

Strike 

Price 

QEO? (i.e. 

warrants 

cut by 

50%)

Warrant 

Shares

"Warrant 

Auction 

Price Per 

Share

Warrant 

Repurchase 

Proceeds

Estimated

Implied

Volatility*

Stock 

Price

20-day 

Avg 

Stock 

Price

Warrant 

Price / 

Stock 

Price

Underlying / 

Strike

Eagle Bancorp, Inc. EGBN 11/15/11 11/17/11 12/5/18 $7.44 Yes 385,434 $7.25 $2,794,422 25.8% - 34.1% $13.44 $13.48 207,918.30 1.81 x

Horizon Bancorp HBNC 11/15/11 11/17/11 12/19/18 17.67 - 212,188 8.25 1,750,551 61.8% - 66.4% 16.33 16.59 107,198.47 0.92 x

Bank of Marin Bancorp BMRC 11/15/11 11/17/11 12/5/18 27.11 - 154,908 11.00 1,703,984 14.0% - 18.9% 36.65 35.33 46,493.42 1.35 xFirst BanCorp FBNC 11/15/11 11/17/11 1/9/19 15.82 - 616,308 1.50 924,462 28.6% - 33.9% 10.41 11.20 88,805.19 0.66 xWestamerica Bancorporation WABC 11/15/11 11/17/11 2/13/19 50.91 - 246,698 3.56 878,256 11.1% - 16.0% 43.99 44.51 19,964.90 0.86 xLakeland Financial Corp LKFN 11/15/11 11/17/11 2/27/19 21.20 Yes 198,269 4.43 877,557 12.6% - 15.9% 24.19 23.82 36,277.68 1.14 x

F.N.B. Corporation FNB 11/15/11 11/17/11 1/9/19 11.52 Yes 651,042 1.06 690,100 20.8% - 22.5% 10.54 10.38 65,474.38 0.91 xEncore Bancshares EBTX 11/15/11 11/17/11 12/5/18 14.01 - 364,026 1.75 637,071 20.8% - 22.4% 10.76 11.53 59,207.34 0.77 xLCNB Corporation LCNB 11/15/11 11/17/11 1/9/19 9.26 - 217,063 2.78 602,557 N/A 13.00 12.98 46,350.54 1.40 xWestern Alliance Bancorporation WAL 11/15/11 11/17/11 11/21/18 13.34 Yes 787,107 0.53 415,000 25.6% - 27.7% 6.08 6.33 68,256.58 0.46 xFirst Merchants Corporation FRME 11/15/11 11/17/11 2/20/19 17.55 - 991,453 0.37 367,500 26.2% - 27.9% 8.02 8.19 45,822.94 0.46 x

1st Constitution Bancorp FCCY 11/15/11 11/17/11 12/23/18 7.77 - 231,782 1.41 326,576 17.6% - 21.8% 6.90 6.52 47,329.86 0.89 x

Middleburg Financial Corporation MBRG 11/15/11 11/17/11 1/30/19 15.85 Yes 104,101 2.89 301,001 24.7% - 27.4% 14.50 14.54 20,758.69 0.91 xMidSouth Bancorp, Inc. MSL 11/15/11 11/17/11 1/9/19 14.37 Yes 104,384 1.98 206,557 18.5% - 21.3% 12.69 13.13 16,277.15 0.88 x

CoBiz Financial Inc. COBZ 11/15/11 11/17/11 12/19/18 10.79 - 895,968 0.16 143,677 19.1% - 20.9% 5.18 5.22 27,736.87 0.48 xFirst Busey Corporation BUSE 11/15/11 11/17/11 3/6/19 13.07 Yes 573,833 0.11 63,677 24.6% - 26.1% 4.89 5.01 13,021.88 0.37 xFirst Community Bancshares, Inc. FCBC 11/15/11 11/17/11 11/21/18 35.26 Yes 88,273 0.35 30,600 28.3% - 29.8% 12.03 12.09 2,543.64 0.34 x

TOTAL 17 - - - - 8 - - $12,713,548 - - - - -

Private Placement Sale of Warrants

by Amount of Proceeds
17 Warrant Disposition Report - Update DECEMBER 31

Appendix I – etaie

Institution Name Ticker Auction 

Date

Warrant 

Shares

Gross 

Proceeds 

($millions)

Underwriting 

Fees 

($millions)

Minimum 

Bid

Clearing 

Bid

Number of 

Bids

Number of 

Bidders

Coverage 

Ratio1

Market Orders 

Share of 

Demand2

Warrants 

Repurchased by 

Bank in Auction

Daily 

Liquidity 

Turnover3

Capital One Financial Corp. COF 12/3/09 12,657,960 $148.7 $2.231 $7.50 $11.75 604 174 13.3x 0.2% - 0.22%

JPMorgan Chase & Co. JPM 12/10/09 88,401,697 950.3 14.255 8.00 10.75 754 381 6.5x 0.3% - 0.41%

TCF Financial Corporation TCB 12/15/09 3,199,988 9.6 0.150 1.50 3.00 470 135 18.3x 1.8% - 0.54%

Bank of America Corporation (TIP) BAC 3/3/10 150,375,940 1,255.6 18.835 7.00 8.35 1,489 535 4.4x 1.0% - 0.52%

Bank of America Corporation (CPP) BAC 3/3/10 121,792,790 310.6 4.659 1.50 2.55 1,246 570 10.7x 1.7% - 0.69%

Washington Federal, Inc WFSL 3/9/10 1,707,456 15.6 0.234 5.00 9.15 708 413 14.5x 8.3% - 0.17%Signature Bank SBNY 3/10/10 595,829 11.3 0.170 16.00 19.00 409 68 8.2x 0.7% - 0.24%Texas Capital Bancshares, Inc. TCBI 3/11/10 758,086 6.7 0.150 6.50 8.85 326 61 7.0x 0.9% - 0.10%

PNC Financial Services PNC 4/29/10 16,885,192 324.2 3.918 15.00 19.20 1,450 181 5.5x 2.5% - 0.50%Comerica Inc. CMA 5/6/10 11,479,592 183.7 2.571 15.00 16.00 518 120 2.7x 1.9% - 0.03%

Valley National Bancorp VLY 5/18/10 2,532,542 5.6 0.150 1.70 2.20 183 34 6.6x 1.2% - 0.20%

Wells Fargo & Company WFC 5/20/10 110,261,688 849.0 8.640 6.50 7.70 859 297 3.9x 2.3% 70,165,963 0.40%

First Financial Bancorp FFBC 6/2/10 465,117 3.1 0.150 4.00 6.70 142 66 10.3x 2.0% - 0.55%

Sterling Bancshares, Inc. SBIB 6/9/10 2,615,557 3.0 0.150 0.85 1.15 211 67 6.9x 3.6% - 0.27%

Lincoln National Corporation LNC 9/16/10 13,049,451 216.6 2.950 16.00 16.60 795 204 5.1x 2.1% 2,899,159 0.32%

Hartford Financial Services Group, Inc. HIG 9/21/10 52,093,973 713.7 7.423 12.40 13.70 635 87 2.0x 4.2% - 0.27%

Citigroup (TIP/AGP) C 1/25/11 255,033,142 257.6 3.318 0.60 1.01 1,557 472 5.2x 2.4% - 0.37%

Citigroup (CPP) C 1/25/11 210,084,034 54.6 0.765 0.15 0.26 1,064 398 4.2x 3.4% - 0.19%

Boston Private Financial Holdings, Inc. BPFH 2/1/11 2,887,500 6.4 0.150 1.40 2.20 369 89 7.9x 1.8% - 0.08%Wintrust Financial Corporation WTFC 2/8/11 1,643,295 26.0 0.363 13.50 15.80 340 64 7.0x 1.6% - 0.09%

Webster Financial Corporation WBS 6/2/11 3,282,276 20.7 0.289 5.50 6.30 144 30 3.9x 1.8% 2,282,276 0.08%SunTrust Banks, Inc. (A Warrant) STI 9/22/11 6,008,902 16.2 0.227 2.00 2.70 155 45 3.7x 1.5% 4,008,902 0.13%

SunTrust Banks, Inc. (B Warrant) STI 9/22/11 11,891,280 14.3 0.200 1.05 1.20 119 30 2.6x 0.1% - 0.08%

Associated Banc-Corp ASBC 11/30/11 3,983,308 3.6 0.150 0.50 0.90 134 23 5.8x 0.4% - 0.08%

Total/Average 24 $5,406.7 $72.097 612 189 5.4x 2.0% 0.38%

Warrant Auction Data

1) Coverage Ratio = Gross Demand / Warrant Shares2) Market Orders Share of Auction = Total Market Orders / Gross DemandA market order is a bid that specifies the number of warrants the bidder is willing to purchase without specifying the price it is willing to pay and is treated as a bid at the highest price received from any other bidder in the auction.3) Daily Liquidity Turnover = Average Daily Trading Volume / Warrants OutstandingThe liquidity calculation excludes the first five trading days after the auction which typically have higher than normal volume and uses data through June 30, 2010. The data source is Bloomberg.Note: Totals for Coverage Ratio, Market Orders and Daily Liquidity are weighted averages. Total for Number of Bidders is a simple average.
18 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of a

Institution Name Repurchase Date "CPP Investment 

($thousands) Warrant Purchase Date Gross Warrant Proceeds ($thousands)

W.T.B. Financial Corporation 9/15/11 $110,000 9/15/11 $5,500 

Plains Capital Corporation 9/27/11 87,631 9/27/11 4,382 

Liberty Bancshares, Inc. 7/21/11 57,500 7/21/11 2,875 

Liberty Bancshares, Inc. 8/18/11 57,500 8/18/11 1,095 

State Bankshares, Inc. 6/29/11 50,000 6/29/11 2,500 

Community Trust Financial Corporation 7/6/11 24,000 7/6/11 1,200 

BancIndependent, Inc. 7/14/11 21,100 7/14/11 1,055 

First Guaranty Bancshares, Inc. 9/22/11 20,699 9/22/11 1,030 

Community First Bancshares Inc. 8/18/11 20,000 8/18/11 1,000 

A.N.B. Corporation 8/25/11 20,000 8/25/11 1,000 

D.L. Evans Bancorp 9/27/11 19,891 9/27/11 995 

Sovereign Bancshares, Inc. 9/22/11 18,215 9/22/11 911 

Peoples Bancorp 8/3/11 18,000 8/3/11 900 

First NBC Bank Holding Company 8/4/11 17,836 8/4/11 892 

Stockmens Financial Corporation 3/16/11 15,568 3/16/11 778 

Tri-County Financial Corporation 9/22/11 15,540 9/22/11 777 

BankFirst Capital Corporation 9/8/11 15,500 9/8/11 775 

Centra Financial Holdings, Inc. 4/15/09 15,000 4/15/09 750 

The Landrum Company 8/18/11 15,000 8/18/11 750 

Nicolet Bankshares, Inc. 9/1/11 14,964 9/1/11 748 

Magna Bank 8/18/11 13,795 8/18/11 690 

Bancorp Financial, Inc. 8/18/11 13,669 8/18/11 410 

Sword Financial Corporation 9/15/11 13,644 9/15/11 682 

First Texas BHC, Inc. 9/15/11 13,533 9/15/11 677 

Morrill Bancshares, Inc. 7/20/11 13,000 7/20/11 650 

Adbanc, Inc 7/21/11 12,720 7/21/11 636 

Security State Bancshares 9/22/11 12,500 9/22/11 625 

First Manitowoc Bancorp, Inc. 5/27/09 12,000 5/27/09 600 

Two Rivers Financial Group 9/1/11 12,000 9/1/11 600 

FNB Bancorp 9/15/11 12,000 9/15/11 600 

Pacific Coast Bankers' Bancshares 7/28/11 11,600 7/28/11 580 

Steele Street Bank Corporation 9/1/11 11,019 9/1/11 331 

Brotherhood Bancshares, Inc. 9/15/11 11,000 9/15/11 550 

First Southern Bancorp, Inc. 6/16/10 10,900 6/16/10 545 

Katahdin Bankshares Corp. 8/18/11 10,449 8/18/11 522 

Midland States Bancorp, Inc. 12/23/09 10,189 12/23/09 509 

Heritage Bankshares, Inc. 8/11/11 10,103 8/11/11 303 

1st United Bancorp, Inc. 11/18/09 10,000 11/18/09 500 

BOH Holdings, Inc. 7/14/11 10,000 7/14/11 500 

First Bankers Trustshares, Inc. 9/8/11 10,000 9/8/11 500 

Northway Financial, Inc. 9/15/11 10,000 9/15/11 500 

Penn Liberty Financial Corp. 9/1/11 9,960 9/1/11 498 

TCB Corporation 9/8/11 9,720 9/8/11 292 

Medallion Bank 7/21/11 9,698 7/21/11 645 

Moneytree Corporation 9/15/11 9,516 9/15/11 476 

Florida Business BancGroup, Inc. 9/22/11 9,495 9/22/11 475 

FCB Bancorp, Inc. 9/22/11 9,294 9/22/11 465 

UBT Bancshares, Inc. 8/11/11 8,950 8/11/11 450 

Equity Bancshares, Inc. 8/11/11 8,750 8/11/11 438 

Georgia Commerce Bancshares, Inc. 2/16/11 8,700 2/16/11 435 

MS Financial, Inc. 10/19/11 7,723 10/19/11 386 

Centrix Bank & Trust 7/28/11 7,500 7/28/11 375 

Gulfstream Bancshares, Inc. 8/18/11 7,500 8/18/11 375 

Avenue Financial Holdings 9/15/11 7,400 9/15/11 370 

Hamilton State Bancshares 4/13/11 7,000 4/13/11 350 

Guaranty Bancorp, Inc. 9/15/11 6,920 9/15/11 346 

WashingtonFirst Bankshares, Inc. 8/4/11 6,842 8/4/11 332 

Security California Bancorp 9/15/11 6,815 9/15/11 341 

GrandSouth Bancorporation 9/8/11 6,319 9/8/11 450 

Cardinal Bancorp II, Inc. 9/8/11 6,251 9/8/11 313 

OSB Financial Services, Inc. 10/5/11 6,100 10/5/11 305 

Centric Financial Corporation 7/14/11 6,056 7/14/11 182 

McLeod Bancshares, Inc. 8/18/11 6,000 8/18/11 300 

1st Enterprise Bank 9/1/11 6,000 9/1/11 220 

American State Bancshares 11/2/11 6,000 11/2/11 300 

Howard Bancorp, Inc. 9/22/11 5,983 9/22/11 299 

Leader Bancorp, Inc. 11/24/10 5,830 11/24/10 292 

Security Business Bancorp 7/14/11 5,803 7/14/11 290 

Central Bancshares, Inc. 7/6/11 5,800 7/6/11 290 

United Financial Banking Companies, Inc. 9/15/11 5,658 9/15/11 283 

Issuer Repurchases of Warrant Preferreds or Warrant Sub Debt

continued on next page
19 Warrant Disposition Report - Update DECEMBER 31

Appendix

led

le of arrant Repurchases and AuctionsIssuer Repurchases of Warrant 

Institution Name Repurchase Date "CPP Investment 

($thousands) Warrant Purchase Date Gross Warrant Proceeds ($thousands)

