FB Financial (FBK) 8-K FB Financial Corporation Reports 2017 Fourth Quarter and Year End Results

Exhibit 99.2

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 1

Financial Summary and Key Metrics   

(Unaudited)

(In Thousands, Except Share Data and %)

	2017												2016
	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Statement of Income Data
Total interest income	$	55,031		$	48,415		$	33,278		$	32,889		$	31,567
Total interest expense		6,048			4,805			2,851			2,638			2,535
Net interest income		48,983			43,610			30,427			30,251			29,032
Provision for loan losses		956			(784	)		(865	)		(257	)		(752	)
Total noninterest income		37,017			37,820			35,657			31,087			31,332
Total noninterest expense		57,540			69,224			49,136			46,417			47,319
Net income before income taxes		27,504			12,990			17,813			15,178			13,797
Income tax expense		4,486			4,602			6,574			5,425			4,787
Net income	$	23,018		$	8,388		$	11,239		$	9,753		$	9,010
Net interest income (tax—equivalent basis)	$	49,692		$	44,281		$	31,158		$	30,963		$	29,686
Core net income*	$	18,677		$	18,516		$	12,919		$	10,284		$	10,484
Per Common Share
Diluted net income	$	0.74		$	0.27		$	0.43		$	0.40		$	0.37
Core net income - diluted*		0.60			0.60			0.49			0.42			0.43
Book value		19.54			18.76			17.59			14.16			13.71
Tangible book value*		14.56			13.79			15.83			12.05			11.58
Weighted average number of shares-diluted		31,166,080			30,604,537			26,301,458			24,610,991			24,500,943
Period-end number of shares		30,535,517			30,526,592			28,968,160			24,154,323			24,107,660
Selected Balance Sheet Data
Cash and due from banks	$	29,831		$	67,070		$	59,112		$	53,748		$	50,157
Loans held for investment		3,166,911			3,114,562			1,970,974			1,900,995			1,848,784
Allowance for loan losses		(24,041	)		(23,482	)		(23,247	)		(22,898	)		(21,747	)
Loans held for sale		526,185			466,369			427,416			365,173			507,442
Available-for-sale securities, fair value		543,992			543,282			553,357			567,886			582,183
Other real estate owned, net		16,442			13,812			6,370			6,811			7,403
Total assets		4,727,713			4,581,943			3,346,570			3,166,459			3,276,881
Customer deposits		3,578,694			3,614,220			2,726,060			2,699,868			2,670,031
Brokered and internet time deposits		85,701			104,318			1,533			1,331			1,531
Total deposits		3,664,395			3,718,538			2,727,593			2,701,199			2,671,562
Borrowings		333,302			196,299			43,790			44,552			194,892
Total shareholders' equity		596,729			572,528			509,517			342,142			330,498
Selected Ratios
Return on average:
Assets		1.96	%		0.80	%		1.40	%		1.25	%		1.12	%
Shareholders' equity		15.78	%		6.05	%		11.30	%		11.87	%		11.24	%
Tangible common equity*		21.38	%		7.70	%		12.96	%		14.03	%		13.40	%
Average shareholders' equity to average assets		12.41	%		13.22	%		12.37	%		10.50	%		9.95	%
Net interest margin (NIM) (tax-equivalent basis)		4.63	%		4.61	%		4.19	%		4.28	%		3.99	%
Net interest margin excluding accretion and nonaccrual interest collections (tax-equivalent basis) (a)		4.35	%		4.33	%		4.03	%		4.04	%		3.90	%
Efficiency ratio (GAAP)		66.91	%		85.01	%		74.35	%		75.67	%		78.39	%
Core efficiency ratio (tax-equivalent basis)*		63.55	%		64.43	%		70.18	%		73.29	%		73.72	%
Loans held for investment to deposit ratio		86.42	%		83.76	%		72.26	%		70.38	%		69.20	%
Total loans to deposit ratio		100.78	%		96.30	%		87.93	%		83.89	%		88.20	%
Yield on interest-earning assets		5.20	%		5.10	%		4.57	%		4.65	%		4.33	%
Cost of interest-bearing liabilities		0.79	%		0.71	%		0.55	%		0.51	%		0.49	%
Cost of total deposits		0.50	%		0.46	%		0.34	%		0.32	%		0.29	%
Credit Quality Ratios
Allowance for loan losses as a percentage of loans held for investment		0.76	%		0.75	%		1.18	%		1.20	%		1.18	%
Net (charge-off's) recoveries as a percentage of average loans
held for investment		(0.05	)%		0.15	%		0.25	%		0.31	%		(0.17	)%
Nonperforming loans held for investment as a percentage of total loans
held for investments		0.32	%		0.29	%		0.50	%		0.49	%		0.57	%
Nonperforming assets as a percentage of total assets (b)		1.52	%		0.88	%		0.58	%		0.56	%		0.58	%
Preliminary capital ratios (Consolidated)
Shareholders' equity to assets		12.62	%		12.50	%		15.23	%		10.81	%		10.09	%
Tangible common equity to tangible assets*		9.72	%		9.50	%		13.92	%		9.34	%		8.65	%
Tier 1 capital (to average assets)		10.46	%		11.35	%		15.54	%		10.46	%		10.05	%
Tier 1 capital (to risk-weighted assets)		11.43	%		11.58	%		18.28	%		12.87	%		12.19	%
Total capital (to risk-weighted assets)		12.01	%		12.18	%		19.14	%		13.76	%		13.03	%
Common Equity Tier 1 (to risk-weighted assets) (CET1)		10.70	%		10.82	%		17.16	%		11.69	%		11.04	%
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP Financial Measures” and the corresponding financial tables below for reconciliations of these Non-GAAP measures. Investors are encouraged to refer to discussion of non-GAAP measures included in the corresponding earnings release.
(a) Excludes accretion from acquired/purchased loans and collection of intererest income on nonaccrual loans.
(b) Includes marketable equity securities received in satisfaction of previously charged-off loan, excess land and facilities held for sale, and GNMA loans subject to ability to repurchase.

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 2

Consolidated Statements of Income

(Unaudited)

(In Thousands, Except Share Data and %)

