The Bancorp, Inc. (TBBK) 8-K The Bancorp, Inc. Reports Third Quarter 2017 Financial Results

Exhibit 99.1

The Bancorp, Inc. Reports Third Quarter 2017 Financial Results

Wilmington, DE – October 26, 2017 – The Bancorp, Inc. ("The Bancorp") (NASDAQ: TBBK), a financial holding company, today reported financial results for third quarter 2017.

Highlights

· Net income of $7.3 million and earnings per diluted share of $0.13 for the quarter ended September 30, 2017.

· Net interest income increased 19% to $27.9 million for the quarter ended September 30, 2017, compared to $23.5 million for the quarter ended September 30, 2016.

· Non-interest income increased 46% to $29.0 million for the quarter ended September 30, 2017, compared to $19.9 million for the quarter ended September 30, 2016.

· Net interest margin increased to 3.26% for the quarter ended September 30, 2017, compared to 2.69% for the quarter ended September 30, 2016.

· Loans increased 15% to $1.37 billion at September 30, 2017, compared to $1.20 billion at September 30, 2016.

· Security backed lines of credit ("SBLOC") increased 16% to $720.3 million at September 30, 2017, compared to $621.5 million at September 30, 2016.

· Direct lease financing increased 11% to $369.1 million at September 30, 2017 compared to $332.6 million at September 30, 2016.

· Small Business Administration ("SBA") loans increased 11% to $386.8 million at September 30, 2017, compared to $349.6 million at September 30, 2016.

· The rate on average deposits and interest bearing liabilities of $3.73 billion in the third quarter of 2017 was 0.43% with a rate of 0.51% for $1.92 billion of average prepaid card deposits.

· Assets held for sale from discontinued operations decreased 18% to $315.0 million at September 30, 2017, compared to $386.2 million at September 30, 2016.

· Consolidated leverage ratio increased to 8.25% at September 30, 2017.

· Book value per common share at September 30, 2017 was $6.09 per share.  The Bancorp and its subsidiary, The Bancorp Bank, remain well capitalized.

Damian Kozlowski, The Bancorp's Chief Executive Officer, said, "Bancorp's third quarter 2017 performance was another positive step forward for our company. In the third quarter of 2017, The Bancorp earned $7.3 million in net income or 13 cents a share on approximately $57 million of total continuing operations net revenue. All of our businesses are improving, and the Bancorp was able to realize an approximate $11 million gain in the third quarter of 2017 from our floating rate commercial loan securitization business. Our run-rate earnings are improving as revenue continues to build across our businesses while tight expense management improves operating efficiency."

1

The Bancorp reported net income of $7.3 million, or $0.13 earnings per diluted share, for the quarter ended September 30, 2017, compared to a net loss of $25.6 million, or $0.54 loss per diluted share for the quarter ended September 30, 2016.  Net income from continuing operations for the quarter ended September 30, 2017, was $6.8 million, or $0.12 earnings per diluted share, compared to a net loss of $1.5 million from continuing operations, or $0.03 loss per diluted share, for the quarter ended September 30, 2016.  Income from continuing operations does not include any income which may result from the reinvestment of the proceeds from sales or repayment of the remaining assets in The Bancorp's discontinued operations.  Tier one capital to assets, tier one capital to risk-weighted assets, total capital to risk-weighted assets and common equity-tier 1 ratios were 8.25%, 16.27%, 16.62% and 16.27% respectively, compared to well capitalized minimums of 5%, 8%, 10% and 6.5%, respectively. In the third quarter of 2017, we recognized $2.5 million of expense for a non-tax deductible civil money penalty in connection with an internal system programming glitch within one of the Bank's third party payment processors. As a result, a higher fee was assessed to consumers for certain point of sale transactions during the period from December 2010 to November 2014. Additionally, in the third quarter of 2017, we terminated a data processing contract which resulted in a $1.1 million pretax and $725,000 after tax charge. Adjusted operating earnings after consideration of these two items amounted to $10.5 million for the third quarter of 2017. The following is a reconciliation of net income available to common shareholders to adjusted operating earnings, a non-GAAP measure which reflects the financial impact of those two items:

	Three months ended
	September 30, 2017
	(in thousands)
Net income available to common shareholders	$	7,282
Adjustments:
tax-effected:
Civil money penalty *		2,500
Termination of data processing contract		725
Adjusted operating earnings (1)	$	10,507
* Civil money penalty may not be deductible for Federal income tax purposes

(1) As a supplement to GAAP, Bancorp has provided this non-GAAP performance measure. Bancorp believes that this non-GAAP financial measure is useful because it allows investors to assess its operating performance.  Management utilizes adjusted operating earnings to measure the combined impact of changes in net interest income, non-interest income and certain other expenses.  Other companies may calculate adjusted operating earnings differently.  Although this non-GAAP financial measure is intended to enhance investors' understanding of Bancorp's business and performance, it should not be considered, and is not intended to be, a substitute for net income calculated pursuant to GAAP.