The Private Bank of California 9/1/11 5,450 9/1/11 273 

Highlands Bancorp, Inc. 9/22/11 5,450 9/22/11 155 

Financial Security Corporation 7/21/11 5,000 7/21/11 250 

Southern Illinois Bancorp, Inc. 8/25/11 5,000 8/25/11 250 

First ULB Corp. 4/22/09 4,900 4/22/09 245 

York Traditions Bank 7/14/11 4,871 7/14/11 244 

Southern Heritage Bancshares, Inc. 9/8/11 4,862 9/8/11 243 

BNC Financial Group, Inc. 8/4/11 4,797 8/4/11 240 

First Menasha Bancshares, Inc. 9/15/11 4,797 9/15/11 240 

Monument Bank 8/11/11 4,734 8/11/11 237 

Capital Bancorp, Inc. 12/30/10 4,700 12/30/10 235 

Cache Valley Banking Company 7/14/11 4,640 7/14/11 238 

Puget Sound Bank 8/11/11 4,500 8/11/11 225 

First Colebrook Bancorp, Inc. 9/22/11 4,500 9/22/11 225 

HillTop Community Bancorp, Inc. 4/21/10 4,000 4/21/10 200 

SBT Bancorp, Inc. 8/11/11 4,000 8/11/11 200 

Enterprise Financial Services Group, Inc. 8/25/11 4,000 8/25/11 200 

SV Financial, Inc. 8/31/11 4,000 8/31/11 200 

Grand Capital Corporation 9/8/11 4,000 9/8/11 200 

California Bank of Commerce 9/15/11 4,000 9/15/11 200 

Providence Bank 9/15/11 4,000 9/15/11 175 

Illinois State Bancorp 9/22/11 4,000 9/22/11 406 

Texas National Bancorporation 5/19/10 3,981 5/19/10 199 

Redwood Capital Bancorp 7/21/11 3,800 7/21/11 190 

First Financial Bancshares, Inc. 9/22/11 3,756 9/22/11 113 

Pascack Bancorp, Inc. 10/19/11 3,756 10/19/11 188 

Financial Services of Winger, Inc. 9/1/11 3,742 9/1/11 112 

Triad Bancorp, Inc. 9/22/11 3,700 9/22/11 185 

AMB Financial Corporation 9/22/11 3,674 9/22/11 184 

Merchants and Manufacturers Bank Corporation 9/8/11 3,510 9/8/11 176 

Mercantile Capital Corp. 8/4/11 3,500 8/4/11 175 

First Bank of Charleston, Inc. 7/21/11 3,345 7/21/11 167 

California Oaks State Bank 12/8/10 3,300 12/8/10 165 

FPB Financial Corp 6/16/10 3,240 6/16/10 162 

Union Bank & Trust Company 9/22/11 3,194 9/22/11 160 

Fortune Financial Corporation 9/15/11 3,100 9/15/11 155 

Frontier Bancshares, Inc 10/6/10 3,000 10/6/10 150 

Catskill Hudson Bancorp, Inc 7/21/11 3,000 7/21/11 263 

Citizens Community Bank 7/28/11 3,000 7/28/11 150 

Veritex Holdings, Inc. 8/25/11 3,000 8/25/11 150 

Redwood Financial, Inc. 8/18/11 2,995 8/18/11 150 

Customers Bancorp, Inc. 12/28/11 2,892 12/28/11 145 

Regent Capital Corporation, Inc. 7/21/11 2,655 7/21/11 133 

Deerfield Financial Corporation 9/8/11 2,639 9/8/11 132 

AmeriBank Holding Company, Inc. 9/15/11 2,492 9/15/11 125 

First Resource Bank 9/15/11 2,417 9/15/11 130 

Columbine Capital Corp. 9/22/11 2,260 9/22/11 113 

Surrey Bancorp/Surrey Bank & Trust 12/29/10 2,000 12/29/10 100 

Nationwide Bankshares, Inc. 12/29/10 2,000 12/29/10 100 

TCNB Financial Corp 8/3/11 2,000 8/3/11 100 

Merchants and Planters Bancshares, Inc. 9/7/11 1,881 9/7/11 94 

American Premier Bancorp 1/26/11 1,800 1/26/11 90 

Seacoast Commerce Bank 9/1/11 1,800 9/1/11 90 

Signature Bancshares, Inc. 12/15/10 1,700 12/15/10 85 

State Bank of Bartley,The 9/22/11 1,697 9/22/11 51 

Birmingham Bloomfield Bancshares, Inc 7/28/11 1,635 7/28/11 82 

The Victory Bancorp, Inc. 9/22/11 1,505 9/22/11 61 

PFSB Bancorporation, Inc. 8/25/11 1,500 8/25/11 71 

Valley Financial Group, Ltd. 9/22/11 1,300 9/22/11 65 

Bern Bancshares, Inc. 9/1/11 985 9/1/11 50 

Banner County Ban Corporation 7/28/11 795 7/28/11 40 

First State Bank of Mobeetie 4/14/10 731 4/14/10 37 

Midwest Regional Bancorp 11/10/09 700 11/10/09 35 

Farmers State Bankshares, Inc. 7/21/11 700 7/21/11 40 

Green City Bancshares, Inc. 7/14/10 651 7/14/10 33 

Butler Point, Inc. 11/2/11 607 11/2/11 30 

Colonial American Bank 10/26/11 574 10/26/11 29 

Haviland Bancshares, Inc. 12/29/10 425 12/29/10 21 

TOTAL 138 $1,298,783 $62,353

continued from previous page
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Appendix II – Warrant Disposition Details 

The chart below demonstrates the three elements of Treasury’s warrant valuation analysis together with an 

institution’s bid for the warrants, using Northern Trust Corporation as an example. The market quotes are 

presented as a range from the low to the high estimate of value provided by market participants (black bar) as 

well as the average of all the market indications collected (red point). The third party estimate of value (red 

point) is presented along with a reasonable range (black bar) that is also prepared by the third party. Treasury’s 

estimate of value (red point) based on its internal model is presented along with a reasonable range (black bar). 

The ranges of estimates presented below show the final estimates utilized by Treasury officials to analyze the 

bank’s final bid. 

Appendix II presents charts for all of the CPP warrant sales, in which the bank submitted a bid to repurchase 

its warrants, as of December 31, 2010. As with the example below, all of the valuation estimates presented 

in Appendix II represent the final estimates used by Treasury officials when analyzing a repurchase request. 

Appendix II also notes additional relevant factors that were presented to the Warrant Committee.

Graphical Representation of Treasury’s Warrant

Example of Treasury’s Warrant Valuation Analysis

$30,000 

$40,000 

$50,000 

$60,000 

$70,000 

$80,000 

$90,000 

$100,000 

$110,000 

$120,000 

Northern Trust (NTRS) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $37,000,000 

Final Bid - $87,000,000

Second Bid - $75,000,000

Market Quotes Third Party Model Valuation 

$ Millions

Appendix

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ONB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,220 $1,490 $1,353 $559 $1,200 Three market indications 

Third Party $1,969 $3,054 $3,054 $559 $1,200 External asset manager’s valuation estimates

Model Valuation $1,056 $1,697 $1,393 $559 $1,200 Binomial option model adjusted for American style 

options

 

Old National Bancorp (ONB) 

Repurchase of ONB Warrant

On May 6, 2009, Old National Bancorp (ONB) agreed to pay $1.2 million for the warrant held by Treasury which entitled the 

holder of the warrant to purchase 813,008 shares of ONB at a strike price of $18.45 per share. The warrant had an expiration 

date of December 12, 2018.

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

Old National Bancorp (ONB) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $559,000

Final Bid - $1,200,000

Market Quotes Third Party Model Valuation 

$ Thousands

NOTE: 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants to provide 

third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions for key inputs such as 

volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the warrants immediately. The fixed cost of 

disposing of the warrants was taken into consideration when analyzing the company’s determination of fair market value. 
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IBKC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,350 $1,662 $1,566 $620 $1,200 Four market indications 

Third Party $1,370 $2,334 $2,334 $620 $1,200 External asset manager’s valuation estimates

Model Valuation $1,156 $1,682 $1,421 $620 $1,200 Binomial option model adjusted for American style 

options

 

IBERIABANK Corporation (IBKC) 

Repurchase of IBKC Warrant

On May 12, 2009, IBERIABANK Corporation (IBKC) agreed to pay $1.2 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 138,490 shares of IBKC at a strike price of $48.74 per share. The warrant had 

an expiration date of December 5, 2018.

NOTE: 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants to provide 

third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions for key inputs such as 

volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the warrants immediately. The fixed cost of 

disposing of the warrants was taken into consideration when analyzing the company’s determination of fair market value.

$500

$700

$900

$1,100

$1,300

$1,500

$1,700

$1,900

$2,100

$2,300

$2,500

IBERIABANK Corporation (IBKC) 

Fair Market Value Estimates of Treasury's Warrant Position 

Market Quotes Third Party Model Valuation 

Final Bid - $1,200,000

First Bid - $620,000

$ Thousands
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SNBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,080 $2,778 $2,096 $1,049 $2,100 Three market indications 

Third Party $2,000 $4,028 $4,028 $1,049 $2,100 External asset manager’s valuation estimates

Model Valuation $1,974 $2,771 $2,252 $1,049 $2,100 Binomial option model adjusted for American style 

options

 

Sun Bancorp, Inc. (SNBC) 

Repurchase of SNBC Warrant

On May 19, 2009, Sun Bancorp, Inc. (SNBC) agreed to pay $2.1 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 1,620,545 shares of SNBC at a strike price of $8.27 per share. The warrant had an 

expiration date of January 9, 2019. 

NOTE: 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants to provide 

third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions for key inputs such as 

volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the warrants immediately. The fixed cost of 

disposing of the warrants was taken into consideration when analyzing the company’s determination of fair market value.

$800

$1,300

$1,800

$2,300

$2,800

$3,300

$3,800

$4,300

Sun Bancorp (SNBC) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $1,049,000 

Market Quotes Third Party Model Valuation 

Final Bid - $2,100,000

$ Thousands
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FMER 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $4,082 $6,543 $4,918 $3,186 $5,025 Four market indications 

Third Party $5,428 $7,532 $6,485 $3,186 $5,025 External asset manager’s valuation estimates

Model Valuation $4,871 $5,930 $5,400 $3,186 $5,025 Binomial option model adjusted for American style 

options

 

FirstMerit Corp (FMER) 

Repurchase of FMER Warrant

On May 21, 2009, FirstMerit Corp (FMER) agreed to pay $5.025 million for the warrant held by Treasury which entitled the 

holder of the warrant to purchase 952,260 shares of FMER at a strike price of $19.69 per share. The warrant had an expiration 

date of January 9, 2019. 

NOTE: At the time of the decision, the common share price of FMER was $17.54 compared to the 20 day average price of $19.27. This difference 

was taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

FirstMerit Corp (FMER) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $3,186,000 

Final Bid - $5,025,000

Market Quotes Third Party Model Valuation 

$ Thousands
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INDB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,444 $2,432 $2,104 $880 $2,200 Three market indications 

Third Party $2,293 $3,482 $2,885 $880 $2,200 External asset manager’s valuation estimates

Model Valuation $1,754 $2,965 $2,345 $880 $2,200 Binomial option model adjusted for American style 

options

 

Independent Bank Corp (INDB) 

Repurchase of INDB Warrant

On May 21, 2009, Independent Bank Corp (INDB) agreed to pay $2.2 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 481,664 shares of INDB at a strike price of $24.34 per share. The warrant had 

an expiration date of January 9, 2019. 

$800

$1,300

$1,800

$2,300

$2,800

$3,300

$3,800

Independent Bank (INDB) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $880,000 

Final Bid - $2,200,000

Market Quotes Third Party Model Valuation 

$ Thousands
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ALNC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $554 $952 $762 $320 $900 Three market indications 

Third Party $899 $1,244 $990 $320 $900 External asset manager’s valuation estimates

Model Valuation $741 $895 $818 $320 $900 Binomial option model adjusted for American style 

options

 

Alliance Financial Corporation (ALNC)

Repurchase of ALNC Warran

On June 12, 2009, Alliance Financial Corporation (ALNC) agreed to pay $900,000 for the warrant held by Treasury which

entitled the holder of the warrant to purchase 173,069 shares of ALNC at a strike price of $23.33 per share. The warrant had

an expiration day of December 19, 2018.

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

$1,300

Alliance Financial (ALNC) 

Fair Market Value Estimates of Treasury's Warrant Position 

Market Quotes Third Party Model Valuation 

Final Bid - $900,000

 First Bid - $320,000 

$ Thousands
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SCBT 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $555 $1,789 $1,159 $694 $1,400 Five market indications 

Third Party $2,322 $3,261 $2,888 $694 $1,400 External asset manager’s valuation estimates

Model Valuation $1,137 $1,436 $1,281 $694 $1,400 Binomial option model adjusted for American style 

options

 

SCBT Financial Corporation (SCBT) 

Repurchase of SCBT Warrant

On June 16, 2009, SCBT Financial Corporation (SCBT) agreed to pay $1.4 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 303,083 shares of SCBT at a strike price of $32.06 per share. The warrant had 

an expiration date of January 16, 2019. 