																Q4 2017		Q4 2017
																vs.		vs.
	2017												2016			Q3 2017		Q4 2016
	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter			Percent variance		Percent variance
Interest income:
Interest and fees on loans	$	51,246		$	44,367		$	29,350		$	29,006		$	28,125		15.50	%	82.21	%
Interest on securities
Taxable		2,529			2,399			2,589			2,567			2,350		5.42	%	7.62	%
Tax-exempt		910			988			1,068			1,040			947		-7.89	%	-3.91	%
Other		346			661			271			276			145		-47.66	%	138.62	%
Total interest income		55,031			48,415			33,278			32,889			31,567		13.67	%	74.33	%
Interest expense:
Deposits
Demand and savings accounts		3,209			2,829			1,703			1,531			1,387		13.43	%	131.36	%
Time deposits		1,447			1,125			604			583			551		28.62	%	162.61	%
Short-term borrowings		11			9			12			10			20		22.22	%	-45.00	%
Long-term debt		1,381			842			532			514			577		64.01	%	139.34	%
Total interest expense		6,048			4,805			2,851			2,638			2,535		25.87	%	138.58	%
Net interest income		48,983			43,610			30,427			30,251			29,032		12.32	%	68.72	%
Provision for loan losses		956			(784	)		(865	)		(257	)		(752	)	-221.94	%	-227.13	%
Net interest income after provision for loan losses		48,027			44,394			31,292			30,508			29,784		8.18	%	61.25	%
Noninterest income:
Mortgage banking income		30,280			31,334			30,239			25,080			26,177		-3.36	%	15.67	%
Service charges on deposit accounts		2,181			2,044			1,796			1,766			1,880		6.70	%	16.01	%
ATM and interchange fees		2,430			2,222			2,085			2,047			2,035		9.36	%	19.41	%
Investment services and trust income		1,154			1,078			903			814			829		7.05	%	39.20	%
Gain from securities, net		1			254			29			1			-		-99.61	%	100.00	%
(Loss) gain on sales or write-downs of other real estate owned		(72	)		(368	)		23			748			(222	)	-80.43	%	-67.57	%
Gain (loss) from other assets		(314	)		54			39			-			(127	)	-681.48	%	147.24	%
Other income		1,357			1,202			543			631			760		12.90	%	78.55	%
Total noninterest income		37,017			37,820			35,657			31,087			31,332		-2.12	%	18.14	%
Total revenue		86,000			81,430			66,084			61,338			60,364		5.61	%	42.47	%
Noninterest expenses:
Salaries, commissions and employee benefits		35,771			34,795			30,783			29,006			29,506		2.81	%	21.23	%
Occupancy and equipment expense		3,881			3,539			3,307			3,109			3,044		9.66	%	27.50	%
Legal and professional fees		1,764			1,512			1,033			1,428			810		16.67	%	117.78	%
Data processing		1,766			1,761			1,460			1,501			1,490		0.28	%	18.52	%
Merger and conversion		2,069			15,711			767			487			-		-86.83	%	100.00	%
Amortization of intangibles		922			558			123			392			527		65.23	%	74.95	%
Amortization of mortgage servicing rights		-			-			-			-			2,100		0.00	%	-100.00	%
(Recovery of) impairment of mortgage servicing rights		-			-			-			-			(3,411	)	0.00	%	-100.00	%
Loss on sale of mortgage servicing rights		-			-			249			-			4,447		0.00	%	0.00	%
Regulatory fees and deposit insurance assessments		571			549			494			435			471		4.01	%	21.23	%
Software license and maintenance fees		529			523			364			457			513		1.15	%	3.12	%
Advertising		3,189			3,493			3,343			2,932			2,537		-8.70	%	25.70	%
Other expense		7,078			6,783			7,213			6,670			5,285		4.35	%	33.93	%
Total noninterest expense		57,540			69,224			49,136			46,417			47,319		-16.88	%	21.60	%
Net income before income taxes		27,504			12,990			17,813			15,178			13,797		111.73	%	99.35	%
Income tax expense		4,486			4,602			6,574			5,425			4,787		-2.52	%	-6.29	%
Net income	$	23,018		$	8,388		$	11,239		$	9,753		$	9,010		174.42	%	155.47	%
Weighted average common shares outstanding:
Basic		30,527,234			30,004,952			25,741,968			24,138,437			23,977,028
Fully diluted		31,166,080			30,604,537			26,301,458			24,610,991			24,500,943
Earnings per share
Basic	$	0.75		$	0.28		$	0.44		$	0.40		$	0.38
Fully diluted		0.74			0.27			0.43			0.40			0.37

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 3

Consolidated Statements of Income

(Unaudited)

(In Thousands, Except Share Data and %)

	For the year ended
	December 31,
	2017			2016			Percent variance
Interest income:
Interest and fees on loans	$	153,969		$	105,865			45.44	%
Interest on securities
Taxable		10,084			10,646			-5.28	%
Tax-exempt		4,006			3,372			18.80	%
Other		1,554			611			154.34	%
Total interest income		169,613			120,494			40.76	%
Interest expense:
Deposits
Demand and savings accounts		9,272			5,413			71.29	%
Time deposits		3,759			1,929			94.87	%
Short-term borrowings		42			121			-65.29	%
Long-term debt		3,269			2,081	��		57.09	%
Total interest expense		16,342			9,544			71.23	%
Net interest income		153,271			110,950			38.14	%
Provision for loan losses		(950	)		(1,479	)		-35.77	%
Net interest income after provision for loan losses		154,221			112,429			37.17	%
Noninterest income:
Mortgage banking income		116,933			117,751			-0.69	%
Service charges on deposit accounts		7,787			8,009			-2.77	%
ATM and interchange fees		8,784			7,791			12.75	%
Investment services and trust income		3,949			3,337			18.34	%
Gain from securities, net		285			4,407			-93.53	%
Gain on sales or write-downs of other real estate owned		774			1,282			-39.63	%
Gain (loss) on other assets		(664	)		(103	)		544.66	%
Other income		3,733			2,211			68.84	%
Total noninterest income		141,581			144,685			-2.15	%
Total revenue		294,852			255,635			15.34	%
Noninterest expenses:
Salaries, commissions and employee benefits		130,355			113,992			14.35	%
Occupancy and equipment expense		13,836			12,611			9.71	%
Legal and professional fees		5,737			3,514			63.26	%
Data processing		6,488			4,181			55.18	%
Merger and conversion		19,034			3,268			482.44	%
Amortization of intangibles		1,995			2,132			-6.43	%
Amortization of mortgage servicing rights		-			8,321			-100.00	%
Impairment of mortgage servicing rights		-			4,678			-100.00	%
Loss on sale of mortgage servicing rights					4,447			100.00	%
Regulatory fees and deposit insurance assessments		2,049			1,952			4.97	%
Software license and maintenance fees		1,873			2,874			-34.83	%
Advertising		12,957			10,608			22.14	%
Other expense		27,744			22,212			24.91	%
Total noninterest expense		222,317			194,790			14.13	%
Net income before income taxes		73,485			62,324			17.91	%
Income tax expense		21,087			21,733			-2.97	%
Net income	$	52,398		$	40,591			29.09	%
Weighted average common shares outstanding:
Basic		27,627,228			19,165,182
Fully diluted		28,207,602			19,312,174
Earnings per share
Basic	$	1.90		$	2.12
Fully diluted		1.86			2.10
Pro Forma (C-Corporations basis):
Income tax expense	$	21,087		$	22,902			-7.93	%
Net income	$	52,398		$	39,422			32.92	%
Earnings per share
Basic	$	1.90		$	2.06
Fully diluted		1.86			2.04

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 4

Consolidated Balance Sheets

(Unaudited)

(In Thousands, %)