Conference Call Webcast

You may access the LIVE webcast of The Bancorp's Quarterly Earnings Conference Call at 8:00 AM ET Friday, October 27, 2017 by clicking on the webcast link on Bancorp's homepage at www.thebancorp.com. Or, you may dial 844.775.2543, access code 95371306.  You may listen to the replay of the webcast following the live call on The Bancorp's investor relations website or telephonically until Friday, November 3, 2017 by dialing 855.859.2056, access code 95371306.

About The Bancorp

The Bancorp, Inc. (NASDAQ: TBBK) is dedicated to serving the unique needs of non-bank financial service companies, ranging from entrepreneurial start-ups to those on the Fortune 500. The company's only subsidiary, The Bancorp Bank (Member FDIC, Equal Housing Lender), has been repeatedly recognized in the payments industry as the Top Issuer of Prepaid Cards (US), a top merchant sponsor bank and a top ACH originator. Specialized lending distinctions include National Preferred SBA Lender, a leading provider of securities-backed lines of credit, and one of the few bank-owned commercial leasing groups in the nation. For more information please visit www.thebancorp.com.

2

Forward-Looking Statements

Statements in this earnings release regarding Bancorp's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. These statements may be identified by the use of forward-looking terminology, including but not limited to the words "may," "believe," "will," "expect," "look," "anticipate," "estimate," "continue," or similar words.  For further discussion of the risks and uncertainties to which these forward-looking statements may be subject, see Bancorp's filings with the SEC, including the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of those filings. These risks and uncertainties could cause actual results to differ materially from those projected in the forward-looking statements. The forward-looking statements speak only as of the date of this press release. The Bancorp does not undertake to publicly revise or update forward-looking statements in this press release to reflect events or circumstances that arise after the date of this presentation, except as may be required under applicable law.

The Bancorp, Inc. Contact

Andres Viroslav

215-861-7990

aviroslav@thebancorp.com

3

The Bancorp, Inc.
Financial highlights
(unaudited)
	Three months ended						Nine months ended
	September 30,						September 30,
Condensed income statement	2017			2016			2017			2016
	(dollars in thousands except per share data)
Net interest income	$	27,901		$	23,542		$	79,993		$	64,988
Provision for loan and lease losses		800			750			2,150			1,810
Non-interest income
Service fees on deposit accounts		1,700			1,510			4,895			3,335
Card payment and ACH processing fees		1,564			1,459			4,596			4,183
Prepaid card fees		12,491			12,249			39,272			39,333
Gain on sale of loans		11,394			903			17,535			809
Gain on sale of investment securities		506			981			1,595			3,131
Change in value of investment in unconsolidated entity		(4	)		811			(20	)		(12,313	)
Leasing income		705			588			2,088			1,456
Affinity fees		275			1,091			1,445			3,507
Gain on sale of health savings accounts		-			-			2,538			-
Loss from sale of European prepaid card operations		-			-			(3,437	)		-
Other non-interest income		376			312			892			4,691
Total non-interest income		29,007			19,904			71,399			48,132
Non-interest expense
Bank Secrecy Act and lookback consulting expenses		-			1,340			-			29,076
One time fee to exit data processing contract		1,136			-			1,136			-
Civil money penalty		2,500			-			2,500			-
Other non-interest expense		40,246			42,831			115,392			127,369
Total non-interest expense		43,882			44,171			119,028			156,445
Income (loss) from continuing operations before income tax expense		12,226			(1,475	)		30,214			(45,135	)
Income tax expense (benefit)		5,455			55			(457	)		(15,324	)
Net income (loss) from continuing operations		6,771			(1,530	)		30,671			(29,811	)
Net income (loss) from discontinued operations, net of tax		511			(24,021	)		3,438			(37,909	)
Net income (loss) available to common shareholders	$	7,282		$	(25,551	)	$	34,109		$	(67,720	)
Net income (loss) per share from continuing operations - basic	$	0.12		$	(0.03	)	$	0.55		$	(0.73	)
Net income (loss) per share from discontinued operations - basic	$	0.01		$	(0.51	)	$	0.06		$	(0.92	)
Net income (loss) per share - basic	$	0.13		$	(0.54	)	$	0.61		$	(1.65	)
Net income (loss) per share from continuing operations - diluted	$	0.12		$	(0.03	)	$	0.55		$	(0.73	)
Net income (loss) per share from discontinued operations - diluted	$	0.01		$	(0.51	)	$	0.06		$	(0.92	)
Net income (loss) per share - diluted	$	0.13		$	(0.54	)	$	0.61		$	(1.65	)
Weighted average shares - basic		55,758,433			47,153,658			55,661,538			40,957,247
Weighted average shares - diluted		56,312,838			47,153,658			56,043,909			40,957,247
For loss periods the weighted averages shares - basic is used in both the basic and diluted computations.