NOTE: The third party modeled valuation assumed volatility of 46%. Treasury’s model assumed a significantly lower volatility closer to the historic 

volatility of the company and observable market prices. 

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

SCBT Financial Corporation (SCBT) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $694,060 

Final Bid - $1,400,000

Market Quotes Third Party Model Valuation 

$ Thousands
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BHLB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $509 $758 $611 $875 $1,040 Three market indications 

Third Party $1,071 $1,974 $1,494 $875 $1,040 External asset manager’s valuation estimates

Model Valuation $827 $1,116 $971 $875 $1,040 Binomial option model adjusted for American style 

options

 

Berkshire Hills Bancorp (BHLB)

Repurchase of BHLB Warran

On June 17, 2009, Berkshire Hills Bancorp (BHLB) agreed to pay $1.04 million for the warrant held by Treasury which

entitled the holder of the warrant to purchase 226,330 shares of BHLB at a strike price of $26.51 per share. The warrant had

an expiration date of December 19, 2018. 

$500

$700

$900

$1,100

$1,300

$1,500

$1,700

$1,900

$2,100

Berkshire Hills (BHLB) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $875,000

Final Bid - $1,040,000

Market Quotes Third Party Model Valuation 

$ Thousands
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SOMH 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $122 $406 $266 $193 $275 Five market indications 

Third Party $374 $521 $447 $193 $275 External asset manager’s valuation estimates

Model Valuation $253 $299 $276 $193 $275 Binomial option model adjusted for American style 

options

 

Somerset Hills Bancorp (SOMH) 

Repurchase of SOMH Warrant

On June 17, 2009, Somerset Hills Bancorp (SOMH) agreed to pay $275,000 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 163,065 shares of SOMH at a strike price of $6.82 per share. The warrant had an 

expiration date of January 16, 2019. 

$100

$150

$200

$250

$300

$350

$400

$450

$500

$550

$600

Somerset Hills (SOMH) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $193,000 

Market Quotes Third Party Model Valuation 

Final Bid - $275,000

$ Thousands
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FNFG 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $953 $2,383 $1,646 $1,500 $2,700 Five market indications 

Third Party $3,455 $4,995 $4,221 $1,500 $2,700 External asset manager’s valuation estimates

Model Valuation $2,444 $3,175 $2,807 $1,500 $2,700 Binomial option model adjusted for American style 

options

 

First Niagara Financial Group (FNFG) 

Repurchase of FNFG Warrant

On June 19, 2009, First Niagara Financial Group (FNFG) agreed to pay $2.7 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 953,096 shares of FNFG at a strike price of $14.48 per share. The warrant had 

an expiration date of November 21, 2018. 

$900

$1,400

$1,900

$2,400

$2,900

$3,400

$3,900

$4,400

$4,900

$5,400

First Niagara (FNFG) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $1,500,000 

Final Bid - $2,700,000

Market Quotes Third Party Model Valuation 

$ Thousands
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HFFC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $251 $720 $424 $464 $600 $650 Three market indications 

Third Party $686 $822 $753 $464 $600 $650 External asset manager’s valuation estimates

Model Valuation $505 $622 $563 $464 $600 $650 Binomial option model adjusted for American 

style options

 

HF Financial Corp (HFFC) 

Repurchase of HFFC Warrant

On June 29, 2009, HF Financial Corp (HFFC) agreed to pay $650,000 for the warrant held by Treasury which entitled the 

holder of the warrant to purchase 302,419 shares of HFFC at a strike price of $12.40 per share. The warrant had an expiration 

date of November 21, 2018. 

$200 

$300 

$400 

$500 

$600 

$700 

$800 

$900 

HF Financial (HFFC) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $464,987 

Final Bid - $650,000 

Market Quotes Third Party Model Valuation 

Second Bid - $600,000 

$ Thousands
32 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

STT 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $15,557 $48,400 $33,138 $60,000 Seven market indications 

Third Party $46,087 $64,796 $55,344 $60,000 External asset manager’s valuation estimates

Model Valuation $51,836 $61,612 $56,698 $60,000 Binomial option model adjusted for American style options

 

State Street Corporation (

Repurchase ofSTT War

On July 1, 2009, State Street Corporation (STT) agreed to pay $60 million for the warrant held by Treasury which entitl

holder of the warrant to purchase 2,788,104 shares of TT at a strike price of $53.80 per shar.  The warrant had an expirati

date of October 28, 2018

$10,000 

$20,000 

$30,000 

$40,000 

$50,000 

$60,000 

$70,000 

$80,000 

Market Quotes Third Party Model Valuation 

State Street (STT)

Fair Market Value Estimates of Treasury's Warrant Position

Final Bid - $60,000,000

$ Thousands
33 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

USB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $12,000 $175,000 $127,000 $115,000 $131,000 $139,000 Six market indications 

Third Party $107,514 $182,676 $144,442 $115,000 $131,000 $139,000 External asset manager’s valuation estimates

Model Valuation $117,451 $164,038 $140,485 $115,000 $131,000 $139,000 Binomial option model adjusted for American 

style options

 

U.S. Bancorp (USB

Repurchase of USB Warra

On July 8, 2009, U.S. Bancorp (USB) agreed to pay $139 million for the warrant held by Treasury which entitled the holder

the warrant to purchase 32,679,102 shares of USB at a strike price of $30.29 per share. The warrant had an expiration date of

November 14, 2018.

$11,000

$31,000

$51,000

$71,000

$91,000

$111,000

$131,000

$151,000

$171,000

$191,000

US Bancorp (USB) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $115,000,000

Final Bid - $139,000,000

Second Bid - $131,000,000

Market Quotes Third Party Model Valuation 

$ Thousands
34 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

BBT 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $23,000 $58,000 $36,000 $20,854 $41,707 $64,925 $67,010 Five market indications 

Third Party $43,000 $82,000 $62,000 $20,854 $41,707 $64,925 $67,010 External asset manager’s valuationestimates

Model Valuation $55,000 $78,000 $67,000 $20,854 $41,707 $64,925 $67,010 Binomial option model adjusted for 

American style options

 

BB&T Corporation (BBT

Repurchase of BBT Warra

On July 14, 2009, BB&T Corporation (BBT) agreed to pay $67 million for the warrant held by Treasury which entit

the holder of the warrant to purchase 13,902,573 shares of BBT at a strike price of $33.81 per share. The warrant had an

expiration date of November 14, 2018.

$18,000 

$28,000 

$38,000 

$48,000 

$58,000 

$68,000 

$78,000 

$88,000 

Market Quotes Third Party Model Valuation 

Final Bid - $67,010,402

Third Bid - $64,925,016

BB&T Corporation (BBT) 

Fair Market Value Estimates of Treasury's Warrant Position 

Second Bid - $41,707,719

First Bid - $20,853,860

$ Thousands
35 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

GS 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $732,000 $917,000 $826,000 $600,000 $900,000 $1,100,000 Seven market indications 

Third Party $899,000 $1,058,000 $993,000 $600,000 $900,000 $1,100,000 External asset manager’s valuation estimates

Model Valuation $808,000 $995,000 $902,000 $600,000 $900,000 $1,100,000 Binomial option model adjusted for American 

style options

 

Goldman Sachs Group, Inc. (G

Repurchase of GS Warra

On July 21, 2009, Goldman Sachs Group, Inc. (GS) agreed to pay $1.1 billion for the warrant held by Treasury which enti

the holder of the warrant to purchase 12,205,045 shares of GS at a strike price of $122.90 per share. The warrant had an

expiration date of October 28, 2018.

NOTE: At the time of the decision, the common share price of GS was $159.80 compared to the 20-day average price of $148.16. This difference was 

taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

$550,000

$650,000

$750,000

$850,000

$950,000

$1,050,000

$1,150,000

Goldman Sachs (GS) 

Fair Market Value Estimates of Treasury's Warrant Position

First Bid - $600,000,000

$ Thousands

!T,T##,###,###"

Second Bid - $900,000,000

Market Quotes Third Party Model Valuation 

Final Bid - $1,100,000,000
36 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

AXP 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $175,400 $298,200 $218,700 $230,000 $260,000 $340,000 Six market indications 

Third Party $269,385 $349,050 $309,000 $230,000 $260,000 $340,000 External asset manager’s valuation estimates

Model Valuation $248,200 $321,600 $284,700 $230,000 $260,000 $340,000 Binomial option model adjusted for American 

style options

 

American Express Company (

Repurchase ofAXP War

On July 27, 2009, American Express Company (AXP) agreed to pay $340 million for the warrant held by Treasury

entitled the holder of the warrant to purchase 24,264,129 shares of XP at a strike price of $20.95 per shar.  The warrant h

an expiration date of January 9, 2019.

NOTE: At the time of the decision, the common share price of GS was $159.80 compared to the 20-day average price of $148.16. This difference was 

taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

Market Quotes Third Party Model Valuation 

American Express (AXP)

Fair Market Value Estimates of Treasury's Warrant Position

$150,000

$200,000

$250,000

$300,000

$350,000

$400,000

$450,000

Final Bid - $340,000,000

 First Bid - $230,000,000

Second Bid - $260,000,000

$ Thousands
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appendix ii – Warrant 

Disposition detail

BK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $55,000 $137,000 $94,000 $79,000 $118,000 $130,000 $136,000 Seven market indications 

Third Party $108,400 $164,100 $136,100 $79,000 $118,000 $130,000 $136,000 External asset manager’s valuation 

estimates

Model Valuation $109,500 $161,600 $135,200 $79,000 $118,000 $130,000 $136,000 Binomial option model adjusted for 

American style options

 

Bank of New York Mellon Corporation (BK)

Repurchase of BK Warran

On July 31, 2009, Bank of New York Mellon Corporation (BK) agreed to pay $136 million for the warrant held by Treasu

which entitled the holder of the warrant to purchase 14,516,129 shares of BK at a strike price of $31.00 per share. The 

warrant had an expiration date of October 28, 2018.

$45,000 

$85,000 

$105,000 

$125,000 

$145,000 

$165,000 

Market Quotes Third Party Model Valuation 

First Bid - $79,000,000

Final Bid - $136,000,000

Bank of New York Mellon (BK) 

Fair Market Value Estimates of Treasury's Warrant Position 

Third Bid - $130,000,000

$65,000 

$ Thousands

Second Bid - $118,000,000
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Disposition detail

MS 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $495,000 $944,000 $731,000 $500,000 $800,000 $900,000 $950,000 Seven market indications 

Third Party $806,000 $1,002,000 $900,000 $500,000 $800,000 $900,000 $950,000 External asset manager’s 

valuation estimates

Model Valuation $749,915 $961,658 $855,218 $500,000 $800,000 $900,000 $950,000 Binomial option model adjusted 

for American style options

 

Morgan Stanley (MS

Repurchase of MS Warra

On August 5, 2009, Morgan Stanley (MS) agreed to pay $950 million for the warrant held by Treasury which entitled

holder of the warrant to purchase 65,245,759 shares of MS at a strike price of $22.99 per share. The warrant had an expiration

date of October 28, 2018.

NOTE: At the time of the decision, the common share price of MS was $31.05 compared to the 20-day average price of $28.16. This difference was 

taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

$400,000 

$500,000 

$600,000 

$700,000 

$800,000 

$900,000 

$1,000,000 

$1,100,000 

Market Quotes Third Party Model Valuation 

Morgan Stanley (MS) 

Fair Market Value Estimates of Treasury's Warrant Position 

Third Bid - $900,000,000

Final Bid - $950,000,000

First Bid - $500,000,000

Second Bid - $800,000,000

$ Thousands
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appendix ii – Warrant 

Disposition detail

NTRS 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $53,500 $79,700 $68,760 $37,000 $75,000 $87,000 Six market indications 

Third Party $71,000 $101,000 $86,000 $37,000 $75,000 $87,000 External asset manager’s valuation estimates

Model Valuation $70,800 $96,700 $83,800 $37,000 $75,000 $87,000 Binomial option model adjusted for American 

style options

 

Northern Trust Corporation (

Repurchase ofNTRS Wa

On August 19, 2009, Northern Trust Corporation (NTRS) agreed to pay $87 million for the warrant held by Treasu

entitled the holder of the warrant to purchase 3,824,624 shares of TRS at a strike price of $61.81 per shae.  The warrant 

an expiration date of November 14, 2018.

$30,000 

$40,000 

$50,000 

$60,000 

$70,000 

$80,000 

$90,000 

$100,000 

$110,000 

$120,000 

Northern Trust (NTRS) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $37,000,000

Final Bid - $87,000,000

Second Bid - $75,000,000

Market Quotes Third Party Model Valuation 

$ Thousands
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OLBK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $28 $167 $102 $175 $205 $225 Four market indications 

Third Party $201 $308 $254 $175 $205 $225 External asset manager’s valuation estimates

Model Valuation $172 $257 $214 $175 $205 $225 Binomial option model adjusted for American 

style options

 

Old Line Bancshares, Inc. (OLBK

Repurchase of OLBK Warran

On August 20, 2009, Old Line Bancshares, Inc. (OLBK) agreed to pay $225,000 for the warrants held by Treasury whic

entitled the holder of the warrant to purchase 141,892 shares of OLBK at a strike price of $7.40 per share. The warrant had an

expiration date of December 5, 2018. 

$10 

$60 

$110 

$160 

$210 

$260 

$310 

$360 

Old Line Bancshares (OLBK) 

Second Bid - $205,000

Market Quotes Third Party Model Valuation 

Fair Market Value Estimates of Treasury's Warrant Position 

Final Bid - $225,000

First Bid - $175,000 

$ Thousands
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BARI 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $703 $1,427 $1,166 $857 $1,125 $1,400 Three market indications 

Third Party $1,196 $1,760 $1,476 $857 $1,125 $1,400 External asset manager’s valuation estimates

Model Valuation $1,200 $1,643 $1,423 $857 $1,125 $1,400 Binomial option model adjusted for American 

style options

 

Bancorp Rhode Island, Inc. (BARI) 

Repurchase of BARI Warrant

On September 21, 2009, Bancorp Rhode Island, Inc. (BARI) agreed to pay $1.4 million for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 192,967 shares of BARI at a strike price of $23.32 per share. The warrant 

had an expiration date of December 19, 2018. 