													Annualized
													Q4 2017		Q4 2017
													vs.		vs.
	2017									2016			Q3 2017		Q4 2016
	Fourth Quarter		Third Quarter		Second Quarter		First Quarter			Fourth Quarter			Percent variance		Percent variance
ASSETS
Cash and due from banks	$	29,831	$	67,070	$	59,112	$	53,748		$	50,157		-220.28	%	-40.52	%
Federal funds sold		66,127		4,470		16,238		18,512			13,037		5472.43	%	407.23	%
Interest bearing deposits in financial institutions		23,793		25,625		110,928		57,292			73,133		-28.36	%	-67.47	%
Cash and cash equivalents		119,751		97,165		186,278		129,552			136,327		92.22	%	-12.16	%
Investments:
Available-for-sale securities, at fair value		543,992		543,282		553,357		567,886			582,183		0.52	%	-6.56	%
Federal Home Loan Bank stock, at cost		11,412		11,152		7,743		7,743			7,743		9.25	%	47.38	%
Loans held for sale, at fair value		526,185		466,369		427,416		365,173			507,442		50.89	%	3.69	%
Loans		3,166,911		3,114,562		1,970,974		1,900,995			1,848,784		6.67	%	71.30	%
Less: allowance for loan losses		24,041		23,482		23,247		22,898			21,747		9.44	%	10.55	%
Net loans		3,142,870		3,091,080		1,947,727		1,878,097			1,827,037		6.65	%	72.02	%
Premises and equipment, net		81,577		85,550		66,392		66,108			66,651		-18.42	%	22.39	%
Other real estate owned, net		16,442		13,812		6,370		6,811			7,403		75.54	%	122.10	%
Interest receivable		13,069		11,218		7,012		7,247			7,241		65.46	%	80.49	%
Mortgage servicing rights, net		76,107		63,046		48,464		47,593			32,070		82.19	%	137.32	%
Goodwill		137,190		138,910		46,867		46,867			46,867		-4.91	%	192.72	%
Intangible, net		14,902		12,550		4,048		4,171			4,563		74.35	%	226.58	%
Other assets		44,216		47,809		44,896		39,211			51,354		-29.82	%	-13.90	%
Total assets	$	4,727,713	$	4,581,943	$	3,346,570	$	3,166,459		$	3,276,881		12.62	%	44.27	%
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Demand deposits
Noninterest-bearing	$	888,200	$	924,773	$	715,391	$	696,112		$	697,072		-15.69	%	27.42	%
Interest-bearing		1,909,546		1,948,600		1,471,650		1,473,535			1,449,382		-7.95	%	31.75	%
Savings deposits		178,320		177,949		143,951		142,019			134,077		0.83	%	33.00	%
Customer time deposits		602,628		562,898		395,068		388,202			389,500		28.00	%	54.72	%
Brokered and internet time deposits		85,701		104,318		1,533		1,331			1,531		-70.80	%	5497.71	%
Total time deposits		688,329		667,216		396,601		389,533			391,031		12.55	%	76.03	%
Total deposits		3,664,395		3,718,538		2,727,593		2,701,199			2,671,562		-5.78	%	37.16	%
Securities sold under agreements to repurchase		14,293		14,556		16,343		18,130			21,561		-7.17	%	-33.71	%
Short-term borrowings		190,000		52,766		—		—			150,000		1031.84	%	26.67	%
Long-term debt		143,302		143,533		43,790		44,552			44,892		-0.64	%	219.22	%
Accrued expenses and other liabilities		118,994		80,022		49,327		60,436			58,368		193.22	%	103.87	%
Total liabilities		4,130,984		4,009,415		2,837,053		2,824,317			2,946,383		12.03	%	40.21	%
Shareholders' equity:
Common stock, $1 par value		30,536		30,527		28,968		24,155			24,108		0.12	%	26.66	%
Additional paid-in capital		418,596		416,651		363,870		214,160			213,480		1.85	%	96.08	%
Retained earnings		146,797		123,779		115,391		104,152			93,784		73.78	%	56.53	%
Accumulated other comprehensive income (loss), net		800		1,571		1,288		(325	)		(874	)	-194.71	%	-191.53	%
Total shareholders' equity		596,729		572,528		509,517		342,142			330,498		16.77	%	80.55	%
Total liabilities and shareholders' equity	$	4,727,713	$	4,581,943	$	3,346,570	$	3,166,459		$	3,276,881		12.62	%	44.27	%

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 5

Net Assets Acquired from the Clayton Banks

As of July 31, 2017

(Unaudited)

(In Thousands)

				Fair Value			As Recorded by
	Combined Clayton Banks			Adjustments			FB Financial Corporation
Assets
Cash and cash equivalents	$	49,059		$	-		$	49,059
Investment securities (a)		59,108			385			59,493
FHLB stock		3,408			-			3,408
Loans		1,075,441			(15,713	)  (b)		1,059,728
Allowance for loan losses		(19,985	)		19,985			-
Premises and Equipment		15,011			3,855			18,866
Other real estate owned		5,880			644			6,524
Goodwill		8,425			(8,425	)		-
Intangibles, net		-			12,335	(c)		12,335
Other assets		7,263			(920	)		6,343
Total Assets	$	1,203,610		$	12,146		$	1,215,756
Liabilities
Interest-bearing deposits		669,745			309			670,054
Non-interest bearing deposits		309,464			-			309,464
Borrowings (d)		84,110			721			84,831
Accrued expenses and other liabilities		4,578			668			5,246
Total Liabilities	$	1,067,897		$	1,698		$	1,069,595
Net assets acquired	$	135,713		$	10,448		$	146,161
Purchase Price:
Common shares issued		1,521,200
Price per share as of July 31, 2017	$	34.37
Common stock consideration					52,284
Cash consideration					184,200
Total consideration paid				$	236,484
Allocation of purchase price:
Fair value of net assets assumed including identifiable intangible assets					146,161
Goodwill					90,323
Total consideration paid				$	236,484
Note: the above purchase price allocation and purchase accounting adjustments are preliminary and subject to change during the measurement period as allowed under ASC 805- Business Combinations.
(a) Liquidated prior to September 30, 2017.
(b) Includes credit and liquidity mark of $26.8 million and reversal of existing loan discount and other yield adjustments of $11.1 million.
(c) Includes core deposit intangible of $9.6 million, servicing and trust customer relationship intangibles of $2.7 million and lease intangible of $0.6 million.
(d) Paid off prior to September 30, 2017.

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 6

Average Balance, Average Yield Earned and Average Rate Paid

For the Quarters Ended

(Unaudited)

(In Thousands, Except %)