4

Balance sheet	September 30,			June 30,			December 31,			September 30,
	2017			2017			2016			2016
	(dollars in thousands)
Assets:
Cash and cash equivalents
Cash and due from banks	$	5,813		$	6,458		$	4,127		$	4,061
Interest earning deposits at Federal Reserve Bank		328,023			475,387			955,733			312,605
Securities sold under agreements to resell		65,095			65,076			39,199			39,463
Total cash and cash equivalents		398,931			546,921			999,059			356,129
Investment securities, available-for-sale, at fair value		1,196,956			1,149,116			1,248,614			1,334,927
Investment securities, held-to-maturity		86,402			93,419			93,467			93,495
Loans held for sale, at fair value		380,272			542,819			663,140			562,957
Loans, net of deferred fees and costs		1,374,060			1,370,263			1,222,911			1,198,237
Allowance for loan and lease losses		(7,283	)		(7,353	)		(6,332	)		(6,058	)
Loans, net		1,366,777			1,362,910			1,216,579			1,192,179
Federal Home Loan Bank & Atlantic Community Bancshares stock		991			6,211			1,613			11,014
Premises and equipment, net		21,087			22,004			24,125			21,797
Accrued interest receivable		10,131			10,880			10,589			10,496
Intangible assets, net		5,185			5,515			6,906			5,682
Other real estate owned		-			-			104			-
Deferred tax asset, net		53,017			53,226			55,666			29,765
Investment in unconsolidated entity		107,711			120,862			126,930			157,396
Assets held for sale from discontinued operations		314,994			336,246			360,711			386,155
Other assets		51,164			53,888			50,611			55,519
Total assets	$	3,993,618		$	4,304,017		$	4,858,114		$	4,217,511
Liabilities:
Deposits
Demand and interest checking	$	3,113,212		$	3,437,482		$	3,816,524		$	3,364,103
Savings and money market		452,183			438,602			421,780			402,832
Total deposits		3,565,395			3,876,084			4,238,304			3,766,935
Securities sold under agreements to repurchase		180			273			274			353
Short-term borrowings		-			-			-			70,000
Subordinated debenture		13,401			13,401			13,401			13,401
Long-term borrowings		42,482			42,680			263,099			-
Other liabilities		32,699			40,560			44,073			27,744
Total liabilities	$	3,654,157		$	3,972,998		$	4,559,151		$	3,878,433
Shareholders' equity:
Common stock - authorized, 75,000,000 shares of $1.00 par value; 55,859,660 and 55,419,119 shares issued at September 30, 2017 and 2016, respectively		55,860			55,858			55,419			55,419
Treasury stock (100,000 shares)		(866	)		(866	)		(866	)		(866	)
Additional paid-in capital		362,340			361,478			360,564			359,793
Accumulated deficit		(77,850	)		(85,114	)		(111,941	)		(83,169	)
Accumulated other comprehensive income (loss)		(23	)		(337	)		(4,213	)		7,901
Total shareholders' equity		339,461			331,019			298,963			339,078
Total liabilities and shareholders' equity	$	3,993,618		$	4,304,017		$	4,858,114		$	4,217,511