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

Market Quotes Third Party Model Valuation 

Bancorp Rhode Island (BARI)

Fair Market Value Estimates of Treasury's Warrant Position

Final Bid - $1,400,000

Second - $1,125,000

First Bid - $856,773

$ Thousands
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MNHN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $10 $57 $34 $63 Two market indications 

Third Party $45 $54 $50 $63 External asset manager’s valuation estimates

Model Valuation $48 $64 $56 $63 Binomial option model adjusted for American style options

 

Manhattan Bancorp (MNHN) 

Repurchase of MNHN Warrant

On October 9, 2009, Manhattan Bancorp (MNHN) agreed to pay $63,363.90 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 29,480 shares of MNHN at a strike price of $8.65 per share. The warrant had an 

expiration date of December 5, 2018. 

$8 

$18 

$28 

$38 

$48 

$58 

$68 

$78 

Market Quotes Third Party Model Valuation 

Manhattan Bancorp (MNHN) 

Fair Market Value Estimates of Treasury's Warrant Position 

Final Bid - $63,363.90

$ Thousands
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CSFL 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $94 $143 $125 $168 $212 Three market indications 

Third Party $159 $268 $236 $168 $212 External asset manager’s valuation estimates

Model Valuation $153 $269 $206 $168 $212 Binomial option model adjusted for American style options

 

CenterState Banks, Inc. (CSFL)

Repurchase of CSFL Warran

On October 20, 2009, CenterState Banks, Inc. (CSFL) agreed to pay $212,000 for the warrants held by Treasury which

entitled the holder of the warrant to purchase 125,413 shares of CSFL at a strike price of $16.67 per share. The warrant had

an expiration date of November 21, 2018. 

$90

$140

$190

$240

$290

CenterState Banks, Inc. (CSFL) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bidnts - $168,053 

Final Bid - $212,000 

Market Quotes Third Party Model Valuation 

$ Thousands
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CVBF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $551 $1,135 $917 $1,002 $1,307 Three market indications 

Third Party $785 $1,436 $1,110 $1,002 $1,307 External asset manager’s valuation estimates

Model Valuation $993 $1,711 $1,349 $1,002 $1,307 Binomial option model adjusted for American style options

 

CVB Financial Corp. (CVBF) 

Repurchase of CVBF Warrant

On October 21, 2009, CVB Financial Corp. (CVBF) agreed to pay $1.307 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 834,761 shares of CVBF at a strike price of $11.68 per share. The warrant had 

an expiration date of December 5, 2018. 

$400 

$600 

$800 

$1,000 

$1,200 

$1,400 

$1,600 

$1,800 

CVB Financial (CVBF) 

Fair Market Value Estimates of Treasury's Warrant Position 

Market Quotes Third Party Model Valuation 

First Bid - $1,002,000 

Final Bid - $1,307,000 

$ Thousands
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OZRK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,230 $3,240 $2,210 $2,161 $2,650 Three market indications 

Third Party $1,880 $3,110 $2,480 $2,161 $2,650 External asset manager’s valuation estimates

Model Valuation $1,917 $3,095 $2,509 $2,161 $2,650 Binomial option model adjusted for American style options

 

Bank of the Ozarks, Inc. (OZRK) 

Repurchase of OZRK Warrant

On November 18, 2009, Bank of the Ozarks, Inc. (OZRK) agreed to pay $2.65 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 379,811 shares of OZRK at a strike price of $29.62 per share. The warrant had 

an expiration date of December 12, 2018. 

$1,000 

$1,500 

$2,000 

$2,500 

$3,000 

$3,500 

Bank of the Ozarks (OZRK) 

Fair Market Value Estimates of US Treasury's Warrant Position 

Market Quotes Third Party Model Valuation 

First Bid - $2,160,743 

Final Bid - $2,650,000 

$ Thousands
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LSBX 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $157 $883 $446 $500 $560 Four market indications 

Third Party $486 $773 $605 $500 $560 External asset manager’s valuation estimates

Model Valuation $459 $681 $569 $500 $560 Binomial option model adjusted for American style options

 

LSB Corporation (LSB

Repurchase of LSBX Warra

On December 8, 2009, LSB Corporation (LSBX) agreed to pay $560,000 for the warrant held by Treasury which entitled t

holder of the warrant to purchase 209,497 shares of LSBX at a strike price of $10.74 per share  The warrant had an expiratio

date of December 12, 2018. 

$100 

$200 

$300 

$400 

$500 

$600 

$700 

$800 

$900 

$1,000 

Market Quotes Third Party Model Valuation 

LSB Corporation (LSBX) 

Fair Market Value Estimates of Treasury's Warrant Position 

Final Bid - $560,000

First Bid - $500,000 

$ Thousands
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WAIN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $289 $780 $532 $569 Four market indications 

Third Party $491 $776 $632 $569 External asset manager’s valuation estimates

Model Valuation $449 $632 $541 $569 Binomial option model adjusted for American style options

 

Wainwright Bank and Trust Company (WAIN) 

Repurchase of WAIN Warrant

On December 11, 2009, Wainwright Bank and Trust Company (WAIN) agreed to pay $568,700 for the warrants held by 

Treasury, which entitled the holder of the warrant to purchase 390,071 shares of WAIN at a strike price of $8.46 per share. 

The warrant had an expiration date of December 19, 2018. 

$200 

$300 

$400 

$500 

$600 

$700 

$800 

Market Quotes Third Party Model Valuation 

Wainwright Bank and Trust (WAIN) 

Fair Market Value Estimates of Treasury's Warrant Position 

Final Bid - $568,700

$ Thousands
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WSBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $132 $1,204 $577 $825 $950 Four market indications 

Third Party $371 $955 $643 $825 $950 External asset manager’s valuation estimates

Model Valuation $585 $1,119 $851 $825 $950 Binomial option model adjusted for American style options

 

WesBanco, Inc. (WSBC) 

Repurchase of WSBC Warrant

On December 11, 2009, WesBanco, Inc. (WSBC) agreed to pay $950,000 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 439,282 shares of WSBC at a strike price of $25.61 per share. The warrant had an 

expiration date of December 5, 2018. 

$0 

$200 

$400 

$600 

$800 

$1,000 

$1,200 

$1,400 

Market Quotes Third Party Model Valuation 

WesBanco, Inc. (WSBC)

Fair Market Value Estimates of Treasury's Warrant Position

Final Bid - $950,000

First Bid - $825,000 

$ Thousands
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UBSH 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $188 $687 $448 $400 $450 Four market indications 

Third Party $267 $595 $424 $400 $450 External asset manager’s valuation estimates

Model Valuation $279 $564 $410 $400 $450 Binomial option model adjusted for American style options

 

Union Bankshares Corporation (UBSH) 

Repurchase of UBSH Warrant

On December 16, 2009, Union Bankshares Corporation (UBSH) agreed to pay $450,000 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 211,318 shares of UBSH at a strike price of $20.94 per share. The 

warrant had an expiration date of December 19, 2018. 

$100 

$200 

$300 

$400 

$500 

$600 

$700 

$800 

Market Quotes Third Party Model Valuation 

Union Bankshares (UBSH) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $400,000 

Final Bid - $450,000

$ Thousands
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FFIC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $459 $1,240 $742 $597 $700 $860 $900 Four market indications

Third Party $883 $1,131 $1,007 $597 $700 $860 $900 External asset manager’s valuation estimates

Model Valuation $623 $1,090 $850 $597 $700 $860 $900 Binomial option model adjusted for American 

style options

 

Flushing Financial Corporation (FFIC) 

Repurchase of FFIC Warrant

On December 28, 2009, Flushing Financial Corporation (FFIC) agreed to pay $900,000 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 375,806 shares of FFIC at a strike price of $13.97 per share. The warrant 

had an expiration date of December 19, 2018. 

$400 

$600 

$800 

$1,000 

$1,200 

$1,400 

Market Quotes Third Party Model Valuation 

Flushing Financial (FFIC) 

Fair Market Value Estimates of Treasury's Warrant Position 

Second Bid - $700,000

Third Bid - $860,000

Final Bid - $900,000 

$ Thousands

First Bid - $597,000 
51 Warrant Disposition Report - Update DECEMBER 31

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TRMK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $4,120 $10,547 $7,601 $8,167 $9,200 $9,600 $10,000 Four market indications

Third Party $7,103 $10,942 $9,014 $8,167 $9,200 $9,600 $10,000 External asset manager’s valuation estimates

Model Valuation $7,876 $11,551 $9,704 $8,167 $9,200 $9,600 $10,000 Binomial option model adjusted for American 

style options

 

Trustmark Corporation (TRMK) 

Repurchase of TRMK Warrant

On December 29, 2009, Trustmark Corporation (TRMK) agreed to pay $10,000,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,647,931 shares of TRMK at a strike price of $19.57 per share. The warrant 

had an expiration date of November 21, 2018.

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

$9,000 

$10,000 

$11,000 

$12,000 

Market Quotes Third Party Model Valuation 

Trustmark Corporation (TRMK) 

Fair Market Value Estimates of Treasury's Warrant Position 

First Bid - $8,167,000 

Second Bid - $9,200,000 

Third Bid - $9,600,000 

Final Bid - $10,000,000 

$ Thousands
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OCFC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $152 $392 $281 $431 Three market indications

Third Party $308 $468 $388 $431 External asset manager’s valuation estimates

Model Valuation $269 $508 $381 $431 Binomial option model adjusted for American style options

 

OceanFirst Financial Corp. (OCFC) 

Repurchase of OCFC Warrant

On January 21, 2010, OceanFirst Financial Corp. (OCFC) agreed to pay $430,797 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 190,427 shares of OCFC at an exercise price of $15.07 per share. The warrant 

had an expiration date January 16, 2019. 

$50 

$150 

$250 

$350 

$450 

$550 

Market Quotes Third Party Model Valuation 

OceanFirst Financial Corp. (OCFC) 

 Fair Market Value Estimates of US Treasury's Warrant Position 

$ Thousands

Final Bid - $430,797 
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MNRK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $132 $394 $263 $209 $250 $260 Two market indications 

Third Party $201 $297 $260 $209 $250 $260 External asset manager’s valuation estimates

Model Valuation $230 $321 $275 $209 $250 $260 Binomial option model adjusted for American style options

 

Monarch Financial Holdings, Inc. (MNRK) 

Repurchase of MNRK Warrant

On February 1, 2010, Monarch Financial Holdings, Inc. (MNRK) agreed to pay $260,000 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 132,353 shares of MNRK at an exercise price of $8.33 per share. The 

warrant had an expiration date December 19, 2018. 

$0 

$50 

$100 

$150 

$200 

$250 

$300 

$350 

$400 

$450 

$ Thousands

Market Quotes Third Party Model Valuation 

Monarch Financial Holdings, Inc. (MNRK) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $209,118 

Second Bid - $250,000 

Final Bid - $260,000 
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UMPQ 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $3,210 $3,444 $3,327 $2,055 $3,610 $4,250 $4,500 Two market indications

Third Party $3,255 $5,088 $4,155 $2,055 $3,610 $4,250 $4,500 External asset manager’s valuation estimates

Model Valuation $3,361 $5,103 $4,265 $2,055 $3,610 $4,250 $4,500 Binomial option model adjusted for American 

style options

 

Umpqua Holdings Corporation (UMPQ)

Repurchase of UMPQ Warrant

On March 22, 2010, Umpqua Holdings Corporation (UMPQ) agreed to pay $4.5 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,110,898 shares of UMPQ at an exercise price of $14.46 per share. The warrant had 

an expiration date November 14, 2018.

$1,000 

$1,500 

$2,000 

$2,500 

$3,000 

$3,500 

$4,000 

$4,500 

$5,000 

$5,500 

$6,000 

Market Quotes Third Party Model Valuation 

$ Thousands Umpqua Holdings Corporation (UMPQ) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $2,055,161.30 

Second Bid - $3,610,419 

Third Bid - $4,250,000 

Final Bid - $4,500,000 
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CYN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $12,585 $15,338 $14,278 $11,900 $17,500 $18,500 Three market indications

Third Party $14,298 $21,800 $18,016 $11,900 $17,500 $18,500 External asset manager’s valuation estimates

Model Valuation $14,816 $21,947 $18,365 $11,900 $17,500 $18,500 Binomial option model adjusted for American style 

options

 

City National Corporation (CYN) 

Repurchase of CYN Warrant

On April 6, 2010, City National Corporation (CYN) agreed to pay $18.5 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,128,668 shares of CYN at an exercise price of $53.16 per share. The warrant 

had an expiration date November 21, 2018. 

$9,000 

$1 1,000 

$13,000 

$15,000 

$17,000 

$19,000 

$21,000 

$23,000 

$25,000 

$ Thousands

Market Quotes Third Party Model Valuation 

City National Corporation (CYN) 

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $11,900,000 

Second Bid - $17,500,000 

Final Bid - $18,500,000 
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SIVB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $4,483 $6,289 $5,524 $3,800 $6,200 $6,820 Three market indications

Third Party $7,690 $9,040 $8,364 $3,800 $6,200 $6,820 External asset manager’s valuation estimates

Model Valuation $5,704 $7,897 $6,782 $3,800 $6,200 $6,820 Binomial option model adjusted for American style 

options

 

SVB Financial Group (SIVB) 

Repurchase of SIVB Warrant

On June 8, 2010, SVB Financial Group (SIVB) agreed to pay $6.8 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 354,058 shares of SIVB at an exercise price of $49.78 per share. The warrant had an 

expiration date December 12, 2018. 