	Three Months Ended								Three Months Ended
	December 31, 2017								September 30, 2017
	Average balances			Interest income/ expense		Average yield/ rate			Average balances			Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans(1)	$	3,138,245		$	46,503		5.88	%	$	2,705,265		$	40,242		5.90	%
Loans held for sale		493,073			4,856		3.91	%		410,434			4,167		4.03	%
Securities:
Taxable		442,351			2,529		2.27	%		425,281			2,399		2.24	%
Tax-exempt(1)		108,000			1,506		5.53	%		117,429			1,617		5.46	%
Total Securities(1)		550,351			4,035		2.91	%		542,710			4,016		2.94	%
Federal funds sold		18,227			14		0.30	%		39,363			76		0.77	%
Interest-bearing deposits with other financial institutions		42,693			177		1.64	%		108,185			448		1.64	%
FHLB stock		11,160			155		5.51	%		8,892			137		6.11	%
Total interest earning assets(1)		4,253,749			55,740		5.20	%		3,814,849			49,086		5.10	%
Noninterest Earning Assets:
Cash and due from banks		57,406								55,485
Allowance for loan losses		(23,470	)							(23,875	)
Other assets		376,984								316,019
Total noninterest earning assets		410,920								347,629
Total assets	$	4,664,669							$	4,162,478
Interest-bearing liabilities:
Interest bearing deposits:
Customer time deposits	$	577,003		$	1,067		0.73	%	$	493,992		$	825		0.66	%
Broker and internet time deposits		95,480			380		1.58	%		95,207			300		1.25	%
Time deposits	$	672,483		$	1,447		0.85	%	$	589,199		$	1,125		0.76	%
Money market		1,071,194			1,991		0.74	%		1,023,612			1,722		0.67	%
Negotiable order of withdrawals		832,030			1,146		0.55	%		788,238			1,040		0.52	%
Savings deposits		178,574			72		0.16	%		166,184			67		0.16	%
Total interest bearing deposits		2,754,281			4,656		0.67	%		2,567,233			3,954		0.61	%
Other interest-bearing liabilities:
FHLB advances		241,307			967		1.59	%		86,795			428		1.96	%
Other borrowings		15,883			11		0.27	%		15,828			9		0.23	%
Long-term debt		30,930			414		5.31	%		30,930			414		5.31	%
Total other interest-bearing liabilities		288,120			1,392		1.92	%		133,553			851		2.52	%
Total Interest-bearing liabilities		3,042,401			6,048		0.79	%		2,700,786			4,805		0.71	%
Noninterest bearing liabilities:
Demand deposits		964,030								871,973
Other liabilities		79,382								39,310
Total noninterest-bearing liabilities		1,043,412								911,283
Total liabilities		4,085,813								3,612,069
Shareholders' equity		578,856								550,409
Total liabilities and shareholders' equity	$	4,664,669							$	4,162,478
Net interest income  (1)				$	49,692							$	44,281
Interest rate spread (1)							4.53	%							4.49	%
Net interest margin (1)							4.63	%							4.61	%
Net interest margin (excluding accretion and nonaccrual interest collections)(1)							4.35	%							4.33	%
Average interest-earning assets to average interest-bearing liabilities							139.8	%							141.2	%
Tax equivalent adjustment				$	709							$	671
Loan yield components:
Contractual interest rate on loans held for
investment (1)				$	41,087		5.20	%				$	34,634		5.08	%
Origination and other loan fee income					2,084		0.26	%					2,610		0.38	%
Accretion on purchased loans					1,874		0.24	%					1,554		0.23	%
Nonaccrual interest collections					1,216		0.15	%					1,116		0.16	%
Syndication fee income					242		0.03	%					328		0.05	%
Total loan yield				$	46,503		5.88	%				$	40,242		5.90	%
(1) Includes tax equivalent adjustment using combined marginal tax rate of 39.225%

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 7

Average Balance, Average Yield Earned and Average Rate Paid

For the Quarters Ended

(Unaudited)

(In Thousands, Except %)

	Three Months Ended								Three Months Ended								Three Months Ended
	June 30, 2017								March 31, 2017								December 31, 2016
	Average balances			Interest income/ expense		Average yield/ rate			Average balances			Interest income/ expense		Average yield/ rate			Average balances			Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans(1)	$	1,942,667		$	25,115		5.19	%	$	1,869,951		$	25,090		5.44	%	$	1,811,136		$	24,001		5.27	%
Loans held for sale		390,596			4,276		4.39	%		381,932			3,957		4.20	%		510,219			4,167		3.25	%
Securities:
Taxable		442,309			2,589		2.35	%		456,634			2,567		2.28	%		455,275			2,350		2.05	%
Tax-exempt(1)		122,553			1,758		5.75	%		117,615			1,711		5.90	%		108,230			1,558		5.73	%
Total Securities(1)		564,862			4,347		3.09	%		574,249			4,278		3.02	%		563,505			3,908		2.76	%
Federal funds sold		8,456			23		1.09	%		14,327			27		0.76	%		10,192			15		0.59	%
Interest-bearing deposits with other financial institutions		68,460			158		0.93	%		82,981			171		0.84	%		60,438			65		0.43	%
FHLB stock		7,743			90		4.66	%		7,743			78		4.09	%		6,931			65		3.73	%
Total interest earning assets(1)		2,982,784			34,009		4.57	%		2,931,183			33,601		4.65	%		2,962,421			32,221		4.33	%
Noninterest Earning Assets:
Cash and due from banks		50,004								51,614								43,883
Allowance for loan losses		(22,813	)							(21,955	)							(23,283	)
Other assets		214,808								211,307								223,377
Total noninterest earning assets		241,999								240,966								243,977
Total assets	$	3,224,783							$	3,172,149							$	3,206,398
Interest-bearing liabilities:
Interest bearing deposits:
Customer time deposits	$	389,390		$	602		0.62	%	$	388,744		$	582		0.61	%	$	393,205		$	551		0.56	%
Broker and internet time deposits		1,522			2		0.53	%		1,468			1		0.28	%		1,534			—		0.00	%
Time deposits	$	390,912		$	604		0.62	%	$	390,212		$	583		0.61	%	$	394,739		$	551		0.56	%
Money market		723,020			889		0.49	%		729,934			785		0.44	%		693,790			662		0.38	%
Negotiable order of withdrawals		711,099			759		0.43	%		718,957			695		0.39	%		679,100			674		0.39	%
Savings deposits		143,357			55		0.15	%		136,627			51		0.15	%		132,016			51		0.15	%
Total interest bearing deposits		1,968,388			2,307		0.47	%		1,975,730			2,114		0.43	%		1,899,645			1,938		0.41	%
Other interest-bearing liabilities:
FHLB advances		52,569			192		1.46	%		60,569			191		1.28	%		117,825			258		0.87	%
Other borrowings		17,315			12		0.28	%		18,884			10		0.21	%		25,545			22		0.31	%
Long-term debt		30,930			340		4.41	%		30,930			323		4.24	%		32,609			317		3.89	%
Total other interest-bearing liabilities		100,814			544		2.16	%		110,383			524		1.93	%		175,979			597		1.35	%
Total Interest-bearing liabilities		2,069,202			2,851		0.55	%		2,086,113			2,638		0.51	%		2,075,624			2,535		0.49	%
Noninterest bearing liabilities:
Demand deposits		724,419								708,612								768,018
Other liabilities		32,357								44,246								43,770
Total noninterest-bearing liabilities		756,776								752,858								811,788
Total liabilities		2,825,978								2,838,971								2,887,412
Shareholders' equity		398,805								333,178								318,986
Total liabilities and shareholders' equity	$	3,224,783							$	3,172,149							$	3,206,398
Net interest income (1)				$	31,158							$	30,963							$	29,686
Interest rate spread (1)							4.10	%							4.22	%							3.92	%
Net interest margin (1)							4.19	%							4.28	%							3.99	%
Net interest margin (excluding accretion and    nonaccrual interest recoveries)(1)							4.03	%							4.04	%							3.90	%
Average interest-earning assets to average    interest-bearing liabilities							144.2	%							140.5	%							142.7	%
Tax equivalent adjustment				$	731							$	712							$	654
Loan yield components:
Contractual interest rate on loans held for
investment (1)				$	22,418		4.63	%				$	21,461		4.65	%				$	21,456		4.71	%
Origination and other loan fee income					1,447		0.30	%					1,497		0.32	%					1,868		0.41	%
Accretion on purchased loans					848		0.17	%					1,160		0.25	%					343		0.08	%
Nonaccrual interest collections					315		0.07	%					619		0.13	%					334		0.07	%
Syndication fee income					87		0.02	%					353		0.08	%					—		—
Total loan yield				$	25,115		5.19	%				$	25,090		5.44	%				$	24,001		5.27	%
(1) Includes tax equivalent adjustment using combined marginal tax rate of 39.225%