5

Average balance sheet and net interest income	Three months ended September 30, 2017								Three months ended September 30, 2016
	(dollars in thousands)
	Average					Average			Average					Average
Assets:	Balance			Interest		Rate			Balance			Interest		Rate
Interest-earning assets:
Loans net of unearned fees and costs **	$	1,816,751		$	21,147		4.66	%	$	1,661,807		$	17,425		4.19	%
Leases - bank qualified*		20,787			419		8.06	%		21,006			418		7.96	%
Investment securities-taxable		1,235,615			8,847		2.86	%		1,373,776			8,350		2.43	%
Investment securities-nontaxable*		13,238			133		4.02	%		48,683			218		1.79	%
Interest earning deposits at Federal Reserve Bank		366,724			1,190		1.30	%		324,179			397		0.49	%
Federal funds sold and securities purchased under agreement to resell		65,008			371		2.28	%		39,392			146		1.48	%
Net interest earning assets		3,518,123			32,107		3.65	%		3,468,843			26,954		3.11	%
Allowance for loan and lease losses		(6,961	)							(5,267	)
Assets held for sale from discontinued operations		325,912			3,098		3.80	%		459,400			3,891		3.39	%
Other assets		235,070								246,171
	$	4,072,144							$	4,169,147
Liabilities and Shareholders' Equity:
Deposits:
Demand and interest checking	$	3,224,167		$	3,136		0.39	%	$	3,249,801		$	2,379		0.29	%
Savings and money market		439,688			552		0.50	%		392,045			423		0.43	%
Time		-			-		0.00	%		76,931			104		0.54	%
Total deposits		3,663,855			3,688		0.40	%		3,718,777			2,906		0.31	%
Short-term borrowings		51,413			175		1.36	%		102,243			153		0.60	%
Repurchase agreements		189			-		0.00	%		376			-		0.00	%
Subordinated debt		13,401			150		4.48	%		13,401			131		3.91	%
Total deposits and interest bearing liabilities		3,728,858			4,013		0.43	%		3,834,797			3,190		0.33	%
Other liabilities		8,046								19,670
Total liabilities		3,736,904								3,854,467
Shareholders' equity		335,240								314,680
	$	4,072,144							$	4,169,147
Net interest income on tax equivalent basis*				$	31,192							$	27,655
Tax equivalent adjustment					193								222
Net interest income				$	30,999							$	27,433
Net interest margin *							3.26	%							2.69	%
* Full taxable equivalent basis, using a 35% statutory tax rate.
** Includes loans held for sale.

6

Average balance sheet and net interest income	Nine months ended September 30, 2017								Nine months ended September 30, 2016
	(dollars in thousands)
	Average					Average			Average					Average
Assets:	Balance			Interest		Rate			Balance			Interest		Rate
Interest-earning assets:
Loans net of unearned fees and costs **	$	1,740,655		$	58,266		4.46	%	$	1,543,448		$	48,061		4.15	%
Leases - bank qualified*		21,167			1,231		7.75	%		20,618			1,334		8.63	%
Investment securities-taxable		1,269,922			26,990		2.83	%		1,280,692			22,782		2.37	%
Investment securities-nontaxable*		14,423			351		3.24	%		59,892			983		2.19	%
Interest earning deposits at Federal Reserve Bank		532,223			3,961		0.99	%		490,037			1,677		0.46	%
Federal funds sold and securities purchased under agreement to resell		60,119			931		2.06	%		27,414			301		1.46	%
Net interest-earning assets		3,638,509			91,730		3.36	%		3,422,101			75,138		2.93	%
Allowance for loan and lease losses		(6,793	)							(4,538	)
Assets held for sale		337,102			9,594		3.79	%		528,168			15,037		3.80	%
Other assets		251,629								283,171
	$	4,220,447							$	4,228,902
Liabilities and Shareholders' Equity:
Deposits:
Demand and interest checking	$	3,433,027		$	8,836		0.34	%	$	3,325,047		$	7,217		0.29	%
Savings and money market		434,768			1,718		0.53	%		390,202			1,028		0.35	%
Time		-			-		0.00	%		103,624			447		0.58	%
Total deposits		3,867,795			10,554		0.36	%		3,818,873			8,692		0.30	%
Short-term borrowings		19,498			197		1.35	%		58,056			263		0.60	%
Repurchase agreements		245			-		0.00	%		812			1		0.16	%
Subordinated debt		13,401			432		4.30	%		13,401			383		3.81	%
Total deposits and interest bearing liabilities		3,900,939			11,183		0.38	%		3,891,142			9,339		0.32	%
Other liabilities		431								21,306
Total liabilities		3,901,370								3,912,448
Shareholders' equity		319,077								316,454
	$	4,220,447							$	4,228,902
Net interest income on tax equivalent basis*				$	$ 90,141							$	$ 80,836
Tax equivalent adjustment					554								811
Net interest income				$	89,587							$	80,025
Net interest margin *							3.02	%							2.57	%
* Full taxable equivalent basis, using a 35% statutory tax rate.
** Includes loans held for sale.