$2,000 

$3,000 

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

$9,000 

$10,000 

Market Quotes Third Party Model Valuation 

$ Thousands SVB Financial Group (SIVB) 

Fair Market Value Estimates of US reasury's Warrant Position 

First Bid - $3,800,000 

Second Bid - $6,200,000 

Final Bid - $6,820,000 
57 Warrant Disposition Report - Update DECEMBER 31

appendix ii – Warrant 

Disposition detail

DFS 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Third Bid Final Bid Details

Market Quotes $163,700 $168,103 $166,020 $165,000 $172,000 Three market indications

Third Party $151,276 $187,655 $169,255 $165,000 $172,000 External asset manager’s valuation estimates

Model Valuation $137,293 $168,159 $152,404 $165,000 $172,000 Binomial option model adjusted for American style options

 

Discover Financial Services (D

Repurchase of DFS Warr

On June 29, 2010, Discover Financial Services (DFS) agreed to pay $172 million for the warrant held by Treasury 

entitled the holder of the warrant to purchase 20,500,413 shares of DFS at an exercise price of $8.96 per share  The warran

had an expiration date of March 13, 2019. 

Note: The chart above shows Treasury’s warrant valuation analysis at the time of DFS’s last bid in late June 2010. Two months earlier, DFS had placed bids 

of $165 million and $180 million on 4/23/10 and 5/4/10, respectively. At that time, DFS’s stock price was approximately 10% higher than it was in late June 

2010. Accordingly, the bids were below the mid points of Treasury’s various valuation metrics and were not accepted. When considering the $180 million bid 

in early May 2010, the mid point valuation estimates were as follows: market indications $189 million, third party $198 million, and Treasury’s model $186 

million.

Market Quotes Third Party Model Valuation 

$120,000

$130,000

$140,000

$150,000

$160,000

$170,000

$180,000

$190,000

$200,000

$210,000

$220,000

Discover Financial Services (DFS)

Fair Market Value Estimates of US Treasury's Warrant Position

Third Bid - $165,000,000

$ Thousands

Final Bid - $172,000,000
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BHB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Third Bid Final Bid Details

Market Quotes $189 $196 $193 $225 $250 Two market indications

Third Party $239 $393 $315 $225 $250 External asset manager’s valuation estimates

Model Valuation $182 $329 $255 $225 $250 Binomial option model adjusted for American style options

 

Bar Harbor Bankshares (BHB) 

Repurchase of BHB Warrant

On July 22, 2010, Bar Harbor Bankshares (BHB) agreed to pay $250,000 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 52,455 shares of BHB at an exercise price of $26.81 per share. The warrant had an 

expiration date of January 16, 2019. 

NOTE: The chart above shows Treasury’s warrant valuation analysis at the time of BHB’s last bid in July 2010. Months earlier, BHB had placed bids 

of $67,000 and $175,000 on 3/10/10 and 4/23/10, respectively. The bids were below Treasury’s various valuation metrics at that time and were not 

accepted.

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

Bar Harbor Bankshares (BHB)

Fair Market Value Estimates of US Treasury's Warrant Position

Third Bid - $225,000

Final Bid - $250,000

Market Quotes Third Party Model Valuation 

$ Thousands
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CZNC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $127 $378 $245 $400 Three market indications

Third Party $620 $890 $753 $400 External asset manager’s valuation estimates

Model Valuation $217 $415 $316 $400 Binomial option model adjusted for American style options

 

Citizens & Northern Corporation (CZNC)

Repurchase of CZNC Warrant

On August 25, 2010, Citizens & Northern Corporation (CZNC) agreed to pay $400,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 194,794 shares of CZNC at an exercise price of $20.36 per share. The warrant had an 

expiration date of January 16, 2019.

Market Quotes Third Party Model Valuation 

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

Citizens and Northern Corporation (CZNC)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $400,000

$ Thousands
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$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

Columbia Banking System, Inc. (COLB)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $3,301,647

Market Quotes Third Party Model Valuation 

$ Thousands

COLB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $1,950 $3,383 $2,632 $3,302 Four market indications

Third Party $2,639 $3,454 $3,042 $3,302 External asset manager’s valuation estimates

Model Valuation $2,497 $3,299 $2,893 $3,302 Binomial option model adjusted for American style options

 

Columbia Banking System (COLB)

Repurchase of COLB Warran

On August 25, 2010, Columbia Banking System (COLB) agreed to pay $3.3 million for the warrant held by Treasury which

entitled the holder of the warrant to purchase 398,023 shares of COLB at an exercise price of $14.49 per share. The warrant

had an expiration date of November 21, 2018.
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Note: The chart above shows Treasury’s warrant valuation analysis at the time of TBBK’s last bid in early September 2010. Months earlier, TBBK had 

placed bids of $3.55 million and $4.85 million on 3/15/10 and 3/29/10, respectively. At that time, TBBK’s stock price was more than 20% higher than 

it was in September 2010. Accordingly, the bids were below some of the mid points of Treasury’s various valuation metrics and were not accepted. 

When considering the $4.85 million bid in late March 2010, the mid point valuation estimates were as follows: market indications $6.0 million, third 

party $4.6 million, and Treasury’s model $4.8 million.

TBBK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $3,666 $4,578 $4,122 $4,754 Two market indications

Third Party $4,558 $5,048 $4,960 $4,754 External asset manager’s valuation estimates

Model Valuation $3,323 $3,881 $3,742 $4,754 Binomial option model adjusted for American style options

 

The Bancorp, Inc. (TBBK) 

Repurchase of TBBK Warrant

On September 2, 2010, The Bancorp, Inc. (TBBK) agreed to pay $4.75 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 980,203 shares of TBBK at an exercise price of $3.46 per share. The warrant had 

an expiration date of December 12, 2018.

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

$5,000

$5,500

$6,000

The Bancorp, Inc. (TBBK)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $4,753,985

Market Quotes Third Party Model Valuation 

$ Thousands
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Market Quotes Third Party Model Valuation 

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

$18,000

$20,000

Fulton Financial Corporation (FULT)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $8,000,000

Second Bid - $9,500,000

Final Bid - $10,800,000

$ Thousands

FULT 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $8,525 $11,648 $10,288 $8,000 $9,500 $10,800 Four market indications

Third Party $6,832 $13,168 $9,918 $8,000 $9,500 $10,800 External asset manager’s valuation estimates

Model Valuation $7,976 $13,155 $10,537 $8,000 $9,500 $10,800 Binomial option model adjusted for American style 

options

 

Fulton Financial Corporation (FULT

Repurchase of FULT Warran

On September 3, 2010, Fulton Financial Corporation (FULT) agreed to pay $10.8 million for the warrant held by Treasury

which entitled the holder of the warrant to purchase 5,509,756 shares of FULT at an exercise price of $10.25 per share. The

warrant had an expiration date of December 23, 2018.
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FPTB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $686 $1,253 $966 $291 $1,003 Three market indications 

Third Party $848 $1,231 $1,034 $291 $1,003 External asset manager's valuation estimates

Model Valuation $693 $989 $837 $291 $1,003 Binomial option model adjusted for American style options

 

First PacTrust Bancorp, Inc. (FPTB) 

Repurchase of FPTB Warrant

On December 30, 2010, First PacTrust Bancorp, Inc. agreed to pay $1.0 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 280,795 shares of FPTB at an exercise price of $10.31 per share. The warrant 

had an expiration date of November 21, 2018. 

$200 

$400 

$600 

$800 

$1,000 

$1,200 

$1,400 

First PacTrust Bancorp, Inc. (FPTB) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $291,152 

Final Bid - $1,003,227 

Market Quotes Third Party Model Valuation 

$ Thousands
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SUSQ 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $4,282 $4,777 $4,572 $4,482 $5,269 Three market indications

Third Party $4,421 $7,235 $5,441 $4,482 $5,269 External asset manager’s valuation estimates

Model Valuation $3,350 $6,720 $5,029 $4,482 $5,269 Binomial option model adjusted for American style options

 

Susquehanna Bancshares, Inc. (SUSQ)

Repurchase of SUSQ Warrant

On January 12, 2011, Susquehanna Bancshares, Inc. (SUSQ) agreed to pay $5.3 million for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 3,028,264 shares of SUSQ at an exercise price of $14.86 per share. The 

warrant had an expiration date of December 12, 2018.

$2,000 

$3,000 

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

Market Quotes Third Party Model Valuation 

$ Thousands Susquehanna Bancshares, Inc. (SUSQ) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $4,481,804 

Final Bid - $5,269,179 
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HBAN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $41,235 $63,149 $48,125 $49,100 Four market indications

Third Party $32,069 $52,284 $42,038 $49,100 External asset manager’s valuation estimates

Model Valuation $37,220 $57,182 $46,895 $49,100 Binomial option model adjusted for American style options

 

Huntington Bancshares Incorporated (HBAN)

Repurchase of HBAN Warrant

On January 13, 2011, Huntington Bancshares Incorporated (HBAN) agreed to pay $49.1 million for the warrant held by 

Treasury which entitled the holder of the warrant to purchase 23,562,994 shares of HBAN at an exercise price of $8.90 per 

share. The warrant had an expiration date of November 14, 2018.

$10,000 

$15,000 

$20,000 

$25,000 

$30,000 

$35,000 

$40,000 

$45,000 

$50,000 

$55,000 

$60,000 

$65,000 

$70,000 

Market Quotes Third Party Model Valuation 

$ Thousands Huntington Bancshares Incorporated (HBAN) 

Fair Market Value Estimates of US Treasury's Warrant Position 

Final Bid - $49,100,000 
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EWBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $12,645 $14,596 $13,655 $12,000 $14,500 Three market indications

Third Party $12,701 $16,585 $14,588 $12,000 $14,500 External asset manager’s valuation estimates

Model Valuation $12,036 $15,754 $13,851 $12,000 $14,500 Binomial option model adjusted for American style options

 

East West Bancorp, Inc. (EWBC)

Repurchase of EWBC Warrant

On January 21, 2011, East West Bancorp, Inc. (EWBC) agreed to pay $14.5 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,517,555 shares of EWBC at an exercise price of $15.15 per share. The warrant 

had an expiration date of December 5, 2018.

$10,000 

$11,000 

$12,000 

$13,000 

$14,000 

$15,000 

$16,000 

$17,000 

$18,000 

Market Quotes Third Party Model Valuation 

$ Thousands East West Bancorp, Inc. (EWBC) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $12,000,000 

Final Bid - $14,500,000 
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SASR 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid

Second 

Bid

Third 

Bid

Fourth 

Bid Final Bid Details

Market Quotes $3,999 $4,291 $4,140 $3,077 $3,430 $3,750 $4,200 $4,450 Three market indications

Third Party $3,538 $5,021 $4,277 $3,077 $3,430 $3,750 $4,200 $4,450 External asset manager’s valuation 

estimates

Model Valuation $3,582 $5,073 $4,323 $3,077 $3,430 $3,750 $4,200 $4,450 Binomial option model adjusted for 

American style options

 

Sandy Spring Bancorp, Inc. (SASR)

Repurchase of SASR Warrant

On February 11, 2011, Sandy Spring Bancorp, Inc. (SASR) agreed to pay $4.5 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 651,547 shares of SASR at an exercise price of $19.13 per share. The warrant 

had an expiration date of December 5, 2018.

$1,000 

$1,500 

$2,000 

$2,500 

$3,000 

$3,500 

$4,000 

$4,500 

$5,000 

$5,500 

$6,000 

Third Party Model Valuation 

$ Thousands Sandy Spring Bancorp, Inc. (SASR) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $3,076,946 

Second Bid - $3,430,000 

Third Bid - $3,750,000 

Fourth Bid - $4,200,000 

Final Bid - $4,450,000 

Market Quotes 
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WBCO 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $1,599 $1,696 $1,647 $1,370 $1,575 $1,625 Four market indications

Third Party $1,405 $1,773 $1,585 $1,370 $1,575 $1,625 External asset manager’s valuation estimates

Model Valuation $1,430 $1,708 $1,559 $1,370 $1,575 $1,625 Binomial option model adjusted for American style 

options

 

Washington Banking Company (WBCO)

Repurchase of WBCO Warrant

On February 16, 2011, Washington Banking Company (WBCO) agreed to pay $1.6 million for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 246,082 shares of WBCO at an exercise price of $8.04 per share. The 

warrant had an expiration date of January 16, 2019.

$1,100 

$1,200 

$1,300 

$1,400 

$1,500 

$1,600 

$1,700 

$1,800 

$1,900 

Market Quotes Third Party Model Valuation 

$ Thousands Washington Banking Company (WBCO) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $1,370,000

Second Bid - $1,575,000

Final Bid - $1,625,000
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SRCE 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $3,233 $4,019 $3,755 $3,250 $3,750 $3,750 four market indications

Third Party $2,566 $4,528 $3,527 $3,250 $3,750 $3,750 External asset manager’s valuation estimates

Model Valuation $3,173 $4,820 $3,996 $3,250 $3,750 $3,750 Binomial option model adjusted for American style 

options

 

1st Source Corporation (SRCE)

Repurchase of SRCE Warrant

On March 2, 2011, 1st Source Corporation (SRCE) agreed to pay $3.8 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 837,947 shares of SRCE at an exercise price of $19.87 per share. The warrant had an 

expiration date of January 23, 2019.

$2,000 

$2,500 

$3,000 

$3,500 

$4,000 

$4,500 

$5,000 

$5,500 

Market Quotes Third Party Model Valuation 

$ Thousands 1st Source Corporation (SRCE) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $3,250,000 

Second and Final Bids - 

$3,750,000 
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FHN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $57,240 $84,085 $70,318 $51,948 $79,700 Four market indications

Third Party $64,119 $79,258 $74,063 $51,948 $79,700 External asset manager’s valuation estimates

Model Valuation $74,165 $95,802 $84,485 $51,948 $79,700 Binomial option model adjusted for American style options

 

First Horizon National Corporation (FHN)

Repurchase of FHN Warrant

On March 4, 2011, First Horizon National Corporation (FHN) agreed to pay $79.7 million for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 14,842,321 shares of FHN at an exercise price of $8.76 per share. The 

warrant had an expiration date of November 14, 2018.

$40,000 

$45,000 

$50,000 

$55,000 

$60,000 

$65,000 

$70,000 

$75,000 

$80,000 

$85,000 

$90,000 

$95,000 

$100,000 

$105,000 

$110,000 

Market Quotes Third Party Model Valuation 

$ Thousands First Horizon National Corporation (FHN) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $51,948,124 

Final Bid - $79,700,000 
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FITB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $260,454 $298,019 $275,665 $273,919 $280,026 Three market indications

Third Party $237,281 $312,739 $278,717 $273,919 $280,026 External asset manager’s valuation estimates

Model Valuation $250,920 $333,588 $291,403 $273,919 $280,026 Binomial option model adjusted for American style options

 

Fifth Third Bancorp (FITB)

Repurchase of FITB Warrant

On March 14, 2011, Fifth Third Bancorp (FITB) agreed to pay $280.0 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 43,617,747 shares of FITB at an exercise price of $11.72 per share. The warrant had an 

expiration date of December 31, 2018.