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 8

Average Balance, Average Yield Earned and Average Rate Paid

For the Periods Ended

(Unaudited)

(In Thousands, Except %)

	For the Year Ended									For the Year Ended
	December 31, 2017									December 31, 2016
	Average balances			Interest income/ expense			Average yield/ rate			Average balances			Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans(1)	$	2,418,261		$	136,950			5.66	%	$	1,750,796		$	94,782		5.41	%
Loans held for sale		419,290			17,256			4.12	%		362,518			11,268		3.11	%
Securities:
Taxable		441,568			10,084			2.28	%		485,083			10,646		2.19	%
Tax-exempt(1)		116,384			6,592			5.66	%		91,863			5,548		6.04	%
Total Securities(1)		557,952			16,676			2.99	%		576,946			16,194		2.81	%
Federal funds sold		75,567			140			0.69	%		12,686			64		0.50	%
Interest-bearing deposits with other financial institutions		75,567			954			1.26	%		51,861			285		0.55	%
FHLB stock		8,894			460			5.17	%		6,630			262		3.95	%
Total interest earning assets(1)		3,555,531			172,436			4.93	%		2,761,437			122,855		4.45	%
Noninterest Earning Assets:
Cash and due from banks		53,653									46,523
Allowance for loan losses		(22,967	)								(23,986	)
Other assets		280,333									217,301
Total noninterest earning assets		311,019									239,838
Total assets	$	3,866,550								$	3,001,275
Interest-bearing liabilities:
Interest bearing deposits:
Money market	$	888,258		$	5,387	��		0.61	%	$	614,804		$	2,292		0.37	%
Negotiable order of withdrawals		762,918			3,640			0.48	%		699,907			2,643		0.38	%
Savings deposits		156,328			245			0.16	%		129,544			478		0.37	%
Time deposits		511,741			3,759			0.73	%		401,483			1,929		0.48	%
Total interest bearing deposits		2,319,245			13,031			0.56	%		1,845,738			7,342		0.40	%
Other interest-bearing liabilities:
FHLB advances		110,764			1,778			1.61	%		64,309			688		1.07	%
Other borrowings		16,968			42			0.25	%		45,691			121		0.26	%
Long-term debt		30,930			1,491			4.82	%		38,207			1,393		3.65	%
Total other interest-bearing liabilities		158,662			3,311			2.09	%		148,207			2,202		1.49	%
Total Interest-bearing liabilities	$	2,477,907		$	16,342			0.66	%	$	1,993,945		$	9,544		0.48	%
Noninterest bearing liabilities:
Demand deposits	$	814,643								$	695,765
Other liabilities		52,389									34,978
Total noninterest-bearing liabilities		867,032									730,743
Total liabilities		3,344,939									2,724,688
Shareholders' equity		466,219									276,587
Total liabilities and shareholders' equity	$	3,811,158								$	3,001,275
Net interest income (1)				$	156,094								$	113,311
Interest rate spread (1)								4.36	%							4.05	%
Net interest margin (1)								4.46	%							4.10	%
Net interest margin (excluding accretion and nonaccrual interest     recoveries)(1)								5.67	%							3.98	%
Average interest-earning assets to average interesting-bearing     liabilities								141.3	%							138.5	%
Tax equivalent adjustment				$	2,823								$	2,361
Loan yield components:
Contractual interest rate on loans held for investment (1)				$	119,617			4.95	%				$	81,271		4.64	%
Origination and other loan fee income					7,638			0.32	%					8,073		0.46	%
Accretion on purchased loans					5,419			0.22	%					3,538		0.20	%
Nonaccrual interest collections					3,266			0.14	%					1,075		0.06	%
Syndicated fee income					1,010			0.04	%					825		0.05	%
Total loan yield				$	136,950			5.66	%				$	94,782		5.41	%
(1) Includes tax equivalent adjustment using combined rate of 39.225%

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 9

Loans and Deposits by Market

For the Quarters Ended

(Unaudited)

(In Thousands)

	2017								2016
	Fourth Quarter		Third Quarter		Second Quarter		First Quarter		Fourth Quarter
Loans by market
Metropolitan	$	1,984,826	$	1,932,934	$	1,461,129	$	1,402,189	$	1,352,181
Community		780,079		779,810		476,320		473,453		468,245
Specialty lending and other		402,006		401,818		33,525		25,353		28,358
Total	$	3,166,911	$	3,114,562	$	1,970,974	$	1,900,995	$	1,848,784
Deposits by market
Metropolitan		2,091,927		2,059,401		1,598,574		1,553,931		1,554,929
Community		1,291,922		1,311,120		1,085,345		1,109,043		1,072,242
Mortgage and other (1)		280,546		348,017		43,674		38,225		44,391
Total	$	3,664,395	$	3,718,538	$	2,727,593	$	2,701,199	$	2,671,562
(1) Includes deposits related to escrow balances from mortgage servicing portfolio and wholesale and other deposits

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 10

Segment Data

For the Quarters Ended

(Unaudited)

(In Thousands, Except %)

	2017												2016
	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Banking segment
Net interest income	$	49,422		$	43,741		$	29,999		$	29,856		$	28,959
Provision for loan losses		956			(784	)		(865	)		(257	)		(752	)
Mortgage banking income- retail footprint		6,455			7,498			7,118			5,666			3,202
Other noninterest income		6,737			6,486			5,418			6,007			5,155
Other noninterest mortgage banking expenses		5,294			6,216			5,368			4,836			1,950
Merger and conversion expense		2,069			15,711			767			487			487
Other noninterest expense		30,060			27,540			23,199			23,424			22,593
Pre-tax income after allocations	$	24,235		$	9,042		$	14,066		$	13,039		$	13,038
Total assets		4,130,349			4,056,901			2,878,437			2,705,118			2,752,773
Intracompany funding income included in net interest income		5,276			4,274			3,831			3,551			4,081
Core efficiency ratio*		55.55	%		56.16	%		60.42	%		64.41	%		62.57	%
Mortgage segment
Net interest income	$	(439	)	$	(131	)	$	428		$	395		$	40
Provision for loan losses		-			-			-			-			-
Noninterest income		23,825			23,836			23,121			19,414			22,975
Noninterest expense		20,117			19,757			19,802			17,670			22,256
Direct contribution	$	3,269		$	3,948		$	3,747		$	2,139		$	759
Total assets		597,364			525,042			468,133			461,341			524,108
Intracompany funding expense included in net interest income		5,276			4,274			3,831			3,551			4,081
Core efficiency ratio*		83.77	%		79.89	%		78.33	%		88.73	%		92.50	%
Interest rate lock commitments volume during the period
Consumer direct	$	677,449		$	786,034		$	780,179		$	616,330		$	645,896
Third party origination (TPO)		189,299			269,473			296,034			258,996			228,982
Retail		268,720			325,295			379,530			282,698			256,812
Correspondent		678,346			619,953			701,846			440,206			331,622
Total	$	1,813,814		$	2,000,755		$	2,157,589		$	1,598,230		$	1,463,312
Interest rate lock commitments pipeline (period end)
Consumer direct	$	246,982		$	261,617		$	222,504		$	158,393		$	307,699
Third party origination (TPO)		63,034			93,353			88,938			101,509			79,967
Retail		72,939			101,196			119,158			93,184			77,033
Correspondent		121,201			84,506			115,919			95,923			68,221
Total	$	504,156		$	540,672		$	546,519		$	449,009		$	532,920
Mortgage sales
Consumer direct	$	567,529		$	485,931		$	498,997		$	647,535		$	777,169
Third party origination (TPO)		216,866			194,164			209,185			199,160			191,420
Retail		68,695			71,358			66,640			61,425			66,967
Retail footprint		205,228			222,786			200,157			186,988			195,280
Reverse		20,587			17,520			17,870			22,337			24,422
Correspondent		606,526			646,003			542,410			373,822			291,651
Total	$	1,685,431		$	1,637,762		$	1,535,259		$	1,491,267		$	1,546,909
Gains and fees from origination and sale of
mortgage loans held for sale	$	29,577		$	29,570		$	23,920		$	27,577		$	29,518
Net change in fair value of loans      held for sale and derivatives		(3,317	)		(806	)		5,412			(4,744	)		(7,092	)
Change in fair value of mortgage      servicing rights		(190	)		(893	)		(1,840	)		(501	)		-
Mortgage servicing income		4,210			3,463			2,747			2,748			3,751
Total mortgage banking
income	$	30,280		$	31,334		$	30,239		$	25,080		$	26,177
Mortgage sale margin (a)		1.75	%		1.81	%		1.56	%		1.85	%		1.91	%
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP financial measures” and the corresponding financial tables below for a reconciliation and discussion of these non-GAAP measures.
(a) Calculated by dividing gains from sale of mortgage loans held for sale by total mortgage sales