7

Allowance for loan and lease losses:	Nine months ended						Year ended
	September 30,			September 30,			December 31,
	2017			2016			2016
	(dollars in thousands)
Balance in the allowance for loan and lease losses at beginning of period (1)	$	6,332		$	4,400		$	4,400
Loans charged-off:
SBA non real estate		344			-			128
SBA commercial mortgage		-			76			-
Direct lease financing		779			63			119
Other consumer loans		113			39			1,211
Total		1,236			178			1,458
Recoveries:
SBA non real estate		12			1			1
Direct lease financing		-			17			17
Other consumer loans		25			8			12
Total		37			26			30
Net charge-offs		1,199			152			1,428
Provision charged to operations		2,150			1,810			3,360
Balance in allowance for loan and lease losses at end of period	$	7,283		$	6,058		$	6,332
Net charge-offs/average loans		0.07	%		0.01	%		0.09	%
Net charge-offs/average loans (annualized)		0.09	%		0.01	%		0.09	%
Net charge-offs/average assets		0.03	%		0.00	%		0.03	%
(1) Excludes activity from assets held for sale.
Loan portfolio:	September 30,			June 30,			December 31,			September 30,
		2017			2017			2016			2016
	(dollars in thousands)
SBA non real estate	$	72,055		$	74,511		$	74,644		$	74,262
SBA commercial mortgage		132,997			126,224			126,159			117,053
SBA construction		14,205			11,057			8,826			6,317
Total SBA loans		219,257			211,792			209,629			197,632
Direct lease financing		369,069			371,002			346,645			332,632
SBLOC		720,279			718,707			630,400			621,456
Other specialty lending		36,664			44,389			11,073			20,076
Other consumer loans		20,107			15,858			17,374			19,375
		1,365,376			1,361,748			1,215,121			1,191,171
Unamortized loan fees and costs		8,684			8,515			7,790			7,066
Total loans, net of deferred loan fees and costs	$	1,374,060		$	1,370,263		$	1,222,911		$	1,198,237
Small business lending portfolio:	September 30,			June 30,			December 31,			September 30,
		2017			2017			2016			2016
	(dollars in thousands)
SBA loans, including deferred fees and costs		225,909			218,391			215,786			203,196
SBA loans included in HFS		160,855			158,252			154,016			146,450
Total SBA loans	$	386,764		$	376,642		$	369,802		$	349,646

8

Capital ratios:	Tier 1 capital			Tier 1 capital			Total capital			Common equity
	to average			to risk-weighted			to risk-weighted			tier 1 to risk
	assets ratio			assets ratio			assets ratio			weighted assets
As of September 30, 2017
The Bancorp, Inc.		8.25	%		16.27	%		16.62	%		16.27	%
The Bancorp Bank		8.04	%		15.95	%		16.30	%		15.95	%
"Well capitalized" institution (under FDIC regulations)		5.00	%		8.00	%		10.00	%		6.50	%
As of December 31, 2016
The Bancorp, Inc.		6.90	%		13.34	%		13.63	%		13.34	%
The Bancorp Bank		6.84	%		13.24	%		13.53	%		13.24	%
"Well capitalized" institution (under FDIC regulations)		5.00	%		8.00	%		10.00	%		6.50	%