$200,000 

$220,000 

$240,000 

$260,000 

$280,000 

$300,000 

$320,000 

$340,000 

$360,000 

$380,000 

$400,000 

Market Quotes Third Party Model Valuation 

$ Thousands Fifth Third Bancorp (FITB) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $273,919,451 

Second and Final Bids - $280,025,936 
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NPBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $791 $1,717 $1,187 $486 $765 $882 $1,000 Thrree market indications

Third Party $538 $1,187 $847 $486 $765 $882 $1,000 External asset manager’s valuation 

estimates

Model Valuation $494 $1,142 $816 $486 $765 $882 $1,000 Binomial option model adjusted for 

American style options

 

National Penn Bancshares, Inc. (NPBC)

Repurchase of NPBC Warrant

On April 8, 2011, National Penn Bancshares, Inc. (NPBC) agreed to pay $1.0 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 735,294 shares of NPBC at an exercise price of $15.30 per share. The warrant 

had an expiration date of December 12, 2018.

Market Quotes Third Party Model Valuation 

National Penn Bancshares, Inc. (NPBC) 

Fair Market Value Estimates of US Treasury's Warrant Position 

$200 

$400 

$600 

$800 

$1,000 

$1,200 

$1,400 

$1,600 

$1,800 

$ Thousands

First Bid - $485,924 

Second Bid - $764,705 

Third Bid - $882,353 

Final Bid - $1,000,000 
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BBNK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $949 $1,700 $1,295 $1,150 $1,395 Thrree market indications

Third Party $960 $1,323 $1,182 $1,150 $1,395 External asset manager’s valuation estimates

Model Valuation $999 $1,305 $1,193 $1,150 $1,395 Binomial option model adjusted for American style options

 

Bridge Capital Holdings (BBNK)

Repurchase of BBNK Warrant

On April 8, 2011, Bridge Capital Holdings (BBNK) agreed to pay $1.4 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 396,412 shares of BBNK at an exercise price of $9.03 per share. The warrant had an 

expiration date of December 23, 2018.

$600 

$800 

$1,000 

$1,200 

$1,400 

$1,600 

$1,800 

$2,000 

Market Quotes Third Party Model Valuation 

Bridge Capital Holdings (BBNK) 

Fair Market Value Estimates of US Treasury's Warrant Position 

$ Thousands

First Bid - $1,150,000 

Final Bid - $1,395,000 
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KEY 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $56,623 $69,843 $62,763 $63,000 $70,000 Three market indications

Third Party $43,498 $80,467 $61,658 $63,000 $70,000 External asset manager’s valuation estimates

Model Valuation $46,886 $84,263 $65,537 $63,000 $70,000 Binomial option model adjusted for American style options

 

KeyCorp (KEY)

Repurchase of KEY Warrant

On April 18, 2011, KeyCorp (KEY) agreed to pay $70.0 million for the warrant held by Treasury which entitled the holder 

of the warrant to purchase 35,244,361 shares of KEY at an exercise price of $10.64 per share. The warrant had an expiration 

date of November 14, 2018.

Market Quotes Third Party Model Valuation 

KeyCorp (KEY) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $63,000,000 

Final Bid - $70,000,000 

$30,000 

$40,000 

$50,000 

$60,000 

$70,000 

$80,000 

$90,000 

$100,000 

$ Thousands
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FISI 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $1,275 $1,940 $1,669 $1,418 $1,853 $2,080 Five market indications

Third Party $2,090 $2,769 $2,428 $1,418 $1,853 $2,080 External asset manager’s valuation estimates

Model Valuation $1,763 $2,391 $2,075 $1,418 $1,853 $2,080 Binomial option model adjusted for American 

style options

 

Financial Institutions, Inc. (FISI)

Repurchase of FISI Warrant

On May 2, 2011, Financial Institutions, Inc. (FISI) agreed to pay $2.1 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 378,175 shares of FISI at an exercise price of $14.88 per share. The warrant had an 

expiration date of December 23, 2018.

$500 

$1,000 

$1,500 

$2,000 

$2,500 

$3,000 

$3,500 

Market Quotes Third Party Model Valuation 

Financial Institutions, Inc. (FISI) 

Fair Market Value Estimates of US Treasury's Warrant Position 

$ Thousands

First Bid - $1,418,156 

Second Bid - $1,853,058 

Final Bid - $2,079,963 
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STL 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $444 $734 $633 $946 Four market indications

Third Party $673 $1,193 $926 $946 External asset manager’s valuation estimates

Model Valuation $657 $1,214 $935 $946 Binomial option model adjusted for American style options

 

Sterling Bancorp (STL

Repurchase of STL Warran

On May 13, 2011, Sterling Bancorp (STL) agreed to pay $945,775 for the warrant held by Treasury which entitled the holder

of the warrant to purchase 516,817 shares of STL at an exercise price of $12.19 per share. The warrant had an expiration date

of December 23, 2018.

$300 

$500 

$700 

$900 

$1,100 

$1,300 

$1,500 

Market Quotes Third Party Model Valuation 

Sterling Bancorp (STL) 

Fair Market Value Estimates of US Treasury's Warrant Position 

$ Thousands

Final Bid - $945,775 
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$3,000 

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

$9,000 

$10,000 

Market Quotes Third Party Model Valuation 

Whitney Holding Corporation (WTNY) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $6,000,000 

Final Bid - $6,900,000 

$ Thousands

WTNY/HBHC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $3,810 $6,259 $4,920 $6,000 $6,900 Three market indications

Third Party $4,290 $8,360 $6,193 $6,000 $6,900 External asset manager’s valuation estimates

Model Valuation $4,411 $8,334 $6,367 $6,000 $6,900 Binomial option model adjusted for American style options

 

Whitney Holding Company / Hancock Holding Company WTNY/HBHC

Repurchase of WTNY/HBHC Warrant

On May 13, 2011, Hancock Holding Company (HBHC) agreed to pay $6.9 million for the Whitney Holding Company (WTNY) 

warrant held by Treasury which entitled the holder of the warrant to purchase 1,100,000 shares of HBHC at an exercise price of 

$40.91 per share. The warrant had an expiration date of December 19, 2018.
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HOMB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $1,000 $1,297 $1,149 $697 $1,300 Four market indications

Third Party $1,137 $1,644 $1,386 $697 $1,300 External asset manager's valuation estimates

Model Valuation $999 $1,446 $1,220 $697 $1,300 Binomial option model adjusted for American style 

options

 

Home Bancshares, Inc. (HOMB) 

Repurchase of HOMB Warrant

On July 21, 2011, Home Bancshares, Inc. (HOMB) agreed to pay $1.3 million for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 158,472 shares of HOMB at an exercise price of $23.66 per share. The warrant had an 

expiration date of January 16, 2019.

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

Home Bancshares, Inc. (HOMB)

Fair Market Value Estimates of US Treasury’s Warrant Position

First Bid - $697,275

Final Bid - $1,300,000

Market Quotes Third Party Model Valuation 

$ Thousands 
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MOFG 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $703 $946 $861 $800 $950 $1,000 Three market indications

Third Party $1,011 $1,347 $1,177 $800 $950 $1,000 External asset manager's valuation 

estimates

Model Valuation $735 $1,024 $878 $800 $950 $1,000 Binomial option model adjusted for 

American style options

 

MidWestOne Financial Group, Inc. (MOFG) 

Repurchase of MOFG Warrant

On July 21, 2011, MidWestOne Financial Group, Inc. (MOFG) agreed to pay $1.0 million for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 198,675.5 shares of MOFG at an exercise price of $10.31 per share. The 

warrant had an expiration date of February 6, 2019.

$00 

$500 

$600 

$700

$800 

$900 

$1,000 

$1,100 

$1,200 

$1,300 

$1,400 

Market Quotes Third Party Model Valuation 

$ Thousands MidWestOne Financial Group, Inc. (MOFG)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $800,000 

Second Bid - $950,000 

Final Bid - $1,000,000 
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HFWA 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $287 $469 $391 $286 $372 $390 $450 Three market indications

Third Party $366 $567 $465 $286 $372 $390 $450 External asset manager's valuation 

estimates

Model Valuation $318 $515 $413 $286 $372 $390 $450 Binomial option model adjusted for 

American style options

 

Heritage Financial Corporation (HFWA) 

Repurchase of HFWA Warrant

On August 5, 2011, Heritage Financial Corporation (HFWA) agreed to pay $450,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 138,037 shares of HFWA at an exercise price of $13.04 per share. The warrant 

had an expiration date of November 21, 2018.

Market Quotes Third Party Model Valuation 

$ Thousands Heritage Financial Corporation (HFWA)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $285,736.59

Second Bid - $372,000 

Final Bid - $450,000 

Third Bid - $390,000 

$600

$500

$400

$300

$200

$100

$0
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FCAL 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $150 $419 $262 $599 Four market indications

Third Party $497 $752 $646 $599 External asset manager's valuation estimates

Model Valuation $341 $556 $464 $599 Binomial option model adjusted for American style options

 

First California Financial Group, Inc. (FCAL)

Repurchase of FCAL Warran

On August 9, 2011, First California Financial Group, Inc. (FCAL) agreed to pay $599,042 for the warrant held by Treasury

which entitled the holder of the warrant to purchase 599,042 shares of FCAL at an exercise price of $6.26 per share. The

warrant had an expiration date of December 19, 2018.

$800

$700

$600

$500

$400

$300

$200

$100

$0

Market Quotes Third Party Model Valuation 

$ Thousands First California Financial Group, Inc. (FCAL)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $599,042 
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WTBA 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $583 $920 $743 $356 $559 $700 Three market indications

Third Party $488 $896 $687 $356 $559 $700 External asset manager's valuation 

estimates

Model Valuation $526 $907 $713 $356 $559 $700 Binomial option model adjusted for 

American style options

 

West Bancorporation, Inc. (WTBA) 

Repurchase of WTBA Warrant

On August 23, 2011,West Bancorporation, Inc. (WTBA) agreed to pay $700,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 474,100 shares of WTBA at an exercise price of $11.39 per share. The warrant 

had an expiration date of December 31, 2018.

$1,100

$1,000

$900

$800

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands West Bancorporation, Inc. (WTBA)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $700,000

First Bid - $355,575 

Second Bid - $559,438
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CVLY 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $225 $526 $397 $527 Three market indications

Third Party $325 $469 $396 $527 External asset manager's valuation estimates

Model Valuation $414 $606 $508 $527 Binomial option model adjusted for American style options

 

Codorus Valley Bancorp, Inc. (CVLY)

Repurchase of CVLY Warran

On August 31, 2010, Codorus Valley Bancorp, Inc. (CVLY) agreed to pay $526,604 for the warrant held by Treasury which

entitled the holder of the warrant to purchase 263,859 shares of CVLY at an exercise price of $9.38 per share. The warrant had

an expiration date of January 9, 2019.

$800

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands Codorus Valley Bancorp, Inc. (CVLY)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $526,604
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DNBF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $279 $723 $521 $373 $458 Three market indications

Third Party $266 $341 $305 $373 $458 External asset manager's valuation estimates

Model Valuation $390 $539 $464 $373 $458 Binomial option model adjusted for American style 

options

 

DNB Financial Corporation (DNBF) 

Repurchase of DNBF Warrant

On August 31, 2011, DNB Financial Corporation (DNBF) agreed to pay $458,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 186,311 shares of DNBF at an exercise price of $9.46 per share. The warrant 

had an expiration date of January 30, 2019.

$800

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands DNB Financial Corporation (DNBF)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $458,000

First Bid - $373,000
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SSBI 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $248 $367 $311 $270 $303 $315 Three market indications

Third Party $242 $368 $305 $270 $303 $315 External asset manager's valuation 

estimates

Model Valuation $269 $383 $324 $270 $303 $315 Binomial option model adjusted for 

American style options

 

Summit State Bank (SSBI) 

Repurchase of SSBI Warrant

On September 8, 2011, Summit State Bank (SSBI) agreed to pay $315,000 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 239,212 shares of SSBI at an exercise price of $5.33 per share. The warrant had an 

expiration date of December 19, 2018.

$500

$450

$400

$350

$300

$250

$200

$150

$100

Market Quotes Third Party Model Valuation 

$ Thousands Summit State Bank (SSBI)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $315,000

First Bid - $270,000

Second Bid - $303,000
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CVCY 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $75 $153 $108 $185 Three market indications

Third Party $184 $229 $206 $185 External asset manager's valuation estimates

Model Valuation $128 $174 $156 $185 Binomial option model adjusted for American style options

 

Central Valley Community Bancorp (CVCY) 

Repurchase of CVCY Warrant

On September 9, 2011, Central Valley Community Bancorp (CVCY) agreed to pay $185,017 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 79,067 shares of CVCY at an exercise price of $6.64 per share. The 

warrant had an expiration date of January 30, 2019.

$$350

$300

$250

$200

$150

$100

$50

$0

Market Quotes Third Party Model Valuation 

$ Thousands Central Valley Community Bancorp (CVCY)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $185,017
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GSBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $6,198 $7,480 $6,669 $4,500 $6,436 $6,436 Three market indications

Third Party $5,255 $6,318 $5,791 $4,500 $6,436 $6,436 External asset manager's valuation 

estimates

Model Valuation $6,080 $6,717 $6,296 $4,500 $6,436 $6,436 Binomial option model adjusted for 

American style options

 

Great Southern Bancorp (GSBC) 

Repurchase of GSBC Warrant

On September 15, 2011, Great Southern Bancorp (GSBC) agreed to pay $6.4 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 909,091 shares of GSBC at an exercise price of $9.57 per share. The warrant 

had an expiration date of December 5, 2018.