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 11

Loan Portfolio and Asset Quality

For the Quarters Ended

(Unaudited)

(In Thousands, Except %)

	2017																								2016
	December 30, 2017			% of Total			September 30, 2017			% of Total			June 30, 2017			% of Total			March 31, 2017			% of Total			December 31, 2016			% of Total
Loan portfolio
Commercial and industrial	$	715,862			23	%	$	731,588			23	%	$	423,704			21	%	$	399,333			21	%	$	386,233			21	%
Construction		448,326			14	%		435,414			14	%		282,727			14	%		267,998			14	%		245,905			13	%
Residential real estate:
1-to-4 family mortgage		479,750			15	%		459,467			15	%		307,152			16	%		302,166			16	%		294,924			16	%
Residential line of credit		194,986			6	%		188,392			6	%		177,783			9	%		177,928			9	%		177,190			10	%
Multi-family mortgage		62,374			2	%		74,004			2	%		52,810			3	%		45,244			2	%		44,977			2	%
Commercial real estate:
Owner occupied		495,872			16	%		473,395			15	%		371,462			19	%		359,120			19	%		357,346			19	%
Non-owner occupied		551,588			17	%		521,416			17	%		273,285			14	%		273,716			15	%		267,902			15	%
Consumer and other		218,153			7	%		230,886			7	%		82,051			4	%		75,490			4	%		74,307			4	%
Total loans held for investment	$	3,166,911			100	%	$	3,114,562			100	%	$	1,970,974			100	%	$	1,900,995			100	%	$	1,848,784			100	%
Allowance for loan losses rollforward summary
Allowance for loan losses at the beginning of the period	$	23,482					$	23,247					$	22,898					$	21,747					$	23,290
Charge-off's		(719	)					(575	)					(791	)					(442	)					(1,230	)
Recoveries		322						1,594						2,005						1,850						439
Provision for loan losses		956						(784	)					(865	)					(257	)					(752	)
Allowance for loan losses at the end of the period	$	24,041					$	23,482					$	23,247					$	22,898					$	21,747
Allowance for loan losses as a percentage of total loans held for investment		0.76	%					0.75	%					1.18	%					1.20	%					1.18	%
Charge-offs
Commercial and Industrial	$	(63	)				$	(221	)				$	(131	)				$	(169	)				$	(6	)
Construction		(21	)					-						-						(6	)					-
Residential real estate:
1-to-4 family mortgage		(45	)					(32	)					(35	)					(88	)					(5	)
Residential line of credit		(72	)					(9	)					(195	)					-						(28	)
Multi-family mortgage		-						-						-						-						-
Commercial real estate:
Owner occupied		(224	)					(64	)					-						-						(156	)
Non-owner occupied		-						-						-						-						(527	)
Consumer and other		(294	)					(249	)					(430	)					(179	)					(508	)
Total Charge Offs:		(719	)					(575	)					(791	)					(442	)					(1,230	)
Recoveries
Commercial and Industrial		100						200						1,511						83						44
Construction		4						1,022						29						29						79
Residential real estate:
1-to-4 family mortgage		33						86						14						26						18
Residential line of credit		27						157						155						56						31
Multi-family mortgage		-						-						-						-						-
Commercial real estate:
Owner occupied		22						24						11						4						125
Non-owner occupied		4						1						2						1,639						168
Consumer and other		132						104						283						13						(26	)
Total Recoveries:		322						1,594						2,005						1,850						439
Net (charge-off's) recoveries	$	(397	)				$	1,019					$	1,214					$	1,408					$	(791	)
Net (charge-off's) recoveries as a percentage of average total loans		(0.05	%)					0.15	%					0.25	%					0.31	%					(0.17	%)
Loans classified as substandard	$	55,488					$	59,588					$	37,858					$	37,556					$	38,585
Purchased credit impaired loans	$	88,835					$	92,455					$	15,733					$	16,099					$	16,058
Nonperforming assets (b)
Past due 90 days or more and accruing interest	$	1,996					$	1,238					$	1,619					$	1,590					$	1,329
Nonaccrual		8,101						7,749						8,327						7,706						8,729
Total nonperforming loans held for investment	$	10,097					$	8,987					$	9,946					$	9,296					$	10,058
Loans held for sale (a)		43,035						13,575						-						-						-
Other real estate owned- foreclosed		10,547						10,205						6,370						6,811						7,403
Other real estate owned- acquired excess facilities		5,895						3,607						-						-						-
Other assets		2,369						3,967						3,154						1,654						1,654
Total nonperforming assets	$	71,943					$	40,341					$	19,470					$	17,761					$	19,115
Total nonperforming loans as a percentage of    loans held for investment		0.32	%					0.29	%					0.50	%					0.49	%					0.57	%
Total nonperforming assets as a percentage of    total assets		1.52	%					0.88	%					0.58	%					0.56	%					0.58	%
Total accruing loans over 90 days delinquent as    a percentage of total assets		0.04	%					0.03	%					0.05	%					0.05	%					0.04	%
Loans restructured as troubled debt    restructurings	$	8,771					$	8,095					$	8,488					$	8,681					$	8,802
Troubled debt restructurings as a percentage of    loans held for investment		0.28	%					0.26	%					0.43	%					0.46	%					0.48	%
(a) Represents right to repurchase government guaranteed GNMA mortgage loans previously sold and internally serviced. The Bank has not exercised and does not expect to exercise the repurchase option.
(b) Nonperforming assets excludes purchased credit impaired loans

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 12

Capital Ratios

(Unaudited)

(In Thousands, Except %)

