##### 



Exhibit
99.3
 FRANKLIN BANK CORP.
UNAUDITED PRO FORMA CONSOLIDATED COMBINED FINANCIAL STATEMENTS
  
    
    the completion by Franklin of the
First National Bank of Bryan. (FNB)
acquisition which was consummated on May 8,
2007;
   Unaudited Proforma Combined Consolidated Balance Sheet
as of March 31, 2007
 FranklinBank CorpPro FormaFranklin
    
    
    The First National
    
    
    
    
    
    
    WithBank Corp
    
    
    Bank of Bryan
    
    
    Adjustments
    
    
    FNBASSETSCash and cash equivalents
    
    $
    79,464
    
    
    $
    17,516
    
    
    $
    (50,915
    )
    a
    $
    46,065Trading securities
    
    
    145,157
    
    
    
    
    
    
    
    
    
    
    
    145,157FHLB stock and other
investments
    
    
    80,873
    
    
    
    2,488
    
    
    
    
    
    
    
    83,361Securities
    
    
    8,874
    
    
    
    43,114
    
    
    
    
    
    
    
    51,988Mortgage-backed securities
    
    
    180,885
    
    
    
    64,332
    
    
    
    
    
    
    
    245,217Loans
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Single family
loans
    
    
    2,146,852
    
    
    
    69,205
    
    
    
    (1,793
    )
    h
    
    2,214,264Commercial loans
    
    
    1,774,885
    
    
    
    170,625
    
    
    
    (3,341
    )
    h
    
    1,942,169Consumer
    
    
    110,859
    
    
    
    149,025
    
    
    
    
    
    
    
    259,884Total loans
    
    
    4,032,596
    
    
    
    388,855
    
    
    
    (5,134
    )
    
    
    4,416,317Allowance for
credit losses
    
    
    (11,958
    )
    
    
    (4,622
    )
    
    
    76
    
    
    
    (16,504
    )Loans, net
    
    
    4,020,638
    
    
    
    384,233
    
    
    
    (5,058
    )
    
    
    4,399,813Goodwill
    
    
    153,527
    
    
    
    
    
    
    
    97,005
    
    b
    
    250,532Other intangible assets,
net
    
    
    17,805
    
    
    
    
    
    
    
    11,400
    
    c
    
    29,205Premises and equipment, net
    
    
    28,368
    
    
    
    9,170
    
    
    
    
    
    
    
    37,538Real estate owned
    
    
    24,431
    
    
    
    
    
    
    
    
    
    
    
    24,431Other assets
    
    
    112,778
    
    
    
    19,561
    
    
    
    
    
    
    
    132,339$
    4,852,800
    
    
    $
    540,414
    
    
    $
    52,432
    
    
    $
    5,445,646LIABILITIESDeposits
    
    $
    2,401,378
    
    
    
    453,511
    
    
    
    
    
    
    
    2,854,889Purchase adjustment
    
    
    
    
    
    
    
    
    
    
    929
    
    h
    
    929Total deposits
    
    
    2,401,378
    
    
    
    453,511
    
    
    
    929
    
    
    
    2,855,818Federal Home Loan Bank
advances
    
    
    1,842,970
    
    
    
    30,000
    
    
    
    
    
    
    
    1,872,970Notes payable
    
    
    
    
    
    
    
    
    
    
    97,000
    
    
    
    97,000Subordinated notes
    
    
    108,134
    
    
    
    
    
    
    
    
    
    
    
    108,134Other liabilities
    
    
    60,006
    
    
    
    3,664
    
    
    
    7,742
    
    d
    
    71,412Total liabilities
    
    
    4,412,488
    
    
    
    487,175
    
    
    
    105,671
    
    
    
    5,005,334Stockholders equity
    
    
    440,312
    
    
    
    53,239
    
    
    
    (53,239
    )
    e
    
    440,312$
    4,852,800
    
    
    $
    540,414
    
    
    $
    52,432
    
    
    $
    5,445,646




---



##### 



Unaudited Pro Forma Combined Consolidated Statement of Operations
For the Year Ended December 31, 2006
 Franklin
    
    
    The First NationalBank Corp.
    