$8,000

$7,500

$7,000

$6,500

$6,000

$5,500

$5,000

$4,500

$4,000

$3,500

$3,000

Market Quotes Third Party Model Valuation 

$ Thousands Great Southern Bancorp, Inc. (GSBC)

Fair Market Value Estimates of US Treasury's Warrant Position

Second and Final Bids - $6,436,364

First Bid - $4,500,000
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HTLF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $854 $1,634 $1,296 $1,800 Four market indications

Third Party $878 $1,725 $1,286 $1,800 External asset manager's valuation estimates

Model Valuation $1,339 $2,156 $1,732 $1,800 Binomial option model adjusted for American style options

 

Heartland Financial USA, Inc. (HTLF)

Repurchase of HTFL Warran

On September 16, 2011, Heartland Financial USA, Inc. (HTLF) agreed to pay $1.8 million for the warrant held by Treasury

which entitled the holder of the warrant to purchase 609,687 shares of HTLF at an exercise price of $20.10 per share. The

warrant had an expiration date of December 19, 2018.

$2,600

$2,400

$7,000

$2,200

$2,000

$1,800

$1,600

$1,400

$1,200

$1,000

$800

$600

$400

Market Quotes Third Party Model Valuation 

$ Thousands Heartland Financial USA, Inc. (HTLF)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $1,800,000
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MFSF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $499 $1,048 $748 $313 $563 $900 Three market indications

Third Party $662 $1,018 $838 $313 $563 $900 External asset manager's valuation 

estimates

Model Valuation $700 $1,113 $906 $313 $563 $900 Binomial option model adjusted for 

American style options

 

MutualFirst Financial, Inc. (MFSF) 

Repurchase of MFSF Warrant

On September 20, 2011, MutualFirst Financial, Inc. (MFSF) agreed to pay $900,194 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 625,135 shares of MFSF at an exercise price of $7.77 per share. The warrant had 

an expiration date of December 23, 2018.

$1,500

$1,400

$1,300

$1,200

$1,100

$1,000

$900

$800

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands MutualFirst Financial, Inc. (MFSF)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $900,194

First Bid - $312,567

Second Bid - $562,622
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OVLY 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $395 $683 $548 $408 $507 $560 Three market indications

Third Party $488 $642 $564 $408 $507 $560 External asset manager's valuation 

estimates

Model Valuation $396 $549 $472 $408 $507 $560 Binomial option model adjusted for 

American style options

 

Oak Valley Bancorp (OVLY)

Repurchase of OVLY Warran

On September 20, 2011, Oak Valley Bancorp (OVLY) agreed to pay $560,000 for the warrant held by Treasury which entitled

the holder of the warrant to purchase 350,346 shares of OVLY at an exercise price of $5.78 per share. The warrant had an

expiration date of December 5, 2018.

$200 

$300 

$400 

$500 

$600 

$700 

$800 

$ Thousands Oak Valley Bancorp (OVLY)

Fair Market Value Estimates of US Treasury's Warrant Position

Market Quotes Third Party Model Valuation 

Final Bid - $560,000

First Bid - $408,316

Second Bid - $507,464
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CBIN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $707 $1,004 $858 $1,101 Three market indications

Third Party $684 $838 $758 $1,101 External asset manager's valuation estimates

Model Valuation $882 $1,156 $1,014 $1,101 Binomial option model adjusted for American style options

 

Community Bank Shares of Indiana, Inc. (CBIN) 

Repurchase of CBIN Warrant

On October 4, 2011, Community Bank Shares of Indiana, Inc. (CBIN) agreed to pay $1.1 million for the warrant held by 

Treasury which entitled the holder of the warrant to purchase 386,270 shares of CBIN at an exercise price of $7.56 per share. 

The warrant had an expiration date of May 29, 2019.

$1,400

$1,300

$1,200

$1,100

$1,000

$900

$800

$700

$600

$500

$400

Market Quotes Third Party Model Valuation 

$ Thousands Community Bank Shares of Indiana, Inc. (CBIN)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $1,100,869.50
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SSFN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $8 $95 $60 $107 Four market indications

Third Party $47 $101 $72 $107 External asset manager's valuation estimates

Model Valuation $60 $120 $89 $107 Binomial option model adjusted for American style options

 

Stewardship Financial Corporation (SSFN) 

Repurchase of SSFN Warrant

On October 11, 2011, Stewardship Financial Corporation (SSFN) agreed to pay $107,398 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 133,475 shares of SSFN at an exercise price of $11.24 per share. The 

warrant had an expiration date of January 30, 2019.

$160

$140

$120

$100

$80

$60

$40

$20

$0

Market Quotes Third Party Model Valuation 

$ Thousands Stewardship Financial Corporation (SSFN)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $107,398
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appendix ii – Warrant 

Disposition detail

CEBK 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Fourth Bid Final Bid Details

Market Quotes $2,405 $2,539 $2,497 $2,100 $2,200 $2,300 $2,400 $2,525 Four market indications

Third Party $2,288 $2,288 $2,288 $2,100 $2,200 $2,300 $2,400 $2,525 External asset manager's 

valuation estimates

Model Valuation $2,526 $2,526 $2,526 $2,100 $2,200 $2,300 $2,400 $2,525 Binomial option model adjusted 

for American style options

 

Central Bancorp (CEBK)

Repurchase of CEBK Warra

On October 12, 2011, Central Bancorp (CEBK) agreed to pay $2.5 million for the warrant held by Treasury which entit

the holder of the warrant to purchase 234,742 shares of CEBK at an exercise price of $6.39 per share. The warrant had an

expiration date of December 5, 2018

$2,700

$2,600

$2,500

$2,400

$2,300

$2,200

$2,100

$2,000

Market Quotes Third Party Model Valuation 

$ Thousands Central Bancorp (CEBK)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $2,525,000

Fourth Bid - $2,400,000

Third Bid - $2,300,00

Second Bid - $2,200,000

First Bid - $2,100,000
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BOCH 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $50 $142 $101 $96 $125 Four market indications

Third Party $69 $138 $101 $96 $125 External asset manager's valuation estimates

Model Valuation $76 $170 $122 $96 $125 Binomial option model adjusted for American style 

options

 

Bank of Commerce Holdings (BOCH) 

Repurchase of BOCH Warrant

On October 17, 2011, Bank of Commerce Holdings (BOCH) agreed to pay $125,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 405,405 shares of BOCH at an exercise price of $6.29 per share. The warrant 

had an expiration date of November 14, 2019.

$250

$200

$150

$100

$50

$0

Market Quotes Third Party Model Valuation 

$ Thousands Bank of Commerce Holdings (BOCH)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $125,000

First Bid - $95,640
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CPBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Fourth Bid Final Bid Details

Market Quotes $357 $578 $459 $200 $375 $385 $415 $460 Three market indications

Third Party $381 $481 $446 $200 $375 $385 $415 $460 External asset manager's 

valuation estimates

Model Valuation $382 $534 $457 $200 $375 $385 $415 $460 Binomial option model adjusted 

for American style options

 

Community Partners Bancorp (CPBC) 

Repurchase of CPBC Warrant

On October 18, 2011, Community Partners Bancorp (CPBC) agreed to pay $460,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 311,972 shares of CPBC at an exercise price of $4.33 per share. The warrant 

had an expiration date of January 30, 2019.

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands Community Partners Bancorp (CPBC)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $460,000

Third Bid - $385,000

First Bid - $200,000

Fourth Bid - $415,000

Second Bid - $375,000
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ASRV 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Fourth Bid Final Bid Details

Market Quotes $515 $978 $708 $392 $659 $708 $812 $825 Four market indications

Third Party $893 $1,168 $1,108 $392 $659 $708 $812 $825 External asset manager's 

valuation estimates

Model Valuation $598 $851 $722 $392 $659 $708 $812 $825 Binomial option model adjusted 

for American style options

 

Ameriserv Financial, Inc. (ASRV) 

Repurchase of ASRV Warrant

On October 27, 2011, Ameriserv Financial, Inc. (ASRV) agreed to pay $825,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,312,500 shares of ASRV at an exercise price of $2.40 per share. The warrant 

had an expiration date of December 19, 2018.

Note: The Third Party Asset Manager’s volatility assumption did not reflect the market limits on volatility realized by Treasury in the auctions held to 

date.

$1,200

$1,100

$1,000

$900

$800

$700

$600

$500

$400

$300

Market Quotes Third Party Model Valuation 

$ Thousands Ameriserv Financial, Inc. (ASRV)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $825,000

Third Bid - $708,000

First Bid - $392,000

Fourth Bid - $812,000

Second Bid - $658,847
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FNRN 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $49 $382 $248 $230 $300 $375 Four market indications

Third Party $407 $581 $508 $230 $300 $375 External asset manager's valuation 

estimates

Model Valuation $281 $415 $359 $230 $300 $375 Binomial option model adjusted for 

American style options

 

First Northern Community Bancorp (FNRN) 

Repurchase of FNRN Warrant

On October 28, 2011, First Northern Community Bancorp (FNRN) agreed to pay $375,000 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 352,977 shares of FNRN at an exercise price of $7.39 per share. The 

warrant had an expiration date of March 13, 2019.

Note: The Third Party Asset Manager’s volatility assumption did not reflect the market limits on volatility realized by Treasury in the auctions held to 

date.

$700

$600

$500

$400

$300

$200

$100

$0

Market Quotes Third Party Model Valuation 

$ Thousands First Northern Community Bancorp (FNRN)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $375,000

First Bid - $230,000

Second Bid - $300,000
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SAL 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $50 $235 $159 $113 $202 $205 Three market indications

Third Party $236 $345 $311 $113 $202 $205 External asset manager's valuation 

estimates

Model Valuation $129 $222 $175 $113 $202 $205 Binomial option model adjusted for 

American style options

 

Salisbury Bancorp, Inc. (SAL)

Repurchase of SAL Warran

On October 28, 2011, Salisbury Bancorp, Inc. (SAL) agreed to pay $205,000 for the warrant held by Treasury which entitled

the holder of the warrant to purchase 57,671 shares of SAL at an exercise price of $22.93 per share. The warrant had an

expiration date of March 13, 2019.

$400

$350

$300

$250

$200

$150

$100

$50

$0

Market Quotes Third Party Model Valuation 

$ Thousands Salisbury Bancorp, Inc. (SAL)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $205,000

First Bid - $112,747

Second & Third Bids - $201,848.50
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CSBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $89 $268 $183 $144 $223 Three market indications

Third Party $207 $360 $284 $144 $223 External asset manager's valuation estimates

Model Valuation $138 $289 $223 $144 $223 Binomial option model adjusted for American style 

options

 

Citizens South Banking Corporation (CSBC) 

Repurchase of CSBC Warrant

On November 2, 2011, Citizens South Banking Corporation (CSBC) agreed to pay $225,157 for the warrant held by Treasury 

which entitled the holder of the warrant to purchase 450,314 shares of CSBC at an exercise price of $6.83 per share. The 

warrant had an expiration date of December 19, 2018.

$450

$400

$350

$300

$250

$200

$150

$100

$50

$0

Market Quotes Third Party Model Valuation 

$ Thousands Citizens South Banking Corporation (CSBC)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $144,100.48

Final Bid - $223,157
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SHBI 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $2 $43 $25 $25 Four market indications

Third Party $3 $31 $13 $25 External asset manager's valuation estimates

Model Valuation $9 $46 $22 $25 Binomial option model adjusted for American style options

 

Shore Bancshares, Inc. (SHBI) 

Repurchase of SHBI Warrant

On November 2, 2011, Shore Bancshares, Inc. (SHBI) agreed to pay $25,000 for the warrant held by Treasury which entitled 

the holder of the warrant to purchase 172,970 shares of SHBI at an exercise price of $21.68 per share. The warrant had an 

expiration date of January 9, 2019.

NOTE: SHBI’s initial determination of $254,495 was placed in May 2009 at which time the 20-day trailing stock price was $18.37 and the bank’s 

determination was significantly below all of Treasury’s metric ranges of fair market value.

$50

$40

$30

$20

$10

$0

Market Quotes Third Party Model Valuation 

$ Thousands Shore Bancshares, Inc. (SHBI)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $25,000
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QCRH 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $647 $1,462 $1,086 $550 $850 $1,100 Four market indications

Third Party $731 $1,242 $981 $550 $850 $1,100 External asset manager's valuation 

estimates

Model Valuation $660 $1,087 $862 $550 $850 $1,100 Binomial option model adjusted for 

American style options

 

QCR Holdings, Inc. (QCRH) 

Repurchase of QCRH Warrant

On November 8, 2011, QCR Holdings Inc. (QCRH) agreed to pay $1.1 million for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 521,888 shares of QCRH at an exercise price of $10.99 per share. The warrant 

had an expiration date of February 13, 2019.

$2,000

$1,800

$1,600

$1,400

$1,200

$1,000

$800

$600

$400

$200

$0

Market Quotes Third Party Model Valuation 

$ Thousands QCR Holdings, Inc. (QCRH)

Fair Market Value Estimates of US Treasury's Warrant Position

Second Bid - $850,000

Final Bid - $1,100,000

First Bid - $550,400
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EMCF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $2 $64 $34 $51 Three market indications

Third Party $23 $58 $40 $51 External asset manager's valuation estimates

Model Valuation $37 $90 $61 $51 Binomial option model adjusted for American style options

 

Emclaire Financial Corp. (EMCF) 

Repurchase of EMCF Warrant

On November 16, 2011, Emclaire Financial Corp. (EMCF) agreed to pay $51,113 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 50,111 shares of EMCF at an exercise price of $22.45 per share. The warrant 

had an expiration date of December 23, 2018.

$100

$90

$80

$70

$60

$50

$40

$30

$20

$10

$0

Market Quotes Third Party Model Valuation 

$ Thousands Emclaire Financial Corp. (EMCF)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $51,113
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CNBC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Third Bid Final Bid Details

Market Quotes $142 $324 $217 $143 $200 $222 $245 Four market indications

Third Party $176 $261 $218 $143 $200 $222 $245 External asset manager's valuation 

estimates

Model Valuation $194 $277 $235 $143 $200 $222 $245 Binomial option model adjusted for 

American style options

 

Center Bancorp, Inc. (CNBC) 

Repurchase of CNBC Warrant

On November 22, 2011, Center Bancorp, Inc. (CNBC) agreed to pay $245,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 86,705 shares of CNBC at an exercise price of $8.65 per share. The warrant had 

an expiration date of January 9, 2019.