Computation of Tangible Common Equity to Tangible Assets:	December 31, 2017			December 31, 2016
Total Equity	$	596,729		$	330,498
Less:
Goodwill		137,190			46,867
Other intangibles		14,902			4,563
Tangible Common Equity	$	444,637		$	279,068
Total Assets	$	4,727,713		$	3,276,881
Less:
Goodwill		137,190			46,867
Other intangibles		14,902			4,563
Tangible Assets	$	4,575,621		$	3,225,451
Total Common Equity to Total Assets		12.62	%		10.09	%
Tangible Common Equity to Tangible Assets*		9.72	%		8.65	%
	December 31, 2017			December 31, 2016
Preliminary Regulatory Capital Ratios:
Common Equity Tier 1 Capital	$	442,381		$	287,146
Tier 1 Capital		472,381			317,146
Total Capital		496,422			338,893
Preliminary Regulatory Capital Ratios:
Common Equity Tier 1		10.70	%		11.04	%
Tier 1 Risk-Based		11.43	%		12.19	%
Total Risk-Based		12.01	%		13.03	%
Tier 1 Leverage		10.46	%		10.05	%
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP financial measures” and the corresponding financial tables below for a reconciliation and discussion of these non-GAAP measures.

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 13

Investment Portfolio

For the Quarters Ended

(Unaudited)

(In Thousands, Except %)

	2017																				2016
Securities available for sale (at fair value)	Fourth Quarter					Third Quarter					Second Quarter					First Quarter					Fourth Quarter
Debt securities
U.S. government agency securities	$	986		0	%	$	992		0	%	$	990		0	%	$	987		0	%	$	985		0	%
Mortgage-backed securities - residential		418,781		77	%		418,794		77	%		410,708		74	%		425,943		75	%		443,908		76	%
Municipals, tax exempt		109,251		20	%		106,950		20	%		122,698		22	%		120,560		21	%		116,923		20	%
Treasury securities		7,252		1	%		8,819		2	%		10,310		2	%		11,773		2	%		11,757		2	%
Total debt securities		536,270		99	%		535,555		99	%		544,706		98	%		559,263		98	%		573,573		98	%
Equity securities		7,722		1	%		7,727		1	%		8,651		2	%		8,623		2	%		8,610		2	%
Total securities available-for-sale	$	543,992		100	%	$	543,282		100	%	$	553,357		100	%	$	567,886		100	%	$	582,183		100	%
Securities available for sale to total assets		11.51	%				11.86	%				16.54	%				17.93	%				17.77	%

FB Financial Corporation

Fourth Quarter 2017

Supplemental Financial Information

Page 14

Non-GAAP Reconciliation
For the Quarters Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2017												2016
Core net income	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Pre-tax net income	$	27,504		$	12,990		$	17,813		$	15,178		$	13,797
Non-core items:
Noninterest income
Less change in fair value on mortgage servicing rights, net		(190	)		(893	)		(1,840	)		(501	)		-
Less gain from securities, net		1			254			29			1			-
Less (loss) gain on sales or write-downs of other real estate owned and other assets		(386	)		(314	)		62			748			(349	)
Noninterest expenses
Plus variable compensation charge related to cash settled equity awards		-			-			-			635			1,041
Plus merger and conversion		2,069			15,711			767			487			-
Plus (recovery of) impairment of mortgage servicing rights		-			-			-			-			(3,411	)
Plus loss on sale of mortgage servicing rights		-			-			249			-			4,447
Pre tax core net income	$	30,148		$	29,654		$	20,578		$	16,052		$	16,223
Core income tax expense		11,471			11,138			7,659			5,768			5,739
Core net income	$	18,677		$	18,516		$	12,919		$	10,284		$	10,484
Weighted average common shares outstanding fully diluted		31,166,080			30,604,537			26,301,458			24,610,991			24,500,943
Core diluted earnings per share
Diluted earning per share	$	0.74		$	0.27		$	0.43		$	0.40		$	0.37
Non-core items:
Noninterest income
Less change in fair value on mortgage servicing rights		(0.01	)		(0.03	)		(0.07	)		(0.02	)		-
Less gain from securities, net		0.00			0.01			0.00			0.00			0.00
Less (loss) gain on sales or write-downs of other real estate owned and other assets		(0.01	)		(0.01	)		0.00			0.03			(0.01	)
Noninterest expenses
Plus variable compensation charge related to cash settled equity awards		-			-			-			0.03			0.04
Plus merger and conversion		0.07			0.51			0.03			0.02			-
Plus (recovery of) impairment of mortgage servicing rights		-			-			-			-			(0.14	)
Plus loss on sale of mortgage servicing rights		-			-			0.01			-			0.18
Tax effect		(0.2	)		(0.2	)		(0.0	)		(0.0	)		(0.04	)
Core diluted earnings per share	$	0.60		$	0.60		$	0.49		$	0.42		$	0.43
Pro forma core net income					2017			2016			2015			2014
Pre-tax net income				$	73,485		$	62,324		$	50,824		$	34,731
Non-core items:
Noninterest income
Less change in fair value on mortgage servicing rights, net					(3,424	)		-			-			-
Less gain from securities, net					285			4,407			1,844			2,000
Less (loss) gain on sales or write-downs of other real estate owned and other assets					110			1,179			(710	)		151
Noninterest expenses
Plus one-time equity grants					-			2,960			-			3,000
Plus variable compensation charge related to cash settled equity awards					635			1,254			-			-
Plus merger and conversion					19,034			3,268			3,543			-
Plus (recovery of) impairment of mortgage servicing rights					-			4,678			194			-
Plus loss on sale of mortgage servicing rights					249			4,447			-			-
Pre tax core net income				$	96,432		$	73,345		$	53,427		$	35,580
Pro forma core income tax expense					36,036			27,225			18,850			12,708
Pro forma core net income				$	60,396		$	46,120		$	34,577		$	22,872
Weighted average common shares outstanding fully diluted					28,207,602			19,312,174			17,180,000			17,180,000
Pro forma core diluted earnings per share
Diluted earning per share				$	1.86		$	2.04		$	2.79		$	1.89
Non-core items:
Noninterest income
Less change in fair value on mortgage servicing rights					(0.13	)		-			-			-
Less gain from securities, net					0.01			0.23			0.11			0.12
Less (loss) gain on sales or write-downs of other real estate owned and other assets					0.01			0.06			(0.04	)		0.01
Noninterest expenses
Plus one-time equity grants					-			0.15			-			0.17
Plus variable compensation charge related to cash settled equity awards					0.03			0.06			-			-
Plus merger and conversion					0.63			0.17			0.21			-
Plus (recovery of) impairment of mortgage servicing rights					-			0.24			0.01			-
Plus loss on sale of mortgage servicing rights					0.01			0.23			-			-
Tax effect					(0.5	)		(0.2	)		(0.9	)		2.07
Pro forma core diluted earnings per share				$	2.14		$	2.39		$	2.01		$	1.33