	Three months ended								Nine months ended
	September 30,								September 30,
	2017				2016				2017				2016
Selected operating ratios:
Return on average assets (annualized)			0.71	%	nm						1.08	%	nm
Return on average equity (annualized)			8.62	%	nm						14.29	%	nm
Net interest margin			3.26	%			2.69	%			3.02	%			2.57	%
Book value per share		$	6.09			$	6.13			$	6.09			$	6.13
	September 30,				June 30,				December 31,				September 30,
			2017				2017				2016				2016
Asset quality ratios:
Nonperforming loans to total loans (1)			0.39	%			0.41	%			0.30	%			0.58	%
Nonperforming assets to total assets (1)			0.13	%			0.13	%			0.08	%			0.16	%
Allowance for loan and lease losses to total loans			0.53	%			0.54	%			0.52	%			0.51	%
Nonaccrual loans		$	4,953			$	5,115			$	2,972			$	4,021
Other real estate owned			-				104				104				-
Total nonperforming assets		$	4,953			$	5,219			$	3,076			$	4,021
Loans 90 days past due still accruing interest		$	354			$	494			$	661			$	2,933
(1) Nonperforming loan and asset ratios include nonaccrual loans and loans 90 days past due still accruing interest.
	Three months ended
	September 30,				June 30,				December 31,				September 30,
			2017				2017				2016				2016
	(in thousands)
Gross dollar volume (GDV) (1):
Prepaid card GDV		$	10,970,085			$	11,894,601			$	10,647,520			$	10,459,097
(1) Gross dollar volume represents the total dollar amount spent on prepaid and debit cards issued by The Bancorp.

9

Analysis of Walnut Street marks:
	Loan activity				Marks
	(dollars in millions)
Original Walnut Street loan balance, December 31, 2014		$	267
Marks through December 31, 2014 sale date			(58	)	$	(58	)
Sales price of Walnut Street			209
Equity investment from independent investor			(16	)
December 31, 2014 Bancorp book value			193
Additional marks 2015 and 2016			(42	)		(42	)
Payments received			(43	)
September 30, 2017 Bancorp book value*		$	108
Total marks					$	(100	)
Divided by:
Original Walnut Street loan balance					$	267
Percentage of total mark to original balance						37	%
* Approximately 30% of expected principal recoveries were classified as nonperforming as of September 30, 2017.
Walnut Street portfolio composition as of September 30, 2017
Collateral type	% of Portfolio
Commercial real estate non-owner occupied
Retail			30.8	%
Office			26.9	%
Other			15.5	%
Construction and land			16.3	%
Commercial non real estate and industrial			3.6	%
First mortgage residential owner occupied			3.3	%
First mortgage residential non-owner occupied			2.8	%
Other			0.8	%
Total			100.0	%

10

Cumulative analysis of marks on discontinued commercial loan principal as of September 30, 2017
	Discontinued			Cumulative			% to original
	loan principal			marks			principal
	(dollars in millions)
Commercial loan discontinued principal before marks		$	230
Florida mall held in discontinued OREO			42			24
Previous mark charges			33			33
Mark at September 30, 2017						16
Total		$	305		$	73	24%

Analysis of large loan relationship principal, nonperforming loans and distribution of marks as of September 30, 2017
	Performing			Nonperforming			Total			Performing			Nonperforming			Total
	loan principal			loan principal			loan principal			loan marks			loan marks			marks
	(in millions)
9 loan relationships > $8 million		$	155		$	5		$	160		$	6		$	-		$	6
Loan relationships < $8 million			45			9			54			3			7			10
		$	200		$	14		$	214		$	9		$	7		$	16

Quarterly activity for commercial loan discontinued principal
	Commercial
	loan principal
	(in millions)
Commercial loan discontinued principal December 31, 2016 before marks	$	324
Transfer of Florida mall to other real estate owned		(42	)
2017 net paydowns		(39	)
2017 chargedowns of loans from marks taken in prior years		(13	)
Commercial loan discontinued principal September 30, 2017 before marks	$	230
Marks at September 30, 2017		(16	)
Net commercial loan exposure September 30, 2017	$	214
Residential mortgages		64
Net loans	$	278
Florida mall in other real estate owned		18
Other 27 properties in other real estate owned		19
Total discontinued assets at September 30, 2017	$	315

11

Discontinued commercial loan composition as of September 30, 2017
Collateral type	Unpaid principal balance			Mark September 30, 2017		Mark as % of portfolio
	(dollars in millions)
Commercial real estate - non-owner occupied:
Retail	$	15		$	0.8		5	%
Office		9			0.2		2	%
Other		43			0.1		-
Construction and land		84			1.7		2	%
Commercial non-real estate and industrial		17			3.3		19	%
1 to 4 family construction		27			4.5		17	%
First mortgage residential non-owner occupied		20			4.9		25	%
Commercial real estate owner occupied:
Retail		10			-		0	%
Office		-			-		-
Other		2			-		0	%
Residential junior mortgage		1			-		0	%
Other		2			-		-
Total	$	230
Less: mark		(16	)
Net commercial loan exposure September 30, 2017	$	214		$	15.5		7	%

12