$400

$350

$300

$250

$200

$150

$100

$50

Market Quotes Third Party Model Valuation 

$ Thousands Center Bancorp, Inc. (CNBC)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $143,063

Second Bid - $200,288

Third Bid - $221,824

Final Bid - $245,000
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FMBI 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $451 $1,788 $939 $900 Four market indications

Third Party $326 $1,266 $718 $900 External asset manager's valuation estimates

Model Valuation $436 $1,415 $835 $900 Binomial option model adjusted for American style options

 

First Midwest Bancorp, Inc. (FMBI) 

Repurchase of FMBI Warrant

On December 6, 2011, First Midwest Bancorp, Inc. (FMBI) agreed to pay $900,000 for the warrant held by Treasury which 

entitled the holder of the warrant to purchase 1,305,230 shares of FMBI at an exercise price of $22.18 per share. The warrant 

had an expiration date of December 15, 2018.

$2,000

$1,800

$1,600

$1,400

$1,200

$1,000

$800

$600

$400

$200

$0

Market Quotes Third Party Model Valuation 

$ Thousands First Midwest Bancorp, Inc. (FMBI)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $900,000
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COF 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $2,000 $70,000 $30,000 $46,500 Seven market indications

Third Party $107,000 $148,000 $124,000 $46,500 External asset manager’s valuation estimates

Model Valuation $86,000 $131,000 $108,000 $46,500 Binomial option model adjusted for American style options

 

Capital One Financial Corp. (COF) 

Sale of COF Warrant

On December 3, 2009, Treasury auctioned the Capital One Financial Corp. (COF) warrant for $149 million in gross 

proceeds. The warrant entitled the holder to purchase 12,657,960 shares of COF at a strike price of $42.13 per share and 

expired on November 14, 2018. 

NOTE: Above analysis was done to evaluate COF’s bid on 6/30/09 and is not directly comparable to the auction results on 12/3/09 as market 

conditions changed over the intervening five months. In particular, COF’s stock price appreciated 69% while short-term implied volatility in the stock 

declined slightly.

$0 

$20,000 

$40,000 

$60,000 

$80,000 

$100,000 

$120,000 

$140,000 

$160,000 

Market Quotes Third Party Model Valuation 

Final Bid - $46,500,000 

 Capital One Financial (COF) 

Fair Market Value Estimates of Treasury's Warrant Position 

$ Thousands
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TCB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $12,146 $20,480 $15,942 $3,200 Three market indications

Third Party $13,376 $19,072 $16,224 $3,200 External asset manager’s valuation estimates

Model Valuation $11,349 $17,234 $14,282 $3,200 Binomial option model adjusted for American style options

 

TCF Financial Corporation (TCB) 

Sale of TCB Warrant

On December 15, 2009, Treasury auctioned the TCF Financial Corporation (TCB) warrant for $9.6 million in gross proceeds. 

The warrant entitled the holder to purchase 3,199,988 shares of TCB at a strike price of $16.93 per share and expired on 

November 14, 2018. 

NOTE: Above analysis was done to evaluate TCB’s bid on 5/5/09 and is not directly comparable to the auction results on 12/15/09 as market 

conditions changed over the intervening seven months. In particular, TCB’s stock price declined 16% while short-term implied volatility in the stock 

declined more than 40%.

$0 

$5,000 

$10,000 

$15,000 

$20,000 

$25,000 

Market Quotes Third Party Model Valuation 

TCF Financial (TCB) 

Fair Market Value Estimates of Treasury's Warrant Position 

Final Bid - $3,200,000 

$ Thousands
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$500 

$1,500 

$2,500 

$3,500 

$4,500 

$5,500 

$6,500 

$7,500 

$8,500 

Final Bid - $2,291,348 

Market Quotes Third Party Model Valuation 

$ Thousands Valley National Bancorp (VLY) 

Fair Market Value Estimates of US Treasury's Warrant Position 

VLY

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $723 $3,714 $1,801 $2,291 Three market indications

Third Party $4,607 $7,791 $6,160 $2,291 External asset manager’s valuation estimates

Model Valuation $2,723 $6,564 $4,616 $2,291 Binomial option model adjusted for American style options

 

Valley National Bancorp (VLY

Sale of VLY Warran

On May 18, 2010, Treasury auctioned the Valley National Bancorp (VLY) warrant for $5.6 million in gross proceeds. The

warrant entitled the holder to purchase 2,532,542 shares of VLY at an exercise price of $17.77 per share and expired on

November 14, 2018.

NOTE: The above analysis was done to evaluate VLY’s bid on 1/7/10 and is not directly comparable to the auction results on 5/18/10 as market 

conditions changed over the intervening five months. 
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$300 

$400 

$500 

$600 

$700 

$800 

$900 

$1,000 

$1,100 

$1,200 

Market Quotes Third Party Model Valuation 

Wells Fargo & Company (WFC) 

Fair Market Value Estimates of US Treasury's Warrant Position 

First Bid - $593,600,000 

Second Bid - $700,000,000 

Final Bid - $750,000,000 

$ Thousands

WFC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $496,000 $871,000 $686,000 $593,600 $700,000 $750,000 Seven market indications

Third Party $690,000 $1,071,000 $879,000 $594,000 $700,000 $750,000 External asset manager’s valuation estimates

Model Valuation $551,000 $946,000 $739,000 $594,000 $700,000 $750,000 Binomial option model adjusted for American 

style options

 

Wells Fargo & Company (WFC)

Sale of WFC Warrant

On May 20, 2010, Treasury auctioned the Wells Fargo & Company (WFC) warrant for $849 million in gross proceeds. The 

warrant entitled the holder to purchase 110,261,688 shares of WFC at an exercise price of $34.01 per share and expired on 

October 28, 2018. Wells Fargo repurchased 70,165,963 

warrant shares in the auction. 

NOTE: The above analysis was done to evaluate WFC’s bid on 2/22/10 and is not directly comparable to the auction results on 5/20/10 as market conditions 

changed over the intervening three months. When considering Wells Fargo’s offer to repurchase its warrant, Treasury concluded the market value realized 

through an auction would likely be in the high end of the valuation range. The results of past auctions have indicated that warrants associated with large well 

know companies, such as Wells Fargo, attract high levels of investor interest and competitive bidding.
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$2,000 

$3,000 

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

$9,000 

$10,000 

Market Quotes Third Party 

$ Thousands Sterling Bancshares, Inc. (SBIB) 

Fair Market Value Estimates of US Treasury's Warrant Position 

Model Valuation 

Final Bid - $4,000,000 

SBIB 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $2,877 $6,120 $4,467 $4,000 Five market indications

Third Party $6,828 $9,092 $7,945 $4,000 External asset manager’s valuation estimates

Model Valuation $5,491 $6,458 $5,988 $4,000 Binomial option model adjusted for American style options

 

Sterling Bancshares, Inc. (SBIB)

Sale of SBIB Warrant

On June 9, 2010, Treasury auctioned the Sterling Bancshares, Inc. (SBIB) warrant for $3 million in gross proceeds. The 

warrant entitled the holder to purchase 2,615,557 shares of SBIB at an exercise price of $7.18 per share and expired on 

December 12, 2018. 

NOTE: The above analysis was done to evaluate SBIB’s bid on 6/5/09 and is not directly comparable to the auction results on 6/9/10 as market 

conditions changed over the intervening twelve months. Specifically, SBIB’s stock price declined 28% from $7.02 on 6/5/09 to $5.00 on 6/9/10.
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BPFH 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $7,125 $9,818 $8,391 $4,300 Three market indications

Third Party $4,780 $6,950 $5,852 $4,300 External asset manager’s valuation estimates

Model Valuation $6,073 $8,493 $7,273 $4,300 Binomial option model adjusted for American style options

 

Boston Private Financial Holdings, Inc. (BPFH) 

Sale of BPFH Warrant

On February 1, 2011, Treasury auctioned the Boston Private Financial Holdings, Inc. (BPFH) warrant for $6.4 million in 

gross proceeds. The warrant entitled the holder to purchase 2,887,500 shares of BPFH at a strike price of $8.00 per share and 

expired on November 21, 2018. 

$1,000 

$2,000 

$3,000 

$4,000 

$5,000 

$6,000 

$7,000 

$8,000 

$9,000 

$10,000 

$11,000 

Market Quotes Third Party Model Valuation 

Boston Private Financial Holdings (BPFH) 

Fair Market Value Estimates of US Treasury's Warrant Position 

Final Bid - $4,300,000 

$ Thousands
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BMRC 

Valuation Estimates for Warrant 

($thousands) Low High Estimate Final Bid Details

Market Quotes $1,576 $2,064 $1,870 $1,368 Four market indications

Third Party $1,463 $2,029 $1,743 $1,368 External asset manager's valuation estimates

Model Valuation $1,507 $2,028 $1,764 $1,368 Binomial option model adjusted for American style options

 

Bank of Marin Bancorp (BMRC) 

Sale of BMRC Warrant

On November 17, 2011, Treasury auctioned the Bank of Marin Bancorp (BMRC) warrant for $1.7 million in gross proceeds. 

The warrant entitled the holder to purchase 154,908 shares of BMRC at a strike price of $11.00 per share and expired on 

December 5, 2018.

$2,500

$2,300

$2,100

$1,900

$1,700

$1,500

$1,300

$1,100

$900

$700

Market Quotes Third Party Model Valuation 

$ Thousands Bank of Marin Bancorp (BMRC)

Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $1,368,000
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FCCY 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $533 $632 $583 $217 $425 Two market indications

Third Party $503 $687 $649 $217 $425 External asset manager's valuation estimates

Model Valuation $443 $581 $529 $217 $425 Binomial option model adjusted for American style 

options

 

1st Constitution Bancorp (FCCY) 

Sale of FCCY Warrant

On November 17, 2011, Treasury auctioned the 1st Constitution Bancorp (FCCY) warrant for $326,576 in gross proceeds. 

The warrant entitled the holder to purchase 231,782 shares of FCCY at a strike price of $7.77 per share and expired on 

December 23, 2018.

$800

$700

$600

$500

$400

$300

$200

$100

Market Quotes Third Party Model Valuation 

$ Thousands 1st Constitution Bancorp (FCCY)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $216,500

Final Bid - $425,000
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BUSE 

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Final Bid Details

Market Quotes $181 $332 $259 $41 $58 Three market indications

Third Party $52 $230 $126 $41 $58 External asset manager's valuation estimates

Model Valuation $79 $271 $166 $41 $58 Binomial option model adjusted for American style 

options

 

First Busey Corporation (BUSE) 

Sale of BUSE Warrant

On November 17, 2011, Treasury auctioned the First Busey Corporation (BUSE) warrant for $63,677 in gross proceeds. The 

warrant entitled the holder to purchase573,833 shares of BUSE at a strike price of $13.07 per share and expired on March 6, 

2019.

$400

$350

$300

$250

$200

$150

$100

$50

$0

Market Quotes Third Party Model Valuation 

$ Thousands First Busey Corporation (BUSE)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $41,000

Final Bid - $57,833
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WAL

Valuation Estimates for Warrant 

($thousands) Low High Estimate First Bid Second Bid Final Bid Details

Market Quotes $314 $1,256 $849 $320 $650 $750 Three market indications

Third Party $433 $937 $700 $320 $650 $750 External asset manager's 

valuation estimates

Model Valuation $563 $1,098 $823 $320 $650 $750 Binomial option model adjusted 

for American style options

 

Western Alliance Bancorporation (WAL)

Sale of WAL Warran

On November 17, 2011, Treasury auctioned the Western Alliance Bancorporation (WAL) warrant for $415,000 in gross

proceeds. The warrant entitled the holder to purchase 787,107 shares of WAL at a strike price of $13.34 per share and expired

on November 21, 2018.

$1,400

$1,200

$1,000

$800

$600

$400

$200

$0

Market Quotes Third Party Model Valuation 

$ Thousands Western Alliance Bancorporation (WAL)

Fair Market Value Estimates of US Treasury's Warrant Position

First Bid - $320,000

Second Bid - $650,000

Final Bid - $750,000
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Institution Name Ticker Preferred Repurchase Date "Preferred Investment Warrant Shares Strike Price QEO? (i.e. warrants cut by 50%)

S&T Bancorp, Inc. STBA 12/7/11 $108,676 517,012 $31.53 - TowneBank TOWN 9/22/11 76,458 538,184 21.31 - Peoples Bancorp, Inc. PEBO 12/28/11 39,000 313,505 18.66 - State Bancorp, Inc. STBC 12/14/11 36,842 465,569 11.87 - The Bank of Kentucky Financial Corporation BKYF 11/23/11 34,000 274,784 18.56 - 

StellarOne Corporation STEL 12/28/11 30,000 302,623 14.87 - 

First M&F Corporation* FMFC 9/29/10 30,000 513,113 8.77 - Security Federal Corporation* SFDL 9/29/10 18,000 137,966 19.57 - BCSB Bancorp, Inc. BCSB 1/26/11 10,800 183,465 8.83 - United Bancorporation of Alabama, Inc.* UBAB 9/3/10 10,300 108,264 14.27 - North Central Bancshares, Inc. FFFD 12/14/11 10,200 99,157 15.43 - 

New Hampshire Thrift Bancshares, Inc. NHTB 8/25/11 10,000 184,275 8.14 - 

Southern Missouri Bancorp, Inc. SMBC 7/21/11 9,550 114,326 12.53 - 

The Elmira Savings Bank, FSB ESBK 8/25/11 9,090 116,538 11.70 - Pathfinder Bancorp, Inc. PBHC 9/21/11 6,771 154,354 6.58 - Commerce National Bank CNFB 10/7/09 5,000 87,209 8.60 - First Bancshares, Inc.* FBMS 9/29/10 5,000 54,705 13.71 - 

TOTAL 17 $449,687 0

*Institution converted to the Community Development Capital Initiative program; warrants are still held by the CPP

Appendix III – Warrant Portfolio

Warrants Held in Institutions That Have Fully Redeemed CPP Investment as of December 31, 2011