Non-GAAP Reconciliation
For the Quarters Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2017												2016
Core efficiency ratio (tax-equivalent basis)	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Total noninterest expense	$	57,540		$	69,224		$	49,136		$	46,417		$	47,319
Less variable compensation charge related to cash settled equity awards		-			-			-			635			1,041
Less merger and conversion expenses		2,069			15,711			767			487			-
Less (recovery of) impairment of mortgage servicing rights		-			-			-			-			(3,411	)
Less loss on sale of mortgage servicing rights		-			-			249			-			4,447
Core noninterest expense	$	55,471		$	53,513		$	48,120		$	45,295		$	45,242
Net interest income (tax-equivalent basis)		49,692			44,281			31,158			30,963			29,686
Total noninterest income		37,017			37,820			35,657			31,087			31,332
Less change in fair value on mortgage servicing rights		(190	)		(893	)		(1,840	)		(501	)		-
Less (loss) gain on sales or write-downs of other real estate owned and other assets		(386	)		(314	)		62			748			(349	)
Less gain from securities, net		1			254			29			1			-
Core noninterest income		37,592			38,773			37,406			30,839			31,681
Core revenue	$	87,284		$	83,054		$	68,564		$	61,802		$	61,367
Efficiency ratio (GAAP)(1)		66.91	%		85.01	%		74.35	%		75.67	%		78.39	%
Core efficiency ratio (tax-equivalent basis)		63.55	%		64.43	%		70.18	%		73.29	%		73.72	%
(1) Efficiency ratio (GAAP) is calculated by dividing reported noninterest expense by reported total revenue

	2017												2016
Banking segment core efficiency ratio (tax equivalent)	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Core consolidated noninterest expense	$	55,471		$	53,513		$	48,120		$	45,295		$	45,242
Less Mortgage segment noninterest expense		20,117			19,757			19,802			17,670			22,256
Add (recovery of) impairment of mortgage servicing rights		-			-			-			-			(3,411	)
Add loss on sale of mortgage servicing rights		-			-			249			-			4,447
Adjusted Banking segment noninterest expense		35,354			33,756			28,567			27,625			24,022
Adjusted core revenue		87,284			83,054			68,564			61,802			61,367
Less Mortgage segment noninterest income		23,825			23,836			23,121			19,414			22,975
Less change in fair value on mortgage servicing rights		(190	)		(893	)		(1,840	)		(501	)		-
Adjusted Banking segment total revenue	$	63,649		$	60,111		$	47,283		$	42,889		$	38,392
Banking segment core efficiency ratio (tax-equivalent basis)		55.55	%		56.16	%		60.42	%		64.41	%		62.57	%
Mortgage segment core efficiency ratio (tax equivalent)
Consolidated Noninterest expense	$	57,540		$	69,224		$	49,136		$	46,417		$	47,319
Less impairment of mortgage servicing rights		-			-			-			-			(3,411	)
Less loss on sale of mortgage servicing rights		-			-			249			-			4,447
Less Banking segment noninterest expense		37,423			49,467			29,334			28,747			25,030
Adjusted Mortgage segment noninterest expense	$	20,117		$	19,757		$	19,553		$	17,670		$	21,253
Total noninterest income		37,017			37,820			35,657			31,087			31,332
Less Banking segment noninterest income		13,192			13,984			12,536			11,673			8,357
Less change in fair value on mortgage servicing rights		(190	)		(893	)		(1,840	)		(501	)		-
Adjusted Mortgage segment total revenue	$	24,015		$	24,729		$	24,961		$	19,915		$	22,975
Mortgage segment core efficiency ratio (tax-equivalent basis)		83.77	%		79.89	%		78.33	%		88.73	%		92.50	%

	2017												2016
Tangible assets and equity	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Tangible Assets
Total assets	$	4,727,713		$	4,581,943		$	3,346,570		$	3,166,459		$	3,276,881
Less goodwill		137,190			138,910			46,867			46,867			46,867
Less intangibles, net		14,902			12,550			4,048			4,171			4,563
Tangible assets	$	4,575,621		$	4,430,483		$	3,295,655		$	3,115,421		$	3,255,451
Tangible Common Equity
Total shareholders' equity	$	596,729		$	572,528		$	509,517		$	342,142		$	330,498
Less goodwill		137,190			138,910			46,867			46,867			46,867
Less intangibles, net		14,902			12,550			4,048			4,171			4,563
Tangible common equity	$	444,637		$	421,068		$	458,602		$	291,104		$	279,068
Common shares outstanding		30,535,517			30,526,592			28,968,160			24,154,323			24,107,660
Book value per common share	$	19.54		$	18.76		$	17.59		$	14.16		$	13.71
Tangible book value per common share	$	14.56		$	13.79		$	15.83		$	12.05		$	11.58
Total shareholders' equity to total assets		12.62	%		12.50	%		15.23	%		10.81	%		10.09	%
Tangible common equity to tangible assets		9.72	%		9.50	%		13.92	%		9.34	%		8.65	%
Net income	$	23,018		$	8,388		$	11,239		$	9,753		$	9,010
Return on tangible common equity		20.54	%		7.90	%		9.83	%		13.59	%		12.84	%

	2017												2016
Return on average tangible common equity	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Total average shareholders' equity	$	578,856		$	550,409		$	398,805		$	333,178		$	318,986
Less average goodwill		138,050			108,220			46,839			46,839			46,839
Less intangibles, net		13,726			9,983			4,124			4,353			4,694
Average tangible common equity	$	427,080		$	432,206		$	347,842		$	281,986		$	267,453
Net income	$	23,018		$	8,388		$	11,239		$	9,753		$	9,010
Return on average tangible common equity		21.38	%		7.70	%		12.96	%		14.03	%		13.40	%

Non-GAAP Reconciliation

For the Quarters Ended

(Unaudited)

(In Thousands, Except Share Data and %)

	2017												2016
Core return on average tangible equity	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Pre-tax net income	$	27,504		$	12,990		$	17,813		$	15,178		$	13,797
Adjustments:
Add non-core items		2,644			16,664			2,765			874			2,426
Less core income tax expense		11,471			11,138			7,659			5,768			5,739
Core net income	$	18,677		$	18,516		$	12,919		$	10,284		$	10,484
Core return on average tangible common equity		17.35	%		17.00	%		14.90	%		14.79	%		15.60	%

	2017												2016
Core return on average assets and equity	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Net income	$	23,018		$	8,388		$	11,239		$	9,753		$	9,010
Average assets		4,664,669			4,162,478			3,224,783			3,172,149			3,206,398
Average equity		578,856			550,409			398,805			333,178			318,986
Return on average assets		1.96	%		0.80	%		1.40	%		1.25	%		1.12	%
Return on average equity		15.78	%		6.05	%		11.30	%		11.87	%		11.24	%
Core net income		18,677			18,516			12,919			10,284			10,484
Core return on average assets		1.59	%		1.76	%		1.61	%		1.31	%		1.30	%
Core return on average equity		12.80	%		13.35	%		12.99	%		12.52	%		13.08	%

	2017												2016
Core total revenue	Fourth Quarter			Third Quarter			Second Quarter			First Quarter			Fourth Quarter
Net interest income	$	48,983		$	43,610		$	30,427		$	30,251		$	29,032
Noninterest income		37,017			37,820			35,657			31,087			31,332
Less adjustments:
Change in fair value of mortgage servicing rights		(190	)		(893	)		(1,840	)		(501	)		-
Gain from securities, net		1			254			29			1			-
(Loss) gain on sales or write-downs of other real estate owned and other assets		(386	)		(314	)		62			748			(349	)
Core total revenue	$	86,575		$	82,383		$	67,833		$	61,090		$	60,713