    
    Bank of Bryan
    
    
    Adjustments
    
    
    
    
    
    
    CombinedInterest IncomeCash equivalents and short-term investments
    
    $
    10,210
    
    
    $
    238
    
    
    $
    
    
    
    
    
    
    
    $
    10,448Trading securities
    
    
    MBS and securities
    
    
    15,901
    
    
    
    5,984
    
    
    
    
    
    
    
    
    
    
    
    21,885Loans
    
    
    264,948
    
    
    
    23,990
    
    
    
    689
    
    
    
    h
    
    
    
    289,627Total interest income
    
    
    291,059
    
    
    
    30,212
    
    
    
    689
    
    
    
    
    
    
    
    321,960Interest ExpenseDeposits
    
    
    96,587
    
    
    
    10,581
    
    
    
    (669
    )
    
    
    h
    
    
    
    106,499FHLB Advances
    
    
    94,120
    
    
    
    781
    
    
    
    
    
    
    
    
    
    
    
    94,901Junior subordinated notes
    
    
    7,491
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    7,491Other
    
    
    143
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    143Total interest expense
    
    
    198,341
    
    
    
    11,362
    
    
    
    (669
    )
    
    
    
    
    
    
    209,034Interest Margin
    
    
    92,718
    
    
    
    18,850
    
    
    
    1,358
    
    
    
    
    
    
    
    112,926Provision for credit losses
    
    
    3,804
    
    
    
    360
    
    
    
    
    
    
    
    
    
    
    
    4,164Net interest margin
    
    
    88,914
    
    
    
    18,490
    
    
    
    1,358
    
    
    
    
    
    
    
    108,762Non-interest incomeLoan fee income
    
    
    6,611
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    6,611Deposit fees
    
    
    6,268
    
    
    
    3,415
    
    
    
    
    
    
    
    
    
    
    
    9,683Gain on sale of single family loans and
mortgage servicing rights, net
    
    
    (8,471
    )
    
    
    894
    
    
    
    
    
    
    
    
    
    
    
    (7,577
    )Other
    
    
    4,265
    
    
    
    3,042
    
    
    
    
    
    
    
    
    
    
    
    7,307Total non-interest income
    
    
    8,673
    
    
    
    7,351
    
    
    
    
    
    
    
    
    
    
    
    16,024Non-interest expenseSalaries and benefits
    
    
    35,120
    
    
    
    8,025
    
    
    
    
    
    
    
    
    
    
    
    43,145Data processing
    
    
    6,863
    
    
    
    948
    
    
    
    
    
    
    
    
    
    
    
    8,412Occupancy
    
    
    7,464
    
    
    
    2,292
    
    
    
    
    
    
    
    
    
    
    
    9,155Professional fees
    
    
    3,365
    
    
    
    780
    
    
    
    
    
    
    
    
    
    
    
    4,145Loan expenses
    
    
    2,317
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2,317Core deposit amortization
    
    
    1,024
    
    
    
    
    
    
    
    1,955
    
    
    
    f
    
    
    
    2,979Real estate owned
    
    
    1,526
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    1,526Other
    
    
    9,332
    
    
    
    3,376
    
    
    
    
    
    
    
    
    
    
    
    12,708Total non-interest expense
    
    
    67,011
    
    
    
    15,421
    
    
    
    1,955
    
    
    
    
    
    
    
    84,387Net income before taxes
    
    
    30,576
    
    
    
    10,420
    
    
    
    (597
    )
    
    
    
    
    
    
    40,399Income tax expense
    
    
    11,196
    
    
    
    2,500
    
    
    
    (203
    )
    
    
    g
    
    
    
    13,493Net income
    
    $
    19,380
    
    
    $
    7,920
    
    
    $
    (394
    )
    
    
    
    
    
    $
    26,906Net income available to common shareholders
    
    $
    15,517
    
    
    $
    
    
    
    $
    
    
    
    
    
    
    
    $
    23,043




---



##### 



Unaudited Pro Forma Combined Consolidated Statement of Operations
For the Three Months Ended March 31, 2007
 Franklin
    
    
    The First NationalBank Corp.
    
    
    Bank of Bryan
    
    
    Adjustments
    
    
    
    
    
    CombinedInterest IncomeCash equivalents and short-term investments
    
    $
    3,354
    
    
    $
    67
    
    
    $
    
    
    
    
    
    
    
    $
    3,421Trading securities
    
    
    2,049
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2,049MBS & securities
    
    
    2,449
    
    
    
    1,486
    
    
    
    
    
    
    
    
    
    
    
    3,935Loans
    
    
    70,134
    
    
    
    6,828
    
    
    
    175
    
    
    
    h
    
    
    
    77,137Total interest income
    
    
    77,986
    
    
    
    8,381
    
    
    
    175
    
    
    
    
    
    
    
    86,542Interest ExpenseDeposits
    
    
    26,782
    
    
    
    3,221
    
    
    
    (311
    )
    
    
    h
    
    
    
    29,692FHLB Advances
    
    
    27,056
    
    
    
    403
    
    
    
    
    
    
    
    
    
    
    
    27,459Notes payable
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Junior subordinated notes
    
    
    2,002
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2,002Total interest expense
    
    
    55,840
    
    
    
    3,624
    
    
    
    (311
    )
    
    
    
    
    
    
    59,153Interest Margin
    
    
    22,146
    
    
    
    4,757
    
    
    
    486
    
    
    
    
    
    
    
    27,389Provision for credit losses
    
    
    615
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    615Net interest margin
    
    
    21,531
    
    
    
    4,757
    
    
    
    486
    
    
    
    
    
    
    
    26,774Non-interest incomeLoan fee income
    
    
    1,838
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    1,838Deposit fees
    
    
    1,651
    
    
    
    961
    
    
    
    
    
    
    
    
    
    
    
    2,612Gain on sale of securities
    
    
    
    
    
    
    599
    
    
    
    
    
    
    
    
    
    
    
    599Gain on sale of single family loans and
mortgage servicing rights, net
    
    
    1,288
    
    
    
    199
    
    
    
    
    
    
    
    
    
    
    
    1,487Other
    
    
    1,770
    
    
    
    804
    
    
    
    
    
    
    
    
    
    
    
    2,574Total non-interest income
    
    
    6,547
    
    
    
    2,563
    
    
    
    
    
    
    
    
    
    
    
    9,110Non-interest expenseSalaries and benefits
    
    
    8,789
    
    
    
    3,074
    
    
    
    
    
    
    
    
    
    
    
    11,863Data processing
    
    
    1,286
    
    
    
    330
    
    
    
    
    
    
    
    
    
    
    
    1,616Occupancy
    
    
    1,800
    
    
    
    395
    
    
    
    
    
    
    
    
    
    
    
    2,195Professional fees
    
    
    732
    
    
    
    270
    
    
    
    
    
    
    
    
    
    
    
    1,002Loan expenses
    
    
    510
    
    
    
    226
    
    
    
    
    
    
    
    
    
    
    
    736Core deposit amortization
    
    
    321
    
    
    
    
    
    
    
    489
    
    
    
    f
    
    
    
    810Real estate owned
    
    
    521
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    521Other
    
    
    2,566
    
    
    
    422
    
    
    
    
    
    
    
    
    
    
    
    2,988Total non-interest expense
    
    
    16,525
    
    
    
    4,717
    
    
    
    489
    
    
    
    
    
    
    
    21,731Net income before taxes
    
    
    11,553
    
    
    
    2,603
    
    
    
    (3
    )
    
    
    
    
    
    
    14,153Income tax expense
    
    
    3,736
    
    
    
    689
    
    
    
    (1
    )
    
    
    g
    
    
    
    4,424Net income
    
    $
    7,817
    
    
    $
    1,914
    
    
    $
    (2
    )
    
    
    
    
    
    $
    9,729Net income available to common shareholders
    
    $
    6,200
    
    
    $
    
    
    
    $
    
    
    
    
    
    
    
    $
    8,112




---



##### 



BASIS OF PRESENTATION OF THE FNB ACQUISITION
    PURCHASE PRICE OF FNB
  ALLOCATION OF PURCHASE PRICE OF FNB
  Purchase Price(in thousands)Cash and cash equivalents
    
    $
    3,601FHLB stock
and other investments
    
    
    2,488Securities
    
    
    43,114Mortgage-backed securities
    
    
    64,332Loans, net
    
    
    379,175Premises and equipment
    
    
    9,170Real estate ownedOther assets
    
    
    19,561Goodwill
    
    
    97,005Core Deposit Intangible
    
    
    11,400Other intangiblesDeposits
    
    
    (454,440
    )Federal Home Loan Bank advance
    
    
    (30,000
    )Other liabilities
    
    
    (11,406
    )Total estimated purchase price
    
    $
    134,000
  
    
    Other liabilities were increased $3.2 million representing the estimated
merger costs.




---



##### 



MERGER COSTS OF FNB
  Employee costs (severance and retention costs)
    
    $
    3,950Conversion costs
    
    
    3,042Other costs
    
    
    7507,742Deductible merger costs
    
    
    7,042Tax benefit
    
    
    2,394Deductible merger costs, net of tax benefits
    
    
    4,648Legal fees
    
    
    700Total merger costs, net of tax benefits
    
    
    5,348
  KEY TO PRO FORMA ADJUSTMENTS OF FNB ACQUISITION